INTRODUCTION

Human Resource Management (HRM) is the procurement, allocation,

utilization and motivation of human resources in business. HRM is the process of
bringing people and organizations together so that the goals of each are met. It tries to
secure the best from people by winning their whole-hearted co-operation. HRM is
responsible for the people dimension of the organization. It is a pervasive force,
action-oriented, individually integrative in nature and is a comprehensive function.
HRM mainly covers 3 aspects such as personal aspect, welfare aspect and industrial
aspect. With appropriate HR policies and practices an organization can hire, develop
and utilize best brains in the market place, realize its professed goals and deliver
results better than others. It helps an organization to realize their respective goals thus
At enterprise level, At the individual level, At the society level and At the national
level. This is going to evolve thus Job redesign, Career opportunities, Productivity,
Rewards, Recruitment and Selection, Training and Development, safety and Welfare.
From the organizational standpoint, good HR practices help in attracting and retaining
talent, train people for challenging roles, develop their skills and competencies
increase productivity and profits enhance standard of living.
HR can be source of competitive advantage, when the talent people working in
the company are valuable, rare, difficult imitate and well organized to deliver efficient
and effective results. Strategic HRM is the linking of HRM with the key goals and
objectives with a view to improve business performance and develop organizational
cultures that foster innovation and flexibility. The effective use of people is the
critical factor in the successful accomplishment of corporate goals. An Organization,
whether small or large, be it a business or an industrial enterprise, needs for its
growth, survival and continuance four important M’s

MONEY
MATERIAL
MACHINERY and
MEN

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 Primarily, success or failure of an organization mainly depends upon
combination of the above four factors. Of which, I feel, managing men is critical and
challenging task because of the dynamic nature of the people. No two persons area
similar in their mental abilities, traditions, sentiments and behavior and are subject to
many and varied influences, people are responsive; they feel, think and act and
therefore they just cannot be operated like a machine or shifted and altered like a
template in a room layout. Because of these varied traits human beings are complex in
their behavior and in their psychological make-up and when they interact with one
another in a group or an organization, this complexity is multiplied.
To this end, HR manager need to understand the needs, aspirations of the
employees proactively, face the challenges head on and resolve issues amicably in the
years ahead. The importance of the study of the Performance Appraisal System is a
method of evaluating the behavior of employees in the work spot, normally including
both the qualitative aspects of job performance. It indicates how well an individual is
fulfilling the job demands. Performance appraisal as traditionally being used as a
mechanism of controlling employees through salary administration.

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PERFORMANCE APPRAISAL
Performance evaluation or performance appraisal is the process of assessing
performance and progress of employee or of a group of employee on a given job and
his potential for future development. In concept of all formal procedure used working
organization to evaluate personality, contribution and potential of employees.
Definition
Performance evaluation or performance appraisal is the process of assessing the
performance and progress of an employee or of a group of employees on a given job
and his potential for future development. “It is the systematic evaluation of the
individual with respect to his/her performance on the job and his/her potential for
development.”
Performance of appraisal is widely used in the society. However, formal
evaluation of employees is believed to have been adopted for the first time during
First World War. At the inlands of Walter Dill Scott the US army man to man rating
system for evaluating military personal. Once the employee has been selected, trained
the motivated, he is then appraised for his performance. Performance appraisal is the
step where the management finds out how effective it has been at hiring and placing
employees if any problems are identified, steps are taken too communicated to
employee and to remedy them. A performance appraisal is a process of evaluating the
performance appraisal is a process of evaluating the performance and qualification of
employee according to job and its requirement. It is also known as the process of
estimating and judging the value, excellence individually and collectively, it is the
part of all other staffing process, like recruitment, selection, placement, etc.
The major source of data for the Performance appraisal in 3F Industries Limited
was given by the employees is based upon their perception on the different items in
the questionnaires. The questions were asked about their performance levels of
employees regarding the factors, which affect their development of the employee’s
work life. From the above analysis it is clear that the performance of the company is
quite good in all sectors.

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3600 Appraisal System
This is defined as the systemic collection and feedback of performance data on
individual or group, derived from a number of the stakeholders in their performance.
It is done in a systematic way via questionnaires or interviews. This formalizes
people’s judgments coming from natural interactions they have with each other. There
is both a collection and a feedback process. Data are gathered and feedback to the
individual participant in a clear way designed to promote understanding, acceptance
and ultimately changed behaviour. Stakeholders are people who are both affected by
your performance and deal with you closely enough to be able to answer specific
questions about the way you interact with them. This feedback system assesses
managers in terms of the competence they possess or more specifically through the
detailed behaviour which constitutes them. So far, 3600 feedback has concentrated on
people who are at the more senior levels in an organization, example, directors,
managers, senior executives in companies, and partners or principals in the
profession. However, as organizations are beginning to appreciate the power and
value of such measurement, other jobholders are now finding that their behaviours are
coming under the microscope. Engineers, pilots, sales people, HR professionals,
customer service staff, etc., have all participated in this assessment and feedback
process.
Chart – 1.1 Stakeholders

Source: 3600 feedback : A management tool, peter Ward, 199

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 IMPORTANCE OF PERFORMANCE APPRAISAL

 It provides valuable information for personnel decisions such as pay increases,

promotions, etc.
 It helps to judge the effectiveness of recruitment, selection, and placement and
orientation system of the organization.
 It is useful in analyzing training and development needs.
 It can be used to improve performance thought appropriate feedback, working
and counseling to employees.
 It facilitates Human Resource Planning, career planning and succession
planning.
 A competitive spirit is created and employees are motivated to improve their
performance.

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 SELECTION OF THE ORGANIZATION

Granules OmniChem Private Limited (‘Company’)

incorporated on September 2nd, 2011 as a 50:50 Joint venture between Granules India
Limited, India and Ajinomoto OmniChem N.V, Belgium. The Joint venture will
operate in the CRAMS arena, offering high value Active Pharmaceutical Ingredients
(API) and intermediate to Pharmaceutical Companies. The company will initially
focus on high value, low volume API’s and intermediates. The Company has a plant
at Ramky Pharma City-SEZ situated in Visakhapatnam, Andhra Pradesh.

The Company has completed the construction phase and has started
commercial operations on 24th October 2014. The facility has already been inspected
by many customers and has successfully gained approval from each visited to date.
GOC is a USFDA approved facility, Its other Certifications include Environment
Certification of ISO 14001 and Safety Certification of OSHAS 18001 both of which
have been achieved in the year 2018

Granules OmniChem Private Limited is fully supported by Ajinomoto

OmniChem and Granules India Limited for all quality, engineering, technology
transfer, procurement, sales and management related matters.

Our product-focused, vertically integrated business model has created a

leadership position in several generic drugs. We have a strong presence in ‘first line
of defence’ products,including Paracetamol, Ibuprofen, Guaifenesin and Metformin.
We export nearly 60% of our revenue to the US and Europe. Our key customers
include some of the leading generic, as well as, branded pharmaceutical companies.
Our integrated model for manufacturing APIs, PFIs and Finished Dosages enables us
to provide products across the value chain and enhances our competitiveness. We
have emerged into a knowledge driven, R&D focused, multi-product organization,
with inherent strength in efficient manufacturing of high-volume pharmaceutical
products.

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 NEED FOR THE STUDY

 Creating and maintaining a satisfactory level of performance of employees in

their present job.
 Highlighting employee needs and opportunities for personal growth and
development.
 Aiding in decision making for promotion, transfer, lay-off and discharges.
 Promoting understanding between the supervisor & his subordinates.
 Providing a useful criterion for determining the validity of selection & training
methods and techniques and forming concrete measures for attracting
individual of higher caliber to the enterprise.

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 SCOPE OF THE STUDY

The study was conducted to study the performance appraisal procedure and
policies followed in the selected organization. The main focus was to know the
various aspects influencing the policies and procedure of the performance appraisal
process followed by the company. A detailed study has made of the proceedings and
policy formulation of the performance appraisal programme. A questionnaire has
been administered to 100 employees working in the company.

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 OBJECTIVES OF THE STUDY

 To know about the existing performance appraisal system at Granules

OmnichemPvt. ltd.
 To study the employee opinion on their performance appraisal system.
 To study the impact of performance appraisal system on performance management
in Granules OmnichemPvt. Ltd.
 To evaluate the impact of performance appraisal on employee overall performance
in the organization.
 To assess the level of satisfaction of employee on the performance appraisal
system practices of Granules OmnichemPvt. Ltd.
 To offer useful suggestion, which in turn help the organization in improving the
practice.

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 METHODOLOGY OF THE STUDY

After reviewing the literature and conducting a pilot study a questionnaire had been
framed that is relevant to the priority set objectives.

SAMPLING

“A simple random sampling method was adopted to conduct the study”. The
universe for this study consists of all level employees. The sample consists of 100 in
number.

Primary Data:

The primary data based on the objectives determined, a detailed survey was
conducted by interviewing the employees in Granules OmnichemPvt. Ltd.

Secondary Data:

The secondary data has been collected by means of the material supplied by the
human resource department regarding the various performance appraisal activities
taken up by the organization. The information for the study was collected from the
standard text books, manuals and the websites of the I Granules OmnichemPvt. Ltd .
The present study is taken up as a part of the project work with the broad aim of
understanding overall functions of the management of Granules OmnichemPvt. Ltd .
As such the main of the present study is to evaluate the various performance appraisal
activities taken up in the organization and their contribution to increase the efficiency
of the employees.

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 LIMITATIONS OF THE STUDY

 It is limited to small sample that is 100 respondents from a large number of

employees in organization with in a time frame of few days.
 Time is a major constraint.
 More emphasis is on practical work in field rather than on theoretical aspects
regarding appraisal.
 The study is based on primary and secondary data.

