From Pre-liberalisation to Post-liberalisation Era: An Investigation of Changes in Performance Management Systems in the Manufacturing Sector in Pune, India Literature Review

Abstract

This literature review examines the evolution of Performance Management Systems (PMS) in India's manufacturing sector, with a specific applied focus on Pune's manufacturing and auto-component cluster. The review traces PMS development from the pre-1991 era—characterised by regulated markets, strong labour protections and seniority-oriented practices—to the post-1991 liberalisation period that intensified market competition, encouraged strategic HR practices, and accelerated adoption of metric-driven PMS. Two extended sections are included: (1) a detailed review of Indian labour laws and industrial relations before and after 1991 and their implications for PMS design; and (2) a focused systematic review of PMS practices in Pune's auto-component firms. The paper synthesises theoretical and empirical literatures, identifies gaps (notably the shortage of longitudinal and SME-focused studies), and proposes directions for future research. A bibliography of 31 references in APA 7th edition style is provided.