Report on Performance Evaluation

Practices Followed by NAYATEL

SUBMITTED TO:
Sir Abdullah Hafeez

SUBMITTED BY:
Hafiz Muhammad Noman
Muhammad Umar
Jameel Ahmad
Tehreem Arif
Adnan Wazir
Ali Khalid
Rida Arif

pg. 1

COMPANY

pg. 2

Table of Contents

1.
Acknowledgement..04
2.

Executive

Summery

.. 05
3.

Introduction

of

the

Company..06
4.

Services

they

offer..07
5.

NAYATEL

ideologies..

.08
6.

Performance

appraisal

in

NAYATEL...

.09
7.

Research

Analysis....11
8.
Conclusion...18
9.

Suggestions

.19
10.
Questionnaires...21

pg. 3

ACKNOWLEDGEMENT
Words are only representations of our regards and gratitude that we have
towards our actions and their inherent associations. As a matter of fact, without
co-operation, no thought could be coined into real action. Consistent motivation
and invaluable support throughout any project is an issue that cannot
quantitatively measure. These acknowledgements are only a fraction of regards
towards their gestures.
Our sincere thanks to Sir Abdullah Hafeez. We express our deep sense
of gratitude to Sir who has been a source of inspiration throughout the course of
this work with her inestimable advice and moral encouragement. Our Group
members who have given an immense support throughout the course of the
Project and rest who all are attached to this Project directly or indirectly.
We would like to thank HR head of NAYATEL Mr Taimoor Sohail who
helped us in completion of our project.

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EXECUTIVE SUMMARY
Managing human resources in todays dynamic environment is
becoming more and more complex as well as important. Recognition of
people as a valuable resource in the organization has led to increases trends
in employee maintenance, job security, etc. Our research project deals with
Performance Appraisal or evaluation as carried out at NayaTel. In this
report, we have studied & evaluated the performance evaluation process as
it is carried out in the company.
The first section of our report deals with a detailed company profile. It
includes the companys history: its activities and services they are offering,
this section attempts to give detailed information about the company and
the nature of its functioning.
In the second section we discussed what services they are offering and
what the ideologies of Nayatel are. Further we have explained the
performance appraisal methods and the process of performance evaluation
in Nayatel.

pg. 5

In the last section of our report, we have conducted a research study to

evaluate the process of performance appraisal at NayaTel; this section also
contains our findings, conclusions and suggestions.

INTRODUCTION
Nayatel (NTL), a sister concern of Micro net Broadband which has been
a pioneer in Pakistan providing DSL broadband services since 2002, launched
South Asia's first fiber to the home (FTTH) network in Pakistan in 2006.
NayaTel has so far deployed over 1100km of fiber cable in Rawalpindi and
Islamabad providing world class, high speed Internet, point to point data,
fixed line next generation telephony, cable TV including HDTV services to
around 15,000 thousands mission critical business and home customers. In
2011, NayaTel was declared 2nd fastest growing organization in Pakistan by
AllWorld which was established in 2007 by Deirdre M. Coyle, Anne Habiby
and Professor Michael E. Porter of the Harvard Business School, USA.
NayaTel is not only maintaining top quality services but is continuously
expanding its customer base as well as having joint ventures with other top
organizations in Trust which is a global provider of digital payment and voice
biometric solutions.

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NayaTel contains a dynamic team of over 630 members who are very
dedicated, committed and believes in working beyond the call of duty to
achieve customer delight. That team is highly skilled yet very diversified.
NayaTel

is

committed

to

provide

excellent

employment and

career

development opportunities have made them a highly desirable employer in

Pakistan.
The human resource philosophy of NayaTel is based on hiring, training,
evaluating and retaining the best talent. They offer highly competitive,
market based remuneration and fringe benefits, fast track promotion
opportunities, regular and intensive training and development, stringent
performance management system and above all a fun packed and enjoyable
working environment.

