hrd at jsw

Steel Ltd

CHAPTER -1 RESEARCH DESIGN

ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 1

Steel Ltd

INTRODUCTION Human Resource management (HRM) is concerned with the "people" dimensions in management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to high level of performance and ensuring that they continue to .maintain their commitment to the organization are essential for achieving organizational objective. The study includes types and process of HRD programs organized in JSW and the relationship between program and its effectiveness on employee performance and to know the response of the trainees about the training effectiveness

The study was conducted systematically. The primary data required for the study was obtained from the employees with the help of structured questionnaire which was given to 50 employees randomly. The secondary data was collected through internet, company hand book, journals. This study elucidates the facts on the awareness of the employees with regard to the training program, types of HRD Program, effectiveness of Training Program etc., prevailing in JSW. This study reveals that majority of the employees have attended Managerial Training program of sophisticated nature with good faculties. It further reveals that the Training Program conducted in the said organization have been educative and interesting and also have increase their inner skills. Finally the management as well HR Department concerned in JSW is doing their job judiciously with regard to Training and its Effectiveness activities. The researcher of this study is convinced that this study would be an eye-opener for their furtherance in the field of their Training activities


Steel Ltd

STATEMENT OF THE PROBLEM A study of HRD practices that are carried out in the organization and its impact on the performance of the organization. OBJECTIVES OF THE STUDY •

To study the need and importance of HRD practices in JSW.

•

To study Effectiveness of job satisfaction in JSW.

•

To Evaluate effectiveness of participative management in JSW.

PROJECT LAYOUT


Steel Ltd

SCOPE OF THE STUDY A detailed Survey was conducted about employee participation among sample of employees to know the level of participation of employees in decision making.. The present study is undertaken in the area of participative management in order to motivate employees by giving them authority to contribute their skills, talent and knowledge. METHODOLOGY USED The present study is conducted at the factory level. . SAMPLE SIZE: A sample of 50 respondents is selected using non-random convenience sampling method. The respondents have been selected from the thirteen departments in the company. The employees who attended the training programs and involved to identify the rate of effectiveness of training program. SOURCE OF DATA Primary Source Primary data was collected through questionnaires, interview and discussion with the concerned Employees, Executives and Managers in the JSW. Secondary Source: The secondary data is collected from both internal and external sources .The internal source includes Company’s annual reports, broachers, publications etc. External sources include books, journals, magazines, news papers, and internet.


Steel Ltd

PROCEDURE The data was collected by survey through questionnaire. Participants were selected from all the 13 departments. the employees who have joined works committee and joint councils. The co-ordinator was informed well in advance about the selection of the participants. The co-ordinator arranged meeting with the participants. The participants were explained about the objective of the survey and question was explained to avoid any ambiguity and Participants were assured of the confidentiality of their identity and response to avoid biases This helped us in getting free and frank answers from the participants. LIMITATIONS OF THE STUDY Despite of all possible efforts to make the analysis more scientific and comprehensive there are certain parameters, such as competency level of the participants were not taken into account, which could be a contributory factory. The major limitations of the study are: •

This study is confined to the JSW, Toranagallu

•

There is every possibilities of biased opinion in the primary data.


Steel Ltd

CHAPTER-2 INDUSTRY PROFILE


Steel Ltd

INDUSTRY PROFILE Steel Industry in India is on an upswing because of the strong global and domestic demand. India's rapid economic growth and soaring demand by sectors like infrastructure, real estate and automobiles, at home and abroad, has put Indian steel industry on the global map. According to the latest report by International Iron and Steel Institute (IISI), India is seven largest steel producers in the world The origin of the modern Indian steel industry can be traced back to 1953 when a contract for the construction of an integrated steelworks in Rourkela, Orissa was signed between the Indian government and the German companies Fried Krupp und Demag AG. The initial plan was an annual capacity of 500,000 tonnes, but this was subsequently raised to 1 million tonnes. The capacity of Rourkela Steel Plant (RSP), which belongs to the SAIL (Steel Authority of India Ltd.) group, is presently about 2 million tonnes. At a very early stage the former USSR and a British consortium also showed an interest in establishing a modern steel industry in India. This resulted in the Soviet-aided building of a steel mill with a capacity of 1 million tonnes in Bhilai and the British-backed construction in Durgapur of a foundry which also has a million tonne capacity. .Global Scenario •

In 2010 the World Crude Steel output reached 1364.5 million metric tons and showed a growth of 7.5% over the previous year. It is the fifth consecutive year that world crude steel production grew by more than 7%.

•

China remained the world’s largest Crude Steel producer in 2010 also (500.00 million metric tons) followed by Japan (120.47 million metric tons) and USA (100.20 million metric tons). India occupied the 5 th position (61.10 million metric tons) for the second consecutive year.


Steel Ltd

Domestic Scenario •

It has been estimated by certain major investment houses, such as Credit Suisse that, India’s steel consumption will continue to grow at nearly 16% rate annually, till 2012, fuelled by demand for construction projects worth US$ 1 trillion. The scope for

raising the total consumption of steel is huge, given that per capita

steel consumption is only 40 kg – compared to 150 kg across the world and 250 kg in China. •

The National Steel Policy has envisaged steel production to reach 110 million tonnes by 2019-20. However, based on the assessment of the current ongoing projects, both in greenfield and brownfield, Ministry of Steel has projected that the steel capacity in the county is likely to be 124.06 million tonnes by 2011-12. Further, based on the status of MOUs signed by the private producers with the various State Governments, it is expected that India’s steel capacity would be nearly 293 million tonne by 2020.

Industry Statistics Government targets to increase the production capacity from 56 million tons annually to 124 MT in the first phase which will come to an end by 2011 – 12. Currently with a production of 56 million tones India accounts for over 7% of the total steel produced globally, while it accounts to about 5% of global steel consumption. The steel sector in India grew by 5.9% in May 2010. Globally India is the only country to post a positive overall growth in the production of crude steel at 1.01% for the period of January – March in 2010 Production •

Steel industry was delicensed and decontrolled in 1991 & 1992 respectively.

•

Today, India is the 7th largest crude steel producer of steel in the world. ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 8

Steel Ltd •

Last 5 year's production of pig iron and finished (carbon) steel is given below: (in million tonnes) Category

2005-06 2006-07 2007-08 2008-09 2009-10

Finished Carbon Steel 44.544

55.416

58.233

59.02

61.10

Opportunities for growth of Iron and Steel in Private Sector The New Industrial Policy Regime The New Industrial policy has opened up the iron and steel sector for private investment by (a) removing it from the list of industries reserved for public sector and (b) exempting it from compulsory licensing. Imports of foreign technology as well as foreign direct investment are freely permitted up to certain limits under an automatic route. Ministry of Steel plays the role of facilitator, providing broad directions and assistance to new and existing steel plants, in the liberalized scenario. The Growth Profile (i) Steel The liberalization of industrial policy and other initiatives taken by the Government have given a definite impetus for entry, participation and growth of the private sector in the steel industry. While the existing units are being modernized/expanded, a large number of new/greenfield steel plants have also come up in different parts of the country based on modern, cost effective, state of-the-art technologies. At present, total (crude) steel making capacity is over 34 million tonnes and India, the 7th largest producer of steel in the world, has to its credit, the capability to produce a variety of grades and that too, of international quality standards. As per the ratings of the prestigious " World Steel Dynamics", Indian HR Products are classified in the Tier II category quality products – a major reason behind their acceptance in the world market. EU, Japan have qualified for the top slot, while countries like South Korea, USA share ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 9

Steel Ltd the same class as India. ii) Pig Iron In pig iron also, the growth has been substantial. Prior to 1991, there was only one unit in the secondary sector. Post liberalization, the AIFIs have sanctioned 21 new projects with a total capacity of approx 3.9 million tonnes. Of these, 16 units have already been commissioned. The production of pig iron has also increased from 1.6 million tonnes in 1991-92 to 5.28 million tonnes in 2002-03. During the year 2003-04, the production of Pig Iron was 5.221 million tonnes.

SWOT ANALYSIS Strengths 1. Availability of iron ore and coal: India has abundance of iron ore, coal & other

raw materials required for iron & steel making. It has 4 th largest iron ore reserves (13 bn tons) in the world. 2. Low labor wage rates: India has low unit labor cost, this gets reflected in low

cost of production 3. Abundance of quality manpower: It has 3rd largest pool of technical manpower,

next to United States & erstwhile USSR, capable of understanding and assimilating new technologies. 4. Mature production base

Weakness 1. Unscientific mining: India is deficient in raw materials required by the steel

industry. Iron ore deposits are finite and there are problems in mining sufficient amounts of it. India's hard coal deposits are of low quality


Steel Ltd 2. Low productivity: According to an estimate crude steel output at the biggest

Indian steelmaker is roughly 144 tonnes per worker per year, whereas in Western Europe the figure is around 600 tonnes. 3. Power shortages: Steel production in India is also hampered by power shortages.

4. Inadequate

infrastructure:

Insufficient

freight

capacity

and

transport

infrastructure impediments to hamper the growth of Indian steel industry

5. Low R&D investments: There are inadequate investments in infrastructure.

6. High cost of debt: Since huge capital investment is required therefore cost of

these dbt is very high.

Opportunities 1. Unexplored rural market: The Indian rural market remains fairly unexposed to

the multi-faceted use of steel.

2. Growing domestic demand: There is enormous scope for increasing

consumption of steel in almost all sectors in India. 3. Export Market Penetration: It is estimated that world steel consumption will

double in next 25yrs. Quality improvement of Indian steel combined with low cost advantages will definitely help in substantial gain in export market. 4. Consolidation: As global companies have realized the threat of excess supply,

they are looking at M&A (mergers and acquisitions) option to retain market share and improve margins.


Steel Ltd

Threats 1. Technological change: Technological changes force the industry structure to

change. In India where capital itself is costly, technological obsolescence is a major threat.

2. Price sensitivity & Demand volatility: The demand for steel is derived demand

and the purchase quantity depends on end-use requirements. The traders are price sensitive and buy when there are discounts. 3. Dumping of steel by developed countries: High quality products for developed

countries available for imports at competitive prices.

