A Summer Internship Report On Employee welfare of ITC (Saharanpur) Submitted in partial fulfillment for Master OF Business Administrator From

Graphic Era University Dehradun.

Submitted to: Mrs. Punita MBA

Submitted by: Rupali Singh

Graphic Era University (56 Bell Road Clement Town ) Dehradun

ACKNOWLEDGMENT

I would like to thank my project guide Mrs.Punita, H.R Manager ITC, Saharanpur, U.P for guiding me through my summer internship and research project. Her encouragement, time and effort are greatly appreciated.

I would like to thank my faculty guide Miss. Shilpi Mittal for supporting me during this project and providing me an opportunity to learn outside the class room. It was a truly wonderful learning experience.

I would like to dedicate this project to my parents. Without their help and constant support this project would not have been possible.

TABLE OF CONTENT

Title

I.

DECLARATION BY STUDENTS

II. CERTIFICATE BY GUIDE III. ACKNOWLEDLEMENT BY STUDENTS IV. EXECUTIVE SUMMARY 1. INTRODUCTION 2. COMPANY PROFILE 3. INTRODUCTION OF ITC SAHARANPUR 4. INTRODUCTION OF EMPLOYEE SATISFACTION 5. RESEARCH METHODOLOGY 6. DATA ANALYSIS 7. CONCLUSION, SUGGESTION,LIMITATION 8. BIBLOGRAPHY 9. QUESTIONNAIR

DECLARATION

I hereby declare that the project report entitled Employee welfare of ITC ,Saharanpur , UP submitted for the Degree of Master Of Business Administration, is my original work and the project report has not formed the basis for the award of any degree , diploma ,associate ship ,fellowship or similar other titled. It has not been submitted to any other University or institution for the award of degree or diploma.

(Signature of student) Name of student

EXECUTIVE SUMMARY

The word Project has a great importance value in the development of the new things that is idea or technique. The importance becomes specific for the academic purpose as well as when the study is about management then it becomes more specific. Each single alphabet of the word (letter, single sentence represents the phase of management)

P- Implies Planning it gives the framework of future, and it is a predetermined procedure of the specific future work. R- Implies Resources or the available means which will go ahead as Recourses have their own role in the development of any organization. O- J- Implies Joint Efforts which directly indicates towards coordination or the actual team work. E- Implies Effectiveness that is every aspect of project should be effective C- Implies to Collect that is to bring together all the relevant matter, document, information etc, which are quite necessary to make any project more effective T- Implies techniques that a new or development technique is usual adopted.

CHAPTER: 1 INTRODUCTION.

INTRODUCTION
Employee welfare is one of the very important aspects in todays industrial scenario. Wide and big brand industries also take care of various employee welfare screams so that employee satisfaction increases and employees dedication towards their work also increases .The Company strives to ensure its employees total well beings and not just their occupational welfare. It achieves this by contributing to every facet of an employees life- carrier, family, health and safety are the top priorities for the organization that is widely accredited and lauded for the setting standard in the work environment,occupation, health and safety related matter. Its list of accolades include on IS14001 certification, the national energy conservation award and the environmental champion award.

ITC

HISTIORY AND EVOLUTION

ITC was incorporated on August 24, 1910 under the name Imperial Tobacco Company of India Limited. As the Company's ownership progressively Indianite, the name of the Company was changed from Imperial Tobacco Company of India Limited to India Tobacco Company Limited in 1970 and then to I.T.C. Limited in 1974. In recognition of the Company's multibusiness portfolio encompassing a wide range of businesses - Fast Moving Consumer Goods comprising Foods, Personal Care, Cigarettes and Cigars,

Branded Apparel, Education and Stationery Products, Incense Sticks and Safety Matches, Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business and Information Technology - the full stops in the Company's name were removed effective September 18, 2001. The Company now stands rechristened 'ITC Limited'. The Company's beginnings were humble. A leased office on Radha Bazar Lane, Kolkata, was the centre of the Company's existence. The Company celebrated its 16th birthday on August 24, 1926, by purchasing the plot of land situated at 37, Chowringhee, (now renamed J.L. Nehru Road) Kolkata, for the sum of Rs 310,000. This decision of the Company was historic in more ways than one. It was to mark the beginning of a long and eventful journey into India's future. The Company's headquarter building, 'Virginia House', which came up on that plot of land two years later, would go on to become one of Kolkata's most venerated landmarks. Though the first six decades of the Company's existence were primarily devoted to the growth and consolidation of the Cigarettes and Leaf Tobacco businesses, the Seventies witnessed the beginnings of a corporate transformation that would usher in momentous changes in the life of the Company. ITC's Packaging & Printing Business was set up in 1925 as a strategic backward integration for ITC's Cigarettes business. It is today India's most sophisticated packaging house.

In 1975, the Company launched its Hotels business with the acquisition of a hotel in Chennai which was rechristened 'ITC-Welcomgroup Hotel Chola' (now renamed My Fortune, Chennai). The objective of ITC's entry into the hotels business was rooted in the concept of creating value for the nation. ITC chose the Hotels business for its potential to earn high levels of foreign exchange, create tourism infrastructure and generate large scale direct and indirect employment. Since then ITC's Hotels business has grown to occupy a position of leadership, with over 100 owned and managed properties spread across India under four brands namely, ITC Hotels - Luxury Collection, WelcomHotels, Fortune Hotels and WelcomHeritage. In 1979, ITC entered the Paperboards business by promoting ITC Bhadrachalam Paperboards Limited. Bhadrachalam Paperboards

amalgamated with the Company effective March 13, 2002 and became a Division of the Company, Bhadrachalam Paperboards Division. In November 2002, this division merged with the Company's Tribeni Tissues Division to form the Paperboards & Specialty Papers Division. ITC's paperboards' technology, productivity, quality and manufacturing processes are

comparable to the best in the world. It has also made an immense contribution to the development of Sarapaka, an economically backward area in the state of Andhra Pradesh. It is directly involved in education, environmental protection and community development. In 2004, ITC acquired the paperboard manufacturing facility of BILT Industrial Packaging Co. Ltd (BIPCO), near Coimbatore, Tamil Nadu. The Kovai Unit allows ITC

to improve customer service with reduced lead time and a wider product range. In 1985, ITC set up Surya Tobacco Co. in Nepal as an Indo-Nepal and British joint venture. In August 2002, Surya Tobacco became a subsidiary of ITC Limited and its name was changed to Surya Nepal Private Limited (Surya Nepal). In 2004, the company diversified into manufacturing and exports of garments. In 1990, ITC acquired Tribeni Tissues Limited, a Specialty paper manufacturing company and a major supplier of tissue paper to the cigarette industry. The merged entity was named the Tribeni TissuesDivision (TTD). To harness strategic and operational synergies, TTD was merged with the Bhadrachalam Paperboards Division to form the Paperboards & Specialty Papers Division in November 2002. Also in 1990, leveraging its agri-sourcing competency, ITC set up the Agri Business Division for export of agri-commodities. The Division is today one of India's largest exporters. ITC's unique and now widely acknowledged eChou pal initiative began in 2000 with soya farmers in Madhya Pradesh. Now it extends to 10 states covering over 4 million farmers. Also, through the 'Chou palPradarshanKhet' initiative, the agri services vertical has been focusing on improving productivity of crops while deepening relationship with the farming community.

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ITC launched line of premium range of notebooks under brand Paperkraft in 2002. To augment its offering and to reach a wider student population, the Classmate range of notebooks was launched in 2003. Classmate over the years has grown to become India's largest notebook brand and has also increased its portfolio to occupy a greater share of the school bag. Years 2007- 2009 saw the launch of Practical Books, Drawing Books, Geometry Boxes, Pens and Pencils under the 'Classmate' brand. In 2008, ITC positioned the business as the Education and Stationery Products Business and launched India's first environment friendly premium business paper under the 'Paperkraft' Brand. 'Paperkraft' offers a diverse portfolio in the premium executive stationery and office consumables segment. In 2010, Colour Crew was launched as a new brand of art stationery. ITC also entered the Lifestyle retailing business with the Wills Sport range of international quality relaxed wear for men and women in 2000. The Wills Lifestyle chain of exclusive stores later expanded its range to include Wills Classic formal wear (2002) and Wills Club life evening wear (2003). ITC also initiated a foray into the popular segment with its men's wear brand, John Players, in 2002. In 2006, Wills Lifestyle became title partner of the country's most premier fashion event - Wills Lifestyle India Fashion Week - that has gained recognition from buyers and retailers as the single largest B2-B platform for the Fashion Design industry. To mark the occasion, ITC launched a special 'Wills Signature', taking the event forward to consumers. In 2000, ITC spun off its information technology business into a wholly owned subsidiary, ITC InfoTech India Limited, to more aggressively
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pursue emerging opportunities in this area. Today ITC InfoTech is one of India's fastest growing global IT and IT-enabled services companies and has established itself as a key player in offshore outsourcing, providing outsourced IT solutions and services to leading global customers across key focus verticals - Banking Financial Services & Insurance (BFSI), Consumer Packaged Goods (CPG), Retail, Manufacturing, Engineering Services, Media & Entertainment, Travel, Hospitality, Life Sciences and Transportation & Logistics. ITC's foray into the Foods business is an outstanding example of successfully blending multiple internal competencies to create a new driver of business growth. It began in August 2001 with the introduction of 'Kitchens of India' ready-to-eat Indian gourmet dishes. In 2002, ITC entered the confectionery and staples segments with the launch of the brands mint-o and Candy Man confectionery and AashirvaadAtta (wheat flour). 2003 witnessed the introduction of Sun feast as the Company entered the biscuits segment. ITC entered the fast growing branded snacks category with Bingo!In 2007. In 2010, ITC launched Sun feast Yippee! To enter the Indian instant noodles market. In just over a decade, the Foods business has grown to a significant size under seven distinctive brands, with an enviable distribution reach, a rapidly growing market share and a solid market standing. In 2002, ITC's philosophy of contributing to enhancing the competitiveness of the entire value chain found yet another expression in the Safety Matches initiative. ITC now markets popular safety matches brands like iKno, Mangaldeep and Aim.
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ITC's foray into the marketing of Agarbattis (incense sticks) in 2003 marked the manifestation of its partnership with the cottage