SERVICES THEY OFFER

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NAYATEL

IDEOLOGIES

VISION:

pg. 8

To become a role model of trust, set highest standards of quality and add
value
to
the
society

HR VISION:
Lead

and

Facilitate

continuous

change

towards

organizational

excellence; create a learning and vibrant organization with high sense of

pride amongst its members
HR Initiatives:

Realigning organization culture based on new vision & values

Objective performance management & development system.
Performance linked reward and recognition system
Career planning & promotion policy
Revised recruitment policy
Competency mapping
strong focus on training initiatives- build a learning organizationcontinuous value addition to professional skill- customized training-

training to the personnel of business partners

Internal communication
Union alignment
Employee involvement & participation

WHAT IS PERFORMANCE APPRAISAL?

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Performance Appraisal is defined as the process of assessing the

performance and progress of an employee or a group of employees on a
given job and his / their potential for future development. It consists of all
formal procedures used in working organizations and potential of employees.
According to Flippo, Performance Appraisal is the systematic, periodic and
an important rating of an employees excellence in matters pertaining to his
present job and his potential for a better job.

360 Degree Feedback?

Many firms have expanded the idea of upward feedback into what the
call 360-degree feedback. The feedback is generally used for training and
development, rather than for pay increases.
Most 360 Degree Feedback system contains several common features.
Appropriate parties peers, supervisors, subordinates and customers, for
instance complete survey, questionnaires on an individual. 360 degree
feedback is also known as the multi-rater feedback, whereby ratings are not
given just by the next manager up in the organizational hierarchy, but also
by peers and subordinates. Appropriates customer ratings are also included,
along with the element of self appraisal. Once gathered in, the assessment
from the various quarters are compared with one another and the results
communicated to the manager concerned.

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Another technique that is useful for coaching purposes is, of course, MBO.
Like the critical incident method, it focuses on actual behavior and actual
results, which can be discussed objectively and constructively, with little or
no need for a supervisor to "play God.

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NAYATEL PERFORMANCE EVALUATION

ANALYSIS

Purpose of evaluation:
One of the best ways to appreciate the purposes of performance
appraisal is to look at it from the different viewpoints of the managers, the
employee and the organization.
The main purpose of evaluating their employees performances to get
to know how they are performing and whether it is up to the standards or
below the standards (monitoring).Then according to the performance of their
employees they reward them which ultimately motivate them to do even

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more then what they had done(Motivation).

They also evaluate them to see where they are lacking in and in what areas
they are lacking and then we can work on those areas and overcome their
fears and problems.
The performance appraisal is an essential part of the human resources
department's contribution to an organization. An effective appraisal may not
only eliminate behavior and work-quality problems, it can motivate an
employee to contribute more. Often, a company will ask its employees to
perform "360-degree feedback" that assesses peers and subordinates as well
as supervisors and management. Regardless, the opportunity to receive and
give constructive criticism shouldn't be ignored.
Duration of evaluation:
After every three months they evaluate their employees performance
online. They also do the evaluation on annual basis as well. The evaluation
after every three months is of routine type but after each year evaluation is
done thoroughly in which every aspect of the job is evaluated.
On what basis they do evaluation:

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Different departments have different attributes to evaluate. Normally

attributes that are evaluated are punctuality, personal appearance, ideas
and innovation, attendance, relation with other employees.
Evaluation criteria are the benchmarks against which requests for
proposals are measured. Evaluation criteria may include mandatory items
only or a combination of mandatory and point rated items.
Objectivity
Authority
Accuracy
Performance evaluation of sales staff:
When sales staff went to the customer to fix any issue or for
installation purpose. He gave them the feedback card when he done his job.
When company gets the feedback then they have the evaluation committee.
They evaluate his or the whole teams performance and company reward
them the best customer service award.
Performance EvaluatorBeing a sales professional is often very stressful,
as there are high demands to meet sales quotas. After all, if salespeople
dont make their numbers, it not only impacts their goals, but the financial
needs of the companies. Because of this, there is tremendous pressure
placed on hitting their sales.
But even though sales numbers are hugely important, theyre not the
only way to evaluate the success of your sales team. If youre trying to
identify which salespeople on your team are the top performers and which
ones might need to make a career change, its important to know how to
look beyond the immediate numbers.
Performance Evaluator:

