Executive Summary
This report is part of the Human Resource Management Course requirement of the BBA program in this Semester. Our report portrays the process of performance appraisal and management of square pharmaceuticals ltd.
We did this report on the “The process of performance management and appraisal of a known Company”. We choose the Square Pharmaceuticals Company for preparing the formal report. So, this report is only appropriate for the Square Pharmaceuticals Company. Other than this, the report will not work at all.
We choose the Square Pharmaceuticals Company for preparing our report. We took help from the employees of the Square Pharmaceuticals Company Ltd. and discussed with them about their performance and appraisal management system and other things also.
Performance management is the systematic process by which an agency involves its employees, as individuals and members of a group, in improving organizational effectiveness in the accomplishment of agency mission and goals. Process of performance appraisal is the setting up of the standards which will be used to as the base to compare the actual performance of the employees.
Square Pharmaceuticals Company always measure their staffs, department and performance behavior also. They create their performance management and appraisal system in a planned way.
Introduction: Performance management is a way to create best method for effectively using organizational employees also gets organizational mission and goal. And taking an integrated, goal oriented approach to assigning, assessing, training, and rewarding employees performance. Mainly an organizational performance management focuses on organizational employees or staffs.
Every organization conducts performance for assessing the performance of the employees and the organization. But if not conducted properly, they can give a false impression about the performance of the employees and affect the overall performance of the organization; therefore, there is a need to train the appraisers to ensure the maximum effectiveness of the process.
Employee performance management includes:
- Planning work and setting expectations,
- Continually monitoring performance,
- Developing the capacity to perform,
- Periodically rating performance in a summary fashion, and
- Rewarding good performance.
Planning: In an effective organization, work is planned out in advance. Planning means setting performance expectations and goals for groups and individuals to channel their efforts toward achieving organizational objectives. Getting employees involved in the planning process will help them understand the goals of the organization, what needs to be done, why it needs to be done, and how well it should be done.
The regulatory requirements for planning employees’ performance include establishing the elements and standards of their performance appraisal plans. Performance elements and standards should be measurable, understandable, verifiable, equitable, and achievable.
Monitoring: In an effective organization, assignments and projects are monitored continually. Monitoring well means consistently measuring performance and providing ongoing feedback to employees and work groups on their progress toward reaching their goals.
Regulatory requirements for monitoring performance include conducting progress reviews with employees where their performance is compared against their elements and standards. Ongoing monitoring provides the opportunity to check how well employees are meeting predetermined standards and to make changes to unrealistic or problematic standards. And by monitoring continually, unacceptable performance can be identified at any time during the appraisal period and assistance provided to address such performance rather than wait until the end of the period when summary rating levels are assigned.
Developing: In an effective organization, employee developmental needs are evaluated and addressed. Developing in this instance means increasing the capacity to perform through training, giving assignments that introduce new skills or higher levels of responsibility, improving work processes, or other methods. Providing employees with training and developmental opportunities encourages good performance, strengthens job-related skills and competencies, and helps employees keep up with changes in the workplace, such as the introduction of new technology.
Carrying out the processes of performance management provides an excellent opportunity to identify developmental needs. During planning and monitoring of work, deficiencies in performance become evident and can be addressed. Areas for improving good performance also stand out, and action can be taken to help successful employees improve even further.
Rating: From time to time, organizations find it useful to summarize employee performance. This can be helpful for looking at and comparing performance over time or among various employees. Organizations need to know who their best performers are.
Within the context of formal performance appraisal requirements, rating means evaluating employee or group performance against the elements and standards in an employee’s performance plan and assigning a summary rating of record. The rating of record is assigned according to procedures included in the organization’s appraisal program. It is based on work performed during an entire appraisal period. The rating of record has a bearing on various other personnel actions, such as granting within-grade pay increases and determining additional retention service credit in a reduction in force.
Although group performance may have an impact on an employee’s summary rating, a rating of record is assigned only to an individual, not to a group.
