Tata Consultancy Services Limited

1. INTRODUCTION
1.1. Company Profile
Tata Consultancy Services Limited (TCS) is the world-leading information technology consulting, services, and business process outsourcing organization that envisioned and pioneered the adoption of the flexible global business practices that today enable companies to operate more efficiently and produce more value. TCS commenced operations in 1968, when the IT services industry didn’t exist as it does today. Now, with a presence in 34 countries across 6 continents, & a comprehensive range of services across diverse industries, it is one of the world's leading Information Technology companies. It is a part of one of Asia's largest conglomerates - the TATA Group, which, with its interests in Energy, Telecommunications, Financial Services, Chemicals, Engineering & Materials, provides us with a grounded understanding of specific business challenges facing global companies. When TCS commenced operations in 1968, they pioneered the offshore delivery model for IT services. Today, with a presence in 34 countries across 6 continents, over 35000 consultants from 30 nationalities and more than 100000 person year of experience, TCS offers a comprehensive range of IT services to clients in diverse industries, such as banking and financial services, insurance, manufacturing, telecommunications, retail and

transportation. And a comprehensive range of services across diverse industries, it is one of the world's leading Information Technology companies. Seven of the Fortune Top 10 companies are among its valued customers. TCS is a part of one of Asia’s largest 1

conglomerates - the TATA Group -provides the world with a grounded understanding of specific business challenges facing global companies.

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TCS ability

to deliver

high

quality

services and

solutions

is unmatched.

It became the world’s first organization to achieve enterprise –wide “Maturity Level 5” on both CMMI and P-CMM, using the most rigorous assessment methodology, SCAMPISM. TCS integrated quality management system (inmost) integrates process maturity, people maturity and technology maturity through the practices and standards of various established frameworks and models, including IEEE, ISO 9001: 2000, CMMI, SW- CMM, P-CMM and Six Sigma.

1.2. Mission, Vision & Values : The 3 Pillars of TCS
While TCS Mission articulates the reason for TCS existence, vision reflects an aspiration to continually improve, to excel & be the best. TCS values characterize us as an organization & guide TCS every action.

Mission
To help customers achieve their business objectives by providing innovative, best-in-class consulting, IT solutions and services. Make it a joy for all stakeholders to work with TCS.

Vision
To be among the top 10 global companies.

Values
 Integrity  Leading Change 3

 Excellence  Respect for the Individual  Learning and Sharing

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1.3. Services
One of the first companies to set up an independent consulting division, TCS today includes consulting as an integrated part of any assignment to its customers in different industry segments.

IT Services Application development and maintenance services over the entire IT application life cycle including migration and re-engineering, e-commerce and internet services, testing services, architecture and technology consulting, systems integration, as well as packaged software implementation across multiple industry and technology domains.

IT Infrastructure Offer services including complete outsourcing of IT networks, consulting and integration, hardware support and installation, and infrastructure management.

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Engineering and Industrial Services

Offer a range of engineering services, embedded software and R&D services to diverse clients, assisting in new product development and product lifecycle management through services in the areas of product design, simulation, engineering drafting, computer-aided engineering design and manufacturing, product data management and customization of engineering software.

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1.4. Research & Development
In 1981, TCS established the Tata Research, Design and Development Centre (TRDDC), which was India's first industrial software R&D, centre, in Pune, India. The Advanced Technology Centre at Hyderabad & TRDDC led TCS research & development efforts. TCS core areas of research are systems & software engineering, process engineering, embedded systems, VLSI, bioinformatics and security. Due to applied-research outlook, TCS have developed several proprietary tools such as MasterCraftTM and Assent TM that allow us to automate the software development process & significantly bring down development costs. TCS R&D investments help us enhance & differentiate TCS services and strengthen TCS delivery capabilities.

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Tata Research, Design & Development Centre, Pune Advanced Technology Centre, Hyderabad TCS Technology Innovation Lab (iLab)

iLab focuses on emerging technologies that could drive disruptive changes in the global technology industry, and develop re-usable solution frameworks based on these.

1.4.1. Flexible Global Delivery With delivery capabilities in the United States, Canada, Brazil, Uruguay, South Africa, United Kingdom, Hungary, India, China & Japan - TCS have one of the most comprehensive networks of delivery centers worldwide. On top of this infrastructure are

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built cutting edge collaborative systems that allow seamless integration of projects delivered from multiple locations. For customers with operations across the globe, TCS provide unparalleled economies of scale & scope. To customers in specific geographies, TCS bring best-in-class technology consulting & services that help them stay ahead of competition & drive greater returns on their information technology investments. TCS integrated project & quality management frameworks enable us to take the uncertainty out of technology projects, which ultimately means TCS customers, can expect higher levels of productivity with a reassuring predictability.

1.4.2. People With a rare mix of domain, technology & project management experts, TCS bring the most complete team to bear on every project TCS take on. TCS training & development center introduces young graduates, from some of the best educational institutions in the world, to the TCS way of doing things.

Business & technology experts, from some of the best organizations in the world, bring invaluable insights into their areas of expertise. In a business model where people are the growth drivers, TCS are endowed with one of the most enviable pool of talent from across the globe. With a presence in 34 countries, not only are TCS entrenched in developed markets such as the United States & Canada, United Kingdom & Europe; TCS also have a strong

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foothold in the high-growth markets of tomorrow such as Asia Pacific, Latin America, Africa & the Middle East. While TCS strong sales & marketing presence across the globe gives us the leverage to strengthen existing relationships build new ones & enter new markets,

TCS alliance partners give us an extended reach into markets where TCS do not have a direct presence. 1.4.3. Customers TCS has developed IT solutions for over 500 customers all over the world. TCS end-toend solutions help its customers gain efficiency in their business processes. Ultimately, TCS arm them with that much-needed edge in the marketplace.

1.5. TCS Culture
TCS has an energetic and open workplace environment, and a collaborative culture that's based on teamwork. Pulling together is a central tenet of TCS work ethic.

1. Diversity at work 2. The doors are always open at TCS 3. The better half of TCS Energetic and full of enthusiasm, associates enjoy their day (and night) at work. TCS has a stimulating and exciting experience. Not only do their offices have the best

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infrastructure and technology, associates have a knack of working hard — and partying harder. TCS take pride in adhering to the Tata 'code of conduct', which is in place across the entire Tata Group. The code is a means of upholding and strengthening the trust reposed on them by various stakeholders, be it customers or the wider society.

1.5.1. Diversity at work TCS is an equal-opportunity employer and TCSers come from many nationalities and speak many languages. And, since they believe in celebrating everything under the sun, one can find them singing carols at Christmas and doing the dandiya dance at Navrathri with equal enthusiasm. They are habituated to do the regular outing, be it with TCS project teams, with Maitree or with just a bunch of other like-minded TCSers. They are off to treks, nature camps, picnics or just bus rides whenever TCS get the chance.

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1.5.2. The doors are always open at TCS Senior colleagues follow an open-door policy in which any associate can approach the CEO and senior management with work-related problems. Communication is a big word at TCS and an associate regularly takes part in web casts and chat session through which important corporate issues or decisions on real-time basis are shared with associates worldwide. TCS also has institutionalized open-house sessions and engagement programmes in which associates at all levels meet and discuss various work issues. In addition, TCSers can also take part in one-on-one sessions where they can interact privately with senior management. These sessions are helpful in providing mentorship, as well as understanding real-life issues that colleagues face at work. The queries and discussions are formally recorded and followed up.

