H301: Human Resource Management

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H301: Human Resource Management

HRM Planning, Recruitment,

Selection, Performance Appraisal and Training
Process of Heisenberg Cement

Submitted to
Homayara L. Ahmed
Assistant Professor
Institute of Business Administration
University of Dhaka

Submitted by

HRM Planning
Arifur Reza Chowdhury (ZR-23)
Muhtasim Sarowat Rayed (ZR-61)
ATM Hasibul Islam (ZR-62)
Recruitment and Selection
Ayman Rahman (ZR-29)
Rafi Ahmed (ZR-60)
Tamsid Iram (ZR-63)
Performance Appraisal and Training
Novo Manzoor (ZR-18)
Taskin Sadman (ZR-49)
Mahroos Murtaza Choudhury (ZR-59)

Group 4
Section A, 21st Batch, BBA
Institute of Business Administration,
University of Dhaka
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H301: Human Resource Management

30 June, 2014

Homayara L. Ahmed
Assistant Professor
Institute of Business Administration
University of Dhaka

Subject: Letter of transmittal for Human Resource Management course term-paper

Dear Madam,

This is the term paper we prepared for Human Resource Management (H301). We have discussed HRM
Planning, Recruitment, Selection, Performance Appraisal and Training Process of a fictional organization
named Heisenberg Cement.

We would like to acknowledge your gracious help throughout our entire paper. You have guided us well
through the related chapters and we are very much grateful to you. The project was really interesting to
work on and we enjoyed every moment of it.

This report has been prepared under your supervision. Without your permission, no part of this report
can or will be revealed. This report has never been, and never will be, reproduced for any other IBA
course.

We hope that we were able to fulfill the requirements of the course through the submission of our term
paper. Our dedicated efforts have resulted in the successful completion of our project. We have worked
with sincerity and tried our best to make this paper a comprehensive one. We sincerely hope it will
meet your level of expectation.

Sincerely,
Novo Manzoor (ZR-18)
Arifur Reza Chowdhury (ZR-23)
Ayman Rahman (ZR-29)
Taskin Sadman (ZR-49)
Mahroos Murtaza Choudhury (ZR-59)
Rafi Ahmed (ZR-60)
Muhtasim Sarowat Rayed (ZR-61)
ATM Hasibul Islam (ZR-62)
Tamsid Iram (ZR-63)

Group 4
Section A, BBA 21st Batch
Institute of Business Administration,
University of Dhaka

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H301: Human Resource Management

Executive Summary

Employees are the most important components of a business entity. It is imperative that emphasis
should be put on guiding the employees properly and bringing out their full potential. For this reason,
Human Resource Management is extremely important for any company.

In this report we take a look at the human resource management practices of the company Heisenberg
Cements Ltd, Bangladesh. It is a fictional company that has been thought up for the purpose of use in
this report. All the important details of the company have been provided and care has been taken so
that the company's operations are similar to the operations of a real life cement company of
Bangladesh. .

We have analyzed and discussed the company's HRM planning, Recruitment, Selection, Performance
Appraisal and Training aspects.

There are few internal and external factors that affect that has to been considered during the Human
Resource planning of Heisenberg Cement. We have put equal emphasis on both the internal and
external factors since they influence the Human Resource practice of the company profoundly. We also
forecasted the demand and supply of labor for the company.

The Recruitment part includes the reasons for recruitment, the sources of recruitment and the tools for
recruitment.

The Selection part focuses on finding the right person for any job in the company. The main aim of
employee selection will be to achieve a person-job fit. To ensure that selection methods are valid, we
will try to ensure criterion-related validity, content validity and construct validity. We will focus on
ensuring reliability and overall transparency of the selection and recruitment process.

The Performance Appraisal part describes the specific performance appraisal system adopted by the
company. We will be trying to communicate and guide the employees on how they can align their
performance to benefit them and the organization as a whole.

Finally, the Training part takes a look at the training process of employees in every stage of the hierarchy
of the company.

The practices described above play a dominant part in determining how employees in any given
company will perform. The steps described in this report are what we determined to be able to bring
out the best of employees in a company such as Heisenberg Cements Ltd.

Throughout the report, it has been necessary to utilize the lessons in HR management taught to us by
Mrs. Homayara Ahmed. As such, the report includes recommendations that are believed to be the most
effective according to our lessons.

