Performance Management System Roll out 2009

1. Performance Management System Roll out 2009

2. Agenda • Vision / Mission of PHL • eVolve – Performance Management System in PHL • Performance Evaluation • Calculate Final Scores • KRA Setting through eVolve • KRA Setting • Form Selection • Mid Year Review • E-Mail Communication • FAQs

3. Our Vision To become the most admired pharmaceutical company in India with leadership in market share, research and profits by: • Building distinctive sales and marketing capabilities • Evolving from licensing to global launch of own patented products • Inculcating a high performance culture • Being the partner of choice Always adhering to ‘our values’ based on our obligations as trustees of customers, appraisees, shareholders and society • We shall pursue world-class standards in our People, Products, Processes, Partnerships and Performance Encouraging Innovation and Nurturing Intellectual Capital We seek quantum growth to lead in the domestic market and enhance our international presence

4. Agenda • Vision / Mission of PHL • eVolve – Performance Management System in PHL • Performance Evaluation • Calculate Final Scores • KRA Setting through eVolve • Form Selection • KRA Setting • Mid Year Review • E-Mail Communication • FAQs

5. Performance Management Flow Chart

6. e-Performance Management System eVolve will be instrumental in: • Making our PMS more efficient and transparent. • Effectively streamlining measurable achievements & recognition • Minimizing human intervention. eVolve - not just goal setting It’s about gaining deep KNOWLEDGE of our talent base so that our ACTION, enables us to take CARE of our performing assets.

7. For who all? Eligibility: • All employees who have joined on or before 30th September, 2008 • Employees who have joined on or after 1st October, 2008 will be appraised from a performance and development perspective & would be eligible for flat increment. • Employees who have joined on or after 1st January, 2009 will not be appraised and given any increments (however, their regular performance review would take place – for confirmation, etc) • Employees who have resigned and are serving notice period will not be eligible for any assessment and salary increment

8. Agenda • Vision / Mission of PHL • eVolve – Performance Management System in PHL • Performance Evaluation • Calculate Final Scores • KRA Setting through eVolve • Form Selection • KRA Setting • Mid Year Review • E-Mail Communication • FAQs

9. Performance Evaluation

10. Performance Appraisal A structured formal interaction between a appraisee and appraiser (manager), during which performance of the appraisee is reviewed and discussed, with a view to identify strengths and areas for improvement (opportunities for overall development – of the appraisee and in turn organization)

11. Why do Performance evaluations? • Help achieve Organizational goals and mission • Clearly communicate expectations • Document performance issues & achievements. • Communicate feedback • Recognize accomplishments and reward performance • Development of action plan for performance improvement

12. The Performance Evaluation Process

13. Pre-meeting activities for appraiser • Involve the appraisee • Agree on a time and place well in advance • Ask the appraisee to prepare their ideas and objectives in writing • Ask for a self-evaluation • Gather data • Job description • Past feedback & performance data • Training records

14. Conducting the Appraisal Meeting by the appraiser Be prepared Determine discussion direction Anticipate objectives Gather supportive documentation 2) Communicate Effectively Avoid communication roadblocks – Vague, demeaning or derogatory language, poor listening skills, strong emotions, one-way conversation Be clear and concise, be honest, not harsh, be an active listener

15. 3) Set the right tone Establish a supportive environment Private location – Maintain confidentiality Quiet and undisturbed – Eliminate distractions Level playing field – Avoid playing superior Timing – Choose a quiet time, do not take phone calls Demonstrate Respect Timeliness – Conduct reviews by due date Appointments – Don’t act like the appraisee’s time is less valuable Advance notice – Allow the appraisee to be prepared Icebreaker – Start on a friendly and relaxed note Have an enabling mindset Tone – Professional and supportive Focus – Future goals and objectives Open-minded – Seek explanations Emotions – Calm and centered Conducting the Appraisal Meeting (contd.)

16. Common Mistakes in Appraisal Manager is ill-prepared with facts & figures. Appraisee is not given adequate notice Discussion is rushed or interrupted Appraisee is not given the opportunity to share views Manager’s tone is punitive or condescending

17. Appraisee’s Responsibilities • Conduct a thorough self evaluation • Provide input to supervisor in the development of individual goals that contribute to departmental goals and the Organizational Mission • Discuss concerns and/or questions about any part of the job or performance review with supervisor • Identify and participate in training and development discussions

18. Calculate Final Scores

19. Agenda • Vision / Mission of PHL • eVolve – Performance Management System in PHL • Performance Evaluation • Calculate Final Scores • KRA Setting through eVolve • Form Selection • KRA Setting • Mid Year Review • E-Mail Communication • FAQs