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Normally immediate supervisor will do the evaluation with the help of

online evaluation system after every three months and after every six month
they do the 360 degree evaluation which covers all the aspects of the job. It
will be done by the help of supervisor, peers, managers and subordinates. By
doing 360-degree evaluation they can have feedback from their subordinates, their co-workers and managers instead of just from the direct
supervisor. The main purpose of doing 360-degree evaluation is that to
understand how their employees are working or how they can improve the
ways in which their employees work together.

Appraisal and rewards:

If an employee performs better then he will be rewarded with shining
stars award which is awarded to one employee in each department after
every three months. Sales staff get the best customer service award after
getting the feedback from the customers. Company gives them both
monetary and non-monetary rewards just to motivate their employees. The
motivation factor is very important for them as they use the positive reenforcement technique to motivate their employees by giving them
incentives or rewards. Company believes that by using this technique they
can easily motivate their employees and it will ultimately lead to the
betterment for their organization and employees will produce more and work
efficiently or effectively. As they motivate their employees by giving rewards
to them it will give a positive impact on other employees or it encourages
other employees to keep trying to do well regarding their particular job.

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Below standard performance:

When an employee is performing below the standard he will be given
warnings after three months and manager talks to them what is going on if
there exits any problem. Then his performance will be under full monitoring
and if his performance does not get better , then again he will be given
another warning. If his performance is still bad then company has to take
severe steps.
Accomplishment of evaluation:
We can say that overall its accomplished but in some cases this is not
the case. When an employee performs better and he is rewarded with some
monetary and non-monetary awards but this will not guarantee that he will
perform better than that because his performance may become worse due to
some reasons.
Fast promotion:
When an employee performs exceptional good and he has accomplished
his designated targets with great hard work then he is promoted to higher or
more important position or rank in the organization. Well he is properly
checked and his performance is analyzed carefully to know whether he is
successful in obtaining his targets and after 2 to 3 quarters, if he continued
his work with the same pace then he is promoted on a fast track.

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Fair evaluation:
They have a 360 degree evaluation system in which many members are
involved in evaluation e.g. employees subordinates, peers, colleagues,
supervisors and sometimes from customers and suppliers

which in turn

overcomes the chances of biased evaluation . So if a single person does

favoritism and tries to give benefit to his employee then the others will do
their evaluation which ,off Couse, would be unbiased so there are minimum
chances that the evaluation and the appraisal is biased and in favor of
someone.
Dissatisfaction regarding evaluation:
When an employee gets evaluated and he is not satisfied with his
evaluation then he can have a one-to-one meeting with the supervisor to
discuss the points of evaluation and supervisor will try to convince him. If he
or she is still not satisfied with his evaluation then he will have a meeting
with the manager, general manager of Human resource department and will
discuss with him the evaluation results. So there are different members who
try to convince the dis-satisfied employee of the organization. If there still
exists some confusion in the mind of the employee then he is allowed to
have conversation with the CEO of the organization. So sum up we can say
that the NAYATEL utilizes every possible way to remove the confused state of
mind of dis-satisfied employee.
Evaluation of managers:
NAYATEL has a good system of evaluation for each member of the
organization. Every employee from top level management to lower level of
management is evaluated and rewarded differently. Employees other than
managers are evaluated by managers and supervisors but managers

pg. 17

themselves are also evaluated .Their evaluation are done by the CEO of the
organization. The CEO of the organization is Wahaj Siraj. He evaluates all
managers of the organization and rewards them according to their
performance.

