Study on Promotion Policy

8/9/2019 Study on Promotion Policy

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A STUDY ON

“PROMOTION POLICY WITH REFERENCE TO RINL, VSP”

AT

VISHAKAPATNAM STEEL PLANT

(A report submitted to Andhra University)

ANDHRA UNIVERSITY

In Partial fulfillment for the award of

MASTER OF BUSINESS ADMINISTRATION

By


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Ch Deepthi

Under The Guidance Of

D. RADIKA

Senior Manager (er!onne" H#R DET$

RIN%& VISA'HAATNAM STEE% %ANT

Facilitated by HRD Deptt of RINLVSP

Vi!a"#apat$a%

O&R&'o#a$ Rao '&L&S(i$i)a!a

Va(%a

*+'HRD- RINLVSP*'HRD- RINLVSP

CERTIFICATE


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This is to certify that the project done by

Ms.CH.DEEPTHI drin! the acade"ic year #$%% &

#$%'( in partia) f)*))"ent for the a+ard of

,Master of -siness d"inistration/. This project

+or0 is ori!ina) and e1c)si2e)y done by her and

has been ne2er been a basis for a+ard3f)*))"ent

of any de!ree or si"i)ar tit)e in this 4ni2ersity or

in any other 4ni2ersity.

PLACE: VISAKHAPATNAM D# RADHI'A

DATE Senior Manager (er!onne"$



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CERTIFICATE OF PROJECT GUIDE

IN VISHAKAPATNAM STEEL PLANT

This is to certify that the project report

entit)ed a case stdy on 5PROMOTION POLICY .it#

(efe(e$ce to RINL, VSP” is a bon*re +or0 done

and sb"itted in partia) f)*))"ent of there6ire"ent for the a+ard of Master of -siness

d"inistration by CH.DEEPTHI, nder "y

!idance 7 sper2ision.


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PLACE: VISAKHAPATNAM D# RADHI'A

DATE Senior Manager (er!onne"$



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DECLARATION

I( CH.DEEPTHI( hereby dec)are that the project report entit)ed a

case stdy on 5PRO'OTION POLIC/ .it# (efe(e$ce to RINL, VSP”

84-MITTED -Y ME I8 -ONI9IDE :OR; DONE -Y ME ND IT I8 NOT

84-MITTED TO NY OTHER 4ni2ersity or pb)ished any ti"e before. This

project +or0 is in partia) f)*))"ent of the re6ire"ents for the a+ard of

the 'a!te( of 01!i$e!! *d%i$i!t(atio$, SIR& C&R&REDD/ COLLE+E

FOR WO'EN,EL2R2,*NDHR* 2NIVERSIT/&

Pl!e: VISAKHAPATNAM

Dte: CH.DEEPTHI


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ACKNO"LEDGEMENT

The


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s!!estion !idance and encora!e"ent to co"p)ete the project

sccessf))y.

Last)y I +o)d )i0e to than0 "y parents +ho ha2e a)+ays been a

!reat sorce of spport and encora!e"ent. I +o)d a)so )i0e tothan0 to a)) "y friends for the needf) assistance.

CH.DEEPTHI

INDE4

CH*PTER 5 I I$t(od1ctio$

CH*PTER 5 II I$d1!t(y P(o6le

CH*PTER 5 III Co%pa$y P(o6le

CH*PTER 7 IV P(o%otio$ Policy

CH*PTER 5 V P(o%otio$ Policy at


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Vi!a"#apat$a% Steel Pla$t Ltd&,

CH*PTER 5 VI *$aly!i! a$d I$te(p(etatio$

Fi$di$3!, !133e!tio$! a$d

co$cl1!io$

81e!tio$$ai(e

0iblio3(ap#y


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CH*PTER 5 I

INTROD2CTION

Pro"otion of one indi2ida) by another indi2ida) is a continosprocess and it is Natra) pheno"enon in h"an bein!s. This is constant)y

done( conscios)y and nconscios)y in or day&to&day interaction( either

in fa"i)y )ife or in a socia) settin! or in an or!ani@ation for that "atter.

:hi)e the indi2ida) or a !rop ses appraisa) in its o+n fashion

dependin! pon the need of the sitation( in an or!ani@ation it beco"es

necessary to adopt a for"a) "ethodo)o!y of Pro"otion becase of the

re6ire"ent of "easrin! the pro"otion for considerin! sitab)e re+ard

or pnish"ent or for assessin! the potentia) of a person to increase

his3her responsibi)ities. In short( there is a !reat re6ire"ent for assessin!

the eAciency to !ear p the prodcti2ity of the +or0&force.

O09ECTIVES

The fo))o+in! are the speci*c objecti2e of the present stdy. To

stdy the pro"otion po)icy history and their acti2ities in >8P.

%. To stdy and accesses the e1ecti2e pro"otion and

e?ecti2eness.

#. To "easre the satisfaction )e2e) of the pro"otion of >8P at

present ti"e.

'. To ana)y@e the dri2e to+ards 6a)ity that is inte!rated into

e1ecti2es/ pro"otion po)icy.


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B. To *nd the e?ecti2eness of sperior assess"ent of pro"otion.

. To stdy( identify and s!!est "easres to i"pro2e

e?ecti2eness speci*ca))y fro" 6a)ity perspecti2e.

. To *nd there is a cohesi2eness attitde to+ards each other

e"p)oyees

. To *nd sbordinates can !i2e e?ecti2e infor"ation for

e2a)atin! the pro"otion of the e"p)oyees

F. To *nd there is a roo" for the interna) csto"er in P8 and

can !i2e 2a)ab)e infor"ation for e2a)atin! the perfor"ance

of the e"p)oyee

G. To *nd '$ de!ree pro"otion can i"pro2ed the pro"otion in

>8P and can be i"p)e"ented in RINL( >8P.

SCOPE OF RESE*RCH

sa"p)e of $ respondents +ere se)ected at rando" fro"

di?erent depart"ent Personne) Depart"ent( >i!i)ance Depart"ent(

Mar0etin! Depart"ent( 9inance Depart"ent( Mi))s&:or0s Depart"ent(

Project Depart"ents and Trainin! and De2e)op"ent Depart"ent( of

e"p)oyees fro" the e1ecti2es +ere sort for their opinions on the e1istin!

pro"otion po)icy.

RESEARCH DESIGN

'ETHODOLO+/:


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To !et infor"ation abot pro"otion po)icy +ith reference to RINL(

>8P 8i"p)e Rando" 8a"p)in! sr2ey +as condcted. 9or the present

stdy of the data has co))ected by +ays fro" the fo))o+in! +ays.

81e!tio$$ai(e:

The 6estionnaire +as persona))y ad"inistrated +ith respondent in

>8P it too0 near)y '$ "intes for each respondent to *)) the 6estionnaire.

The responses +as !i2en by the respondents +ere tab)ated and a score

sheet is prepared.

O(3a$i;atio$ P(o6le:

The !enera) infor"ation re!ards or!ani@ation has been co))ected

fro" *)es( for"s( po)icy state"ents( Or!ani@ation desi!n and stee)

indstries in India. Isa pro"otion po)icy in >8P has been a)so been

co))ected fro" a)) these records.

*1t#o( 0oo"!:


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The infor"ation re)atin! to the pro"otion po)icy has been co))ected

thro!h a stdy of boo0s. H"an resorce and personne) "ana!e"ent by

C.- =pta and ;han0ha( added to this sorce of infor"ation re)atin! to

the syste".

LI'IT*TIONS:

The stdy is ho+ e2er sbjected to certain )i"itation.

% The ti"e is a "ajor )i"itation. The +ho)e stdy +as condcted

+ithin a period of # "onths.

# The stdy does not co2er the entire e1ecti2e fraternity and the

oAcia)s at the ran0 of Directors and Chair"an C" Mana!in!

Director. The stdy confers itse)f on)y to e1ecti2es ran0in! fro"

ssistant Mana!ers to =enera) Mana!ers.

' 8tdy is 6a)ity perspecti2e has on)y been 6a)itati2e theinfor"ation !athered in this re!ard is "ost)y thro!h infor"ation

discssion.

B On)y the e1istin! syste" has been stdied and no atte"pt has

been "ade to identify and co"p)ete ne+ and dyna"ic pro"otion

de to this constraints.

0RIEF DESCRIPTION

% Pro"otion po)icy is the syste"atic description of an e"p)oyee/s job&

re)e2ant stren!ths and +ea0nesses.

# The basic prpose is to *nd ot ho+ +e)) the e"p)oyee is pro"otin! the

job and estab)ish a p)an of i"pro2e"ent.


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' ppraisa)s are arran!ed periodica))y accordin! to a de*nite p)an.

B Pro"otion po)icy is not job e2a)ation. Pro"otion po)icy refers to ho+ +e))

so"eone is doin! the assi!ned job. ob e2a)ation deter"ines ho+ "ch a

job is +orth to the or!ani@ation and( therefore( +hat ran!e of pay sho)d

be assi!ned to the job.

Pro"otion po)icy is a continos process in e2ery )ar!e sca)e or!ani@ation.

P2RPOSE:

Pro"otion po)icy ai"s at attainin! the di?erent prposes. They are

% To create and "aintain a satisfactory )e2e) of pro"otion.

# To contribte to the e"p)oyee !ro+th and de2e)op"ent thro!h

trainin!( se)f and "ana!e"ent de2e)op"ent pro!ra"s.

' To he)p the speriors to ha2e a proper nderstandin! abot their

sbordinates.

B To !ide the job chan!es +ith the he)p to continos ran0in!.

To faci)itate fair and e6itab)e co"pensation based on pro"otion.

To faci)itate for testin! and 2a)idatin! se)ection tests( inter2ie+

techni6es thro!h co"parin! their scores +ith pro"otion po)icy

ran0s.

To pro2ide infor"ation for "a0in! decisions re!ardin! )ay o?(

retrench"ent etc.

F To ensre or!ani@ationa) e?ecti2eness( thro!h correctin!

e"p)oyee for standard and i"pro2ed pro"otion( and s!!estin!

the chan!e in e"p)oyee beha2ior.


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CONTENT OF PRO'OTION POLIC/:

E2ery or!ani@ation has to decide pon the content to be pro"oted

before the pro!ra""e is appro2ed. =enera))y content to be pro"oted"ay be in the for" of contribtion to or!ani@ationa) objecti2es J"easresK

)i0e prodction( cost sa2in!s( retrn on capita)( etc. other "easres are

based on

% -eha2ior +hich "easre obser2ab)e physica) actions( "o"ents(

# Objecti2es +hich "easre job re)ated res)ts )i0e a"ont of

deposits "obi)i@ed(

' Traits +hich are "easred in ter"s of persona) characteristics

obser2ab)e in pro"otion and type and )e2e) of e"p)oyees.

Co$te$t! to be p(o%oted fo( a$ oob:


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% Re!)arity of attendance

# 8e)f&e1pression :ritten and Ora)

' bi)ity to +or0 +ith others

B Leadership sty)es and abi)ities

Initiati2e

Technica) s0i))

Technica) abi)ity 3 0no+)ed!e

F bi)ity to =rasp ne+ thin!s

G bi)ity to Reason

%$ Ori!ina)ity and resorcef)ness

%% Creati2e 80i))s

%# rea of Interests

%' rea of 8itabi)ity

%B d!"ent 80i))s

% Inte!rity

% Capabi)ity for ss"in! Responsibi)ity

% Le2e) of cceptance by 8bordinates

Estab)ish =oa)s

9or Pro!ra""es

De2e)op Po)icies

9or 9eedin! bac0 Data


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Obtain Top

Mana!e"ent Desi!n physica)

Co""it"ent 9aci)ities Condct

Pro!ra""e

Do Detai)ed

ob na)ysis 8e)ect E1ercises

nd Participants

De*ne

Di"ensions to Desi!n ssessor Train

-e assessed Trainin!s ssessors

Pro!ra""e

Pro2ide 9eed

-ac0


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E2a)ate Participants

and Centre !ainst

ob 8ccess Criteria

Fi3: *$ *!!e!!%e$t Ce$t(e 'odel

H"an Pro"otion E"p)oyee

po)icies po)icy 9eedbac0

Pro"otion

Measres

Pro"otion Re)ated

8tandards

H"an E"p)oyee

Resorces Records

Decisions


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9i! ;ey E)e"ents of PROMOTION POLICY

H2'*N RESO2RCES DEVELOP'ENT:

It is +e)) reco!ni@ed e2ery+here that h"an co"petency

de2e)op"ent is essentia) prere6isite for any !ro+th or de2e)op"ent of

the or!ani@ation. H"an resorce de2e)op"ent is a ne+)y e"er!in! *e)d

of stdy. )tho!h de2e)op"ent of h"an bein!s has been in e1istence in

so"e fro" or the other since the be!innin! of ci2i)i@ation( a p)anned and

syste"atic approach to HRD in the corporate sector e"er!ed in the )atter

ha)f of the #$th centry. Many or!ani@ations ha2e set p 5HRD

Depart"ents +hich sy"bo)i@ed the reco!nition of i"portance of

e"p)oyee/s co"petency de2e)op"ent.