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 INDUSTRY PROFILE

Pharmaceutical industry, the discovery, development, and manufacture of

drugs and medications (pharmaceuticals) by public and private organizations.
The modern era of the pharmaceutical industry—of isolation and purification
of compounds, chemical synthesis, and computer-aided drug design—is considered to
have begun in the 19th century, thousands of years after intuition and trial and error
led humans to believe that plants, animals, and minerals contained medicinal
properties. The unification of research in the 20th century in fields such
as chemistry and physiology increased the understanding of basic drug-discovery
processes. Identifying new drug targets, attaining regulatory approval from
government agencies, and refining techniques in drug discovery and development are
among the challenges that face the pharmaceutical industry today. The continual
evolution and advancement of the pharmaceutical industry is fundamental in the
control and elimination of disease around the world.
The following sections provide a detailed explanation of the progression of drug
discovery and development throughout history, the process of drug development in
the modern pharmaceutical industry, and the procedures that are followed to ensure
the production of safe drugs. For further information about drugs, see drug. For
a comprehensivedescription about the practice of medicine and the role of drug
research in the health care industry, see medicine.
History

The origin of medicines

Medicines of ancient civilizations

The oldest records of medicinal preparations made from plants, animals, or minerals
are those of the early Chinese, Hindu, and Mediterranean civilizations. An herbal
compendium, said to have been written in the 28th century BC by the legendary
emperor Shennong, described the antifever capabilities of a substance known
as changshan (from the plant species Dichroafebrifuga), which has since been shown
to contain antimalarial alkaloids (alkaline organic chemicals containing nitrogen).
Workers at the school of alchemy that flourished in Alexandria, Egypt, in the 2nd
century BC prepared several relatively purified inorganic chemicals, including lead

12
carbonate, arsenic, and mercury. According to De materiamedica, written by the
Greek physician PedaniusDioscorides in the 1st century AD, verdigris (basic cupric
acetate) and cupric sulfate were prescribed as medicinal agents. While attempts were
made to use many of the mineral preparations as drugs, most proved to be too toxic to
be used in this manner.
Many plant-derived medications employed by the ancients are still in use today.
Egyptians treated constipation with senna pods and castor oiland indigestion with
peppermint and caraway. Various plants containing digitalis-like compounds (cardiac
stimulants) were employed to treat a number of ailments. Ancient Chinese physicians
employed ma huang, a plant containing ephedrine, for a variety of purposes. Today
ephedrine is used in many pharmaceutical preparations intended for the treatment of
cold and allergy symptoms. The Greek physician Galen (c. 130–c. 200 AD)
included opium and squill among the drugs in his apothecary shop (pharmacy). Today
derivatives of opium alkaloids are widely employed for pain relief, and, while squill
was used for a time as a cardiac stimulant, it is better known as a rat poison. Although
many of the medicinal preparations used by Galen are obsolete, he made many
important conceptual contributions to modern medicine. For example, he was among
the first practitioners to insist on purity for drugs. He also recognized the importance
of using the right variety and age of botanical specimens to be used in making drugs.

Pharmaceutical science in the 16th and 17th centuries

Pharmaceutical science improved markedly in the 16th and 17th centuries. In 1546
the first pharmacopoeia, or collected list of drugs and medicinal chemicals with
directions for making pharmaceutical preparations, appeared in Nürnberg, Ger.
Previous to this time, medical preparations had varied in concentration and even
in constituents. Other pharmacopoeias followed in Basel (1561), Augsburg (1564),
and London (1618). The London Pharmacopoeia became mandatory for the whole of
England and thus became the first example of a national pharmacopoeia. Another
important advance was initiated by Paracelsus, a 16th-century Swiss physician-
chemist. He admonished his contemporaries not to use chemistry as it had widely
been employed prior to his time in the speculative science of alchemy and the making
of gold. Instead, Paracelsus advocated the use of chemistry to study the preparation of
medicines.

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In London the Society of Apothecaries (pharmacists) was founded in 1617. This
marked the emergence of pharmacy as a distinct and separate entity. The separation
of apothecaries from grocers was authorized by King James I, who also mandated that
only a member of the society could keep an apothecary’s shop and make or sell
pharmaceutical preparations. In 1841 the Pharmaceutical Society of Great Britain was
founded. This society oversaw the education and training of pharmacists to assure a
scientific basis for the profession. Today professional societies around the world play
a prominent role in supervising the education and practice of their members.
In 1783 the English physician and botanist William Withering published his famous
monograph on the use of digitalis (an extract from the flowering purple
foxglove, Digitalis purpurea). His book, An Account of the Foxglove and Some of Its
Medicinal Uses: With Practical Remarks on Dropsy and Other Diseases, described in
detail the use of digitalis preparations and included suggestions as to how their
toxicity might be reduced. Plants containing digitalis-like compounds had been
employed by ancient Egyptians thousands of years earlier, but their use had been
erratic. Withering believed that the primary action of digitalis was on the kidney,
thereby preventing dropsy (edema). Later, when it was discovered that water was
transported in the circulation with blood, it was found that the primary action of
digitalis was to improve cardiac performance, with the reduction in edema resulting
from improved cardiovascular function. Nevertheless, the observations in Withering’s
monograph led to a more rational and scientifically based use of digitalis and
eventually other drugs.

Isolation and synthesis of compounds

In the 1800s many important compounds were isolated from plants for the first time.
About 1804 the active ingredient, morphine, was isolated from opium. In
1820 quinine (malaria treatment) was isolated from cinchona
bark and colchicine (gout treatment) from autumn crocus. In 1833 atropine (variety of
uses) was purified from Atropa belladonna, and in 1860 cocaine (local anesthetic)
was isolated from coca leaves. Isolation and purification of these medicinal
compounds was of tremendous importance for several reasons. First, accurate doses
of the drugs could be administered, something that had not been possible previously
because the plants contained unknown and variable amounts of the active drug.
Second, toxic effects due to impurities in the plant products could be eliminated if

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only the pure active ingredients were used. Finally, knowledge of the chemical
structure of pure drugs enabled laboratory synthesis of many structurally related
compounds and the development of valuable drugs.
Pain relief has been an important goal of medicine development for millennia. Prior to
the mid-19th century, surgeons took great pride in the speed with which they could
complete a surgical procedure. Faster surgery meant that the patient would undergo
the excruciating pain for shorter periods of time. In 1842 ether was first employed as
an anestheticduring surgery, and chloroform followed soon after in 1847. These
agents revolutionized the practice of surgery. After their introduction, careful
attention could be paid to prevention of tissue damage, and longer and more-complex
surgical procedures could be carried out more safely. Although both ether and
chloroform were employed in anesthesia for more than a century, their current use is
severely limited by their side effects; ether is very flammable and explosive and
chloroform may cause severe liver toxicity in some patients. However, because
pharmaceutical chemists knew the chemical structures of these two anesthetics, they
were able to synthesize newer anesthetics, which have many chemical similarities
with ether and chloroform but do not burn or cause liver toxicity.

The development of anti-infective agents

Discovery of antiseptics and vaccines

Prior to the development of anesthesia, many patients succumbed to the pain and
stress of surgery. Many other patients had their wounds become infected and died as a
result of their infection. In 1865 the British surgeon and medical scientist Joseph
Lister initiated the era of antiseptic surgery in England. While many of
the innovations of the antiseptic era are procedural (use of gloves and other sterile
procedures), Lister also introduced the use of phenol as an anti-infective agent.

In the prevention of infectious diseases, an even more important innovation took place
near the beginning of the 19th century with the introduction of smallpox vaccine. In
the late 1790s the English surgeon Edward Jenner observed that milkmaids who had
been infected with the relatively benign cowpox virus were protected against the
much more deadly smallpox. After this observation he developed
an immunization procedure based on the use of crude material from the cowpox
lesions. This success was followed in 1885 by the development of rabies vaccine by

15
the French chemist and microbiologist Louis Pasteur. Widespread vaccination
programs have dramatically reduced the incidence of many infectious diseases that
once were common. Indeed, vaccination programs have eliminated smallpox
infections. The virus no longer exists in the wild, and, unless it is reintroduced
from caches of smallpox virus held in laboratories in the United States and Russia,
smallpox will no longer occur in humans. A similar effort is under way with
widespread polio vaccinations; however, it remains unknown whether the vaccines
will eliminate polio as a human disease.

Improvement in drug administration

While it may seem obvious today, it was not always clearly understood that
medications must be delivered to the diseased tissue in order to be effective. Indeed,
at times apothecaries made pills that were designed to be swallowed, pass through
the gastrointestinal tract, be retrieved from the stool, and used again. While most
drugs are effective and safe when taken orally, some are not reliably absorbed into the
body from the gastrointestinal tract and must be delivered by other routes. In the
middle of the 17th century, Richard Lower and Christopher Wren, working at
the University of Oxford, demonstrated that drugs could be injected into the
bloodstream of dogs using a hollow quill. In 1853 the French surgeon Charles Gabriel
Pravaz invented the hollow hypodermic needle, which was first used in the treatment
of disease in the same year by Scottish physician Alexander Wood. The hollow
hypodermic needle had a tremendous influence on drug administration. Because drugs
could be injected directly into the bloodstream, rapid and dependable drug action
became more readily producible. Development of the hollow hypodermic needle also
led to an understanding that drugs could be administered by multiple routes and was
of great significance for the development of the modern science of pharmaceutics, or
dosage form development.

Drug development in the 19th and 20th centuries

New classes of pharmaceuticals

In the latter part of the 19th century a number of important new classes of
pharmaceuticals were developed. In 1869 chloral hydrate became the
first synthetic sedative-hypnotic (sleep-producing) drug. In 1879 it was discovered

16
that organic nitrates such as nitroglycerin could relax blood vessels, eventually
leading to the use of these organic nitrates in the treatment of heart problems. In 1875
several salts of salicylic acid were developed for their antipyretic (fever-reducing)
action. Salicylate-like preparations in the form of willow bark extracts (which contain
salicin) had been in use for at least 100 years prior to the identification and synthesis
of the purified compounds. In 1879 the artificial sweetener saccharin was introduced.
In 1886 acetanilide, the first analgesic-antipyretic drug (relieving pain and fever), was
introduced, but later, in 1887, it was replaced by the less toxic phenacetin. In
1899 aspirin(acetylsalicylic acid) became the most effective and popular anti-
inflammatory, analgesic-antipyretic drug for at least the next 60 years. Cocaine,
derived from the coca leaf, was the only known local anestheticuntil about 1900,
when the synthetic compound benzocaine was introduced. Benzocaine was the first of
many local anesthetics with similar chemical structures and led to the synthesis and
introduction of a variety of compounds with more efficacy and less toxicity.

