Tata Consultancy Services has detailed promotion policies and performance appraisal processes to evaluate employees. Employees are assessed twice a year and also at the end of projects based on a balanced scorecard across financial, customer, internal, and learning/growth metrics. Employees are rated on a 1-5 scale, and those receiving low ratings for two consecutive periods may be exited. Promotions are based on competence and performance. Recognition programs like milestone parties, awards, recommendations, and salary increases are used to motivate high performers. The involvement of senior management and an online system help ensure the processes are objective, transparent, and supported across the large employee base.

1. ASSIGNMENT of HUMAN RESOURCE
Management
PROMOTION POLICES OF TATA CONSULTANCY SERVICES
Submitted by :
Nidish Koshy Oommachen
11MBA0100
VITBS

2. TATA CONSULTANCY SERVICE
Tata Consultancy Services Limited (TCS) is the world-leading information
technology consulting, services, and business process outsourcing organization that
envisioned and pioneered the adoption of the flexible global business practices that
today enable companies to operate more efficiently and produce more value.
They commenced operations in 1968, when the IT services industry didn’t exist as
it does today. Now, with a presence in 34 countries across 6 continents, & a
comprehensive range of services across diverse industries, they are one of the
world's leading Information Technology companies. Seven of the Fortune Top 10
companies are among our valued customers.
They are part of one of Asia's largest conglomerates - the TATA Group - which,
with its interests in Energy, Telecommunications, Financial Services, Chemicals,
Engineering & Materials, provides us with a grounded understanding of specific
business challenges facing global companies.
As we move into an era of e-business where IT professionals will interview
proportions and is subject to mammoth challenges. With this sensitive breed of IT
professionals, how has TCS grown to and sustained at the number one position is a
question which market watchers have asked themselves a thousand times. There is
but one answer - passion for excellence in the workforce practices. TCS has
developed an unbreakable bond with sound HR practices in an environment that
defies traditional roles and responsibilities

3. .
The TCS-HR group operates with technical experts to create a synergy which is
enviable. Figure 1 illustrates the role of HR, which evidently is that of a facilitator.
So whether it is recruitment or even career development, HR is the catalyst which
initiates and institutionalizes processes. To manage all the functions for over 14000
employees is a Herculean task but the smoothness of operations is intriguing. The
HR structure, which allows flexibility and empowerment, is the solution.
Performance Appraisal Criteria at TCS-:
OBJECTIVES-:

4. Data relating to performance assessment of employees arc recorded, stored.
And used for seven purposes. The main purposes of employee assessment
are:
To effect promotions based on competence and performance.
To confirm the services of probationary employees upon their completing
the
Probationary period satisfactorily.
To assess the training and development needs of employees.
To decide upon a pay raise where (as in the unorganized sector) regular pay
scales have not been fixed.
To let the employees know where they stand insofar as their performance is
concerned and to assist them with constructive criticism and guidance for the
purpose of their development.
To improve communication. Performance appraisal provides a format for
dialogue between the superior and the subordinate, and improves
understanding of personal goals and concerns. This can also have the effect
of increasing the trust between the rater and the rate.
Finally, performance appraisal can be used to determine whether HR
programme such a selection, training, and transfers have been effective or
not.
Broadly, performance appraisal serves four objectives-
(1) Developmental uses,

5. (2) Administrative uses/decisions,
(3) Organizational maintenance/objectives, and
(4) Documentation purposes.
Table below outlines these and specific uses more clearly:-
Multiple Purposes of Performance Assessment
General Applications Specific Purpose
Developmental Uses Identification of individual needs
Performance feedback
Determining transfers and job assignments
Identification of individual strengths ad
development needs.
Administrative Uses/Decisions Salary
Promotion
Retention or termination
Recognition of individual performance
Lay-offs
Identification of poor performers.
Organizational Maintenance/ Objectives HR planning
Determining organization training needs
Evaluation of organizational goal
achievement
Information for goal identification
Evaluation of HR systems
Reinforcement of organizational
Development needs.