Knowledge of evaluation criteria:

If employees know about the criterias of the evaluation system. So,
they can improve in those areas in order to get good evaluation. If the
employees know about the criterias of the evaluation system. They can
improve in those areas in order to get good evaluation.
Well in NAYATEL they also let the employees know that what is the criteria
selected for the evaluation. In such manners the employees get to know that
which sectors are more important when it comes to evaluation. And the
employees can improve their performance in those sectors in order to get
good evaluation.
The knowledge of evaluation criteria would help the employee in increasing
their performance in such way i-e

Tell me what you want me to do

Tell me how well I have done it
Reward me for doing well
Help me improve my performance

But some of the criterias are kept hidden so that no one can manipulate the
evaluator and the evaluation can be done as fairly as possible i-e
Energy level on the job
Relation with other employees

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100 % Performance:
No one is Celebrating a job well-done is the easy part of the
performance appraisal. Noting areas of improvement is not so easy.
Nevertheless, no one is perfect, and the performance appraisal is an ideal
time to diplomatically highlight areas that need improvement.
No one is able to get 10 out of 10 points. No one is perfect there is
always a room for improvement for everyone.
NAYATEL believes in Total Quality Management, and all sort of
measures are taken to ensure quality. Most of the employees at NAYATEL
have excellent performance on their jobs. But no matter how efficient on is at
his job, there is always room for improvement.
Thats the reason why no one has ever got 100% in his evaluation.
Access to HR department:
Easy access to the HR department can be very beneficial for the employee of the
organization. It would increase the trust of employee on the organization and increase their job
satisfaction, motivation and moral.
In NAYATEL they have got the open door policy which means that any employee can
directly go to the CEO for discussing any job relating matter.
Even the bottom level staff such as sanitary workers can directly go to the HR department
for discussing any query relating his job.
Change they want in evaluation system:
Basically the evaluation system of NAYATEL is working at is best without any many
major flaws and they do not need any change in their evaluation system. But if some policy in
recruitment changes they would need to cope with the change and change the evaluation system
or criteria accordingly.

pg. 19

Now a days they are trying to introduce a paperless environment in the evaluation process
which would reduce the paper work in HR department. They want the evaluation process to be
networked (online) which would minimize the time spend on the evaluation of employees.
Legal Actions against wrong evaluation:
If wrong evaluation takes place in an organizations appraisal system, then
necessary legal actions should be taken against it. According to HR manager
of NayaTel his thing never happened yet, because they handle things very
carefully and an employee has every forum in the organization to discuss
their problem. There is open environment for employees, they can discuss
the problems and can get the solutions , So, no chances of such thing to
happen.
Evaluation form:
They do online evaluation after every 3 months (quarterly) and 360
Degree evaluation after every 6 months. Now they are working on
automated system. They do have an online form on which they do the online
evaluation. Their evaluation is confidential, so that they didnt shared that
form with us. There is also in-house software on which they do the
evaluation.
Evaluation of CEO:
In NayaTel Evaluation process is being practiced from top to bottom,
every person is involved in evaluation process. Top line managers evaluate
middle line managers and middle line managers evaluate lower line
managers, but CEOs are not evaluated.
Future Goal:
Currently NayaTel is following both paper work and online evaluation
methods, There future goal is to minimize paper work and to increase the

pg. 20

electronic techniques like Online evaluation. As paper work consumes so

much time, so, the purpose of reducing paper work is to eliminate the
wastage of time.

CONCLUSION
After having analyzed the data, it was observed that there was
appraisal in the organization. It is an effective tool, since it is on Quarterly
basis . Performance appraisals in NayaTel are satisfactory for its effective
management and evaluation of staff. Appraisals here are helping individuals
to develop, improve organizational performance, and feed into business
planning. Performance appraisals enable management in monitoring of
standards,

agreeing

expectations

and

objectives,

and

delegation

of

responsibilities and tasks. Staff performance appraisals also establish

individual training needs and enable organizational training needs analysis
and planning. 360degrees appraisal system or review is being followed in
NayaTel

i.e

feedback that comes from members of an employee's

immediate work circle most often, 360-degree feedback include direct

feedback from an employee's subordinates, peers, and supervisors, as well
as a self-evaluation.
It can also include, in some cases, feedback from external sources,
such as customers and suppliers or other interested stakeholders. The
appraisal process is continuous here and encourages employee productivity
with positive feedbacks. Ideally in the present day scenario, appraisal should
be done, taking the views of all the concerned parties who have some
bearing on the employee. But, since a change in the system is required, it
cannot be a drastic one. It ought to be gradual and a change in the mindset
of both the employees and the head is required.

