SlideShare a Scribd company logo
1 of 24
Good Morning ♫♫♫♫!!!
Appraisal: IT Industry
-SUDIP PAUDEL
Overview
 1.) Assessing various appraisal methodology in IT industry
 2.) Trend for salary hike in last 5 years in IT industry
 3.)Trend for salary revision for next three years
 4.) linkage between appraisal system and attrition rate
of the IT industry
 5.) Views/recommendations
What is Performance Appraisal?
 Fulfillment of job requirement
 Continuous development of human resources.
 Potential
 Periodic process
 Both quantitative and qualitative evaluation of job performance
Features of Performance Appraisal
Appraisal methodology popular in IT industry
1.) 360 degree feedback system
2.)Bell curve based performance appraisal system
A.) 360 degree Performance appraisal
♪Comprehensive feedback
♪ Highly effective performance evaluation tool
♪ Very reliable
♪ popular
♪ Realistic evaluation
Features of 360 degree feedback system
B.) Bell curve based performance
appraisal system
Features of Bell curve based appraisal
♪ Compares employees performance relative to others
♪ Segregation of workforce
♪ Helps to differentiate individuals
♪ Well accepted
New trends in Appraisal…..
“Only in our dreams are
we free, the rest of the
time we need wages.”
-Sir Terry Pratchett
Trend for salary hike in last 5 years in IT
industry
For the past five years, average salary hikes in Indian IT sector have been
around 10 percent
 Regional practices in the economy
 Industry/company performance
 Compensation policy of the institution
 Supply and demand of labour,and
 Individual’s job performance
Trend for salary revision for next three
years
 Employee with skill in verticals like cloud, mobility, social media and
analytics will get huge compensation
 Salary rate and incentives will be high for top performers
 Average Industry salary is expected to grow at an annual rate of 6-9%
 Salesforce employee salary could be determined by the revenue they
bring from client
Linkage between appraisal system and
attrition rate in IT industry
 Attrition management has become the strategic focus and compelling
necessity of business today.
 The toughest concern for an HR manager is however the high attrition rate
 IT industry has one of the highest attrition rate. Appraisal should be done
fairly so that conflict , dissatisfaction and attrition rate gets reduced.
 The share of attrition due to dissatisfaction in appraisal is also growing as
techie are finding better opportunities at mushrooming startups and
poaching is always there.
Problems with current appraisal process
 People are inspired and motivated by positive, constructive feedback- and the
“appraisal” process almost always works against this.
 The most valuable part of an appraisal is the “development planning” conversation
–what can one do to improve performance and engagement- and this is often left
to a small box on the review form
 Employees need and want regular feedback(daily, weekly), so a once a year review
is not only too late but its often a surprise. Regular coaching is the key to alignment
and performance.
Views/ Recommendations:-
 Not only performance but also potential should be considered during
appraisal.
 Focus should be given to team performance also
 We have a shortage of key talent and the keys to success now focus on
regular alignment, coaching, creating passion and engagement, and
continuous employee development.
 Set and reset goals frequently. Companies that set performance goals
quarterly generates 31% greater returns from their performance process
than those who do it annually, and those who do it monthly even get
better results.
 Companies thrive by building skills-so in addition to encouraging managers
to produce good work, HR should incent them to produce a good talent as
well.
One more thing………
I never criticize anyone. There is nothing that so kills the ambition of a person
as criticisms from superiors. I believe in giving a person incentive to work.
The ultimate way to develop the best that is in a person is by appreciation
and encouragement - Charles M. Schwab
THANK YOU
Annexure:-
 Citehr.com
 Quora.com
 articles.economictimes.indiatime.com/
 Slideshare.net/
 Human Resource Management text and cases by VSP Rao
 Forbes.com
 Info.shine.com
 Wikipedia.com

More Related Content

What's hot

Techniques of job analysis
Techniques of job analysisTechniques of job analysis
Techniques of job analysis
Manas Upadhyay
 
Problems and limitations of manpower planning
Problems and limitations of manpower planningProblems and limitations of manpower planning
Problems and limitations of manpower planning
jpbbk
 

What's hot (20)

Careers and career management ppt 11
Careers and career management   ppt 11Careers and career management   ppt 11
Careers and career management ppt 11
 
Training and Development
Training and DevelopmentTraining and Development
Training and Development
 
Questionnaire on recruitment and selection
Questionnaire  on recruitment and selectionQuestionnaire  on recruitment and selection
Questionnaire on recruitment and selection
 
Talent Acquisition Strategy
Talent Acquisition StrategyTalent Acquisition Strategy
Talent Acquisition Strategy
 
Workforce planning
Workforce planningWorkforce planning
Workforce planning
 
Training & development
Training & developmentTraining & development
Training & development
 