1.5.3. The better half of TCS is a part to of the family…. Maitree, a fraternity comprising TCSers' spouses, was formed with the objective of bringing the large and geographically widespread TCS community under a common umbrella. Maitree has two distinct objectives. Primarily, it serves as an information-sharing body where useful tidbits about living in a foreign country which are the good schools in Minneapolis? Where do you get Indian spices in Stockholm? Are shared by TCS employees and their families. Maitree also functions as a forum where a wide range of

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socially relevant activities are conducted, be it improving the environment or taking care of the less privileged.

1.6. Training and Learning
TCS sees the training and education of the people as a continuous value-adding process. This approach hones, improves and enhances their skills — and makes the organization stronger. The TCS training centre in Thiruvananthapuram TCS invests about 4 per cent of its annual revenues in training, a shining example of which can be seen at the state-of-the-art training centre in Thiruvananthapuram in the south Indian state of Kerala. Consider TCS ‘initial learning programme' (ILP), which is for all the recruits from engineering colleges. This is a specially designed, 41/47 day training TCSse at the Thiruvananthapuram facility. The ILP is conducted with the objective of transforming engineers from diverse disciplines into software professionals. Then there are the 'continuing education programs' (CEPs), which cover over 300 topics and can be delivered over a variety of channels: classrooms, computers, audio / video, contact sessions, seminars, conferences and workshops. TCS dedicated training centre in Thiruvananthapuram, established in 1998, sprawls over 58,000 square feet. The centre has 18 classrooms, a library, an auditorium, a conference hall, discussion rooms, and faculty and administrative areas. The facility has about 300 personal computers connected to servers. TCS has 10 other centers in India fully equipped to conduct any type of training programme.

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1.6.1. Driven By Knowledge In October 2005, Tata Consultancy Services (TCS) was adjudged one of 14 winners in Asia’s Most Admired Knowledge Enterprises (MAKE) Study -- 2005. The award was given in recognition of best practices in Knowledge Management (KM), by a panel of Asian Fortune 500 senior executives and renowned KM experts. The organizations were rated on eight knowledge performance parameters.

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TCS was rated the first in maximizing enterprise intellectual capital and creating a learning organization. TCS was in the forefront in tapping intellectual capital from across the world. In order to make the company a learning organization, 6% of its turnover was invested in training and development. The company also had a world class training center in place.

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2. HUMAN RESOURCE AT TCS

2.1. Role of HR at TCS
2.1.1. Building and Empowering

“The role of HR is to provide the context for energizing and developing people to play effective roles in ensuring that TCS becomes one of the top global consulting firms. Towards achieving this TCS will identify, develop, facilitate, and measure the human and technological processes in the pursuit of excellence. TCS will foster the values of the TATA group".

2.1.2. TCS HR Mission Statement Tata consultancy services a billion dollar company has over more than 65000 work forces or rather talking in the jargon of the company they are the associates in their business. Tata group of company’s have always been referred as welfare of organizations who value their employees as their own family. The people in the company are all of varied domain and mixed regions so bringing them together and aligning them towards the company’s goal as well their own personal development is what TCS HR has, as a challenge.

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The HR group at TCS comprises of more than 400 qualified professionals spread across the globe .HR is a corporate function at TCS and is currently structured both by geography and process ownership. The HR team at TCS works with large number of associates around the globe and they work with them efficiently with the best in class systems and proc

2.1.4. Manpower Allocation Committee MANPOWER ALLOCATION COMMITTEE or in TCS term MATC is hub of all activities at TCS it’s a place where all decisions are made to maximize business returns and simultaneously fulfill individual aspirations. In an IT industry where the company’s assets are its software professionals and consultants, it is imperative that competencies are built on a continuous basis. TCS follows a unique model of rotating associates between different types of projects thus giving them an opportunity to learn and grow. The major work of MATC is what is called in TCS parlance “allocating an associate”. TCS world wide, give associates the opportunity to widen their horizon, experience, aspirations and career plan –it also ensures that the business gets the maximum return in terms of billing and revenues; it also means ensuring that the business gets the maximum return in terms of billing and revenue; it also means ensuring maximum utilization and realization and controlling unallocated.

2.1.5. Employee Engagement

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Mingle with the employees, stop and talk to them... Most important, listen to what they have to say. For that’s how you can get the best out of the people. Every day, organizations struggle to find additional means of gaining competitive advantage. Products can be copied, promotional campaigns can be mimicked, and even technological innovations can be imitated. The only real source of sustainable competitive advantage for an organization is the power of its people HR is fast shifting from being activity-based to playing a strategic role. It is time HR learnt from the business side, donned the intra- preneurial hat and captured imagination, to garner mind share as well as internal customer loyalty. TCS need to view people not as mere resources but as assets/capital. This fresh perspective brings forth the need for human capital strategies. TCS, which has traditionally seen low attrition levels (below the 10 percent mark), are offering additional benefits. The company gave out shares to its personnel after its famed IPO. Employee engagement programs are one of the major activities that TCS HR is involved into. There is a theme attached every month –and a special set of activities to go with the theme –12 special events celebrated at TCS locations worldwide. However some of the major events celebrated each year are-:  Technology Day –a Day to celebrate technology through technology based quizzes /panel discussions  Sports month –To encourage sports and fitness related activities amongst associates

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 TCS picnic –An opportunity for associates and families to get together and connect  Family Day- A day out with the family and an opportunity to meet the families of the friends and colleagues  Associate Talent Month- A day to show case your hidden talents.

2.1.6. Employee Recognition An award is something given to a person or group of people to recognize excellence in a certain field. Awards are often signified by trophies, certificates, plaques, medals, badges, pins or ribbons. An award can simply be the public acknowledgment of excellence.

TCS guarantee high motivation levels through competitive compensation packages, stimulating job content, outstanding development opportunities, and, not the least, an innovative recognition mechanism. The various ways in which TCS recognizes its people are listed below:

Project milestone parties — To encourage efficient execution of projects. Recognition of star performers / high fliers — To recognize outstanding talent. This is a recognition mechanism acknowledging special effort put in by the associate. Each location has aimed at its own set of STARS who receive due publicity in the hall of fame. Peers, supervisors and the team members send nominations. These are viewed by a cross

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functional committee of senior associates. Each STAR is given a certification of recognition along with a gift voucher. Nomination to coveted training programme — To encourage self-development. Best project award — To promote a spirit of internal competition across work groups and to foster teamwork.

Best PIP award — To encourage innovation and continuous improvement.

Best auditor award — To acknowledge participation in critical support roles.

Recommendations for new technology assignments / key positions — To ensure career progression and development of employees’ full potential.

Spot awards — To ensure real-time recognition of employees.

Performance-based annual increments — To recognize high performers. PAIS (performance appraised information system) was introduced to recognize and reward good performance. High performers are formally conferred the CMC Ratna Award and interaction between CMC and other Tata companies were encouraged.

Early confirmations for new employees — To reward high- performing new employees.

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Long-service awards — To build organizational loyalty . EVA-based increments — To ensure performance-based salaries. The 'economic value added' model that we follow at TCS ensures that the compensation packages of our employees are determined by the value they bring to the organization. The more they deliver; the more are their rewards.

On-the-spot recognition — To guarantee immediate recognition of good Performance. PEEP (Proactive Employee Engagment Program)-- PEEP provides associates with an opportunity to have a face to face meeting with group heads and senior management .These meetings allow an associate to speak out and voice opinions and aspirations .It strengthens the upward communication process and ensures that important issues are addressed.

2.2. Learning and Development Every organization needs to have well trained and experienced people to perform the activities that have to be done .To raise the skill levels and increase the versatility and adaptability of the employees the organization needs to give training to its workforce. With advent of globalization and the increasing complexities of job the importance of training has increased. In the rapidly changing environment, employee training is not only an activity that is desirable but also an activity that an organization must commit resources to if it is tom maintains a viable and knowledgeable work force.

