"ORGANISATIONAL CULTURE OF BHEL

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BHEL, Industry Sector, Lodhi Road New Delhi

Submitted by:Mani sajnani Roll No.- 0591131708

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INDUSTRY SECTOR
Industry Sector of BHEL located at Integrated Office Complex, Lodhi Road, essentially is involved in Projects Sales/Marketing; equipments are manufactured at various units of BHEL are offered to customers in form of a composite proposal which is compiled at the Industry Sector. Complete techno-commercial proposals are being submitted by Industry Sector including prices and commercial aspects. Industry Sector organizes seminars, meetings of customers called Customer Appreciation Programme, both existing as well as prospective customers to promote BHEL's goods and services. Employee Strength: Executives: Supervisors: Non-Supervisors: 160 119 24 17

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BHEL SECTORS - AN OVERVIEW Segment Power Industry International business Others %breakup 57.85% 23.43% 12.12% 6.6%

Industry segment break up in percentage:

12%

7%

Power Industry

23%

58%

Interanational business others

BHEL's PROFILE 3

BHEL: An Overview

Established in the early fifties, BHEL as it is known today, has come a long way from being mere heavy electrical generation equipment company to the position of leadership that it enjoys today with major presence not only in the field of power, but also in other core sectors of Industry, Transportation, Transmission, Oil and Gas, Telecommunication, Defence and Civil Aviation. It has:• • • • • 14 Manufacturing Divisions 8 Service Centers 4 Power Sector Regional Centers 15 Regional Offices Over 150 Project Sites

Today, BHEL has a major presence in the domestic power market and accounts for 65% of the nations installed power generating capacity, thus making a significant contribution to the growth and development of the country’s economy over the years.

It has had a consistent track record of growth, performance and profitability and has been reported by the World Bank as being “One of the most efficient enterprises in the Industrial Sectors at par with International Standards of efficiency”.

Having achieved the International Quality Certification ISO-9001:2000, ISO 14001& OHSAS-18001. The organization is now moving towards a culture of Total Quality Management (TQM) for achieving business excellence.

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BHEL has the proud privilege of having been selected as one of the Navratna PSEs by the Government of India. 5 . the company has set its sight on becoming a world-class innovative. The organization has been consistently exploiting market opportunities in India and abroad by competing.Having technology and business tie-ups with some of the leading world giants in the field BHEL has demonstrated its international competitiveness time and again which is evident by the fact that over 86% of domestic power plant orders floated for competitive bidding since 1978 have been bagged by BHEL. Bringing it on the threshold of a world-class player in the international arena. collaborating and coexisting with world leaders and enjoys a market presence in over 70 countries. Having steadfastly proved its international competitiveness time and again. competitive and profitable engineering enterprise that would provide total business solutions and has also articulated a set of values which would provide the guiding light to the organization on its journey to releasing its vision.

OBJECTIVES AND POLICIES  To maintain a leading position as supplier of systems. equipments and services to National / International standards and to attain a high level of customer confidence.  Design. Arrangement of various Customer Appreciation Programmes. 6 . Identification of new areas of business in which BHEL may enter. statutory aspects and National / International standards. procurement.   To acquaint customers on operation and maintenance of the equipment and systems. supply and execution of systems and equipments for Transmission Projects to meet requirements of customers stated as well as implied. FUNCTIONS   Give suggestions to various departments whether to enter in collaboration or not.

systems and services in the field of Energy. Courage. Team playing. Timely recognition. MISSION. Foster Learning. Communication. Industry. feedback and counseling. Respect for Dignity and potential of individuals. Credibility. Loyalty and pride in the company. competitive and profitable Engineering providing Total Business Solutions. MISSION To be the leading Indian Engineering Enterprise providing Quality products. Empowering with responsibilities and accountability at all levels. To be r 7 . Compassion and Visibility. Zeal to Excel. LEADERSHIP STYLE • • • • • • • To faster and sustain organized values. Visionary. information sharing and consultations. Infrastructure and other potential areas. Creativity and Speed of Response. transportation. VALUES AND LEADERSHIP STYLE OF BHEL VISION A world class innovative. Integrity and Fairness in all matters. VALUES • • • • • • • Meeting commitments made to external and internal customers.VISION.