CONCEPT OF HRD :


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HRD is the process of he)pin! peop)e to ac6ire co"petencies. It is

an or!ani@ed )earnin! e1perience ai"ed at "atchin! the or!ani@ation

need for h"an resorce +ith the indi2ida) need for career !ro+th and

de2e)op"ent. In an or!ani@ationa) conte1t HRD is a process by +hich the

e"p)oyees of an or!ani@ation are he)ped in a continos and p)anned +ay

to

% c6ire or sharpen capabi)ities re6ire to pro"ote 2arios fnctions

associated +ith their present or e1pected ftre ro)es.

# De2e)op their !enera) capabi)ities so that "ay be ab)e to disco2er their

o+n inner potentia)ities and e1p)oit the" to f)) for their o+n and

or!ani@ationa) de2e)op"ent.

' To de2e)op and or!ani@ationa) c)tre +here sperior&sbordinate

re)ationship( tea" +or0 and co))aboration a"on! di?erent sb"its are

stron! and contribte or!ani@ationa) +ea)th and "oti2ation and pride of the e"p)oyees.

FE*T2RES OF HRD:

% H"an resorces De2e)op"ent is p)anned any syste"atic

approach to the de2e)op"ent of the peop)e.

# H"an Resorce De2e)op"ent is a continos process of

de2e)opin! the co"petencies( "oti2ation( dyna"is" and

e?ecti2eness of e"p)oyees.

' H"an Resorces De2e)op"ent is an inter discip)inary

concept.

B H"an Resorces De2e)op"ent has both "icro and "acro

aspects.


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H"an Resorce De2e)op"ent is a process not "ere)y a set

of "echanis".

O09ECTIVES OF HRD:

% To pro2ide a co"prehensi2e fra"e +or0 and "ethod for the

de2e)op"ent of h"an resorce in an or!ani@ation.

# To !enerate syste"atic infor"ation abot h"an resorce for

prpose of "an po+er p)annin!( p)ace"ent( sccession

p)annin! and the )i0e.

' To increase the capabi)ities of an or!ani@ation to recrit( retain

and "oti2ate ta)ented e"p)oyees.

B To create a c)i"ate that enab)es e2ery e"p)oyee to disco2er(

de2e)op and se his 3 her capabi)ities to a f))er e1tent( in

order to frther both indi2ida) and or!ani@ationa) !oa)s.

NEED FOR HRD:

Co"petent and "oti2ated e"p)oyees are essentia) for

or!ani@ationa) sr2i2a) !ro+th and e1ce))ence. O2er a period of ti"e( an

or!ani@ation "ay achie2e a satration point in ter"s of its !ro+th. E2en

to "aintain sch a satration )e2e) of !ro+th e"p)oyee co"petencies

need to be sharpened or de2e)oped. Ths( HRD is need by e2ery

or!ani@ation that is interested in the fo))o+in! acti2ities.


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% 8tabi)ity itse)f

# =ro+in!

' Di2ersifyin!

B Rene+in! itse)f to beco"e "ore e?ecti2e

I"pro2in! its syste"s and ser2ices

Chan!e and beco"in! "ore dyna"ic

P)ayin! )eadership ro)es

F2NCTIONS OF HRD DEP*RT'ENT:

% De2e)op a HR phi)osophy for the entire or!ani@ation

# ;eep inspirin! the )ine "ana!ers to ha2e a consistent desire

to )earn and de2e)op.

' Constant)y p)an and desi!n ne+ "ethod and syste"s of

de2e)opin! and stren!thenin! the HRD c)i"ate.

B -e a+are of the bsiness3other !oa)s of the or!ani@ation and

direct a)) their HRD e?orts to achie2e these !oa)s.

Monitor e?ecti2e)y the i"p)e"entation of 2arios HRD

sbsyste" 3 "echanis"s.

:or0 +ith nions and associations and inspire the".


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Condct h"an process research( or!ani@ationa) hea)th

sr2eys and rene+a) e1ercises re!)ar)y.

F Inence personne) po)icies by pro2idin! necessary inpts to

the personne) depart"ent 3 top "ana!e"ent.

HRD 'ECH*NIS'S:

The fo))o+in! are the "echanis"s of HRD

% Pro"otion po)icy

# Potentia) pro"otion and de2e)op"ent

' 9eedbac0 and pro"otion conse)in!

B Career p)annin!

Trainin!

Or!ani@ationa) de2e)op"ent

Re+ards

F E"p)oyee +e)fare and 6a)ity of +or0 )i0e

G H"an resorces infor"ation syste"

PRO'OTION POLIC/:

Pro"otion po)icy of so"e type is practiced on "ost or!ani@ationa)

a)) o2er the +or)d


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HRD oriented pro"otion po)icy is sed as a "echanis" by

sper2isions to

% 4nderstand the diAc)ties of their sbordinates and try to

re"o2e their diAc)ties.

# 4nderstand the stren!ths and +ea0ness of their sb&ordinates

and he)p of sbordinates to rea)i@e these.

' He)p the sb&ordinates to beco"e a+are of their position

contribtion.

B Encora!e sb&ordinates to accept "ore responsibi)ities and

cha))en!es.

He)p sb&ordinates to ac6ire ne+ capabi)ities.

P)an for e?ecti2e ti)i@ation of ta)ents of sb&ordinates.

FEED0*C? *ND PRO'OTION CO2NSELIN+:

;no+)ed!e of ones stren!ths he)ps one to beco"e "ore e?ecti2e( to

choose sitations in +hich ones stren!ths are re6ired and to a2oid

sitations in +hich ones +ea0nesses co)d create prob)e"s. These a)so

increase the satisfactions of indi2ida)s often( peop)e do not reco!ni@e

their stren!ths. 8per2isions in and HRD syste" ha2e the responsibi)ity

for on!oin! obser2ation and feedbac0 to sbordinates abot their

stren!ths and their +ea0nesses( as +e)) as for !idance in i"pro2in!

pro"otion capabi)ities.

C*REER PL*NNIN+:


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The HRD phi)osophy is that peop)e perfor" better +hen they fee)

and see "eanin! in +hat they are doin!. In the HRD syste"( corporate

!ro+th p)ans are not 0ept secret don!&ran!e p)ans for the or!ani@ations

are "ade 0no+n to the e"p)oyees. E"p)oyees are he)ped to prepare forchan!e +hene2er sch chan!e is p)anned( in fact the e"p)oyee/s he)p to

faci)itate the chan!e.

TR*ININ+:

Trainin! is )in0ed +ith pro"otion po)icy and career de2e)op"ent.

E"p)oyees !enera))y are trained on the job or thro!h specia) in hose

trainin! pro!ra"s. 9or so"e e"p)oyees Jinc)din! e1ecti2eK otside

trainin! "ay be ti)i@ed to enhance( pdate to de2e)op speci*c s0i))s. This

is especia))y 2a)ab)e if the e1terna) trainin! can pro2ide e1pertise(

e6ip"ent/s( or sharin! of e1perience that is not a2ai)ab)e +ithin the

or!ani@ation.

In&hose trainin! pro!ra"s are de2e)oped by in&hose trainers or

cons)tants hired for the tas0 and periodic assess"ents are "ade of the

trainin! needs +ithin needs( "ana!er( and e"p)oyees +ho attend in&

hose or otside trainin! e2ents are a)so e1pected to sb"it proposa)

concernin! any chan!es they +o)d )i0e to s!!est on the basis of their

ne+ 0no+)ed!e. The trainin! recei2ed by e"p)oyees is ths ti)i@ed by the

or!ani@ation.

OR+*NI@*TION DEVELOP'ENT:

The fnction inc)des research to ascertain the psycho)o!ica) hea)th

of the or!ani@ation. This is !enera))y acco"p)ished by "eans of periodic

e"p)oyee sr2eys. E?orts are "ade to i"pro2e or!ani@ationa) hea)th

thro!h 2arios "eans in order to "aintain a psycho)o!ica) c)i"ate that is


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condcti2e to prodcti2ity. The or!ani@ationa) de2e)op"ent or syste"s

e1perts a)so he)p any depart"ent or nit in the co"pany that has

prob)e"s sch as absenteeis"( )o+ resistance to chan!e.

REW*RDS:

Re+ardin! e"p)oyee/s pro"otion and beha2ior is i"portant part of

HRD( ppropriate re+ards no on)y reco!ni@e and "oti2ate e"p)oyees( bt

a)so co""nicate the or!ani@ation 2a)e to the e"p)oyees. In HRD

syste"s( inno2ations and se of capabi)ities are re+arded in order to

encora!e the ac6isition and app)ication( ne+s)etter annonce"ents(

increase in sa)ary bonses( specia) pri2i)e!es and desired trainin! re+ard

"ay be !i2en to indi2ida)s as +e)) as to tea"s( depart"ent( "ain and

other nits +ithin the or!ani@ation.

E'PLO/EE WELF*RE *ND 82*LIT/ OF WOR? LIFE:

E"p)oyees at )o+er in the or!ani@ation sa))y pro"otion re)ati2e)y

"onotonos tas0s and ha2e fe+er opportnities for pro"otion or chan!e.

This is partic)ar)y tre in de2e)opin! contries. In order to "aintain their

+or0 co""it"ent and "oti2ation( the or!ani@ation "st pro2ide so"e

+e)fare bene*ts sch as "edica) insrance( disabi)ity insrance( ho)idays

and 2acation.


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% E"p)oyees of the co"pany are its !reatest and "ost 2a)ab)e

resorces.

# :hi)e on the hand HRD sho)d appropriate)y harness e"p)oyees

potentia) for the attain"ent of co"pany objecti2es on the other( the

co"pany as its corporate responsibi)ity sho)d create an enab)in!

the best opportnity for se)f&e1pression a))&rond de2e)op"ent and

f)*))"ent.

%Peop)e are "ore than "ere resorce and therefore it +i)) be a person +ith

a)) the respect and sensiti2ity that are a)) the respect and sensiti2ity

that is +arranted +hen e"p)oyees are seen as "ore than "ore

,instr"enta)ity/.

#HRD as a "ana!e"ent fnction +i)) be !i2en a p)ace of strate!ic priority

a)on! +ith fnction )i0e prodction( "aintenance( "ateria)s or *nance

in the o2era)) sche"e of "ana!e"ent action in the co"pany.

'HRD does not refer to trainin! a)one or it is jst a ne+ na"e for trainin!.

In RINL3>8P( HRD se2era) "ana!e"ent fnctions( for the

de2e)op"ent and !ro+th of e"p)oyees.

BHRD sho)d e2enta))y be a core phi)osophy of a)) "ana!e"ent action and

sho)d not re"ain "ere)y a report "enta) 3 sectiona) acti2ity.

)) fnctiona) and di2isiona) heads responsib)e for 2arios acti2ities of the

co"pany +i)) the HRD spirit and sitab)y inte!rate HRD into their

p)ans( decision and actions.