sector.Mangaldeepis a highly established national brand and is available across a range of fragrances like Rose, Jasmine, Bouquet, Sandalwood, Madhur, Sambrani and Nagchampa. ITC entered the Personal Care Business in 2005. In seven years, the Personal Care portfolio has grown under 'Essenza Di Wills', 'Fiama Di Wills', 'Vivel' and 'Superia' brands which have received encouraging consumer response and are also being progressively extended nationally. In 2010, ITC launched its hand rolled cigar, Armenteros, in the Indian market. Armenteros cigars are available exclusively at tobacco selling outlets in select hotels, fine dining restaurants and exclusive clubs.

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RESEARCH OBJECTIVE
OBJECTIVE OF THE STUDY
The major objective of the study is to find out the level of employee welfare provided in ITC through welfare schemes.

SCOPE OF STUDY
The satisfaction level of the employee will help to identify whether the welfare measures provided by the company are sufficient enough to increase productivity, raise standards of its employees. If the employee is not satisfied there is a scope of what are the various welfare measures that can be implemented in the company.

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CHAPTER: 2 COMPANY PROFILE

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COMPANY PROFILE
ITC is one of India's foremost private sector companies with a market capitalization of nearly US $ 14 billion and a turnover of over US $ 5 billion.* ITC is rated among the World's Best Big Companies, Asia's 'Fab 50' and the World's Most Reputable Companies by Forbes magazine, among India's Most Respected Companies by Business World and among India's Most Valuable Companies by Business Today. ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG products. While ITC is an outstanding market leader in its traditional businesses of Cigarettes, Hotels, Paperboards, Packaging and Agri-Exports, it is rapidly gaining market share even in its nascent businesses of Packaged Foods & Confectionery, Branded Apparel, Personal Care and Stationery. ITC's diversified status originates from its corporate strategy aimed at creating multiple drivers of growth anchored on its time-tested core competencies: unmatched distribution reach, superior brand-building capabilities, effective supply chain management and acknowledged service skills in hoteliering. Over time, the strategic forays into new businesses are expected to garner a significant share of these emerging high-growth markets in India.

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ITC's Agri-Business is one of India's largest exporters of agricultural products. ITC is one of the country's biggest foreign exchange earners (US $ 3.2 billion in the last decade). The Company's 'e-Chou pal' initiative is enabling Indian agriculture significantly enhance its competitiveness by empowering Indian farmers through the power of the Internet. This transformational strategy, which has already become the subject matter of a case study at Harvard Business School, is expected to progressively create for ITC a huge rural distribution infrastructure, significantly enhancing the Company's marketing reach. ITC's wholly owned Information Technology subsidiary, ITC InfoTech India Limited, is aggressively pursuing emerging opportunities in providing end-toend IT solutions, including e-enabled services and business process outsourcing. ITC's production facilities and hotels have won numerous national and international awards for quality, productivity, safety and environment management systems. ITC was the first company in India to voluntarily seek a corporate governance rating. ITC employs over 25,000 people at more than 60 locations across India. The Company continuously endeavors to enhance its wealth generating capabilities in a globalizing environment to consistently reward more than 3, 72, 000 shareholders, fulfill the aspirations of its stakeholders and meet societal expectations. This over-arching vision of the company is expressively captured in its corporate positioning statement:

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"Enduring Value.For the nation, for the Shareholder."

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CHAPTER: 3 INTRODUCTION OF ITC SAHARANPUR.

19

ITC SAHARANPUR
ITC is one of the most successful corporate in the recent times. Its consistent performance and alignment towards social needs has taken it a long way since its inception. ITC Saharanpur is the second largest cigarette factory of ITC Limited after Bangalore factory and production facility of almost all the major brands in ITCs portfolio. ITC Saharanpur is a 77 year old establishment which manufacturers processed Leaf tobacco and Packed Cigarettes. The products are shipped to all parts of the country. The factory has been through a series of modernization process in the recent past with induction of new generation technologies. The factory as it stands today is a state of the art facility catering to the needs of the consumer. In line with the companys policy the unit has a robust resource conservation orientation which is embedded into the design as well as management philosophy. ITC is the market leader in cigarettes in India. With its wide range of invaluable brands, ITC has a leadership position in every segment of the market. ITCs highly popular portfolio of brands includes Insignia, India Kings, Lucky Strike, Classic, Gold Flake, Navy Cut, Players, Scissors, Capstan, Berkeley, Bristol, Flake, Silk Cut, Duke & Royal.

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The Company has been able to consolidate its leadership position with single minded focus on continuous value creation for consumers through significant investments in creating & bringing to market innovative product designs, maintaining consistent & superior quality, stateof-the-art manufacturing technology, & superior marketing and distribution. With consumers & consumer insights driving strategy, ITC has been able to fortify market standing in the long-term, by developing & delivering contemporary offers relevant to the changing attitudes & aspirations of the constantly evolving consumer. ITC's pursuit of international competitiveness is reflected in its initiatives in overseas markets. In the extremely competitive US market, ITC offers highquality, value-priced cigarettes and Roll-your-own solutions. In West Asia, ITC has become a key player in the GCC markets through its export operations. ITC's cigarettes are manufactured in state-of-the-art factories at Bengaluru, Munger, Saharanpur, Kolkata and Pune, with cutting-edge technology & excellent work practices benchmarked to the best globally. An efficient supply-chain & distribution network reaches India's popular brands across the length & breadth of the country.

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ITCS MARKET STRATEGIESARE: Create multiple drivers of growth by developing a portfolio of world class businesses that best matches organizational capability with opportunities in domestic and export markets. Continue to focus on the chosen portfolio of FMCG, Hotels, Paper, Paperboards & Packaging, Agri Business and Information Technology. Benchmark the health of each business comprehensively across the criteria of Market Standing, Profitability and Internal Vitality. Ensure that each of its businesses is world class and internationally competitive. Enhance the competitive power of the portfolio through synergies derived by blending the diverse skills and capabilities residing in ITC are various businesses. Create distributed leadership within the organization by nurturing talented and focused top management teams for each of the businesses. Continuously strengthen and refine Corporate Governance processes and systems to catalyze the entrepreneurial energies of management by striking the golden balance between executive freedom and the need for effective control and accountability.

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ITC VISION:
Sustain ITC's position as one of India's most valuable corporations through world class performance, creating growing value for the Indian economy and the Companys stakeholders.

ITC MISION:
To enhance the wealth generating capability of the enterprise in a globalizing environment, delivering superior and sustainable

stakeholder value.

