arun final report alter

A STUDY ON EMPLOYEE ATTRITION IN TVS SRI CHAKRA TYRES,MADURAI.

ByMURUGAPPAN.R

Reg. No. 96009631029of

MEPCO SCHLENK ENGINEERING COLLEGE, SIVAKASI

A PROJECT REPORTSubmitted to the

FACULTY OF MANAGEMENT STUDIES

In partial fulfillment of the requirements

for the award of the degree

of

MASTER OF BUSINESS ADMINISTRATION

ANNA UNIVERSITY TIRUNELVELITIRUNELVELI 627 007

JULY-AUGUST, 2010

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BONAFIDE CERTIFICATE

Certified that this project report titled, “A STUDY ON EMPLOYEE ATTRITION IN TVS

SRI CHAKRA TYRES, MADURAI” is the Bonafide work of Mr.R.MURUGAPPAN (Reg.

No. 96009631029) who carried out the research under my supervision. Certified further, that to

the best of my knowledge the work reported here in does not form part of any other project

report or dissertation on the basis of which a degree or award was conferred on an earlier

occasion on this for any other candidate.

HEAD OF THE DEPARTMENT FACULTY GUIDEDr.S.Tamil Selvan M.B.A., Ph.D. Mr.N.SenthilKumaran M.B.A.Department of management studies, Department of management studies,Mepco Schlenk Engineering College, Mepco Schlenk Engineering College,Sivakasi – 626 005. Sivakasi – 626 005.Virudhunagar District. Virudhunagar District.

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Murugappan. R

I MBA

Mepco Schlenk Engineering College

Reg. No. : 96009631029

DECLARATION

I hereby declare that the project titled “A study on Employee Attrition in TVS Sri

Chakra Tyres Pvt Ltd” submitted for the award of Master of Business Administration in Anna

University has been carried out under the guidance of Mr.N.Senthil Kumaran, Department of

Management Studies, Mepco Schlenk Engineering College, is my original work which does not

form part of the award of any other Degree or Diploma.

Murugappan.R

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ACKNOWLEDGEMENT

At the outset, I thank god for granting me the wisdom and grace to complete my project. I

would like to express my gratitude to take this opportunity to express my profound sense of

gratitude and to extend my best wishes to all the people who have guided, inspired and motivated

me during this project, which gives me immense pleasure to acknowledge their co-operation.

I express my heartfelt thanks to our respected principal Dr. S. Balakrishnan, B.E.,

M.S., MIEEE., Ph.D for providing ample facilities made available during the course of this

project.

I wish to express my thanks and sincere gratitude to our Director and Head of the

Department, Dr.S.TamilSelvan, M.B.A., Ph.D, for his valuable advice and guidance to

complete this work successfully and also for his enthusiastic encouragement.

I want to thank Mr.Gokula Krishnan B.Tech., M.B.A, Junior Manager of Human

Resource department in TVS Sri Chakra Tyres for giving me permission to commence this

project in the first instance, to do necessary research work and also for his valuable guidance

throughout this project.

I am most grateful to my internal guide Mr.N.Senthil Kumaran M.B.A., who guided me

and encouraged me by giving constructive criticisms during the entire work. His vision and

wisdom helped me to realize the importance of this work.

I wish my hearty gratitude to my family who has been the primary sources of inspiration

for my success. Last but not the least, I wish to thank my friends who really gave me some boost

to complete the project.

Murugappan. R

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ABSTRACT

Attrition is a critical issue and pretty high in the industry these days. It is the major

problem which highlights in all the organizations. Attrition is said to be the gradual reduction in

the number of employees through retirement, resignation or death. It can also be said as

Employee Turnover or Employee Defection. Whenever a well-trained or well-adapted employee

leaves the organization, it creates a vacuum. So, the organization loses key skills, knowledge and

business relationships. Modern managers and personnel administrators are greatly interested in

reducing Attrition in their organization, in such a way that it will contribute to the maximum

effectiveness, growth, and progress of the organization.