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In scientific terms training can be defined as a learning experience in which it seeks a relatively permanent in an individual A learning set is a process by which the group identifies common learning needs and meets them within the group through shared learning or through external expertise or facilitation As learning sets are based on self-directed learning, participants can decide the particular topics they wish to cover and how they wish these topics to be covered. It provides a confidential forum that assists participants in testing and clarifying ideas and provides additional motivation for each individual to take action as well as a support network to try out ideas with. Training is described as a learning experience. 2.2.1. At TCS The Objective Of Learning Group is • • • • • • Deliver effective learning session in close liaison with all stakeholders Share common vision of learning group Skill and technology up gradation and associate satisfaction Strengthening customer relation Innovative solutions for problems Achieving quality

The Learning Strategies • Obtaining learning needs from Delivery Center Head, Group Leaders and Project Leaders

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Deciding training according to project needs

At TCS the training starts with inception of joining directly from the campus. TCS believes in quality at every step so training is one thing which they cannot ignore. At TCS it all began in the previous century, in the late 1960s, when Tata Consultancy Services laid the foundation for an industry that has assured India a prominent place on the global IT map. Over the past three decades, TCS has metamorphosed into a multi-crore company and in 2001 it turned in sale of Rs 3,142 crore for the financial year ended March '01. Today, it has an impressive client list that includes heavyweights like the $26-bn, US-based Target Corp. and the $111-bn General Electric, among others.

The company attributes its success to a winning combination of excellent people and cutting edge technology. Most of the professionals - estimated at 12,800 - work at the SEI CMM Level 5, the highest number for any organization in the world. TCS hunts at the best universities and institutes worldwide. Over 90 per cent of its recruits hold degrees in engineering, maths or science, and more than 50 per cent have a Masters. Merely taking in the brightest and the best however is not enough. For academia is not fully equipped and in the present setup has degenerated to the level of training shops. According to F C Kohli, Former Deputy Chairman and currently a TCS Board Member, "To build people, TCS should equip them with knowledge and skills and attitudes before they an execute responsibilities”.

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Referring specifically to the InfoTech sector, R Narayanan, Vice-President (Education and Training), TCS says "Infotech has a wide application. A major problem is (that of) developing a standard set of methodologies for a variety of domains. Failures in the IT sector are not due to a lack of technical expertise or knowledge per se, but inadequate knowledge about the sector. This gets amplified when TCS deliver solutions. "Hence, it's necessary to train professionals so that they ask clients relevant questions in order to ascertain what actually they want. It comes as no surprise, therefore, that TCS takes training very seriously. The company invests more than 6 per cent of its revenue in training. Initially, TCS provided skill upgrade facilities at centers in Mumbai, Chennai, Delhi and Kolkata. But, in the absence of standardization and integration, the company felt the need for some level of centralization. Towards this end, it set up centre at Thiruvananthapuram, in 1997. The Rs 20-crore facility polishes more than 3,500 inductees every year. It also imparts knowledge on emerging technologies and global management practices to all its employees through two initiatives: the Individual Learning Process and the Continuing Training Programme. TCS has a well-planned induction programme for new recruits, which includes two months of intensive training at Thiruvananthapuram and now it has a training center at Bhuveneshwar. A proactive approach to skill development, it gives every TCS employee 20 days a year to take up any TCSser. Affirming the company's commitment to training, TCS CEO S Ramadorai, says "life-long learning in TCS is extremely important and articulated." The Company spends Rs 6,000-7,000 per candidate per day. Mr. Narayanan says this is considered "people investment".

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Besides sophisticated technology and lab facilities, the Thiruvananthapuram centre, which has a 300-bed hostel, is equipped to train over 600 people simultaneously in various software subjects and technologies, has a gym and canteen facilities, and is ISO 9001 certified. The centre provides its employees with three kinds of training programmes - technology, attitudes and management. Committed to quality, TCS has teamed up with centers of excellence to create bodies of knowledge in computer engineering. It has tied up with IIT Chennai to create an MTech programme, which is executed for its professionals by the IIT. Likewise it has partnered IIT Powai on R&D projects such as micro-electronics and intelligent internet. The attitude programme is designed to improve inter-personal skills and help professionals work in a team. "In college TCS have the freedom to choose TCS associates," explains Mr. Narayanan, "but in the workplace, TCS do not have that leeway. So, TCS have to learn how to deal with people and that's what this programme tries to do." The programme has been developed by a Pune-based freelancer, and has been so successful that TCS has begun exporting it. In fact, according to Mr. Narayanan, the programme has been well-received in Europe and in France, where TCS has conducted it in French. TCS has long realized that business is not about just people and processes. It's all about leadership, strategy, information analysis and client focuses. With a view to promoting better management practices, the Tata Group has adopted the Malcolm Baldridge Model. It is a proven approach to performance management that seeks to promote as well as improve

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(a) Value delivered to clients, (b) Organizational effectiveness and (c) Organizational and personal learning. This model forms the base for the first level of the management programme. Training builds both the individual’s and organization’s potential to work through conflicts. This improves their decision-making skills; teaching employees collaborative techniques and helping them recognize and implement the many processes involved in positive change. Studies show that managers typically spend up to 30% of their time dealing with conflict. In recognizing the potential strength of people and groups, TCS help participants learn – and retain – communication skills that can be used in everyday workplace experiences.

2.2.2. Advantages of TCS Training Programmes: • Improves workplace environments as they are safer and more productive, which reduces absenteeism and high turnover rates • • Lessens the chance of costly, destructive and potentially damaging litigation Reduces misunderstandings, grudges and unresolved conflicts so they no longer undermine the group or team’s ability to work together • Decreases recruitment and staffing cycle time and related costs for training and development

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Increases core competency skill base by adding value to the organization Training also helps the employees to attain the new skills as and when required for a specific project

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Training at TCS is not only technology based but also generic managerial driven training is also a part of the training program

Once the associate joins work after the intensive training there is routine training, which keeps on happening at the BLG (BRANCH LEARNING GROUP) catalogue. It is mandatory for TCS employees to attend at least 15 day training program each year this is to upgrade their competency and brings efficiency in the work performed. At TCS HR is not responsible for the training program they have a special cell for that that is the branch-learning group. Each and every project which requires training for their team can a raise a request to the BLG which will arrange the training program. The faculty for the training program could be both outside and internal. Once the request has been raised BLG has to arrange the training as soon as possible because that is counted in the service level agreement.

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2.2.3. The Competency Management scene at TCS In a dynamic environment like the IT industry, it is a challenge to keep pace with new and emerging technologies on a continuous basis. The only way to stay afloat and ahead of competition is by creating an environment of continuous learning for the individual and elevating organizational skills. Thus competency management is the lifeline of the IT organization. TCS has come up with the competency model called iCALMS (INTEGRATED COMPETENCY AND LEARNING MANAGEMENT SYSTEMS TCS has an unbelievable number of more than 3000 competencies and 300 roles. An exercise on Job Analysis is being done to tag specific behavioral competencies needed to perform specific role, i.e. anyone performing a given role will be expected or required to possess the generic competencies tagged to that role iCALMS AS A SYSTEM • • Meets the needs of the learners at the global basis Uses an integrated and management oriented approach to provide support for most advance learning methods • Helps employees for their ever changing needs and skills requirement to better contribute to current and emerging enterprise growth initiates • Provides on demand training to increase productivity and maintain competitive advantage • Reduce costs and optimizes TCS training investments by consolidating existing systems while offering uniform learning opportunities

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Applies a systematic way to track and measure the effectiveness of all TCS all learning efforts with a singe scalable system at iCALMS an individual can there is a systematic approach where each individual has the convenience of assigning competencies and also upgrade them as and when required. Supervisor can assign an individual roles played in the project and in the same way the individual can assign himself specific competencies .In the same way an individual can graduate to a higher competency in reference to specific roles or competencies.

iCALMS has proven to be advantageous and successful in the following manners: • Allocation of people to projects must be done based on updated Competencies and aspirations of individuals • • Sustenance of role and competency tagging for the end user must be done Low turn around time for standardizing definitions of the new additions to roles and competencies • • Integration with performance management Integration with finance to measure L&D efforts

2.2.4. The Continuous Learning At TCS the life of the associate begins with the Induction program which helps a new recruit to get familiar with the organization, its business, process and people and their by let them settle down quickly and smoothly. The TCS induction program is the best in Industry.