AWARDS AND ACCOLADES:

Rotary International honoured

Chairman Y C Deveshwar with the title "Jewel of India" for

demonstrating exemplary leadership

ITC's

Paperboards

Units

at

Bhadrachalam, Bollaram, Kovai and Tribeni are now FSC Chain of Custody certified

The SmartWood Program of the

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Rainforest Alliance has awarded ITC's Unit at Bhadrachalam, the Forest Stewardship Council Forest Management certification

ITC's Units at Bollaram and Tribeni were honoured with the British Safety Council's Sword of Honour

The Units at Bhadrachalam and Kovai received the Globe of Honour from the British Safety Council for Excellence Performance in Environmental

ITC Green Centre re-certified LEED Platinum with the highest ratings by US Green Building Council

ITC's Corporate Communications received 6 national awards from the Public Relations Society of India

Wills Lifestyle products have been

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granted the OEKO-TEX Standard 100 certification by Hohenstein

Textile Testing Institute

ITC's Saharanpur Unit received the Platinum rated Green Factory Award from the Indian Green Building Council 2011

ITC's Agri Business Division has won the FICCI Food 360 Award in recognition of ITC's contribution to the entire Food Value Chain

ITC's factory in Bengaluru was awarded Platinum Rating with the highest score by the Indian Green Building Council in 2011

ITC's

Bengaluru

factory

was

awarded the 2nd prize for Energy Conservation Renewable by Energy the Karnataka

Development

Limited in association with the

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Energy Department, Government of Karnataka

ITCs factory in Bengaluru won the CII National Award for Excellence in Water Management ITCs factories in Munger, Bengaluru, Saharanpur and Kolkata were presented the ROSPA Occupational Health and Safety Award

The Paperboards Unit in Kovai was conferred the CII National Award for Excellence in Water Management 2011 ITCs Unit at Bhadrachalam received the Excellent Energy Efficient Award from CII at the National Awards for Excellence in Energy Management 2011 ITC Hotels was awarded the Most Trusted Hotel brand in the Public Choice Honours category at the Times Travel Honours 2011

Bukhara, Dum Pukht and Dakshin were the only 3 Indian brands that were awarded among the TOP 20 Restaurants of Asia by the Miele Asia, Singapore

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ITC Units at Chirala, Anaparti, Kovai and Munger bagged the British Safety Councils International Safety Award

The Green Leaf Redrying Plant at Anaparti was awarded the title Excellent Water Efficient Unit by CII ITCs Unit at Kolkata was conferred the Water Efficient Unit for the second consecutive year by CII at the 8th National Awards for Excellence in Water Management, 2011

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CHAPTER: 4 INTRODUCTION OF EMPLOYEE WELFARE

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INTRODUCTION

EMPLOYEE WELFARE
Employeewelfare activities benefit not only the workers but also the

management in term of greater industrial efficiency

PRINCIPLES OF EMPLOYEE WELFARE

Certain fundamental considerations are involved in the concept of labour welfare. The following are the more important among them:

SOCIAL RESPONSIBILITY OF INDUSTRY

This principle is based on the social conception of industry and its role in the society that is, the understanding that social responsibility of the state is manifested through industry. Industry is expected to win the co-operation of the workers, provide them security of employment, fair wage, and equal opportunity for personal growth and advancement, and make welfare facilities available to them.

DEMOCRATIC VALUES
The principle of democratic values of labour welfare concedes that workers may have certain unmet needs, that industry has an obligation to render them help in gratifying those needs, and that workers have a right of determining

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the manner in which these needs can be met and of participating in the administration of the mechanism of need gratification.

ADEQUACY OF WAGES
The third principle of labour welfare is adequacy of wages; it implies that labour welfare measures are not a substitute for wages. It will be wrong to argue that since workers are given a variety of labour welfare services, they need be paid only low wages.

EFFICIENCY
The fourth principle of labour welfare lays stress on the dictum that to cultivate welfare is to cultivate efficiency. It has been often mentioned that workers education and training, housing, and diet are the three most important aspects of labour welfare, which always accentuate labour efficiency.

CO-RESPONSIBILITY
The fifth principle of labour welfare recognizes that the responsibility for labour welfare lies on both employers and workers and not on employers alone. Labour welfare measures are likely to be of little success unless mutuality of interest and responsibilities are accepted and understood by both the parties.

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EMPLOYEE WELFARE SCHEMES

The employee welfare schemes can be classified into two categories viz. statutory and non-statutory welfare schemes. The statutory schemes are those schemes that are compulsory to provide by an organization as compliance to the laws governing employee health and safety. These include provisions provided in industrial acts like Factories Act 1948, Dock Workers Act (safety, health and welfare) 1986, Mines Act 1962. The non statutory schemes differ from organization to organization and from industry to industry. ITC has a number of employee benefit schemes that go much beyond what is legally mandated. One of these is the post retirement noncontributory pension, which was launched in 1986 as a platinum jubilee gift for unionised employees. Some of the other employee benefit options in this category include the Family Hospitalisation Assistance Scheme, Welfare Assistance, Accident Relief, Emergency Relief, supply of uniforms to all unionised employees, and in some locations, also to management staff. ITC also offers Housing Loan Assistance, Educational Assistance and coaching classes for employees children at Munger, Saharanpur, Chirala, and Anarparti, career guidance for employees children at Kidderpore and the Head Office in Kolkata. Recreation Clubs have been set up at Bengaluru, Kidderpore, Munger, Bhadrachalam, Tribeni and all ILTD locations. There are ITC-aided schools in remote locations like Tiruvottiyur, Munger, Saharanpur, Tribeni and Bhadrachalam. ITC has set up subsidised canteens in factories and other

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establishments and co-operative stores at some of its locations. Co-operative societies in most ITC establishments promote thrift and provide loans on nominal interest charges. ITC-Welcomgroup runs a premier hotel management institute, the Welcomgroup Graduate School of Hotel Administration at Manipal in Karnataka. It is run in association with the Dr TMA Pai Foundation, affiliated to the Manipal Academy of Higher Education (MAHE), a deemed university. The institution runs a 4-year Bachelor of Hotel Management programme and is considered a leader in this field. ITCs Hotels Business also runs the Welcomgroup Hotel Management Institute at Gurgaon, near Delhi.

STATUTORY WELFARE SCHEMES

The statutory welfare schemes include the following provisions: Drinking Water: At all the working places safe hygienic drinking water should be provided Facilities for sitting: In every organization, especially factories, suitable seating arrangements are to be provided.

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First aid appliances: First aid appliances are to be provided and should be readily assessable so that in case of any minor accident initial medication can be provided to the needed employee. Latrines and Urinals: A sufficient number of latrines and urinals are to be provided in the office and factory premises and are also to be maintained in a neat and clean condition. Canteen facilities: Cafeteria or canteens are to be provided by the employer so as to provide hygienic and nutritious food to the employees. Spittoons: In every work place, such as ware houses, store places, in the dock area and office premises spittoons are to be provided in convenient places and same are to be maintained in a hygienic condition. Lighting: Proper and sufficient lights are to be provided for employees so that they can work safely during the night shifts. Washing places: Adequate washing places such as bathrooms, wash basins with tap and tap on the stand pipe are provided in the port area in the vicinity of the work places. Changing rooms: Adequate changing rooms are to be provided for workers to change their cloth in the factory area and office premises. Adequate lockers are also provided to the workers to keep their clothes and belongings. Rest rooms: Adequate numbers of restrooms are provided to the workers with provisions of water supply, wash basins, toilets, bathrooms, etc. Non statutory schemes:
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Many non statutory welfare schemes may include the following schemes: Personal Health Care (Regular medical check-ups): Some of the companies provide the facility for extensive health check-up Flexi-time: The main objective of the flexi-time policy is to provide opportunity to employees to work with flexible working schedules. Flexible work schedules are initiated by employees and approved by management to meet business commitments while supporting employee personal life needs Employee Assistance Programs: Various assistant programs are arranged like external counselling service so that employees or members of their immediate family can get counselling on various matters. Harassment Policy: To protect an employee from harassments of any kind, guidelines are provided for proper action and also for protecting the aggrieved employee.

Maternity & Adoption Leave: Employees can avail maternity or adoption leaves. Paternity leave policies have also been introduced by various companies. Medi-claim Insurance Scheme: This insurance scheme provides adequate insurance coverage of employees for expenses related to hospitalization due to illness, disease or injury or pregnancy.

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Employee Referral Scheme: In several companies employee referral scheme is implemented to encourage employees to refer friends and relatives for employment in the organization.

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COMMUNICATION OF COMPANY PLANS

All major business developments and decisions involving expansion, growth and financial performance of the organisation are shared with employees and other stakeholders through several communication media and platforms. These include ITC News, the corporate house journal which reaches out to all employees within the organization and Intranet portals like the Learning Curve, Manthan and Bhadranet. Senior managers of the Company visit each location to communicate business plans to help align employees aspirations and efforts with corporate and business goals.ITC Hotels has institutionalized Departmental Open Fore. All employees of a department meet once every quarter under these fore to formally discuss issues relating to productivity.

