final project 23

SUBMITTED TO:

PUNJAB TECHNICAL UNIVERSITY JALANDHAR

SESSION 2008-10

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR AWARD OF MASTER OF BUSINESS

ADMINISTRATION (M.B.A).

Submitted By: Project Guide: Upasana Lect. Palki Sharma Roll No. 81310317050

HOSHIARPUR INSTITUTE OF MANAGEMENT AND TECHNOLOGY

1

ACKNOWLEDGEMENT

This project has been possible through the direct and indirect

cooperation of various persons to whom I wish to appreciate from

the core of my heart first and foremost my thanks go to ‘Mrs Palki

Sharma’ whose versatility of creativeness interest and enthusiasm

gave a new direction to my work with the motto to strive and not to

yield her unfailing guidance.

It is extremely difficult to find words which

can do justice to this sort of cooperation; I got in the planning and

execution of this study.

In addition to this I would like to thank all my

respondents who has spent there valuable time and help me getting

the required information for this project.

At last, I would like to thank the almighty and

my parents for the moral support that keeps me going.


2

CONTENTS

PARTICULARS PAGE NO.

CHAPTER-I : INTRODUCTION TO STUDY

Perception

Company Profile

4

CHAPTER-II : OBJECTIVES OF THE STUDY 23

CHAPTER-III : RESEARCH METHODOLOGY 50

CHAPTER-IV : DATA ANALYSIS AND ITS

INTERPRETATION

58

CHAPTER-V: FINDINGS OF THE STUDY 69

CHAPTER-VI : SUGGESTIONS 71

CHAPTER-VII :CONCLUSION 74

BIBLIOGRAPHY 76


3

Chapter-1


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Established in 1969, Sonalika group from the very beginning has

tried to understand customer need so that they get better value for

their money, hard earned.

Sonalika has state of

manufacturing, spread in

acres, located at Hoshiarpur

and tax free zone at AMB in

Himachal Pradesh. Sonalika is

the one of the top 3 tractor manufacturing companies in India,

other products include of, Multi utility vehicles, engines and

various farm equipments.

Today the group stands tall with an approximate turnover of 3200

Core INR. An average growth of 30% makes it one of the fastest

growing corporate in India. Its is also one of the few debt free

companies. Group has strength of about 2000 employee &

technocrats.

History reveals that innovation is the key to continued progress and

when applied to technology that touches human life, it can unfold a

whole new economic phenomenon that has the power to change

the world.


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With unique initiatives like the Thought leadership Forum,

Leadership Forum, we have been able to create a unique platform

for learning through success stories of industry leaders.

“No, doubt that the sonalika products has created a niche for

themselves not only in India but also in foreign market. To

maintain quality have any defect even at micro level is been taken

care of and rectified. The technology for Painting, which we use, is

of the high quality and we have paint shop with world-class quality

standards.”

The industry has gradually transformed itself into a world-class

player involved in building state-of-the-art products, solutions and

technologies. As an industry, we are very conscious of our

responsibility to society.

Sonalika Foundation intends to become a catalyst, encouraging our

members to do more, capturing best practices for quality and

harnessing a greater range of resources, from the industry and

beyond, to make a major impact on the development.

It has been our vision to cater to the needful agriculture and auto


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industry with quality products through untiring dedication and

activities.

As we step in to our fifth decade of existence, we continue to lead

the development. Tractor and car plants work in 2 to 3 shifts

depending upon volume of work for maximum production.

We continue to march ahead on road to success and glory driven

by the force of initiative and determination to have a leading

position in the tractor industry in the days to come.

We have ventured in to automobile sector also with the launching

of Rhino –MUV- to write another success story.


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The success saga of Sonalika Group a business conglomerate

having prime interest in agricultural & auto machinery goes back

to nearly 5 decades.

The corporate philosophy embedded in trust, quality and

commitment has helped the group to carve out a niche for itself in

the highly competitive world of Machinery.

Sonalika is the fastest growing tractor company registering growth

over growth since its inception has crossed 1.80 lac merely in 10

years & has attained one of the position in top three in India


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International Tractors Limited was incorporate on October 17, 1995 for the manufacture of Tractors and has since then built a distinct position for itself in the Tractor industry. ITL is manufacturing various Tractors of Sonalika brand between 30 H.P to 90 H.P, and CLASS brand between 70 hp to 90hp. their maximum pulling power, minimum fuel consumption and low emission.

All this makes ITL one of the top five tractor selling companies in India. These tractors are also exported to various countries including South Africa, Australia, Zimbabwe, Sri Lanka, Canada, Bangladesh, Algeria,ambia, Senegal, Ghana etc.


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WHAT DRIVES US

VISION STATEMENT

The Dream Project of Sonalika group is to cater the agricultural

and auto industry with quality abrasive products through untiring

dedication and leadership.