Transitions in drug discovery

In the late 19th and early 20th centuries, a number of social, cultural, and technical
changes of importance to pharmaceutical discovery, development,
and manufacturing were taking place. One of the most important changes occurred
when universities began to encourage their faculties to form a
more coherent understanding of existing information. Some chemists developed new
and improved ways to separate chemicals from minerals, plants, and animals, while
others developed ways to synthesize novel compounds. Biologists did research to
improve understanding of the processes fundamental to life in species of microbes,
plants, and animals. Developments in science were happening at a greatly accelerated
rate, and the way in which pharmacists and physicians were educated changed. Prior
to this transformation the primary means of educating physicians and pharmacists had
been through apprenticeships. While apprenticeship teaching remained important to
the education process (in the form of clerkships, internships, and residencies),
pharmacy and medical schools began to create science departments and hire faculty to
teach students the new information in basic biology and chemistry. New faculty were
expected to carry out research or scholarship of their own. With the rapid advances in
chemical separations and synthesis, single pharmacists did not have the skills and
resources to make the newer, chemically pure drugs. Instead, large chemical and

17
pharmaceutical companies began to appear and employed university-trained scientists
equipped with knowledge of the latest technologies and information in their fields.
As the 20th century progressed, the benefits of medical, chemical, and biological
research began to be appreciated by the general public and by politicians,prompting
governments to develop mechanisms to provide support for university research. In the
United States, for instance, the National Institutes of Health, the National Science
Foundation, the Department of Agriculture, and many other agencies undertook their
own research or supported research and discovery at universities that could then be
used for pharmaceutical development. Nonprofit organizations were also developed to
support research, including the Australian Heart Foundation, the American Heart
Association, the Heart and Stroke Foundation of Canada, and H.E.A.R.T UK. The
symbiotic relationship between large public institutions carrying out fundamental
research and private companies making use of the new knowledge to develop and
produce new pharmaceutical products has contributed greatly to the advancement of
medicine.

Establishing the fight against infectious disease

Early efforts in the development of anti-infective drugs

For much of history, infectious diseases were the leading cause of death in most of the
world. The widespread use of vaccines and implementation of public health measures,
such as building reliable sewer systems and chlorinating water to assure safe supplies
for drinking, were of great benefit in decreasing the impact of infectious diseases in
the industrialized world. However, even with these measures, pharmaceutical
treatments for infectious diseases were needed. The first of these was arsphenamine,
which was developed in 1910 by the German medical scientist Paul Ehrlich for the
treatment of syphilis. Arsphenamine was the 606th chemical studied by Ehrlich in his
quest for an antisyphilitic drug. Its efficacy was first demonstrated in mice with
syphilis and then in humans. Arsphenamine was marketed with the trade name of
Salvarsan and was used to treat syphilis until the 1940s, when it was replaced
by penicillin. Ehrlich referred to his invention as chemotherapy, which is the use of a
specific chemical to combat a specific infectious organism. Arsphenamine was
important not only because it was the first synthetic compound to kill a specific
invading microorganism but also because of the approach Ehrlich used to find it. In

18
essence, he synthesized a large number of compounds and screened each one to find a
chemical that would be effective. Screening for efficacy became one of the most
important means used by the pharmaceutical industry to develop new drugs.
The next great advance in the development of drugs for treatment of infections came
in the 1930s, when it was shown that certain azo dyes, which
contained sulfonamide groups, were effective in treating streptococcal infections in
mice. One of the dyes, known as Prontosil, was later found to be metabolized in the
patient to sulphanilamide, which was the active antibacterial molecule. In 1933
Prontosil was given to the first patient, an infant with a systemic staphylococcal
infection. The infant underwent a dramatic cure. In subsequent years many derivatives
of sulfonamides, or sulfa drugs, were synthesized and tested for antibacterial and
other activities.
Discovery of penicillin
The first description of penicillin was published in 1929 by the Scottish
bacteriologist Alexander Fleming. Fleming had been studying staphylococcal
bacteria in the laboratory at St. Mary’s Hospital in London. He noticed that a mold
had contaminated one of his cultures, causing the bacteria in its vicinity to undergo
lysis (membrane rupture) and die. Since the mold was from the genus Penicillium,
Fleming named the active antibacterial substance penicillin. At first the significance
of Fleming’s discovery was not widely recognized. It was more than 10 years later
before British biochemist Ernst Boris Chain and Australian pathologist Howard
Florey, working at the University of Oxford, showed that a crude penicillin
preparation produced a dramatic curative effect when administered to mice
with streptococcal infections.

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 

Penicillium notatum, the source of penicillin.CarloBevilacqua—SCALA/Art

Resource, New York
Archival footage of Alexander Fleming and the production of penicillin.Encyclopædia
Britannica, Inc.

20
The production of large quantities of penicillin was difficult with the facilities
available to the investigators. However, by 1941 they had enough penicillin to carry
out a clinical trial in several patients with severe staphylococcal and streptococcal
infections. The effects of penicillin were remarkable, although there was not enough
drug available to save the lives of all the patients in the trial.
In an effort to develop large quantities of penicillin, the collaboration of scientists at
the United States Department of Agriculture’s Northern Regional Research
Laboratories in Peoria, Ill., was enlisted. The laboratories in Peoria had
large fermentation vats that could be used in an attempt to grow an abundance of the
mold. In England the first penicillin had been produced by growing
the Penicilliumnotatum mold in small containers. However, P. notatum would not
grow well in the large fermentation vats available in Peoria, so scientists from the
laboratories searched for another strain of Penicillium. Eventually a strain
of Penicilliumchrysogenum that had been isolated from an overripe cantaloupe was
found to grow very well in the deep culture vats. After the process of growing the
penicillin-producing organisms was developed, pharmaceutical firms were recruited
to further develop and market the drug for clinical use. The use of penicillin very
quickly revolutionized the treatment of serious bacterial infections. The discovery,
development, and marketing of penicillin provides an excellent example of
the beneficial collaborative interaction of not-for-profit researchers and the
pharmaceutical industry.
Discovery and development of hormones and vitamins
Isolation of insulin
The vast majority of hormones were identified, had their biological activity defined,
and were synthesized in the first half of the 20th century. Illnesses relating to their
excess or deficiency were also beginning to be understood at that time. Hormones,
produced in specific organs, released into the circulation, and carried to other organs,
significantly affect metabolism and homeostasis. Some examples of hormones
are insulin (from the pancreas), epinephrine (or adrenaline; from the adrenal
medulla), thyroxine (from the thyroid gland), cortisol(from the adrenal
cortex), estrogen (from the ovaries), and testosterone(from the testes). As a result of
discovering these hormones and their mechanisms of action in the body, it became
possible to treat illnesses of deficiency or excess effectively. The discovery and use of
insulin to treat diabetes is an example of these developments.
21
In 1869 Paul Langerhans, a medical student in Germany, was studying the histology
of the pancreas. He noted that this organ has two distinct types of cells—acinar cells,
now known to secrete digestive enzymes, and islet cells (now called islets of
Langerhans). The function of islet cells was suggested in 1889 when German
physiologist and pathologist Oskar Minkowski and German physician Joseph von
Mering showed that removing the pancreas from a dog caused the animal to exhibit a
disorder quite similar to human diabetes mellitus (elevated blood glucose and
metabolic changes). After this discovery, a number of scientists in various parts of the
world attempted to extract the active substance from the pancreas so that it could be
used to treat diabetes. We now know that these attempts were largely unsuccessful
because the digestive enzymes present in the acinar cells metabolized the insulin from
the islet cells when the pancreas was disrupted.

Drug Discovery and Development

Drug development process

A variety of approaches is employed to identify chemical compoundsthat may be

developed and marketed. The current state of the chemical and biological sciences
required for pharmaceutical development dictates that 5,000–10,000 chemical
compounds must undergo laboratory screening for each new drug approved for use in
humans. Of the 5,000–10,000 compounds that are screened, approximately 250 will
enter preclinical testing, and 5 will enter clinical testing. The overall process from
discovery to marketing of a drug can take 10 to 15 years. This section describes some
of the processes used by the industry to discover and develop new drugs.
The flowchart provides an overall summary of this developmental process.

22
Flowchart of research and discovery processes used for drug
development.Encyclopædia Britannica, Inc.

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TECHNOLOGICAL STRENGTH
The following attributes constitute the basis of the technological
strengths of the Indian pharmaceutical industry: -
a. Self-reliance displayed by the production of 70% of bulk drugs and
almost the entire requirement of formulation with in the country .
b. Low cost of product .
c. Low R&D cost.
d. Innovative scientific man power.
e. Excellent and world-class national laboratories specializing in
process.
f. Development and development of cost effective technologies.
g. Increase in balance of trade in Parma sector.

SMALL SCALE UNITS IN DRUGS &PHARMACEUTICALS:-

As per the guidelines issued by the ministry of micro, small &
medium enterprises, the investment limit for units to qualify as a small -
scale unit is Rs5 crore. After latest amendments in the list of items
reserved for SSI units in march 2007 only following four items having
relevance to the drugs & pharmaceutical industry are left as reserved for
exclusive manufacture by the small-scale units.
1) Niacin amide
2) Pyrazolones
3) Lanolin anhydrous
4) Potassium citrate-industrial grade

PHARMACEUTICAL ADVISORY FORUM:-

Through drug policies announced from time , government of India has
been trying to abundant of good quality essential pharmaceuticals of mass
consumption at reasonable price.
At the same time strengthening the indigenous capability for cost
effective quality production of medicines has been an important objective. To
help realize this and in order to provide a forum for a meaningful dialogue
amongst all the stakeholders on various issues concerning the drug policy,it

24
was decided to constitute a pharmaceutical advisory forum in the department
of chemicals &petrochemicals.