HRD O09ECTIVES:

% To pro2ide initia))y a sitab)e "atch bet+een e"p)oyee

co"petence )e2e)s and co"pany/s +or0 re6ire"ents.

# To foster an appropriate c)i"ate and c)tre +hich natre.

E"p)oyee co"petence and crease ade6ate "oti2ationa) )e2e)s


29/130

for the app)ication of their abi)ities to assi!ned job 3 ro)es +ith

re6ired co""it"ent.

' To enab)e e"p)oyees see0 !reat identi*cation +ith the co"pany

by infsin! "ost "ana!e"ent decisions and actions +ith the

re6isite care( concern and de2e)op"ent approach.

B To +or0 to+ards enab)in! the e"p)oyees and other sta0eho)ders

as0 se)f f)*))"ent e2en +or0 for the !ro+th and property of the

co"pany.

To ti)i@ation enab)e to e"p)oyees and the or!ani@ation to

achie2e its "ission and objecti2e and bsiness !oa)s thro!h

HRD.

HRD +RO2P7?E/ *CTIVIT/:

% T


30/130

CH*PTER 5 II

INTROD2CTION TO STEEL IND2STR/ IN INDI*

STEEL IND2STR/:

8tee) indstry is the bac0 bone of a)) indstria) co""ercia) acti2ities.

Rea)i@in! these contries p)anners ha2e been for")atin! and pdatin!

anna) p)ants for prodction of iron and stee). In this conte1t a n"ber of

stee) p)ants +ere setp. The stee) indstry p)ays a 2ita) ro)e in the !ro+th

of nation/s econo"y.

8tee) is sch a 2ersati)e co""odity that e2ery object +e see in or

day to day )ife has sed stee) either direct)y or indirect)y in its prodct. To

"ention a fe+ it is sed for sch s"a)) ite"s as nai)s( need)es etc.

a!ric)tre i"p)e"ents boi)ers( ship fabrication( rai)+ay "ateria)s(

ato"obi)e parts( etc. to ha2e "achine strctre.

The !reat in2est"ent that has !one into the fnda"enta) research

in iron and stee) techno)o!y has he)ped both direct)y and indirect)y in


31/130

"any "odern *e)ds of today/s science and techno)o!y. It +o)d ha2e been

2ery painf) to i"a!ine the fate of today/s ci2i)i@ation if stee) has not been

there. 8tee) is 2ersati)e and indispensab)e ite". The 2ersati)ity stee) has

not been there. 8tee) is 2ersati)e and indispensab)e ite". The 2ersati)itystee) can be traced "ain)y of three reasons.

% It is on)y "eta))ic ite"( +hich can be continent)y and econo"ica))y

prodced( in )ar!e 6antities.

# It has !ot 2ery !ood stren!th cop)ed +ith density and "a))eabi)ity.

' It properties can be chan!ed o2er a +ide ran!e. It a))oys easi)y +ith "any

of the co""on e)e"ent.

B

NDI*=S STEEL SCEN*RIO:

Indian stee) indstry has a)+ays re"ained iso)ated and protected by

!o2ern"ent( +here the stee) indstry +as ne2er e1pected to !enerate

pro*t fro" bsiness( bt +as e1pected to pro2ide e"p)oy"ent to the

ne"p)oyed. Present)y Indian is operatin! +ith open&hearth frnaces. The

e1istin! e6ip"ent( ener!y and )abor in Indian 8tee) indstry are "ch

)o+ than de2e)oped contries.

Indian stee) indstry !enerates a si!ni*cant a"ont of +aste

"ateria)s( +hich can case en2iron"enta) prob)e"s. The for aspects of

5:aste Mana!e"ent na"e)y&reside reprocess( recyc)e and reco2ery do

not ho)d "ch !rond in the Indian stee) indstry. The Indian co"panies


32/130

cannot spend "ore for po))tion contro). The ener!y cons"ption per ton

is $&%$ hi!her than that of the internationa) nor"s.

The Indian 8tee) indstries ha2e de2e)oped a bit in the recent years.

The prodction is !ro+in! on proper)y. Many techni6es are bein!

i"p)e"ented in the stee) indstries. The contry/s ai" is to se)) 6a)ity

stee). The !o2ern"ent is a)so he)pin! the stee) indstries in this basis. The

apparent cons"ption of stee) is sho+n be)o+.

The de2e)op"ent of stee) indstry in India sho)d be 2ie+ed in

conjnction +ith the type and syste" of !o2ern"ent that had been

res)tin! the contry. The prodction of stee) in si!ni*cant 6a)ity started

after %GG$. The !ro+th of stee) indstry can be con2enient)y started by

di2idin! the period into pre and post independent era. In the period of pre

independence stee) prodction +as %. "i))ion tons per year( +hich +as

raised to G.$ "i))ion tons of tar!et by the se2enties. This is the present of

the bo)d steps ta0en by the !o2ern"ent to de2e)op this sector.

WORLD=S DE'*ND FOR STEEL :

The tota) de"and for stee) in +or)d is e1pected to !ro+ at an anna)

rate of %. bet+een %G' and #$$$ .D. as per the stdy concerned by

China econo"ists. ccordin! to their esti"ation tota) de"and in ad2anced

indstria) contries on a +ho)e is e1pected to !ro+ at $. anna) rate

fo))o+in! a #.# rate bet+een %GB to %GFB. 8tee) de"and is )ess

de2e)oped contries on a +ho)e is e1pected to !ro+ at a . anna) rate


33/130

p to #$$$ fo))o+in! a '.% anna) !ro+th rate bet+een %FB&%GGB. +ithin

the contro))in! p)ant econo"y the Eastern Erope erst+hi)e 488R re!ion

"ay ha2e $.' anna) stee) de"and !ro+th. 8tee) de"and in China(

North ;orea re!ion +o)d !ro+ at B.$ anna) rates p to the end of thiscentry at a . per anna) !ro+th drin! %GB&%GF$.

HI+HLI+HTS OF PRESENT STEEL SECON*RIO:

% The +or)d stee) sho+s a )o+ !ro+th de"and.

# There is a threat to stee) indstry fro" co"petiti2e prodcts )i0e p)astics(

a)"in" etc.

' De2e)oped contries s)o+)y redced the prodction of stee).

B De2e)opin! contries )i0e China are p)annin! to prodce stee) as "ch

)ar!e 6antity then of present otpt of F$ Mt. per ann".

Indian conscios)y and strate!ica))y decides to in2est into stee)

prodction.

Preference is !i2en to sperior 6a)ity prodcts and hi!h 2a)e ite"

prodction.

Csto"er oriented approach in 2ie+ of prodct oriented approach

F E"er!ence of ne+ techno)o!y )i0e scraps preheatin!

+ROWTH OF STEEL IND2STR/


34/130

The !ro+th in a chrono)o!ica) order is depicted be)o+

S&No& /ea( +(o.t#

% %F'$ Osier Marsha)) Heath)er constrcted the *rst

"anfactrin! p)ant at port&"otor in Madras

presidency.

# %FB a"es Ers0in fonded the -en!a) fra"e +or0s

' %FGG a"shediji TT i"itated the sche"e for an

inte!rated stee) p)ant.

B %G$ 9or"ation of TI8CO.

%G%% TI8CO 8tarted prodction

%G%F TI8CO +as fonded

%GB$ 9or"ation of Mysore iron and stee) initiated at

-hadra2athi in ;arnata0a

F %GF%&%G 9irst *2e&years p)an& The Hindstan 8tee)

Li"ited JH8LK +as born in the year %GB +ith

decision of settin! p three p)ants each +ith %

"i))ion tones in !ot stee) per year at Roir0e)a(

-hi)ai( Dr!apr. TI8Co started its e1pansion

pro!ra".

G %G&%G% 8econd *2e years p)an bo)d decision +as

ta0en p to increase the in!ot stee) otpt in

India to "i))ion tones per year and its

prodction at Ror0e)a( -hi)ai and Dr!apr

8tee) p)ant started.

%$ %G%&%G Third *2e year p)an drin! the p)an the three

stee) p)ants nder H8L( TI8CO 7 TI8CO +ere

e1pandedQ

%% %GB -o0aro 8tee) p)ant ca"e into e1istence

%# %G&%GG Recession period ti)) the e1pansion

pro!ra""es +ere acti2e)y e1isted drin! this

period.

%' %GG&%GB 9orth *2e&years p)an & 8a)e" stee) p)ant

started. Licenses +ere !i2en for settin! p of

"any "ini stee) p)ants and re&ro))in! "i))s

!o2ern"ent of India. P)ants in soth are eachin >isa0hapatna" and ;arna0ata. 8IL +as


35/130

for"ed drin! this period on #Bth anary %G'

de*nite shape. t the end of the *fth *2e year

p)ans the tota)ed insta))ed capacity fro si1

inte!rated p)ants +as p to %$. "i))ion tons

% %GG&%GF$ nna) p)an. The Erst+hi)e so2iet nion

a!reed to he)p in settin! p the

>isa0hapatna" stee) p)ant

% %GF$&%GF 8i1th *2e&year p)an +or0 on >isa0hapatna"

stee) p)ant stared +ith a bi! ban! and top

priority +as accorded to start the p)ant.

8che"es for "oderni@ation of -hi)ai 8tee)P)ant( Ror0e)a stee) p)ant( Dr!apr stee)

p)ant and TI8CO +ere i"itated. Capacity at

the end of si1th *2e&year p)an fro" si1

inte!rated p)ants stood %%.$ "i))ion tones.

% %GF&%GG% 8e2enth *2e&year p)an e1pansion +or0s at

-hi)ai and -o0aro stee) p)ant co"p)eted.

Pro!raess of >isa0hapatna" stee) p)ant pic0ed

p and the nationa)i@ed concept has been

introdced to co""ission the p)ant +ith '$MT )i6id stee) capacities by %GG$.

%F %GG#&%GG Ei!ht *2e&year p)an& The >isa0hapatna" stee)

p)ant +as co""issioned in %GG#. The cost of

p)ant has beco"e arond F crores.

>isa0hapatna" stee) p)ant started the

prodction and "oderni@ation of other stee)

p)ants is a)so d)y en!a!ed.

%G %GG$$# Ninth *2e&year p)an& Restrctrin! of

>isa0hapatna" stee) p)ant and other pb)ic

sector nderta0in!s.

STEEL PL*NTS WITH FOREI+N COLLO0OR*TIONS

Sl&

No&

Pla$t Collabo(atio$ Capacity of


36/130

Fi$i!#ed Steel P(od1ct!

% Ror0e)a 8tee) P)ant :est =er"any

# -hi)ai 8tee) P)ant Erst+hi)e 488R

' Dr!apr 8tee) P)ant -ritain

B -o0aro 8tee) P)ant Erst+hi)e 488R

Sl&N

o&

Pla$t Collabo(atio$ Capacity

of Fi$i!#ed Steel

P(od1ctio$!

*$$1al

P(od1ctio$

% Ror0e)a 8tee)

P)ant

:est =er"any (#$($$$ Tones

# -hi)ai 8tee) P)ant Erst+hi)e 488R ($($$$ Tones

' Dr!apr 8tee)

P)ant

-ritain F($$($$$ Tones

PRO0LE'S OF STEEL PL*NT IND2STR/

L*C? OF R*W '*TERI*LS:


37/130

Non&a2ai)abi)ity of !ood 6a)ity ra+ "ateria) is another faced by iron

and stee) indstry. The "odern !ain b)ast frnace needs hi!h&!rade iron

ore and !ood "eta))r!ica) coa).

9rther the indstry is nab)e to !et !ood 6a)ity and "an!anese is

+hich the princip)e( ra+ "ateria)s ne1t to iron ore are nfortnate)y "ost

of or resorces of "an!anese ore are of poor 6a)ity besides the non

a2ai)abi)ity of !ood 6a)ity ra+ "ateria)( re!)ar spp)ies of ra+ "ateria)s

are 2ery "ch handicapped de to the absence of !ood transport

faci)ities. nother prob)e" faced by the stee) indstry re)ated to the

diAc)ty in !ettin! @inc spp)ies for the continos !a)2ani@in! )ine.