Rewarding: In an effective organization, rewards are used well. Rewarding means recognizing employees, individually and as members of groups, for their performance and acknowledging their contributions to the agency’s mission. A basic principle of effective management is that all behavior is controlled by its consequences. Those consequences can and should be both formal and informal and both positive and negative.
Good performance is recognized without waiting for nominations for formal awards to be solicited. Recognition is an ongoing, natural part of day-to-day experience. A lot of the actions that reward good performance like saying “Thank you” don’t require a specific regulatory authority. Nonetheless, awards regulations provide a broad range of forms that more formal rewards can take, such as cash, time off, and many non monetary items. The regulations also cover a variety of contributions that can be rewarded, from suggestions to group accomplishments.
Now, we measure the process of performance appraisal management. Given a chart to mention the main term to achieve organizational goal and mission followed by accompany.
Managing Performance Effectively: In effective organizations, managers and employees have been practicing good performance management naturally all their lives, executing each key component process well. Goals are set and work is planned routinely. Progress toward those goals is measured and employees get feedback. High standards are set, but care is also taken to develop the skills needed to reach them. Formal and informal rewards are used to recognize the behavior and results that accomplish the mission. All five component processes working together and supporting each other achieve natural, effective performance management.
About Square Pharmaceuticals Ltd.
Historical Background:
SQUARE today symbolizes a name a state of mind. But its journey to the growth and prosperity has been no bed of roses. From the inception in 1958, it has today burgeoned into one of the top line conglomerates in Bangladesh. Square Pharmaceuticals Ltd., the flagship company, is holding the strong leadership position in the pharmaceutical industry of Bangladesh since 1985 and is now on its way to becoming a high performance global player.
SQUARE Pharmaceuticals Ltd. is a glorious name in the history of pharmaceuticals industry. The company was established in 1958. From the period of establishment it never looked back. The company is holding the strong leadership position in the pharmaceutical industry of Bangladesh since 1985 and is now on it’s way to becoming a high performance global player.
Vision:
We see business as a means to the wellbeing of the investors, employees and the society at large, leading to accretion of wealth through financial and moral gains as a part of the process of the human civilization.
Mission:
Their mission is to provide quality & innovative healthcare relief for people, maintain stringently ethical standard in business operation also ensuring benefit to the shareholders and other stakeholders.
Objective:
Their objectives are to conduct transparent business operations within the legal & social frame work with aims to attain the mission reflected by their vision.
Corporate Governance
Top Management:
As per provisions of the Article of Association, Board of Directors holds periodic meetings to resolve issue of policies and strategies, recording minutes/decisions for implementation by the Executive Management.
Executive Management:
The Executive Management is headed by the managing director, the chief Executive Officer (CEO) who has been delegated necessary and adequate authority by the Board of Directors. The Executive Management operates through further delegations of authority at every echelon of the line management. The Executive Management is responsible for preparation of segment plans or sub-segment plans for every profit centers with budgetary targets for every item of goods & services and is held accountable for deficiencies with appreciation for exceptional performance. These operations are carried out by the Executive Management through series of committees, sub-committees, ad-hock committees, standing committees assisting the line management.
Distinguish Department:
We already know that, Square pharmaceuticals one of the best pharmaceuticals company in Bangladesh also they have claimed that is number one position in BD. And the position they got not only their product quality also their good administrative system. They maintain good communicate with their employee’s cause of increase productivity and also train their employees and give best intensive for employees. Square group distinguish different department for getting more benefit for staffs and company profit. Their several departments is given below,
- HRM Department
- Marketing Department
- Accounts Division
- Sales Division
- Purchase & Maintenance Division
- Transport and Distribution Division
- Lab and Raw materials Division
- Finally Computer or IT Division
- Finance & Audit Division
Square group distinguish all department but they collaborate with one to one division for achieve employees satisfaction and company goal
Environmental Influences on Management Programs:
There are the internal and external environmental factors that affect on management program of the Square Pharmaceuticals Company. Internal and External factors are given below:
Internal environment including all internal factors like setting plan, how to achieve goal, recruits employees, set up appropriate man to appropriate section, distribution work etc. all are internal strategy.