PHARMACEUTICAL EXPORT PROMOTION:-

Pharmaceutical export promotion council (pharmexcil) having its
Headquarters at Hyderabad and Regional offices at Mumbai and Delhi , was
set up by the Ministry of Commerce and Industry ,Government of India vide
Notification No.64 dated the 12 th May ,2004. Pharmexil is the only
Designated Agency for issue of Registration and Membership Certificates for
Pharmaceutical Exports dealing in products /services like Bulk Drugs
(APIs),Drug Intermediates, Drug Formulations, Biotechnology, Biological
Products, Herbal products (Ayurveda , Siddha & Unani),Medicinal plants,
Homeopathy, Nutraceuticals and Physiochemical,Diagnostics , Contact
Research and Technologies /Consultancy.

OBJECTIVES:-
The objectives of the council (Pharmexcil) are to extend all assistance
to the Pharmaceutical Industry in India to explore their opportunities.
Towards achieving this aim, the council is taking delegations to various
countries, organizing Business meets etc. Encouraging export activities by
arranging fund support under MAI programmes of the Government.

SERVICES:-
This Council is a Government Sponsored single window contact to
the world of Pharmaceuticals. From India and an only authorized agency for
issue of Registration cum Membership certificate (RCMC) for pharmaceutical
exports under foreign trade policy of Government of India. A port fro m this,
the Council is also providing following assistance.
a) Trade enquiries received from foreign embassies /buyers
b) Market Development assistance as provided by ministry of commerce
for Business tours to foreign countries.
c) Arrange one to one buyer /seller meets in India/Abroad
d) Arrange exhibitions in India and Abroad fro market promotion.

25
 e) Assist in regulators matters with domestic and foreign Government
agencies.

PHARMACEUTICALS EXPORT PROMOTION CELL:-

LISENCING &FDI POLICY:-

Industrial licensing for all bulk drugs cleared by Drug Controller

General India )all their intermediates and formulations has been abolished ,
subject to stipulations laid dawn from time in the industrial policy. 100%FDI is
also permissible for the manufacture of Drugs and pharmaceuticals

VALUE OF MEDICINES :-

The value of new and better medicines stems not only from the
improved treatment of disease but also from a reduction in other health care costs ,
increased productivity and better quality of life. For people who are ill and their
families ,new medicines offer hope of curing or controlling disease ,preventing
complications , extending life ,reducing disability and improving quality of life.
According to the National center for Health statistics ,these hopes are often
fulfilled :”Drugs ,both prescribed and over-the-counter ,are an increasingly
important component of healthcare. New drugs and new uses for older drugs are
improving health outcomes and quality of life , curing some conditions ,preventing
or delaying disease and hastening recovery. “

26
 COMPANY PROFILE

Granules OmniChem Private Limited (‘Company’)

incorporated on September 2nd, 2011 as a 50:50 Joint venture between Granules India
Limited, India and Ajinomoto OmniChem N.V, Belgium. The Joint venture will
operate in the CRAMS arena, offering high value Active Pharmaceutical Ingredients
(API) and intermediate to Pharmaceutical Companies. The company will initially
focus on high value, low volume API’s and intermediates. The Company has a plant
at Ramky Pharma City-SEZ situated in Visakhapatnam, Andhra Pradesh.

The Company has completed the construction phase and has started
commercial operations on 24th October 2014. The facility has already been inspected
by many customers and has successfully gained approval from each visited to date.
GOC is a USFDA approved facility, Its other Certifications include Environment
Certification of ISO 14001 and Safety Certification of OSHAS 18001 both of which
have been achieved in the year 2018

Granules OmniChem Private Limited is fully supported by Ajinomoto

OmniChem and Granules India Limited for all quality, engineering, technology
transfer, procurement, sales and management related matters.

Our product-focused, vertically integrated business model has created a

leadership position in several generic drugs. We have a strong presence in ‘first line
of defence’ products,including Paracetamol, Ibuprofen, Guaifenesin and Metformin.
We export nearly 60% of our revenue to the US and Europe. Our key customers
include some of the leading generic, as well as, branded pharmaceutical companies.
Our integrated model for manufacturing APIs, PFIs and Finished Dosages enables us
to provide products across the value chain and enhances our competitiveness. We
have emerged into a knowledge driven, R&D focused, multi-product organization,
with inherent strength in efficient manufacturing of high-volume pharmaceutical
products.

27
 Granules at a Glance

Three characteristics define our brand’s promise: operational efficiencies

driven; R&D focused; and multi-product delivery capability.

Granules India Ltd. is a vertically integrated pharmaceutical company, headquartered

in Hyderabad, India. We manufacture Active Pharmaceutical Ingredients (APIs),
Pharmaceutical Formulation Intermediates (PFIs) and Finished Dosages (FDs),
distributed to quality conscious customers in both regulated and semi-regulated
markets. We are dedicated to excellence in manufacturing, quality and customer
service.

As Granules stands today, our business is bucketed into three areas; the Core
business which comprises our ‘core molecules- Paracetamol, Ibuprofen, Metformin,
Guaifenesin and Methocarbamol; the Emerging business that focuses on
manufacturing APIs with a focus on vertical integration and the CRAMS segment,
which focuses on contract research and manufacturing

28
New API business
Granules has initiated two strategic moves by acquiring Auctus Pharma (now,
officially amalgamated into Granules and referred to as ‘New API Business’) in
February 2014 and by setting up a dedicated R&D center to focus on the development
of this vertical. These moves are a part of our diversification strategy to strengthen
our focus on vertical integration. The acquisition of Auctus Pharma gave us access to
12 APIs, as well as key intermediates in therapeutic categories, such as anti-
histaminic, antihypertensive, anti-thrombotic, proton pump inhibitors, and anti-
convulsants, among others. Our R&D centre, while working on making the current
processes for existing products within the New API business more efficient has also
been adding new APIs to the portfolio. A strong strategic intent of forward integration
has been and will be the backbone of this segment.

Granules Pharmaceutical Inc (GPI)

We recently bought a facility in Chantilly, Virginia. Our objective is to
focus on formulation R&D by leveraging a niche technologythat enables us to make
dosage forms with specific release capabilities like pulsatile drug release in tablet and
capsule dosage form, orally disintegrating modified release tablets (XR, MR, ER),
modified release suspension and controlled substances capabilities in an abuse
deterrent technology platform,all supported by “New API business,” to stay in line
with our focus on integration.

Contract Research and Manufacturing Services (CRAMS)

We also have ventured into the CRAMS business through Granules-OmniChem, a 50-
50 joint venture with Ajinomoto OmniChem - our partner, which is nearly 40 years of
experience in CRAMS. Ajinomoto OmniChem works with branded pharmaceutical
companies, and makes patent protected products for regulated markets. Going
forward, when these products go off-patent, customers will be able to retain market
share by shifting to the products made at Granules- OmniChem, by leveraging our
expertise in efficient manufacturing.

29
Granules Consumer Health (GCH)
GCH, our consumer health division, was established to leverage our efficiencies,
scale, integration and relationship management for our core products as well as other
large-volume pharmaceutical products.While providing high-quality, cost-effective
products has been the key goal at Granules for the past three decades, carrying
forward to the retail front will let us work directly with the end customer and provide
more innovative solutions. In addition to getting their private label supplies directly
from us, retailers will have access to a responsive team that is adamant about making
their business easier and more productive.

BUSINESS MODEL:
At present, sales are made to the JV partner Ajinomoto
OmniChem, at intermediate level and the JV partner is finishing and selling the
product to its customers. This helps in validation of product. Post regulatory approvals
expected by end of FY 2018.
For the product profile, the Manufacturing process cycle is
typical and longer unlike generic products. In the present model of JV partner being
the only customer and the profile of the product, the order size are large involving
longer manufacturing time with large batch size and several stages of processing. Due
to this, the inventory holding is longer at certain stages of manufacturing process in
progress and complete batch of the product is ready for delivery.In order to briefly
explain the same, company has 4 manufacturing cells containing 19 Reactors of
different capacities.

Vision of the Company:

To be the global leader in pharmaceutical manufacturing by
process innovation and unparalleled efficiencies.

Mission
Our drive to be the best is unparalleled. We will match our drive by partnering
with global leaders in our markets, building lasting relationships, and the foundation
for mutual growth and success.

30
Values

Integrity
We will maintain consistency inour values, means and actions in conducting
our business.

Quality

We will strive to maintain the highest standards in all our products and processes.

Continuous improvement

We will systematically enhance our products, processes and services.

People

We will cultivate a conducive environment where individuals can realize their

potential.

Customer-centric

We will focus our energies towards understanding and addressing customer

expectations.

Brief Introduction of Parent Companies:

Ajinomoto OmniChem:
Ajinomoto OmniChem engages in the research and development, production, and
supply of pharmaceutical chemicals, amino acids, and chemical specialties to a global
customer base. It offers amino acids and related products, surfactants, and humectants
for pharmaceutical, biotechnology, food and nutritional, and cosmetics and toiletries
industries.

31
 Milestones of AOC:

18th Century(Wetteren) Cooppal family set up a black powder manufacture

1882(Balen) Nitroglycerine and explosives for civil use(mining industry)

under the company PRB(PoudreriesReunies de Belgiue)

1945(Wetteren) First extraction of botanical production for tannic acid

1952(Balen) Nitration products for the agrochemical market

1970(Louvain-La-Nueve) Alkaloids chemistry for the pharmaceutical industry under the

company OmniumChimique

1975(Wetteren) First production of bulk API and intermediates for

pharmaceutical customer

1980 Incorporation of Wetteren and Louvain-La-Neuve

New company name: OmniChem

1986(Balen) Incorporation of Balen

1989 Acquisition of OmniChem by Ajinomoto Co., Inc.

1996(Balen) First PFC unit in Balen Synthesis Unit 10(SY10)

2001(Balen) Second PFC unit in Balen Synthesis Unit 11(SY11)

2004 Integration of activities of AminoScience Division

New Company name:s.a.Ajinomoto OmniChem

2011(India) Joint venture between Ajinomoto OmniChem (Belgium) and

Granules (India) into Granules OmniChem(GO)

32
 Milestones of GIL:
Granules India was formed as Triton Laboratories to produce Paracetamol API at our
1984
Bonthapally facility in Hyderabad.
In 1987, Triton became the second Indian company to export pharmaceutical products to the
1987
U.S.
In 1990, Triton opened its second manufacturing facility at Jeedimetla to produce multiple
1990
APIs.