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H301: Human Resource Management

Corporate Profile

Heisenberg cements limited started its journey in the year 2005 on 5th of January when it first started its
commercial production. Its first unit had a production capacity of 0.4 million per annum. It was publicly
listed in Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) in year 2008 and 2009
respectively in order to be one of the five major cement manufacturers in the region.

As part of its growing ambition, Heisenberg started production with its 2nd unit on 12th January with a
production capacity of 0.6 million per annum. Now the company runs with a cumulative production
capacity of 1 million per annum with 700 employees involved in its operation.

The company uses the most sophisticated cement plant namely FLS SMIDTH of Denmark, Packer from
HAVER & BOECKER GmbH Germany and machineries maintaining EUROPEAN standards and qualities.
The factory is located in Naoapara, Jessore which is close to the Mongla sea port, so the factory has
great accessibility both by land and water. Its corporate head office is situated in Motijheel Commercial
Area, Dhaka.

Heisenberg Cement Ltd. Is a subsidiary of the larger Heisenberg Group, which also contains other
affiliates of Heisenberg Cements such as Schrader Minerals, Madrigal Constructions and Goodman Real-
Estate.

Mission and Vision

Heisenberg sole purpose is to development of the society through sustainable growth and high quality
performance. The company strives to provide optimum satisfaction to its customers, conducive working
environment for its employees and create value for its stake holders.

It has a few fundamental, well defined and specific goals and objective
in order to fulfill our purpose. These goals and objectives are:
1. To improve comprehensively on our current area of success.
2. To enhance our brand image.
3. To satisfy our customers.
4. To grow continuously.
5. To be among the top five cement manufacturers in the region.
6. To earn reasonable profits.
7. To capture the target market share.

With these few well defined goals and objectives, Heisenberg believes that it can become one of the
global leaders in cement manufacturing industry at the same time contribute to the well being of the
society.

Heisenberg not only focuses on its ends but also on its means to attain those ends. Therefore it has
always put emphasis on providing convenient working environment for its employees, giving them the
right motivation, and not causing any environmental hazard on its way to attain its goals other than
creating value for its stakeholders and earning reasonable profits.
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H301: Human Resource Management

Figure: Organogram of Heisenberg Cements

Factors Affecting HR Planning of Heisenberg Cement

There are few internal and external factors that affect that have to be considered during the Human
Resource planning of Heisenberg Cement. We have put equal emphasis on both the internal and
external factors since they influence the Human Resource practice of the company profoundly. These
factors are:

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H301: Human Resource Management

Internal factors: These factors have arisen from inside the company. Since these are the defining
characteristics of Heisenberg cements, it’s important that Human Resource practice is aligned with
them.

1. The company is currently going through its growth phase: Heisenberg cement started its operation
in the year 2005, and has an employee base of only 600 people. Compared to its competitors in the
industry, the company is relatively new and small. Heisenberg has desire to grow and become one of
the five largest cement manufacturers in the region. It desires to achieve growth through using
cutting edge technology and providing top notch environment friendly cement. Therefore the
growing need for well trained and experienced people has been put into consideration while Human
Resource Planning of Heisenberg cement.
2. The company has culture similar to Adhocracy: The main thrust of Heisenberg cement is to create.
The company is placed in an industry that is going through constant change, be that from
technological, economic or legal perspective. Therefore it is important for the company to adapt and
innovate in order to grow. To do so, Heisenberg cement provides enough flexibility to each and
every one of its employees to think outside the box and come up with more innovative solution to
the problems the company faces. Since the internal culture of Heisenberg cement is so crucial to its
success, it’s important that all of its employees have a strong and good feeling about the culture as
well as a strong cultural orientation.

External factors: When it comes to external factors, the focus mainly has been on the industry and the
competitors. Human Resource practice is always influenced by the external factors, acknowledging
them earlier on, and considering them during HR planning and practice help in building a strong
employee base as well as maintaining low turnover rate.