STRATEGY AND MANAGEMENT Human Rights All relevant principles and guidelines pertaining to human rights, as prescribed by the International LabourOrganisation (ILO), have been enshrined in the Indian Constitution. These form the bulwark of the different labour statutes prevalent in our country that guide our operations. In the management of businesses and operations that create economic value for the nation, ITC scrupulously adheres to all the applicable laws and regulations at all levels. The Factories Act and the Shops and Establishments Act forbid the use of child labour. All ITC Units strictly comply with this
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policy. According to ITCs standing instructions, anybody who has not completed eighteen years of age cannot be employed. The policy is enforced not only through the Companys Human Resources function, but also, through the Companys security system that prevents minors from entering any ITC premises to work. ITCs labour policies and work culture encourage freedom of association across different classes of employees and do not allow for any form of discrimination or forced labour. ITC conducts its disciplinary procedures in strict conformity with the principles of natural justice and in accordance with the Companys Standing Orders and Standing Instructions at each business location. Maintaining absolute neutrality in dealing with peoples grievances and ensuring natural justice are the cornerstones of ITCs interaction with its people and confidential handling of employees grievances. Compliance with statutes and corporate policies is regularly monitored by the Corporate Internal Audit function, external statutory auditors and relevant statutory authorities, who are responsible for ensuring the framing, implementation and monitoring of these statutes. ITC is committed to ensuring a gender-friendly workplace in order to:

Provide equal opportunities for men and women Prevent/stop/redress sexual harassment at the workplace Guarantee good employment practices

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ITC set up a Committee in 1999 to enquire into complaints of sexual harassment, if any, and to recommend appropriate action relating to complaints that are substantiated with adequate evidence. Men and women are equally represented on this Committee. The Committee, which is headed by a woman, also has an NGO representative. ITC Hotels Limited, a subsidiary of ITC Limited, has a similar Committee based in Delhi

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POLICY ON HUMAN RIGHTS

ITC believes that all its employees must live with social and economic dignity and freedom, regardless of nationality, gender, race, economic status or religion. In the management of its businesses and operations therefore, ITC ensures that it upholds the spirit of human rights as enshrined in existing international standards such as the Universal Declaration and the Fundamental Human Rights Conventions of the ILO. Policy ITC upholds international human rights standards, does not condone human rights abuses, and creates and nurtures a working environment where human rights are respected without prejudice. Implementation The Corporate Human Resources function of ITC is responsible for the Human Rights Policy design, implementation and updation. The policy is implemented at all locations of ITC through a set of separate policies and procedures covering each of the main constituents of human rights applicable at the workplaces. Monitoring & Audit The assessment procedures for different constituents of this policy are defined against each specific policy.

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Consideration of Human Rights Impacts Across the Supply Chain

As a large and multi-product enterprise whose products are benchmarked nationally and internationally, ITC's main supply chains can be grouped as follows: 1. For all its operations, technology, machinery and equipment are sourced from reputed and globally benchmarked suppliers/vendors who are expected to follow internationally accepted norms and standards on human rights. 2. ITC's major businesses are vertically integrated across several Divisions. A substantial part of the supply chain is therefore internal through strategic backward linkages. Common values relating to human rights performance are shared across this supply chain. 3. Being a major agri-based company, the agriculture sector is a major supplier of inputs for its operations. The bulk of agricultural commodities are procured from state controlled trading platforms and the open market. 4. A very small proportion of ITC's business consists of supply chains comprising local vendors and suppliers. The policy framework for such entities is enunciated separately in 'Policy to Ensure Respect for Human Rights across the Supply Chain'.

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Policy to Ensure Respect for Human Rights Policy across the Supply Chain
ITC provides products and services of superior quality and value by sourcing its technologies, equipment and inputs from reputed international and Indian manufacturers and suppliers. Common values, relating to human rights performance, are shared across the entire supply chain because ITC is committed to the importance of a socially responsible and accountable supply chain. Policy ITC nurtures an internal working environment which respects human rights without prejudice. Likewise, it expects its business partners to establish a human rights compliant business environment at the workplace. Implementation The responsibility for implementation of this policy rests with the Divisional Chief Executive of the concerned business and the Unit Manager. The policy is communicated internally through policy manuals and intranet portals, and externally by the HR personnel of concerned units to vendors/suppliers. Monitoring & Audit

ITC has established a policy intent for mapping/monitoring progress and performance of existing and potential vendors/suppliers on human rights performance.

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Policy to Prevent Discrimination at Workplace

ITC acknowledges that every individual brings a different and unique set of perspectives and capabilities to the team. A discrimination-free workplace for employees provides the environment in which diverse talents can bloom and be nurtured. This is achieved by ensuring that a non-discrimination policy and practice is embedded across the Company in line with corporate principles and benchmarked business practices. Policy ITC's approach to its human resources is premised on the fundamental belief in fostering meritocracy in the organisation which, paripassu, promotes diversity and offers equality of opportunity to all employees. ITC does not engage in or support direct or indirect discrimination in recruitment, compensation, access to training, promotion, termination or retirement based on caste, religion, disability, gender, age, race, colour, ancestry, marital status or affiliation with a political, religious, or union organization or minority group. Implementation The policy is communicated to all employees through induction programmes, policy manuals and intranet portals. The custodian of this policy is the head of each operational unit and Divisional Chief Executives of the respective business.

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ITC's complaints resolution procedure is premised on the freedom of employees to approach higher officials beyond his/her immediate superior. For the unionized employees, compliance of the policy is ensured through a robust grievance handling procedure and the presence of a union that brings violations to the notice of the unit HR head. Monitoring & Auditing

The accountability for the application of the non-discrimination employment policy rests with the Unit Head who reviews anti-discriminatory complaints annually or on a case-by-case basis. The Corporate Human Resources function conducts non-discrimination reviews annually on a sample basis with unit heads and through on-site assessments.

Policy on Freedom of Association

ITC's culture is characterized by cooperative relationships and high employee involvement that relies on building partnerships and interdependence. Adhering to these principles has helped build, sustain and strengthen harmonious employee relations in the organization. Policy ITC respects the employees' right to organize themselves into interest groups as initiatives of the workers, independent from supervision by the management. In keeping with the spirit of this Policy, employees are not discriminated against for exercising this right.
43

Implementation The policy is communicated to all employees through induction programers, policy manuals and intranet portals. The custodian of this policy is the HR head of each operational unit who reports directly to Unit Head on such issues. The actualization of this policy is evident from the joint agreements and minutes that are signed between the union and the management. Monitoring & Audit

Each ITC Unit has appropriate systems and checks to ensure compliance with the Policy and statutory provisions, including means for filing of grievances, collective bargaining agreements and minutes from worker meetings. Compliance with the Policy is regularly monitored by Divisional and Corporate HR.

Policy Prohibiting Child Labour and Preventing Forced Labour from Workplace
The foundation of ITC's "No Child or Forced Labour policy" is based on the Company's commitment to find practical, meaningful and culturally appropriate responses to support the elimination of such labour practices. It thus endorses the need for appropriate initiatives to progressively eliminate these abuses.

44

Policy ITC does not employ any person below the age of eighteen years in the workplace. ITC prohibits the use of forced or compulsory labour at all its units. No employee is made to work against his/her will or work as bonded/forced labour, or subject to corporal punishment or coercion of any type related to work. Implementation This policy is publicly available throughout the Company and clearly communicated to all employees in a manner in which it can be understood through induction programs, policy manuals and intranet portals. The responsibility for the implementation of the policy rests with the Units HR Department and the security staff who do not permit underage persons to enter the factory as workers. Employment contracts and other records documenting all relevant details of the employees, including age, are maintained at all units and are open to verification by any authorized personnel or relevant statutory body. Compliance with the policy is evident in the transparent system of recruitment and the policy of exit interviews which are undertaken by a manager not directly connected with the employee. For the unionised employees, compliance is also ensured through a robust grievance handling

45

procedure and the presence of a union that brings violations to the notice of the unit HR head. Monitoring & Audit

Sample checks of the records are undertaken annually by Corporate Human Resources function. Audit and assessment is undertaken annually by Corporate Internal Audit and the Environment, Occupation Health and Safety function.

Policy on Information and Consultation on Changes

ITC's core values support an employee engagement process that aligns its employees with a shared vision and purpose of the Company in the belief that every individual brings a different perspective and capability to the team. ITC thus harnesses the creative potential of all its employees by promoting a culture of partnerships to unleash relevant synergies between different groups of employees. Policy All major changes in operations involving work processes, manning norms and other productivity linked issues are carried out after discussions with the employees and the recognized unions at each location. Implementation Business plans are shared with employees at all units through a series of formal communication meetings, and through the intranet portals.

46

Unionizedemployees at the concerned units are informed of all major changes well in advance through their representatives. The responsibility for the implementation of the policy rests with the Unit's HR Department in the case of unionized employees and with the concerned Divisional Management Committees for other employees. The employees are given enough time to consider the implications of change and an opportunity to discuss their apprehensions, if any, with the management. The Policy is actualized through consultative meetings with representatives of employees, culminating in joint minutes/agreements. Monitoring & Auditing

Compliance with the Policy is regularly monitored by the Unit Head.

HIV/AIDS: Policy Guidelines

Background ITC is committed to providing a safe and healthy work environment to all its employees. These policy guidelines on HIV/AIDS are an endorsement of this commitment and, in particular, of the Company's commitment to specific programs and actions in response to the HIV epidemic. The Company's position is based on scientific and epidemiological evidence that people with HIV/AIDS do not pose a risk of transmission of the virus to co-workers by casual, non-sexual contact in the normal work setting.
47

Policy Guidelines 1. Compliance The Company's policies on HIV/AIDS with regard to its employees will, at a minimum, comply with all relevant Central and State legislation and the Company will implement all policies and directions of the Government regarding HIV/AIDS whenever issued.

