PERFORMANCE
MANAGEMENT SYSTEM
OF
HINDUSTAN UNILEVER
LTD..
PRIYANKA SINHA
PGDM (2018-20)
Hindustan Unilever (HUL) is the largest fast moving
consumer goods (FMCG) company
HUL's brands are spread across 20 distinct consumer
categories
WHAT IS
HINDUSTAN Has employee strength over 15000 & 1200 managers
UNILEVER????
There 75 manufacturing locations in India and caters its
wide range of products to 6.3million outlets
Offers different category and products which caters to
the need of every income segment in the country
PERFORMANCE MANAGEMENT SYSTEM AT HUL…
• A structured method of formally and objectively evaluating
employees’ performance with respect to their objectives.
• Addresses the issue of an employee’s development by
providing them with structured and in-depth analysis of
strengths and areas of improvement
• Provides with input for annual increments, training and
development.
• Employee Performance management at HUL includes
planning work and setting expectations, developing the
capacity to perform, continuously monitoring performance
and evaluating it.
METHODS OF PERFORMANCE APPRAISAL AT HUL
360 Degree Performance Appraisal:
• Provide feedback from superiors, peer groups and subordinates to
provide holistic and objective evaluation of the employees.
• Assessment is communicated transparently to all employees
individually
• Career paths are shared with them
METHODS OF PERFORMANCE APPRAISAL AT HUL
Management by Objectives (MBO):
• The MBO focuses attention on participative goals that are
tangible, verifiable & measurable
• The superior & subordinates jointly determine goals to be
considered during appraisal period & what level of
performance is necessary for subordinates to satisfactorily
achieve specific goals
• During performance appraisal period the superior &
subordinates update & alter goals as necessary due to changes
in business environment
• If not achieved identify reasons for deviation
PROCESS OF PMS IN HUL..
Establish Performance Standard & communicate
standard & expectation to employees
Annual
Performance
Review
Measure actual performance with the target
Compare actual performance with set standards Annual Goal Mid-Year
& find out deviations Setting Review
Suggest changes in job analysis & standards if
necessary
Follow up
PURPOSE OF PMS FOR HINDUSTAN UNILEVER
Administration Development
– Determine promotion of employees – Provide performance feedback to all concerned
– Determine increment in pay of employees.
– Identify individual skills, core competencies, strength &
– Determine transfer & change in job assignments. weaknesses
– Determine retention or termination
– Assist employees in setting goals
– Decide on layoffs
– Decide need for training – Identify training needs
– Decide salary & related issues
– Improve communication