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For the campus recruit the Induction is in the form of ILP (initial learning Program) and it is a specially designed program to shape a fresh graduate into a complete professional through technical and personal development. EP (Experienced professional) training aims at providing familiarity with software processes and business processes followed by project-based skills set. Once ILP is done TCS has a Continuous learning program. This is a mandatory 15 days learning through classrooms, e learning, self-study, experience sharing. To add to once repertoire of TCS Jargon they have a program called Life Long Learning (LLL), which comprises of TDP (Technology Domain Process). Learning is a cycle as associated also has an opportunity to give back to the organization. Associate’s themselves-highly competence and enthusiasts individuals anchor most of the learning initiatives.

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3. RECRUITMENT
Recruiting is the discovering of potential candidates for actual or anticipated organizational vacancies it can also be called as the linking activity –bringing together those with jobs to fill and those seek.

3.1. Factors Influencing Recruiting Efforts Organizational Requirements • • Employment condition in the community Working condition and salary

There are 10 interrelated elements that need to be considered to develop a comprehensive recruitment work plan. They are defined as follows: • Vision—A vision offers a fairly detailed scenario of what the organization’s ideal should be. The mission statement asks the question, “Why are TCS here?” The vision asks, “What should TCS be?” • Beliefs and Values—Beliefs and Values are declarations of universal human values as Upheld by the people who make up the organization.

They are statements of belief in precise Language and absolute in application. They are simply formatted, crisply stated and easily understood. • Mission statement—a mission statement is a clear and concise expression of the State’s Purpose and function as it relates to its responsibilities. It answers the question, “Why are TCS here?” 29

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Parameters—Parameters are the boundaries in which TCS are free to operate. They are the imperatives that keep the organization true to itself and its values.

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Internal Assessment—this is a critical analysis of how the organization is functioning in relation to its responsibilities, methods, communications, systems of evaluation and accountability. This critique is aimed at determining what is working and what are not working and identifying resource gaps and redundancies.

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External Analysis—This is an environmental analysis, which seeks to predict events and conditions that may affect the success of the organization. Categories to include in this analysis may include: the organization’s other initiatives, social/demographic trends, economics, political, technological; and competition and collaboration opportunities.

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Identification of Critical Issues—Critical issues are those in which the organization faces the prospect of getting either much better or much worse. Identifying the critical issues focuses attention on the paramount threats and opportunities and thereby provides compelling rationale for the strategic deployment of resources.

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Objectives—The statement of objectives is the organization’s commitment to achieve Specific and measurable end results. The objectives are what the organization must achieve if they are to accomplish their mission and be true to their beliefs.

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Strategies—Strategies are statements of how the organization will accomplish its stated Objectives thereby achieving its mission. Strategies are the articulation of bold commitments to deploy the organization’s resources toward the stated objectives.

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Action plan—Action plans are detailed descriptions of specific actions required to implement and achieve strategies. Action plans contain step-by-step directions, timelines, responsibilities and major milestones (milestones at which in process results are to be evaluated.

3.2 Recruiting Sources • • • • • • • • Internal search Advertisement Employee recommendation and referral Employment agencies Temporary help services Schools, colleges and universities Walk ins Personal organization jobs

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There are numerous ways in which the organization can find employees to fill the job vacancy. However, if the company uses the wrong type of media, it can end up spending a lot of time re-advertising, re-interviewing or employing the wrong person. This wastes business time and money. Below are a number of tips that should consider while deciding the best method of recruitment advertising for the organization.

3.3 Recruitment Agencies These companies specialize wholly in recruitment and generally keep an up-to-date database of experience potential employees. They take the time out of advertising,

interviewing and selecting candidates, and can handover a ready-made employee to fit the job specification. They offer part and full-time candidates. If a specialist candidates is required, a job agency has the expertise to attract the right person; many also agencies specialize in the candidates they attract e.g. accountancy, haulage. Agencies take the worry out of the employment headache, and for the small business this can save a lot of time.

Limitations Unfortunately, they are unable to gauge the exact needs of each individual company. As the agency interviews all candidates, they cannot detect subtle personality requirements which would help the candidate settle in. If the candidate is found to be

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unsuitable, this means more lost time. Finally, agencies also charge a fee, so if you are going to use an agency, check their fees as they could prove quite expensive.

3.4 Job Centre Many Job Centers offer recruitment services for companies who use them to recruit. For example, many will offer a room to interview potential candidates; others will help to draw up a short list based on your job specification. Above all, this service is free. Needless to say, this will save a small business quite a lot of time and money when recruiting. Limitations However, many of the candidates may have been unemployed for some time and this would mean that their skills may now be outdated.

3.5 Newspaper or Specialist Magazine This is an effective method as it reaches a large audience in a short space of time, often resulting in a significant amount of interest. The organization has an option of targeting area or specialist profession as there are a multitude of magazines and newspapers on offer to choose from. However, the organization may find that the more specialized or selective they become, the more they have to pay to the advertisement, so it can work out quite expensive. Additionally, if the organization wants to attract the right candidate, they need to have some publishing skills to produce an attractive

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advertisement. The organization can of course use a specialist publishing company to design the right ad, but this will again cost them money.

3.6 Employee Referral Programs If used effectively, can serve as one of the best sources of recruitment. The article, "Employee Referral Programs: Optimizing Your Most Effective Recruiting Tool", written by Debbie McGrath of HR.com, focuses on the effectiveness of employee referral programs. It presents some important statistics in favour of the usage of employee referrals as a tool for hiring employees. Such programs enable the company to lower the costs of hiring, improve the quality of hires, and decrease the time to hire. However, employee referral programs encounter certain difficulties in management. They are usually difficult to define, administer, track, and measure.

3.7Internet Recruiting Internet recruiting is spreading like wildfire. Most companies which have a website encourage prospective employees also to apply online. This is a form of direct recruitment and hence it allows the recruiting company to keep recruitment costs low.

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3.8 Recruitment at TCS Sourcing at TCS is one function, which once viewed, gives an overwhelming response by the numbers that TCS deals with. TCS is the largest technical manpower recruiting organization in Asia. Life at TCS recruitment team is exciting, eventful and almost 24/7. With more than 7500 freshers and equally large number of lateral recruits joining TCS for the last 2 -3 years. The mantra of sourcing at TCS is SOURCE; SECURE and SECURE. The induction of the best talent available on time and every time is what enabling TCS to achieve its vision. In the TCS process of recruitment it was not a big surprise to know that technology acts as an enabler. The academia portal is through which campus recruits can apply. The customized testing program called QUEBEX used for freshers and an envisaged Direct Trainee portal. E –recruitment is hugely cost effective and efficient tool used for lateral recruitment. 3.8.1. Recruitment at TCS takes place for • • Direct Trainees (Fresher) Experienced Professionals

Fresher Recruitment TCS ensures that its campus recruits comes from premier institutes of the country through an evaluation process ACCREDITION.TCS accredits both technical and management institutes annually and visits only these campuses.