have been summed up in the following lines: Strengths 1) Vast pool of trained manpower.SWOT ANALYSIS OF BHEL The strengths. weaknesses. 5) Product manufactured to international quality. opportunities and threats which are being experienced by BHEL as a growing concern. . 3) Good working atmosphere. 6) Low labor cost and manufacturing cost. 4) Rapport between management and union (labor participation in management decisions). 2) Excellent state of art facilities.

3) Navaratna company status. 5) Attractive credit packages by FFI to MNC’s. Opportunities 1) Growing power sector machinery.Weaknesses 1) Excess manpower. 9 . 4) Dominant player in domestic market. 2) Liberalization has opened up the market. 2) System implementation inadequate. 3) No financial package to buyers. 5) Export potential growing. 4) Dumping of goods. In spite of threats and stiff competition. 2) MNC’s taking away good employees with attractive packages. 3) Government taxation policy-against manufacturing sector. BHEL is showing its performance in as accelerating rate. Threats 1) Liberalization–entry of MNC’s/private sector–more competition.

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mission. vision. These traits generally vary from organisation to organisation to organistion are relatively stable over the time and influence the behaviour of people in the organisation. The organisation’s values. “A healthy organisation is one which obvious effort made to get people with different backgrounds. and abilities to work together towards the goal of the organisation. Thus every organisation has its own unique culture. determine the manner in which members are likely to perceive the various aspects of internal working.Organisational culture Introduction The internal working of every organisation has certain commonly perceived psychological characteristics or traits which are collectively called its culture or mileu.exceptions etc. procedures and norms constitute a culture that is manifested in multiple perspectives and adaptability to varying values. skills. beliefs and communication styles. policies.attidutes. “The culture of your organisation is the state of its health”. 11 .” An effective.not only thiseven different departments of same organisation may have different cultures depending upon the perception of members of the departments.needs. culturally diverse organisation is one whose culture is inclusive of all of the varying groups and constituencies it intends to serve. Various personal characteristics such as values.

Failure to respond to employee feedback can ultimately increase the number of workforce problems experienced within organisation. Both informal and formal structure combine to create what is called organisational culture. priorities.For many companies the proper implementation of an organisational culture survey cans provide valuable information that can be used to guide and increase its success. Organisational culture is a system of shared beliefs and attitudes that develop within an organisation and guides the behaviour of its member. Organisation culture has been a popular concept in the theory and research for sometime and has received a great deal of attention in the past 25yrs. beliefs and inters personal behaviours that prevail. and work with employees to make improvements in the work environment. Organisational culture “consists of the norms. However. It is also known as “corporate culture:. Defining Culture Perception about an organisational goals and decisions that a manager should take to achieve these goals come not only from the formal control system but also through the informal organisation. It influences morale and the attitude of the individuals towards his work and his environment. values and unwritten rules of conduct ofan organisation as well as management styles. Companies that choose to implement a survey must be prepared to respond to both positive and negative results. 12 . and has a major impact on the performance of organisation and specially the quality of work life experienced by the employees.

13 . traditions. • Together they create a climate that influences how well people communicate. The personality of the organisation defines the internal environment of an organisation. • Organisational culture is the totality of beliefs. There are clear guidelines as to how employees are to behave generally within the organisation an their expected code of conduct outside the organisation. customs. • Culture implies a pattern of beliefs and behaviour. The culture characteristics of an organisation are relatively enduring over time and relatively static in their prosperity to change. • Strong values let people know that is expected of them.Concept of organisational culture. • It differentiates an organisation from the others. plan and make decisions. Nature of organisational culture The features of organisational culture are as under: • • Like an individual every organisation has its own personality. It is cultivated behaviour in the sense that it is learnt from the members of the society. and values shared by the members of the organisation.