1. Industry: According to a report by IDLC Finance Limited in 2011, Bangladesh cement industry is the
40th largest market in the world. With the advent of Real Estate industry, this position is expected to
improve. The consumers can be categorized in 3 types; they are the Real Estate companies,
Individual home makers and the Government (LGED, Roads and Highways department etc.). Cement
industry in Bangladesh is still in its growth phase. As said earlier cement industry is going through
constant change, especially with the advent of new, sophisticated and efficient technology.
Therefore there is growing a need for well trained, educated and experienced employee base in this
industry.
2. Competitors: The change in the industry directly affects the companies that are operating in it.
There’s a scope for growth for all the companies in the cement industry. On the other hand the
number of well trained people is still scanty. Therefore it is important for us to have a vigilant and
efficient recruitment system in place that will hire and retain the best people in the market, or else
our competitors will hire them. Forecasting Human Resource supply and demand is important in this
regard.

All these factors have been put into consideration while planning for Human Resource of Heisenberg
cements. There may be other factors, but these four crucial factors cover most of them, therefore
emphasis has been put mostly on these them.
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H301: Human Resource Management

Forecasting Demand and Supply of Labor

Short-Term: For demand, Heisenberg will look into the nature and quantities of its current job orders
and production targets to get a broad idea of the number of employees it will need for its operations.
For this, we will use a continuous rolling plan. This has been kept in place for the potent jobs such as
the job of a chemical engineer, market analyst as well as the jobs in the top management positions such
as Chief executive officer, financial director etc. Heisenberg cement has a contract with a Head Hunting
agency which would provide us with the right people for the vacant positions when the time comes. At
the same time we also have a pipe line of internal candidates for potent jobs and our succession plan
helps us in this regard.

While continuous rolling solely focuses on the jobs in top management and potent jobs, we will also use
succession planning for a focus on all the jobs, from the job of a line manager to the job of the chief
executive officer.

Heisenberg cement has a relatively flat structure. Its top and middle management has only three layers.
Therefore emphasis has been more on lateral movement than upward progression. The company’s
succession plan helps in this regard. Although succession plan is integrated with continuous rolling plan,
it focuses on bottom management as well as line workers other than top management.
It is also ensured that, there’s no unnecessary or pointless lateral movement in the organization. The
sole purpose of the succession plan is to provide an internal source of candidates for any position that
might become vacant due to unavoidable and unforeseen circumstances.

Succession planning helps in creating a strong internal pool of candidates for any position. As part of our
succession plan, we always keep two candidates ready for any position. The candidates receive on the
job training as well mentoring from their respective supervisors. On the job training has a specific
structure of getting feedback from the trainees on a quarterly basis. This training continues for a year,
and after that they can stay in their current position, or move to a new job. Since, the organization has a
flat structure it is easier to move the employees from one job to another.

For external supply, we will keep an eye out for the potential output of engineering graduates from
reputed universities. We will maintain close relations with opinion leaders like student counselors and
respected faculties to learn which students would be more interested in working in the cement industry.
For internal supply, we will maintain a transitional matrix which maps out the job openings and
vacancies being created in the firm, and indicates which employees are suitable for which openings.

Long-Term: For demand, a variety of factors come into play. For instance, Goodman Real Estate is
planning to engage in several large scale projects, one of which includes a model city. The Heisenberg
Group also plans to engage Madrigal Constructions and Heisenberg Cements in these projects.
Furthermore, Madrigal Constructions is planning to win some competitive tenders from the
government. In the event of a win, the plan to use the in-house cement from our firm rather than

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purchase it from the outside.

All of these events will factor into the level of operations required from Heisenberg Cements for these
projects and thus will create a demand for labor, which we need to forecast with an acceptable degree
of accuracy.
There is also the fact that our company is at the growth stage, and thus to further progress through its
life-cycle we need to be able to forecast the demand of the employees required to steer the ship in the
right direction at this crucial stage. For this, it is likely that we would need more technically proficient
employees as we go on, in order to maintain a competitive edge, as well as able-minded management
personnel who can form a more robust, structured administration that better serves the needs of a
larger firm.

Thus for forecasting long-term demand for labor, Heisenberg has integrated Human Resource inventory
and Job descriptions of each and every job in the organization. The HR inventory lists all the knowledge,
skills, experience and other qualities of an employee, while the job description lists all the
responsibilities, requisite knowledge and experience that are required by a job. The integration of these
two tools helps in determining whether there is demand for specific set of skills, knowledge and
experience for a particular job.