Recruitment & Selection Process By Big Ideas HR
Recruitment & Selection Process By Big Ideas HRRecruitment & Selection Process By Big Ideas HR
Recruitment & Selection Process By Big Ideas HR
 
Reward management
Reward managementReward management
Reward management
 
Techniques of job analysis
Techniques of job analysisTechniques of job analysis
Techniques of job analysis
 
Employee Satisfaction
Employee SatisfactionEmployee Satisfaction
Employee Satisfaction
 
attrition analysis
attrition analysisattrition analysis
attrition analysis
 
Human resource strategy
Human resource strategyHuman resource strategy
Human resource strategy
 
Ethical Issues in Human Resource Management
Ethical Issues in Human Resource ManagementEthical Issues in Human Resource Management
Ethical Issues in Human Resource Management
 
HR CHALLENGES
HR CHALLENGESHR CHALLENGES
HR CHALLENGES
 
Training & Development HRM
Training & Development HRMTraining & Development HRM
Training & Development HRM
 
Recruitment
RecruitmentRecruitment
Recruitment
 
HR outsourcing
HR outsourcing HR outsourcing
HR outsourcing
 
Problems and limitations of manpower planning
Problems and limitations of manpower planningProblems and limitations of manpower planning
Problems and limitations of manpower planning
 
360 degree final ppt
360 degree final ppt360 degree final ppt
360 degree final ppt
 
Recruitment process
Recruitment process Recruitment process
Recruitment process
 

Similar to Performance Appraisal in IT industry

HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
Frederick 'Rick' Buchman
 
2016 China Recruiting Trends Report
2016 China Recruiting Trends Report2016 China Recruiting Trends Report
2016 China Recruiting Trends Report
Di You
 

Similar to Performance Appraisal in IT industry (20)

Performance Management Today
Performance Management TodayPerformance Management Today
Performance Management Today
 
Reinventing Performance Management: How to Measure Performance, Boost Employe...
Reinventing Performance Management: How to Measure Performance, Boost Employe...Reinventing Performance Management: How to Measure Performance, Boost Employe...
Reinventing Performance Management: How to Measure Performance, Boost Employe...
 
8 150812201129-lva1-app6891 (2)
8 150812201129-lva1-app6891 (2)8 150812201129-lva1-app6891 (2)
8 150812201129-lva1-app6891 (2)
 
Holistic HR processes in small, emerging (sme's) organization
Holistic HR processes in small, emerging (sme's) organizationHolistic HR processes in small, emerging (sme's) organization
Holistic HR processes in small, emerging (sme's) organization
 
The Performance Appraisal System
The Performance Appraisal SystemThe Performance Appraisal System
The Performance Appraisal System
 
Pm trend to review
Pm trend to reviewPm trend to review
Pm trend to review
 
Workforce surveys
Workforce surveysWorkforce surveys
Workforce surveys
 
Hr metrics blr webinar - rick buchman - 4-7-2015
Hr metrics    blr webinar - rick buchman - 4-7-2015Hr metrics    blr webinar - rick buchman - 4-7-2015
Hr metrics blr webinar - rick buchman - 4-7-2015
 
Tm..mu0017
Tm..mu0017Tm..mu0017
Tm..mu0017
 
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
 
TJ Insite March
TJ Insite MarchTJ Insite March
TJ Insite March
 
Project on performance appraisal
Project on performance appraisalProject on performance appraisal
Project on performance appraisal
 
The Datafication of HR [WHITE PAPER]
The Datafication of HR [WHITE PAPER]The Datafication of HR [WHITE PAPER]
The Datafication of HR [WHITE PAPER]
 
Is your company still utilizing an annual performance review to measure and r...
Is your company still utilizing an annual performance review to measure and r...Is your company still utilizing an annual performance review to measure and r...
Is your company still utilizing an annual performance review to measure and r...
 
Performance appraisal
Performance appraisalPerformance appraisal
Performance appraisal
 
2016 China Recruiting Trends Report
2016 China Recruiting Trends Report2016 China Recruiting Trends Report
2016 China Recruiting Trends Report
 
The Powerful Act Of Coaching Employees
The Powerful Act Of Coaching EmployeesThe Powerful Act Of Coaching Employees
The Powerful Act Of Coaching Employees
 
Performance appraisal best practices
Performance appraisal best practicesPerformance appraisal best practices
Performance appraisal best practices
 
Performance appraisal best practices
Performance appraisal best practicesPerformance appraisal best practices
Performance appraisal best practices
 
How to ditch objectives (and find a simpler way to manage performance)
How to ditch objectives (and find a simpler way to manage performance)How to ditch objectives (and find a simpler way to manage performance)
How to ditch objectives (and find a simpler way to manage performance)
 