MISSION STATEMENT

We pay personal attention to our customers so that, we can build

products they need, and not merely sell the products we build.

CORE VALUES

To accomplish our mission, the ownership, staff, and management

go to great lengths to treat each customer like a member of the

family and provide them with the best choice of products and

highest quality of services.

ETHO STATEMENT OR LOGO RATIONALE

Red symbolizes the strength, power, determination, and desire of

company. Yellow surrounding the Sonalika produces a warming

effect, arouses cheerfulness, stimulates mental activity, and

generates the same. Green Leaf in the center symbolizes growth,


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harmony, freshness, and fertility.

Black underlining the logo associates with power, elegance, and

formality. And Orange surroundings the complete logo represents

enthusiasm, fascination, happiness, creativity, encouragement, and

stimulation. All this permutation of persona represents the

Sonalika group as an asset in the industry.

Main Group Units of the company:

International Tractors Ltd. (ITL)

Sonalika Agro Industries Corporation

International Cars & Motors Ltd. (ICML)

International Autotrac Finance Ltd. (IAFL)


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CHAIRMAN MESSAGE

In order to accomplish our mission, the ownership, staff, and

management have gone ahead to treat each customer like a

member of the family and provide them with the best choice of

products and highest quality of service in the industry.

Sonalika companies are manned tractor is manned by an

experienced, knowledgeable sales, parts, and service staff. Each

one of our staff members is committed to helping our customers

find the best solutions for their needs.

Companies are manned by cream of the industry and best of

technocrats and service staff. We are proud of our reputation as

service & solution provider and innovator in agro industries.

In a time marked by rapidly changing technology, we have

developed best of the best R & D team and have also developed

the excellent quality control system to deliver high quality result in

the industry.


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Vice Chairman Message

It has been a passion for us to accept challenges and convert them

in to win-win situations; whether it involved taking a quantum


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jump from agricultural implements to manufacturing world class

tractors or designing and developing an MUV that can compete

with the best in the world.

I wish to convey to all stakeholders particularly employees that

The Mission that we have been pursuing should be carried on with

utmost zeal, enthusiasm and honesty of purpose.

I wish all associates of Sonalika Group, a bright tomorrow and will

to touch new horizons.

Products

Some products of International Tractors Ltd

DI-750III

DI-730 III

DI-745III

DI-55

DI-730 II

DI340S


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DI-75 2WD

DI-750II

DI-732III

DI-75 4WD

DI-750

DI-732III

HRM practices

Human Excellence

The Company has established an Excellency Centre with a view to

develop human excellence. The centre focuses on three types of

training and development activities.

Programme for New Entrants: Every new entrant is supposed

to induction/orientation training from two to four days. It

includes detailed plant visit and CD on manufacturing

processes.

Programme for old employees: Apart from functional

programs, old employees are exposed to program like:

Lead with the vision\

Leadership skills


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Team Building

Communication and presentation skills

Self Development Programs: Employees are encouraged to

focus on their personal development through programs like:

Art of living (Basic course)

Art of living (Advance course)

Yoga course

Focus on self (As part of regular training programs)

Functions of HRD

Manpower Planning

Recruitment and selection of employees

Employee Motivation

Employee Evaluation

Industrial Relation

Provision of Employee Services


16

International Tractors Ltd, Certified as

Quality Management System- ISO 9001:2000

Std.

Quality Management System- ISO/TS

16949:2002 Std.

( ITL Auto Division )


17

ISO 14001:2004 Environment Management

System

Production

ITL has fully integrated and state of the art assembly facilitation

for producing world class tractors.


18

Several productivity improvements in assembly line over the years

have made it possible to manufacture nearly 37000 tractors per

Year.

Atomization of assembly line not only increased production

capacity, but also provided a quantum jump to the quality of

assembled tractors.

ITL assembly line producing tractors in broad range from 30HP to

90HP with effective planning of resources.

MILESTONES

2007

Joint Venture between ITL and MAGMA , August 2007.

2007


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On Aug. 10 With a view to provide financing of tractors on less

stringent conditions, International Tractors Ltd has entered into a

joint venture to set up a new company with Magma Shrachi

Finance Ltd. The initial investment in the project would be Rs 25

crore.The joint venture company, to be known as Magma ITL

Finance Ltd, would have 74 per cent stake while ITL would have

the remaining 26 per cent.

2007

New variant of RHINO RX

New variant of RHINO Rx launched with more technologically

advanced engine and added features with utmost fuel efficiency

and luxurious comfort at affordable price.

2006

Market Launch of RHINO (MUV)

Market Launch of RHINO (MUV) and Dealer network is being

expanded through out the country. Our Chairman Has been Elected

as President of TMA, Appointed as Ambassador of Macedonia & a

member of National Council Confederation of Indian Ministry.