For supply, we would need to study past trends in the demographics of our target labor market, and
project where these trends might lead to in the near future. We can also observe the state of higher
education in regards to the state of engineering studies- i.e. how the quality of education develops over
time and how the number of intakes of students and outputs of graduates changes over the years. We
can influence this potential pool of candidates by developing and hosting an annual business,
engineering and science competitions in the near future.

Recruitment
Reasons for recruitment

1. Decide what positions to fill, through workforce/personnel planning and forecasting.

2. Build a pool of candidates for these jobs, by recruiting internal or external candidates.
3. Have candidates complete application forms and to eventually undergo initial screening interviews.

Sources of recruitment

When it comes to recruitment, Heisenberg Cements Limited draws out its potential employees mainly
from 3 dimensions:

a) Internal source – pool of candidates are formed from within the existing employees
b) External source – fresh candidates are considered for job openings
c) Mixed source – recruitment is done utilizing both internal and external sources

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Now, if we categorize the different Job Titles at HCL during a recruitment phase by using Managerial
concepts, it appears to follow a certain hierarchy. As the diagram below shows, HCL can recruit new
employees in 3 different sequences: Management and Administrative, Factory workers, and General
staffs.

The management and administrative sequence starts off with the First-Line managers, usually with Job
Titles like Management Trainee (MT). Recruitment of MT positions is usually conducted using an
external pool of applicants, since these positions are what could be termed as “fresh blood”. Similarly,
entry-level factory workers and general staffs are also recruited using external sources because that is
the only available source of applicants.

And as we go along the sequence, we can find that most of the Middle managers and Supervisor
positions are recruited via internal source of candidates. Since the industry is in its growing stage with
high competition among the companies in terms of employee recruitment, promotion opportunity for
entry level positions will prove to be a better incentive for the employees. Therefore, retention of
employees becomes much easier.

In case of the top-tier positions, like CEO or CFO, HCL adopts a mixed strategy for recruitment. An
employee who has been performing in an outstanding manner from a upper-mid level position can be
considered as an internal source for recruitment in these positions. At the same time, the company can
also go for external source of candidates by appointing their headhunting agency in order to find a more
qualified, experienced employee for the top level managerial position. The decision of whether to
choose an internal or external source lies with the board of directors, in collaboration with the HR &
Recruitment department.

Tools for Recruitment

 Line managers – Since the recruitment source will be external, the preferable tools for posting out
job offers would be mediums like Internet, job portals, job boards, company website, ATL
advertising medium etc. College recruiting can be a priority, and top engineering colleges in
Bangladesh like BUET, KUET, CUET would be some of the prime locations for applicant pool. To
familiarize the students beforehand in the workings of HCL, internship opportunities will play a huge
role.

 Middle managers – HCL operates in a growing industry with an existing mismatch in demand and
supply of skilled labor. In case of different positions of the middle-line managers, internal sources
would be the advisable course of action. Filling open positions with inside candidates using
promotions and job transfers has several advantages. First, there is really no substitute for knowing
a candidate’s strengths and weaknesses, as you should after working with them for some time.
Current employees may also be more committed to the company. Morale may rise if employees see
promotions as rewards for loyalty and competence. And inside candidates should require less
orientation and (perhaps) training than outsiders. Hiring from within ideally relies on job posting and

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the firm’s skills inventories. Lateral movement along the hierarchy with prospects of promotion
works as an effective incentive.

 Top management – if the firm decides that in a particular scenario, succession planning and
promotion techniques aren’t working out well, then it will resort to third party methods for
recruitment, for eg. Private employment search firms (headhunting agencies).

 Factory Workers - Based on skills, past experience, they could undergo “Gate-hiring” or start
working on contractual basis. Recruitment procedure for these jobs might not follow a rigid outline
but rather turn out to be much simpler, such as walk-in interviews.

 Supervisors - Promotions can be declared based on competency, performance and experience in the
job context.

 General staff – Familiar channels like Advertisements, newspaper will be used which will not require
that much effort. Follow-up would be the usual process with references and background tests being
cross-checked.

Selection
The main aim of employee selection is to achieve a person-job fit. Person-job fit refers to matching the
knowledge, skills, abilities (KSAs) and competencies that are central to performing the job which are
determined by specific job analyses to that of the company requirements; because, a candidate might
be right for a job, but wrong for our organization.