This study is an outcome of the topic called “A STUDY ON ATTRITION IN TVS SRI

CHAKRA TYRES” for a period of six weeks. The main objective of this study is to know the

reasons for the employee attrition in the concern and to find the ways to reduce it. It also helps to

know the satisfactory level of employees towards their job and working conditions by which we

can improve the areas in which it lags behind.

The research design used in this study is descriptive research design.

The research has been conducted with the help of primary data. It has been

collected through questionnaires. The responses were received from the

executive and above level managers in TVS Sri Chakra Tyres, Madurai. Totally

87 samples are taken to the study the Attrition level in the organization. The collected data

are compiled, edited and tabulated for the purpose of effective analysis. For

analysis purpose the following statistical tools and techniques has been

applied (Frequency analysis, Correlation, Chi-square).

After analyzing the data, the findings and suggestions to the company

are prepared. From the study it is identified that the lack in growth opportunities and the

monetary benefits are the major problems for the occurrence of attrition in the company. If the

recommendations are implemented by the company, it will help to reduce

the level of attrition in the concern.

S. NO. TOPIC PAGE NO

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ACKNOWLEDGEMENT

ABSTRACT

I INTRODUCTION

1.1 INTRODUCTION TO THE STUDY 1

1.2 COMPANY PROFILE 3

1.3 INDUSTRY PROFILE 4

1.4 LITERATURE REVIEW 5

1.5 OBJECTIVE OF THE STUDY 8

1.6 METHODOLOGY 8

1.7 LIMITATION ON THE STUDY 9

II DATA ANALYSIS

2.1 METHODS USED TO ANALYSIS DATA 9

2.2 INTERPRETATION OF THE ANALYSIS 10

III FINDINGS AND SUGGESTIONS

3.1 FINDINGS 23

3.2 SUGGESTION 24

CONCLUSION 25

BIBLIOGRAPHY 26

APPENDICES 27

TABLE OF CONTENTS

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CHAPTER 1

INTRODUCTION

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1.1 INTRODUCTION TO THE STUDY

This study on employee attrition was done in TVS Sri Chakra Tyres, Madurai. This

company thinks that there is increase in attrition level nowadays and so they want to find out the

reasons behind attrition. Hence, this study focused on why the Attrition occurs and the possible

ways to reduce it.

The study was mainly undertaken to identify the level of employee’s attitude, the

dissatisfaction factors they face in the organization and for what reason they prefer to change

their job. Once the levels of Employee’s attitude are identified, it would be possible for the

management to take necessary action to reduce attrition level. Their progression in their career

will lead to the success of the Company for the long run.

ATTRITION:

Attrition is defined as "A reduction in the number of employees through retirement,

resignation or death". Attrition, also known as employee churn, employee turnover,

or employee defection, is an industrial term used to describe loss of employees or Man

power.

FACTORS INFLUENCIING EMPLOYEES TO QUIT THE JOB:

Employees do not quit the job for a simple reason. There may be a range of reasons to

take this decision. Employees resign for many different reasons. Sometimes it is the attraction of

a new job or the prospect of a period outside the workforce which 'pulls' them; on other

occasions they are 'pushed' due to dissatisfaction in their present jobs to seek alternative

employment.

We have to look in to various factors, which influence this decision. Some of the factors

or reasons are listed below.

Monetary benefits

Working conditions

Selection of the wrong job.

Lack of proper induction / orientation, creates frustration.

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Lack of future scope.

Lack of promotion opportunity.

Poor perception / relation with boss.

Lack of career planning.

Poor implementation of performance appraisal.

Lack of performance management system.

Lack of pay for performance.

Travel hazard, prefer close to home.

High expectation of the employee.

Prefer self employment.

A flat organization, hence limited scope for progress

Attrition also happens when people, do not like their team-mates or perhaps do not like

what they are doing. There are also cases when people leave their job for family reasons or when

they wish to migrate. Studying all these factors will help us to find the Remedial, Corrective

actions to reduce the Attrition.

