PMS IN DENA BANK

BY
MOHIT YADAV
ROLL NO 22
MHROD
 HISTORY OF DENA BANK

D E N A B A N K   W A S   F O U N D ED O N 26 T H
M A Y , 1 9 3 8   B Y T H E F A M I L Y O F   D EV KA RA N
N A N J E E   U N D E R T H E N A M E   D EV KA R A N
N A N J E E B A N KI N G C O M P A N Y L T D .
I T BE C A M E A P U BL I C L T D . C O M P A N Y I N
D E C EM B E R 1 9 3 9 A N D L A T E R T H E N A M E
W A S C H A N G ED T O   D E N A BA N K L T D .
 Mission & Vision


Mission

DENA BANK will provide its

  Customers - premier financial services of great value,  
  Staff - positive work environment and opportunity for 
  growth and achievement,
  Shareholders - superior financial returns,
  Community - economic growth

Vision
  DENA BANK will emerge as the
  most preferred Bank of customer choice
  in its area of operations, by its
  reputation and performance
 SERVICES

Core banking solutions

Delivery Channels
Verified by Visa Services
Dena Alert Services
Dena ATM Services
Dena IndiaRemit
Dena BillPay
Inbound Remittances
Direct Tax Collection
Bancassurance
Indirect Tax
Dena e-Tax Pay
Distribution of Mutual Funds
Demat Services
 Performance Management System(PMS)

Performance appraisal is the process of obtaining,

analyzing and recording information about the
relative worth of an employee. The focus of the
performance appraisal is measuring and improving
the actual performance of the employee and also the
future potential of the employee. Its aim is to
measure what an employee does.
 Purpose of Performance Appraisal

 To review the performance of the employees over a

given period of time.
 To judge the gap between the actual and the desired
performance.
 To help the management in exercising
organizational control.
 To diagnose the training and development needs of
the future
Challenges of Performance Appraisal

Determining the evaluation criteria

Create a Rating instruments
Errors in Rating and Evaluation
 Resistance
 Lack of competence
 Pre-requisites for Effective &
Successful Performance Appraisal
 Documentation
Standards / Goals
Practical and simple format
 Evaluation technique
Communication
 Feedback
Personal Bias
 Methods of Performance Appraisal

Traditional method Modern method

Confidential method Assessment centre
Graphics scales Human resource accounting
Straight ranking Behaviorally anchored rating scales
Paired comparison Management by objectives
Grading system 360 degree performance appraisal
Forced distribution
Check list method
Critical incident method
Free essay method
Field review
Nominations
Work sample tests
 MANAGEMENT BY OBJECTIVES

The concept of ‘Management by Objectives’ (MBO)

was first given by Peter Drucker in 1954. It can be
defined as a process whereby the employees and the
superiors come together to identify common goals
The essence of MBO is participative goal setting,
choosing course of actions and decision making
BEHAVIORALLY ANCHORED RATING
SCALES
 combines the graphic rating scale and critical incidents
method
 an employee’s actual job behavior is judged against the desired
behavior by recording and comparing the behavior with BARS
HUMAN RESOURCE ACCOUNTING
METHOD
 . Human resource accounting method tries to find the relative
worth of these assets in the terms of money
ASSESSMENT CENTRES
 The trained evaluators observe and evaluate employees as they
perform the assigned jobs and are evaluated on job related
characteristics.
 PMS IN DENA BANK

Its an Annual Process , done once a year

Done for officer level and above employees
Reporting Authority should be minimum one Scale
higher than the Appraisee
Reviewing Authority should be minimum one Scale
higher than the Reporting Authority
 
Maximum marks – 100
Marks assigned to Key Responsibility Areas – 50marks
Outstanding Performance 10 marks
 2 marks for each Achievements
Self Appraisal includes Questions like
 Highlights of my performance during the

 Areas in which I feel I have not done well

 What according to me would enable me to perform better

 Any outstanding performance outside the Bank

 Contribution in implementation of Official Language Policy, i.e.,

Hindi
Managerial Dimensions 40 marks
Job Knowledge 5 marks
Leadership 5 marks
Decision Making 5 marks
Administrative Skills 5 marks
Public relation and marketing 5 marks
Willingness to assume 5 marks
responsibilities
Communication Skills 5 marks
Responsiveness to Corporate 5 marks
concerns
 Max marks By Appraiser By Reviewing
Authority
KEY 50
RESPONSIBILITY
AREAS
MANAGERIAL 40
DIMENSIONS
OUTSTANDING 10
PERFORMANCE
TOTAL MARKS 100

FINAL RATING

OUTSTANDING (80 - 100)

GOOD (60 - 79)