4. Slow Industry Growth Hurdles

Power shortage hampers the production of steel Use of outdated process for production Lags behind in the production of stainless steel Deficiency of raw materials required by the industry Labor productivity is low. It is 144 tons per worker per year against 600 tons in Western Europe as per estimates inadequate shipment capacity and transport structure

Consumption ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 12

Steel Ltd India's steel consumption rose 8 per cent in the year ended March 2010, over the same period a year ago on account of improved demand from sectors like automobile, infrastructure and housing. The country’s steel consumption increased to 56.3 MT in the 12 months to March 2010 from 52.3 MT in the previous year, as per the Ministry of Steel

CHAPTER-3 COMPANY PROFILE


Steel Ltd

COMPANY PROFILE JSW is a part of the $ 4 billion O.P. Jindal group, the 4th largest business house in India, with interests in mining, flat steel, and power, oxygen and port facilities. This makes us a fully integrated steel plant with products ranging from pellets to Galvanized Steel, a value addition of over 100 times. JSW under the leadership of Mr. Sajjan Jindal, share a common mantra for success. JSW is a dynamic Rs. 9000 crore integrated entity encompassing steel, power, industrial gases, minerals and port business. It ranks among India's top business houses in turnover, size and scale of operations. The focus, now, is to achieve a position of excellence in the global arena and innovate the future for nation building. A. Back ground and inception of the company: In the 15th century, Krishnadevaraya (1509-29) ruled the royal Vijayanagara dynasty located in southern India, famous for its peace and prosperity. Reminiscing the past glory and grandeur of Vijayanagara, JINDAL VIJAYANAR STEEL LTD., the mega steel plant has come up at Toranagallu, 29 km from Bellary. The principal promoter of JVSL is Jisco; both belong to Om Prakash Jindal group having 50 years of experience in steel industry. JVSL was set up as backward integration facility for Jisco. All the units of Jindal organization are also promoted by his son's namely-Prithviraj Jindal, Sajjan Jindal, and Rattan Jindal & Naveen Jindal. JVSL has an interesting history. Mrs. Indira Gandhi inaugurated this site in 1971, for an integrated steel plant, which was to be named Vijayanara Steel Plant. From 1971 to ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 14

Steel Ltd 1994, public sector and several private sector units explored the possibility of putting up the steel plant but none are succeeded, essentially due to inadequate availability of the most basic inputs, like water. And power. In 1994, Government of Karnataka approached Jindal who succeeded in putting of JVSL, largely because they dared to choose not so commercially but most environment friendly COREX technology for Iron making, as against conventional process of Blast furnace. The company was promoted by Jindal Group with participation from Karnataka State Industrial Investment and Development Corporation LtdNow the company is one of India’s largest manufactures and exporters of galvanized steel and export to over 80 countries and the company

accredited with the ISO:9001 certification for quality

management system, the ISO:14001 for environment management system and OHSAS:18001 for occupational health and safety management system.

“Where there is a challenge there is Jindal” “If it is Jindal, it must be first class” The Philosophy of Jindal South West Foundation is “We Cherish People” We believe that we must with honesty of purpose, make a difference in the environment in which we operate. We believe that we must make profits and be good corporate citizens. We believe in forging bonds with government bodies, NGO’s and the community at large. We aspire to go beyond monetary contribution for a social cause to actively participant in building their capacities to forge a sustainable future. We leverage our skills and expertise in facilitating social development activities. We believe that there is more to business than making profit. We intend to create wealth for our survival and sustainability of business in the long run

B. Nature of the business carried: ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 15

Steel Ltd Until the mid 70's huge chunks of India's stainless steel requirements were met by imports the challenge was to produce high quality stainless steel at less than world steel prices. In 1979-80 the Jindal were successful in using Argon Oxygen Decarburization Converter, a state of art technology development in house. A process integrating of the different stages in the manufacturing of stainless steel was successfully done. As a result everything from the conversion of raw material in the billets and slabs, to hot rolling to strip and plates, as well as cold rolling was done in house. India’s only integrated green-field steel project JSW, a green field integrated steel plant with integrated steel plant with a capacity of 1.60 million ton per annum of hot rolled coils. JSW has collaborated with voest Alpine of Australia, which will provide a unique advantage in manufacturing and technology.

C. JSW Vision, Mission and Values:VISION: Global recognition for Culture and Quality while nurturing nature and society. MISSION: Supporting Nations growth in steel and Power with speed and innovation. Core Values: •

Crystal clear

•

Passion for excellence

•

Drive with Leadership

•

Young thinking

•

Challenge for Status Quo.


Steel Ltd

JSW Quality Policy: QUALITY MANAGEMENT SYSTEM (ISO-9001, 9002) JSW shall strive for continual improvement and innovation in our integrated steel plant operations for quality products and services in a healthy and eco-friendly work environment; including hazard identification and risk management and create niche national and international markets. The fully computerized process control facilities ensure that the end product meets the exacting expecting and specifications. All quality systems are ISO-9002 approved. This has enabled the organization to make aggressive efforts in international markets.

D. PRODUCTS AND SERVICES PROFILE: We are among the largest integrated steel companies in India, having established production facilities at close proximity to the mineral resources as well as to the market for its products. Our cost of production is among the lowest in the country. The integrated steel plant produces hot rolled coils in various Carbon and Low Alloy grade of steel for wide application ranging white goods, automobiles, line-pipe, railway wagons etc… PRODUCTS:

•

Pellets

•

CR coils

HR coils

Galvanized sheets

CR coils


Steel Ltd •

Galvanized sheets

•

Wire Rods

•

Billets

•

Color coated products.

•

HR coils

E. Areas of operation

Corporate Office: Jindal Mansion 5A, Dr. G. Deshmukh Marg. Mumbai- 400 026 Tel: 23513000. Fax: 23526400. Other Regional Offices: JSW Steel Ltd Village: Toranagallu P.O: Vidyanagar 583275 Dist: Bellary Tel: 08395-250120 to 30 Fax: 08395-250138

JSW Steel Ltd B-6 Tarapur MIDC Boisar- 401506 Dist: Thane, (Maharastra) Tel: 02525- 270147 Fax: 12535 270148

JSW Steel Ltd Village: Vasind, Taluk:Shahapur Dist:Thane 421604(Maharastra) Tessl:02527-220022 to025 Fax:02527-220020/92

Jindal Thermal Power Company Ltd. Corporate Office: Raheja Towers, East Wing, 6th floor, M.G.Road, Bangalore 560 001.

YEAR OF INCORPORATION: ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 18

Steel Ltd JVSL was incorporated on 15th march 1994 as a private limited company. Head office: Mumbai.

Domestic and International Business of JSW: JWS’s 40-50 % sales go to JISCO, & rest 50% of its sales are done other parts of India and abroad. Out of 50%, 60% of it is sales made in south India, and the rest 40% to 50% is exported. Jsw is a major steel supplier in southern India. Some of the domestic customers are • Hero cycles Ltd- Ludiana •

Wheels India

•

Pennar Industries –Hyderabad

•

Asrani Tubes –Hyderabad

•

ITN Signode India – Hyderabad

•

Demech Ltd –Mumbai

•

Maharashtra Seamless- Mumbai

•

J.T.Shirwal Paleji Steel Co. Gujarat Ltd

•

NSIL-Indoor

•

Ruche Strips-Indore

JSW entered into international business through exports. JSW started its export business in the year 1999 by exporting its products to Srilanka, and thereafter extended to USA, Italy, China and Europe etc. currently it exports to total 70 countries world over.

F. SHAREHOLDING PATTERN Share Holding as on : Face Value

31 Mar 2010

31 Dec 2009

10.00

30 Sep 2009

10.00

No. Of % Shares Holding

10.00



PROMOTER'S HOLDING Foreign Promoters

5,704,612.00

3.05 5,704,612.00

3.05 5,704,612.00


3.05

Steel Ltd Indian Promoters

78,471,061

41.95

78,495,015

41.97

78,495,015

41.97

Sub Total

84,175,673

45.00

84,199,627

45.01

84,199,627

45.01

NON PROMOTER'S HOLDING Institutional Investors Mutual Funds and UTI Banks Fin. Inst. and Insurance FII's

1,701,778

0.91

1,840,943

0.98

1,368,849

0.73

7,851,528

4.20

8,356,844

4.47

8,475,814

4.53

59,591,549

31.86

58,337,263

31.19

57,515,292

30.75

Sub Total

69,144,855

36.97

68,535,050

36.64

67,359,955

36.01

Other Investors Private Corporate Bodies NRI's/OCB's/Foreign Others Government Others

6,335,199

3.39

6,161,834

3.29

5,974,708

3.19

11,361,002

6.07

11,396,090

6.09

11,594,043

6.20

1,237,500

0.66

1,237,500

0.66

1,237,500

0.66

833,140

0.45

630,471

0.34

630,154

0.34

Sub Total

19,766,841

10.57

19,425,895

10.39

19,436,405

10.39

General Public

13,961,313

7.46

14,888,110

7.96

16,052,695

8.58

GRAND TOTAL

187,048,682

100.00

187,048,682

100.00

187,048,682

100.00

G. MAJOR COMPETITORS: Major players in the field of Iron and Steel Manufacture are as follows:•

Steel Authority Of India Ltd. (SAIL)

•

Rastriya Ispat Nigam Ltd. (RINL)

•

ISPAT

•

Tata Steel Co. (TISCO)

•

Essar Steel

•

Lloyds Steel Industries Ltd.

•

National Mineral Development Corporation (NMDC) ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 20

Steel Ltd

COMPETITORS INFORMATION 1. Steel Authority of India Limited: SAIL is the leading steel making company in India. It is a fully integrated iron and steel maker, producing both basic and special steels for domestic construction, engineering, power, railway, automotive, and defense industries and for the sale of its products in the export market.

2. Rastriya Ispat Nigam Limited: This company has taken no. of restrictive measures to improve financial performance of the plant with the assistance from government.

3. Tata Iron and Steel Company: It among the lowest cost steel producers of HR coils in with and their vision is to become the lowest cost producers of steel in the world in the near future. Based on the platform of the low cost raw materials, with a modern plant the company plans to produce HR coils at the costs below Rs.170 per tone. The labour productivity is still poor and in the absence of a safety net, it is difficult to lay off redundant labour.

4. Essar Steel Limited: Essar Group with an asset base of US $ 4.4 billion has its presence in core sector businesses. Chairman Mr. Shashi Ruia and Vice Chairman Mr. Ravi Ruia head the group, founded over three decades ago. It is the worlds largest gas based HBI plant and the India‟s largest exporter of flat products. It uses power from its own captive power plant and uses 70 percent lump to achieve cost reduction. The company is planning to install the pallet plant for reducing the production and achieving economy of operations besides continuous, uninterrupted supply of long term metallic needs. It has introduced contract system of labour instead of permanent employees.

5.. Lloyds Steels Industries Limited: The company has entered into an agreement with the Western Coal Fields Ltd., for the opening an underground mine exclusively for the use of Lloyds Steels.


Steel Ltd

JSW INFRASTRUCTURAL FACILITIES H. Infrastructural Facilities: The plant has concrete roads everywhere, shuttle services, dust recycling systems, separate buildings for each departments, canteen facilities, well equipped furniture & computers. JSW imparts compulsory safety training to all its employees. JSW foundation works for welfare of society, which provides services, like education, health, computers, rehabilitation for the surrounding villages. Sandur shivaji high school was renovated, bypass road was constructed, &

A beautiful township complements the Jindal

Vijayanagar Steel Plant, which is a housing facility to its employees. The township architecture inspired by Hampi, the erstwhile capital of Vijayanagar empire is equipped with all the modern facilities for the well being of the employees. The township has an English medium school up to Twelfth standard with central syllabus, a temple, recreational facilities club house, swimming pool, boat house, free water facilities, electricity and all the primary medical facilities. There is a 58 room centrally airconditioned and well furnished guest house serving Indian and continental food. Sanjeevani hospital is built to cater the medical needs of employees as wellas general public

I. Achievements/ Awards: Forging ahead, JSW Steel Ltd. is one among the largest Indian Steel Companies in India today with capacity of 7.8MT. India’s second largest steelmaker, JSW Steel Ltd. consists of the most modern, ecofriendly steel plants with the latest technologies for both upstream & downstream processes. JSW Steel Ltd. has received all the three certificates: ISO:9001 certification for quality management system ISO:14001 for environment management system and OHSAS:18001 for occupational health and safety management system. ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 22

Steel Ltd

Awards 2009-10 •

Karnataka Chapter Safety Award 2009: Unnatha Suraksha Puraskara, a trophy and certificate was presented for outstanding safety performance and management systems in Metals category of industries during 2006-08, by National Safety Council, Karnataka Chapter, on 09-09-2009.at Bengaluru.