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1.2. COMPANY PROFILE

TVS Sri chakra is one of the leading two and three-wheeler tyre manufacturer in India

rolling out over 11 million tyres per annum. Part of US $ 2.2 billion largest Auto Ancillary group

TVS, founded by Sri. T.V.Sundaram Iyengar, TVS Tyres lives up to the rich heritage and strong

value system of the parent company.

Incorporated in 1982,at its state-of-art manufacturing facility at Madurai in Tamil Nadu.

Spread over an area of 2.5 lakhs sq. mts, the manufacturing unit at Madurai employs over 2000

people. TVS Tyres is one of the major suppliers to all leading original equipment manufacturers

namely TVS Motors, Hero Honda, Bajaj Auto and Yamaha Motors and has a strong network of

over 2050 dealers and 23 depots across the country to cater to the after market. The company is a

global player, exporting to USA, Europe, Africa, South America and South East Asia.

Accredited on 1996 with ISO 9001 certifications, TVS Tyres adopted strong quality

standards from its inception and these benchmarks were further strengthened with the

certification of ISO 14001, ISO 9001-2000 and TS 16949. The company has other practices like

Six Sigma and Lean Manufacturing Techniques in place to abide by their high quality standards.

TVS Tyres was also the winner of the prestigious TPM Excellence Award in 2003 and TPM

Consistency Award in 2005.

The vision statement of TVS Sri Chakra Tyres is “To be a company with highest

profitability in the industry by consistently exceeding the customer’s expectations” and they

are working towards achieving their vision in every part of their work.

They focus on both industrial safety and production. All over the campus, they displayed

their motto as “Safety first, Production must“. They provide all statuary benefits to the workers

and train them well in the job to achieve their goal of increased customer satisfaction.

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1.3 INDUSTRY PROFILE

In the growing world of locomotives, the usage of tyres is unavoidable. While the tyre

industry is mainly dominated by the organized sector, the unorganized sector holds sway in

bicycle tyres. The major players in the organized tyre segment consist of MRF, Apollo Tyres,

Ceat and JK industries, which account for 63% of the organizes tyre market. The other key

players include Modi Rubber, Kesiram Industries and Goodyear India with 11%, 7% and 6%

respectively. Dunlop, Falcon, Tyre Corporation of India Limited (TCIL), TVS SriChakra, Metro

Tyres and BalKrishna tyres are some of the other players in the industry. MRF, the largest tyre

manufacturer in the country, has strong brand equity. While it rules supreme in the industry,

other players have created niche markets of their own.

Apart from natural rubber and synthetic rubber, rubber chemicals are also widely used in

tyres. The two types of synthetic rubber used in tyres are Poly Butadiene Rubber (PBR) and

Styrene Butadiene Rubber (SBR). The former is used in most of the tyres, while the latter is used

in the radials for passenger cars. Synthetic rubber accounts for 14% of the material cost. Unlike

in the case of rubber, India imports 60% of its synthetic rubber requirements.

Apart from rubber major raw materials are nylon tyre cord and carbon black. The former

is used to make the tyres strong and impart tenacity to it. The latter is responsible for the color of

the tyre and also enhances the life span of the tyre. Nylon tyre cord comprises 34%, while carbon

black accounts for 13% of the raw material cost. In India. The carbon black used is of N660,

N220 and N330 variety.

To sum up, the tyre industry is highly raw-material intensive, with raw material costs

accounting for 70% of the cost of production. Fortunately for the industry, the rubber and carbon

prices have taken a beating recently, which means lower costs for the tyre industry. The export-

import policy allows free import of all types of new tyres and tubes. However, import of

retreated tyres, either for use or for reclamation of rubber is restricted. This has led to tyres being

smuggled into the country under the label of new tyres. Though tyre import and all raw materials

for tyres except natural rubber are under open general license (OGL), only import of natural

rubber from SriLanka is eligible under OBL.