Successfully Developed Four Wheel Drive front axles and

Transmission of tractor for Yanmar. Became the third largest

tractor manufacturer in India.


20

2005

Achieved turnover of USD 235 Million For FY 2004-05.

Achieved turnover of USD 235 Million (Rs1000 Cr.)For FY 2004-

05. Become the fourth largest tractor manufacturer in India.

Rollout of first vehicle from ICML facility. Joint venture with

Yanmar Agriculture of Japan for manufacturing of Tractors in

India eived the ISO 9001/ ISO 14000 & TS 16949Certification for

ICML and ITL. Initiated Crankshaft & Cylinder Block Machining

Line and other components under Lean manufacturing System

Received orders from Yanmar for Manufacturing of Front Axles

and Transmission.

2004

Rollout—100000th Tractor in the year

2004

Opening of in Sonalika group ICML

2003

Started export of tractors to Africa & Asian subcontinents

2001

Started in house manufacturing of engine for tractor application

2000


21

Entered into Joint venture with Renault (Class,) from Germany agricultural

1997

Entered into Manufacturing of tractors

1969

Modest beginning into farm equipment and machinery manufacturing


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Chapter-2

OBJECTIVES OF THE STUDY

OBJECTIVES OF PROJECT:

To keep abreast of industrial law and to advise managers

about their responsibilities in relation to discipline and

redundancy, and similarly to determine organizational

policies relevant to legal and moral requirement.

To conduct of either local negotiations (within the plant)

or similarly to act as the employer’s representatives in

national negotiations.


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To ensure that agreements reached are interpreted so as to

make sense to those who must operate them at the

appropriate level within the organization.

To monitor the observance of agreement and to produce

policies that ensure that agreement are followed within

the organization.

To correct the situation which is wrong. ‘Face’ is of some

importance in most organizations and operating at a

‘remote’ staff level personnel manager can correct

industrial relations errors made at local level without

occasioning any loss of dignity (face) at the working

level.

To provide the impetus or introduction of joint

consultation and worker participation in decision-making

in the organization.

To provide statistics and information about workforce

numbers, costs, skills etc. as relevant to negotiations.

To maintain personnel records of training, experience,

achievements, qualifications, awards and other records; to

produce data of interest to management in respect of

personnel matters like absentee figures and costs,

statistics of sickness absence, costs of welfare and other

employee services, statements about development in


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policies by other organizations, ideas for innovations; to

advise upon or operate directly, grievance, redundancy,

disciplinary and other procedures.

STUDY OF ABSENTEEISM

WHAT IS ABSENTEEISM? HOSHIARPUR INSTITUTE OF MANAGEMENT AND TECHNOLOGY

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Absenteeism is a habitual pattern of absence from a duty or

obligation. Absenteeism means the failure of a worker to report for

work when he is scheduled to work.

Absenteeism is unauthorized, avoidable & willful absence from

duty.

The rate of absenteeism is defined as %age of maydays lost due

to absence to the total no of maydays scheduled in a given time

period.

No of maydays lost due to absence

Absenteeism= _____________________________ * 100

No of maydays scheduled to work

Frequent absence from the workplace may be indicative of poor

morale or of sick building syndrome.

However, many employers have implemented draconian absence

policies which make no distinction between absences for genuine

illness and absence for inappropriate reasons.


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As a result, many employees feel obliged to come to work while

ill, and transmit communicable diseases to their co-workers.

This leads to even greater absenteeism and reduced productivity

among other workers who try to work while ill.

WHAT IS TURNOVER?

In economics, turnover refers to the rate at which an employer

gains and loses staff. If an employer is said to have high turnover,

then it may hire people often.

There can be many different reasons for high turnover - employees

may be dismissed due to poor performance, or they may be

unhappy with the conditions of work. Unskilled positions often

have high turnover, and employees can generally be replaced

without the business incurring any loss of performance.

If skilled professionals are frequently leaving their jobs, the high

turnover can be a risk to the business due to lost skills and

knowledge.

If a position has low turnover, this can indicate that the employer

offers good benefits, or high pay. Such positions may be filled for

several years.


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REASONS FOR HIGH RATE OF ABSENTEEISM & TURNOVER

How employees report absence

In managers' own opinion

1. Colds/flu 1. Colds/flu2. Stomach upset/food poisoning

2. Stress/emotional problems/personal problems

3. Headaches/migraines 3. Monday morning blues/extending the weekend

4. Back problems 4. Low morale/boring job5. Stress/emotional problems/personal problems

5. Childcare problems/family sickness

REASONS FOR ABSENCES AS REPORTED BY

WORKERS

Among six reasons for absence from the job, the responding

workers rated personal or family illness last in order of importance.

