/ Employee Performance Management in India
/ Employee Performance Management in India
"For foreign companies, human resource management in India is often difficult. How do you build a transparent company structure in which employees dare to be open, but can also be held responsible for the results achieved? Below, we provide insight into employee performance management in India.."
In Europe, usually you have official contact with the manager about your performance twice a year on average, in an assessment interview and a performance review. But in India, this happens only once a year.
The Indian Annual Performance Appraisal can best be compared with what the assessment interview of Europe. The functioning of the employee is tested against the set and achieved company objectives. If the assessment is positive, this can be rewarded with a salary increase. But there is more than just a salary increase.
In good employee performance management, the organisational goals are clearly shared with the employees. Everyone can then define personal goals that contribute to the organisation’s end result. This creates a sense of involvement in the company, the expectations for the employee are clear and there is enough room for personal development. Because the employees themselves determine how they want to achieve the goals, it creates trust in the employee’s knowledge and skills and boosts motivation.
Working in Indian culture
Before applying the above directly to your business in India, it is important to understand the Indian office culture. As Michel Koopman, director at the Leela Palace Hotel in Guragon explained to us earlier, there are a number of differences with the western way of doing things. In India, for example, hierarchy is very important on the work floor. The hierarchy determines who takes the important decisions and what tasks can and cannot be done in certain jobs. Indian employees are therefore used to carrying out instructions from the boss and not giving their own input or criticism.
Maintaining good relations with business contacts and employees is essential in India. Despite the hierarchy, this is also reflected in the workplace. There is more room for conversations about private life and it is not unusual for the entire office to be invited to a birthday or wedding party. The intertwining of work and private life in India is also visible in the long hours Indians are willing to work. It is not uncommon to be in the office late into the night to meet a deadline. This is partly to do with time management. Getting to the office on time in the morning is almost impossible with the traffic in the big cities, but this is then compensated with extra hours in the evening without any fuss.
Employee Performance Management in India
When thinking about employee performance management as a foreign company in India, it is important to take these cultural differences into account. Because of the hierarchical system, many Indians have fixed expectations of, for example, a managerial position in terms of salary, responsibilities and especially what can be delegated in that position. It is therefore very important that the tasks and expectations from the company are described and presented as clearly as possible. In addition, it is smart to conduct a performance review more often than once or twice a year. Choose, for example, one long discussion and three shorter evaluation moments. In this way, you can check more often whether the way of working you envisage is being taken up.
And if you want to express criticism during the performance review, think carefully about how you present it. Always ensure that the conversation is conducted in privacy, so the employee does not feel embarrassed in front of others. First talk about lighter, personal things before you start the performance review, for example, ask about the employee’s family. Pay attention to your own body language during the interview, avoid closed postures such as crossing your arms or putting your hands at your side, and share your criticism in a constructive manner. Again, it is important that the criticism is explained as clearly as possible, so that the employee does not see it as a personal attack, but immediately knows how he or she can handle it differently in the future. Finally, be accommodating when it comes to tardiness and missed deadlines. As KPN manager Jasper Fortuyn told us earlier, “That’s one of the aspects of Indian culture you have to embrace, because you just can’t change it”.
Maier Vidorno Altios can offer you correct guidance and assistance
The way of communicating in India and the Europe is fundamentally different. Understanding each other is the key to success. Unfortunately, it also often goes wrong in this area. Based on your specific challenge, Maier Vidorno Altios offers you customised solutions for you with our HR experts in which we can address questions such as:
• Which communication strategy works well for your team in India?
• How do I get good feedback from your principals abroad?
• How do I manage my team efficiently in India?
• How do I develop proactivity in my Indian team?