•

Greentech Environment Excellence Award 2009: Gold award in metal and mining sector for outstanding achievement in Environment Management (10th Oct 2009, Kovalam).

•

ISO-14001:2004 Certification: Vidyanagar Township was recommended for certification of ISO-14001:2004 for environmental management practices, on 2309-2009, by TUV Rheinland Group.

•

National Award for Excellence in Energy Management 2009: Excellent Energy Efficient Unit Award 2009 for Best Energy Management Practices (19, 20 Nov 2009, Chennai), by CII-Godrej Green Business Centre.

•

PM’s Trophy 2007-08: Runner-Up of the best performing Integrated Steel Plant in the country, known as Steel Minister’s Trophy (declared on 13-Nov-2009).

•

CII-EXIM Award 2009: “Commendation Certificate for Significant Achievement” for Business Excellence by Confederation of Indian Industries, on 17-Dec-2009 at New Delhi.

•

IMC Ramkrishna Bajaj National Quality Award:”Performance Excellence Trophy in the Manufacturing Category” by Indian Merchant Chambers Quality Cell, on 19-Mar-2010 at Mumbai.

Individual and Team Recognitions:


Steel Ltd •

Dr. Madhu Ranjan, VP (R&D and SS), has been conferred with 'Metallurgist of the Year Award - 2009' instituted by the Ministry of Steel, Govt. of India, at the 47th National Metallurgists' Day Celebrations held on the 14-Nov-09 at Kolkata.

•

Oral Presentation Category at 63rd Annual Technical Meet, Kolkattai. Second Prize was won by – 1. Mr. Pranav Tripathi 2. Mr. Sujay P. Patil 3. Mr. D. Satish Kumar 4. Mr. Abhijit Sarkar 5. Mr. P C Mahapatra

•

Third Prize was won by 1. Mr GS Rathore 2. Mr Mukul Verma 3. Mr Dileep Varma (M/s ABB)

•

National Award for Excellence in Energy Management 2009: ‘Most Useful Presentation Award’ was won by JSW-Steel team for making excellent presentation, on 20-Nov-09 at CII-Godrej Green Business Centre, Chennai.

2008-09 •

Greentech Safety Award 2007 : Gold award in metal and mining sector for Outstanding Achievement in Safety Management by Greentech Foundation (10 April 2008, Mumbai).

•

G 3 Awards for Good Green Governance 2007 : JSW Steel received winner's trophy in the Manufacturing Category by SRISHTI, New Delhi (22 April 2008).


Steel Ltd •

TERI Corporate Environmental Award 2008 : Certificate of appreciation for efforts to wards environmental management and innovative initiatives amongst corporations with a turnover above Rs. 500 crore (31 May 2008).

•

CII National Energy Management Award 2008: Excellent Energy Efficient Unit by CII (Augest 2008).

•

Greentech Environment Excellence Award 2008 : Gold award in metal and mining sector for Outstanding Achievement in Environment Management (6 September 2008, Goa).

•

CII-EXIM Award 2008 : Commendation Certificate for Significant Achievement towards business excellence (on 6 November 2008, at Bangalore).

•

National Sustainability Award 2008 : First prize for excellent performance in integrated steel plant operations (14 November 2008, New Delhi).

•

CII-ITC Sustainability Awards 2008 : Commendation Certificate for Significant Achievement on the journey towards sustainable development (on 12 December 2008 at New Delhi).

•

National Award for Excellence in Water Management 2008 : JSW Steel was adjudged as “Water Efficient Unit” by CII during National Competition for Excellence in Water Management held on 16 and 17 December 2008 at Hyderabad.

•

IMC Ramkrishna Bajaj National Quality Award 2008 : Performance Excellence Trophy in the manufacturing category (on 24 March, 2009, Mumbai).

•

Golden Peacock Award for Corporate Social Responsibility – 2008 : JSW Steel Ltd. bagged the prestigious ‘Golden Peacock Award for Corporate Social Responsibility for the year 2008' in February 2009

•

National Energy Management Award 2008: JSW Steel, Vijayanagar Works bagged National Energy Management Award 2008 instituted by CII during Aug'08.


Steel Ltd Individual & team recognitions: •

IIM Platinum Medal won by Dr SK Gupta, Director, for his outstanding contribution to the metallurgical profession, education, research at National Metallurgists' Day (NMD) celebrations on 14 November, 2008. This award was instituted by the Indian Institute of Metals.

•

Young Metallurgist of the year Award: Jointly shared by Mr K P Mrunmay and Mr Pramod Kumar Gupta of R&D and SS department. This award is given to young metallurgists to encourage research in the field of metallurgy, on 14 November 2008, at NMD celebrations, New Delhi. ICCQC 2008, Bangladesh

•

Tungabhadra team won extra-ordinary category award at recently concluded International Chapter Convention on Quality Circles 2008, at Dhaka in Bangladesh. The ICCQC competition was held from 23 rd to 26 th September, and the theme selected was - “ Improving the performance of the Double Deck Roller Screen” .

•

Team members: Mr. Raghu.M, Mr. B.I.Karabhari , Mr. Rajashekar Hiremath , Mr. G.B.Kesapur , Mr. Shivakumar.K and Mr. Nagendra

•

NCQC 2008, Baroda “Swayam” QC Team from Coke Ovens won Excellent Category, and “Genius” QC Team from BOF-CCP won Distinction Category, during National Convention on Quality Circles at Baroda on 10 November, 2008.

J.Work Flow Model Raw Material Handling System ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 26

Steel Ltd

Coke Oven

Agglomeration

Beneficiation plant

Pellet Plant

Sinter Plant

Corex Plant

Blast Furnance

Steel Making Shop (SMS) Hot srip mill (HSM) Cold Roll Mill (CRM)

Raw Material Handling System: It consists of two wagon tipplers, three stacker cum declaimers, one- barrel reclaimed and one twin boom stacker, with a conveyor belt. The raw materials are iron ore lump and fines, pellets, limestone, dolomite, quartzite, manganese ore, non-coking and coking coal and coke.


Steel Ltd Blast Furnace: It uses iron ore, sinter, pellet, coke and limestone, which are charged at the top of the furnace and hot air is blown from the bottom of the furnace in 6 t 8 hours, the iron bearing material converts into liquid iron. Corex: It uses abundantly available non coking coal as a reluctant. Unlike conventional blast furnace, which uses hot air for combustion of coke/coal, pure oxygen is used in corex. Basic Oxygen Furnace: It is the most widely used steel making process. The hot metal is charged in the BOF and oxygen is blown into the hot metal at a high pressure through a water cooled lance. All the impurities in the hot metal get oxidized. Fluxes like lime and claimed dolomite are added to the hot metal during the process to facilitate the chemical reaction, which then floats on the surface of liquid steel as slag. The liquid steel is tapped from the BOF into jaladle at correct temperature and chemical composition. Continuous Casting Plant (CCP). . The liquid steel gets fully solidified into slabs, after passing through a series of rolls. Optimized external cooling of the slab right from the exit of the mould ensures slab quality meeting international standards. Both CCP & BOF is designed by SMS –Demag, Germany. Hot Strip Mill (HSM) has been engineered by Danieli United, USA incorporating the latest technology and is equipped with a high level of automation, provided by Cegeiec, USA, allowing complete hands off operations. Here, the steel slabs are rolled into coils of desired sizes HOT ROLLING: Hot rolling is the working of metals above the recrystalisation temperature. At this temperature, energy required for plastic deformation is less because above critical temperature, steel has Face Centered Cubic (FCC) structure, which is more ductile than ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 28

Steel Ltd the Body Centered Cubic structure, observed in the steel below critical temperature. The slabs are charged to a modified pusher type reheating furnace of capacity 80 tons per hour. The hot slabs are initially rolled in 2 Hi rolling mill, which in turn feeds the 4 Hi finishing mill. The steel slabs, either indigenous imported, and identified according to their grade, heat number and slab sizes are cut to required sizes to be fed in to the furnace. The furnace heats up the slabs and then the extractor arms extract the slabs and place it on the roll table. The rotating rollers convey the slabs to the roughing mill where the slabs are reducing to rough thick plates. COLD ROLLING: Cold rolling is a complex process of plastic deformation of metals between pairs of rotating rolls to reduce thickness of hot rolled strips and impart desired mechanical and metallurgical properties to them. Forming is considered as the most economical manufacturing process as there is no loss of metal in it. In this process- desired size and shape are obtained through the plastic deformation of metal. K. FUTURE PROSPECTS OF JINDAL SOUTH WEST: With the onset of liberalization, the steel industry has to gear-up, not only to meet domestic competition, but also the global competition in terms of product range, quality and price. India has become self-sufficient in iron and steel materials in the last 3-4 years. Productivity of our steel plants must be maintained at levels close to international Standards. Presently JSW is producing 7MTPA of steel and they have set a target by 2011 march to produce 10MTPA with commence of 4 Blast furnance which is of 3MTPA and By 2015 to produce 16.5MTPA.

MCKINSEY’S FRAME WORK MCKINSEY 7-S FRAMEWORK FOR ORGANISATION STUDY: ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 29

Steel Ltd According to 7’s model there are seven basic dimensions, which represent the basic core of managerial activities. These are the “levers” which executives use to influence complex and large organization. The seven S’s are shared values, strategy, structure, systems, style, staff and skills and these are shown in the following figure: The Mckinsey 7 S Model for Organization Study is a “Value Based Management Model”. The Value Based Management model describes how one can holistically and effectively organize a company. Together these factors determine the way in which a corporation or an organization operates

STRUCTURE: Organizational structure refers to formal hierarchical relationships & positional arrangements it deals with how members communicate with others, how information flows, what roles he performs, Rules & procedures existing to guide the activities of


Steel Ltd members as part of organization With reference to JSW, it has good mentor, disciplined relationship, encouragement, help & guidance. The structure of Jindal south west steels ltd (JSW): Name

Designation

Savitri Devi Jindal Y Siva Sagar Rao Vinod Nowal

Chairman / Chair Person Joint Managing Director & CEO Director & CEO

Zarin Daruwala S K Gupta

Nominee Director Director

Uday M Chitale Kannan Vijayaraghavan Vandita Sharma

Director Director Nominee Director Designation

Name Sajjan Jindal

Vice Chairman & Mng.Director

M V S Seshagiri Rao Jayant Acharya G R Sundaravadivel Anthony Paul Pedder Sudipto Sarkar Vijay Kelkar N C Muniyappa

Joint Managing Director & CFO Director Nominee Director Director Director Additional Director Nominee Director

SKILL: Skills are capabilities of organization as a whole. Skills, which describe the organization as competence like in JSW has manufacturing skills, R&D etc, ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 31

Steel Ltd The skills, which JSW process are

assertive, decision-making, business knowledge,

leadership, attitude, adaptability, courageous, & dynamism. However the skill requirement varies from the job to job. Recruitment & Selection process: Careers: JSW handpicks the best engineering and managerial talent from the country’s reputed organizations and technical and management colleges. The selection is been done from reputed business houses, campus selection, placement agencies, and Advertisements & Data base. There is a selection committee, which conducts group discussions, personal interviews & other formalities. Training & development: Objective: To bridge the gap between existing skills& desired skills. Training in JSW is aimed at the systematic development of knowledge, skills, attitude and teamwork. Training & development of personal skills is considered a high priority area and it forms an integral part. Programs are undertaken keeping in view the dynamic changes in the environment, which are contributed by rapid technological obsolescence or for personality development or as an Induction. Internal Training is given where an outside agency or a specialist comes to train the employees. External training is given when the employees are sent to any management consultancy firm. Kirloskar Institute of training is one of such institute. On the job training: is given as induction programs. However JSW don’t make any job analysis & formal job description. Induction programs are done to familiarize the new comers & compulsory safety training is given to all employees of JSW. Apart from this managerial training, behavioral, technical, functional, multi-skill training is given

STYLE: In JSW there are 66 Quality circles where the employees can suggest any improvements in systems. There is a grass root level participation. These suggestions are


Steel Ltd implemented either by interdepartmental communications, mutual understanding, or by top-level analysis, where huge investments are involved. Even the policy decisions are taken with consultancy of respective persons. Employees take casual decisions & their immediate head gives the feedback. From the above facts we can say that JSW has a participative management style. STRATEGY: It includes basic purposes, missions, objectives, goals & major action plans & policies In JSW, every department has its own strategies & policies Marketing Strategies: Focusing on selected major customers in terms of their locations, segments, potential demands etc., Customizing of product so that the best advantage by using JSW product in terms of yield, lower costs, etc. JSW Shoppe A Unique concept of retailing in steel to expand retail base and ensure the easy availability of quality & branded steel to all its market.