6. Documentation Criteria for validation research
Documentation for HR decisions
Helping to meet legal requirements.
PERFORMANCE APPRAISAL AND COMPETITIVE
ADVANTAGE IN TCS-:
The objectives of performance appraisal, point out the purpose which such an exercise
Seeks to meet. What needs emphasis is that performance evaluation contributes to TCS’s
competitive strength. Besides encouraging high levels of performance, the evaluation system
helps identify employees with potential, reward performance equitably and determine employee's
need for training. Specifically, performance appraisal has helped the TCS gain competitive edge
in the following ways:-
:

7. TCS conducts two appraisals:
1. At the end of the year
2. At the end of a project.
Appraisals are based on Balanced Scorecard, which tracks the achievement of
employees
On the basis of targets at four levels —
Financial
Customer
Internal
Learning and growth
The financial perspective quantifies the employee’s contribution in terms of
revenue growth, cost reduction, improved asset utilization and so on;
The customer perspective looks at the differentiating value proposition offered by
the employee.
The internal perspective refers to the employee’s contribution in creating and
sustaining value; the learning and growth are self-explanatory.

8. The weight age given to each attribute is based on the function the employee
performs.
Based on their individual achievements, employees are rated on a scale of one to
five (five = “superstar”). If employees get a low rating (less than two) in two
consecutive appraisals, the warning flags go up. “If the poor performer continues
getting low scores then the exit option may be considered”.
Over the years TCS has found the pattern that leads to the maximum decline in
performance — boredom. If employees work for more than two years on the same
project, typically either their performance dips or they leave the organization.
.
To avoid that, TCS shuffles its employees between projects every 18 months or so.
“Performance drops if motivation drops”.
At the heart of an employee's satisfaction lies the fact that his performance is being
appreciated and recognized. TCS's performance management system has
metamorphosed into one that emphasizes objectivity and a system that mandates
performance evaluation against pre-determined criteria.
What deserves special mention is the active participation of the senior management
in the determination of guidelines for the performance appraisal process. The
process ensure buy in of the employees since the guidelines for the rating system
and its conversion into money terms is not unilaterally decided by HR but is a
consensus of a cross functional team with representation from all levels
.

9. TCS's performance appraisal system is supported by an online system called the
Human Resource Management System- an Oracle Developer 2000 based tool. The
system individual right from his biographical details to his projects performance.
An employee's performance history at the click of a button and this accurately
maintained for 14000 employees! Right from his entry, an employee in TCS get
formal performance feedback once very two months till such time that he is
confirmed after which the performance feedback is provided twice every year on a
formal basis. TCS however widely encourages informal feedback discussions
between Project Leaders and Team Members and this concept has found an
overwhelming appeal among the people.
Recognition at TCS
Guaranteed high motivation levels at TCS through competitive compensation
packages, stimulating job content, outstanding development opportunities, and, not
the least, an innovative recognition mechanism.
The various ways in which TCS recognizes its people are listed below.
Project milestone parties — to encourage efficient execution of projects.
Recognition of star performers / high fliers — to recognize outstanding
talent. .
Nomination to covet training programmers — to encourage self-
development.
Best project award — to promote a spirit of internal competition across work
groups and to foster teamwork.

10. Best PIP award — to encourage innovation and continuous improvement.
Best auditor award — to acknowledge participation in critical support roles
Spot awards — to ensure real-time recognition of employees.
Recommendations for new technology assignments / key positions — to
ensure career progression and development of employees' full potential.
Performance-based annual increments — to recognize high performers.
Early confirmations for new employees — to reward high-performing new
employees.
Long-service awards — to build organizational loyalty.
EVA-based increments — to ensure performance-based salaries.
On-the-spot recognition — to guarantee immediate recognition of good
performance.
CONCLUSION:
Tata Consultancy services follows the above mentioned
promotion or job appraisal techniques which has helped the company to gain
employee satisfaction and the efficient polices of the TCS HR team have helped
TCS to gain the employee faith , thus the promotion polices of TCS has been
highly successful and has gained great support from the part of the employees.