It exercises a significant influence on the attitudes. language and rituals of the organisation members. The rules of the game one must learn in order to be accepted in the organisation. Schein observed that atleast six popular meanings could be ascribed to organisational culture. • The climate that pervades and gets conveyed in the day to day functioning of the organisation. behaviour and performance of organisational members. The philosophy which guides the decisions and policies of an organisation. • • • The norms which evolve over a period of time in working groups. 14 . These are: • The observed behavioural regularities in the interactions.• • • It relatively enduring or stable over the time. It is perceived by the members and outsiders. • The dominant values which are exposed by the organisation (or by the dominant members of the organisation).

organisation and workgroup.e. Recent research has identified over 460 different types of work environment characteristics that have been measured.e. centralisation and direct supervision.Components of organisational culture It can be difficult to identify the large number of organisational culture areas that exists. • Position structure: i. In many companies there are particular areas where employee feedback would be useful. 15 . the extend to which rewards are related to performance and the required system of behaviour in the organisation. leader. • Reward orientation: i. roles. The basis of organisational culture lies in the following: • Individual autonomy: i.e the extend of differences present between individuals and departments and the way which they are resolved. Whether the supervision is production oriented or people oriented? • Conflict: i.e. • Consideration: i. the degree to which employees are free to manage themselves or not accountable to others.e. the extend of formalisation. the extend to which the people in the organisation offer social emotional support to each other and work as a team. Many of these characteristics can be classified into the following major areas: jobs.

• Communication patterns : the degree to which organisational communications are restricted to the formal hierarchy of authority. formal rules and regulations. take risks and commit honest mistakes without fear of punishment. Participative culture tends to emerge where most of the organisational members see themselves is equals and take part in decision making. Mechanistic and organic cultures : The mechanistic organisational culture exhibits the values of bureaucracy and so is called ‘bureaucratic culture’. Types of organisational culture Authoritarian and participative cultures : In this type of culture. In Organic culture formal hierarchy of authority. and prescribed channels of 16 . Any disobedience is punished severely to state an example to others. There is centralisation of power with the leader and obedience to orders and discipline are stressed. formal boundaries. • Outcome orientation : the degree to which management focuses on results or outcomes rather than on the techniques and processes used to achieve these outcomes. departmental boundaries. This sort of culture resists change and innovation. Organisational jobs are created around narrow specialisations and people think of their careers mainly within these specialisations. There is a great deal of departmental loyalty And interdepartmental animosity.e the degree o freedom to experiment with new ideas. authority is thought of as flowing down from the top of the organisation to the lower levels and communication flows through prescribed channels. The basic assumption is that the leader knows what is good for an organisation and he always acts in its interests.• Risk taking : i.

the culture of an organisation provides its stability. team work and free flow of communication-formal and informal. They automatically observe the organisational standards and norms of behaviour. • Organisational culture creates the boundary beyond which no employees are permitted to go. the culture attached to the organisation is immediately recalled. An organisation is distinctively different from other organisations by virtue of its cultural values. Whenever people name an organisation. Within any given unit. There is a great deal of emphasis on task accomplishment. The culture stresses flexibility. There is a widespread understanding within staffing of the problems. the tendency for integration and consistency will be assumed to be present but it is perfectly possible for coexisting units of a larger system to have cultures that are independent and even in conflict with each other. consultation. threats and opportunities the organisation is facing and there is willingness and preparedness to take appropriate roles to solve the problems. People prefer to continue with the 17 . • An organisation is well recognised by its culture. An organisation culture emerges where there is an integration of all the departments into a unified whole. change and innovation. Sub Culture and Dominant Culture : Each department of an organisation may have its own culture representing a sub culture of the system.communications are forward upon. Role and significance of organisational culture • Each organisation is recognised by its culture. Besides this the following functions are performed by the organisational culture. beliefs and norms.