AVERAGE (40 - 59)

BELOW AVERAGE (BELOW 40)

 PMS Questionnaire

Included 20 objective Questions

 Every question carries marks from -12 to +12

Level wise score Effectiveness

Between -12 & -6 Poor
Between -6 & 0 Less Effective
Between 0 & 6 Good
Between 6 & 12 Very Good
 Differentiation of respondents

In total there were 20 respondents , all from

Regional Office of Dena Bank ,Delhi

scale Designation number

L1 Officer 8

L2 Manager 6

L3 Sr Manger 4

L4 Chief manager 2
 Results of Questionnaire

Training needs identification

Training need identification

8

7 7.5
7.2
6

5
5.25
4 Training need identification

3
3
2

0
1 2 3 4
 EFFECTIVENESS OF THE ePMS

12 ePMS Effectiveness
10
9.6
8

66.75 ePMS Effectiveness

2 3

0
1 2 3 0
4
 Problem of Biasness

Biasness
0
1 2 3 4
-1

-2
-2.25
-3 Biasness
-4 -3.6
-5

-6

-7
-7.12
-8 -7.5
 Performance planning

Appraiser and Appraise Organisation & Employees

8
9
7 7.5

8
6
7.8
7
5 5.25 7.12

4 6
Appraiser and Appraise
Organisation &
3 5 Employees

2 4 4.5

1 3
3
0.75
0 2
1 2 3 4
-1 1

-2 -1.5 0
1 2 3 4
 Communication between Appraiser and
Appraisee

communication
2.5
2
2
1.5
1
communication
0.5
0
1 2 0
3 4
-0.5
-1
-1.5 -1.2
-1.5
-2
 TRANSPARENCY

Transparency
3

2.5
2.45
2
Transparency
1.5

1.34
1 1.2
1
0.5

0
1 2 3 4
 After Appraisal

After Appraisal
6

4 3.6
3.6
2 3

0 feedback
1 2 3 4 Reward
-2
-3
-4

-6-5.25
-6 -6

-8

-10 -9
 Appraiser Training

Appraiser's training
0
1 2 3 4
-1
-1.2
-2

-3 Appraiser's training
-4

-5 -4.7
-6
-6
-7

-8-7.5
 Individual Employee’s Commitment

Individual Employee's Commitment

6

4 4.5 4.7

3 Individual Employee's Commitment

2
2
1

0
1 2 3 4
-1
-1.13
-2
 Overall Effectiveness

overall effectiveness
4

3
3
2 2.4

1 overall effectiveness

0
1 2 3 4
-1

-2
-2
-3
-3
-4
 Recommendations and Suggestions

In most of the responses 360 Degree Feedback implementation is strongly

recommended to avoid the problem of biasness.
The process should be more on the quarterly basis which they think that will
bring more relevance of the PMS in the Dena Bank. Quarterly system is
thought to be more effective than the yearly which is said to formality.
Free and frank communication between the appraiser and appraise also there
should be a mutual consent between these two while deciding the goals.
Counseling and feedback handling can be conducted timely if there is a
planning of these two besides the planning the goals.
As far as performance parameters are concerned it should be more on the role
and function based.
Reporting authority’s recommendations should have maximum weightage.
Stepwise rating should be conveyed to appraise with a reason if ratings are
downgraded by reporting /accepting officer.
Some employees feel that the organization should try to balance
between organizational requirements with individual aspirations.
Even a need for the discussion between appraise and the
appraiser over the way appraise has been appraised and the
reasons for the same. This will lead to the greater transparency.
 In order to identifying the various performance parameters and
their targets balance card approach should be initiated.
Timely communication should be there because if every body
knows what needs to be done then there will be no difference over
the ratings the appraise will already know it.
The PMS mechanism in the Dena Bank should regularly analyze
not only for its effectiveness but also for its efficiency.
 Suggestion and recommendations by Dena bank employees when
they are playing a role of an appraiser

Most of the employees think that there should be a mutual consent among
team members for grading of an individual performance.
After counseling an appraiser is supposed to send the feedback and various
recommendations to the people who are associated with the PMS program.
As an appraiser one should keep track of the subordinates’ achievements as
well as shortcomings throughout the year, not only during the evaluation
period.
Counseling is the core component of the PMS. This should be done in an
unbiased way. Also the appraiser should take it his moral responsibility to
counsel his appraise properly.
Appraiser should be more conscious about the PMS throughout the year as
his dedication can bring more accurate appraisal ratings.
If an appraiser is facing a difficulty in the process then he should tell it to the
authority concerned within time and ask to arrange for an appraisal training.
 Things to look in Future

360 degree Feedback

Quarterly Review
Continuous Counseling