1991 In 1991, Triton laboratories was incorporated into Granules India Limited.

1993 In 1993, Granules established its first PFI facility at Jeedimetla.

In 1995, Granules became a public company, after having initial public offerings on the
1995
Bombay and Hyderabad Stock Exchanges.

2003 In 2003, Granules opened a new large volume PFI facility in Gagillapur.

2003 In 2003, Granules setup a wholly owned subsidiary, Granules USA, for marketing in the US

2005 In 2005, a new Paracetamol plant was built in Bonthapally, Hyderabad.

2006 In 2006, Granules formed a joint venture with Hubei Biocause to make and sell Ibuprofen

2008 In 2008, Granules entered into the Finished Dosage segment.

In 2010, Granules received US FDA approval for its first Abbreviated New Drug Application
2010
(ANDA)..

In 2011, Granules-OmniChem, a joint venture with Ajinomoto OmniChem was established to

2011
venture into Contract Research and Manufacturing Services (CRAMS) business.

2013 In 2013, Granules established a 10,000 sq. foot R&D facility in Pragathi Nagar, Hyderabad.

2014 In 2014, Granules acquired AuctusPharma

In 2014, Granules setup a wholly-owned subsidiary in the US; Granules Pharmaceutical to
focus on formulation R&D.
· Regulatory approvals are for the plants/ facilities
2014
· Products only include commercial products and no intermediates

· Employees only include staff on the payroll

In 2015, Granules entered the Over the Counter business in the US through Granules
2015
Consumer Healthcare

33
Granules India Limited:
Granules India Ltd is a vertically integrated pharmaceutical company, headquartered
in Hyderabad, India is dedicated to excellence in manufacturing quality and customer service.
It manufacture’s Active Pharmaceutical Ingredients (APIs), Pharmaceutical Formulation
Intermediates (PFIs) and Finished Dosages (FDs), distributed to quality conscious customers
in both regulated and semi – regulated markets. It’s business is bucketed into three areas; the
Core business which comprises of ‘core molecules-Paracetamol, ibuprofen, Metformin,
Guaifenesin and Methocarbamol; the Emerging business that focuses on manufacturing APIs
with a focus on vertical integration and the CRAMs segment, which focuses on contract
research and manufacturing.

Our Differentiating Edge

We strive to provide access to safe, effective and affordable medicines to the people
who need them. Here is how our key strengths help us achieve our objective.

34
Global Presence of GIL

Various Departments in Granules Omnichem Pvt. Ltd.

 Research and Development
 Quality Assurance
 Quality Control
 Finance and Administration
 Human Resource & Administration
 Information Technology
 Production
 Engineering & Projects
 Process Development
 Supply Chain Management.
 Warehouse
 Environment, Health & Safety

35
 ORGANIZATION STRUCTURE

Board of Directors

Mr.K.V.V.Raju
Chief Executive Officer

HR & ADMINISTRATION
DEPT
Mr. P. S. Tagore FINANCE AND ACCOUNTS DEPT
(Associate Vice president) Mr. G. Harikrishna
(Assistant General Manager)
QUALITY DEPT
Mr. N. Srinivasa Rao
PROCESS DEVELOPMENT LAB.
(Assistant General Manager) DEPT

INFORMATION
TECHNOLOGY DEPT.
Mr. V. Gopi Raju - Manager ---
(Assistant General Manager)
PRODUCTION DEPT
Mr. Girish
HR Department Sharma
in GOC:
PROCUREMENT DEPT
(Assistant General Manager) Mr. G. Sanjeev Kumar
(Senior Manager)
HR Department Hierarchy
SAFETY DEPT
Mr. K. Santosh Kumar
(Manager) ENGINEERING &PROJECTS DEPT
Mr. S. Seetharamaiah
(Assistant General Manager)
WAREHOUSE DEPT
Mr. Ch. Janardhana Rao
(Manager)

36
 P.S.Tagore
Associate Vice President

P. Abhiram
D. Harish D. Vamsidhar
Krishna (Dy. Manager - HR & Asst. Manager
(Manger L& D) Admin) (Liaison&Admin)

Sk. Apsara G. Girish

(Asst. Manager – HR & Admin) (Jr. Executive – HR & Admin.)

Various Major Functions of HR & Admin. Department in GOC:

 Recruitment
 Employee Engagement
 Liaison Roll
 Learning & Development
 Compensation & Benefits
 Compliance Management
 Time Office Management
 Corporate Social Responsibility
 Performance Management System
 Grievance Management
 Employee Transportation

37
 QUALITY AND COMPLIANCE
Meticulous assessment of applicable requirements, combined with a proactive
approach for implementing quality and regulatory standards have proven to be a
successful model for us and our clients.

The quality function at Granules is managed by highly qualified professionals with

diverse experience in working with leading agencies across the globe (U.S., Canada,
EU, Latam, BRIC and Asia Pacific countries, among others), continual improvement
processes, problem solving and total quality management tools and techniques.

Quality is reinforced at every aspect of our business. The entire Product Life Cycle is
integrated with Continual Quality Improvement philosophy, which is constantly
refined to absorb every opportunity to make it more robust and flexible,while
complying with the applicable standards. In addition, we also ensure that quality
standards are met in the processes, procedures and products of our partnership
networks. The manufacturing facilities adhere to rigorous quality framework and
assurance procedures.

At Granules, we could successfully demonstrate the integration of quality concepts

into development, commercialization, control of critical process parameters and
critical quality attributes, control of outsourcing activities (raw materials etc.) and so
on. The successful integration and compliance levels were indeed reflected in many
regulatory and client audits, and assisted us to stay ahead in the curve. Granules
actively works with all vendors and service providers to stay compliant at all times
and to continuously explore the opportunities for improvement.

The quality standards are harmonized across the functions with a common goal of
achievable and flexible standards, yet fully complying with the national and
international regulatory and quality standards. The quality systems are synchronized
to meet the global quality and regulatory standards. The basic standards considered
for Quality System design includes ICH Q7, ICH guidelines on Quality, Regulatory
and Safety, 21CFR Part 210, 211, Part 11, EU GMPs, prescribed cGMPs by WHO,
TGA, TPD, ANVISA, Cofepris and MCC, among others.

38
 PRODUCTS OF GRANULES

Active Pharmaceutical Ingredients (APIs)

At Granules, we focus on efficiently creating high-quality APIs in key therapeutic

categories with dedicated installed capacity of 26,360 TPA in the Core business, 283
KL in the Emerging business and 152KL in the current CRAMS business.

We are one of the global leaders in Ibuprofen, Paracetamol, Metformin, Guaifenesin

and Methocarbamol. Our focused API portfolio has made it possible for us to emerge
as one of the most efficient and cost-effective manufacturers, globally. We serve the
needs of our customers through four API facilities and one intermediate facility in
Hyderabad and Vizag.

Pharmaceutical Formulation Intermediates (PFIs)

Granules pioneered the concept of commercializing PFIs or Pre formulation

Ingredients, a conception for large-volume drug molecules within the pharmaceutical
production.

We entered into this business segment in the early 90s, following an insight that most
finished dosage manufacturers were not efficiently producing PFIs. Manufacturers
were granulating but could not derive operational efficiencies. They focused on
dozens of products or only created large-volume products in limited quantities, each
batch of which was processed & tested individually.
Consequently, it increased the overall cost to the manufacturers and in turn
the customers, which finally resulted in an increased cost of product to the end
consumer. This also pulled down the overall return from the manufacturers’
‘investments,’ especially because PFI manufacturing accounts for 80% of the total
cost of a finished dosage. Granules India offers PFIs that are meant to be taken from
‘drum to hopper’by our customers. The pre-formulation ingredients are taken directly
from the drums to a hopper, where they are directly compressed into tablets.

39
Finished Dosages

Granules India offers multiple finished dosage forms, comprising tablets, caplets and
press-fit capsules in bulk, blister packs and bottles.

We provide unique rapid release tablets, bilayer tablets and extended release (ER)
tablets, strengthening the competitive advantage of customers. We have our own
ANDAs and dossiers, which enable customers to enter related markets easily.

We also have a dedicated team for site-transfer related projects. We are the only
Indian pharmaceutical player to manufacture ‘pressfit’ (rapid release tablets) dosages
and are among the few to manufacture bi-layered tablets.

At GPI, our objective is to focus on formulation R&D and low volume

manufacturing by leveraging a niche technology that enables us to make dosage forms
with specific release capabilities like pulsatile drug release in tablet and capsule
dosage form , orally disintegrating modified release tablets (XR, MR, ER), modified
release suspension and controlled substances capabilities in an abuse deterrent
technology platform .

Specialty Products: Oncology, High Potent APIs & Finished Dosage Forms

A key step to progress our growth strategy within the Emerging business, initiated in
2014 was Granules’ venture into the development of APIs forward integrated into
finished dosages within the Oncology therapeutic segment.

At the Granules Research Center, we develop the APIs within this segment along with
other high potent APIs. Our R&D team possesses a unique expertise in physical
properties and polymorphism screening, generation, characterisation and stabilisation.
These APIs will be manufactured at a state of art manufacturing facility spread across
18 acres, currently under construction in Vizag.

40
 RESEARCH & DEVELOPMENT OF GRANULES

Granules set up a new state-of-the-art Research Centre in 10,000 square feet area at
ALEAP Industrial Area, Pragathi Nagar, Hyderabad.
This milestone effort has helped us to make a successful entry into an enhanced
product portfolio. The Research & Development (R&D) Centre and the Kilo-Lab
focus on full scale generic API development. They also supplement the existing R&D
efforts in our lab in Pune, which currently focuses on sustainable technology
development.