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Based on business recruitments there is also an intake of Direct Trainee (DTs) where recruitment drives at specific locations are conducted and students from all over the country participate.

The campus recruitment process is as follows-: • • • • • • • Request students to upload their profile on TCS academia PORTAL Shortlist applications based on eligibility criteria Put them through Aptitude Test Conduct Technical Interviews for short listed candidates Conduct HR and Management Reviews Medical check Offer letter

Lateral Sourcing Lateral hires at TCS are called EXPERIENCED PROFESSIONALS (Eps). TCS follows the process of sourcing mix wherein they recruit both freshers as well as experienced professional who have an excellent academic background. The process of Experienced Professional at TCS is -: • • Receiving CV Conduct Technical and HR screening of the profile for suitability

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• • • • •

Conduct Aptitude test for candidates with less than 2 years of experience Conduct Technical interview for short listed candidates Candidate HR and Management Reviews Medical Check Offer Letter

Sources for Lateral Recruitment • • • • • Advertisement through Newspapers Jobsites TCS Portal Consultants Buddy Lao(employee referral)

Advertisement through Newspapers Lateral hiring at TCS is also done by giving newspaper advertisement where in the required skills are mentioned and short listing is done according. The major part is to cover the recruitment drive, which was based on a newspaper advertised in a renowned newspaper for the software professionals. More or less the process is the same but here it depends on the specific requirements of the branch or the company as a whole. TCS recruitment advertisement mostly gets published in Hindustan Times as TCS has a contract with Hindustan Times.

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Consultants TCS also recruits associates through placement agencies or consultants. TCS has a direct link with these consultants to whom they specify their requirements also the skill set for the current positions. These placement agencies are contracted directly by the corporate office. Employee Referral (Buddy Lao) TCS being one of the largest recruiters of software professionals also recruits through its employee referral program. The employee referrals program at TCS is called BUDDY LAO. This is one of the best sources of recruitment.

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4. PERFORMANCE APPRAISAL SYSTEM

Almost every organization in one way or another goes through a periodic ritual, Formally or informally, known as performance appraisal. Performance appraisal has been called many things. The formal performance appraisal has been called a tool of Management, a control process, an activity and a critical element in human resources allocation. Uses for performance appraisal have included equal employment opportunity considerations, promotions, transfer and salary increases. Primarily performance appraisal has been considered an overall system for controlling an organization. Performance appraisal has also been called an audit function of an organization regarding the performance of individuals, groups and entire divisions. Performance Appraisal. - The term performance appraisal has been called by many names, including performance review, performance evaluation, personnel rating, merit rating, employee appraisal or employee evaluation. A performance appraisal has been defined as any personnel decision that affects the status of employee regarding their retention, termination, promotion, transfer, salary increase or decrease, or admission into a training program. For this study, performance appraisal has been confined to the formal performance appraisal. Appraisals have been cited to range from official, prescribed meetings between an evaluator and evaluate to causal, change occasions where an evaluator observed work activities and indicated his or her assessment with an informal comment.

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Definition of Terms • Behavioral Anchored Rating Scales - The term used to describe a performance rating that focused on specific behaviors or sets as indicators of effective or ineffective performance, rather than on broadly stated adjectives such as "average, above average, or below average". Other variations were: a. Behavioral observation scales b. Behavioral expectations scales c. Numerically anchored rating scales • Checklists. - The term used to define a set of adjectives or descriptive statements. If the rater believed the employee possessed a trait listed, the rater checked the item; if not, the rater left the item blank. rating score from the checklist equaled the number of checks. • Critical Incident Technique. - The term used to describe a method of performance appraisal that made lists of statements of very effective and very ineffective behavior for employees. The lists have been combined into categories, which vary with the job. Once the categories had been developed and statements of effective and ineffective behavior had been provided, the evaluator prepared a log for each employee. During the evaluation period, the evaluator recorded examples of critical behaviors in each of the categories, and the log has been use to evaluate the employee at the end of the evaluation period. • Forced Choice Method - This appraisal method has been developed to prevent evaluators from rating employees to high. using this method, the evaluator has to select from a set of descriptive statements, statements which applied to the

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employee. The statements have been weighted and summed to at, effectiveness index. • Forced Distribution - The term used to describe an appraisal system similar to grading on a curve. The evaluator had been asked to rate employees in some fixed distribution of categories. One way to do this has been to type the name of each employee on a card and ask the evaluators to sort the cards into piles corresponding to rating. • Graphic Rating Scale. - The term used to define the oldest and most widely used performance appraisal method. The evaluators are given a graph and asked to rate the employees on each of the characteristics. The number of characteristics can vary from one to one-hundred. The rating can De a matrix of boxes for the evaluator to check off or a bar graph where the evaluator checked off a location relative to the evaluators rating.

•

Narrative or Essay Evaluation. - This appraisal method asked the evaluator to describe strengths and weaknesses of an employee's behavior. Some companies still use this method exclusively, whereas in others, the method has been combined with the graphic rating scale.

•

Management by Objectives. - The management by objectives performance Appraisal method has the supervisor and employee get together to set objectives in quantifiable terms. The appraisal method has worked to eliminate communication problems by the establishment of regular meetings, emphasizing results, and by being an ongoing process where new objectives have been

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established and old objectives had been modified as necessary in light of changed conditions. • Paired Comparison. - The term used to describe an appraisal method for ranking employees. First, the names of the employees to be evaluated have been placed on separate sheets in a predetermined order, so that each person has been compared with all other employees to be evaluated. The evaluator then checks the person he or she felt had been the better of the two on the criterion for each comparison. Typically the criterion has been the employees over all ability to do the present job. The number of times a person has been preferred is tallied, and the tally developed is an index of the number of preferences compared to the number being evaluated. • Ranking. - The term ranking has been used to describe an alternative method of performance appraisal where the supervisor has been asked to order his or her employees in terms of performance from highest to lowest.

Weighted Checklist. - The term used to describe a performance appraisal method where supervisors or personnel specialists familiar with the jobs being evaluated prepared a large list of descriptive statements about effective and ineffective behavior on jobs.

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4.1 Two Approaches to Performance Appraisal There have been two prevalent approaches to performance appraisal. The first approach has been the traditional approach This approach has also been known as the organizational or overall approach. The traditional approach has been primarily concerned with the overall organization and has been involved with past performance. The second approach to performance appraisal has been the developmental approach. This approach viewed the employees as individuals and has been forward looking through the use of goal setting.

4.1.1Traditional Performance Appraisal Purposes The purpose of performance appraisal has been fundamentally backward or historically oriented; past performance has been reviewed in the light of the results achieved. Performance appraisal for evaluation using the traditional approach has served the following purposes:

1. Promotion, separation, and transfer decisions 2. Feedback prior the employee regarding how the organization viewed the employee’s performance. 3. Evaluations of relative contributions made by individuals and entire departments in achieving higher level organization goals 4. Criteria for evaluating the effectiveness of selection and placement decisions, including the relevance of the information used in the decisions within the organization. 5. Reward decisions, including merit increases, promotions, and other rewards.

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6. Ascertaining and diagnosing training and development decisions. 7. Criteria for evaluating the success of training and development decisions. 8. Information upon which work-scheduling plans, budgeting, and human resources planning can be used two serious flaws in the traditional approach to performance appraisal were noted. The flaws were: • Organizational performance appraisal was primarily concerned with the past rather than being forward looking through the use of setting objectives or goals. • Performance appraisal has usually been tied to the employees salary review. Dealing with salary generally overwhelmed and blocked creative, meaningful, or comprehensive consideration of performance goals.