External environment including all external factors like marketing channel, consumer, distributor raw materials, getting information for company etc. all are external strategy.
Performance Appraisal Training: Every organization conducts performance for assessing the performance of the employees and the organization. But if not conducted properly, they can give a false impression about the performance of the employees and affect the overall performance of the organization; therefore, there is a need to train the appraisers to ensure the maximum effectiveness of the process.
Square pharmaceuticals also offer to their employees give up training for getting more benefit of company and staffs do their best for that. Employee’s promotion depends on their performance and activities.
Self Appraisals: Self appraisal is an important part of the Performance appraisal process where the employee himself gives the feedback or his views and points regarding his performance. Usually this is done with the help of a self appraisal form where the employee rates himself on various parameters, tells about his training needs, if any, talks about his accomplishments, strengths, weaknesses, problems faced etc.
Square group followed all rules and regulations for improving their employees self appraisal.
Succession planning & Performance management: Succession planning is ensuring the right people in the right place at the right time. It is a part of HR planning for the organization and involves finding the right people to take higher responsibilities in the organization. The success of the organization is largely dependent on the quality of its human resources and leaders of the organizations. Succession planning is proactive in nature and results in the creation of a talent pool of candidates with the required potential and competencies who can take the high positions in future and help in the growth of the organization.
Recruitment & Selection Process: The recruitment system of square pharmaceuticals company followed many formal procedures. Their recruitment system is depending upon two basic sources: one is internal and other is external source.
Internal Source: Square Pharmaceuticals Companies internal sources are recruiting current company employees for the sales force department. In their HR department, each employee has personal records, performance a record which is varying from other employees. So if an employee’s performance is better than company give the promotion. These types of recruiting reduce the cost and time also.
External Sources: Square Pharmaceuticals Company some external sources for recruiting. Some sources are given below:
- Referral of people in other firms
- Advertisements
- Employment Agencies.
Selection Procedures:
Square Pharmaceuticals Company typically use some selection tools, they are:
- Personal Interviews
- Reference Checks
- Physical Examination
- Personality tests
- Intelligence tests
Motivation of Employees: Motivation is viewed as the amount of effort the salespersons and other employee’s desires to expend on each activity or task associated with the job. In every organization, if sales people are not motivated they don’t give any extra benefit for the organization. Square pharmaceuticals also motivate their employees in different ways. Now we discussed about their motivation system.
Square pharma mainly give reward depending on each sales person’s performance. They always set a quota for every sales people. They told them, if a sales person can fulfill his quota early than he will receive 2% commission on each product. They also tell them if any one can sell highest amount of product three years in a row, than he/she will get promotion. These types of motivation sometimes appropriate for the organization. Square also give some commission on extra sell in every product. In this way they motive their sales people also departmental staffs.
Reward for superior performance: Square pharmaceuticals ltd. recognizes superior performance. When their any employee’s performance is better than other employees, then that employees get reward from the organization.
Fairness: Square pharmaceuticals Company always follow fairness when they give any reward. Fairness creates a value for the employees mind and them emphasis more on their work.
All managers and supervisors who consult performance appraisals should be given training for the following steps also followed square this strategy:
- Methods, techniques and guidelines for setting goals and objectives
- How to evaluate the performance and rate the employees
- How to complete a performance appraisal form
- How to maintain objectivity in the appraisal
- Responding to employee reactions
- Improves rapport and communication
- Building morale and motivating employees
- Observing and measuring performance
- Post review actions
Conclusion: The performance and appraisal management system in Square Pharmaceuticals Company is a planned system. They use different management tools for establishing their performance and appraisals management. In the above discussion we can easily understand that, Square Pharmaceuticals Company mainly depends on their organizational distinguish of department. This divisional employee’s team earned a great market share in every year also get promotion. Their total activates is a very well defined, that’s why their divisional people are more active than any other pharmaceuticals company. In our country, pharmaceuticals company mainly use personal selling as promotional tools. So they should more emphasize on this promotional tools, also focus on internal and external activities.