2. Prevention

through

Awareness

The Company will provide to all its employees sensitive, accurate and the latest information about risk reduction strategies in their personal lives, with the objectives of reducing the stigma of HIV/AIDS, encouraging safe behavior and improving understanding of treatment.

3. Safe

and

Healthy

Workplace

The Company is committed to providing a safe and healthy workplace to all its employees. It is the Company's objective that employees will have access to health services to prevent and manage HIV/AIDS.

4. Non-discrimination The Company will not discriminate against any employee infected by

48

HIV/AIDS with regard to promotions, training and other privileges and benefits as applicable to all employees.

1. A HIV positive employee will be allowed to continue to work in his/her job unless medical conditions interfere with the specific job being done, in which case reasonable alternative working arrangements will be made . 2. The employee is incapacitated to perform his/her duties and is declared medically unfit by a medical doctor, in which case the employee will be assisted to rehabilitate himself/herself outside the Company. 3. The Company will not make pre-employment HIV/AIDS screening mandatory as part of its fitness to work assessment. Screening of this kind refers to direct methods (HIV testing), indirect methods (assessment of risk behaviour), and questions about HIV tests already taken. 4. HIV/AIDS test will not be part of the annual health check-ups unless specifically requested for by an employee.

49

5. Confidentiality Voluntary testing for HIV/AIDS when requested for by the employee, will be carried out by private or community health services and not at the workplace.

There will no obligation on the part of the employees to inform the Company about their clinical status in relation to HIV/AIDS.

Information on clinical diagnosis of an employees' status in terms of his/her HIV/AIDS status if advised to the Company, will be kept strictly confidential.

50

OTHER WELFARE SCHEMES FOR EMPLOYEES

EMPLOYEE FOR THE WOMEN OF BABUKHEDA: Social transformation of the women of Babukheda was initiated to wean them away from a life of uncertainty by giving them employment in the company promoted places such as the community center and the school. They were all hired for cleaning, sweeping and swabbing activities and looking after children. The impact of the programmers: The Babukheda project is being continuously monitored through a feedback obtained from village as also through an annual social audit based on these the programmer has yielded the following results: Improves living condition and literacy. The general health of the village has improved considerable, and approximately 15 to 20 villagers attend the free medicals dispensary everyday children have been brought back to classroom and their general health has improved with regular care. SOCIAL AND COMMUNITY INTIATIVES: The impact of ITCS social initiatives taking IT to the Indian farmers,social and farm forestry and integrated watershed development is significant. These
51

initiatives have empowered 1.2 million farmer across 13000 villages in the states of U.P, M.P, A.P and Karnataka. In the next 10 years , 10 million farmers will be empowered in 14 states, covering 100000 villages one-sixth of rural India. Under ITCs social and farm forestry programmers, more than 35 million sapling have been planted over 16000 hectares in addition to improving the general landscape and increasing its economic , societal and ecological values these initiatives have provided sustainable employment to nearly 160000 people in remote and tribal region of country. This in turn impact the economy favorably some of the projects , which ITC has initiated are with respect to mother and child-health sanitation primary education and vocational training in Banglore , East Godavari , Khamman , Prakasan.

FARMER EMPOWERMENT THROUGH E-CHOUPAL:

52

ITC's unique strength in this business is the extensive backward linkages it has established with the farmers. This networking with the farming community has enabled ITC to build a highly cost effective procurement system. ITC has made significant investments in web-enabling the Indian farmer. Christened 'e-Choupal', ITC's empowerment plan for the farmer centres around providing Internet kiosks in villages. Farmers use this technology infrastructure to access on-line information from ITC's farmerfriendly website www.echoupal.com. Data accessed by the farmers relate to the weather, crop conditions, best practices in farming, ruling international prices and a host of other relevant information.

e-Choupal today is the world's largest rural digital infrastructure. The unique e-Choupal model creates a significant two-way multi-

dimensional channel which can efficiently carry products and services into and out of rural India, while recovering the associated costs through agrisourcing led efficiencies. This initiative now comprises about 6500 installations covering nearly 40,000 villages and serving over 4 million farmers. Currently, the 'e-Choupal' websiteprovides information to farmers across the 10 States of Madhya Pradesh, Haryana, Uttarakhand, Uttar Pradesh, Rajasthan, Karnataka, Maharashtra, Andhra Pradesh, Kerala and Tamil Nadu. Over the next 5 years it is ITC's Vision to create a network of 20,000 e-Choupals, thereby extending coverage to 100,000 villages representing one sixth of rural India. Supporting the e-Choupal network are ITC's procurement teams, handling agents and contemporary warehousing facilities across India, enabling its
53

Agri Business to source identity-preserved merchandise even at short notice. ITC's processors are handpicked, reliable high quality outfits who ensure hygienic processing and modern packaging. Strict quality control is exercised at each stage to preserve the natural flavour, taste and aroma of the various agri products.

ChoupalSaagar

Following

the

success

of

the

e-Choupal,

the

Company

launched ChoupalSaagar, a physical infrastructure hub that comprises collection and storage facilities and a unique rural hypermarket that offers multiple services under one roof. This landmark infrastructure, which has set new benchmarks for rural consumers also incorporates farmer facilitation centres with services such as sourcing, training, soil testing, health clinic, cafeteria, banking, investment services, fuel station etc. 24

'ChoupalSaagars' have commenced operations in the states of Madhya Pradesh, Maharashtra and Uttar Pradesh. ITC is engaged in scaling up the rural retailing initiative to establish a chain of 100 ChoupalSaagars in the near future.
54

Choupal Fresh

Choupal Fresh, ITC's fresh food wholesale and retail initiative, leverages its extensive backward linkages with farmers and supply chain efficiencies. It focuses on stocking fresh horticulture produce like fresh fruits and vegetables. Five Choupal Fresh retail stores are currently operational at Hyderabad. The company has also set up a complete cold chain for ensuring the availability of fresh products in the market, besides directly sourcing farm fresh produce from the farmers.

ChoupalPradarshanKhet

55

In line with its mission of improving the quality of life in rural India, ITC's Agri Business has launched a flagship extension programme called 'ChoupalPradarshanKhet' (CPK) or demonstration plots to help farmers enhance farm productivity by adopting agricultural best practices. Started in 2005-06, the crop portfolio includes soya, paddy, cotton, maize, bajra, wheat, gram, mustard, sunflower and potato. This initiative, has covered over 70,000 hectares and has a multiplier impact and reaches out to 1.6 million farmers.

Processed Fruits In line with its strategy of achieving a higher order of value capture, the business also focuses on the value added segment, steadily enhancing its basket of offerings with several new products. These include frozen foods, IQF (individually quick frozen) fruits, niche products like baby-food quality purees and high brix pulp and organic purees. ITC seeks to focus on this segment and exploit the market opportunity for tropical fruits and fruit products, where India has a natural advantage of growing the complete range,

56

including exotic varieties. In Processed Fruits category, ITC exports from HACCP certified plants to Western Europe, North Africa, West Asia, Japan and North America, a wide range of Processed Fruit products made from Mango (Alphonso, Kesar&Totapuri), Guava, Papaya and Pomegranate. ITC is the leading Indian exporter of Organic Fruit Products certified to European (EC 2092/91) and US (NOP) Standards. Fresh Table Grapes & Pomegranates are sourced from ITC's EUREPGAP certified farmer groups & retailed through prominent supermarkets like Sainsbury's and Albert Heijn in Europe and Daiei in Japan.

Marine Products ITC has been a significant exporter of seafood from India since 1971. It exports frozen as well as cooked shrimps and other seafood products to Japan, USA and Europe. Its well-known brands include Gold Ribbon, Blue Ribbon, Aqua Kings, Aqua Bay, Aqua Feast and Peninsular.

A Customer Centric Approach

57

ITC's Agri Business Division continues to use innovation as its core strategy to retain its position as the one-stop shop for sourcing agri-commodities from India. Besides setting benchmarks in quality, reliability and value-added services, ITC is a trendsetter in customer care particularly in commodity trading. Major customers include Cargill, Marubeni, Toepfer, among others, who source agriculture commodities and food products from India. Customers can log onto www.itcabd.com, and readily access information on crop production and forecast, market updates, the latest shipment status and the prevailing foreign exchange rates.

Sourcing for ITC ITC's Agri business is progressively aligning its commodity portfolio with the sourcing needs of the Company's Foods business to generate higher order value from its agric procurement infrastructure. The business has commenced procurement of chip stock potatoes, one of the critical raw materials in the manufacture of the Company's 'Bingo!' brand of potato chips. The acquisition of Technico, an Australian company with technology leadership in the production of early generation seed potatoes, helped the business access a ready pipeline of new high-yielding varieties of chipstock potato seeds.

TCS HUMAN RESOURCE PHILOSOPHY:

The ITC group has a distinct philosophy on human, resource management. The company strives to ensure its employees total well beings and not just

58

their occupational welfare. It achieves this by contributing to every fact of an employee life-carrier family , health and retirement occupation health and safety are the top priorities for the organization that priority for setting standard in the work environment , occupation , health and safety related matter. Its list of accolades includes on IS14001 certification , the national energy conservation award , and the environmental champion award. There are many employee welfare schemes in places including family hospitalization assistance schemes, accident relief, incidental expenses and emergency relief.