4.1.2 Developmental Performance Appraisal Purposes The developmental approach to performance appraisal has been related to employees as individuals. This approach has been concerned with the use of performance appraisal as a contributor to employee motivation, development, and human resources planning. The development approach contained all of the traditional overall organizational performance appraisal purposes and the following additional purposes.

1. Provided employees the opportunity to formally indicate the direction and level of the employee's ambition.

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2. Show organizational interest in employee development, which was cited to help the enterprise retain ambitious, capable employees instead of losing the employees to competitors 3. Provided a structure for communications between employees and management to help clarify expectations of the employee by management and the employee 4. Provide satisfaction and encouragement to the employee who has been trying to perform well.

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4.2. The Performance Appraisal Tool When used as a developmental tool, performance appraisal requires the addition of a development plan and required the appraisal be orientated toward the individual employee rather than the organization. The employee and manager must work together to negotiate goals that correspond to employee and organizational needs. When used developmentally, performance appraisal generally involved the following elements:

1. The employee and manager completed separate assessments 2. The manager and employee had a face-to-face discussion of the separate assessments, often with a third party (such as a personnel officer) present to mediate and offer an outside view 3. The employee must have had a chance to declare his or her interest in other jobs or training programs via self-nomination processes formally included in performance appraisal 4. An action plan or "contract" between the manager and employee about further steps to help develop the employee. 5. In large corporations, increasingly, collection of data about worker skills and career goals in a central information bank has been noted.

Alewine stated the performance appraisal objective has been to get employees to see themselves as they really are. The person being appraised should recognize the need to improve job performance and be committed to a plan for improved job performance.

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There must be a mutual agreement on a development plan for the coming appraisal period. The manager should remain alert to the employee's progress during the year as the development plan is being carried out.

•

The first goal of the appraisal process has been to get the employees to see themselves as they really are.

•

The second goal had been to get the employee to recognize the need to improve job performance.

•

The third and final goal had been to involve the employee in developing a plan for improving job performance and better career planning.

Also noted had been that if the employee's were involved in the performance appraisal from the beginning, informed of his or her progress (or lack of progress) all along, and given a stake in the process, then chances were better that the main object of the employees anger or frustration will not have been the employees supervisors or the organization, but themselves. The development aspect of performance appraisal would be one way for the employees to get involved in the appraisal.

4.3 Performance Management Process at TCS The Performance Management System is based on specific performance objectives, which are jointly determined by subordinates and their superiors and progress towards

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these objectives is periodically reviewed. Rewards are granted based on progress towards achieving these goals. Performance Management is a basket of tools and systems, which cater to aligning individual level performance to organizational goals. TCS performance management process makes use SPEED (System for performance evaluation and employee development) tool to capture goals, align them, conduct self appraisal, supervisor evaluation and of course review .TCS has a very robust Appraisal Process. It starts in the beginning of the year where in each associate has a target and goal set by the supervisors.

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The flowchart for the process of performance management at TCS is shown with the help of the following chart-: DATA VALIDATION

GOAL SETTING

BUYING OF GOALS

SELF-ASSESSMENT

APPRAISEE EVALUATION

REVEIWER EVALUATION

SHARING OF RATING WITH APPRAISEE

Fig 4.1: Performance Management Flow at TCS

The first and foremost step in Performance management System (PMS) at TCS is Data validation i.e. Appraise checks on ultimate who is his supervisor, reviewer and other information related to PMS.

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Then based on BSC (balance score card) goals for organization development as well as employee development under four heads i.e. financial, customer satisfaction, Internal Process and learning & growth are set by supervisor and appraise (employee) checks them. If it seems to be feasible and achievable employee buys those goals otherwise he can negotiate with his supervisor. Then Appraisee assess himself/herself on 10 attributes (Limitation Can’t be disclosed) related to Knowledge / Technical expertise required for the job, Result Orientation, Initiative / Personal drive , Communication , Team Skills, Customer Satisfaction ,

Quality Consciousness, Developing People etc. Each attribute carries different weight age. Then his supervisor(Appraiser) evaluate Appraisee on same 10 attributes then reviewer review and then finally based on some formula(Internal to TCS) final rating out of 5 for an appraisee is disclosed where in 1- poor , 2- Average (needs improvement), 3-Good , 4- Very Good , 5- Superstar, High performer. In case of any problem Appraise can ask for feedback. When same process is carried out for each and every employee then curve fitting is done. 4.3.1 The Balanced Scorecard (BSC) is a framework that focuses on shareholder, customer, internal and learning requirements of a business in order to create a system of linked objectives, measures, targets and projects which collectively describe the strategy of an organization and how that strategy can be achieved. In the process of creating a BSC, four perspectives – financial, customer, internal process and learning and growth – capture the roles, tasks and priorities of the various divisions and individuals.

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Three Steps in Building a Balanced Scorecard • Build a strategy map: The first output of a BSC project is a strategy map. It shows the top 15-20 objectives that the organization needs to focus on to deliver its strategy. Financial objectives are critical to the existence of all organizations. However, to deliver these financial outcomes, the organization must determine what customer needs have to be met, and what internal processes are critical for delivering their expectations. Finally, managers need to work out what the organization must learn in order to carry out the core processes efficiently and effectively. Even though the concept of the BSC is simple, it’s difficult to develop. This is because managers are used to thinking operationally and for the short-term rather than strategically. The development of a BSC usually reveals gaps in strategy. An illustrative strategy map would look like: • Create a BSC: The next step is to define the metrics needed to measure the success of a strategy. Both financial and non-financial measures are identified. Approximately 30-40 lead and lag measures are identified, and a significant effort is made to ensure that there are enough lead measures so that the BSC created allows the organization to actively manage the delivery of the strategy. Owners are identified within the management team so that there is collective ownership and responsibility in delivering the strategy. Actual performance is computed, and the targets for delivering the strategies are set. Care is taken to set breakthrough and stretch targets in select areas where benefits could be significant, balancing it out with more realistic targets for other objectives.

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Lastly, internal projects that tend to often lose sight of what business objectives they need to achieve are identified, prioritized and aligned to the business objectives they will help deliver. BSCs are created at the corporate/ group level but many organizations that want to ensure that the corporate strategy is detailed at the operational level will build cascaded scorecards for all business units, and some or all support functions. • Use the BSC: Once a scorecard is designed, it takes about 60-90 days to take it ‘live’. Actual and targets need to be set and internal Balanced Scorecard coordinators need to get organized for monthly reporting of the scorecards. The BSC is then used actively in the monthly management committee / operational committee meetings to find solutions and improve performance in areas where the BSC identifies where business targets are not being met. In some cases, scorecard automation software is purchased to improve the ease and quality of reporting, but in many cases, for the initial period, companies use simple excel formats. Abbreviated versions can also be created for quarterly reports to the board of directors, and key themes can be identified for communication across the organization. The BSC should be reviewed yearly, in the third quarter of the financial year.

