Page 110 - DMGT517_PERFORMANCE_MANAGEMENT_SYSTEM

Unit 9: Performance Counselling

(j) Servo shop Notes
(k) Non-DDGS &D collections
(l) Inspections Retail, SKO
(m) Customers’ complaints
(n) Mandatory facilities at retail outlet

(o) Night outs

For each of these awards, parameters with a significant impact on performance were
involved and reward announced. (See Exhibit 2)
Exhibit 2: Parameters and Reward

Unit Parameter Reward All India Others
State Offi ce Overall Singapore (3 nights) Nepal (2 nights)
-do- Goa
State Offi ce Market Share Nepal -do-
Dividioanl Offi ce Overall -do- -do-
Terminal Overall -do- Goa
Depot Overall Nepal
Field Offi cer Retail Consumer

The spouse could accompany the rewardee and travel, boarding and lodging are on
company account.

Officers going abroad are expected to study the practices of multinational in similar retail
business.
Conclusion
Indian Oil’s scheme is a unique policy intervention aimed at recognition and reward
of high performance by team heads and individual performers. It has gone a long way
in creating a motivational climate in its marketing division, and thus, has had a highly
positive impact in product sales/market share. In the post APM scenario, this scheme has
been indirectly instrumental in helping IOC maintain its high sales volume and market
leadership position.
The following data illustrates this point.

Year IOC Product Sales (in mt) Market Share (as %)
1998-99 46.05 53.1
1999-00 48.79 53.3
2000-01 47.80 52.5
Question
Evaluate the PMS schemes used by IOC.

Is there any relation between the counseling and job performance?

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