59

CHAPTER: 5 RESEAECH METHODOLOGY

60

RESEARCH METHODOLOGY
Research is a common parlance which refers to search for knowledge. Research is an organized inquiry carried out to provide information for solving problems. More specifically, it is the process of determining, acquiring, analyzing and synthesizing, and disseminating relevant data, information and insights to decision makers in ways that mobilize the organization to take appropriate actions that, in turn, maximize business performances. A good research generates data that is derived by proficiently conducted reference which is used reliably for decision making. In a good research methodology the purpose is clearly defined, design and process is thoroughly planned, highly ethical standards are used and the researcher makes decisions passably for decision makers need

TYPES OF RESEARCH Descriptive Research It includes surveys and fact finding enquiries of different kinds. Its major purpose is to describe the state of affairs as it exists at present and the researcher has no control over the variables. Analytical Research In this type of research the researcher uses facts and information already available to analyze, to make a critical evaluation of the material.

61

Applied Research It aims at finding the solution for an immediate problem faced by the industry/business organization like identifying social, economic or political trends that may effect a particular institution or the evaluation of the marketing research. Fundamental Research It is concerned with the generalization and with the formulation of a research study concerning some natural phenomenon or relating to pure mathematics or concerned human behavior. Quantitative Research It is based on the measurement of the quantity or amount. It is applicable to phenomenon that can be expressed in terms of quantity. Qualitative Research On the other hand is concerned with qualitative phenomenon, i.e. phenomenon related or involving quality or kind. Such kind of result is especially important in the behavioral sciences where the aim is to discover the underlying motives of human behavior. Conceptual Research It is related to some abstract idea or theory and is generally used by philosophers and researchers and thinkers to develop new concepts or to reinterpret existing ones. Exploratory Research It relies on experience and observation alone, often without due regard for system and theory. It is data based research, coming up with conclusions, which are capable of being verified with observation or experiment.

RESEARCH PROCESS

62

Various steps involved in research done on Consumer Behaviourare: Literature Survey Before starting the research we conducted an in-depth study of the topic so as to draw a clear image of what and how the research has to be carried out. Formulating the Research Problem The next step was to find out the problem of the case. The most important task was to define the problem clearly from an analytical point of view. This is the most important step because; if a problem is well defined then it means that it is half solved. Design of the Questionnaire An unstructured questionnaire was framed by the group for the purpose of survey. All the questions used are closed ended in the questionnaire. Determining the Sample Size Furthermore the next step was to choose the number of people to be targeted from various age groups, salary scale, and gender. So many people were approached for the survey Collection and Analysis of Data The data was collected from various people among different age groups and the data was segregated into various parameters in order to analyze it. Interpretation of Data and Preparation of Report The findings was identified and recommendations were made and the final report was prepared. This chapter discusses the various steps which are taken to fulfill the objectives in the study. It also discusses the sampling procedure and the various sources of information which is collected for further analysis.

63

SWOT ANALYSIA:
The following point shows the internal and external factors affecting the employee welfare for ITC. This SWOT analysis also shows ITC internal strengths such as their experienced management team, a competitive product line, a global marketing realm, and the continuous efforts by their research and development to research trends in the industry and to be creative in exploiting those trends. Some possible opportunities noted in the SWOT analysis are the growing markets for more employee welfare schemes so that there can be more employee satisfaction towards their job. Another opportunity is that the income of consumers is high enabling them to be less price sensitive, and convenience is becoming evermore important not only to the United States but to many countries around the world. Although ITC has many strengths, a few weaknesses lie in the fact that the company is so large and could possibly lose focus or have internal conflict problems. A few of the threats ITC must stay aware of are the ease of replicability of its product line, the almost pure competition in pricing for its products, and the quickness of technological advances causing existing products to be no longer the most advanced.

64

STRENGTHS
Management Experienced, broad base of interests and knowledge Product Line Unique, tastes good, competitive price, and convenient Marketing Diverse and global awareness Personnel International, diverse positions International, diverse positions High sales revenue, high sale growth, large capital base Manufacturing Low costs and liabilities due to outsourcing of bottling Research & Development Continuous efforts to research trends an reinforce creativity Consumer/Social
65

Huge market in the healthy products and growing market for specialized foods for ethnic groups Competitive Distinctive name, product and packaging in with regards to its markets Technological Internet promotion such as banner ads and keywords can increase their sales, and more computerized manufacturing and

ordering processes can increase their efficiency Economic Consumer income is high, more tend to eat out, convenience is important to U.S.

WEAKNESSES

Management Large size may lead to conflicting interests Product Line New one calorie products have no existing customer base, generic brands can make similar product cheaper Marketing May lose focus, may not be segmented enough

66

 Personnel Possible conflicts due to so many people, possible trouble staying focused Finance High expenses may have trouble balancing cash-flows of such a large operation. Research & Development May concentrate too much on existing products,

intrapreneuralship may not be welcomed Consumer/Social More expensive products than Hul. Such a high price may limit lower income families from buying an ITC product Competitive Not entirely patentable, constant replicability by competitors Technological Computer breakdowns, viruses and hackers can reduce efficiency, and must constantly update products or other competitors will be more advanced Economic Very elastic demand, almost pure competition

67

OPPORTUNITIES

Expected 30% CAGR in organized market to result in better footfall and conversion rates. Entry into Tier 2 and Tier 3 cities. Collaboration with foreign players because of a national brand. An opportunity to diversify its operations in e-retailing.

As big company of India can go globally.

THREATS
Employee shortage and attrition due to rapid growth in the hollmarket . Impact of slowdown in consumer spends to be felt in FMCG market. Opening up of economy for free entry of foreign players.

68

CHAPTER: 6 DATA ANALYSIS & FINDINGS

69

ANALYSIS OF VARIOUS DEPARTMENTS

ENGINEERING DEPARTMENT
100 90 80 70
P E R C E NT A G E S

E NGINE E RING DIVIS ION

69.04 64.52 59.56

69.44

70

72

74.4

74.44 RE CRUIT & S E LCTN S UP P ORT & RE COG. COMP E NS ATION TRNG & DE VLP MNT WORK LIFE BALANCE E MP E NGAGAME NT& E MP WRMNT RE LNTS HP & COMMUNICATION ORGN CULTURE

60 50 40 30 20 10 0

RE CRUIT & S E LCTN

S UP P ORT & RE COG.

COMP E NS ATION

TRNG & DE VLP MNT

WORK LIFE BALANCE

DIFFERENT P ARAMETERS

E MP RE LNTS HP & ORGN CULTURE E NGAGAME NT& COMMUNICATION E MP WRMNT

AREA OF CONCERN:RECRUITMENT AND SELECTION, RECOGNITION, COMPENSATION SUPPORT AND

The company should provide equitable salary and compensation for the same position for various departments. The compensation for housing allowance should be increased. The organization offers the employees career growth through promotions and reward for good work. Employees are not clear about the criteria based on which their good and bad performances are evaluated.

70

 The companies policy is not transparent in respect of hiring, promotion and demotion and so employees are confused and are not able to evaluate their performance on which promotions are made.

RECOMMENDATIONS Some more technical training is required. Job should be entrusted as per capability to increase the skill. Remuneration should be good enough for the employees so that they will exert their best performance. To get the best, superior should not pressurize his/ her subordinates. SYSTEM DEPARTMENT
100 90 80 70
P E R C E NT A G E S

S YS TE M DIVIS ION
72.08 73.32 73.96 75.56 77.96

69.4 64.68 55.32

COMP E NS ATION RE CRUIT & S E LCTN S UP P ORT & RE COG. TRNG & DE VLP MNT WORK LIFE BALANCE E MP E NGAGAME NT& E MP WRMNT ORGN CULTURE RE LNTS HP & COMMUNICATION

60 50 40 30 20 10 0

COMP E NS ATION

RE CRUIT & S E LCTN

S UP P ORT & RE COG.

TRNG & DE VLP MNT

WORK LIFE BALANCE

E MP ORGN CULTURE RE LNTS HP & E NGAGAME NT& COMMUNICATION E MP WRMNT

PARAMETERS

71

AREAS OF CONCERN:RECRUITMENT RECOGNITION & SELECTION AND SUPPORT &

The company should provide equitable salary and compensation for the same position for various departments. The compensation for housing allowance should be increased. The organization should offer the employees career growth through promotions and reward for good work. Employees are not clear about the criteria based on which their good and bad performances are evaluated. The company policies in respect of hiring, promotion and demotion are not transparent and so employees are confused and are not able to evaluate their performance on which promotions are made. RECOMMENDATIONS A quarterly or half yearly or open session should be arranged wherein the staff member can interact with the management ,mainly juniors & middle level so that they can share their views in front of senior level management .This will bring good co ordination within them. HR policies should be transparent.