The top five, in descending order of importance, were:

Unsafe Working Conditions

Excessive Rework

Travel Distance

Poor Craft Supervision

Poor Overall Management


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Personal and Family Illness

Among seven reasons for quitting their jobs, workers put their

relationship with the boss at the top of the list, by a considerable

margin over the runner-up reason, overtime available on another

job.

The rankings did not differ between union and open-shop workers,

nor by geographical areas. Age differences did not affect the

results, except that distance from home did cause higher

absenteeism in age groups above 30.

REASONS FOR TURNOVER AS REPORTED BY WORKERS

Relationship with Boss

Overtime Available on

Another Job

Poor Craft Supervision

Poor Overall Job Management

Poor Planning

Inadequate Tools and Equipment

Excessive Surveillance by Owner


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FACTORS AFFECTING WORKPLACE ATTENDANCE

1. Individual Factors

Illness, disease and workplace attendance.

Individual and Lifestyle Factors

Motivation

External responsibilities

Distance from work

2. Organizational and Workplace Factors

Nature of the work.

Job Person Fit

Work organization

Organizational climate

Job satisfaction

Work stress

Size and type of workplace

Absence culture

Work hours


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3. Social and Societal Influences

4. Associated Workplace Climate Factors

Turnover

Productivity

stress claims

industrial climate

workers compensation claims rate

occupational health and safety performance

morale

ABSENTEEISM

Information regarding absenteeism among workers in an

industrial establishment on account of reasons other than strikes,

lockouts, lay-off, weekly rest or suspension, provide a sound

database for gauging the employee’s morale, commitment and

level of job satisfaction which have a direct bearing on

productivity of the establishment.

It is one of the indicators to monitor and evaluate various labor

welfare programmers and labor policies. With this aim in view,

statistics on absenteeism amongst the directly employed regular

workers are collected as a part of the Annual Survey of Industries.


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Absenteeism rate among workers in an industry or a state is

worked out as percentages of maydays lost due to absence to the

maydays scheduled to work in the respective industry or state.

Statistics on factories reporting absenteeism, maydays scheduled to

work and maydays lost due to absence by States, industries and

Sectors during 2000 are presented.

1. Absenteeism in States

State-wise absenteeism rate amongst the directly employed

regular workers during the year 2000.It is observed that at the all

India level the rate of absenteeism during the year 2000 was 9.50

percent as against that of 9.85 percent during the year 1999.

Among States, the highest rate of absenteeism was witnessed in

Delhi (14.23 percent) followed by Kerala (12.70 percent) and

Maharashtra (12.09 percent).


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On the other hand, the lowest rate of absenteeism was observed in

Dadra & Nagar Haveli (5.39 percent) followed by Andhra Pradesh

(5.79 percent) and Chhattisgarh (6.19 percent).

Out of 26 States, only 12 States reported higher absenteeism rates

than that at all India level during the year 2000. As compared to

1999, an increase in the rate of absenteeism was recorded in 8

States during the year 2000.

2. Absenteeism in Industries

Industry-wise absenteeism rate amongst directly employed

regular workers during the year 2000.

During the year 2000, the highest rate of absenteeism was

observed in Industry Group ‘323-Manufacture of television and

radio receivers, sound or video recording or reproducing apparatus

and associated goods’ (14 .45 percent) followed by industry group

‘315–Manufacture of electric lamps and lighting equipment’

(14.26 percent), whereas, the lowest rate of absenteeism was

reported in Industry Group ‘014-Agricultural and animal


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husbandry service activities, except veterinary activities’ (5.78

percent) followed by industry group ‘153-Manufacture of grain

mill products, starches and starch products and prepared animal

feeds‘ (6.70 percent).

Out of a total of 62 industry groups, 35 industry groups recorded

higher absenteeism rate as compared to that at all India level. As

compared to 1999, an increase in absenteeism rate was recorded in

20 industries groups during the year 2000.

3. Absenteeism in Sectors by States

State-wise and Sector-wise data regarding absenteeism rates

amongst directly employed regular workers during the year 2000

are presented.

It is observed that amongst sectors, the highest rate of absenteeism

was observed in Joint Sector (9.55 percent) followed by Private

Sector (9.51 percent) and Public Sector (8.09 percent).

In Public Sector, the highest and the lowest rates of absenteeism

were observed in Chandigarh (11.92 percent) and Punjab (3.24

percent), respectively.


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In Joint Sector, the highest rate of absenteeism was observed in

Karnataka (14.84 percent), whereas, the lowest rate of absenteeism

was observed in Andhra Pradesh (3.81 percent).

In Private Sector, the highest absenteeism rate was observed in

Delhi (14.24 percent) and the lowest rate was reported in Dadra &

Nagar Haveli (5.34 percent).