It is instrumental to increased production and satisfaction. Satisfied employees get more and enthusiasm for performing the respective jobs. Employees. People’s satisfaction lies in the employees smile. financers and other related persons prefer to remain with the organisation. Culture enhances organisational commitment and increases the consistency of employee behaviour. Disciplined employees make other employees disciplined and well behaved. customers. • The social recognition of the organisational culture makes the organisation grow and develop in all dimensions. • Organisational culture acts as a motivator that guides and controls the employees. • A strong culture ensures better performances. 18 . Advantages of organisational culture • The advantages of a sound organisational culture are ultimately reflected in employees performance and satisfaction. It reduces ambiguity and tells implicitly what to do and how to do. • The attitude and behaviour of the employees are directed towards the achievement of goals through a sound culture. The image of an organisation is increased and people are satisfied with the performance of the oragnisation.organisation.

• There is a great deal of departmental loyalty and inter departmental animosity.formal and informal. formal rules and regulations. departmental boundaries. • There is great deal of emphasis on task accomplishment team work. free flow of communication. 19 . formal hierarchy of authority. This sort of culture resits change and innovation. • In the organic culture. and prescribed channels of communications are frowned upon.

organizing. planning. Transmission Business Group 4. staffing. controlling. Regional Operation Division There is centralized HR department which catering the HR services for the above divisions. Lodhi Road. A perfect manager has great communication skills and has the power of playing the different roles in the organization. separation.HR Department at BHEL. are performed by the HR department. All activities related to the employees e. In the HR department the function are performed for the betterment of the employees. following divisions of BHEL are located:1. Human Resources department of an organization is very important as every transaction involves the human aspect and it is very crucial work to manage the human resource. New Delhi. Industry Sector 2. Employee Strength of H R Department Executives Supervisors Others Total Strength 9 6 6 21 20 . directing. The HR manager requires the specialized knowledge of human behavior and psychology. communicating. International Operations Divisions 3.g. etc. Industry Sector In the Integrated Office Complex.

 To know the satisfaction level in terms of motivation through welfare schemes among Sr.  To get the feedback of the employees.  To justify the working condition and the position analysis of the official employees and employees posted at sites. Industry Sector.  To suggest some of the schemes which meet the requirements of the employees.  To know whether employees are getting benefits from the welfare schemes. Lodhi Road and the employees posted at sites for their esteemed customers.CHAPTER-3 RESEARCH METHODOLOGY OBJECTIVES AND PURPOSE OF STUDY OBJECTIVES OF STUDY  To compare the Monetary and Non-Monetary Benefits given to the official employees of BHEL.  To suggest some changes in order to satisfy the needs of employees. 21 . executives.

Therefore.2010.e. this study is conducted to co-relate the employee satisfaction level with the retention rate of employees at BHEL. it is being observed that. 22 . Lodhi Road.SIGNIFICANCE OF STUDY After observing of Attrition Rate of BHEL. Industry Sector. Lodhi Road.19% for the year 2009 . 0. it is almost steady. i. Industry Sector.

SAMPLE Sampling planSampling unit : Sampling Area : Office and Site employees(E1 and E2 grades) BHEL. Lodhi Road Sampling Method : Stratified Sampling & Convenient Sampling Sample size : TOTAL : 33 23 . Industry Sector.

Secondary source are profile of BHEL. Sometimes the information that cannot be collected through discussion can be collected through questionnaire and the opinion of the respondent can be made clearer. The respondent feels confidence in anonymity of questionnaire than with that of interviewer. The person who wants the information. Questionnaire: It is usually associated with self-administrative tool with items of closed or fixed alternative type. raises concerned topics and follows the other person to freely express his or her views. The tools of data collection as follows: (a) Discussion (b) Questionnaire Discussion: Under this method of collecting data the investigator personally comes in contact with the persons from whom the information is to obtain certain critically element can be discussed. The 24 . It places less pressure on subject for immediate response. personnel manual of BHEL and concerned literature. The primary source included the respondent from whom the required information was gathered directly and emphasis was laid on their opinion.COLLECTION OF DATA Data was collected from both primary and secondary sources. This was the reason to choose questionnaire and one of the tools for data collection.