72

 WORSTED DEAPRTMENT
WORS TE D DIVIS ION
78.16 78.88 WORK LIFE BALANCE TRNG & DE VLP MNT RE CRUIT & S E LCTN COMP E NS ATION RE LNTS HP & COMMUNICATION S UP P ORT & RE COG. ORGN CULTURE E MP E NGAGAME NT& E MP WRMNT

100 90 80 69.96 70
P E R C E NT A G E S

70.72

71.92

73.64

76.24

62.76

60 50 40 30 20 10 0 WORK LIFE BALANCE TRNG & DE VLP MNT RE CRUIT & S E LCTN COMP E NS ATION RE LNTS HP & COMMUNICATION S UP P ORT & RE COG. ORGN CULTURE E MP E NGAGAME NT& E MP WRMNT

DIFFERENT PARAMETERS

AREAS OF CONCERN: WORK LIFE BALANCE

The company should respond actively to the problems, arising in the work place and should sort them immediately. The organization should give proper attention towards social development. The company should provide various programs on stress management. RECOMMENDATIONS The company should organize proper personal growth and development programs periodically so that the employees can grow their capabilities and can work more efficiently and give their full efforts to the organization to achieve their desired goals. The company should also organize some workers programs to quit their attitude of saying that this is not my work and this is not in my agreement so that they can work whole heartedly to achieve organizational goals.
73

 WOOL COMBING DEPARTMENT

WOOL C OMBING DIVIS ION
78.96 79 79.36 80.88 82.8

100 90 80 70
P E R C E NT A G E S

74.16

74.68

76.32

RE C RUIT & S E LC TN S UP P ORT & RE C OG.

60 50 40 30 20 10 0 RE C RUIT & S E LC TN S UP P ORT & RE C OG. WORK LIFE BALANC E TRNG & DE VLP MNT E MP C OMP E NS ATION RE LNTS HP & ORGN C ULTURE E NGAGAME NT& C OMMUNIC ATION E MP WRMNT DIFFERENT P ARAMETERS

WORK LIFE BALANC E TRNG & DE VLP MNT E MP E NGAGAME NT& E MP WRMNT C OMP E NS ATION RE LNTS HP & C OMMUNIC ATION ORGN C ULTURE

AREAS OF CONCERN:SUPPORT&RECOGNITION,RECRUITMENT& AND WORK LIFE BALANCE. SELECTION

The organization should give proper attention towards social development. The company should provide various programs on stress management. The company should provide equitable salary and compensation for the same position for various departments The organization should offer the employees career growth through promotions and reward for good work. RECOMMENDATION The key factor for success of any organization is discipline. Discipline is lagging behind and hence it is necessary to develop discipline.

74

 COMMERCIAL
100 90 80 70
P E R C E NT A G E S

COMMERCIAL DIVISION
68.64 70.12 70.76 71.4 73.2 77.08 79.36

67.24

RE CRUIT & S E LCTN S UPPORT & RE COG. TRNG & DE VLPMNT COMPE NS ATION RE LNTS HP& COMMUNICATION E MP E NGAGAME NT& E MPWRMNT WORK LIFE BALANCE ORGN CULTURE

60 50 40 30 20 10 0 RE CRUIT & S E LCTN S UPPORT & RE COG. TRNG & DE VLPMNT COMPE NS ATION RE LNTS HP& E MP COMMUNICATION E NGAGAME NT& E MPWRMNT WORK LIFE BALANCE ORGN CULTURE

PARAMETERS

AREA OF CONCERN: RECRUITMENT AND SELECTION, &TRAINING AND DEVELOPMENT. COMPENSATION

The company should provide equitable salary and compensation for the same position for various departments. The compensation for housing allowance should be increased. More of training and development program should be provided. The company should be transparent regarding promotion. RECOMMENDATIONS

There should be a proper organizational culture. There should be a proper pay structure. There should be a proper policy for promotion.

75

 FLAX SPINNING PRODUCTION

FL AX S PINNING PRODUC TION DIVIS ION
82 80 71.56 70
P E R C E NT A G E S

100 90 72.64

84.6

73.44

75.6

75.76 RE CRUIT & S E LCTN COMPE NS ATION

66.88

60 50 40 30 20 10 0 RE CRUIT & S E LCTN COMPE NS ATION WORK LIFE BALANCE ORGN CULTURE RE LNTS HP& COMMUNICATION TRNG & DE VLPMNT S UPPORT & RE COG. E MP E NGAGAME NT& E MPWRMNT

WORK LIFE BALANCE ORGN CULTURE RE LNTS HP& COMMUNICATION TRNG & DE VLPMNT S UPPORT & RE COG. E MP E NGAGAME NT& E MPWRMNT

DIFFERENT PARAMETERS

AREA OF CONCERN:RECRUITMENT AND SELACTION, WORK LIFE BALANCE &ORGANISATION CULTURE

The company should provide equitable salary and compensation for the same position for various departments. The compensation for housing allowance should be increased. The organization should offer the employees career growth through promotions and reward for good work. There should be coordination among the senior and junior employees.

76

 WAREHOUSE, WEAVING & DESIGN

100 90 80 71.68 70
P E R C E NT A G E S

WEAVING AND WAREHOUS E DIVIS ION

79.4 RE CRUIT & S E LCTN WORK LIFE BALANCE

71.76

73.2

75.28

75.32

76

77.04

60 50 40 30 20 10 0 RE CRUIT & S E LCTN WORK LIFE BALANCE ORGN CULTURE COMPE NS ATION TRNG & DE VLPMNT RE LNTS HP& COMMUNICATION S UPPORT & RE COG. E MP E NGAGAME NT& E MPWRMNT

ORGN CULTURE COMPE NS ATION TRNG & DE VLPMNT RE LNTS HP& COMMUNICATION S UPPORT & RE COG. E MP E NGAGAME NT& E MPWRMNT

DIFFERENT PARAMETERS

AREA OF CONCERN: SUPPORT AND RECOGNITION Variable pay or pay for performance system is an effective practice for increasing performance of employees and help the company to be highly competitive The organization offers the employees career growth through promotions and reward for good work. Employees are not clear about the criteria based on which your good and bad performances are evaluated.

77

MARKETING (Fabric & Flax Sales)

100 90 80.68 80 70
P E R C E NT A G E S

MARK E TING DIVIS ION

82.8 85.32 85.36 87.32 89.36 92.68

75.28 RE C RUIT & S E LC TN C OMP E NS ATION

60 50 40 30 20 10 0 RE C RUIT & S E LC TN C OMP E NS ATION WORK LIFE BALANC E ORGN C ULTURE S UP P ORT & RE C OG. TRNG & DE VLP MNT RE LNTS HP & E MP C OMMUNIC ATION E NGAGAME NT& E MP WRMNT

WORK LIFE BALANC E ORGN C ULTURE S UP P ORT & RE C OG. TRNG & DE VLP MNT RE LNTS HP & C OMMUNIC ATION E MP E NGAGAME NT& E MP WRMNT

DIFFERENT P ARAMETERS

AREA OF CONCERN:
RECRUITMENT AND SELECTION
The company should be transparent in respect of hiring and firing and demotion. The company internal policy of recruitment is easily accessible to all the employees. RECOMMENDATIONS Remuneration at the organization should move with the market scenario and should be reviewed from other organizations also. Promotion procedures should be clear and no double standards should be followed. Meeting should be hold between management and the employees where there is to and fro from both parties. The senior staff should support their juniors and should have a proper communication in between them.

78

 A proper process should be there for the employees to put forward their suggestions and it should be strongly evaluated and implemented by the organization. A fair and motivating award structure should be there for the employees. FABRIC DYEING & PRODUCTION

100 90 80

FIBRE DYEING AND FABRIC PRODUCTION DIVISION

78.36 WORK LIFE BALANCE RE CRUIT & S E LCTN TRNG & DE VLPMNT S UPPORT & RE COG. ORGN CULTURE RE LNTS HP& COMMUNICATION E MP E NGAGAME NT& E MPWRMNT COMPE NS ATION

74.52 70.32 70.52 70.52 61.56

75.56

70
P E R C E NT A G E S

60.04 60 50 40 30 20 10 0 WORK LIFE BALANCE

RE CRUIT & S E LCTN

TRNG & DE VLPMNT

S UPPORT & RE COG.

ORGN CULTURE

DIFFERENT PARAMETERS

RE LNTS HP& E MP COMPE NS ATION COMMUNICATION E NGAGAME NT& E MPWRMNT

AREA OF CONCERN: WORKLIFE BALANCE The company should respond actively to the problems, arising in the work place and should sort them immediately. The organization should give proper attention towards social development. The company should provide various programs on stress ma

79

RECOMMENDATION Job rotation among employees is a good option and it should be implemented properly.