The process would require a definitive structure where congruencies of values will find a place in
selection decisions. In order to make the organization effective, the values of the society and the
cultural milieu should also be synthesized with those of the organization and its functions.

After the recruitment process, with a pool of applicants, the initial prescreening process can begin. The
HR department will collect job applications (application blanks) and CVs against each vacancy
announcement. There will be a minimum time period for application receiving. These will mainly provide
four types of information.

Firstly, judgments on substantive matters can be made, such as whether the applicant has the necessary
educational qualifications and experience to do the job.
Secondly, we can draw conclusions about the applicant’s previous progress and growth, which is
especially important for management candidates.
Thirdly, we might be able to draw tentative conclusions about the applicant’s stability based on previous
work records and experience.

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And fourthly, we may be able to use the data in the application to predict which candidates will succeed
on the job and which will not and whether or not they will be the right fit for Heisenberg.

We will be needing several application forms depending on the position that we are hiring for. For
technical and managerial personnel, the form may require detailed answers to questions about
education and training. On the other hand, the form for hourly factory workers might focus on tools and
equipment. We will also need to carefully review the application forms to ensure that they comply with
the equal employment laws.

Short listing is done in the light of job specifications of a job. The method should be qualitative one
where managerial judgment plays an important role. Before short listing of candidates for tests, job
criteria are set by the HR department and direct managers.

The discretionary stage consists of various tests that the applicants have to go through and the in-depth
interview. Here the applicant’s skill, knowledge and attitude are put to test and matched with the
requirements of available jobs, and questions the applicants have regarding the job or organization are
also answered here. Tests include psychomotor tests, personality tests, cognitive ability tests and
assessment centre. Different combinations of tests are to be used in each level. Psychomotor tests
measure an applicant’s strength, dexterity and coordination. Cognitive ability tests are mainly job
knowledge and proficiency tests, which measure the ability of an applicant to perform a sample job
properly. Personality tests deal with the personality traits of applicants. Assessment centers will consist
of a series of tasks and activities that are structured around a two or three day period to assess an
applicant’s suitability for a job. Mainly simulation exercises will be used here. This can be a demanding
test and judges the actual potential and true nature of applicants.

In the contingency stage of the selection process applicants require to go through a physical
examination, which is will be followed by reference checking. Passing medical examinations is a must
for the candidates of line management positions as well as factory workers. Candidates of other
positions will have to go through medical tests as well so that we can have a database of our employees’
information regarding medical issues.

Once a preliminary selection decision is made, Heisenberg will verify certain information as provided in
the job application such as work experience, last employment status etc. The purpose of reference
check is to obtain factual information confidentially about a prospective employee. If everything is
satisfactory then appointment letter is issued.

On satisfactory results of all the tests, the appointment authority of Heisenberg will issue an
appointment letter to the selected candidate. The appointment letter would include job title, grade/step
and salary, nature of appointment (applicable for contract employee), place of posting, name of section
or department, effective date of appointment, probationary period, conditions of confirmation and
notice period, benefits entitled for the position etc.

The selection process regarding the internal selection of middle and top level managers does not
require an initial stage. When it comes to internal sources, Heisenberg should effectively go for
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selection. This decreases redundancy and formalities thus reducing the chance of tension among
employees. However, applicants do have to pass the discretionary and contingency stages. They would
have to sit for the cognitive ability tests to prove how well they are ready for the new job and also see
who is best suited for it among all the candidates. Personality tests will come next and are crucial here.
The contingency stage is eliminated here since no physical examination or reference check is required
here. In case of external selection the course of action will more or less follow that of the entry level
managers. But in this level, experience and market reputation of a candidate is prioritized.

The top-level managers are the ones who will represent the company as the face of Heisenberg. They
will lead the company and their actions and behavior would be synonymous to that of the organizations.
Therefore, we require top-level managers to be extrovert, honest, able to delegate, confident and
committed towards our vision. These values and qualities will be preferred when going for headhunting.

The selection process for the production workers would start with an initial stage where the applicant’s
past experience in similar areas and his/her skills would be matched against the criteria listed for the
job. The applicant also has to go through a psychomotor test, which tests his/her ability to perform the
job and it might also include sample jobs to assess their dexterity. Then the chosen applicant will be
passed on to the contingency stage which will contain a medical examination and reference checks.
Production workers have to be physically fit and therefore need to be healthy when they come for work.
If an applicant passes all the stages he/she will be selected. And they will be promoted to supervisors
based on their performance, experience, competency and overall aptitude.