L*C? OF TECHNIC*L PRO0LE'S

-hi)ai had to e1ecte orders for ship"ent of rai)s to Iran( 8oth

;orea and Ma)aysia.

-ecase of technica) )i"itations( Ror0e)a p)ant is nab)e to

sbstitte a)"in" of @inc for the prodction of !a)2ani@ed sheet apart

fro" sorce interna) prob)e"s or techno)o!y in the *e)d of stee)

prodction is not a de2e)oped one +hen co"pared to other ad2anced

contries.

+OVERN'ENT CONTROL *ND PRICIN+ POLIC/


38/130

8ince %GB%( India stee) and iron indstry +as a)"ost co"p)ete)y

state re!)ated. -oth prices and distribtion of stee) +ere nder contro) of

!o2ern"ent. The =o2t. decided to re"o2e stattory contro) o2er the price

and distribtion of a))( bt a fe+ cate!ories +ith e?ect fro" %

st

March #(%GB the =o2t. sper2ise the stee) and iron indcted accordin! to the

reco""endation of Raja Co""ittee. -t Raj co""ittee in *1in! the stee)

price didn/t re!)ate the price of ra+ "ateria)s.


39/130

CH*PTER 5 III

CO'P*N/ PROFILE

I$t(od1ctio$

>isa0hapatna" 8tee) P)ant J>8PK( the *rst coast based 8tee)

P)ant of India is )ocated( % ;M 8oth :est of city of Destiny i.e.

>isa0hapatna". -esto+ed +ith "odern techno)o!ies( >8P has an insta))ed

capacity of ' "i))ion Tons per ann" of Li6id 8tee) and #. "i))ion Tons

of sa)eab)e stee). t >8P there is e"phasis on tota) ato"ation( sea")ess

inte!ration and eAcient p& !radations( +hich res)t in +ide ran!e of )on!

and strctra) prodcts to "eet strin!ent de"ands of discernin!

csto"ers +ithin India and abroad. >8P prodcts "eet e1actin!

Internationa) 8P has beco"e the *rst inte!rated 8tee) P)ant in the

contry to be certi*ed to a)) the three internationa) standards for 6a)ity

JI8O&G$$%K( for En2iron"ent Mana!e"ent JI8O&%B$$%K 7 for Occpationa)

Hea)th 7 8afety JOH88&%F$$%K. The certi*cate co2ers 6a)ity syste"s of

a)) Operationa)( Maintenance and 8er2ice nits besides Prchase syste"s(

Trainin! and Mar0etin! fnctions spreadin! o2er B Re!iona) Mar0etin!

OAces( #B branch oAces and stoc0 yards )ocated a)) o2er the contry.

>8P by sccessf))y insta))in! 7 operatin! eAcient)y Rs. B$ crores +orth

of Po))tion Contro) and En2iron"ent Contro) E6ip"ents and con2ertin!

the barren )andscape by p)antin! "ore than ' "i))ion p)ants has "ade the

8tee) P)ant( 8tee) To+nship and srrondin! areas into a hea2en of )sh

!reenery. This has "ade 8tee) To+nship a !reener( c)eaner and coo)er

p)ace( +hich can boast of ' to B C )esser te"peratre e2en in the pea0

s""er co"pared to >isa0hapatna" City.

>8P e1ports


40/130

a+arded 8tar Tradin! Hose stats drin! %GG$$$. Ha2in!

estab)ished a dependab)e e1port "ar0et( >8P p)ans to "a0e a continos

presence in the e1port "ar0et.

Ha2in! a tota) "anpo+er of abot %($$ >8P has en2isa!ed a )abor

prodcti2ity of # Tones per "an&year of Li6id 8tee).

0ac"3(o1$d A Co(po(ate Pla$ of VSP

0ac"3(o1$d

:ith a 2ie+ to !i2e i"pets to Indstria) !ro+th and to "eet the

aspirations of the peop)e fro" ndhra Pradesh( =o2ern"ent of India

decided to estab)ish Inte!rated 8tee) P)ant in Pb)ic 8ector at

>isa0hapatna" JPK. The annonce"ent to this e?ect +as "ade in the

Par)ia"ent on % pri)S %G$ by the then Pri"e Minister of India )ate 8"t.Indira =andhi. site +as se)ected near -a)acher2 crea0 near

>isa0hapatna" city by a Co""ittee set p for the prpose( 0eepin! in

2ie+ the topo!raphica) featres( !reater a2ai)abi)ity of )and and pro1i"ity

to a ftre port. 8"t. =andhi )aid the fondation stone for the p)ant on

#$.$%.%G%.

8eeds +ere ths so+n for the constrction of a "odern 7

sophisticated 8tee) P)ant ha2in! anna) capacity of '.B Mi))ion Tons of hot

"eta). n a!ree"ent +as si!ned bet+een =o2ern"ents of India and the

erst+hi)e 488R on ne %#th( %GG for settin! p of an Inte!rated 8tee)

P)ant to prodce strctra) 7 )on! prodcts on the basis of detai)ed Project

report prepared by M3s M.N. Dastr 7 Co"pany. Co"prehensi2e re2ised

DPR joint)y prepared by 8o2iets 7 M3s Dastr 7 Co"pany +as sb"itted

in No2S %GF$ to =o2t. of India. The constrction of the P)ant started on %st

9ebrary %GF#. =o2ern"ent of India on %Fth 9ebSF# for"ed a ne+


41/130

Co"pany ca))ed Rashtriya Ispat Ni!a" Ltd. JRINLK and transferred the

responsibi)ity of constrctin!( co""issionin! 7 operatin! the P)ant at

>isa0hapatna" fro" 8tee) thority of India Ltd. to RINL.

De to poor resorce a2ai)abi)ity( the constrction co)d not 0eep

pace +ith the p)ans( +hich )ed to appreciab)e re2ision of the p)ant cost. In

2ie+ of the critica) fnd sitation and need to chec0 frther increase in the

p)ant costs( a rationa)i@ed concept +as appro2ed +hich +as to cost Rs.

FBG crores based on Bth 8P has a)ready crossed "any "i)estones in

the *e)ds of prodction( prodcti2ity 7 e1ports. Co0e rate of the order of

$G ;!3Ton of Hot "eta)( a2era!e con2erter )ife of '%# heats an a2era!e

of #'. heats per se6ence in continos -)oo" Caster. 8peci*c ener!y

cons"ption of .$ = ;a) 3 ton of )i6id stee)( a speci*c refractorycons"ption of F.GB 0! and a )abor prodcti2ity of B%B Ton 3 "an&year are

so"e of the pea0s achie2ed in prsit of e1ce))ence.

Co(po(ate Pla$ :

Vi!io$, 'i!!io$ ,Ob>ecti)e!V'O- a$d co(e )al1e!

'ISSION


42/130

To attain % "i))ion ton )i6id stee) capacity thro!h techno)o!ica) p&

!radation( operationa) eAciency and e1pansion a!"entation of assred

spp)y of ra+ "ateria)s to prodce stee) at internationa) standards of cost

and 6a)ity and to "eet the aspirations of the sta0eho)ders.

VISION

To be a continos)y !ro+in! +or)d&c)ass co"pany( +e sha))

% Harness the !ro+th potentia) and sstain pro*tab)e !ro+th.

# De)i2er hi!h 6a)ity and cost co"petiti2e prodcts and be the

*rst choice of csto"ers.

' Create an inspirin! +or0 en2iron"ent to n)eash the creati2e

ener!y of peop)e.

B chie2e e1ce))ence in enterprise "ana!e"ent.

-e a respected corporate citi@en( ensre c)ean and !reen

en2iron"ent and de2e)op 2ibrant co""nities arond s.

O09ECTIVES

% E1pand p)ant capacity to .' Mt by #$%%&%# +ith the "ission to e1pand

frther in sbse6ent phases as per Corporate P)an.

# Re2a"p e1istin! -)ast frnaces to "a0e the" ener!y eAcient to

conte"porary )e2e)s and in the process increase their capacity by % Mt

ths tota) hot "eta) capacity to . Mt.

' -e a"on!st top *2e )o+est cost )i6id stee) prodcers in the +or)d.


43/130

B chie2e hi!her )e2e)s of csto"er satisfaction.

>ibrant +or0 c)tre in the or!ani@ation.

-e proacti2e in conser2in! en2iron"ent( "aintainin! hi!h )e2e)s of safety

and addressin! socia) concerns.

CORE V*L2ES

% Co""it"ent

# Csto"er 8atisfaction

' Continos I"pro2e"ent

B Concern for En2iron"ent

Creati2ity 7 Inno2ation

'*NPOWER OF RINL, VSP a! o$ B&&BB-

*! o$

B&&

*! o$

B&&

G

*! o$

B&&

*! o$

B&&

B

*! o$

B&&

BB

EXECUTIVES #$#% &%'( $%() $%*# $%$)

)OR'S

*+,- *-., /*,0 /+-/ /*/+


44/130

RO1E2TS **- *.3 /*0 /*4 /,3

MINES -, 5, 0/ +3, 0,

OTHERS ++3. +*4/ +-,4 *++3 +-0/

NON +

E,ECUTIVES

((-# (($&& (%'' (%$* (%$''

)OR'S +35.4 +3/.4 +3,45 +++5/ ++*-5

RO1E2TS 5. 5, 5/ -. -3

MINES *.+ *5- *54 *5* *,4

OTHERS 03+ .*. +*3+ +,3, 0,4

TOTAL (*$& (*# (%%$ ()#' ($)

)OR'S +/53. +/,5/ +/4*- +,/+5 +,,.4

RO1E2TS /*3 /-/ /0* /.- /03

MINES /-4 /-3 /53 /55 /53

OTHERS **.0 **54 *4,. /-+, *-*+

?ey pe(fo(%a$ce i$dicato(! :

P(od1ctio$ Pe(fo(%a$ce:

Co%%e(cial Pe(fo(%a$ce


45/130

Year Sale!

T1($o)e(

Do%e!tic

Sale!

Epo(t!

J7 BKB GJ 7G B GG KKK

G7 BKG B

7B BJ BG KBTable &J&a co%%e(cial pe(fo(%a$ce(1pee! i$ c(o(e!-

Fi3& &J&b& Co%%e(cial Pe(fo(%a$ce !i$ce J7

Fi$a$cial Pe(fo(%a$ce


46/130

CH*PTER 5 IV

PRO'OTION POLIC/

INTROD2CTION:

Pro"otion po)icy is +ide sed in the society. Parents their chi)dren(

teacher e2a)ate their stdent and e"p)oyers e2a)ate their e"p)oyee.Ho+e2er( for"a) e2a)ation of e"p)oyees is be)ie2ed to ha2e been

adopted for the *rst ti"e drin! 9irst :or)d :ard. t the in)ands of :a)ter

Di)) 8cott the 48 ar"y "an to "an ratin! syste" for e2a)atin! "i)itary

persona). Once the e"p)oyees has been se)ected( trained the "oti2ated(

he is then pro"oted for his po)icy. Pro"otion po)icy is the step +here the

"ana!e"ent *nds ot ho+ e?ecti2e it has been at hirin! and p)acin!

e"p)oyees if any prob)e"s are identi*ed( steps are ta0en toco""nicated to e"p)oyee and to re"edy the". Pro"otion po)icy is a

process of e2a)atin! the Pro"otion po)icy is a process of e2a)atin! the

pro"otion and 6a)i*cation of e"p)oyee accordin! to job and its

re6ire"ent. It is a)so 0no+n as the process of esti"atin! and jd!in! the

2a)e( e1ce))ence.


47/130

TRENDS IN PRO'OTION POLIC/:

Ite% Fo(%e( E%p#a!i! P(e!e$t Foc1!

Ter"ino)o!

y

Merit&ratin! Pro"otion po)icy

Prpose Deter"ine +a!e increase(

pro"otion( transfer( )ay o?.