Pricing Strategies: JSW is into Industrial goods segment where sales are made according to customer specifications. Hence not much of publicity & Market leadership techniques are required. SYSTEMS: It refers to all rules, regulations & procedures both formal & informal. It includes production plans, control system, capital budgeting systems, cost accounting procedures, budgetary systems, recruitment training & development plans. In JSW, every department has got their own Management Information system


Steel Ltd Human resource information system: There is an HR package which stores all employee profile such as employee ID, code no, joining date, place of posting, place of posting, name, personal profile, bank name, A\c no, grade, department, qualifications, designation, experience, pay scale, & history. On the basis of this data rating is done. It also gives information of overall employee structure like no of persons joined in a month, transfers, promoted, land giver category, loan taken employees, etc

Quality systems: Every production department has quality packages. They have their own targets & grades. JSW has Laboratory, R&D & Testing facilities .For e.g.: pellet plant is the supplier of corex dept so corex checks the quality specification while purchasing from pellet plant. Hence there is a value chain. STAFF:

Qualification PhD ME/MS BE MBA CA ICWA Postgraduates Diploma Engineers Graduates Others Total

Nos 2 46 1196 8 15 5 66 2106 294 250 3988

% 0.05 1.15 29.99 0.20 0.38 0.13 1.65 52.81 7.37 6.27 100


Steel Ltd SHARED VALUES Concern for People: People come first in the new business paradigm. The success of an organization essentially depends upon utilization of this resource. JSW has suggestion scheme & committee called as “mera Sujhav.”All the employees can give suggestions on improvement of technology, production process or operations. Proposals with the implementation process are welcomed. The top people reviews & analyses. Scheme makers get awards. Department with zero level accidents & quality achieved gets incentives. On Independence Day every year, one employee gets “best employee of JSW”award.

SWOT analysis

STRENGTH

1. JSW has good reputation in steel market. It is the result of long experience of around 3 decades in the steel industry. 2. The major strength of JSW lies with the price. JSW with enjoy reduction in cost due to very low cost of power. 3. State of art technology the correx process makes it a low cost production of steel in the industry. 4. Production quality is the strength of the JSW. 5. JSW planned infrastructure for inward and outward by rail plus road, as base foundation for future growth. WEAKNESS: 1. Transportation costs are high due to non-availability of trucks and other means of transportation easily.


Steel Ltd 2. Sourcing of skilled man powering. 3. JSW is far away from the main market as such it faces problems with the infrastructure. 4. Problems with efficient warehousing and out bound transportation.

OPPORTUINITIES: 1. Located in the center of Bellary- Hospet region, a high grade iron belt. 2. Easy access to the major ports of Goa, Chennai, Mangalore and Mumbai. 3. It lies in the vicinity of large potential and unexplored market of southern India. 4. Steel imports and exports are also slated to grow. 5. The automobile sector is also expected to perform well, leading to increase in demand for steel. 6. Several initiatives in the form of improvement in infrastructure are also expected to boost demand for steel. 7. Demand for HR, CR and galvanized products are expected to beneficially affect the company operations. 8. A special incentive from India railways to steel industries is under consideration. THREATS: 1. Domestic as well as internationals steel majors like Tata Steel, POSCO and Mittal Steel have announced to set up manufacturing facilities near Kuditini near to location of Jindal This could lead to excess competition as it 2. Threats from materials like aluminum, plastic and cement. 3. Arcelor mittal, , posco and other Indian steel majors to invest in Karnataka.


Steel Ltd

ANNUAL REPORTS PROFIT AND LOSS ACCOUNT AS ON MARCH 31ST 2010


Steel Ltd

BALANCE SHEET AS AT 31ST MARCH 2010 March 2010 (12 months) Sales

%

March 2009 (12 months)

%

March 2008 (12 months)

%

181,674.60

+1.00

140,065.90

+0.99

113,910.50

+0.98

608.10

+0.00

1,855.30

+0.01

1,876.10

+0.02

`

182,282.70

-

141,921.20

-

115,786.60

-

Raw Material Cost

113,511.20

+0.62

91,012.50

+0.64

62,765.80

+0.54

Excise

12,891.80

+0.07

11,727.00

+0.08

12,378.60

+0.11

Other Expenses

12,536.00

+0.07

8,714.70

+0.06

5,203.80

+0.04

Operating Profit

42,735.60

+0.23

28,611.70

+0.20

33,562.30

+0.29

9,002.60

+0.05

8,368.20

+0.06

4,948.40

+0.04

Gross Profit

33,733.00

+0.18

20,243.50

+0.14

28,613.90

+0.25

Depreciation

11,234.10

+0.06

8,276.60

+0.06

6,871.80

+0.06

Profit Bef. Tax

23,107.00

+0.13

13,822.20

+0.10

23,618.20

+0.20

7,974.30

+0.04

3,065.20

+0.02

7,227.70

+0.06

15,132.70

+0.08

10,757.00

+0.08

16,390.50

+0.14

5,094.70

+.03

-6,172.00

-.04

891.40

+.01

Reported Profit

20,227.40

+0.11

4,585.00

+0.03

17,281.90

+0.15

Equity Dividend

1,777.00

+0.01

187.10

+0.00

2,618.70

+0.02

Other Income

Interest Name

Tax Net Profit

Other NonRecurring Income


Steel Ltd

Mar ' 10

Mar ' 09

Mar ' 08

Sources of funds Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus

248.08 279.03 9,179.23

248.08 288.93 7,422.24

248.08 288.93 7,140.24

8,987.51 2,597.59 21,291.44

8,214.61 3,058.02 19,231.88

5,497.08 2,049.45 15,223.78

21,795.58 -

16,896.75 -

13,952.32 -

4,929.44

3,810.31

2,996.83

16,866.14 6,684.27 1,768.35

13,086.44 9,242.06 1,250.11

10,955.49 5,612.43 923.53

5,652.18

4,849.54

3,223.03

9,679.50

9,196.27

5,490.70

-4,027.32

-4,346.73

-2,267.67

-

-

-

21,291.44

19,231.88

15,223.78

1,647.45

1,252.86

707.78

872.21

2.75

215.75

6,990.48

8,170.64

11,145.95

1870.49

1870.49

1870.49

Loan funds Secured loans Unsecured loans Total

Uses of funds Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress Investments

Net current assets Current assets, loans & advances Less : current liabilities & provisions Total net current assets Miscellaneous expenses not written Total

Notes: Book value of unquoted investments Market value of quoted investments Contingent liabilities Number of equity sharesoutstanding (Lacs)


Steel Ltd LEARNING EXPERIENCE: The learning experience which I had in Jindal South West. Was a wonderful experience. I came to know how theoretical aspects are applied practically in the organization. Whatever theoretical information learned in the classes had to be implemented in practice in in-plant training But it was good learning experience for me to understand various departments and their style of functioning During my in plant training, I was able to study various aspects of the organization practically. I acquired the knowledge of various strategies adopted by the company It was a great experience for me to work in an organization culture where I interacted with different types of people. I could learn how to behave in an organizational environment, i.e. while interacting with the colleagues and other people The company believes in maintaining a very high level of organizational discipline by synergizing personal with technological discipline. The Human resource department is handling communication at JSW. Communication is given a high priority and this is so because the management at JSW considers it necessary to bring down business and increase intra-organization information flow as a major prerequisite for organizational growth. The working environment acts as the primary motivation for all employees. Jindal organization has constantly tried to endeavor to achieve and provide an atmosphere of perpetual growth and shared learning to all their employees Finally, The Company aims to provide safe working conditions at all the Jindal plant locations. The Safety and health of the employees is amused by maintaining safe processes, carrying out safe practices, providing a safe environment, importing adequate and proper training, issuing detailed instructions as regards to the area of operation and including safety awareness among all employees. The company is known for its core values quality, safety, environmental care, culture and its customs. The value adopted by the company is to achieve its goals. I understood the motivating techniques followed by the human resources department to motivate the employees. I was able to identify the strengths and weakness of the company


Steel Ltd

CHAPTER-4 THEORETICAL CONCEPTS


Steel Ltd

INTRODUCTION Human Resource management (HRM) is concerned with the "people" dimensions in management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to high level of performance and ensuring that they continue to .maintain their commitment to the organization are essential for achieving organizational objective. The study includes types and process of HRD programs organized in JSW and the relationship between program and its effectiveness on employee performance and to know the response of the trainees about the training effectiveness

The study was conducted systematically. The primary data required for the study was obtained from the employees with the help of structured questionnaire which was given to 50 employees randomly. The secondary data was collected through internet, company hand book, journals. This study elucidates the facts on the awareness of the employees with regard to the training program, types of HRD Program, effectiveness of Training Program etc., prevailing in JSW. This study reveals that majority of the employees have attended Managerial Training program of sophisticated nature with good faculties. It further reveals that the Training Program conducted in the said organization have been educative and interesting and also have increase their inner skills. Finally the management as well HR Department concerned in JSW is doing their job judiciously with regard to Training and its Effectiveness activities. The researcher of this study is convinced that this study would be an eye-opener for their furtherance in the field of their Training activities


Steel Ltd

Fig: A Typical Organization of Personnel Department

General Manager

Personnel Director

Personnel Manager

Personnel Officer Personnel Research & Development Officer

Personnel Department

Maintaining Payroll

Recruitment

Training

Training Department

Welfare

Operative Training Supervisory Training Management Training Training Instruction Training Aids & Equipments


Steel Ltd

Personnel Policies of HR The personnel function in a hotel includes many activities such as:

≈ Consideration of leadership style ≈ Relationship ≈ Responsibilities ≈ Philosophy ≈ Social orientation ≈ Organizational structure In most of the hotels the personnel policies are put in writing. These policies are distributed to key and responsible executive to provide guidance and ensure consistent application. Periodically the HRD review these policies. . Arrears of personal policies The personal policies are concern with each of the following areas: Employment