The selection of the general staff i.e. janitors, drivers, peons, guards will follow a very basic set of
selection methods focusing mainly on the core requirements and background checks.

To ensure that selection methods are valid, we will try to ensure criterion-related validity, content
validity and construct validity. We will focus on ensuring reliability and overall transparency of the
selection and recruitment process.

Performance Appraisal
Evaluating an employee's current and/or past performance relative to his or her performance standards
plays a key role in human resource management. So there’s no doubt that performance management is
an area that needs to be subjected to proper observation and analyzing if an organization wishes to have
a high functioning workforce.

Effective appraisal also requires that the supervisor set performance standards. If there is no clearly
defined performance criteria, the appraisal system will not only be unfair, but also will be too vague and
unclear to serve its purpose; which is, to communicate and guide the employees on how they can align
their performance to benefit them and the organization as a whole.

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Traditionally, performance appraisal is done annually or semiannually. But continuous feedback is

important for a sustained level of high performance. For example: quarterly or bi-monthly appraisals serve
more effectively by explaining certain changes in employee performance which would have seemed
drastic, illogical and random if appraisals were done annually, because it would have shown a large change
over a long period of time with little or no explanation; instead of small changes in short time-frames, all
of which can be explained and all of which ultimately exhibit a single large change in the end.

The human resources department will serve a policy-making and advisory role. Our human resource
managers will provide the advice and the appraisal tools to use, but the final decisions on procedures will
be left to operating division heads. The human resource team will also be responsible for training
supervisors to improve their appraisal skills, and for monitoring the appraisal system's effectiveness.

We will use a three-tier performance analysis system which will be utilized each quarter. After the rating
process is completed, there will be a subordinate-supervisor meeting. This system will not only be used
to determine training needs, but also to evaluate results after training in the fourth-stage of the
Kirkpatrick model.

The process is described in detail below:

1. Self-Appraisal: The first tier will be self-appraisal. Employees will be given rating forms to evaluate
their own performance in the last quarter. All these completed forms will be collected and it will be a
point of discussion in the subordinate-supervisor meeting. The employee will justify the scores he
gave himself to his supervisor.

The most important problem with this step is that self-appraisal can have a tendency to be biased.
The issue of justifying the ratings in front of the supervisor can mitigate this bias.

Also, when employees are asked to evaluate their own performance, they still see the issues
management will want addressed. Even if the employees choose to give themselves higher ratings
than they deserve in the self-appraisal; pondering over their performance may still give them valuable
insight and also may increase chance of their acceptance of the other two types of appraisals.

2. Peer Evaluation: An employee will also be evaluated by his peers. Colleagues of an employee will
grade the employee on a rating scale and also provide comments.

Peer evaluation can be extremely effective in increasing communication, motivation, teamwork and
reducing social loafing. Also, collective ratings by multiple employees will result in the report being
free from the effects of bias.

It has also been seen through research that employees are motivated to meet their colleagues'
expectations. So, peer evaluation can be effective in raising the performance ceiling of an employee.
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3. Supervisor Evaluation: The supervisor is usually in the best position to observe and evaluate his or
her subordinate's performance. The supervisor is in a position to provide detailed evaluation on an
employee.

Because of these reasons, the final step in our appraisal system will consist of a thorough evaluation
by the supervisor. This will include rating on a numbered scale and a detailed report on why the
employee scored the way he did. The supervisor will also be responsible for explaining the results to
the employee during the meeting.

As this step of the evaluation process is extremely important, it has to be made sure that this step is
free of bias. For this purpose, the human resource department will have to step in. The HR department
will be responsible for analyzing all the supervisor reports and look for any sign of negative or positive
bias.

Subordinate-Supervisor Meeting

After the three-step evaluation process, there will be a meeting between the subordinate and the
supervisor, where the results of the process will be reviewed and analyzed. The employee will explain his
self-rating, while the supervisor will explain the reasons behind his report. This kind of meeting will result
in clearer goal identification from the employee and improved motivation.