Recently uploaded

Call Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service Bangalore
Call Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service BangaloreCall Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service Bangalore
Call Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service Bangalore
amitlee9823
 
Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...
Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...
Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...
amitlee9823
 
Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...
Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...
Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...
amitlee9823
 
Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...
Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...
Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...
amitlee9823
 
Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...
Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...
Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...
Sheetaleventcompany
 
Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...
Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...
Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...
Anamikakaur10
 

Recently uploaded (20)

Falcon Invoice Discounting platform in india
Falcon Invoice Discounting platform in indiaFalcon Invoice Discounting platform in india
Falcon Invoice Discounting platform in india
 
Call Girls Service In Old Town Dubai ((0551707352)) Old Town Dubai Call Girl ...
Call Girls Service In Old Town Dubai ((0551707352)) Old Town Dubai Call Girl ...Call Girls Service In Old Town Dubai ((0551707352)) Old Town Dubai Call Girl ...
Call Girls Service In Old Town Dubai ((0551707352)) Old Town Dubai Call Girl ...
 
Malegaon Call Girls Service ☎ ️82500–77686 ☎️ Enjoy 24/7 Escort Service
Malegaon Call Girls Service ☎ ️82500–77686 ☎️ Enjoy 24/7 Escort ServiceMalegaon Call Girls Service ☎ ️82500–77686 ☎️ Enjoy 24/7 Escort Service
Malegaon Call Girls Service ☎ ️82500–77686 ☎️ Enjoy 24/7 Escort Service
 
Call Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service Bangalore
Call Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service BangaloreCall Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service Bangalore
Call Girls Hebbal Just Call 👗 7737669865 👗 Top Class Call Girl Service Bangalore
 
Cheap Rate Call Girls In Noida Sector 62 Metro 959961乂3876
Cheap Rate Call Girls In Noida Sector 62 Metro 959961乂3876Cheap Rate Call Girls In Noida Sector 62 Metro 959961乂3876
Cheap Rate Call Girls In Noida Sector 62 Metro 959961乂3876
 
Uneak White's Personal Brand Exploration Presentation
Uneak White's Personal Brand Exploration PresentationUneak White's Personal Brand Exploration Presentation
Uneak White's Personal Brand Exploration Presentation
 
(Anamika) VIP Call Girls Napur Call Now 8617697112 Napur Escorts 24x7
(Anamika) VIP Call Girls Napur Call Now 8617697112 Napur Escorts 24x7(Anamika) VIP Call Girls Napur Call Now 8617697112 Napur Escorts 24x7
(Anamika) VIP Call Girls Napur Call Now 8617697112 Napur Escorts 24x7
 
Falcon Invoice Discounting: Empowering Your Business Growth
Falcon Invoice Discounting: Empowering Your Business GrowthFalcon Invoice Discounting: Empowering Your Business Growth
Falcon Invoice Discounting: Empowering Your Business Growth
 
Call Girls Ludhiana Just Call 98765-12871 Top Class Call Girl Service Available
Call Girls Ludhiana Just Call 98765-12871 Top Class Call Girl Service AvailableCall Girls Ludhiana Just Call 98765-12871 Top Class Call Girl Service Available
Call Girls Ludhiana Just Call 98765-12871 Top Class Call Girl Service Available
 
Phases of Negotiation .pptx
 Phases of Negotiation .pptx Phases of Negotiation .pptx
Phases of Negotiation .pptx
 
👉Chandigarh Call Girls 👉9878799926👉Just Call👉Chandigarh Call Girl In Chandiga...
👉Chandigarh Call Girls 👉9878799926👉Just Call👉Chandigarh Call Girl In Chandiga...👉Chandigarh Call Girls 👉9878799926👉Just Call👉Chandigarh Call Girl In Chandiga...
👉Chandigarh Call Girls 👉9878799926👉Just Call👉Chandigarh Call Girl In Chandiga...
 
Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...
Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...
Call Girls Kengeri Satellite Town Just Call 👗 7737669865 👗 Top Class Call Gir...
 
Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...
Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...
Nelamangala Call Girls: 🍓 7737669865 🍓 High Profile Model Escorts | Bangalore...
 
Falcon Invoice Discounting: The best investment platform in india for investors
Falcon Invoice Discounting: The best investment platform in india for investorsFalcon Invoice Discounting: The best investment platform in india for investors
Falcon Invoice Discounting: The best investment platform in india for investors
 
Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...
Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...
Call Girls Jp Nagar Just Call 👗 7737669865 👗 Top Class Call Girl Service Bang...
 
Marel Q1 2024 Investor Presentation from May 8, 2024
Marel Q1 2024 Investor Presentation from May 8, 2024Marel Q1 2024 Investor Presentation from May 8, 2024
Marel Q1 2024 Investor Presentation from May 8, 2024
 
Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...
Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...
Chandigarh Escorts Service 📞8868886958📞 Just📲 Call Nihal Chandigarh Call Girl...
 