≈

Recruitment

≈

Interview

≈

Psychological and Aptitude tests

≈

Selection

≈

Medical Examination

≈

Administration and Transfers

≈

Promotions and Termination

≈

Responsibilities for adherence to indiscrimination laws Education and Training



≈

Orientation of new employees

≈

Educational needs for employees


Steel Ltd ≈

Training development programmes

≈

Communications Health and Safety



≈

Occupational health

≈

Emergency medical care

≈

Safety programme

≈

Preventive Medicine Employee’s Services



≈

Cafeteria

≈

Vending Machine

≈

Employee’s Lounge

≈

Lockers

≈

Counseling

≈

Suggestion Scheme Wages and Salary Administration



≈

Salary structure

≈

Performance standards and Job evaluation

≈

Salary survey Benefits



≈

Group Insurance

≈

Sick-pay plan

≈

Hospitalization

≈

Major medical coverage

≈

Key man Insurance

≈

Pension plan/scheme Labour/Industrial relations





≈

Presentation Elections

≈

Collective Bargaining

≈

Grievance Procedures Administration


Steel Ltd ≈

Personnel records

≈

Security

≈

Holidays and Vacations

≈

Office Layout and Services

≈

Work Rules

HUMAN RESOURCE PLANNING Human Resource Planning (HRP) is the first aspect of human resource process. It is very commonly understood as the process of forecasting an organization’s future demand for, and of, the right type of people in the right number. It is only after this that HRM department can initiate a recruitment and selection process. HRP is the sub-system in the total organizational planning. HRP is important for:

≈ The future personnel needs ≈ To cope up with change ≈ To create highly talented personnel ≈ For the protection of weaker sections ≈ For the international expansion strategy of the company ≈ It is the foundation for personnel functions The list is infact never ending. HRP actually has become an inevitable part of HRM process. HRP is influenced by several considerations. The more important of them are:  Type and strategy of the organization  Organizational growth cycles and planning  Environmental uncertainties  Type and quality of forecasting information  Nature of jobs being filled  Off-loading the work


Steel Ltd

The HRP Process


Steel Ltd

Environment Organizational Objectives & Policies

HR Supply Forecast

HR Demand Forecast

HR Programming HRP Implementation

Control and Evaluation of Program

Surplus

Shortage Fig: HRP Process



Organizational Objectives & Policies

HR plans need to be based on organizational objectives. In practice, this implies that the objectives of the HR plan must be derived from organizational objectives. Specific requirements in terms of number and characteristics of employees should be derived from the organizational objectives.



HR Demand Forecast

Demand forecasting must consider several factors – both external as well as internal. Among the external factors are competition, economic climate, laws and regulatory bodies, changes


Steel Ltd in technology and social factors. Internal factors include budget constraints, production levels, new products and services, organizational structure and employee separations.



HR Supply Forecast

The next logical step for the management is to determine whether it will be able to procure the required number of personnel and the sources for such procurement. This information is provided by supply forecasting. Supply forecasting measures the number of people likely to be available from within and outside an organization, after making allowance for absenteeism, internal movements and promotions, wastage and changes in hours and other conditions of work.



HR Programming

Once an organization’s personnel demand and supply are forecast, the two must be reconciled or balanced in order that vacancies can be filled by the right employees at the right time. HR programming is the third step in the planning process, therefore, assumes greater importance.



HR Plan Implementation

Implementation requires converting an HR plan into action. A series of action programmes are initiated as a part of HR plan implementation. Some such programmes are recruitment, selection and placement; training and development; retraining and redeployment; the retention plan; the redundancy plan; and the succession plan.



Control and Evaluation

Control and evaluation represents the fifth and the final phase in the HRP process. The HR plan should include budgets, targets and standards. It should also clarify responsibilities for implementation and control, and establish reporting procedures which will enable achievements to be monitored against the plan. These may simply report on the numbers employed against establishment and on the numbers recruited against the recruitment targets. But they should also report employment costs against the budget, and trends in wastage and employment ratios. Consequences of Inadequate Planning One example of inadequate planning is the case of an organization caught in a severe budget crisis for which management sees only one solution – to lay off large numbers of employees. Careful planning for such a crisis during better times might have resulted in a series of alternatives, making layoffs unnecessary.


Steel Ltd Many other problems can occur if human resources planning are haphazard or neglected. For example, planning should take into account staff reductions in all parts of the organization and should be tried into any system for transferring employees. Top management because of declining sales or increased automation, including the use of computers and latest technology, might contemplate staff reductions. JOB ANALYSIS In order to achieve effective HRP, the duties involved and the skills required for performing all the jobs in an organization have to be taken care of. This knowledge is gained through job analysis. In simple words, job analysis may be understood as a process of collecting information about the job. Specifically, job analysis involves the following steps:  Collecting and recording job information.  Checking the job information for accuracy.  Writing job description based on the information.  Using the information to determine the skills, abilities and knowledge that are required on the job.  Updating the information from time to time. The Process of Job Analysis The following fig. represents the process of job analysis. The fig. also points out the uses of information about the jobs. Strategic Choices



≈

Employee Involvement: Job analysis involves collecting job-related information

– duties, responsibilities, skills and knowledge required to perform the jobs. It may be stated that in job analysis, information about a job is collected and not about the incumbent, however, the jobholder is consulted. Employees are often asked to supply vital information about the contents of job, given their familiarity with it.

≈

The Levels of Details: The level of analysis may vary from detailed, as in time

and motion studies, to broad as in analyzing jobs based on general duties. The level of analysis affects the nature of the data collected.


Steel Ltd

Strategic Choices Gather Information Process Information

Job Description

Job Specification

Uses of Job Description and Job Specification  Personnel Planning  Performance Appraisal  Hiring  Training & Development  Job Evaluation & Compensation  Health & Safety  Employee Discipline  Work Scheduling  Career Planning Fig: Process of Job Analysis

≈

When and How Often: Another strategic choice relates to the timing and

frequency of conducting job analysis. Job analysis is generally conducted when i) an organization is newly established and the job analysis is initiated for the first time; ii) a new job is created in an established company; iii) a job is changed significantly due to change in technology, methods, procedures or systems; iv) the organization is contemplating a new remuneration plan; or v) the employees or managers feel that there exist certain inequities between job demands and the remuneration it carries.

≈

Past-Oriented versus Future Oriented: If an organization is changing rapidly

due to fast growth or technological change, a more future-oriented approach to job analysis may be desired.


Steel Ltd ≈

Source of Job Data: Although the most direct source of information about a job

is a jobholder, a number of other human and non-human sources are available.



Information Gathering

This step involves decision on three issues, viz;

≈ What type of data is to be collected? ≈ What methods are to be employed for data collection? ≈ Who should collect the data? For Example: In most of the hotels that I visited, the sources for collecting information are by Observation, Interviews and Questionnaire.



Information Processing

Once the job information has been collected, it needs to be processed, so that it would be useful in various personnel functions. Specifically, job-related data would be useful to prepare job description and job specification. (see fig).

Job Analysis A Process of Obtaining all Pertinent Job Facts

Job Description A statement containing items such as • Job title • Location • Job Summary • Duties • Machines, tools & equipment • Materials & form used • Supervision given or received • Working conditions • Hazards

Job Specification A statement of human qualifications necessary to do the job. Usually contains such items as • Education • Experience • Training • Judgement • Initiative • Physical efforts & Physical skills • Responsibilities • Communication skills • Emotional characteristics • Unusual sensory demands such as sight, smell, hearing.


Steel Ltd

Fig: Job Description and Job Specification in Job Analysis Role of Human Resource Department The human resource department plays a major role in helping plan the system and in developing job description, job specification and performance standards. Specialists in that department may be assigned to conduct job analysis and write job descriptions in cooperation with managers, supervisors and employees. The human resource department is not involved in the actual writing of performance standards but play a diagnostic, training and monitoring role. JOB DESIGN Job design is a process of determining the specific tasks and responsibilities to be carried out by each member of the organization. In simple words, the logical sequence to job analysis is job design. Job analysis provides job-related data as well as the skills and knowledge expected of the incumbent to discharge the job. Job analysis, then, involves conscious efforts to organize tasks, duties and responsibilities into a unit of work to achieve certain objectives.


Steel Ltd

Feedback

Organizational Factors Characteristics of task Work flow Ergonomics Work practices Environmental Factors Employees abilities and availability Social and cultural expectations

Job Design

Productive & satisfying job

Behavioural Factors Feedback Autonomy Use of abilities Variety Factors Affecting Job Design

Fig: Factors Affecting Job Design

Job design is affected by organizational, environmental, behavioural factors. A properly designed job will make it productive and satisfying. If a job fails on this count, the fault lies with the job designers who, based on the feedback, must redesign the job. (See Fig)


Steel Ltd

Techniques of Job Design

Work Simplificatio n

High Performance Work Design

Job Rotation

Job Enlargemen t

Job Design

Autonomous Teams

Job Enrichment

Fig: Techniques of Job Design

≈ Work Simplification: In this technique, the job simplified or specialized. A given job is broken down into small sub-parts and each part is assigned to one individual.

≈ Job Rotation: Job rotation implies movement of employees from job to job. Jobs remain unchanged, but incumbents shift. With job rotation, a given employee performs different jobs, but more or less, jobs of the same nature.

≈ Job Enlargement: Job enlargement involves expanding the number of tasks or duties assigned to a given job. Job enlargement is naturally opposite to work simplification. Adding more tasks or duties to a job does not mean that new skills and abilities are needed to perform it.


Steel Ltd ≈ Job Enrichment: Job enrichment seeks to improve both task efficiency and human satisfaction by building into people’s jobs, quite specifically, greater scope for personal achievement and recognition, more challenging and responsible work, and more opportunity for individual advancement and growth.

≈ Autonomous or Self-directed Teams: A self-directed work team is an intact group of employees who are responsible for a whole work process or segment that delivers a products or service o an internal or external customer.

≈ High-Performance Work Design: It is a means of improving performance in an environment where positive and demanding goals are set. Role of Human Resource Department The human resources department’s role in job design is usually indirect, although job design influences almost every aspect of human resources management. The department diagnoses organizational problems that suggest job redesign, incorporate information on job design in training and management development programs, and help plan job redesign programs to ensure that sound human resources policies and practices are developed. Further, the department is needed to prepare to modify job descriptions and job specifications and to modify recruitment, selection, training, compensation and other practices to be consistent with any job redesign program. RECRUITMENT In simple terms, recruitment is understood as the process of searching for and obtaining applicants for jobs, from among whom the right people can be selected. Recruitment is the process of finding qualified people and encouraging them to apply for work with the firm. Managerial Roles Responsibility for the overall recruitment process is assigned to human resources managers. They are responsible for designing and implementing a recruitment program that will meet the hotel industry’s personnel needs while complying with all legal requirements. This responsibility includes finding sources of applicants; writing and placing advertisements;


Steel Ltd contacting schools; agencies and labour unions; establishing procedures to guarantee equal employment opportunity; and administering the funds the firm has budgeted for recruitment.

Factors Governing Recruitment The given fig. represents the factors that normally affect the recruitment process. These factors add additional function to that of HR manager.

External Forces Supply & Demand Unemployment rate Labour Market Political-social Sons of soil Image

Recruitment

Internal Forces Recruitment Policy HRP Size of the firm Cost Growth & Expansion

Fig: Factors influencing recruitment Types of Recruitment In hotel industry, the types of recruitment are:



Internal Recruitment

Internal recruitment seeks applicants for positions from those who are currently employed. Internal sources include present employees, employee’s referrals, former employees, and former applicants.