The Granules Research Centre is focused on revitalizing our growth engine to balance
short-, mid- and long-term scientific and business goals. It is committed to offering
superior and affordable solutions for products with intrinsic challenges at the
chemistry and engineering areas, while creating its own intellectual property. The
emphasis is on developing differentiated technologies, which play a key role in import
substitution.
Our team aspires to focus on different classes of projects; some of which can
generate revenue in the short-term, while others in the future. The pipeline is being
designed to cater to products of variable complexities in the areas of chemistry, IP,
regulatory, engineering and manufacturing. The center’s infrastructure has been and is
being developed, while prioritizing attention on safety and quality.

41
PFI & Formulations Development

The Gagillapur facility has one of the world’s largest single-site finished dosage
capacities with automated processes, robust infrastructure and superior quality
systems that efficiently produce finished dosages, meeting stringent benchmarks in
regulated markets. Our process development laboratory and pilot plant for R&D
initiatives replicate our PFI and Finished Dosage operations on a smaller scale. This
enables our team to work on R&D efforts, while reducing the interruption in
commercial manufacturing areas.

We also recognize the importance of our client’s requirements to develop robust

and compliant formulations. Best-in-class analytical methods, accelerated and real-
time stability studies, along with a variety of stress stability are employed to deliver
the best formulation for any product.

The team offers end-to-end product development solutions covering:

 Pre-formulation development
 Formulation development
 Analytical development
 ANDA/dossier filings
GPI, Granules’100% wholly-owned subsidiary in Chantilly, Virginia focuses on
formulation R&D with emphasis on products with specific release properties, ODTs
and DEA controlled substances. This helps us upgrade our product portfolio with
value-added complex generics.

Tech R&D

We reinforce our manufacturing excellence through proactive investments in R&D.

Our operational R&D team focuses on process improvements, which improve yields,
minimize variation and reduce waste.The R&D facility is geared toward the
development of technologically challenging products. Over the years, the R&D
innovation team has created several distinctive technology-based products to improve
patient convenience and compliance.

42
Our unique analytical methods and strong infrastructure ensure product consistency

and quality. Some highlights include,

 R&D equipment, which are geometrically scaled down for trouble-free scale-

up of commercialization, as per the 10x principle

 Dossier development in CTD / e-CTD formats, suitable for global submissions

of PFIs and Finished Dosage products

 Ability to manufacture rapid release gel caps

43
Operational Excellence

The Operational Excellence (OE) Program is a multi-year, multi-project initiative to

build technical excellence and support Granules’operational excellence.

As mapped below, the OE Program consists of three phases - Diagnostic, Design, and
Implementation - followed by a transition to operations. By employing best practices
in key disciplines, including project management and engaging leadership and staff,
we are making excellent progress towards achieving our savings goals, building
efficient and effective operations and cultivating a culture of continuous
improvement.

Operational Excellence Program History & Process

44
The OE Program began in the fall of 2009 with a comprehensive diagnosis of the
campus operational and financial environment, led by a steering committee. The
objective of the design teams was to identify, develop and propose projects that could
deliver the efficiencies and operational improvements identified in the Diagnostic
Phase. As projects are evaluated and approved, teams are formed to coordinate and
oversee the implementation. Depending on complexity, the duration of individual
project implementations vary from three-to-four months to a few years.

Our Alliances

At Granules, we believe in building strategic partnerships based on mutual trust and

long lasting relationships.

Granules Biocause

In 2007, Granules entered into a 50:50 joint venture (JV) with Hubei Biocause China,
which manufactures Ibuprofen at a plant in central China. It is one of the premier
Ibuprofen manufacturers in China, with a 4,800 TPA installed capacity. The JV
ensures a regular supply of raw material to support Granules’ growing penetration
into both, OTC & prescription finished dosages.

Granules Omnichem

In 2011, Granules entered into a 50:50 joint venture with Ajinomoto OmniChem, a
Belgian company that specializes in contract manufacturing of intermediates and APIs
for innovator companies. Granules OmniChem, a multi product API plant located in
Vizag, provides an entry into the CRAMS market, without a significant outlay in
R&D. Granules OmniChem focuses on complex APIs in therapeutic segments, such
as CVS, CNS and oncology.

45
Brief of the Company:
 Joint venture between Granules India Limited (Indian Based Company) and

Ajinomoto OmniChem (Belgium Based Company).

 Incorporated in the year 2011.

 Plant located in SEZ, Jawaharlal Nehru Pharma City, Parawada,

Visakhapatnam.

 Employee strength of 250+ as on May, 2018..

46
 PERFORMANCE APPRAISAL

Performance of appraisal is widely used in the society. However, formal

evaluation of employees is believed to have been adopted for the first time during
First World War. At the inlands of Walter Dill Scott the US army man to man rating
system for evaluating military personal. Once the employee has been selected, trained
the motivated, he is then appraised for his performance. Performance appraisal is the
step where the management finds out how effective it has been at hiring and placing
employees if any problems are identified, steps are taken too communicated to
employee and to remedy them. A performance appraisal is a process of evaluating the
performance appraisal is a process of evaluating the performance and qualification of
employee according to job and its requirement. It is also known as the process of
estimating and judging the value, excellence individually and collectively, it is the
part of all other staffing process, like recruitment, selection, placement, etc.
Definition
Performance evaluation or performance appraisal is the process of assessing the
performance and progress of an employee or of a group of employees on a given job
and his potential for future development. “It is the systematic evaluation of the
individual with respect to his/her performance on the job and his/her potential for
development.”

According to Flippo
“Performance Appraisal is the systematic, periodic and an impartial rating of an
employee’s excellence in matters pertaining to his present job and his potential for a
better job.”

Concept of Performance Appraisal

Performance evaluation or performance appraisal is the process of assessing

performance and progress of employee or of a group of employee on a given job and
his potential for future development. In concept of all formal procedure used working
organization to evaluate personality, contribution and potential of employees.

47
The Main Characteristics of Performance Appraisal
 It is the systematic examination of employee’s strength and weakness in terms
of jobs.
 Performance appraisal is the scientific or objective study. Formal procedure is
used in the study the same approach is adopted for all job holders for that
result is comparable.
 It is an organizing or continuous process where in the valuation is arranged
periodically according to a definite plan.
 Main process performance appraisal is to secure information necessary for
making objective and correct decision on employees.
Objectives of Performance Appraisal
 To provide a valid data base for personnel decision concerning placements,
pay, promotion, transfer, punishment, etc.
 To diagnosis the strength and weakness of individuals so as to identify further
training needs.
 To provide coaching, counseling, career planning and motivation to
subordinates.
 To develop positive, superior-subordinate relations and there by reduce
grievances.
 To facilitate research in personnel management.
 To test the effectiveness of the recruitment, selection, placement and induction
program.
Uses
 It provides valuable information for personnel decisions such as pay increases,
promotions, etc.
 It helps to judge the effectiveness of recruitment, selection, and placement and
orientation system of the organization.
 It is useful in analyzing training and development needs.
 It can be used to improve performance thought appropriate feedback, working
and counseling to employees.
 It facilitates Human Resource Planning, career planning and succession
planning.
 A competitive spirit is created and employees are motivated to improve their
performance.
48
Process of Performance Appraisal
 Establishing performance standards
The appraisal process begins with the setting up of criteria to be used for
appraising the performance of employees. The criteria are specified with the help
of job analysis, which reveals the contents of job. This criteria should be clear,
objective and in writing.
 Communicating the standards
The standards are conveyed to the employees and the evaluators. A feedback
regarding the standards should be obtained from the evaluators and the employees for
revision or modification.
 Measuring performance
This requires choosing the right technique of measurement, identifying the
internal and external factors influencing performance and collecting information on
results achieved.
 Comparing the actual with the standards
Actual performance is compared with the predetermined performance
standards. Such comparison will reveal the deviation, which may be positive or
negative.
 Discussing the appraisal
The results of the appraisal are communicated to and discussed with the
employees. Along with the deviations, the reason behind them are also analyzed and
discussed. Such discussion will enable the employee to know his weaknesses and
strengths.
 Taking corrective actions
Through mutual discussions with employees, the step required to improve
performance are identified and initiated. Training, coaching, counseling, etc., are
examples of corrective actions that help to improve performance.

Methods of Performance Appraisal

Several methods and techniques are used for evaluating employee performance.
These may be classified in to Traditional and Modern methods.

49
 Traditional Methods
 Ranking Method
In this is technique, evaluator assigns relative ranks to all employees in the
same work unit doing the same job. Employees are ranked from the best to the poorest
on the basis of overall performance. The relative position of an employee is reflected
in the numerical rank. It is one of the simplest methods. It is time saving and
comparative evaluation technique of appraisal.
 Man-to-man comparison method
In this method, certain factors are selected for the purpose of analysis and the
rater for each factor designs a scale. A scale of man is also created for each selected
for each factor. Then each man to be rated is compared with the man in the scale, and
certain scores are awarded to him. In other words, a whole man is compared to a “key
man” in respect of one factor at a time. This method is used in job evaluation and is
known as the factor comparison method.
 Paired comparison method
This is a modified form of man to man ranking. Herein, each employee is
compared with all others in pairs on at a time. The number of times an employee is
judged better then other determines his rank. Comparison is made on the basis of
overall performance.
 Forced distribution method
In these techniques the rater appraises an employee according to a pre-
determined distribution scale. It is assumed that it is desirable to rate only two factors
by this method that is Job performance and promo ability. For this purpose a five
poking performance scale is used without any descriptive statement& employees are
placed between two extremes of good and bad performance.
 Graphic rating scales method
It is a numerical scale indicating different degrees of a particular train. The
rater is given a printed form for each employee to be rated. The form contains several
characteristics relating to the personality and performance of employee. Intelligence,
attitude, quality of world, leadership skills judgment, etc. are some use characteristics.
This method is widely used as it is easy to understand. It allows a statistical tabulation
of scores and, a ready comparison of scores among the employees is possible. The

50
approach is multi-dimensional as several significant dimensions of the job can be
considered in evaluation.
 Critical incident method
In this method the superior keeps a written record or critical (either good or
bad) events and how different employees behaved during such events. The rating of
the employee depends on the positive or the negative behaviors during these events.
These critical incidents are identified after through study of the job and discussions
with the staff. This method helps to avoid vague impressions and general remarks as
the rating is based on actual records of behavior.
 Group appraisal method
Under this method, a group of evaluators assess employees. This group consists
of the immediate supervisors of the employee, other supervisors having close contact
with the employer’s work, head of the department and a personnel expert. The group
determines the standards of performance for the job, measures actual performance of
an employee, analysis the causes of poor performance and offers suggestions for
improvements in future.
 Grading method
Under this method, the rater considers certain factors, and marks them
accordingly to a scale. The selected factor may be analytical ability, co-operation,
dependability self-expression, job knowledge. They may be grades as ‘A’ –
outstanding, ‘B’- very good, ’C’-good/average, ‘D’-fair, ‘E’- poor. The actual
performance of an employee is then compared with these grade definitions and he is
allotted the grade which best described his performance.
 Forced choice Distribution method
In this method, the rating elements are several sets of pair’s phrases or
adjectives relating to job proficiency or personal qualification. The rater is asked to
indicate which of the phrases is most and least descriptive of the employee.