4. Absenteeism in Sectors by Industries

Industry-wise and Sector-wise data on absenteeism rate amongst

directly employed regular workers is presented. In Public Sector,

the highest and lowest rate of absenteeism were observed in the

industry groups ‘273–Casting of metals’ (20.62 percent) and ‘359-

Manufacture of transport equipment i.e.' (1.18 percent),

respectively.

In Joint Sector, the highest and lowest rate of absenteeism were

recorded in industry groups ‘171-Spinning, weaving and finishing

of textiles’ (15.46 percent) and ‘221-Publishing’ (2.98 percent).


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In Private Sector, the highest and the lowest rate of absenteeism

were reported in industry groups ‘315–Manufacture of electric

lamps and lighting equipment’ (14.27 percent) and ‘014-

Agricultural and animal husbandry service activities, except

veterinary activities’ (5.90 percent), respectively.

COMBATING ABSENTEEISM

For Supervisors/Managers:

Four positive interventions versus taking a negative or punitive

approach.

Change Management Style: Management styles that are too

authoritarian tend to promote high levels of absenteeism

among employees. Authoritarian managers are managers who

have poor listening skills, set unreachable goals, have poor

communication skills, and are inflexible. In other words, they

yell too much, blame others for problems, and make others

feel that it must be their way or the "highway." Authoritarian

managers tend to produce high absenteeism rates. By


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identifying managers who use an authoritarian style, and

providing them with management training, you will be taking

a positive step not only toward reducing absenteeism, but

also reducing turnover, job burnout, and employee health

problems such as backaches and headaches.

Change Working Conditions: The working conditions

relate to coworker relationships. Not only does relationship

stress occur between the employee and manager, but it also

exists between employees. Frequently Employees say they

did not go to work because they are fearful of or angry with

another employee. Companies that adopted policies and

values that promote employee respect and professionalism,

and promote an internal conflict resolution procedure, are

companies that reduce employee stress. A reduction in

employee stress reduces employee absenteeism.

Provide Incentives: An incentive provides an employee with

a boost to their motivation to avoid unnecessary absenteeism.

It simply helps the employee decide to go to work. The

duration of the incentive program is also very important.

Once again allow your employees to help guide you to

determine the length of time between incentives. Some


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companies find that they can simply reward employees with

perfect attendance once a year, while others decide once a

month is best, and still others decide once a week works best.

The general rule of thumb is to reward workers more

frequently the younger they are and the more difficult the

work is to perform. Also, it is best to start with small

incentives and work up to larger ones if necessary.

Develop an Attendance Policy: Every company should have

an attendance policy. An attendance policy allows a manager

to intervene with an employee who is frequently absent.

Besides stress as a primary reason for employee absenteeism,

other causes relate to alcoholism, domestic violence, and

family problems.

For Employees Who Are Frequently Absent:

One of the most important steps you can take if you are

frequently absent is to keep your employer informed.

As an employee you are allowed to take up to 12 weeks of

unpaid leave under the federal Family and Medical Leave


38

Act (FMLA). The 12 weeks of leave may be taken

continuous or intermittently, thereby allowing the employee

to work on a less than full-time schedule.

FMLA can be used for the care of a child after birth, adoption,

or foster care placement.

FMLA is available to care for an immediate family member

(spouse, child, and parent) who has a serious health condition.

FMLA can be used for your own serious health concerns. It

does not cover for the common cold, flu, ear aches, upset

stomach, common headache, or routine dental care.

In order to be covered by FMLA you must be considered an

"eligible" employee. An eligible employee must have 12

months (1,250 hours) of employment, and your employer

must employ 50 or more employees within 75 miles of the

worksite. Employees must provide 30 days of advance notice

for foreseeable events. There are different exemptions

present for both school teachers and state/local government

employees.


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If you are an eligible employee, your employer must

maintain your benefits, allow you to return to the same or

equivalent position, and not decrease your pay or benefits at

the conclusion of 12 weeks. If you believe you are eligible

for FMLA, inform your supervisor or HR department that

you are requesting FMLA coverage. Your employer is

required to provide you with written notice, within two

business days, informing you if you are eligible or not.

EFFECTS OF ABSENTEEISM

Increased Costs

Lower morale

Increased workloads

Frustrated managers and supervisors

Loss of productivity

Non achievement of objectives

Reduced provision of services

Decreased product quality

Increased training costs and loss of key skills and personnel

Increased supervisory and administrative costs

Adverse public perception and confidence


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Adverse effects on consumers

Workers loss wages for unauthorized absence from duty

Regular flow of work in the factory is disturbed

Types of interventions to reduce workplace absenteeism

Three types of intervention to reduce workplace absenteeism were

differentiated, e.g. procedural measures, preventive measures and

reintegration measures. Both key persons representing the

employer and employees were asked about these three kinds of

measures.

PROCEDURAL

PREVENTIVE


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RE-INTEGRATION

The model (derived from Veer man, 1990) is represented

schematically.


