Synopsis
SEBI has opted to detach its digital Management Information System from employee appraisals to foster a more balanced evaluation system. The new approach emphasizes quality over quantity, aiming to improve performance assessments and address employee concerns.Key Takeaways
- SEBI eliminates digital performance metrics in evaluations.
- Focus shifts from quantity to quality in assessments.
- Chairperson Tuhin Kanta Pandey engages with employees.
- Rights issue timeline reduced from 126 to 23 days.
- New regulations for share allocation in rights issues.
New Delhi, March 13 (NationPress) The Securities and Exchange Board of India (SEBI) has made a decision to eliminate the connection between its digital Management Information System and employee evaluations.
The regulatory body is currently re-evaluating its performance assessment strategies to adopt a more balanced methodology, as reported by NDTV Profit.
An internal notice has been circulated regarding these updates. While SEBI is in the process of revising its evaluation techniques, it will not completely abandon the previous methods but will instead reassess them for enhancements, as indicated in the report.
The concept of Key Responsibility Areas (KRAs) has been integral to SEBI's operations for more than two decades. However, similar to any adaptive system, the regulator is contemplating modifications to render performance evaluations more impactful.
Historically, the performance reviews of SEBI employees were heavily influenced by the digital Management Information System (MIS).
This system monitored achieved targets and success rates, which were pivotal in shaping career advancements.
Nonetheless, this strategy has raised concerns as some departments believed that their contributions were not accurately represented by numerical targets, the report noted.
Now, under the guidance of the new SEBI Chairperson, Tuhin Kanta Pandey, there has been a transformation in methodology.
As per the report, the emphasis has shifted from quantity to quality, with reduced focus on strict performance metrics.
Reports have also suggested that Chairperson Pandey has been proactively interacting with employees across various departments to understand and address their issues.
In the meantime, the market has shortened the timeline for executing rights issues from 126 days to only 23 days. The new regulations will come into force on April 7, enabling companies to raise capital more swiftly.
In a circular dated March 12, SEBI has also introduced enhanced flexibility in share allocation to specific investors during rights issues.
According to the updated framework, rights issues are now required to be finalized within 23 working days from the date the company’s Board of Directors endorses the issue.
As stated by the market regulator, companies must keep the rights issue accessible for a minimum of seven days and a maximum of 30 days.
