Performance Management System (PMS) Policy – BloomchemAG

This is to formally introduce the Performance Management System (PMS) Policy of BloomchemAG. The purpose of this policy is to establish a structured framework for performance evaluation, development, and compensation review aligned with organizational objectives.

1. Objective
The PMS framework is designed to ensure clarity in role expectations, continuous performance monitoring, fair evaluation, and performance-linked compensation decisions.

2. Performance Cycle
BloomchemAG follows a Calendar Year Performance Cycle (1 January – 31 December).

Performance and compensation reviews will be conducted three (3) times in a year, with evaluation occurring in every fourth month as per the following cycle:

• Review 1: January – April

• Review 2: May – August

• Review 3: September – December

Compensation adjustments, if applicable, will be considered during these review cycles based on performance and management approval.

3. KRA / KPI Framework

• Each employee will be assigned defined Key Result Areas (KRAs) / Key Performance Indicators (KPIs).

• KRAs must be measurable, role-specific, and aligned with departmental and organizational goals.

• Employees are responsible for tracking their performance against assigned targets.

4. Evaluation Process

• Performance discussions will be conducted between the employee and Reporting Manager.

• Evaluation parameters may include target achievement, quality of work, accountability, discipline, teamwork, and initiative.

• HR will ensure documentation and process compliance.

5. Compensation Review

• Compensation revision is not automatic and shall be based on performance ratings, business performance, and management discretion.

• The company reserves the right to withhold increments in cases of underperformance, misconduct, or policy violations.

6. Performance Improvement Plan (PIP)

• Employees whose performance does not meet expectations may be placed under a Performance Improvement Plan (PIP).

• The PIP will define measurable improvement areas and timelines.

• Continued non-performance may lead to further disciplinary action.

7. General Conditions

• All appraisal outcomes will remain confidential.

• Management reserves the right to amend the PMS structure based on business requirements.

• This policy forms part of the official employment framework of BloomchemAG.

For any clarification, please contact the HR Department.

Regards,
HR Department
BloomchemAG