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Figure: The model used in this study of the process of

becoming ill, being absent from work, recovery and resuming

work.

Procedural measures. Procedural measures as

perceived by the employees were operational zed by asking the

respondents whether they were familiar with a procedure to report


43

oneself sick, whether someone contacted them if they call in sick

and whether someone contacted them during illness, and whether

they could go to the occupational health service if they have health

problems related to work.

The answers are 'no’ or ‘I do not know' (0) and 'yes'(1). The

answers to these four questions were combined in one scale with

scores between ‘no measures known’ (0) and ‘all four measures

known’ (1). The reliability of this scale is low.

Preventive measures can be work-oriented or

employee-oriented. The same kind of questions are asked about the

use of seven preventive activities (to improve physical working

conditions, mental working conditions, work stress/work pressure,

lifting courses etc. ). The answers are 'no’ or ‘I do not know' (0)

and 'yes'(1). The answers to these seven questions were combined

in one scale with scores between ‘no measures known’ (0) and ‘all

seven measures known’ (1). The reliability of this scale is

sufficient

Reintegration measures . are also operational zed by

asking the employees whether they were familiar with three

different kind of activities to supervise sick employees and to

promote swift return to work of sick employees. The answers are


44

'no’ or ‘I do not know' (0) and 'yes'(1). The answers to these three

questions are combined in one scale with scores between ‘no

measures known’ (0) and ‘all three measures known’ (1). The

reliability of this scale is low.

PREVENTIVE MEASURES OF ABSENTEEISM

Leaving aside surveillance, interrogation and other more draconian

approaches, which no doubt some employers might favor, there are

preventative measures which employers could take. For example

family friendly policies, from flexible hours to workplace

crèches to help employees cope with childcare problems

providing more varied/interesting/responsible work to

combat "low morale/boring job" syndrome

compressed working week options to cater positively for

those who may need longer weekends

Mentoring, counseling, fitness programmers, on-site massage

etc to help people through stress, emotional problems or

personal problems, plus careful monitoring of workloads.

The Industrial Society suggests other steps organizations could

take:

having a clear policy on absence monitoring


45

training managers to manage attendance

training employees to recognize and manage signs of stress

improving employee motivation through training and

development opportunities

Using return-to-work interviews after illness and informal

procedures to keep individuals informed and to resolve

problems by consensus.

Special bonus, cash prizes to regular employees encourage

workers to be regular in their attendance.

Proper housing & transport facilities will ensure regular

attendance of workers

These approaches tackle absenteeism by seeking to reduce the

number of absences.

INTRODUCING FLEXIBLE WORK

Flexible Work

Flexibility and Flexible Work are terms used to describe a wide

range of work styles and employment practices. Broadly speaking,


46

they are used to describe all kinds of employment which differ

from the traditional 9-5 full time job with a permanent contract.

The "flexible" aspect of these type of jobs can in different

instances relate more to the employees, or to the employer, or to

both. That is, from the employees point of view, flexible work may

allow more freedom to organize their employment to fit in with

other parts of their life.

For an employer, the flexibility may come with the ability to

organize labor resources more in line with the varying needs of

customers, or with peaks and troughs of demand.

SIX CATEGORIES OF FLEXIBLE WORK

Flexible work in general - wide-ranging articles, or cutting

across more than one of the other topics

Flexible location -Flexible location includes:

1. working on the move


47

2. working from home

3. working from telecasters/satellite offices

Variously described as location independent working,

teleporting, telecommuting, home working, remote working,

anywhere/anytime working. and many more

Flexible technologies - technologies to help you work

flexibly - explained simply but accurately, we hope!

Time flexibility - flexi-time, part-time working etc

Flexible contract - agency workers, etc

Flexible offices - what happens to the office when flexible

working is introduced, innovation in workplace design, etc

You can access these sections from the menu on the left of the

page. Each section has an introductory page and a list of articles.

CONTROL OF LABOUR TURNOVER

Use of proper tests & interviews in selection of employees.

Proper orientation & training of employees

Better pay & good working conditions


48

Promotion from within & other career opportunities.

Security of service.

Introduction of incentive plans.

Employee welfare schemes.

Provision of retirement benefits.

Proper job design, & work scheduling to match skills with job

requirements.


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Chapter-3

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY


50

Research means a search for knowledge or gain some new

knowledge and methodology can properly refer to the theoretical

analysis of the methods appropriate to a field of study or to the

body of methods and principles particular to a branch of

knowledge.

A Research methodology has a specified framework for collecting

the data in an effective manner. Research methodology means a

"defining a problem, defining the research objectives, developing

the research plan, collecting the information, analyzing the

information and presentation of findings."