Sample size being small not everybody’s view could be considered. Lodhi Road was carried out from different departments. This method is popularly used in those cases where a complete list of the population. from which the sample is to be drawn. multiplechoice open-ended questions written with answers space provided for response. 40 employees (Executives E1-E7) were selected on random basis. (II) SAMPLE SIZE: The method of sampling used was systematic sampling. open-ended questions. Hence it cannot reveal the exact trends of Welfare Schemes and opinion of all employees. 25 . The study of employees of BHEL. Problem parting with the confidential information. There is a great tendency of fluctuation in the response and their behavior. (IV) LIMITATIONS: • • • • The study has been confined to a period of 60 days. is available.questionnaire consisted of multiple choice questions.

Employees Strongly 1 Agree 10 Agree 13 Natural 1 Disagree 0 Strongly Disagree 0 Total 24 Interpretation : 41% of the entire sample of employee are strongly agree that this company is preity good place for them to them to work.CHAPTER-4 FINDING AND ANALYSIS ANALYSIS REPORT 1. whereas 54% are agree and 4% are neutral None employees are disagree or strongly disagree. 26 . This company is pretty good place to work.

62% are agree with their job profile. Employees Strongly 1 Agree 6 Agree 15 Natural 3 Disagree 0 Strongly Disagree 0 Total 24 Interpretation : 25% of entire sample of employee are strongly agree that their job profile.2. 12% are neutral they are neither disagree nor strongly disagree with their Job profile. My boss has confidence on me. 27 . 3. I like my job profile.

28 . My opinion are mostly considered by my boss. 4.Employees Strongly 1 Agree 13 Agree 10 Natural 1 Disagree 0 Strongly Disagree 0 Total 24 Interpretation : 54% entire sample of employee excepts that they boss has confidence on then and 41% person are agree with this and 4% are natural none are disagree or strongly disagree.

58% are agree with this that their boss mostly considered their decisions 16% are natural. I am able to make best use of my knowledge and skills in this company. 5.Employees Strongly 1 Agree 6 Agree 14 Natural 4 Disagree 0 Strongly Disagree 0 Total 24 Interpretation : Only 25% entire sample of employee are strongree agree that their openious are mostly considered by their boss. 29 .

6. I am free to express myself in front my colleagues and boss.Employees Strongly 1 Agree 7 Agree 9 Natural 5 Disagree 3 Strongly Disagree 0 Total 24 Interpretation : 29% of people are strongly agree are able to make best use of their knowledge and skills in the company 37% are agree with this and 20% are neutral and 12% employees are disagree with this. 30 .

31 .Employees Strongly 1 Agree 11 Agree 12 Natural 1 Disagree 0 Strongly Disagree 0 Total 24 Interpretation : Only 20% of entire sample of employee strongree agree with fringe benefits provided to then by then by the company in comparison to other companies 45% are agree and 29% are neutral 4% are disagree none are strongly disagree.

Employees Strongly 1 Agree 7 Agree 12 Natural 3 Disagree 2 Strongly Disagree 0 Total 24 Interpretation : 29% of employee are strongly agree that their efforts enable then to go ahead in the company 50% are agree with this 125 are neutral and 8% are disagree none employees are strongly disagree. 32 . My efforts enable me to go ahead in the company.7.

8. Employees Strongly 1 Agree 6 Agree 15 Natural 1 Disagree 1 Strongly Disagree 1 Total 24 Interpretation : 25% of entire sample of employees strongly agree that their salary pacakage are comparatively good in compartison to other companies 62% are agree and4% are neutral and4% disagree and 4% are strongly disagree. Salary packages at BHEL is comparable with those of other company. 9. Fringe benefits provided by company are comparable with other company. 33 .