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1.4 LITERATURE REVIEW

A literature review is a body of text that aims to review the critical points of current

knowledge including substantive findings as well as theoretical and methodological contributions

to a particular topic. Some of the literature reviews regarding “employee attrition” are as follows:

1.” Employee retention and turnover: Using motivational variables as

a panacea” by Michael O. Samuel* and Crispen Chipunza highlights the

reasons for employee turnover in the organisations: hiring practices; managerial style; lack of

recognition; lack of competitive compensation system; toxic workplace environments. Others

include lack of interesting work; lack of job security; lack of promotion and inadequate training

and development opportunities, amongst others. These are intrinsic and extrinsic motivational

factors which can assist managers to influence employee retention in their organisations. The

problem, however, is that managers have failed in identifying and properly using these variables

as retention strategies thereby resulting in the prevailing high turnover rate in the organisations.

2. Alan G. Downe in his research study, titled Employee attrition states that” The success of the

industry is, in part, dependent on recruiting and retaining workers with the right combinations of

skills, but is threatened by high rates of staff attrition and job-hopping”. Using survey, focus

group and interview techniques, this study explores the factors influencing the intention to turn-

over among young, well-educated professionals within the Malaysian service industry. The

results showed that there was a high tendency for this group of young employees to switch jobs.

This was motivated by both push factors (interference with work-family-lifestyle balance, poor

relations with co-workers, work stressors, unsatisfactory supervisory relationships) and pull

factors (offers of better compensations, more interesting work, promotion opportunities, desire to

return for academic studies). The importance of human capital management in the service

industry has been linked to maximizing all employees’ values to reach the firms’ objectives. By

identifying these push and pull factors, it provides valuable insights to Malaysian employers to

understand better what current young workers are seeking for and to utilize more innovative

strategies to attract and retain their top talent.

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3. “A Firm-Level Analysis of Employee Attrition” by Terry C. Blum considers the role that

firm characteristics, work force characteristics, location, and employee benefits practices have in

explaining employee attrition. Hierarchical regression analyses suggest that benefit practices are

associated with turnover, even when controlling for firm characteristics, firm setting, and work

force characteristics. Specifically, firms where benefits were a higher percentage of total labor

costs and firms whose benefits packages were described to be of higher quality experienced less

attrition. Implications of the findings for human resource management are discussed.

4. Mastri, Annalisa in his research, titled “The Effect of Work-Family Policies on Female

Employee Attrition and Firm Profitability" This paper investigates how work-family policies are

linked to the attrition of female employees and firm profitability. There are three main findings.

First,Employee Assistance Plans, dependent care flexible spending accounts, and emergency

child care are associated with increases in the percentage of associates who are female. Second,

these policies are linked to reductions in the turnover rates of associates. This, combined with the

first finding, indicates that work-family policies help retain female employees. Third, by linking

a subset of the firm-level data to supplemental data on firm profitability over the same period, we

also show that providing such benefits does not hurt firm profitability or lead firms to go out of

business. The results of the study are generalizable to other large firms with similar

organizational structures and a similar workforce composition, such as consulting and accounting

firms. Overall, these findings suggest that firm provision of work-family policies can play an

important role in retaining female employees without hurting firm profitability.

5. Shari L. Peterson in his research article, titled” Employee Turnover” sets forth the

Organizational Model of Employee Persistence, influenced by traditional turnover models and a

student attrition model. The model was developed to clarify the impact of organizational

practices on employee turnover from a human resource development (HRD) perspective and

provide a theoretical foundation for research on that topic. What is unique about this unified

longitudinal model in which organizational factors that impact human resources are the focal

point is that these organizational factors are hypothesized to be symbiotically and reciprocally

linked to key individual variables—intention, goals, commitment, and satisfaction. Implications

include evaluating HRD practices on the basis of reduced costs of turnover, thus enhancing the

strategic role of HRD in organizations.

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1.5 OBJECTIVES OF THE STUDY

Primary Objectives:

To identify the reasons for employee attrition.