External Recruitment

Finding qualified applicants from outside the organization is the most difficult part of recruitment. The success of an expanding hotel industry or one with many positions demanding specialized skills often depends on the effectiveness of the organizations recruitment program. Specifically, sources external to an organization are professional or trade associations, advertisements, employment exchanges, college/university/institute


Steel Ltd placement services, consultants, displaced persons, radio and television, acquisitions and mergers and competitors. Recruitment Process HR practices its function in each and every stages of recruitment. The process comprises five interrelated stages, viz. (i) Planning, (ii) Strategy development, (iii) Searching, (iv) Screening, and (v) Evaluation and control. The function of HR is to make the selection procedure an ideal one. The ideal recruitment programmed is the one that attracts a relatively larger number of qualified applicants who will survive the screening process and accept positions with the organization, when offered.

Personnel Planning

Job Analysis

Employee Requisition Screening

Job Vacancies

Recruitment Planning -Numbers -Types

Strategy Development -Where -How -When

Searching Activation “Selling” -Message -Media

Applican t Pool

Applicant Populatio n

Fig: Recruitment Process


Potentia l Hires

To Selection

Evaluation & Control

Steel Ltd

SELECTION Selection is a process of picking individuals (out of the pool of job applicants) with requisite qualifications and competence to fill jobs in the organization. Different hotels apply different methods and procedure for recruitment as well as selection. It basically depends on the management policies and the size of operation.

Selection Process Selection is a long process, commencing from the preliminary interview

of

the

applicants and ending with the contract of employment. Fig. shows the generalized selection process. In practice, the process differs among organizations and between two different jobs within the same organization. Selection procedure for senior managers will be long-drawn and rigorous,


Steel Ltd

External Environment

Internal Environment

Preliminary Interview R A

Selection Test

Employment Interview

R A

Physical Examination

Selection Decision

R A Reference & Background Analysis

Job Offer RA: Rejected Applicants Employment Contract

Evaluation Fig: General Selection Process


Steel Ltd

Selection Process for Managerial Department in Orchid

Pre-placement Presentation

Group Discussion

Extemporization Written Aptitude Test Preliminary Interview Psychometric Test for short listed candidates

Final Interview with senior management

Letter of Offer


Steel Ltd

ORIENTATION AND PLACEMENT Orientation Orientation is called as induction. It is the planned process of introducing new employees to their jobs, their co-workers and the organization. The main purpose of induction is to relieve the new employee from possible anxiety and make him or her feel at home on the job. These orientation programmes are carried out formally as well as individually/collectively in the Company’s. These programmes are carried from 1 weak – 2 weak. Organizational Issues •

History of employer

• • • • •

Organization of employer Names & titles of key executives Employee’s title & department Layout of physical facilities Probationary period Employee Benefits • • • •

Pay scales and pay days Vacations and holidays Rest breaks Training & education benefits

•

Product line or services provided

• • • • •

Overview of production process Company policies & rules Disciplinary regulations Employee handbook Safety procedure & enforcement

• • •

Insurance benefits Retirement programme Employer-provided services

•

employees • Rehabilitation programmes

• •

• •

To co-workers To employee counselor

• • •

Overview of job Job objectives Relationship to other jobs

Counseling Introduction To supervisor To trainers Job Duties • • •

Job location Job tasks Job safety requirements

to

Placement After orientation comes placement. Placement refers to the assignment of a new employee to his or her job. The jobs of HR are simple where the job is independent, but where the jobs are


Steel Ltd sequential or pooled, HR specialists use assessment classification model for placing newly hired employees. For example the job of placing a waiter to its position is quite simpler as compared with that of the placing the employee at managerial level. The job of placing a waiter to its position is called an independent job but the job of placing employee at managerial level can be considered as sequential or pooled job. TRAINING AND DEVELOPMENT Training and development activities are designed in order to impart specific skills, abilities and knowledge to employees. Effective training is basic ingredient of success in the hotel industry. The concept of training is endorsed my most managers in the hotel industry, yet managers often give little thought to the training function in the context of their own business or departmental responsibilities until something goes wrong! One of the main problems in hotel industry is that investment in training and development of employees is a reactive process for many companies. Frequently, training and development arises as the result of significant change in the operational environment or as a consequent of crisis such as staff turnover or major departmental problems. Training is then used to cope with the immediate difficulty. This process may be proved costly to hotel. Whereas development refers to learning opportunities designed to help employees grow and evolve a vision about the future. Here the job of HR is to identify the training need and then accordingly to design the suitable programme for that. Training within a hotel provides the best opportunity to influence the attitude and performance of employees. The training programmes include is such as introduction, fire, food hygiene, control of substances hazardous to health, manual handling first-aid, technical skills, product knowledge, and customer service. Methods and Techniques of Training A multitude of methods of training are used to train employees. Training methods are categorized into two groups and they are: 1. On-the-job training (OJT) 2. Off-the-job training

1. On-the-job training: On-the-job training is primarily learning by doing and, as such, is probably the most used and most abused approach to training. Like other form of training,


Steel Ltd OJT requires planning, structure and supervision to be effective for developing a variety of practical and customer-oriented capabilities. When done correctly, OJT is a sensible and cost effective method for training and assessing trainees’ progress in jobs such as retail sales, food and beverage operatives, and check-in and check-out positions. Some of the On-the-job methods of training are orientation training, job-instruction training, apprentice training, internships and assistantships, job rotation etc.

2. Off-the-job training: Off-the-job training allows for the development of broader and more conceptual skills while providing a practice environment in which error need not be so costly. There are three main forms of off-the-job training: In-house, External, and Independent. In-house off-the-job training may take several formats including lectures and other classroom techniques, discussions, demonstrations, case studies and role plays, and simulations. What distinguishes in-house off-the-job training from other type of off-the-job training is that in-house training is conducted away from the physical location where the job is actually carried out, but still on company premises. Like in-house off-the-job training, external off-the-job training can also take a variety of forms. Such training may be tailored to the company’s specific need or it may be offered on a more general basis; it may focus on special disciplines related to hospitality. Independent off-the-job training refers to training methods that are controlled and managed by the learner. A number of these training options which are becoming increasingly important to employees in the hotel industry are:

≈

Distance/open learning or training (may involve correspondence teaching,

use of television or radio, video-conferencing, etc.)

≈

Computer-assisted learning

≈

Interactive-video learning

≈

A combination of the above method


Steel Ltd The Training Process Assessing Training Needs

Preparing the Training Plan

Specifying Training Objectives

Designing the Training Programs

Selecting the Instructional Methods

Completing the Training Plan

Conducting the Training

Evaluating the Training

Planning Further Training


Steel Ltd

PERFORMANCE APPRAISAL Performance appraisal refers to the assessment of an employee’s actual performance, behaviour on jobs, and his or her potential for future performance. It is done generally for the purpose of assessing training needs to employee, to effect his promotions and to give him pay increase, retention or termination. Though there are different methods of performance appraisal only one method that is commonly used in this industry is Rating Scale Method. Challenges of Performance Appraisal



Create a culture of excellence that inspires every employee to improve or lend himself or

herself to be assessed.



Align organizational objectives to individual aspirations.



Clear growth paths for talented individuals.



Provide new challenges to rejuvenate careers that have reached the plateau stage.



Forge a partnership with people for managing their careers.



Empower employees to make decisions without the fear of failing.



Embed teamwork in all operational processes.



Debureaucratise the organization structure for ease of flow of information.


Steel Ltd

Performance Appraisal Process

Objectives of Performance Appraisal

Establish Job Expectations

Design an Appraisal Programme

Appraise Performance

Performance Interview

Use Appraisal Data for Appropriate Purposes Fig: Performance Appraisal Process


Steel Ltd

JOB EVALUATION Job evaluation refers to the process of determining the relative worth of each job for purpose of establishing satisfactory wage and salary differentials. Jobs are evaluated on the basis of their content and are placed in the order of their importance. In a job evaluation programme, the jobs are ranked and not the job holders. Methods of Job Evaluation

Job Evaluation

Analytical

PointRanking Method

Non-Analytical

Factor Comparison Method

Ranking Method

JobGrading Method

Fig: Methods of Job Evaluation Though there are different types of methods available but the most common method practiced in this industry is analytical method and in analytical method point ranking methods is the most appropriate one.


Steel Ltd

Process of Job Evaluation

Objectives of Job Evaluation

Job Analysis

Job Description

Job Specification

Job Evaluation Programme

Wage Survey

Employee Classification Fig: Job Evaluation Process


Steel Ltd

EMPLOYEE RELATIONS As the name suggest it is all about maintaining relationship with the employee. It includes all terms that are concerned with the employee like employee remuneration, incentives payments, employee benefits and services, employee welfare, safety and health issue, trade unions etc. Here it’s where the HR manager communicates with employee about their problems, suggestion and so on. All these steps are followed in order to retain best employee. Employee Remuneration In most of the hotels, the human resource department plays a crucial role in determining the remuneration policy of employees. For this they take into consideration all external as well as the internal factors. By this they have to deal with external factors like labour market, going rate, cost of living, labour unions, labour laws, society and the economy as well as internal factors like company’s ability to pay, job evaluation and performance appraisal and the worker himself or herself. In hotel industry both financial as well as non-financial methods of remuneration are followed. Incentives Payments It is seen that HRD are highly involved in deciding the incentives programmes. As this department is involved in deciding the remuneration programmme, they are serving as the foundations for most incentive plans. The management of these plans is collaborative. These incentives schemes are for direct workers who work in batches, as well as for indirect workers. Employee Benefits and Services The HRD has a major role in the development and management of benefits programs. These benefits are designed by HRD in order to suit the requirement of employee. And further, they are sent to the top management for approval. Thereafter they are implemented. These benefits, which are given to the employee, are both financial as well as non-financial. Some of the benefits and services, which are practiced in the hotel industry are as follows: Legally required payments

 

Old age, survivors, disability and health insurance



Worker’s compensation



Unemployment compensation Contingent and deferred benefits

 

Pension plans


Steel Ltd 

Group life insurance



Sick leave



Maternity leave Payments for time not worked

 

Vacations



Holidays



Voting pay allowances

Employee Welfare Labour welfare refers to taking care of the well being of workers by employers, trade unions, and government and non-government agencies. Recognizing the unique place of the worker in the society and doing good for him/her retaining and motivating employees, minimizing social evils, and building up the local reputation of the hotel are the arguments in favour of employee welfare. Hence this area has generated one more area for practicing of HR roles. Safety and Health Issue Since the hotel industry, is the service industry, hence the safety and health aspects of employee is concern for the organization, as employee are assets of service industry. The whole and soul responsibility of employee health and safety measures lie on the shoulder of HR department. Hence such types of measures reduce the chances of accidents. Trade unions Trade unions are voluntary organizations of employees or employers are formed to promote and protect their interests through collective action. Contrary to popular perception, unions are not meant only to organize strikes. Their presence is felt in all HR activities of an organization. Unions have political affiliations. But some hotels experience tremendous pressure from these trade unions whereas in some hotels trade unions are present for name shake only. 360 DEGREE PERFORMANCE APPRAISAL 360 degree appraisals are a powerful developmental method and quite different to traditional manager-subordinate appraisals. As such a 360 degree process does not replace the traditional one-to-one process - it augments it, and can be used as a stand-alone development method. 360 degree appraisals involve the appraisee receiving feedback from people (named or anonymous) whose views are considered helpful and relevant.