 Checklist method
In this method, series of questions are presented concerning an employee’s
behavior. Here rater does not evaluate employee performance; he supplies reports
about it and the personnel department does the final rating.

51
 Free Essay Method
In this method, the supervisor makes a free form, open-ended appraisal of an
employee in his own words and puts down his impression about the employee. The
description is always as factual and concrete as possible.
 Field review method
In this method, a trainer employee from the personnel department interviews
line supervisors to evaluate respective subordinates. The supervisor is required to give
his opinion about the progress of his subordinates and his plan of action in cases
requiring for consideration.
The traditional methods given above focus on the traits of an employee than
an his job performance , In the absence of predefined performance criteria or
standards , the personal bias or subjectivity of the evaluator affects the ratings . This
approach caused the following responses.
 The very nature of the appraisal system led to criticism.
 Criticism exercised a negative impact on goal attainment.
 Criticism increased antagonism and defensiveness among employees resulting in
inferior performance.
 Managers generally are not qualified to assess personality traits.
 Some managers discourage good performances by over emphasizing shortcomings
and almost neglecting good work.
 Modern Methods
 Assessments center method
An assessments center is a group employee drawn from different work units.
These employees work together on assignments similar to the one they would be
handlings when promoted. The most important feature of the assessments center is
job-related simulations. Evaluators observe and rank the performances of all
participants. This group evaluates all employees are both individually and collectively
by using simulations techniques like role- playing, business games and in-basket
exercises? Employees are evaluated on the basis of job related characteristics
considered important for job success. The evaluators prepare a summary report and
feedback is administered on a face-to-face basis to the employees who ask for it. An
assessment center generally measures interpersonal skills, communicating ability to
plan and organize, etc. Assessments centers are not only methods of appraisal but help

52
to determine training and development needs of employees and provide data for
human resource planning.
 Human resource accounting method
Human resources are a valuable asset for any organization. This asset can be
valued in terms of money. When competent and well-trained employees leave an
organization the human asset ids decreased and vice versa. Under this method
performance is judged in terms of costs and contributions of employees. Costs of
human resources consist of expenditure on human resource planning, recruitment,
selection, induction, training, compensation, etc. Contribution of human resources is
the money value of labor productivity or value added by human resources. Difference
between cost and contribution will reflect the performance of employees. This
method is still in the transitory stage and is, therefore, not popular at present.
 Behavioral Anchored Rating Scales (BARS)
This method combines graphic rating with critical incidents method. BARS are
descriptions of various degrees of behavior relating to specific performance
dimensions. Critical areas of job performance and the most effective behavior for
getting results are determined in advance. The rater records the observable job
behavior of an employee and compares these observations with BARS. In this way an
employee’s actual behavior is judged against the desired behavior. The steps
involved are as follows.
 Identify critical incidents
Persons with knowledge of the identify job to be appraised describe specific
examples of both effective and ineffective job behaviors.
 Select performance dimensions
The persons then cluster the behavioral incidents into a smaller set (usually 5-
10) of performance dimensions.
 Retranslate the incidents
Another group of knowledgeable persons assign each incident to the dimension
that it best describes. Incidents for which there is less than 75% agreement with the
first group are not retranslated.

53
 Assign scales to incidents
The second group rates each incident on a 7 or 9 point scale. Rating is done on
the basis of how well the behavior described in the incident represents the
performance on the appropriate dimensions. Means (average) and standards
deviations are then calculated for the scale values assigned to each incident.
 Develop final instrument
A subset of the incidents that meets both the retranslation and standard
deviation criteria is used as a behavioral anchor for the final performance dimensions.
A final BARS instrument typically comprises a series of vertical scales that are
endorsed by the include incidents. Each incident is positioned on the scale according
to its mean value.

Steps for Making Appraisal Successful

 Existence of an atmosphere of confidence and trust.
 The results of performance rather than personality traits should be given due
weight.
 The supervisor should analyze the strengths and weaknesses of the employee
and advise him.
 The appraisal programmed should be less time-consuming and less costly
 The results of appraisal should be immediately communicated to the
employee.
 A post appraisal interview should be arranged.
 Training can be used to improve the standards of performance appraisal.
 The right appraisal tools should be chosen to minimize arising problem.
Preamble
This tool requires the Managers/reviewers to be true to the ethics of fairness,
truth and integrity while facilitating the system. The Managers shall also uphold and
promote values through the system.
Objective, Philosophy and Rights
Performance is essentially focused towards employees’ development. This
means that the Manager has to necessarily take a predominantly developer or coach
role vis-à-vis the employee. This also implies that the focus is on performance
improvement/growth &employee alignment with organization strategy & values and

54
not merely on rewards and discrimination. A performance rating is an element but
not the primary aim of the performance process.
Philosophy
 To align people with organizational strategy and values.
 To be perceived as transparent & fair in the process.
 To be oriented to people development and yet, permit the onus of development
on the individual.
 To encourage teamwork and collaboration.
 To create a system of assessment by team rather than individuals.
 To differentiate among team members based on performance and potential.
 To raise the performance bar.
 To show intolerance to mediocrity.

Fundamental Rights
 The employees are guaranteed the following rights under performance
 The manager shall treat the worker with respect at all times. This means that
the Manager does not have a right to publicly criticize/ridicule the employee.
 The Manager shall spend a reasonable amount of time dialoguing with the
employee and take an active coach role to enhance employee’s performance.
 The Manager shall give continuous performance feedback to the employee and
not surprise him at the end of the year.
 The Manager shall take a long-term view of the employees’ development and
not be guided only by the here and now needs of his/her team/role.
Significant Contributor (SC)
Significant contributor is one who
 Consistently demonstrates above average achievements both in terms of
quality and quantity of output.
 Comes close to the top performers in his/her peer (similar role holders) group.
 Maintains stretch performance in critical areas.
 Shows high degree of initiative, commitment, energy and performance
orientation.
 Has good people orientation.
 Focused on his/her targets and strives hard to achieve them.

55
Contributor (C)
Contributor is one who
 Largely meets requirements of quality and output.
 Has not met stretch performance requirements consistently.
 Has potential, but not used his/her strengths.
 Shows short-term approach at times.
Partial Contributor (PC)
Partial contributor is one who
 Has met only few of the assigned targets.
 Performance has not met the acceptable standards of the company.
Low Contributor (LC)
Low contributor is one who
 Has not met most of his set targets.
 Has shown no understanding or interest in his role.
 Has not focused on the objectives.
 Has a negative attitude towards performance.
Feedback and Consequence Management
It is likely that some employees would be disappeared when they receive the
final rating. It is the job of the Manager to manage the aspirations of different levels
of performers and keep them with the employees and explain the relational behind the
rating. For all Low Contributor (LC) performers, a detailed 90 days rolling
performance improvement plan needs to be drawn up to brings them up to desired
level of performance. HR will help facilitate this process.

Role of HR
HR has to support and educate the line mangers (Managers and workers) in all
administrative and technical areas like coaching and feedback as well as dealing with
performance problems. HR would facilitate discussion at the Apex Review
Committee, ensure implementation of performance philosophy and monitor overall
quality of performance. HR would also help in implementing the development in
Section VII and analyze the closure section for monitoring quality of feedback. HR
would assist in reminding line mangers about the timelines on goal setting / half-
yearly feedback / final review and would follow up for the same. HR shall also carry
audits on the performance process periodically.
56
 DATA ANALYSIS & INTERPRETATION
1. Does the management prepare the performance plans for organization
improvement every year?

TABLE-1

S.No. Options Respondents Percentage of

respondents
1 Strongly agree 19 19
2 Agree 52 52
3 Disagree 9 9
4 Strongly disagree 20 20
5 Total 100 100

CHART-1

Percentage of Respondents

60
50
40
30
20
10
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards the performance
plans for organization improvement. For this, 18.52 percent of employees exposed to
strongly agree, 51.85 percent of employees exposed to agree, 9.26 percent of
employees exposed to disagree and 20.37 percent of employees exposed to strongly
disagree.

57
 2. Do you regularly receive feedback about your performance from higher
level official?

TABLE-2

S.No. Options Respondents Percentage of

respondents
1 Strongly agree 39 39
2 Agree 10 10
3 Disagree 31 31
4 Strongly disagree 20 20
5 Total 100 100

CHART-2

Percentage of Respondents

40
35
30
25
20
15
10
5
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards receive their
potential feedback from higher level officials with regular intervals. For this, 38.89
percent of employees exposed to strongly agree, 9.26 percent of employees exposed
to agree, 31.48 percent of employees exposed to disagree and 20.37 percent of
employees exposed to strongly disagree.

58
 3. Do you believe the appraisal system helps in the growth and development
of an individual?