PROCUREMENT
100 90 80 70
P E R C E NT A G E S

PROC URE ME NT DIVIS ION

77.68 78.32 78.92 80.12 81 84.48 84.64 86.68

COMP E NS ATION RE CRUIT & S E LCTN WORK LIFE BALANCE S UP P ORT & RE COG. TRNG & DE VLP MNT E MP E NGAGAME NT& E MP WRMNT ORGN CULTURE RE LNTS HP & COMMUNICATION

60 50 40 30 20 10 0 COMP E NS ATION RE CRUIT & S E LCTN WORK LIFE BALANCE S UP P ORT & RE COG. TRNG & DE VLP MNT E MP ORGN CULTURE RE LNTS HP & E NGAGAME NT& COMMUNICATION E MP WRMNT

PARAMETERS

AREAS OF CONCERN: RECRUITMENT & SELECTION WORK LIFE BALANCE & COMPENSATION
The company should provide equitable salary and compensation for the same position for various departments. The company should increase compensation for housing. The organization offers the employees career growth through promotions and reward for good work.

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 Employees are not clear about the criteria based on which your good and bad performances are evaluated The company should be transparent in respect of hiring, promotion and demotion. The organization should give proper attention towards social development. The company should provide various programs on stress management. RECOMMENDATION There is no organization Culture as such here people come here for time pass so their should be proper culture.

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 OVER ALL VIEW

100 90 80 72.6 70
P E R C E NT A G E S

AVE R AG E G R APH OF AL L DIVIS IONS

74.852 75.028 77.744 78.044 79.376

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69.008 R E C & S E LE C TION WOR K LIF E B ALANC E C OMP E NS ATION S UP P OR T & R E C OGNITION TR AINING & DE VE LOP ME NT OR GANIS ATION C ULTUR E R E LATIONS HIP

60 50 40 30 20 10 0 R E C & S E LE C TION WOR K LIF E B ALANC E C OMP E NS ATION S UP P OR T & TR AINING & R E C OGNITION DE VE LOP ME NT P ARAMETERS OR GANIS ATION C ULTUR E R E LATIONS HIP E MP LOY E E E NGAGE ME NT

E MP LOY E E E NGAGE ME NT

AREAS OF CONCERN:RECRUITMENT & SELECTION WORK LIFE BALANCE COMPENSATION SUPPORT & RECOGNITION

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CHAPTER: 7 CONCULSION, LIMITATION, SUGGESTION

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CONCLUSION

After the completion of the survey I analysed the data collected, with that of theoretical inputs and the actual scenario of the workplace and thus I conclude that retention at ITC is quite high. ITC has been able to build awareness among the employees related to the needs of various parameters required for employee retention and how these factors leads to professional excellence both for developing apt competencies and effectiveness of their jobs.The induction programs, training and development programs given to the new recruitees is quite high and the learning oppurtunity provided by the company is comparatively high. However to my observation and finding the HR policies and practices are not very transparent specially regarding recruitment, selection & promotion. The reason being ITC moving from a traditional or family business to a corporate business and as such the transition follows and so there is a change in the organisation culture. From the analysis, I also found that certain segment of people are ready to accecpt changes in the organisation according to the market scenario but at the same time the other segment dont want to change according to the change in the environment.Also due to its geographical location of the company internal politics is very much influential to the employees and this is one of the main obstacles when the HR department wants to frame its policies. Thus there are alot of challenges faced by the HR department in ITC.

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Limitations of the study 1. Permission for conducting a proper survey was not given. 2. Sufficient time was not given to me to understand the exact nature and the concept of labour welfare. Some of the staff was less cooperative with me. Recommendations and suggestions: Some of the things and areas actually required some sort of improvement. For this some of the suggestions are: Foremost important suggestion is that should provide trainees with proper training and should give the knowledge regarding actual working in the HR department as it is the core department of any organization. A little more cleanliness is required in the area canteen. There are some of the parts in the plant where electricity is wasted. This thing should be taken care of. Special program must be started for creating awareness among the employee related to labour laws. There is a need of promoting the present educational assistance for the workers children. Workers education can be introduced for employees who posses qualification below SSLC.The working environment of the organization is excellent this is reason why employees are doing the work their and they are stable there.

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 Generally organization appointed the employees through the recommendations that is references even though other sources are there.

The employees are satisfied with the recruitment process of the organization. Most of the employees consider that the salary increment policy is good.

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CHAPTER: 8 BIBLOGRAPHY

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Bibliography Website
www.itcportal.com www.scribd.com http://www.citehr.com/162015-labour-welfare.html http://industrialrelations.naukrihub.com/employee-welfare.html

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CHAPTER: 9 QUESTIONNAIRE

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QUESTIONNAIRE ON EMPLOYEE WELFARE

General questions:1. Male / Female? M F

2. Marital status Single Married

3. Educational qualification Doctorate P.G Degree Graduate or Equivalent Below graduation others

4. Management level Junior Middle senior

5. Approximate length of service with the company. Less than one yr More than 11 yrs 3 to 5 yrs 6 to 10 yrs

6. How long have you been working at your present position? Less than 1 yr 2 yrs or more 1 - 2 yrs

7. Which department do you work in

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Customer service Finance

Research & development Sales marketing

Manufacturing & Production My questionnaire is likely to contain the following questions .Rate on a scale of 1-5 to indicate your option, 1 - Disagree 2 - Agree 3 Neither agrees nor disagrees 4 Moderately Agree 5 - Strongly Agree COMPENSATION:1. What do you say regarding the statement, compensation needs to be high enough to attract talented people. 2. If compensation level falls below the expectation of employees, the competitive employees may quit in frustration. 3. Your company grants you health insurance and takes care of you in your bad time. 4. Your company provides you equitable salary and compensation for the same position for various departments. 5. Are you satisfied with the compensation for housing provided to you by the 1 2 3 4 5

1 1

2 2

3 3

4 4

5 5

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company?

Training and Development: 1 2 3 The organization provides training and development to all employees efficiently. The company helps to enhance your knowledge, skills and abilities. 1 1 2 2 2 3 3 3 4 4 4 5 5 5

The company provides you opportunity for 1 your personal development at regular periods through training. Through training and development program, it helps the company to recognize talented employees for promotion. The company provides training to all employees according to the need of the organization to achieve its goal. 1

Organization culture: 1 The companys core values and mission is highly accepted and shared among the employees. Do you understand what the Company is 1 2 3 4 5

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trying to achieve? 3 The organizational culture is friendly and 1 helps new employees adapt it easily. 2 3 4 5

Your organization is discipline and is strict regarding leaves and misconduct.

There exists coordination among the senior and junior employees.

Work Life Balance: 1. The company provides flexible work hours and shifts. 2. You are satisfied with the working condition and facilities given by the company The company responds actively to problems arising in the work place and sorts them immediately. The company provides with various programs regarding how to reduce stress arising at work place. 1 2 3 4 5 1 2 3 4 5

3.

4.

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5.

The organization gives proper attention towards the social development.

Recruitment & Selection: 1 The company is transparent in respect of hiring and firing, promotion and demotion. The company internal policy of recruitment is easily accessible to all the employees. The company is very careful in hiring that is to select right person for right job. 1 2 3 4 5

3 4

2 2

3 3

4 4

5 5

The selection process that follows the 1 recruitment drive is the key phase in deciding the most competent candidate for a post. Proper Induction Program is given to all the new recruits to adapt faster to the organization. 1

Support & Recognition: 1 Do you agree that variable pay or pay for performance system is an effective practice for increasing performance of 1 2 3 4 5

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employees and help the company to be highly competitive?

The organization offers the employees career growth through promotions and reward for good work.

You are clear about the criteria based on which your good and bad performances are evaluated.

4 5

Your supervisor encourages Management 1 by Objective and Open Door Policy. Your manager gives necessary feedback for your work. 1

2 2

3 3

4 4

5 5

Relationship & Communication: 1 Whenever you need help your manager is 1 always available both for professional as well as personal needs. 2 3 4 5

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You are comfortable with your co-worker 1 /colleague.

You have a good supportive team to accomplish any desired goal.

Overall you are satisfied with your job at the Company. There exists communication between all the employees of different departments.

Employee Engagement & Empowerment: 1 Your manager delegate works to subordinates to make them accountable and let them grow. 1 2 3 4 5

You manager gives you assignments, 1 which is challenging and matches to your capability.

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The organization practice high 1 involvement of employee and immediate senior.

Through performance management system, your performance is reviewed periodically.

Your manager encourages you to develop 1 new and different ideas.

PROFESSIONAL EXCELLENCE:

The training and development programs given by the Company enhances you towards being better professional.

During the course of such program, you discover certain skills, which further enhance for being excellent towards your profession.

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Job rotation is provided by the organization so that one does not feel stagnant and ultimately leads to advancement of professional excellence. The feedback given to you by your supervisors/manager is implemented by you to improve upon the area concern.

Employee engagement & empowerment really enhances career and leads excellence towards ones profession. You have a clear path in ITC for career advancement.

Do you give credit to the company for enhancing you towards professional excellence?

The Organizational culture acts as a key factor behind excellent performance.

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