To find the ways to reduce the attrition in TVS SRI CHAKRA TYRES

To know the satisfactory level of employees towards their job and

working conditions..

1.6 METHODOLOGY

1.6.1 RESEARCH DESIGN

Descriptive research has been used in this study.

1.6.2 SAMPLING METHOD

The sampling technique used here is convenience sampling. From the total

population of 120 employees, convenient samples of 87 have been used. As the number of

samples is closer to the population, the convenience sampling technique does not make much

difference in the results.

1.6.3 DATE COLLECTION AND STATISTICAL TOOLS

1.6.3.1 DATA COLLECTION

The sources of data for the purpose of study were both primary and secondary. Primary

data was collected through questionnaire,which was mainly close-ended questionnaire and

discussion with workers whereas secondary data was collected from records maintained by

personal department and time office.

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1.6.3.2 STATISTICAL TOOL

CHI-SQUARE

CORRELATION ANALYSIS

FREQUENCY ANALYSIS:

1.7LIMITATION OF THE STUDY

There are some limitations for research which are as follows:-

As it was not possible to visit each department the true picture of working condition

could not be judged.

The workers were busy with their work therefore they could not give enough time to fill

the questionnaire.

Some of the respondents give no answer to the questions,which may affect the analysis.

Respondents were reluctant to disclose complete and correct information

Because of a small period of time only small sample had to be considered which

doesn’t actually reflect and accurate and intact picture.

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CHAPTER – II

DATA ANALYSIS AND

INTERPRETATION

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Data analysis And Interpretation

Table 2.1: To find out the satisfaction level of the employees among various factors

in the concern.

Descriptive Statistics

N Minimum Maximum Mean Std. Deviation

Motivation 87 2 5 3.99 .707Appraisal 87 2 5 3.75 .781Basic Needs 87 2 5 3.91 .709Nature Of Job 87 2 5 3.97 .599Job Understanding 87 3 5 4.18 .638Freedom 87 1 5 3.71 .901Creativity 86 2 5 3.64 .825Promotion 86 2 5 3.28 .863Recreation 87 1 5 3.13 1.098Transport 87 2 5 3.79 .718Canteen 87 1 5 3.21 .966Environment 87 1 5 3.49 .847Workload 87 1 5 3.31 .968Training 87 2 5 3.44 .677Advancement 87 2 5 3.41 .815Rules 87 1 5 3.49 .834Grievance 87 2 5 3.38 .703Orientation 87 1 5 3.54 .760

INFERENCE:On seeing the means of various factors, they all tend between 3 and 4 which states they

are either neutral or satisfied about these factors. Out of all factors 3.13 is the minimum which

shows they have to concentrate more on recreation facilities in their concern. And also most of

the employees agree that they understand their job and the role it plays in achieving their vision.

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Table 2.2: Relationship between age group and satisfaction on recreation facilities

Null Hypothesis (H0): There is no significant relationship between age group and satisfaction on recreation facilities.

Alternate Hypothesis (H1): There is significant relationship between age group and satisfaction on recreation facilities.

age * recreation Cross tabulationCount

recreation

TotalHS S N DS HDS

age 18-25 1 1 2 1 1 6

26-35 2 5 10 7 2 26

36-45 6 2 12 15 2 37

> 45 1 3 6 7 1 18Total 10 11 30 30 6 87

Chi-Square Tests

Value dfAsymp. Sig. (2-

sided)

Pearson Chi-Square 7.142a 12 .848Likelihood Ratio 7.402 12 .830Linear-by-Linear Association

.269 1 .604

N of Valid Cases 87

INFERENCE:

Table value of chisquare with df 12 at 95% confidence level = 21.026

Calculated chisquare value = 7.142

The table value is greater than that of calculated value. Hence H0 is accepted.

It is inferred that the age factor does not influence their satisfaction on recreation and the

employees of all age group need improvement in recreation facilities.

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Table 2.3 : Relationship between motivation and workload

Null Hypothesis (H0): There is no significant relationship between motivation of the

worker with the workload in the organization.