De2e)op"ent of the

indi2ida)( i"pro2ed job

pro"otion

pp)ication 9ort ran0 and *)e +or0ers 9or "ana!eria) and

technica) personne)

9actors

rated

Persona) traits Pro"otion res)t or

acco"p)ish"ent

Techni6es Ratin! sca)es +ith e"phasis

pon

Mta) !oa)&settin!.

CONCEPT OF PRO'OTION POLIC/:

Pro"otion e2a)ation or pro"otion po)icy is the process of assessin!

pro"otion and pro!ress of e"p)oyee or of a !rop of e"p)oyee on a !i2en

job and his potentia) for ftre de2e)op"ent. In concept of a)) for"a)


48/130

procedre sed +or0in! or!ani@ation to e2a)ate persona)ity( contribtion

and potentia) of e"p)oyees.

T#e %ai$ c#a(acte(i!tic of p(o%otio$ policy i! a! follo.!:

% Pro"otion po)icy is the process consistin! of series of steps.

# It is the syste"atic e1a"ination of e"p)oyee/ stren!ths and

+ea0ness in ter"s of jobs.

' Pro"otion po)icy is the scienti*c or objecti2e stdy. 9or"a)

procedre is sed in the stdy the sa"e approach is adopted for a))

jobs ho)ders for that res)t is co"parab)e.

B It is an or!ani@in! or continos process +here in the 2a)ation is

arran!ed periodica))y accordin! to a de*nite p)an.

Main process pro"otion po)icy is to secre infor"ation necessary for

"a0in! objecti2e and correct decision on e"p)oyees

O09ECTIVES OF PRO'OTION POLIC/:

The "ain prposes of pro"otion po)icy are as fo))o+s

% To pro2ide a 2a)id data base for personne) decision concernin!

p)ace"ents( pay( pro"otion( transfer( pnish"ent etc.

# To dia!nosis the stren!th and +ea0ness of indi2ida)s so as to

identify frther trainin! needs.

' To pro2ide coachin!( conse)in!( career p)annin! and "oti2ation to

sbordinates.

B To de2e)op positi2e( sperior&sbordinate re)ations and thereby

redce !rie2ances.


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To faci)itate research in personne) "ana!e"ent.

De6$itio$:

Pro"otion e2a)ation of Pro"otion po)icy is the process of assessin!

the pro"otion and pro!ress of an e"p)oyee or of a !rop of e"p)oyees on

a !i2en job and his potentia) for ftre de2e)op"ent.

Fo(%al De6$itio$:

5it is the syste"atic e2a)ation of the indi2ida) +ith respect to his 3

her pro"otion on the job and his 3 her potentia) for de2e)op"ent.

*cco(di$3 to Flippo

5Pro"otion po)icy is the syste"atic( periodic and an i"partia) ratin!

of an e"p)oyee/s e1ce))ence in "atters pertainin! to this present job and

his potentia) for a better job.

C#a(acte(i!tic!:

% It is process of consistin! of series of steps

# It is the syste"atic e1a"ination of an e"p)oyee/s stren!ths and

+ea0nesses in ter"s of his job.


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' It is a scienti*c and objecti2e stdy. 9or"a) procedres are sed

in this stdy.

B It is an on!oin! or continos process there in the e2a)ations is

arran!ed periodica))y accordin! to a de*nite p)an.

The "ain prpose of pro"otion po)icy is to secre infor"ation

necessary for "a0in! objecti2e and correct decisions on

e"p)oyees.

Ob>ecti)e!:

% To pro2ide feedbac0 to e"p)oyees so that they co"e to 0no+

+here they stand and can i"pro2e their job perfor"ance.

# To pro2ide a 2a)id data base for personne) decision concernin!

p)ace"ents( pay pro"otions( transfers( pnish"ents( etc.

' To dia!nose the stren!ths and +ea0ness of indi2ida)s so as to

identify frther trainin! needs.

B To pro2ide coachin!( conse)in!( career p)annin! and "oti2ation

to sbordinates.

To de2e)op positi2e sperior sbordinates re)ations and thereby

redce !rie2ances.

Ths( perfor"ance appraisa) ai"s at both jd!"enta) and

de2e)op"ent e?orts.


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2!e!:

B It pro2ides 2a)ab)e infor"ation for personne) decisions sch as

pay increase( pro"otion etc.

It he)ps to jd!e the e?ecti2eness of recrit"ent( se)ection

p)ace"ent and orientation syste" of the or!ani@ation.

' It is sef) in ana)y@in! and de2e)op"ent needs.

B It can be sed to i"pro2e perfor"ance tho!h appropriate

feedbac0( +or0in! and conse)in! to e"p)oyees.

It faci)itates H"an Resorce P)annin!( career p)annin! and

sccession p)annin!.

co"petiti2e spirit is created and e"p)oyees are "oti2ated to

i"pro2e their perfor"ance.

P(oce!! of Pe(fo(%a$ce *pp(ai!al:

% Estab)ishin! perfor"ance standards the appraisa) process

be!ins +ith the settin! p of criteria to be sed for appraisin! the

perfor"ance of e"p)oyees. The criteria are speci*ed +ith the

he)p of job ana)ysis( +hich re2ea)s the contents of job. This

criteria sho)d be c)ear( objecti2e and in +irin!.

# Co""nicatin! the standards the standards are con2eyed to

the e"p)oyees and the e2a)ators. feedbac0 re!ardin! the


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standards sho)d be obtained fro" the e2a)ators and the

e"p)oyees for re2ision or "odi*cation.

' Measrin! perfor"ance this re6ire choosin! the ri!ht

techni6e of "easre"ent( identifyin! the interna) and e1terna)

factors inencin! perfor"ance and co))ectin! infor"ation on

res)ts achie2ed.

B Co"parin! the acta) +ith the standards acta) perfor"ance is

co"pared +ith the predeter"ined perfor"ance standards. 8ch

co"parison +i)) re2ea) the de2iation( +hich "ay be positi2e or

ne!ati2e.

Discssin! the appraisa) The res)ts of the appraisa) are

co""nicated to an discssed +ith the e"p)oyees. )on! +ith

the de2iations( the reason behind the" are a)so ana)y@ed and

discssed. 8ch discssion +i)) enab)e the e"p)oyee to 0no+ his

+ea0nesses and stren!ths.

Ta0in! corrections thro!h "ta) discssions +ith e"p)oyees(

the step re6ired to i"pro2e perfor"ance are identi*ed and

initiated. Trainin!( coachin!( conse)in!( etc.( are e1a"p)es of

correcti2e actions that he)p to i"pro2e perfor"ance.

'ETHODS OF PERFOR'*NCE *PPR*IS*L

8e2era) "ethods and techni6es are sed for e2a)atin! e"p)oyeeperfor"ance. These "ay be c)assi*ed into Traditiona) and "odern

"ethods.

T(aditio$al 'et#od!:

B Ra$"i$3 'et#od: is techni6e( e2a)ator assi!ns re)ati2e ran0s to a))

e"p)oyee perfor"ance. These "ay be c)assi*ed into Traditiona) and

Modern "ethods.


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B 'a$7to7%a$ co%p(e!!io$ %et#od!: In this "ethod( certain factors are

se)ected for the prpose of ana)ysis and the rater for each factor desi!ns a

sca)e. sca)e of "an is a)so created for each se)ected for each factor. Then each "an to be rated is co"pared +ith the "an in the sca)e( and

certain scores are a+arded to hi". In other +ords( a +ho)e "an is

co"pared to a 50ey "an in respect of one factor at a ti"e. This "ethod

is sed in job e2a)ation and is 0no+n as the factor co"parison "ethod.

B Pai(ed co%pa(i!o$ %et#od 5 This is a "odi*ed for" of "an to "ain

ran0in!. Herein( each e"p)oyee is co"pared +ith a)) others in pairs on at

a ti"e. The n"ber of ti"es an e"p)oyee is jd!ed better than other

deter"ines his ran0. Co"parison is "ade on the basis of o2era))

perfor"ance.

B Fo(ced di!t(ib1tio$ %et#od 5 In these techni6es the rater appraises

an e"p)oyee accordin! to a pre&deter"ined distribtion sca)e. It is

ass"ed that it is desirab)e to rate on)y t+o factors by this "ethod that is

job perfor"ance and pro"o abi)ity. 9or this prpose a *2e po0in!

perfor"ance sca)e is sed +ithot any descripti2e state"ent 7 e"p)oyees

are p)aced bet+een t+o e1tre"es of !ood and bad perfor"ance.

B +(ap#ic (ati$3 !cale! %et#od! It is a n"erica) sca)e indicatin!di?erent de!rees of a partic)ar train. The rater is !i2en a printed fro" for

each e"p)oyee to be rated. The for" contains se2era) characteristics

re)atin! to the persona)ity and perfor"ance of e"p)oyee. Inte))i!ence(

attitde( 6a)ity of +or)d( )eadership s0i))s jd!"ent( etc. are so"e se

characteristics. This "ethod is +ide)y sed as it is easy to nderstand. It

a))o+s a statistica) tab)ation of scores and( a ready co"parison of scores

a"on! the e"p)oyees is possib)e. The approach is ")ti&di"ensiona) asse2era) si!ni*cant di"ensions of the job can be considered in e2a)ation.


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B C(itical i$cide$t %et#od 5 In this "ethod the sperior 0eeps a +ritten

record or critica) Jeither !ood or badK e2ents and ho+ di?erent e"p)oyees

beha2ed drin! sch e2ents. The ratin! of the e"p)oyee depends on thepositi2e or the ne!ati2e beha2iors drin! these e2ents. These critica)

incidents are identi*ed after tho!h stdy of the job and discssions +ith

the sta?. This "ethod he)ps to a2oid 2a!e i"pression and !enera)

re"ar0s as the ratin! is based on acta) records of beha2ior.

B +(o1p app(ai!al %et#od 5 4nder this "ethod( a !rop of e2a)ators

assess e"p)oyee. This !rop consists of the i""ediate sper2isors of the

e"p)oyee( other sper2isors ha2in! c)ose contact +ith the e"p)oyer/s

+or0( head of the depart"ent and a personne) e1pert. The !rop

deter"ines the standards of perfor"ance for the job( "easrers acta)

perfor"ance of an e"p)oyee( ana)ysis the cases of poor perfor"ance

and o?ers s!!estions for i"pro2e"ents in ftre.

B +(adi$3 %et#od 54nder this "ethod( the rater considers certain factors(

and "ar0s the" accordin!)y to a sca)e. The se)ected factor "ay be

ana)ytica) abi)ity( co&operation( dependabi)ity se)f&e1pression( job

0no+)ed!e. They "ay be !rades as ,/ otstandin! ,-/ 2ery !ood( ,C/

!ood3a2era!e( ,D/ fair( ,E/ poor. The acta) perfor"ance of an

e"p)oyee is then co"pared +ith these de*nitions and he is a))otted the

!rade +hich best described his perfor"ance.

B Fo(ced C#oice Di!t(ib1tio$ %et#od 5 In this "ethod( the ratin!

e)e"ents are se2era) of pair/s phrases of adjecti2es re)atin! to job

pro*ciency or persona) 6a)i*cation. The rater is as0ed to indicate +hich

of the phrases is "ost and )east descripti2e of the e"p)oyee.


55/130

C#ec"li!t %et#od 5 In this "ethod( series of 6estions are presented

concernin! and e"p)oyee/s beha2ior. Here rater does not e2a)ate

e"p)oyee perfor"ance he spp)ies reports abot it and the personne)

depart"ent does the *na) ratin!.

B F(ee E!!ay 'et#od 5 In this "ethod( the sper2isor "a0es a free for"(

open&ended appraisa) of an e"p)oyee in his o+n +ords and pts do+n his

i"pression abot the e"p)oyee. The description is a)+ays as facta) and

concrete as possib)e.

B Filed (e)ie. %et#od 5 In this "ethod( trainer e"p)oyee fro" the

personne) depart"ent inter2ie+s )ine sper2isors to e2a)ate respecti2e

sbordinates. The sper2isor is re6ired to !i2e his opinion abot the

pro!ress of his sbordinates and his p)an of action in cases re6irin! for

consideration.