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4.3.2 Balanced Scorecard at TCS TCS conducts two appraisals: one at the end of the year and another at the end of a project. Appraisals are based on Balanced Scorecard, which tracks the achievement of employees on the basis of targets at four levels — financial, customer, internal, and learning and growth. The financial perspective quantifies the employee’s contribution in terms of revenue growth, cost reduction, improved asset utilization and so on; the customer perspective looks at the differentiating value proposition offered by the employee; “internal” refers to the employee’s contribution in creating and sustaining value; “learning and growth” are self-explanatory. The weightage given to each attribute is based on the function the employee performs. Based on their individual achievements, employees are rated on a scale of one to five (five = “superstar”). If employees get a low rating (less than two) in two consecutive appraisals, the warning flags go up. “If the poor performer continues getting low scores then the exit option may be considered,” Over the years TCS has found the pattern that leads to the maximum decline in performance — boredom. If employees work for more than two years on the same project, typically either their performance dips or they leave the organization. To avoid that, TCS shuffles its employees between projects every 18 months or so. “Performance drops if motivation drops,”

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4.3.3 Advantages of Balanced Scorecards The Balanced Scorecard will benefit your organization in more ways than one. First and foremost, it will make the Vision and Mission of your organization operational. The BSC then has a dual role to play in helping your organization. • As a Strategy Management / Implementation Tool it will help your organization in validation / enhancement of Strategy and Business Plan and help evolve clear consensus on the same. It will also allow articulation and communication of the Vision and Mission into key strategic objectives and creation of Strategy Maps at Corporate and Departmental levels, thereby aligning the entire organization to the strategy. This ensures clarity and transparency in understanding and realization of implications of the Vision on the key operating and support departments. • Experience has shown that this will ensure that your organization remains a Customer Focused Organization, which is so very important especially in today’s competitive world. It has also helped organizations in identification of new customer segments and articulation of their expectations, as a part of their customer service strategy. This helped in prioritization and alignment of all strategic action plans that would help implement the strategy and made Strategic Planning a continual process. • As a Performance Management Tool it will help organization remain pro-active by ensuring an adequate balance between “lead” and “lag” measures (Performance Drivers vis-à-vis Outcome Measures). Adopting a BSC framework also ensures that the senior management no longer works in their own functional “silos” thereby giving a “macro” perspective to them. BSC also provides clear

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linkage and alignment of individual performance with enterprise performance and provides flexibility in Key Result Areas (KRAs) depending on the business needs of the organization. Most importantly, it helps deliver financial measures by managing non-financial measures. 4.4 Problems with Appraisal Four persistent problems were also identified.

•

One concerned how to arrive at a single overall performance appraisal, often needed for compensation decisions, based on a series of individual ratings and/or narrative statements.

•

A second had been how to managers to follow a strictly merit philosophy, rather than giving approximately the same percentage increases to everyone.

•

A third concerned how to get greater employee involvement in the appraisal process, so that the appraisal process will become more of a joint problem-solving discussion and less of a "tell and sell" session.

•

The final problem had been how to reconcile the developmental and administrative requirements of an appraisal system, since an approach that satisfied one was often found to be unsuitable for the other.

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4.5. Some Key Steps That Can Take Toward Achieving Effective Performance Appraisals--ones that can be used to validate the selection process as well as to make decisions about pay or promotions: (1) Select what performance data to collect (2) Determine who conducts the appraisal (3) Decide on a rating philosophy (4) Overcome rating deficiencies (5) Create a rating instrument (6) Deliver useful information to employees (1) Select What Performance Data to Collect One way to classify on-the-job worker behavior is by considering the three "P’s"--productivity (what was done), personal traits (how it was done, conduct) and proficiency (skill). Productivity can be measured in terms of specific performance accomplishments. Personal traits such as motivation, willingness to take criticism, cooperation, initiative, dependability, and appearance (dress and grooming) may be considered. Personal trait ratings are useful, even though they sometimes say more about how supervisors get along with an employee than how well the employee performs on the job. When personal traits are considered as part of a performance appraisal, specific characteristics should be related to the job. Often, a personal trait issue can be translated into an achievement. Instead of talking about worker dependability (personal trait), for instance, one may want to address how well an employee reports on assignment completions (productivity). 56

Proficiency—skill, knowledge, and ability—plays an important role in worker performance. When appraisals address worker proficiency factors (e.g., AI skills for a herdsman), they help assure worker interest in overcoming deficiencies that may be blocking future performance or growth

(2) Determine Who Conducts the Appraisal Input into the appraisal of worker performance may come from many sources including the employee, co-workers, supervisors, subordinates, or even persons outside the organization. Ratings from multiple sources usually yield more reliable performance appraisals. Employee Usually, but not always, the employee has a good understanding of his daily performance and how it can be improved. Employees can be the most important persons in the evaluation process; Nevertheless, employees have a vested interest in making positive comments about their own performance, and no matter how motivated they are, can usually benefit from outside evaluation.

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Co-workers At times co-workers have a better grasp for a colleague’s performance than the supervisor, but co-worker evaluations have a tendency to be lenient. Sometimes coworkers hope management will read between the lines and praise irrelevant or insignificant factors. At times a co-worker may be particularly hard on a disliked worker. Peer review is usually anonymous and several peers are involved in the evaluation. This anonymity, while often needed, can also lend itself to abuses. Supervisor Performance appraisal data obtained from the immediate supervisor is the most common rating source. Supervisors are often in the best position to give workers an honest evaluation. The danger in supervisory evaluations is the substantial amount of power and influence wielded, often by the hand of a single rater. Subordinate Formal evaluation by subordinates is unusual, although from time to time subordinates may be asked for input into the evaluation of their supervisor. When subordinates have an input into their supervisor’s evaluation, supervisors have been known to improve their interpersonal relations and reduce management by intimidation. Issues of anonymity and adequate sampling of subordinates may be important in traditional appraisals. Outside the organization Evaluations by outside clientele may be useful in instances when there is much personal contact with outsiders or when the person being evaluated knows more about aspects of the job than the farmer or supervisor.

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(3) Decide On a Rating Philosophy Performance appraisal data can also be classified according to whether employees are compared against others or are rated against a standard. Comparison against others. Normally, when comparing employees against each other, a few employees end up at the top and a few at the bottom in what is known as a normal distribution curve (also known as "grading by the curve," see Figure1). The majority end up somewhere in the middle. Where the employee is ranked depends on how a person performs in comparison to others. The principal advantage of the comparison method is preventing raters from placing all employees in one category (for example, all superior). Two disadvantages—especially when very few workers are involved—include assuming (1) employees fall in a normal distribution (there may be four excellent performers in a group of five, or none in a group of three), and (2) there are similar differences in performance between two adjacent employees, for instance, between those ranked 1 and 2 and those ranked 4 and 5. Figure. "Grading by the curve" (normal distribution bell curve). Increasing % of workers in category

Poor ......Average...... Superior

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Worker Performance Rating against a standard permits a supervisor to classify employee performance independently from that of other employees. Both supervisor and employee have a reference point for accurately looking at an employee’s long-term performance growth. Ratings against a standard do not preclude comparisons. While employees may typically compare themselves to others, there is little to be gained by having the organization promote such comparisons. They are likely to create envy, vanity and dysfunctional competition. In a healthy organization, one employee’s success need not mean another’s failure. If all can succeed, much the better.

(4) Overcome Rating Deficiencies Supervisory evaluations often suffer from numerous rating deficiencies:
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One particularly good or poor trait may contaminate other performance areas considered in the evaluation.

•

Once a worker is classified as a poor performer, it may take a long time for a supervisor to notice the worker has improved.

•

Supervisors tend to remember events more recent to the evaluation. Workers, realizing this, may strive to improve performance as time for appraisals near.

Supervisors may tend to rate workers as average, especially when rating forms require a written justification for a high or low rating. Others may tend toward being either overly

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strict or lenient. Lenient raters may later appear to contradict themselves (e.g., when a worker is disciplined or does not get a raise.
•

Raters may also be influenced by an employee’s personal attributes such as national origin, level of education, union membership, philosophy, age, race, gender, or even attractiveness.

(5) Create a Rating Instrument You can choose from several data collection and evaluation techniques, or rating scales. Whatever instrument is used, it should provide meaningful information to both employees and management. There are a number of ways of classifying performance appraisal instruments. Data can be presented in terms of critical incidents, narratives, or predetermined anchors. A combination of approaches is often necessary to end up with a useful performance appraisal. Appraisal instruments require substantial rater training if results are to be meaningful.