Such framework is called "Research Design". The research process

that was followed by me consisting following steps;

A) Defining the problem and research objectives

B) Developing the research plan

C) Collection of information

D) Analyzing the information

E) Presentation of findings

A) Defining the problem and research objectives


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The definition of problem includes the study of “ABSENTEEISM

& LABOUR TURNOVER .

B) Developing the Research Plan

The development of research plan has following steps:

1. Data source

2. Research approach

3. Research instrument

4. Sampling plan

i) Sample unit

ii) Sample size

iii) Contact methods

1. Data Source: The researcher can get two types of data:

a) Primary Data


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b) Secondary Data

a) Primary Data

Primary data is a data which did not exist earlier and is being

collected by the researcher first time for its specific objectives. In

other words, direct collection of data from the source of

information, technology including personal interview, telephonic

interviews, observation, Questionnaire and through schedules.

b) Secondary data

Any data which have been collected earlier for some purpose are

the secondary data. Indirect collection of data from sources

containing past or recent past information like bank's brochures,

annual publication, books etc. Secondary sources used are:

Text books

Internet sites

Newspaper articles

Brouchers

2. Research Approach


53

Survey is best suited for descriptive and analytical research.

Survey are undertaken to learn about people's knowledge, beliefs,

preferences, satisfaction and so on and to measure these

magnitudes in the general public. Therefore, I have done this

survey for Descriptive and analytical research process.

Descriptive research includes surveys and fact finding enquiries of

different kinds. The main purpose is description of the state of

affairs is noted down and analytical research used to analyze the

material and facts.

3. Research Instrument

Questionnaire: Questionnaire is a type of statistical survey

handed out in paper form usually to a specific demographic to

gather information in order to provider better service or goods. A

document that contains a set of questions that has been specially

formulated as a means of collecting information and surveying

opinions, etc on a specified subject or theme, etc .

A questionnaire was constructed for my survey.

1. Sampling plan


54

http://en.wikipedia.org/wiki/Good_(economics)

http://en.wikipedia.org/wiki/Service

http://en.wikipedia.org/wiki/Information

http://en.wikipedia.org/wiki/Demographic

http://en.wikipedia.org/wiki/Paper

http://en.wikipedia.org/wiki/Statistical_survey

Sample is a group of few items which represents the population or

universe from where it has been taken. The sampling plan calls for

three decisions;

a) Sample unit

b) Sample size

c) Contact methods

a) Sample unit – who is to be surveyed?

The target population must be defined that has to be sampled. It is

necessary so as to develop a sample frame so that everyone in the

target population has an equal chance of being sampled. I have

completed my survey in ITL.

b) Sample size - how many people have to be surveyed?

Generally, large sample size gives more reliable results than small

samples. The sample consisted of 50 respondents. The selection of

the respondents was done on the basis of Simple Random

Sampling.

Simple random sampling is the technique in which every item in

the universe and population has an equal chance of being selected

in the sample. Researcher has no role to play or he cannot


55

influence the selection process there is no possibility of biasness. It

can easily assess the accuracy of estimate.

c) Contact methods

Once the sampling plan has been determined the Questionnaire is

how the subject should be contracted i.e. by telephone interview,

personal interview, observation, mail etc. here, in my survey, I

have contacted the respondents through personal interviews.

C) Collecting the information

After this, I have collected the information from the respondents

with the help of Questionnaire.

D) Analyze the information

The next step is to extract the pertinent findings from the collected

data. I have tabulated the collected data and developed frequency

distributions. Thus, the whole data was grouped aspect wise and

was presented in tabular form. Thus, frequencies and percentages

were prepared to render impact of study.

LIMITATIONS OF THE STUDY


56

Although I have done sincere efforts to collect authentic and

relevant information, the study may have the following limitations:

1) 1 It was very difficult for me to get fulfill the forms because

of respondent’s busy schedule and not providing me

sufficient time to fill the form seriously.

2) Scope of study is limited to ITL only because of limited time

and money. So results of study may not be generalized.

3) This study is based on the assumption that responses are true

and factual although at times that may not be the case.

4) Though every care has been taken to eliminate such biases,

but considering the human factor the possibility of small bias

having come up cannot be ruled out altogether.

5) Consumer behavior is dynamic in nature and thus over the

time, finding of today may become invalid tomorrow.


57

Chapter-5

DATA ANALYSIS AND

INTERPRETION


58

Q: State to which you belong?A:

Punjab Haryana Bihar Others68% 0% 20% 12%

Interpretation:Maximum workers(68%) workers belong to Punjab. 20%

belong to Bihar & 12 % belong to other states.


59

Q:2 Reason for absence or leave?

Family Matters

Personal Health

Religious Activities

Fun & Frolic

Others

96% 4% 0% 0% 0%

Interpretation:

96% workers take leave or remain absent due to family matters &

4% workers take leave because of personal health.