The tradition "ethods !i2en abo2e focs on the traits of an e"p)oyee

than an his job perfor"ance( in the absence of prede*ned perfor"ance

criteria or standards( the persona) bias or sbjecti2e)y of the e2a)ator

a?ects the ratin!. This approach cased the fo))o+in! responses

% The 2ery natre of the appraisa) syste" )ed to criticis"

# Criticis" e1ercised a ne!ati2e i"pact on !oa) attain"ent

' Criticis" increased anta!onis" and defensi2eness a"on!

e"p)oyees res)tin! in inferior perfor"ance.

B Mana!ers !enera))y are not 6a)i*ed to assess persona)ity traits.

8o"e "ana!ers discora!e !ood perfor"ances by o2er

e"phasi@in! shortco"in!s and a)"ost ne!)ectin! !ood +or0.


56/130


57/130

B 0e#a)io(al *$c#o(ed Rati$3 Scale! 0*RS- 7 This "ethod co"bines

!raphics ratin! +ith critica) incidents "ethod. -R8 are decryptions of

2arios de!rees of beha2ior re)atin! to speci*c perfor"ance di"ensions.

Critica) areas of job perfor"ance and the "ost e?ecti2e beha2ior for!ettin! res)ts are deter"ined in ad2ance. The rater records the

obser2ab)e job beha2ior of an e"p)oyee and co"pares these obser2ations

+ith -R8. In this +ay an e"p)oyee/s acta) beha2ior is jd!ed a!ainst

the desired beha2ior. This steps in2o)2ed are&

B Ide$tify c(itical i$cide$t! 5 Persons +ith 0no+)ed!e of the identify job

to be appraised describe speci*c e1a"p)es of both e?ecti2e and

ine?ecti2e job beha2iors.

B Select pe(fo(%a$ce di%e$!io$! 7 The persons then c)ster the

beha2iora) incidents into a s"a))er set Jsa))y &%$K of perfor"ance

di"ensions.

B Ret(a$!late t#e i$cide$t! 5 nother !rop of 0no+)ed!eab)e persons

assi!n each incident to the di"ension that it best describes. Incidents for

+hich there is )ess than a!ree"ent +ith the *rst !rop are not

retrans)ated.

B *!!i3$ Scale! to i$cide$t! 7 The second !rop rates each incident on a

or G point sca)e. Ratin! is done on the basis of ho+ +e)) the beha2ior

described in the incident represents the perfor"ance on the appropriate

di"ensions. Means Ja2era!eK and standards de2iations are then

ca)c)ated for the sca)e 2a)es assi!ned to each incident.


58/130

B De)elop 6$al i$!t(1%e$t 5 sbset of the incidents that "eet both the

retrans)ation and standard de2iation criteria is sed a beha2iora) anchor

for the *na) perfor"ance di"ensions. *na) -R8 instr"ent typica))y

co"prises a series of 2ertica) sca)es that are endorsed by the inc)deincidents. Each incident is positioned on the sca)ed accordin! to its "ean

2a)e.

B J de3(ee! pe(fo(%a$ce app(ai!al 7 This is a ne+ concept in

perfor"ance appraisa)( +here the feedbac0 is co))ected for" a)) arond

the e"p)oyee( the speriors( the sbordinates( the peer !rop( and the

csto"ers. The e2a)ation is 2ery co"prehensi2e in ter"s of the

e"p)oyee/s s0i))s( bi)ities( sty)es( and job&re)ated co"petencies. This

syste" has the fo))o+in! ad2anta!es

# Hi!her 2a)idity and re)iabi)ity of the e2a)ation

' 8e)f e2a)ation by the e"p)oyees !ets co"pared +ith the

perception of others.

B He)ps in "a1i"i@in! e"p)oyee potentia) in the face of

cha))en!es.

*DV*NT*+ES:

% Ratin!s are )i0e)y to be accrate becase these are done by

e1perts.

# The "ethod is "ore re)iab)e and 2a)id as it is job speci*c and

identi*ed obser2ab)e and "easrab)e beha2ior.

' Ratin!s are )i0e)y to be "ore acceptab)e de to e"p)oyee

participation


59/130

B The se of critica) incidents is sef) in pro2idin! feedbac0 to the

e"p)oyee bein! rated.

Li%itatio$!:

% It is 2ery cons"in! and e1pensi2e to de2e)op -R8 for e2ery

job.

# -eha2iors sed are "ore acti2ity oriented than res)ts oriented

*pp(ai!al by (e!1lt o( '0O 'a$a3e%e$t by Ob>ecti)e!- The

concept of "ana!e"ent by objecti2es +as de2e)oped by Peter Drc0er in

%GB. 8ince the M-O has beco"e an e?ecti2e and operationa) techni6e

of perfor"ance appraisa) and a po+erf) phi)osophy of "ana!in!.


60/130

CH*PTER 5 V

PRO'OTIONS POLIC/ *T RINL7VSP

PRO'OTION POLIC/ *ND R2LES FOR E4EC2TIVES

B& INTROD2CTION

RINL3>8P has a 2ision to e"er!e as an e1ce))ent or!anisation in the co"ityof stee) prodcers of the contry. This ca))s for dyna"ic or!anisation


61/130

strctre respondin! s+ift)y and e1ib)y to the fast chan!in! bsiness

en2iron"ent. In pro"otin! and sstainin! sch a dyna"ic strctre(

RINL3>8P is co""itted to pro2ide professiona) satisfaction to its

e1ecti2es thro!h c)ear&ct responsibi)ity and accontab)i)ity. In this

bac0!rond( it is essentia) to ha2e a +e)) )aid&ot po)icy fra"e+or0 +hichinte!rates indi2ida) aspirations for !ro+th +ith the fnctiona) needs of

the or!anisation( and fosters a con!enia) +or0in! en2iron"ent to bi)d p

syner!y in the or!anisation.

#.$ O-ECTI>E8

#.% To "an fnctiona) positions in the co"pany +ith co"petent personne)

ha2in! !ro+th potentia).

#.# To infse a sense of co"petiti2eness a"on!st the e1ecti2es to e1ce)

in their perfor"ance.

#.' To )in0 the career !ro+th of e1ecti2es +ith their perfor"ance.

#.B To pro2ide positiona) !ro+th +ith speci*c responsib)i)ity and de*nite

accontabi)ity.

#. To stren!then front)ine e1ecti2e base by broadbandin! of the !rades.

#. To pro"ote and sstain a atter strctre by pro2idin! !ro+th +ithot

bi)din! p hierarchy.

#. To spe)) ot c)ear)y the princip)es +hich !o2ern the syste" of

pro"otion of e1ecti2es in the

co"pany.

'.$ 8COPE

'.% This po)icy and r)es sha)) co2er a)) pro"otions +ithin the e1ecti2e

posts and +i)) be app)icab)e to a)) re!)ar e1ecti2es of the co"pany

Je1cept to the e1tent e1press)y e1c)ded in this po)icy and r)esK inc)din!ot&station nits( oAces and "ines.

'.# Deptationists( persons appointed for a )i"ited tenre on adhoc basis(

sperannated persons

reappointed in the Co"pany and e1ecti2es en!a!ed on contract or

te"porary basis sha)) not be co2ered nder this Po)icy and R)es.

%Re2ised 2ide Personne) Po)icy Circ)ar No.%3G dated .%%.%GG.

PER8ONNEL MN4L


62/130

R8HTRIY I8PT NI=M LTD. #.%.#

'.' This Po)icy and R)es sha)) not co2er pro"otions fro" non&nionised

sper2isory cadre to e1ecti2e cadre and for !ro+th thereafter( +hich are

bein! !o2erned by a separate po)icy.

C)ari*cation s at .% Note&JaK

'.B This Po)icy and R)es sha)) a)so not co2er pro"otions fro" E&F to E&G

!rade( for +hich a separate po)icy e1ists.

B.$ EVEC4TI>E PO8T83=RDE8

B.% %The e1ecti2e posts3!rades in the Co"pany +hich are co2ered nder

this Po)icy and R)es are as fo))o+s

8ca)e E1istin! 8ca)es 8ca)e Re2ised 8ca)es of pay

Code Code +.e.f. %.%.%GG

Rs . Rs .

E&$ '$$&%&$# E&$ F$$$&%B$$

E&% B$$$$&$$$&F#$ E&% %$$&'$$&%$

E $$&$&GB$$ E %'$$&'$&%F#$

E&' $$&'$$&G$$ E&' %$$$&B$$$F$$

E&B $$&'$$&GG$$ E&B %$$&B$$#'$$

E& G$&'$$&%$$$ E& %F$$&B$'G$$

E& FB$$&'$$&%$#$$ E& %G$$$&B$BB$$

E& G$$$&'$$&%$$$ E& %G$$&B$'$

E&F G$$&B$$&%%$$ E&F #$$$&$$$$

B.# )) pro"otions "ade in accordance +ith this Po)icy and R)es +i)) be

fro" one

sca)e of pay to the ne1t( +ithot s0ippin! any sca)e of pay.

.$ PROMOTION 8Y8TEM8

.% Pro"otions fro" E&% to E( E to E&' and E&' to E&B !rades +i)) be

e?ected on the basis


63/130

of "erit of the e)i!ib)e e1ecti2es in accordance +ith the r)es prescribed.

9or this prpose(

the posts in these B !rades +i)) be poo)ed to!ether and operated.

%"ended 2ide OAce Order No.PL3RR3:J$%K3#$$% dated #G.G.#$$%.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.%.'

.# Pro"otions fro" E&B to E& !rade and abo2e in respect of e)i!ib)e

e1ecti2es +i)) depend on

a2ai)abi)ity of 2acancies in the ne1t hi!her !rades in the respecti2e LOPs

and based on the need

to *)) p sch 2acancies.

.' Pro"otions +i)) be based on the assessed )e2e)s of perfor"ance of the

e1ecti2es in ter"s of

credit points in accordance +ith the perfor"ance appraisa) syste" of the

Co"pany.

J& ELI+I0ILIT/ CRITERI*

9or consideration for pro"otion( an e1ectti2e has to f)*) the fo))o+in!e)i!ibi)ity criteria

JaK Mini"" e)i!ibi)ity period

JbK Mini"" perfor"ance criteria

JcK 8ho)d be +ithin the @one of considerations( +here app)icab)e.

Note The "ana!e"ent "ay prescribe 6a)i*cations for positions in the

hi!her !rades JE& and

abo2eK and certain specia)i@ed3stattory posts. On)y those e1ecti2es +ho

possess the

prescribed 6a)i*cations and f)*) the e)i!ibi)ity criteria as abo2e( +i)) be

considered for sch

posts.

.% MINIM4M ELI=I-ILITY PERIOD

The e1ecti2e sho)d f)*) the fo))o+in! "ini"" e)i!ibi)ity period in therespecti2e LOPs


64/130

9or pro"otions fro" E&% to ' years ser2ice

E( E to E&'( E&' to E&B in the ne1t be)o+

E&B to E&( E& to E&( E& to E& !rade

E& to E&F # years ser2ice

in the ne1t be)o+ !rade

NOTE

JaK E1ecti2es recrited as Mana!e"ent Trainees in E&$ !rade as per the

Mana!e"ent Trainee

8che"e of the co"pany +i)) be p)aced in E&% !rade( fro" the date of their

satisfactory

co"p)etion of trainin!( as per the trainin! co"p)etion procedre.