TABLE-3

S.No. Options Respondents Percentage of

respondents
1 Strongly agree 29 54
2 Agree 15 28
3 Disagree 5 9.26
4 Strongly disagree 5 9.26
5 Total 54 100.00

CHART-3

Percentage of Respondents

60
50
40
30
20
10
0
Strongly agree Agree Disagree Strongly
Disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards the appraisal
system helps their individual growth and development. For this, 53.70 percent of
employees exposed to strongly agree, 27.78 percent of employees exposed to agree,
9.26 percent of employees exposed to disagree and 9.26 percent of employees
exposed to strongly disagree.

59
 4. Are you satisfied with the training inputs given by the organization in the
areas where your performance is low?

TABLE- 4
S.No. Options Respondents Percentage of
respondents
1 To large extent 38 70.37
2 To some extent 11 20.37
3 Very little extent 5 9.26
4 Not at all 0 0
5 Total 54 100.00

CHART-4

Percentage of Respondents

80
70
60
50
40
30
20
10
0
To large extent To some Very little Not at all
extent extent

INTERPRETATION
The table indicates that 70.37 percent of employees agreed that the training
inputs given by the organization to improving their performance up to large extent,
20.37 percent of employees exposed to some extent, 9.26 percent of employees
exposed to very little extent and no answers were given to infavour of any
satisfaction.

60
 5. Appraisal system provides for frank discussion between the appraiser and
the appraisee.Do you agree?

TABLE- 5
S.No. Options Respondents Percentage of
respondents
1 Strongly agree 20 37.04
2 Agree 16 29.63
3 Disagree 13 24.07
4 Strongly disagree 5 9.26
5 Total 54 100.00

CHART-5

Percentage of Respondents

40
35
30
25
20
15
10
5
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards the frank
discussion between the appraiser and the appraise. For this, 37.04 percent of
employees exposed to strongly agree, 29.63 percent of employees exposed to agree,
24.07 percent of employees exposed to disagree and 9.26 percent of employees
exposed to strongly disagree.

61
 6. Are you want to empowered and has the autonomy to plan, organize do
your work?

TABLE- 6
S.No. Options Respondents Percentage of
respondents
1 Strongly agree 15 27.78
2 Agree 23 42.59
3 Disagree 5 9.26
4 Strongly disagree 11 20.37
5 Total 54 100.00

CHART-6

Percentage of Respondents

45
40
35
30
25
20
15
10
5
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards employee’s
autonomy in their work. For this, 27.78 percent of employees exposed to strongly
agree, 42.59 percent of employees exposed to agree, 9.26 percent of employees
exposed to disagree and 20.37 percent of employees exposed to strongly disagree.

62
 7. Will you agree that appraisal system plays a vital role in identifying the
development needs of an employee?

TABLE- 7

S.No. Options Respondents Percentage of

respondents
1 Strongly agree 22 40.74
2 Agree 27 50
3 Disagree 5 9.26
4 Strongly disagree 0 0
5 Total 54 100.00

CHART-7

Percentage of Respondents

50

40

30

20

10

0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards importance of
the appraisal system in identifying developmental needs of their employment. For
this, 40.74 percent of employees exposed to strongly agree, 50 percent of employees
exposed to agree and 9.26 percent of employees exposed to disagree.

63
 8. Does the Management provides direction to employees in terms of their
work?
.
TABLE - 8
S.No. Options Respondents Percentage of
respondents
1 Strongly agree 34 62.96
2 Agree 15 27.78
3 Disagree 5 9.26
4 Strongly disagree 0 0
5 Total 54 100.00

CHART-8
\

Percentage of Respondents

70
60
50
40
30
20
10
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION

The table indicates percentage of employees’ feelings towards direction of

management in terms of their work. For this, 62.96 percent of employees exposed to
strongly agree, 27.78 percent of employees exposed to agree and 9.26 percent of
employees exposed to disagree.

64
 9. Does management accept the innovative ideas given by you?
.

TABLE - 9
S.No. Options Respondents Percentage of
respondents
1 To large extent 22 40.74
2 To some extent 10 18.52
3 Very little extent 22 40.74
4 Not at all 0 0
5 Total 54 100.00

CHART-9

Percentage of Respondents

45
40
35
30
25
20
15
10
5
0
To large extent To some Very little Not at all
extent extent

INTERPRETATION
The table indicates that 40.74 percent of employees agreed that the acceptance
of their innovative ideas by management up to large extent, 18.52 percent of
employees exposed to some extent, 40.74 percent of employees exposed to very little
extent and no answers were given regarding to infavour of any satisfaction.

65
 10. Do you think that Job rotation is necessary in the organization in order to
develop potential in all the areas?

TABLE – 10
S.No. Options Respondents Percentage of
respondents
1 Strongly agree 5 9.26
2 Agree 27 50
3 Disagree 10 18.52
4 Strongly disagree 12 22.22
5 Total 54 100.00

CHART-10

Percentage of Respondents

50
40
30
20
10
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards Job rotation for
develop their potential in all the areas. For this, 9.26 percent of employees exposed to
strongly agree, 50 percent of employees exposed to agree, 18.52 percent of employees
exposed to disagree and 22.22 percent of employees exposed to strongly disagree.

66
 11. Which pattern do you prefer for promotion?

TABLE - 11
S.No. Options Respondents Percentage of
respondents
1 Merit 27 50
2 Seniority 11 20.37
3 Both 5 9.26
4 None 11 20.37
5 Total 54 100.00

CHART-11

Percentage of Respondents

50

40

30

20

10

0
Merit Seniority Both None

INTERPRETATION
The table indicates percentage of employees’ feelings towards preference of
pattern in promotion. For this, 50 percent of employees exposed to merit, 20.37
percent of employees exposed to seniority, 9.26 percent of employees exposed to both
and 20.37 percent of employees exposed to none.

67
 12. How do you find rewards, remuneration and other systems for employee
motivation in the organization?
.
TABLE - 12
S.No. Options Respondents Percentage of
respondents
1 Excellent 25 46.30
2 Good 18 33.33
3 Average 11 20.37
4 Poor 0 0
5 Total 54 100.00

CHART-12

Percentage of Respondents

50

40

30

20

10

0
Excellent Good Average Poor

INTERPRETATION
The table indicates percentage of employees’ feelings towards the rewards,
remuneration in the organization. For this, 46.30 percent of employees expressed that
the rewards, remuneration in the organization were excellent, 33.33 percent of
employees exposed to good, 20.37 percent of employees expressed their satisfaction
and no answers were given in favour of any satisfaction.

68
 13. Is the appraisal system helpful in achieving objectives or goals of the
organization?
TABLE - 13
S.No. Options Respondents Percentage of
respondents
1 Strongly agree 28 51.85
2 Agree 10 18.52
3 Disagree 11 20.37
4 Strongly disagree 5 9.26
5 Total 54 100.00

CHART-13

Percentage of Respondents

60
50
40
30
20
10
0
Strongly agree Agree Disagree Strongly
disagree

INTERPRETATION
The table indicates percentage of employees’ feelings towards the appraisal
system to achieve the organization goals. For this, 51.85 percent of employees
exposed to strongly agree, 18.52 percent of employees exposed to agree, 20.37
percent of employees exposed to disagree and 9.26 percent of employees exposed to
strongly disagree.

69
 14. Are the ratings of the competencies done correctly during estimating the
employee performance?

TABLE - 14
S.No. Options Respondents Percentage of
respondents
1 To large extent 17 31.48
2 To some extent 26 48.15
3 Very little extent 11 20.37
4 Not at all 0 0
5 Total 54 100.00

CHART-14

Percentage of Respondents

50

40

30

20

10

0
To large extent To some Very little Not at all
extent extent

INTERPRETATION
The table indicates that 31.48 percent of employees agreed that rating the
appraisal system within the organization up to large extent, 48.15 percent of
employees exposed to some extent, 20.37 percent of employees exposed to very little
extent and no answers were given to infavour of any satisfaction.

70
 15. How is the whole appraisal system in the organization?

TABLE -15

S.No. Options Respondents Percentage of

respondents
1 Very good 28 51.85
2 Good 11 20.37
3 Satisfactory 15 27.78
4 Poor 0 0
5 Total 54 100.00

CHART-15

Percentage of Respondents

60

50

40

30

20

10

0
Very good Good Satisfactory Poor

INTERPRETATION
The table indicates percentage of employees’ feelings towards the whole
appraisal system in the organization. For this, 51.85 percent of employees exposed to
very good, 20.37 percent of employees exposed to good, 27.78 percent of employees
expressed their satisfaction and no answers were given to in favour of any
satisfaction.

71
 FINDINGS

 It is observed that most of the respondents were satisfied with the performance
plans in the organization improvement.
 It is found that most of the employees were agreed that there was a regular
feedback given procedure in the organization about their performance.
 More than half of the employees were agreed that the appraisal system helps
their individual growth and development.
 The employees were satisfied with the training inputs given by the organization
to improving their performance.
 Most of the employees were agreed that there was an acceptance of innovative
ideas given by them by the management.
 It is found that most of the employees were accepted that job rotation was used
for their potential development in all the areas.
 Most of the employees expressed that the management gives promotions based
on merit.
 Employees expressed that rewards and remuneration in the organization were
excellent.
 Rating the appraisal system in the organization was good and most of the
respondents were satisfied.
 It is observed that most of the respondents were satisfied with the whole
performance appraisal system in the organization.

72
 SUGGESTIONS

 The human resources manager should try to analyze the strengths and weakness of
an employee.
 The management should act as a mediator in between employees at the time of
conflicts and create a harmonious relationship between them.
 The manager and employee should have confidence and trust so that they offer
suggestions, which may benefit the work.
 The manager should discuss an employee’s work from time to time.
 The manager should motivate employees from time to time to reach their targets.
 To suggest some more improvement in performance appraisal system in the
organization, it is advantage both employee and management.

73
 BIBLIOGRAPHY

TEXT BOOK AUTHORS PUBLISHERS

Research Methodology R.C. Kothari New Age

International
Human Resource Management N.K.Singh Excel
Publications

Human Resource Management Dwivedi &Agarwal Vikas

Essentials of Human Resource P.Subba Rao Himalaya

Management & IR

WEBSITE

www. ignite contractors and engineers limited.com

www.citehr.com

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