SUGGESTIONS

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After doing the analysis we found out that performance evaluation in nayatel
is doing good. Rewards also given to deserving employees but there is
always room for improvement. Following are some suggestions from our side,
NayaTel can follow them to improve their performance evaluation system:

Time period for evaluation of employees should change after some time.

It will keep the employees on their toes.

Transparency should be brought in

performance with the concerned employee to get the real picture.

Feedback should get from sources in order to increase efficiency rather

then complexity.
There is always wrong perception in employees mind about the evaluation

system. Organization should do something do overcome that.

Rewards must be given after fair evaluation so that employees get

motivated
Assessment should be done more then person so that chances of unfair

practice are minimized.

Performance should be tied with the goals assigned to employees.
There should be an external evaluator who will take the final decision

about evaluation... this will reduce the chances of biasness.

Those system which do not meet the standards should be immediately

changed.
Before making any final decision about evaluation. Evaluator should ask

the employee if he want to say anything.

Set goals which will reinforces the employees to work even more harder

to achieve the goals.

It should be noted that the appraisal form for each job position should be

to

by

discussing

employees

different as each job has different knowledge and skill requirements.

There should not be a common appraisal form for every job position in the

organization.
The job and role expected from the employees should be decided well in
advance and that too with the consensus with them.

pg. 22

A neutral panel of people should do the appraisal and to avoid subjectivity

to a marked extent, objective methods should be employed having

quantifiable data.
Lack of Truth about Organization culture is conveyed through 90 degree of

appraisal system. it should be overcome.

Linking, Findings to the rewards can prove to be unfair. Transparency

should be bought in appraisal system.

Assesses denies the truth of negative feedback, as its done by one

person. More parties should be involved.

System can be used to humiliate people, if Employer and employee

relations are not good.

Ignores performance in terms of reaching goals, which can be disastrous

for the organization.

If performance in some area(s) does not meet standards, then agree to

set frequent and regularly scheduled performance discussions;

Before closing the meeting, be sure to ask if there is anything else the
employee wants to discuss, thereby maintaining a conversational rather

than confrontational tone.

Set goals in a way that reinforces the employee's ability to plan and
implement the steps necessary to reach the goal. The performance
appraisal must support and strengthen the employee's empowerment, his
or her ability to chart the course to successful accomplishments.

QUESTIONNAIRES
Q1: Why should you evaluate?

pg. 23

Q2: How often you evaluate your employees performance?

Q3: What you evaluate in employees jobs?
Q4: How you evaluate the performance of sales staff?
Q5: Who evaluate the performance in your organization?
Q6: What if employee performs above the standards?
Q7: What if an employees performance is below the standards?
Q8: Does the purpose of your evaluation system is accomplished?
Q9: Which employee can get fast track promotion?
Q10: How can you say that evaluation is fair in your organization?
Q11: What if an employee is not satisfied with his/her evaluation?
Q12: Does your organization do the evaluation of your managers?
Q13: Do your employees know about the criteria of evaluation system?
Q14: Do this ever happen that an employee get 10 out of 10 in performance
evaluation?
Q15: How much your HR department is approachable for your employees?
Q16: Are you thinking to change your evaluation system?
Q17: Is there any situation when an employee files a case against its
evaluation?
Q18: Is there any evaluation form that you are using to evaluate
performances?
Q19: Can you share the evaluation form with us?
Q20: Do your CEOs also get evaluated?
Q21: Is there anything that you want to achieve as an HR department but yet
no fully achieved?

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