Alternate Hypothesis (H1): There is significant relationship between motivation of the

worker and the workload in the organization

Motivation * Workload Cross tabulation

Workload

TotalHS S N DS HDS

motivation S 0 0 2 0 0 2

N 2 6 4 3 1 16

DS 0 10 16 21 3 50

HDS 0 2 3 11 3 19

Total 2 18 25 35 7 87

INFERENCE:



The table value is less than that of calculated value. Hence H0 is rejected.

It is inferred that the motivation of the employees and workload given to them are dependant.

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Chi-Square Tests

Value dfAsymp. Sig. (2-

sided)


10.236 1 .001

N of Valid Cases 87

Table 2.4: Reasons for employees quitting the job

Factors Frequency

1 ) Health conditions 4

2) Family issues 9

3) Growth 28

4)Monetary benefits 25

5)others 16

6)not applicable 5

Total 87

INFERENCE:

From the graph we can infer that the factors personal growth is the major reason to quit

the job. And also the normal curve on the histogram shows the mean of 3.63 which shows the

monetary benefits also influences the employee to quit the job. Out of 87 samples 28 were

quoting the growth factors and 25 were to monetary benefits.

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Table 2.5: Relationship between employees’ freedom to top level people and their work

environment

Null Hypothesis (H0): There is no significant relationship between the employee’s view on

freedom to convey their problems to top level people and work environment

Alternate Hypothesis (H1): There is significant relationship between the employee’s view on


freedom * environment Cross tabulation

Environment

TotalHS S N DS HDS

freedom HS Count 0 0 1 0 0 1

% within freedom

.0% .0% 100.0% .0% .0% 100.0%

S Count 0 3 5 0 0 8

% within freedom

.0% 37.5% 62.5% .0% .0% 100.0%

N Count 0 3 10 7 1 21

% within freedom

.0% 14.3% 47.6% 33.3% 4.8% 100.0%

DS Count 0 2 12 27 1 42

% within freedom

.0% 4.8% 28.6% 64.3% 2.4% 100.0%

HDS Count 1 1 3 4 6 15

% within freedom

6.7% 6.7% 20.0% 26.7% 40.0% 100.0%

Total Count 1 9 31 38 8 87

% within freedom

1.1% 10.3% 35.6% 43.7% 9.2% 100.0%

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Chi-Square Tests

Value dfAsymp. Sig.

(2-sided)


12.826 1 .000

N of Valid Cases 87



INFERENCE:


It is inferred that the there is significant relationship between the employee’s view on freedom to

convey their problems to top level people and work environment

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Table 2.6: To know which area the company needs improvement internally

INFERENCE:

The histogram shows that the employees need some improvements in the monetary

benefits (i.e) the pay structure provided to them .It is said by 27 employees out of 87 employees

followed by motivation gets 26 members attention and then 24 was to the working environment.

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Factors Frequency

1) Employee Motivation 26

2) Working Environment 24

3) Monetary Benefits 27

4) Other Factors 9

5) Not Applicable 1

Total 87

Table 2.7: Relationship between employees’ reason on quitting the job with internal

improvement

Null Hypothesis (H0): There is no significant relationship between the employee’s reason on

quitting the job with the factors on internal improvement

Alternate Hypothesis (H1): There is significant relationship between the employee’s reason on

quitting the job with the factors on internal improvement

int.improvement * resonsquit Crosstabulation

resonsquit

TotalHC FI G MB O NA

int.improvement 1 Count 3 5 10 5 3 0 26

% within int.improvement

11.5% 19.2% 38.5% 19.2% 11.5% .0% 100.0%

2 Count 0 1 14 8 0 1 24


.0% 4.2% 58.3% 33.3% .0% 4.2% 100.0%

3 Count 1 3 3 10 9 1 27


3.7% 11.1% 11.1% 37.0% 33.3% 3.7% 100.0%

4 Count 0 0 1 2 4 2 9


.0% .0% 11.1% 22.2% 44.4% 22.2% 100.0%

5 Count 0 0 0 0 0 1 1


.0% .0% .0% .0% .0% 100.0% 100.0%

Total Count 4 9 28 25 16 5 87


4.6% 10.3% 32.2% 28.7% 18.4% 5.7% 100.0%

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Chi-Square Tests

Value dfAsymp. Sig.

