Satyam Performance Management Program

Background
It has been decided to initiate the process of performance management in
April 2016 at the end of the fiscal year 2015-16 ending. The focus in this
years process is to improve the evaluation efficacy and timely closure of
the appraisal process.
Current Status
1. KRAs based on the business initiatives identified have been set for
the senior leadership team members and other officials till the level
of AM and above.
2. Appraisal forms for the AM & above level and separate forms for
supervisors.(revised formats attached)
3. The historical background of the process followed to appraise people
and increments given in last few years.
4. Experiences of the limitations faced last year and the delays in
awarding increments are available for reference.
5. A new initiative taken last year to train AM & above on KRAs process
and training conducted on the same.
Appraisals for 2015-16
A. Planning for the appraisals
1. The schedule of the appraisals and the process to be
communicated to all employees.
a. Schedule for the appraisal process to be frozen by Satyam
HR and communicated
b. Communication Draft (attached )
2. Self appraisal forms to be circulated to all with all relevant details
about the employee filled in to be done by Corp / Unit HR at
locations
3. The self appraisal forms duly filled in by the individual which is an
evaluation against KRAs and behavioural attributes to be
submitted to the reporting manager as per the schedule.
4. The appraisers undergo a training program to orient them on the
appraisal process, understand the evaluation concept, relevance
of rating scale and bell curve, evaluation of behavioural traits and
arrive at the final rating through a process of normalisation /
moderation.
5. MDG each appraiser will present his appraisal cases to a
Management development Group or MDG. The purpose of the
MDG is to ensure standardised evaluations across all departments
thus making the appraisal a fair and objective process.
a. Members of the MDG
i. MDG at locations will have the Appraiser / Corp HR /
Unit HR / HOD or reviewer and Plant Head
ii. MDG Corp Appraiser Corp HR / HOD or reviewer

b. Case presentation
i. The appraisers make their observations, capture the
comments, fill in the appraisal forms and be ready for
discussions with the reviewer in the management
development group (MDG) meeting on location
specific date.
ii. The self appraisal and the supervisor assessment is
presented by the appraiser in MDG being attended by
the reviewer, HR head of the unit and representative
from corporate HR.
iii. The initial rating is arrived in the MDG for each
appraisee and rationalisation of the ratings is also
ensured.
c. Rating Finalisation
i. Corporate Moderation - initial ratings closed at
location MDGs will finally be moderated at the
Corporate Moderation exercise and ratings finalised.
No communication on ratings to be done prior to
Corporate Moderation exercise.
ii. Moderation Curve to be finalised in discussion with
Satyam (Proposed ( 5-5%, 4-10%, 3 -70%, 2-10%, 15% )

6. Rating Communication - The final ratings arrived at the corporate

moderation will be communicated to the appraisee and will form
the basis for the increment decision
7. Role of HR
a. Ensure completeness of appraisal forms
b. Compile the data in enclosed appraisal summary sheet
c. Ensure compliance with agreed norms ( 5-5%, 4-40%, 3 -40%, 210%, 1-5% )

8. Role of Functional Head

a. Presentation of the appraisal summary sheet / appraisal forms to
the group ( Justification of rating given )

b. Key responsibilities, Significant contribution, Rating given, Area of

improvement, Any recommendation for role change /
development areas / promotion.
c. HODs / Appraisers to be well prepared with the reasons and data
in support of the recommendations being made.
9. Role of Plant Head / Group President HR
a. Approve / Moderate recommendation of appraisal rating

10. Schedule for the MDG discussion to be finalized and communicated by

Corp HR

Simultaneous Activities to Carried out by Corp HR

1. A salary survey is done with the help of an external agency to
arrive at comparable industry compensation practices and
benchmark Satyam compensation levels.
2. Prepare the recommendation for the compensation increases,
3. Identify salary rationalisation cases

4. Finalise the promotion policy (Draft to be shared and finalized with

Satyam HR)

Important aspects for Coaching exercise

1. Sample Appraisal form to be prepared and used as a model to
explain the concept of KRAs/KPIs, weightages and targets etc
2. Significance of rating scale to be explained with description of each
rating,
3. Explanation of behavioural Traits and their significance in evaluating
performance and potential assessment to be established.
4. Promotion policy and the criteria for promotion
5. Contents of the training program to be discussed by Vinit Taneja