Heisenberg cement Limited’s performance appraisal system ensures regularity and transparency. The
quarterly appraisals help in determining an employee’s performance and whether he/she is deviating
from his/her goals. The best part of the performance appraisal system is that, its regularity help an
employee improve his/her key performance indicators. Meeting with the evaluators after the appraisal
lets the employees know the reason behind their score. This is important, since it helps in creating a good
feeling among those who were appraised, even if they received a low score.

Training
There are four stages in the hierarchy of HCL- the factory workers, the line management, middle
management and top management and each of these four stages will have a different training. From the
performance appraisal that has been carried out, we can obtain information regarding the employee, why
the said employees need the training and the objectives of the training. Other than performance appraisal,
the use of assessment center will help in determining the training needs of employees. Training will not
just be conducted to improve an employee’s skills or competencies, but also to fulfill the skills and
competency requirement of the organization.

Training for the Factory Employees

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Workers’ Training: On the job training is mostly used to train these workers. Since the training takes place
in the work environment, it will help the trainee learn faster and more efficiently. This is also a relatively
cheap method of training. Training to the workers can be on the current task he does because he failed
to perform up to standard; training can also be on another task, if he is required to change line or just to
make the workers more multi skilled. On the job trainings will have a stated purpose, result or standard
to be met within a specific period of time. Such purposes make the on the job trainings goal oriented
rather than open ended.

Supervisors’ Training: If a worker is to be promoted to a supervisor, then he needs to be trained for that
job. This will be both on the job and off the job training. Starting with off the job training, he would be
taught the requirements of being a supervisor and attend workshop on certain qualities that the
supervisor needs. His training will be evaluated by means of tests to see if he is progressing. After all this,
the worker will have to go through an assessment center, where he will be able to apply what he learnt
in the workshops in the workplace. The same procedure is applicable for any supervisor who has had a
poor evaluation himself from his sub ordinates.

Training for the Line Managers

The line managers here are our management trainees (MT). So when they join HCL, they need to be
trained, so that they get accustomed to our work environment, work style, etc. By means of this training,
the MTs will gain comprehensive knowledge and understanding of the operation of HCL. We try to achieve
this objective by first assigning a mentor or a coach with the trainee. The mentor or coach will be one of
our current managers. He will coach the MTs throughout the training process and assess his performance.
He will have both on the job and off the job training. Off the job training includes workshops for leadership
qualities, management and e learning. He will be assessed on the off the job training through a series of
tests based on his training. In on the job training he will learn about the entire work place, about the
operations, carry out tasks given by the mentor, and in turn trying to meet the key competencies. This on
the job performance is assessed by the mentor himself.

Training for Middle Managers

Just like with the line managers, the mid-level managers too have to undergo both on and off the job
training. From the performance appraisal, we’ll know for what purpose this manager has to be trained
and within what period of time. For managers use our e learning service for self-learning. As these
managers tend to be the head of departments, it is very important they are trained properly. Off the job
training includes making them take courses that will help them develop, and assess them when they apply
what they have learnt in the work place.

Training for Top Level Managers

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H301: Human Resource Management

Training the top management is probably the most difficult, because it differs from the rest in terms of
content and method. What we do to train the top level managers is hire firms who specializes in this.
There are plenty of consultancy firms and other organizations which specialize in training the top level
managers. Their services include extensive courses and tests, activities and workshops related to the
lacking the managers have.

Behavioral and competency trainings will be given to employees in all levels. Heisenberg Cements Limited
believes in innovation to thrive, it promotes out of the box thinking when it comes to problem solving.
Therefore it’s important for Heisenberg cement Limited that all of its employees foster this attitude.

Transfer of Training

Behavioral and competency trainings will be conducted on a top down approach. That way super-visors
will be the first ones to receive these trainings. This helps in transfer of training for the sub-ordinates, as
supervisors will encourage them to apply what they have learned in their trainings. Moreover this will
help in create an environment where employees will be encouraged to apply their learning and not get
mocked or ridiculed for doing so by their supervisors.

In order to ensure transfer of trainings, we have also embedded the outcome or results of trainings with
Key Performance Indicators (KPI). This step reinforces transfer of training as employees will be encouraged
to apply their knowledge, skills and attitudes gathered in various trainings. Since compensation and
benefits are linked with KPIs employees will push themselves to new heights in order to apply their newly
gained expertise on the job.

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