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(6) Deliver Useful Information to Employees This brings us back to sharing information with the employee (Negotiated Performance Appraisal). Evaluations work best when workers know the evaluation criteria in advance. Such areas of evaluation can form the basis for an intelligent conversation about performance between supervisor and employee. In one farm operation a manager was able to not only discuss a foreman's performance within his present job, but also the types of skills that were needed if the foreman was interested in a potential promotion to assistant manager. Despite the importance of formal appraisals, an effective manager does not wait for formal performance appraisal interviews to communicate with employees. Sharing information about performance should be done frequently and in a positive manner. There should not be too many surprises for the employee when both discuss the evaluation. The negotiated performance appraisal, to a great extent, accomplishes the task of removing possible surprises at a much deeper level, as it encourages candid conversation between the individual being appraised and the supervisor. Regardless of the approach taken, it helps to involve the worker in making plans and taking responsibility for improvement. Allowing the worker to take a major role in the performance appraisal interview does not guarantee the interview will be fun, but it can do much to reduce its unpleasantness.

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5. METHODOLOGY

For doing any Research work, a well planned out Research design is devised so as to facilitate the research work. It owes both time and resources.

5.1 Subject of the Research
The subject undertaken for the study is “An Empirical Study of Recruitment and Performance Appraisal System at TCS”

5.2 Research Methodology
It was intended to carry out an exploratory study of the current practices in the field of Performance management System in the selected Companies.

Firstly a literature review was undertaken to understand various steps of appraisal process.

Secondly the working of company was observed, current system was understood and also the help of Branch HR and HR Executives was taken to understand their appraisal system within the framework of purposed study.

The following parameters were considered while pursuing the project. • • Period of performance Appraisal Methods Followed 63

• • •

Grading System Attributes Undertaken to appraise an employee Link to reward system.

Lastly a questionnaire was prepared to gather employee views regarding performance appraisal system, existing in TCS. Particularly aim was to measure the satisfaction level of employees with the system.

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5.3 Purpose of Research
Since Performance Appraisal is a budding Concept, purpose of the study was to find out the extent to which concept has taken its roots in the organization. The attempt is to understand the problem faced by executives and the reasons for their reluctance, if any in the adaptation of the concept. The ultimate attempt however is to find viable solutions and to recommend ways for making the system a grand success in the organization.

5.4 Objective of the study
To learn the HR processes of the organization. • • To study the recruitment policy’s and procedures. To learn the ability to select a recruitment model that will improve the quality of the present and future workforce of the organization. • • • • To know about the learning and development of the organization. To learn about the process of competency mapping and up gradation of competency To learn the framework around how to achieve recruitment objectives To Study and analyze the Performance Appraisal process of TCS.

5.5 Place of Research
TCS, Lucknow

5.6 Sampling
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Research work if conducted on the entire population under study becomes too difficult to conduct. It requires a very long time period and large resources. This sampling is done so that a chosen number of people in the organization would represent the entire population.

Quota sampling is done on the basis of Designations in TCS. 35% ITA (Information Technology Analyst) 15% ASE-T (Assistant system Engineer-Trainee) 50% ASE (Assistant system Engineer)

Sample Size 50

Sources of Data Collection • • Primary data-Questionnaire is used to collect first in-hand data Secondary data- Journals, Internet, Brochures, Magazines.

Review of Early Literature The literature available form the department helped a lot to give an insight into the subject.

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7. RECOMMENDATIONS

•

Findings mostly stressed on one major point that is lack of awareness among employees regarding various HR Processes (Performance management- some employees don’t know on which parameters their performance is judged, which technique is used in performance management system) that’s why there is a need of counseling, some sessions should be taken by HR-executives to make employees aware so that all their queries can be resolved and they also feel comfortable.

•

Firm can make use of latest techniques like 360 degree, MBO (management by objective) so that subordinates also get chance to appraise their supervisors.

Project end approvals should be followed up regularly to attain perfection in every execution. Incase there is any negligence, the organization can rectify as early as possible, else it might be pretty costly to TCS.

•

Goals should be flexible as in 6 months duration they might change. In this competitive era, it has become a necessity for any organization to be active and dynamic to cope up with the competitors. Hence goals should be so dynamic that alterations can be made as and when required.

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•

There should be workflow tracking of feedback sessions also. Feedback sessions generally tend to reveal more and more ideas and openings not on about the plans but also regarding the procedures being followed. When a mistake is detected, immediately remedial steps are taken, with minimum loss to the company.

•

360-degree feedback should be incorporated at every possible step. It will be highly beneficial to the organization as biasness can be avoided. Further, the details about the employee’s performance, cooperation, leadership capabilities etc. can be well mapped and again necessary changes can be made as and when required.

•

Employees should be made aware about the factors considered for their performance appraisal at the time of their joining so that they can put their best foot forward.

•

Also the research proves that there is no proper system of feedback to the employees after their appraisal. A proper system of individual feedback giving process needs to be established.

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•

The feedback should point out the strengths and weakness of the employees. Also proper training and counseling needs to be organized so that the employees can overcome their weakness.

•

The best solution that I would suggest to handle the above mentioned problems is to create a performance management website that would be accessible to all employees of TCS. To maintain secrecy, individual employees will be given password for having access to the site. All the policies of the organization relating to career development, training, performance appraisal, promotions, and transfers will be uploaded on the site. Individual employees can also have access to their ratings, feedback and other information relating to their appraisal on the site by entering their password. Also there should be proper checks and filters to minimize the biases in the appraisal of an employee by his/her superior.

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8. CONCLUSIONS
TATA CONSULTANCY SERVICES LTD (TCSL) is one of the leading software companies of India. At TCS Lucknow which may sound to be a small branch but has accommodated more than 360 associates of which some are offshore onsite. Managing such a woofing number is a challenging task for TCS HR Lucknow. Giving a bird eye to the various HR process and policies all I can conclude that each and every process is to be more well defined with a back up plan and should be meticulously updated from time to time referring to the needs of the organization, the changing trends and most importantly the needs of the associates because they are the foundation of such a big empire. One of the most important points that I would highlight in my report that, it is only at TCS that the attrition rate is yet the lowest due to the brand name in the industry.Thus the HR department has a wide scope to develop binding among the employee. It is still good to find that, HR team is on their toes to get the best talent. The method of recruitment for categories like fresher and lateral recruits is chosen on the following basis-:

• • •

Effectiveness of the method Cost involved in the method Employment condition of the organization

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Requirements of the organization

TCS uses a well-balanced technique for recruitment. The learning community at TCS is one of the leading in the industry. Starting from the beginning with the ILP program and the continuous programs which keep on happening keeps the associates profile updated. Trainings are an ongoing process at TCS, whose intensity could be measured by the fact that TCS Lucknow has few training rooms specifically for the purpose. The branch learning group at TCS works round the clock organizing training sessions both technical as well as generic managerial. Key objectives of performance appraisals include: • • • validating selection and other management or cultural practices helping employees understand and take responsibility for their performance Making decisions about pay or promotions.

Important steps to obtaining useful traditional appraisals include: • Determining the type of data to be collected as well as who will conduct the appraisal. • • • • Establishing a rating philosophy. Overcoming typical rating deficiencies. Creating a rating instrument. Engaging the employee in making decisions on future performance changes. 72

An

effective

negotiated

performance

appraisal

helps

the

employee

take

additional ownership for both continuing effective performance and improving weak areas. Employee goals set through performance appraisals should be difficult but achievable, as goals that are overly ambitious are doomed for failure. Some employees tend to boycott their own progress by setting impossible goals to achieve. Finally, employees want to know what you think of their work. Letting workers know that you have noticed their efforts goes a long way towards having a more motivated workforce.

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