SEBI To Review Performance Appraisal Method For Employees — Profit Exclusive
The intent is likely to do away with the target-driven approach, people in the know told NDTV Profit.
Securities and Exchange Board of India has removed the linkage of digital management information system for key result areas or KRAs from annual appraisals of its employees, as per four people in the know. The regulator will reassess the current performance review method, they said.
An internal circular regarding these changes has also been floated, the people quoted above told NDTV Profit on the condition of anonymity.
While the regulator is looking to modify the review process, the older methods are not going to be completely done away with, rather the processes will be reassessed, they said.
One of the people quoted above mentioned that KRAs have existed in SEBI for over 20 years. However, like any system that evolves over time, the regulator is also considering changes.
The intent is likely to do away with the target-driven approach, the people said.
Explaining the previously implemented appraisal system further, they mentioned that, for example, if a particular department of the regulator had four employees and its overall performance was found to be average, the ratings of all team members would be affected—even if some individuals were strong performers.
Previously, submitting the Management Information System data was considered crucial within SEBI, as it would then mention "target achieved" figures and "success rates". These metrics played an important role in yearly performance appraisals. Eventually, this digital system of updating KRAs would play a role in influencing career progression within the organisation.
However, a shift towards digitisation had previously created friction, as departments were reluctant to submit data on the digital portal, fearing it would not accurately reflect their performance.
This resistance ultimately contributed to SEBI employees’ protests last year, with concerns that a rigid focus on numerical targets did not capture the complexity of their work.
However, under the leadership of the new SEBI chairperson, Tuhin Kanta Pandey, people who spoke to NDTV Profit indicated a change in approach. The emphasis has now shifted from quantity to quality, moving away from a performance-measurement system.
Four people directly related to these issues mentioned that the new Chairperson is meeting employees across departments to address their issues.