(2-sided)


21.110 1 .000

N of Valid Cases 87

INFERENCE:

Table value of chi-square with df 20 at 95% confidence level = 31.410

Calculated chi-square value = 54.387


It is inferred that there is significant relationship between the employee’s view on freedom to

convey their problems to top level people and work environment

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Table 2.8: To find out the areas where the concern is to improve in the external factors.

INFERENCE:

From the graph it has been proved that the concern lags behind in Training Programs offered to

the employees which was accepted by 47 employees.

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Facors Frequency

1)Innovative Technology 16

2)Training Programs 47

3)New Products 11

4)Others 13

Total 87

CORRELATION ANALYSIS

Table 2.9: CORRELATION BETWEEN MOTIVATION AND BASIC NEEDS

Null Hypothesis (H0): There is no correlation between the motivation and basic needs provided

to them.

Alternate Hypothesis (H1): There is correlation between the motivation and basic needs

provided to them.

Correlations

motivation basicneeds

motivation Pearson Correlation 1 .415**

Sig. (2-tailed) .000

N 87 87

basicneeds Pearson Correlation .415** 1


N 87 87

**. Correlation is significant at the 0.01 level (2-tailed).

INFERENCE:

The value of Pearson correlation is 0.415 which is less than 0.5. Hence, there is no correlation

between motivation and basic needs. Hence H0 is accepted.

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Table 2.10: CORRELATION BETWEEN APPRAISAL AND MOTIVATION

Null Hypothesis (H0): There is no correlation between appraisal and the motivation

Alternate Hypothesis (H1): There is correlation between appraisal and the motivation

Correlations

Motivation appraisal

Motivation Pearson Correlation 1 .690**


N 87 87

appraisal Pearson Correlation .690** 1


N 87 87

**. Correlation is significant at the 0.01 level (2-tailed).

INFERENCE:

The value of Pearson correlation is 0.690 which is greater than 0.5. It shows that there is

perfect positive correlation between motivation and appraisal. Hence H0 is rejected.

Table 2.11: CORRELATION BETWEEN REASONS QUIT AND PROMOTION

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Null Hypothesis (H0): There is no correlation between the reasons quit and promotion

Alternate Hypothesis (H1): There is correlation between the reasons quit and promotion

Correlations

resonsquit promotion

resonsquit Pearson Correlation 1 .075


N 87 86

promotion Pearson Correlation .075 1


N 86 86

INFERENCE:

The value of Pearson correlation is 0.075 which is very less than 0.5. Hence, there is no

correlation between the reasons behind quit the job and promotion. Hence H0 is accepted.

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CHAPTER – III

FINDINGS AND SUGGESTIONS

30

FINDINGS

Recreation facilities in the concern are dissatisfied to most of the employees.

Age factor does not influence the need for recreation facilities.

It is inferred that the motivation of the employees and workload given to them are

dependant.

The employees agree that they understand their job and the role it plays in achieving their

vision.

The monetary benefits also influences the employee to quit the job. Out of 87 samples 28

were quoting the growth factors and 25 were to monetary benefits.

It is inferred that the there is significant relationship between the employee’s view on


27 out of 87 employees followed needs improvement in the pay structure provided to

them. And also motivation gets 26 members’ attention and then 24 was to the working

environment.

The concern lags behind in Training Programs offered to the employees which was

accepted by 47 employees.

It is inferred that there is significant relationship between the factors affecting internal

improvement and reasons for quitting the job.

There is no correlation occurs between motivation of the employees and the nature of the

job provided to them.

There is no correlation between motivation and basic needs.

There occurs a perfect positive correlation between motivation of the employees and

appraisal.