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Q:3 Distance between place of stay & work place(Kms)?

0-10 10-2.5 25-40 More than 40

76% 16% 8% 0%

Interpretation:76% workers live at distance of 10 Kms from work place.

16% live at distance between 10-25 Kms. 8% workers between 25-

40 Kms.


61

Q:4 Are you satisfied with working hours?

Satisfied Unsatisfied No Response100% 0% 0%

Interpretation:

All workers(100%) are satisfied with working hours.


62

Q:5 Satisfaction with working conditions?

Interpretation:

All workers(100%) are satisfied with all working conditions like

Ventilation, Lights, Sanitation, Health & Safety, Drinking Water &

Rest & Shelter.


Satisfied Unsatisfied No Response

Ventilation 100% 0% 0%Lights 100% 0% 0%

Sanitation 100% 0% 0%Health &

Safety100% 0% 0%

Drinking Water

100% 0% 0%

Rest & Shelter

100% 0% 0%

63

Q:6 Nature of Job?

Interpretation:

36% workers are concerned with Mechanical job & 64 % are

related to Manual type of work.

Q:7 Attitude of Supervisors & Colleagues?


Mechanical Manual36% 64%

64

Co-operative

Non Co-operative No Response

Supervisors 100% 0% 0%Colleagues 100% 0% 0%

Interpretation:

All workers are satisfied with attitude of supervisors & colleagues.

Q:8 Do you get leave sanctioned?


65

Interpretation:

88% workers say that they get leave very easily & 12% say it

normally.


Very Easily

Normally Very Difficult

88% 12% 0%

66

Q:9 Basis of incentives provided to workers those having high:

Attendance Special Bonus

Promotion And Others(Sale & Profit of Plant)

100% 100%

Interpretation :

100% workers respond that basis of incentive is high attendance &

sale & profit of plant.

Q:10 Extent of Job Satisfaction


67

Highly Satisfied

Satisfied Dissatisfied Highly Dissatisfied

Salary 32% 68% 0% 0%Work Culture 32% 68% 0% 0%Openness of

System32% 68% 0% 0%

Participatory System

32% 68% 0% 0%

Grievance Handling

32% 68% 0% 0%

Interpretation:

32% workers are highly satisfied with salary, work culture,

openness of system, participatory system & grievance handling.

68% workers are satisfied with these.


68

Chapter-5

FINDINGS OF THE

STUDY


69

FINDINGSAfter doing analysis of collected data, findings that arrived are: -

From the analysis of questionnaire we found that main

reasons of absenteeism are:

Family Matters

Personal Health of employee.

Visit to native place.

Poor management System

Alcoholism & Gambling

Lack of Interest


70

Chapter-6


71

SUGGESTIONS

SUGGESTION

1) The programs that spice up employees work life such as

quarterly socialization event, foundation day, family day etc.

2) The programs such as employee of the year where in top

performing employees of the year are highly recognized

should be introduced different opportunities should de

provided to those who were chosen annually.

3) With passage of time companies should review policies in

accordance with changing environment of business.

4) The employees should be aware of various welfare programs

so as to make full use of them.


72

5) Stress management programs should be introduced to check

the stress level of the employees.

6) The various measures to improve the physical and

psychological health of the employees should be considered

because that will enhance their efficiency and productivity.

7) Decrease Over Staffing: Company is having more staff than

it requires. There fore ,they should decrease in

overstaffing in order to earn profits because salary and wages

are important factors of cost.

8) Expand Coordination: Company should develop condition

among personnel's Working method and different

departments so that they can achieve then Objectives in the

lesser time.


73

Chapter-7

CONCLUSION


74

CONCLUSION

Finally, we can conclude that Indian labour market is

concerned with satisfying their basic needs of cloth, house

& food. The main reason of their leave from work is

Health of Family Matters & their own health. It reduces

producitivity & disrupts the flow of work. To control

absenteeism & labour turnover, org should provide:

Special Bonus & Incentive Schemes for Extra work.

Behaviour of management should be co-operative with

labour.

Management should provide Health & Safety programmes

to workers.


75


76

BIBLIOGRAPHY BIBLIOGRAPHY

BOOKS

Malhotra, Naresh Kumar, “Marketing Research” (4th

edition,) Pearson Education (Singapore) Pvt Ltd., India branch, Delhi.2004.

WEBSITES

www.kapsonindustries.com www.google.com www.encarta.msn.com www.wikipedia.com www.altavista.com www.dogpile.com


77

http://www.dogpile.com/

http://www.altavista.com/

http://www.wikipedia.com/

http://www.encarta.msn.com/

http://www.google.com/

http://www.alexpanel.com/

final project 23

Documents

simple random

maydays lost

family matters

reduce workplace

wise absenteeism

special bonus

analytical

research plan