Dabur began its rationalization efforts in April 1997, when consultants McKinsey & Co. were hired. Their three recommendations were: Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay to focus on some business area; to improvise the supply chain and procurement processes and to restructure evaluation and compensation systems (HR Restructuring n.d.). Performance appraisals at Dabur have been made further objective by incorporating many measurable criteria. New concepts have been introduced as performance evaluation parameters. Some of these new metrics are customer satisfaction, increased sales and cost reduction, life cycle efficiency, return on investment and shareholder value (Gibson, Harvey & Harris 2007). Some key performance areas (KPAs) for each employee have been identified by human resources managers to improve employee satisfaction levels. Now, for performance appraisal and compensation planning, KRAs have become the basis. Dabur follows Balanced Scorecard-based performance management (Dabur India Ltd n.d.), which ensures balanced performance by managers across multiple dimensions, including financial objectives, customer relationship management, internal business processes, and research and development. The company's variable compensation plan has modified key performance indicators (KPIs) using the Balanced Scorecard, by. (Kaplan and Nortan 2001, Malmi 2001). How well employees achieve a specific set of objectives that have been deemed significant to the successful completion of their job determines the basis of their evaluation. This approach is called Management by Objectives (Greenwood 1981, Lepak et. al 2006), which consists of setting objectives, action planning, self-monitoring and periodic reviews (Nayab 2009). In goal setting, the organization's overall goals are used as guidelines from which departmental and individual goals are established. In action planning, the means of achieving the ends established in goal setting are determined, that is, pragmatic plans for achieving the goals are developed. There are three possible outcomes regarding the Dabur company: Exceptional - If the employee performs well, so as to accumulate 3 consecutive exceptional performances in his credit, he is promoted. Good - If he is rated "good", he is sent to the training program to improve his ability to perform better. Below Average - If the employee earns three credits below average, then he or she is fired. Although the review of the performance appraisal system in Dabur reveals that it has an effective appraisal system, the following recommendations were made: Base performance, job rotation and training program can be included in the corrective measures taken (Craig , Beatty, Baird 1986). From both an individual and organizational perspective, the frequency of feedback must be increased, to keep the employee motivated towards achieving organizational goals. Train the evaluator to better understand the system and advise him to be honest, fair and impartial in the evaluation process. Provide the employee with an appropriate remark or justification for receiving a particular grade. Better clarity of job descriptions must be provided to employees. Conduct performance evaluation on a quarterly basis instead.