There is no correlation occurs between training provided to the workers and orientation.

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SUGGESTIONS

The monetary benefits is the major factor in which the employees are not satisfied. So it

may be improved for them.

The recreation facilities for the employees can be improved, so that involvement of the

employees towards work will be improved

The working environment in the concern has to be improved in order to avoid the

hazardous from the manufacturing areas. Health provisions have to be made to improve

their well-being.

Company grievance handling procedure and allowances can be made attractive, so that

company can concentrate more on that to prevent employees’ attrition.

Employees are satisfied with their understanding of their job and so organization can

more concentrate to maintain that same level.

The work load was another problem which is well exhibited in the company during data

collection and so new recruitments have to be made in order to reduce their workload

32

CONCLUSION

From the analysis it has been concluded that TVS Srichakra Ltd, can provide

satisfied recreation, welfare facility, relationship with supervisors and co-workers, pay structure

and grievance handling procedure. They also can concentrate on recruitment procedure and

explain employees work responsibility to minimize the employees’ attrition. Organization may

provide extra health and hygienic benefits and good working condition in addition to that more

concentrate on employee’s health to prevent the employees’ attrition.

33

BIBLIOGRAPHY

1. “Reasearch Methodology” and Techniques, wishwa prakashan, 7th Edition, C.R.Kothary.

2. “Elements of Mercantile Law”, Sultan Chand & Sons 29th Edition, N.D.Kapoor.

3. “Human Resource Management”, Tata McGraw –Hill 5th Edition, K.Aswathappa.

4. “Human Resource Development”, Cengage Learning India Edition, M.Werner and

L.Desimone.

5. “Dynamics of industrial relations”, Himalaya Publishing House, C.B.Mamoria,

Dr.Sathish Mamoria and S.V.Gankar.

34

APPENDIX

Dear respondents,

I am R.MURUGAPPAN doing MBA I year in MEPCO SCHLENK ENGINEERING COLLEGE. As a part of my curriculum I am doing my summer project in your concern under the topic EMPLOYEE ATTRITION. Kindly spare some time to fill in the following questionnaire. This information will be kept confidential once forever. Thank you.

PERSONAL DATA

1. Name:

2. Designation:

3. Age: a) 18 -25 b) 26 – 35 c) 36 -45 d) above 45

4. Marital status: a) Married b) unmarried

5. Educational Qualification:

6. Years of Experience: a) 0 – 2 years b) 3 – 5 years c) 6 – 8 years d) Above 8 years

7. Contact No & Address:

OTHER DATA:

8. How long you are working here?

Less than 1year 1-2 years 2-3 years More than 3 years

9. Rate the following factors

Highlysatisfied

Satisfied Neutral Dissatisfied HighlyDissatisfied

Motivation

AppraisalBasic Needs

Nature of Job

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10. Which of the following makes you to get dissatisfied..?

Work Pressure Management decisions Working Environment Pay structure

Others

11. Specify the area where improvement is required Internally?

Employee motivation Working environment Monetary benefits Others

12. Specify the area where improvement is required Externally?

Innovative technology Training programs New products Others

13. Which of the following reasons makes you to quit the job..?

Health condition Family issues Growth Monetary benefits Others

14. Do You Agree the Following Statements

a) I understand my job and the role it plays in achieving my vision.

Strongly Agree Agree Neutral Disagree Strongly Disagree

b) I have freedom to convey my immediate problems to Top-level people.


c) Employer’s Creativity are well encouraged in my concern


d) Promotions are based on skill and are in proper way.


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15. Rate the following characterisitics / facilities in your concern

Highly Highly Satisfied Satisfied Neutral Dissatisfied Disatisfied (5) (4) (3) (2) (1)

a. Recreation Facilities

b. Food And Canteen facilities

c. Transportation

d. Work environment

e. Work load

f. Training And Development

g. Effective Opportunities

for advancement in your career

h. Rules and Regulations

of the company

i. Grievance Handling Procedures

j. Job Orientation

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arun final report alter

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