Steel Ltd 360° Feedback is a proven method of helping individuals reviews their performance through the eyes

of

their

working

colleagues.

The feedback is typically provided on a form showing job skills/abilities/attitudinal/behavioural criteria and some sort of scoring or value judgement system. The appraisee should also assess themselves using the same feedback instrument or form.

BENCHMARKING Benchmarking is the process of determining who is the very best, who sets the standard, and what that standard is. In baseball, you could argue that seven consecutive World Series Championships made the New York Yankees the benchmark. It is done to motivate people to improve toward that goal. Benchmarking is usually part of a larger effort, usually a Process Re-engineering or Quality Improvement initiative. Benchmarking is a management tool that is being applied almost anywhere. Once we decide what to benchmark, and how to measure it, the object is to figure out how the winner got to be the best and determine what we have to do to get there. FUTURE ROLE OF HUMAN RESOURCE IN STEEL INDUSTRY Service quality and productivity were the most crucial competitive issues facing these firms. When asked to different Company’s regarding strengthening competitiveness, 50 percent choose internal management actions, including educating and training employees, with publicly announcing employee policy. And all these procedure of implementing such task is over HR shoulder. To achieve a progressive, innovative culture within organization- and to cope with the critical challenges that the future might bring- human resources professionals are likely to assume certain roles with greater frequency. These roles are following:

 The Consultant Advisor Role:- In particular, the top human resources executive will increasingly play a major role in advising the CEO and the top management team about the human resources implications of broad organizational strategy, both nationally and globally. Further, the human resources department will be called upon more and more advice management at all levels about the motivational, morale and legal implications of various present and proposed practices and policies.


Steel Ltd  The Catalyst Facilitator Role:- The human resources directors have a unique opportunity to serve in a catalyst-facilitator role in stimulating a top management philosophy, leadership style and organizational culture and climate. It is important that management develops a clear view of these interrelated matters and that management is self-conscious about them on an ongoing basis. In addition, the human resources director can serve as a resource person about these concepts and their links to organizational outcomes such as effectiveness, efficiency, development and participant satisfaction.

 The Diagnostic Role:- By this, they are expected to identify the underlying causes of an organizational problem as distinct from its symptoms and to come up with solutions – or system for solving the problem- that correspond with the diagnosis. All too often, programs of various kinds, like job enrichment, incentives systems, quality circles and so on, are proposed by managers or human resources people. what is usually needed is an accurate description of the problem to be solved, a careful analysis of the dynamics of that problem, and a close look at alternative solutions and their rectifications before a program are implemented.

 The Assessment Role:- One of the most difficult roles for human resources professionals is the assessment role, in which they assess the effectiveness of various human resources practices and policies. A comprehensive evaluation of the effectiveness of various human resources policies and practices is called a human resources management audit or personnel audit. These comprehensive human resources audit may be used to analyze a wide array of human resources practices and outcomes.


Steel Ltd

CHAPTER -5 ANALYSIS AND INTERPRETATION


Steel Ltd

ANALYSIS AND INTERPRETATION The following objectives are to be analyzed and interpreted: •

To study the need and importance of HRD practices in JSW The JSW’s HRD is bifurcated into different levels as follows LEVELS

POSITION

.L-8

Trainee

L-9

Junior Manager

L-10

Manager

L-11

Senior Manager

L-12

Asst General Manager

L-13

General Manager

The above levels are done for the smooth run of the HRD and to achieve the Organizational objectives and Goals. The JSW HRD has got many Systems such as ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 75

Steel Ltd Performance appraisal system: In this System the employees with skills and efficiency are recognized and are appraised every quarter year. The performance appraisal is done in JSW using Tools like Competency Mapping and Succession Planning.

Compensation System: The company provides its employees with good compensation which includes HRA, Conveyance, CCA, DA and Other Benefits. This Helps in the boost of motivational spirits of its Employees. Employee Welfare System: The company gives good accommodation’s for its employees by providing them quarters in the JSW township ie, Vidhya Nagar. The company Conveyance Facility for its employees to travel to and from its plant. The company provides its employees with petrol allowance and car allowance. Safety System: The company takes many measures in ensuring the safety of is employees by giving them proper instructions and providing them with many safety gears. The JSW has got many development programs Such as Training and Development Program: ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 76

Steel Ltd The JSW follows training program from one day to one month or even more than one month. 1) On the job method a) Job rotation: b) Training by experienced work man: 2) Off the job training: a) Guest lecturers: b) Demonstrations: c) Computer training d)Technical training:

Management Development Program: JSW also focuses in developing its top level management with the help of MDP. MDP deals in giving effective training to its top level management and helping them to understand the organizations goals and objectives. Induction program: JSW gives induction program to its newly hired employees so as to make them know the company’s goals and objectives and also helps the new employees to set up their personal goals. The HRD practices of JSW is interpreted using General survey by using questioner’s as follows: The charts below represent the data collected using the questionnaire for measuring the HRD practices of JSW. RECRUITMENT Options provided

Response

Percentage


Steel Ltd YES NO NA Total

47 0 3 50

94 0 6 100

Source: Survey By the above data it clears that 94 % of the employees say that the company has got rehiring policy. It reveals that the company has got good rehiring policies. It prefers the left out employees because of economic melt down.

Options provided YES NO NA Total

Response 35 14 1 50

Percentage 70 28 2 100


Steel Ltd

Source: Field Survey By the above data it clear that 70 % of the employees say that the company has job rotation policy. It reveals that the company has got good job rotation policy and it also help the employee to gain multiple job knowledge and job handling capacity.


Response 42 7 1 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 84 % of the employees say that the company has referral scheme.

•

Inferences:

•

It reveals that the company has got referral scheme that means fresher can take the reference of any other existing employee to get placed.

PERFORMANCE APPRAISAL Options provided YES NO NA Total

Response 38 12 0 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 76 % of the employees say that the company awards for performance.

•

Inferences:

•

It reveals that the company has got an effective performance appraisal system.

Options provided EVERY 3 MONTH HALY YEAR YEARLY Total

Response 11 22 17 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 44 % of the employees say that the frequency of the performance appraisal cycle is half year.

•

Inferences:

•

It reveals that the company has got good performance appraisal cycle. Company goes for appraisal in every one month.

Options provided YES NO NA

Response 26 21 3

Percentage 52 42 6


Steel Ltd Total

50

100

Source: Survey •

Interpretation:

•

By the above data it clears that 70 % of the employees say that the company has variable pay policy.

•

Inferences:

•

It reveals that the company has got variable pay policy and it helps to increase the overall pay of the employee.

VEHICLE POLICY Options provided YES NO NA

Response 44 6 0

Percentage 88 12 0


Steel Ltd Total

50

100

Source: Survey •

Interpretation:

•

By the above data it clears that 70 % of the employees say that the company has vehicle owning policy.

•

Inferences:

•

It reveals that the company has got good vehicle policy. LEAVE POLICY

Options provided CASUAL LEAVE SICK LEAVE PRIVILAGE LEAVE ALL OF THESE Total

Response 3 2 4 41 50

Percentage 6 4 8 82 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 82 % of the employees say that the company has all the leave policies i.e. casual leave, sick leave, privilege leave.

•

Inferences:

•

It reveals that the company has got effective leave policy. RETENTION


Response 34 15 1 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 68 % of the employees say that the company has got retention programs.

•

Inferences:

•

It reveals that the company has got good retention policy.


Response 16 32 2 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 64 % of the employees say that the company does not provide any retention bonus.

•

Inferences:

•

It reveals that the company does not provide retention bonus.

TRAINING & DEVELOPMENT Options provided YES NO NA

Response 46 2 2

Percentage 92 4 4


Steel Ltd Total

50

100

Source: Survey •

Interpretation:

•

By the above data it clears that 92 % of the employees say that the company has full fledged T&D dept.

•

Inferences:

•

It reveals that the company has got effective T&D dept.

Options provided FULLY PARTIALLY NIL Total




Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 58 % of the employees say that their training needs are met.

•

Inferences:

•

It reveals that the company has provided good and effective T&D program and ensures that all the requirements of employees are met.


Response 37 11 2 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 74 % of the employees say that they are nominated for external programs

•

Inferences:

•

It reveals that the company allows its employees to take external training programs if required.

TRAVEL POLICY Options provided YES NO NA Total

Response 37 12 1 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 74 % of the employees say that the company has travel rules applicable to different grades.

•

Inferences:

•

It reveals that the company has got good travel policy.

HIGHER EDUCATION Options provided YES NO NA Total




Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 46 % of the employees say that the company sponsors for higher educations.

•

Inferences:

•

It reveals that the company sponsors for higher education for higher grades.


Response 4 41 5 50



Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it clears that 82 % of the employees say that the company does not sponsor for freshers.

•

Inferences:

•

It reveals that the company does not sponsor for all grades.

From the above charts we can clearly interpret the effective practices followed by JSW’s HRD. So we can say that JSW’s HRD has good systems and policies. •

TO STUDY THE EFFECTIVENESS OF JOB SATISFACTION IN JSW.

Scale 1 2 3 4 5 Total

Response 7 5 11 17 10 50

Percentage 14 10 22 34 20 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 35% employee get enough facilities to carry out their job.

•

Inferences:

•

It reveals that the company provides good job facilities.


Response 4 3 18 10 15 50

Percentage 8 6 36 20 30 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 35% employee believe that the company provides good working atmosphere.

•

Inferences:

•

It reveals that the company provides good eork environment.


Response 6 4 19 16 5 50

Percentage 12 8 38 32 10 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 37% employee get enough freedom to carry out their job.

•

Inferences:

•

It reveals that the company provides freedom to carry out job efficiently.


Response 3 2 15 19 11 50

Percentage 6 4 30 38 22 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 36% employee expect there appraisal by others.

•

Inferences:

•

It reveals that the company determines the job to be carried out by the employee.


Response 7 9 10 10 14 50

Percentage 14 18 20 20 28 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 25% employees believe that they get good response from their seniors to whom they have to report.

•

Inferences:

•

It reveals that the company maintains good employee-employer relationship.


Response 12 3 11 19 5 50

Percentage 24 6 22 38 10 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 37% employees believe that they get good encouragement from there seniors.

•

Inferences:

•

It reveals that the company provides good recognition system.


Response 8 1 11 12 18 50

Percentage 16 2 22 24 36 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 35% employees believe that there opinions are taken into consideration.

•

Inferences: It reveals that the company provides good participation system.


Response 9 13 16 7 5 50

Percentage 18 26 32 14 10 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 31% employees believe that there work is an important part for achieving company’s vision.

•

Inferences: It reveals that the employees are aware of the vision statement.


Response 7 6 11 17 9 50

Percentage 14 12 22 34 18 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 37% employees agree that they had enough opportunity to learn and grow in the work field.

•

Inferences: It reveals that the company provides good scope to increase there knowledge.


Response 7 6 12 14 11 50

Percentage 14 12 24 28 22 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 27% employees agree that best people in there profession are ready to join their organization.

•

Inferences: It reveals that the company has developed good brand image.


Response 10 6 16 15 3 50

Percentage 20 12 32 30 6 100


Steel Ltd

Source: Survey •

Interpretation:

•

By the above data it is clear that 30% employees agree that they are informed about the activities of the organization.

•

Inferences: It reveals that the company informs about its activities.