This( ho+e2er( is not app)icab)e to e1ecti2es appointed in E&$ !rade

other+ise than as

Mana!e"ent Trainees of the Co"pany. Their p)ace"ent in E&% !rade and

!ro+th thereafter

+i)) be re!)ated as per r)es3procedre prescribed separate)y.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.%.B

C)ari*cations !i2en 2ide PL3RR3'J%K3GF( Dated $F.$%.GF.

iK The e1ecti2e e"p)oyees +ho ha2e been pro"oted fro" the Non&

4nionised 8per2isory

cadre to E1ecti2e cadre +i)) be re6ired to pt in t+o years of ser2ice in

E&$ !rade for

bein! considered for p)ace"ent in E&% !rade as pro2ided nder the

Pro"otion Po)icy for

Non&4nionised 8per2isory cadre and E1ecti2e cadre( sbject to other

e)i!ibi)ity criteria

as )aid do+n.

iiK 8eniority in E&% !rade and e)i!ibi)ity for pro"otion to E !rade +i)) be

conted fro" the


65/130

date of entry into E&% !rade i.e. ' years in E&% !rade( sbject to f)*))in!

other criteria.

iiiK 9or pro"otions fro" E to E&' and thereafter( they sha)) be !o2erned

by the Po)icy and

R)es for E1ecti2es issed 2ide circ)ar No. %3G dated $.%%.%GG( as

a"ended fro"

ti"e to ti"e.

JbK The period of trainin! as Mana!e"ent Trainee in E&$ !rade +i)) be

ta0en into acont for the

prpose of co"ptation of e)i!ibi)ity period in E&% !rade( sbject to the

condition that the

e1ecti2e has +or0ed for a "ini"" of # years after p)ace"ent in E&%

!rade.

JcK :here an e1ecti2e a2ai)s of e1tra&ordinary )ea2e e1ceedin! a period

of three "onths in one

or "ore spe))s drin! the e)i!ibi)ity period( the tota) period of sch e1tra&

ordinary )ea2e +i)) be

e1c)ded +hi)e co"ptin! the e)i!ibi)ity period.

JdK The period of stdy )ea2e !ranted by the Co"pany +i)) be ta0en into

accont in deter"inin!

the "ini"" e)i!ibi)ity period for pro"otion( sbject to the condition that

the e1ecti2e has

co"p)eted the corse satisfactori)y.

.# MINIM4M PER9ORMNCE CRITERI

JaK n e1ecti2e sho)d secre a "ini"" of %$ credit points ot of a

co"bined tota) of '$$

points of the three precedin! nna) Perfor"ance ppraisa) Reports.

JbK In case of e1ecti2es recrited as Mana!e"ent Trainees +here on)y

t+o nna) ppraisa)

Reports "ay be a2ai)ab)e( the "ar0s obtained by the" drin! trainin! +i))

be ta0en into accont


66/130

in )ie of the third report. 9or this prpose( the a!!re!ate percenta!e of

"ar0s obtained in the

e1a"ination inc)din! 2i2a&2oce etc.( at the end of the trainin! period +i))

be con2erted on prorata

basis to a "a1i"" of %$$ points.

.' >I=ILNCE 7 DI8CIPLINRY CLERNCE

The e1ecti2e sho)d be c)ear fro" 2i!i)ance and discip)inary an!)es in

ter"s of Personne)

Po)icy Circ)ar No.PL3RR3'J%$K dated #'.%%.F' read +ith Personne) Po)icy

Circ)ar No.

PL3RR3'JK3G dated #.'.G.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.%.

.B WONE O9 CON8IDERTION

9or consideration for pro"otion fro" E&B to E& !rade and abo2e( the

E1ecti2e sho)d be

+ithin the @one of consideration based on re)ati2e "erit in the LOP( aspro2ided in c)ase .#.'.

.$ METHODOLO=Y

)) pro"otions are pro"otions by se)ection based on "erit as reected in

the ppraisa)

Reports and the potentia) assess"ent by DPCs( as prescribed herender

.% Pro"otions fro" E&% to E( E to E&' 7 E&' to E&B !rades

.%.% Pro"otions fro" E&% to E( E to E&' 7 E&' to E&B !rades sha)) be

de)in0ed fro" 2acancies

and )in0ed to the prescribed perfor"ance of the e1ecti2es as assessed in

their anna)

perfor"ance appraisa) reports.

.%.# Pro"otions +ithin the c)ster i.e.E&% to E( E to E&' 7 E&' to E&B

!rades +i)) be condcted

t+ice in a year.


67/130

.%.' Personne) Deptt. sha)) prepare )ist of e1ecti2es in E&%( E( E&'

!rades +ho f)*) the e)i!ibi)ity

criteria as prescribed in c)ases & .%( .# and .'. Those e1ecti2es +ho

do not f)*) the

prescribed e)i!ibi)ity criteria sha)) not be considered for pro"otion ab

initio.

.%.B Personne) Deptt. +i)) a)so prepare separate)y the )ist of sch

e1ecti2es +hose na"es ha2e

not been inc)ded in the "erit )ist and +ho are not e)i!ib)e to be

considered for pro"otion on

accont of not f)*))in! the criteria nder c)ases & .%( .# and .' and

p)ace the sa"e before

the Depart"enta) Pro"otion Co""ittee JDPCK for its infor"ation and

persa).

.%. 9ro" ot of the )ist of e1ecti2es prepared as per ca)se & .%.'(

& e1ecti2es ha2in! three years of ser2ice in the ne1t be)o+ !rade and

$ of credit

points in the precedin! three appraisa) reports( i.e. a tota) of %F$ pointsot of '$$( sbject

to a "ini"" of $ in at)east t+o appraisa)s inc)din! the )atest one(

sha)) be pro"oted.

& e1ecti2es ha2in! for years of ser2ice in the ne1t be)o+ !rade and

of credit points

in the precedin! for appraisa) reports( i.e. a tota) of ##$ points ot of

B$$( sbject to

a "ini"" of $ in at)east t+o appraisa)s inc)din! the )atest one( sha))

be pro"oted.

& e1ecti2es ha2in! *2e years of ser2ice in the ne1t be)o+ !rade and $

of credit points

in the precedin! *2e appraisa) reports( i.e. a tota) of #$ points ot of $$(

sha)) be

pro"oted.


68/130

.%. The e1ecti2es pro"oted sha)) be entit)ed for "onetary bene*t fro"

the date of ass"ption

of char!e on)y.

PER8ONNEL MN4L


.# PROMOTION 9ROM E&B TO E& ND -O>E

.#.% Pro"otions fro" E&B to E& and abo2e +i)) be 2acancy based and +i))

be e?ected on)y on

a2ai)abi)ity of 2acancies in the respecti2e LOPs and based on the need to

*)) p sch 2acancies.

.#.# Personne) Depart"ent +i)) dra+ p )ists of e)i!ib)e e1ecti2es in

respecti2e LOPs on the basis

of "erit as deter"ined fro" the tota) credit points of nna) ppraisa)

Reports of the

precedin! ' years. !ainst each 2acancy( not "ore than e)i!ib)e

e1ecti2es +i)) be

considered fro" the )ist in the descendin! order of "erit. Ho+e2er( in case

of a tie bet+een

the )ast e1ecti2e in @one of consideration and the ne1t be)o+

e1ecti2eJsK as a res)t of their

obtainin! e6a) n"ber of credit points( a)) the e1ecti2es in2o)2ed in the

tie +i)) be considered

a)on! +ith other e)i!ib)e e1ecti2es by the DPC. In sch an e2ent the

n"ber of e1ecti2es

to be considered for pro"otion a!ainst a 2acancy "ay e1ceed .

.#.' List of e)i!ib)e e1ecti2es fa))in! +ithin the @one of consideration

dra+n p on the basis

pro2ided in c)ase &.#.# +i)) be p)aced before the Depart"enta)

Pro"otion Co""ittee

JDPCK. The DPC +i)) assess the sitabi)ity of the e1ecti2es based on the

perfor"ance as


69/130

rated in the anna) perfor"ance appraisa)s( ser2ice in the !rade and the

potentia) of the

e1ecti2e as assessed by DPC.

The assess"ent of the potentia) +i)) be done as per the for"at enc)osedat nne1re&I. 9or

the prpose of deter"inin! the tota) "ar0s obtained by the e)i!ib)e

e1ecti2es( the perfor"ance(

ser2ice in the !rade and potentia) +i)) carry the fo))o+in! "ar0s

Para"eter Mar0s

Perfor"ance $

8er2ice #$

Potentia) '$

& Perfor"ance to be conted in ter"s of a2era!e credit points of the

precedin! ' years.

& 8er2ice +ei!hta!e +i)) carry a tota) of #$ "ar0s +ith each "onth beyond

the e)i!ib)e

period of ser2ice in the !rade ha2in! a credit of $. "ar0s.

& "ini"" of %F "ar0s of '$ in potentia) assess"ent +i)) be re6ired for

bein!

pro"oted.

.#.B The DPC +i)) dra+ p se)ect )ist of the pro"otab)e e1ecti2es in

order of "erit on the basis

of tota) "ar0s obtained( sbject to the n"ber of 2acancies. Potentia)

assess"ent +i)) be "ade

by the DPC by +ay of inter2ie+ in case of pro"otion fro" E&B to E& and

E& to E&. There

+i))( ho+e2er( be no inter2ie+ for pro"otion fro" E& to E& and E& to E&F

!rades and the

PER8ONNEL MN4L



70/130

DPC +i)) assess the potentia)ity based on perfor"ance as reected in the

ppraisa) Reports

and the record of the ser2ice.

F.$ DEPRTMENTL PROMOTION COMMITTEE8 JDPCsK

F.% The DPC for consideration of pro"otions fro" E&% to E( E to E&'( E&

' to E&B !rades +i))

consist of

JaK Conerned E1ecti2e Director3=enera) Mana!er

JbK Concerned HOD

JcK representati2e of Personne) Depart"ent.

F.# The DPC for consideration of pro"otions fro" E&B to E& !rades +i))

consist of

JaK Conerned 9nctiona) Director

JbK =enera) Mana!er JPersonne)K3 representati2e of Personne) Deptt.

JcK Concerned HOD

F.' The DPC for consideration of pro"otions fro" E& to E& and E& to E&!rades +i)) consist

of

JaK )) 9nctiona) Directors

JbK =enera) Mana!er JPersonne)K

F.B The DPC for consideration of pro"otions fro" E& to E&F !rades +i))

consist of

JaK Chair"an&c"&Mana!in! Director

JbK Director JPersonne)K

JcK Other 9nctiona) Directors

F. Chair"an&c"&Mana!in! Director sha)) ha2e discretion to no"inate

additiona) "e"bers on

the DPCs

G.$ LINE8 O9 PROMOTION JLOPsK


71/130

G.% Lines of Pro"otion sha)) be as decided by the Mana!e"ent. Ho+e2er(

the LOPs +i)) be so

dra+n that +hi)e pro"otions pto the )e2e) of E& "ay be e?ected +ithin

the depart"ents3

nits( e1ib)e3broader )ines of pro"otion to E& )e2e) and abo2e is

ensred.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.%.F

G.# Ho+e2er( the Mana!e"ent reser2es the ri!ht to *)) p 2acancies

irrespecti2e of the LOPs

on inter&discip)inary or inter&depart"enta) basis by pro"otion( transfer( orcirc)ation as "ay

be decided by the Mana!e"ent. >acancies "ay a)so be *))ed p by open

recrit"ent at the

discretion of the Mana!e"ent.

%$.$ -OLITION O9 8ENIORITY LI8T8

This pro"otion po)icy does not en2isa!e pro"otions based on .8eniority..

Therefore( no

seniority )ists +i)) be "aintained in the Co"pany for the prpose of

pro"otion. Instead (

pro"otions +i)) be based on LOP&+ise "erit )ists.

%%.$ PRO-TION

The e1ecti2e pro"oted nder this Po)icy and R)es +i)) be 0ept on

probation for a "ini""

period of si1 "onths. Con*r"ation3e1tension of probation +i)) be

re!)ated as per R)es

prescribed in this re!ard.

%#.$ PROMOTION O9 EVEC4TI>E8 ON DEP4TTION TO OTHER

OR=NI8TION8

%#.% n e1ecti2e of the Co"pany on deptation to another or!anisation

"ay be considered for


72/130

pro"otion in the Co"pany drin! the period in accordance +ith the

se)ection "ethodo)o!y

prescribed in this Po)icy and R)es.