20. Part A–Performance Evaluation for the Yr (To be filled by appraiser & appraisee) Kindly evaluate on the basis of the scale given below- 101% & above 86-100% 71-85% Below 70%   ( 4 ) ( 3 ) ( 2 ) ( 1 ) So your KRA Score is 2. 5  With 90% Weightage FINAL KRA = 90%*2.5 = 2.25

21. Part C – Critical Attributes (To be filled by appraisee & appraiser) Therefore your average score is 17/6 = 2.83 Thus at 10% weightage Final Critical Attribute Score=2.83*10%=0.28

22. How do you calculate the final score Therefore the final Score will be KRA 90% = 2.25 +Critical Attribute 10% = 0.28 --------- 2.53 --------- Please maintain 2 decimal points in KRA & Critical Attributes Scoring

23. Agenda • Vision / Mission of PHL • eVolve – Performance Management System in PHL • Performance Evaluation • Calculate Final Scores • KRA Setting through eVolve • KRA Setting • Form Selection • Mid Year Review • E-Mail Communication • FAQs

24. KRA Setting

25. Why set KRA? KRA are set to: • To help attain organizational goals • Get Results • Improve Performance • Develop Skills, Ability and Knowledge • Provide a Challenge and Sense of Achievement

26. KRA Alignment Mission/Vision PHL Strategy PHL Goals Business Goals Functional Goals Individual KRA Objectives/Goals Performance Measures Action Plan

27. Organizational Improve levels of customer Service Specify aspects of customer service for which function is responsible and overall improvement targets Departmental Specify team targets within the functional areas of customer service and the improvement targets for the function Team Specify individual targets for contributing to the achievement of team targets Individual KRA-Setting Integration of objectives& Two-way process of agreeing objectives .

28. SMART Objectives S - Specific M - Measurable A - Achievable & Agreed R - Realistic & Relevant T - Time bound

29. SMART KRA Setting

30. Go to: www.myphl.in

31. Log on to the appraisee website : www.myphl.in • Select eVolve from the H.R. Section • The eVolve homepage will open. • First time users will log on to the site: • User id: < Employee Code > e.g.. 706620 • Common password: < welcome > • The system will ask you to change your password. This will be your personal password. Change and Remember your password for all further processes which will happen through eVolve.

32. Log into the e-PMS system • For First Time Users: • User id: <appraisee Number> • Password: welcome • For Existing Users: • User id: <appraisee Number> • Password: < New Password>

33. Change Password(Only for first time user) Old Password i.e. welcome New Password Please Note: This screen will appear for only those users who have logged in the system for the first time.

34. Agenda • Vision / Mission of PHL • eVolve – Performance Management System in PHL • Performance Evaluation • Calculate Final Scores • KRA Setting through eVolve • KRA Setting • Form Selection • Mid Year Review • E-Mail Communication • FAQs

35. Form Selection

36. After registering and logging on the system, the opening page of eVolve will be displayed. • Click on My Inbox, placed on the top right corner of the page and select Form Selection. • It will happen in 2 Steps: • Step (a): Selecting the appraiser/reviewer, appraisal form and the period of appraisal applicable to you. • Step (b): Do the Goal Setting.

37. Form Selection Register your Appraisal Details

38. Select the appraiser/reviewer, appraisal form and the period of appraisal applicable to you. • Do the Goal Setting. • Select the Business and the Appraisal form applicable to you from the drop-down box. e.g. Pharma Solutions / Corporate / Band I / Band II /Secretarial Support • Select the name of your appraiser, reviewer and HR manager, from the search window. Please confirm the names before you select them. • Select the VALID Appraisal period. e.g. From: 01.04.2009 To 31.03.2010

39. Select your appraisal form

40. Select valid appraisal period

41. Form Selection complete Please Note: Form Selection screen will get non editable once the form selection is complete. Please reconfirm all the information before you save them.

42. Select the appraiser/reviewer, appraisal form and the period of appraisal applicable to you. • Do the Goal Setting. • Click on MY INBOX and select Goal Setting. Part A of KRA form will appear on the screen. • Select Part A of the form • Set your KRAs / Goals / Objectives for the appraisal period. • Save the form as Save as Draft when you are working on it, and not finalized your goals. Unless you save the form as draft, all the data fed in the form will be lost, once you log out of eVolve. • To Submit the form, click on the Send to Appraiser.

43. KRA Setting Setting KRA & Target/Weightage

44. Appraisal forms

45. PART E not to be filled by appraisee Only to be filled by the Appraiser

46. KRA Form Recruitment Closing the vacancy in minimum ti Closed position in less than 90 days 30

47. Fill your KRAs Please Note: To add new KRAs, new rows can be added to the existing form.

48. Check sum of weightages Please Note: The weightages will differ depending on the Band and the Division

49. Save as draft OR Submit for Approval Please Note: Form will not get submitted till all the required columns/rows are filled.

50. Final KRA submission