Value Proposition canvas- Customer needs and pains
Value Proposition canvas- Customer needs and painsValue Proposition canvas- Customer needs and pains
Value Proposition canvas- Customer needs and pains
 
Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...
Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...
Call Now ☎️🔝 9332606886🔝 Call Girls ❤ Service In Bhilwara Female Escorts Serv...
 
Whitefield CALL GIRL IN 98274*61493 ❤CALL GIRLS IN ESCORT SERVICE❤CALL GIRL
Whitefield CALL GIRL IN 98274*61493 ❤CALL GIRLS IN ESCORT SERVICE❤CALL GIRLWhitefield CALL GIRL IN 98274*61493 ❤CALL GIRLS IN ESCORT SERVICE❤CALL GIRL
Whitefield CALL GIRL IN 98274*61493 ❤CALL GIRLS IN ESCORT SERVICE❤CALL GIRL
 

Performance Appraisal in IT industry

  • 3. Overview  1.) Assessing various appraisal methodology in IT industry  2.) Trend for salary hike in last 5 years in IT industry  3.)Trend for salary revision for next three years  4.) linkage between appraisal system and attrition rate of the IT industry  5.) Views/recommendations
  • 4.
  • 5. What is Performance Appraisal?
  • 6.  Fulfillment of job requirement  Continuous development of human resources.  Potential  Periodic process  Both quantitative and qualitative evaluation of job performance Features of Performance Appraisal
  • 7. Appraisal methodology popular in IT industry 1.) 360 degree feedback system 2.)Bell curve based performance appraisal system
  • 8. A.) 360 degree Performance appraisal
  • 9. ♪Comprehensive feedback ♪ Highly effective performance evaluation tool ♪ Very reliable ♪ popular ♪ Realistic evaluation Features of 360 degree feedback system
  • 10. B.) Bell curve based performance appraisal system
  • 11. Features of Bell curve based appraisal ♪ Compares employees performance relative to others ♪ Segregation of workforce ♪ Helps to differentiate individuals ♪ Well accepted
  • 12. New trends in Appraisal…..
  • 13. “Only in our dreams are we free, the rest of the time we need wages.” -Sir Terry Pratchett
  • 14.
  • 15. Trend for salary hike in last 5 years in IT industry For the past five years, average salary hikes in Indian IT sector have been around 10 percent  Regional practices in the economy  Industry/company performance  Compensation policy of the institution  Supply and demand of labour,and  Individual’s job performance
  • 16. Trend for salary revision for next three years  Employee with skill in verticals like cloud, mobility, social media and analytics will get huge compensation  Salary rate and incentives will be high for top performers  Average Industry salary is expected to grow at an annual rate of 6-9%  Salesforce employee salary could be determined by the revenue they bring from client
  • 17.
  • 18. Linkage between appraisal system and attrition rate in IT industry  Attrition management has become the strategic focus and compelling necessity of business today.  The toughest concern for an HR manager is however the high attrition rate  IT industry has one of the highest attrition rate. Appraisal should be done fairly so that conflict , dissatisfaction and attrition rate gets reduced.  The share of attrition due to dissatisfaction in appraisal is also growing as techie are finding better opportunities at mushrooming startups and poaching is always there.
  • 19. Problems with current appraisal process  People are inspired and motivated by positive, constructive feedback- and the “appraisal” process almost always works against this.  The most valuable part of an appraisal is the “development planning” conversation –what can one do to improve performance and engagement- and this is often left to a small box on the review form  Employees need and want regular feedback(daily, weekly), so a once a year review is not only too late but its often a surprise. Regular coaching is the key to alignment and performance.
  • 20. Views/ Recommendations:-  Not only performance but also potential should be considered during appraisal.  Focus should be given to team performance also  We have a shortage of key talent and the keys to success now focus on regular alignment, coaching, creating passion and engagement, and continuous employee development.  Set and reset goals frequently. Companies that set performance goals quarterly generates 31% greater returns from their performance process than those who do it annually, and those who do it monthly even get better results.  Companies thrive by building skills-so in addition to encouraging managers to produce good work, HR should incent them to produce a good talent as well.
  • 22. I never criticize anyone. There is nothing that so kills the ambition of a person as criticisms from superiors. I believe in giving a person incentive to work. The ultimate way to develop the best that is in a person is by appreciation and encouragement - Charles M. Schwab
  • 24. Annexure:-  Citehr.com  Quora.com  articles.economictimes.indiatime.com/  Slideshare.net/  Human Resource Management text and cases by VSP Rao  Forbes.com  Info.shine.com  Wikipedia.com