1.

0 Introduction
The British Petroleum Company plc (BP) is a British multinational oil and gas company
headquartered in London, England. BP is also one of the five largest oil companies in the world
and a largest corporation of United Kingdom. It is the pioneer of the Middle Eastern oil industry
when in May 1908 a group of British geologists headed by William DArcy of Anglo-Persia Oil
Company discovered a large amount of oil in Iran that eventually became involved in all aspects
of the oil industry, from exploration to marketing. By the mid-1990s, it was producing over 1.2
million barrels of oil and 1.5 million cubic feet of natural gas every day. BP currently
employs 80000 people around 80 countries worldwide and its current CEO is Bob Dudley.
BP is a focused oil and gas business company actively managing the portfolio of fields, projects,
refineries, plants and network to maximize value safely and responsibly.
BPs Human Resource management is one of the tops around the world; its human resource
department has evolved and changed over the past decades due to the changing business
environment and the globalization phenomena as well as due to rapid technological development
and progress, and changes in stakeholders' expectation. Its activities have also been admired and
BP used to be one of the top priorities for employment in the energy sectors. BP has sent in place
several systems in terms of its human resource management to achieve such a high standard, it
involves recruitment, rewards system, Executive Reward packages and Performance
management.

2.0 Performance appraisal system

The success of any organisation depends on the quality and characteristics of its employees. The
employees are a significant factor in any organization since a company cannot achieve their
goals and objectives without them. An organisation needs to ensure the quality and performance
of their employees and this is where performance appraisal system is necessary. The
organizations key aims, goals and objectives become an embedded part of the process in
the performance management and communicated through the performance appraisal
process. (Marchington and Wilkinson, 2005)
Performance appraisal system is a method of tracking, evaluating and recording the job
performance of an employee. Performance appraisal usually evaluates the qualitative and
quantitative aspects of the employee performance. The system evaluate the employees level of
accomplishment of the given task job. Performance appraisal is also known as performance
evaluation. (Venkateswara Rao, 2004)
2.0.1 OBJECTIVES OF APPRAISAL SYSTEM

To maintain a good performance level of the company. (Venkateswara Rao, 2004)

To help in employee development through training and positive reinforcement.

(Venkateswara Rao, 2004)

To assist supervisors in understanding their employees. (Venkateswara Rao, 2004)

To help in job promotions through past evaluations of an employee. (Venkateswara Rao, 2004)

To provide fair and just compensation by basing on the performance of an employee.

(Venkateswara Rao, 2004)

To provide an overview of employee's strength and weakness to make policies that will

focus on the employees strengths. (Venkateswara Rao, 2004)

To reduce unfair evaluation of employees through use of systematic evaluation.

(Venkateswara Rao, 2004)

2.1 BP APPRAISAL SYSTEM

BP employs several appraisal systems to gauge its employees, namely 9 Box Grid, Balanced
score card, 360-degree evaluation and BP My Plan system.
The 9 Box Grid is is a valuable talent review tool for HR practitioners and for managers across
all levels in the form of matrix, which is used to identify and calibrate key contributors and high
potential individuals within BP. It is also used to distinguish talent and gain an insight into the
relative strength of individual employees as well to identify any gaps or issues in the
organisations talent pool. It works by ploting employee performance (xaxis/horizontal) against
potential(yaxis/vertical),managers arrange every employee into one of nine types across the
vertical and horizontal axis, based on three levels of performance and three of potential.

In BP, managers, peers and team members review leaders performance with the
help of a 360 feedback tool, identifying their top three relative strengths and
weaknesses. These reviews are then combined as a report. Individuals being
considered for group leader positions undergo a thorough external assessment to
provide them with detailed personal development plans to help them achieve
success in their new roles.

A single process has been implemented to measure

employees annual performance on both what they
deliver and how they deliver it
Individual performance balances near and long-term
performance goa