%#.# In case of an e1ecti2e +ho is not on deptation to anotheror!anisation bt "ere)y retainin!

)ien in the Co"pany( he +o)d not be considered for pro"otion drin! the

period. He +o)d

"ere)y retain the option to retrn to his sbstanti2e post for the dration

of )ien.

%'.$ PROMOTION O9 EVEC4TI>E8 PENDIN= ENTION8 9OR 8Cs 7 8Ts

Reser2ations3concessions for 8Cs and 8Ts +i)) be pro2ided as per

Presidentia) Directi2es on

the sbject.

Note C)ase %B.$ +i)) be app)icab)e sbject to OM No.'$%#3#'3G& Estt.

JResK( dated

##.$.%GG issed by the Ministry of Personne)( Pb)ic =rie2ances 7

Pensions( as

!i2en at nne1re& III.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.%.G

%.$ I884E O9 CLRI9ICTION8 ETC.

C)ari*cations( !ide)ines( instrctions( procedres etc. nder this Po)icy

+i)) be issed by the

R)es 8ection on appro2a) of CMD.

%.$ PO:ER TO RELV


73/130

The Chair"an&c"&Mana!in! Director( RINL( "ay at his discretion( re)a1

the e)i!ibi)ity

criteria etc.( in e1ceptiona) cases for reasons to be recorded.

%.$ TEN4RE

%.% This Po)icy and R)es sha)) co"e into force +ith i""ediate e?ect and

sha)) re"ain in force

for a tenre as "ay be decided by the Mana!e"ent.

%.# The Mana!e"ent reser2es the ri!ht to +ithdra+( re2ie+( a)ter and3or

a"end this Po)icy and

R)es as "ay be dee"ed necessary fro" ti"e to ti"e.

%.' This Po)icy and R)es sha)) spersede the ear)ier po)icy( r)es(

re!)ations( orders and

instrctions issed on the sbject( e1cept to the e1tent e1press)y pro2ided

in this Po)icy and

R)es.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.%.%$

NNEV4RE & %

POLICY ND R4LE8 9OR PROMOTION O9 NON&EVEC4TI>E8

The po)icy and r)es for pro"otion of Non&e1ecti2e e"p)oyees +as introdced in

prsance of the

"e"orand" of sett)e"ent dt.#.$%.G$ and sbse6ent)y( "odi*cations and3or

incorporations of the

po)icy ha2e been "ade 2ide "e"oranda of sett)e"ent dt.$.$#.G'( %F.$.GB and

%$#.$F.#$$$. The po)icy as !i2en be)o+ inc)des a)) sch chan!es "ade thro!h

the abo2e

"e"oranda of sett)e"ent.

%.$ O-ECTI>E8

%.% To boost and sstain the "ora)e of the >8P e"p)oyees in order to enab)e

the" to "a0e a))ot


74/130

e?orts for achie2in! the Mission and Objecti2es of the Or!anisation by +or0in! at

pea0

)e2e)s of eAciency.

%.# To ensre opti"" ti)isation of "anpo+er +ith a 2ie+ to achie2in! theprodcti2ity )e2e)

of not )ess than #'$ tonnes per "an year.

%.' To "an non&e1ecti2e positions in the Co"pany +ith co"petent personne)

ha2in! !ro+th

potentia) and to ti)ise their capabi)ity to the "a1i"".

%.B To i"pro2e job satisfaction a"on! non&e1ecti2e e"p)oyees thro!h job

en)ar!e"ent(

trainin!( etc.( and to encora!e the" to +or0 +ith enriched job contents and

accept e1ib)e

+or0 practices for opti"" ti)isation of "anpo+er.

%. To reco!nise and re+ard !ood perfor"ance consistent +ith the needs of the

or!anisation.

%. To pro2ide for a syste" +hich is condci2e to e6ity( fairness and objecti2ity

in "atters

concernin! pro"otions of non&e1ecti2es.

%. To pro2ide "echanics for deter"inin! the sitabi)ity of non&e1ecti2es for

pro"otion on a

standard pattern and in an objecti2e "anner.

#.$ 8COPE

#.% The po)icy and r)es +i)) be app)icab)e to a)) the re!)ar non&e1ecti2e

e"p)oyees of Rashtriya

Ispat Ni!a" Li"ited( inc)din! the e"p)oyees +or0in! in ot&station 4nits(

OAces and

Mines.

%"ende"ent 2ide Me"erand" of 8ett)e"ent dated $#.$F.#$$$ +i)) be e?ecti2e fro"

'$.$.#$$$.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.B.#


75/130

#.# SE"p)oyeeS "eans a)) non&e1ecti2es +ho are appointed on a re!)ar basis

and does not

inc)de Trainees3pprentices and persons appointed on casa) or te"porary

basis or

appointed on tenre basis after retire"ent( etc.

'.$ CL48TER8JCDRE8K

'.% 9or the prpose of pro"otion( non&e1ecti2e e"p)oyees in di?erent pay

sca)es ha2e been

!roped in the fo))o+in! c)sters3cadres

'.%.% % The +or0 !rades +i)) be !roped into the fo))o+in! c)sters3cadres

C)ster =rades

8&%( 8( 8&'( 8&B( 8& 7 8&

XS 8b&c)ster 8&B( 8& 7 8&

- 8&'( 8&B( 8&( 8&( 8& 7 8&F

C 8&( 8&( 8&F( 8&GJPK 7 #8&%$JPK

'.%.# 'Ministeria) =rades

8&( 8&( 8&F( 8&GJPK 7 #8&%$JPK

'.%.' XPersona) !radeS +i)) be retained in 8&GJPK for c)ster XCS on)y.

'.%.B :ith the cadre approach( the job +i)) be nderstood in a co"posite "anner

so that e1ibi)ity

of e"p)oyees +ithin the cadre beco"es 2iab)e and opti"" ti)isation of

"anpo+er is

achie2ed.

B.$ 8Y8TEM8 O9 PROMOTION

B.% There +i)) be t+o syste"s of pro"otion for non&e1ecti2es as fo))o+s

a. Pro"otion +ithin the Cadre

b. Pro"otion bet+een the Cadres

%Incorporated 2ide Tri&partite sett)e"ent dt.$#.$F.#$$$.

#Incorporated 2ide IOM No.PL3RR3'JK3#$$B3%$G dated G.#.#$$B.

'"ended 2ide PP Circ)ar No.3#$$%( dated %F.%$.#$$%.


76/130

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.B.'

B.# Pro"otion fro" one sca)e of pay to another +ithin the cadre inc)din!

Persona) !rade +i))

be de)in0ed fro" 2acancies. n e"p)oyee can be considered for pro"otion on

co"p)etion

of prescribed years of 6a)ifyin! ser2ice and sbject to f)*))in! other e)i!ibi)ity

criteria.

B.' Pro"otion fro" one cadre to another +i)) depend on the a2ai)abi)ity of

2acancies in the hi!her

cadre in the prescribed LOP.

B.B% s a specia) case( XS &8b c)ster +i)) be created +ith "a1i"" stren!th of

#$ of the tota)

"anpo+er in XS &c)ster in each depart"ent in technica) strea" as on

'$..#$$$. E"p)oyees

in 8&B !rade +ith # years of ser2ice in C)ster XS sbject to passin! of job test(

inter2ie+ and

possessin! satisfactory CRs for the precedin! # Jt+oK years and f)*))in! sch

other

conditions as "ay be prescribed( +i)) be considered for p)ace"ent on hori@onta)

basis in

XS&8b c)ster. Ho+e2er( the 2acancies +i)) be *))ed p in phases.

B.% On p)ace"ent in XS&sb c)ster( they +i)) be desi!nated as He)per&c"&r.

Technician3

He)per&c"&r. OCM( etc. 8ch e"p)oyees +i)) contine to perfor" e1istin!

ns0i))ed jobs

and +i)) a)so carry ot s0i))ed jobs as and +hen assi!ned.

.$ ELI=I-ILITY ND CONDITION8 9OR PROMOTION

.% E"p)oyees +i)) be considered for pro"otion sbject to the fo))o+in!

conditions

a. that the e"p)oyee has earned pro"otab)e !radin!s J"ini"" SCS( i.e.(

8atisfactoryK in

the nna) Con*dentia) ReportsJCRK3ppraisa) Reports for at )east t+o years(


77/130

inc)din! the )ast year( ot of the reports for the precedin! three consecti2e

appraisa)

years and no ad2erse entry has been "ade in his nna) Con*dentia) Report

JCRK3

ppraisa) Reports. ny ad2erse entry in the CR3ppraisa) Report for a year not

co""nicated to the e"p)oyee concerned by '%st May of the fo))o+in! year +i))

not be

ta0en into accont and +i)) not ad2erse)y a?ect his pro"otion.

%Incorporated 2ide Tripartite 8ett)e"ent dated $#.$F.#$$$.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.B.B

b. that the e"p)oyee has f)*))ed the fo))o+in! e)i!ibi)ity criteria.

C)ster3 Len!th :hether Mini"" Edcationa) Trade test3

Cadre of ser2ice 2acancy 6a)i*cation ob test3

in the )in0ed :ritten

!rade test etc.

%

:OR;8 =RDE8 8&% TO 8 B years No s prescribed at the Refer N-

ti"e of entry

8 to 8&' B years No &&& &&&

8&' to 8&B B years No &&& &&&

8&B to 8& B years No &&& &&&

8& to 8& B years No &&& &&&

& 8b C)ster

JC)ster to 8b&c)sterK

8&B to 8& B years Yes s prescribed in B.B 7

B. abo2e

8& to 8& B years No &&& &&&&

- 8 to 8&' B years Yes 9or e"p)oyees in 8 !rade 8ho)d pass the

Jc)ster to +ho do not possess the Trade test3ob


78/130

c)ster -K 6a)i*cation of Matric)ation( test3+ritten test

a +ritten e1a"ination of as prescribed.

appropriate standard +i)) be

condcted by the Mana!e"ent.

Those +ho pass in the e1a"ination

+i)) be considered for

pro"otion to 8&' !rade.

Matric)ates +i)) not be re6ired

to appear at this e1a"ination.

N- n e"p)oyee +ho passes

this e1a"ination once +i)) not be

re6ired to appear at this

e1a"ination a!ain.

%Incorporated 2ide Tripartite 8ett)e"ent dated $#.$F.#$$$.

PER8ONNEL MN4L

R8HTRIY I8PT NI=M LTD. #.B.

C)ster3 Len!th :hether Mini"" Edcationa) Trade test3

Cadre of ser2ice 2acancy 6a)i*cation ob test3

in the )in0ed :ritten

!rade test etc.

- 8&' to 8&B B years No & do& &&

- 8&B to 8& B years No & do & &&

- 8& to 8& B years No & do & &&

- 8& to 8& B years No & do & &&

- 8& to 8&F years No & do & &&

C 8& to 8& B years Yes Matric)ation ITI 8ho)d pass the

Jc)ster - to or =radation Trade test3 ob test(

c)ster CK +ritten test as prescribed.


79/130

C 8& to 8& B years No &do& &&&

C 8& to 8&F years No &do& &&&

C 8&F to 8&GJPK years No &do& &&

%C 8&GJPK to 8&%$JPK years No &do& &&

#MINI8TERIL =RDE8

8& to 8& B Years No =radation &&&

8& to 8&F years No &do& &&&

8&F to 8&GJPK years No &do& &&&

%8&GJPK to 8&%$JPK years No &do& &&&

N-&% In respect of e"p)oyees +ho ha2e been direct)y indcted in 8 !radeafter

sccessf) co"p)etion of their trainin! as sst. Technician Trainees( the e)i!ibi)ity

period for pro"otion to 8&' !rade sha)) be ' years of ser2ice in 8 !rade. )so(

the

stip)ation of "ini"" 6a)i*cation of Matric)ation for pro"otion to C)ster -

+i))

be re)a1ed in respect of sch e"p)oyees.

%Incorporated 2ide IOM No.PL3RR3'JK3#$$B3%$G dated G.#.#$$B.

#"ended

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