•

TO EVALUATE EFFECTIVENESS OF PARTICIPATIVE MANAGEMENT IN JSW.

•

EMPLOYEE SATISFACTION ON THE WORKING OF PF

Options provided Yes No NA

Response 37 10 03

Percentage 74 20 6


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 74 % of the employees are satisfied of the working of the participative forum in the company. And the 20 % of the employees are not satisfied of the participative forum in the company.

•

Inferences:

•

It reveals the information that maximum number of employees are aware of the participative forum in the company 2. WORKING OF PF ENHANCES EFFICIENCY AND PRODUCTIVITY OF PLANT

•


Response 21 19 10

Percentage 42 38 20


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 42 % of the employees are satisfied of the working of the participative forum in the company that enhances efficiency and productivity. And the 38 % of the employees are not satisfied of the participative forum in the company.

•

Inferences:

•

It reveals the information that maximum number of employees are aware of the participative forum that helps to increase the productivity of the company 3. PF ENSURES PROPER FLOW OF TWO -WAY COMMUNICATION

•


Response 34 12 04

Percentage 68 24 8


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 68 % of the employees agree that there will be proper flow of communication in the company. And the 24 % of the employees are does not agree.

•

Inferences:

•

It reveals the information that there will be free flow of communication in the participative forum.

•

4. EMPLOYEE SATISFACTION TOWARDS HEALTH, WELFARE AND SAFETY


Response 39 09 02

Percentage 78 18 04


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 78 % of the employees are satisfied with the company’s health, safety and welfare measures. And the 18 % of the employees are not satisfied.

•

Inferences:

•

It ensures that the company is following fair health, safety and welfare measures.

•

5. DOES PF HELP TO INCREASE MOTIVATION AND COMMITMENT OF EMPLOYEE


Response 43 06 01

Percentage 86 12 02


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 86 % of the employees agree that they get motivated and show commitment because of participative forum. And the 12 % of the employees are not satisfied.

•

Inferences:

•

It reveals that company has placed emphasis on employee motivation and commitment in order to achieve their goals.

•

6. EFFECT OF PF ON EMPLOYE-EMPLOYER RELATIONSHIP


Response 44 04 02

Percentage 88 08 04


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 88 % of the employees agree that there is good employee-employer relationship in the company because of participative forum. And the 08 % of the employees does not agree with the same.

•

Inferences:

•

It ensures that the company is building proper employee-employer relationship in the company with the help of participative forum.

•

7. EFFECT OF PF ON COST REDUCTION, PRODUCTIVITY AND SAFETY


Response 37 13 00

Percentage 74 26 00


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 74 % of the employees agree that the company can achieve cost reduction and increase the productivity through group work. And the 26 % of the employees does not agree with the same.

•

Inferences:

•

It reveals that the company can achieve higher growth rate and productivity if they concentrate on the participative forum.

•

8. EMPLOYEE SATISFACTION ON THE LEVEL OF ATTENDANCE IN PF


Response 27 18 05

Percentage 54 36 10


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 54 % of the employees agree that they participative in the meetings. And the 36 % of the employees are not agreed.

•

Inferences:

•

It reveals the amount of interest that the company takes in order to make their employees participate in decision making

•

9. EMPLOYEE SATISFACTION ON ISSUES DISCUSSED DURING PF MEETING


Response 33 11 06

Percentage 66 22 12


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 66 % of the employees are satisfied with the issues discussed in the meeting and their implementation. And the 22 % of the employees are not satisfied.

•

Inferences:

•

It reveals that the issues discussed in the meetings are taken into consideration in order to motivate the employees.

•

10. EMPLOYEE SATISFACTION TOWARDS THE INVOLVEMENT OF TEAM MEMBERS IN MEETING


Response 41 06 03

Percentage 82 12 6


Steel Ltd

•

Source: Survey

•

Interpretation:

•

By the above data it is clear that 82 % of the employees are satisfied of the working of teams and the involvement of members in the teams. And the 12 % of the employees are not satisfied.

•

Inferences:

•

It ensures that company allows for proper team formation and active participation of employees.

•

11. VOLUNTARY SELECTION OF PARTICIPATION MANAGEMENT FORUM

Options provided

Response

Percentage

SMS-1

1

2

SMS-2

3

6

BP-1

2

4


Steel Ltd

BP-2

2

4

HSM

4

8

HRD

8

16

CRM

4

8

CMC

5

10

SAFETY

6

12

BOS

5

10

COREX PLANT

3

8

SP

2

4

PP

4

8


Steel Ltd

Source: Survey Interpretation: • By the above data it clears that 16 % of the employees are satisfied of their work in the HRD department and others are scattered among remaining departments. •

Inferences:

•

It reveals that employees are interested in participative forum and are believers of group decision making.


Steel Ltd

FINDINGS OF THE PROJECT  The Training programs given in the company was almost satisfied by all the employees.  Employees are not aware of all the appraisal techniques or decisions taken towards the effectiveness of the employees.  The response of the employees for the suggestions is good and they are very co operative.  JSW is a highly focused on human resources initiative. An employee is given ample opportunities to learn and grow.  The safety and health measures of the employees are ensured by maintaining safe processes, carrying out safe practices, providing a safe environment. They provide proper training, issuing operation and inculcating safety awareness measures.  From the analysis and interpretation of the data we can find that participative management is industrial democracy and authority to involve in organization decision making.  JSW is union free organization so there will be no conflicts while forming the group in order to take group decisions.  The company has good employee retention techniques.


Steel Ltd

 The company provides better involvement of employee in decision making and ensures job satisfaction.  All the HRD policies followed by the company are in employees favor and it has given good opportunity to improve employee and keep up his morale.

SUGGESTION S OF THE PROJECT  Feedback should be immediately given so that the employees come to know the status of their performance.

 The importance of the Participative forum should be explained to all the employees so that they take keen interest in the process.  The company must place emphasis on worker’s education scheme in order to motivate them to take effective participation in group discussions.  Organization must allow free flow of communication between different levels of management.  Training Effective Sheet should be sent to all trainees before the training is conducted. So that they can measure their knowledge and understand the parameters before training program is conducted.


Steel Ltd

 Training in advanced technical areas along with practical knowledge has not been forthcoming. There is' a need to update and redesign the content of the training programs as per the requirement of the job.  The company must concentrate more on the welfare and safety measures of the employee and fulfill their basic needs.

 The company must give good working environment and must assign right person with right job.

 Employee satisfaction must be of higher importance.

 Company must adopt all the new techniques to appraise the performance of the employee and find the level of their competencies.


Steel Ltd

CONCLUSION JSW under the leadership of Mr. Sajjan Jindal has shown tremendous improvements and has secured third place among the largest Steel makers after SAIL and T ATA Steel. JSW has created significant reputation from customers as well as public. They always believe in innovating new things, taking challenge, making changes and also believe that they are the future for steel and hence their caption is "we innovate the future".

In the field of HRM it is obvious that the management tends to develop the potential of the employees towards the desired goals of the' organization. While carrying out this process, the management should focus its attention mainly on HRD policies and practices. With the advent of advancement in technology and infrastructure in industries the top management must aim at conducting HRD programs at all levels in order to equip their employees with the required potential towards desired goals and target of the organization. And also concentration should be given on measuring Training effectiveness and adopt sophisticated techniques to identify the needs of HRD which helps in knowing employees requirements for their self development as well as organization development.


Steel Ltd

QUESTIONNAIRE TO STUDY BEST HR PRACTICES I, Anand. C, MBA student of AKIM, Bellary I am conducting a survey to study the Best HR Practices in JSW. It would be of great help if you could fill in the following questionnaire. Q. RECRUITMENT 1. Do you have a rehiring policy? a) YES

b) NO

2. Do you have a job rotation policy? a) YES

b) NO

3. Does the company have a referral scheme? a) YES

b) NO

Q. PERFORMANCE APPRAISAL 1. Are there any performance awards? a) YES

b) NO

2What is the frequency of the performance appraisal cycle? a) EVERY 3 MONTHS b) HALF YEAR c) YEARLY 3. Do you have a variable pay policy? a) YES

b) NO.


Steel Ltd

Q. VEHICLE POLICY: 1. Does your company has vehicle owning policy? a) YES

b) NO

Q. LEAVE POLICY: 1. Does your company has which of the following leave policies? a) Casual Leave: b) Sick Leave: c) Privileged Leaves: d) All of these Q. RETENTION 1.Is there any retention programs in the company? a) YES

b) NO

2. Does the company provide any retention bonus? a) YES

b) NO

Q. TRAINING & DEVELOPMENT: 1. Is there a full fledged T&D dept in your company? a) YES

b) NO

2. To what extent are your training needs met ? a) FULLY

b) PARTIALLY

c) NIL

3. Are your employees nominated for external programs? ALLUM KARIBASAPPA INSTITUTE OF MANAGEMENT 122

Steel Ltd

a) YES

b) NO

Q. TRAVEL POLICY: 1. Does your company have travel rules applicable to different grades? a) YES

b) NO

Q. HIGHER EDUCATION 1. Does your company sponsor for higher education? a) YES

b) NO

2. Does your company sponsor for fresher’s? a) YES

b) NO


Steel Ltd

QUESTIONNAIRE ON JOB SATISFACTION Q1.

I am provided adequate facilities to do my job.

Q2.

I believe that the work atmosphere is friendly.

Q3.

I am given adequate freedom to do my job efficiently.

Q4.

I know what is expected of me at work.

Q5.

I am kept informed about the activities that go on in my organization

Q6.

I have had opportunities at work to learn and grow.

Q7.

My superior, that is the person I report to seems to care about me as a person.

Q8.

At work, my opinion seems to count.

Q9.

The best people in my profession are keen to work with my organization.

Q10.

The purpose of my company makes me feel that my job is important.

Q11.

My superior encourages my development.


Steel Ltd

QUESTIONNAIRE FOR MEASURING THE EFFECTIVENESS OF THE PARTICIPATIVE FORUM 1. Are you satisfied with the functioning of participative forum in jsw? YES

NO

NA

2. Does the functioning of participative forum enhances the efficiency of the employee and the productivity of the plant? YES

NO

NA

3. .Does the participative forum ensure the proper flow of two-way communication between the management and the employee? YES

NO

NA

4.Are you satisfied with the general health, welfare, safety measures taken for employees? YES

NO

NA

5. Does participative forum helps to increase the efficiency of accommodation, motivation and commitment to employees? YES

NO

NA

6. Has participative forum built up the better employer-employee relationship in the jsw? YES

NO

NA

7. As the company emphasis on productivity, cost reduction and safety. Does the participative forum laid emphasis on these factors? YES

NO

NA


Steel Ltd

8. .Are you satisfied with the level of attendance in the meetings of participative forum? YES

NO

NA

9. Are you satisfied with the issues discussed during the meetings of participative forum meet? YES

NO

NA

10. Are you satisfied with the involvement of team members in the meetings? YES

NO

NA

11. If you have a opportunity, in which of the participative forum would you like to be nominated? SMS-I

SMS-II

BP I

BP-II

HSM

HRD

CMC

BOS

SAFETY

CRM

PP

SP

CP

Any Suggestions: ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


Steel Ltd

BIBLIOGRAPHY Books: Human resource development By SUBBA RAO Human resource development By ASHWATAPPA

Journals: Jindal's Induction Manual. Annual Company policy of JSW Websites: www.jswindia.com www.google.com


Steel Ltd


hrd at jsw

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