34 .Employees Strongly 1 Agree 5 Agree 11 Natural 7 Disagree 1 Strongly Disagree 0 Total 24 Interpretation : Only 20% of entire sample of employee strongree with fringe benefits provided to them by then by the company is comparison to other companies 45% are agree and 29% are neutral 4% are disagree none are strongly disagree.

I am able to balance my family life and work. 45% are agree 16% are neutral none employee are disagree or strongly disagree. 35 .10. Employees Strongly 1 Agree 9 Agree 11 Natural 4 Disagree 0 Strongly Disagree 0 Total 24 Interpretation : 37% of employee are strongly agree with this that they are able to balance their firmly and work.

and various samples……. 36 .TECHNIQUES OF DATA ANALYSIS In analysis of data the techniques used are as follows:- 1) pie-charts 2) tables…..

Conveyance Expenditure For Executives 37 .CHAPTER-5 CONCLUSIONS AND SUGGESTIONS CONCLUSION The above welfare schemes are providing satisfaction to the employees in terms of:- WELFARE SCHEMES BHEL Group Savings Linked Insurance Scheme CATEGORY OF SATISFACTION Social security and Monetary benefit to Family. Social Welfare Social Welfare Leave Travel Concession Leave Travel Assistance (LTA) Social Welfare Leave Encashment Motivation Scheme For Reimbursement Of Monetary benefit. Group Insurance Scheme Social Welfare and Monetary benefit. BHEL Employees Housing Loan Group Insurance Scheme Group Personal Accident Policy Social Welfare and Monetary benefit.

Monetary benefit Festival Advance Grant Of Conveyance Allowance To Blind And Orthopaedically Handicapped Employees Monetary benefit Washing Allowance Monetary benefit Foreign Tours Monetary benefit Transfer TA On Retirement/Death Monetary benefit Annual Payment Of Bonus Monetary benefit BHEL EXCEL Awards Scheme Motivation and Monetary benefit Children Education Allowance Monetary benefit Gift Vouchers For The Employees Monetary benefit House Building Advance And Interest Subsidy Scheme Monetary benefit 38 .Death Relief Fund Scheme Scheme For Cash Award For Acquiring Higher/ Additional Qualifications Social Welfare Motivation and Monetary benefit.

Therefore. • • • Condition of housing accomodation should be improved. But these schemes do provide motivation up to some extent to the employees. The employees are not fully aware about some of the schemes provided to them by the company. The medical facility should be provided to the dependent parents who were govt. Interest free advances like festival advance should be provided for miscellaneous domestic capital expenditure LTC facility should be allowed through air for all executives. Allowances may be increased which should not have tax liability. Working condition to be further improved. the present welfare schemes running in the company are not providing that level of satisfaction which is expected. Membership to clubs.According to the data analyzed. SUGGESTIONS: 39 . EMPLOYEES VIEWS: • • • • • • • There shall be an executive club in BHEL as the same exists in other BHEL units. The education subsidy should be provided to the college going children also. There is a need for improvement in these schemes. Vehicle loan facility upto 90% of the vehicle cost should be provided with nominal interest rate. the lack of awareness doesn't let these schemes to be utilized in a proper way. sports compex should be provided under corporate scheme on payment of nominal fees to promote sports activities amongst employees and their families. employees and getting pension provided they furnish certificate that they are not claiming medical facility from any other source.

• Programmes should run in the company in order to aware the employees about the welfare schemes of the company. 40 . I like my job profile.• The welfare schemes should be made more friendly so as to provide full satisfaction. APPENDIX 1. This company is pretty good place to work. • Changes in the schemes should be done occasionally according to the need of employees. • • The welfare schemes should be made more transparent. Hence this should be followed. • Most BHEL employees want motivation as the criteria in addition to monetary and social security. Employees Strongly 1 Agree 10 Agree 13 Natural 1 Disagree 0 Strongly Disagree 0 Total 24 2. In comparison to other companies what extra benefits the employees are getting should be made clear to them.

I am able to make best use of my knowledge and skills in this company. Employees Strongly 1 Agree 13 Agree 10 Natural 1 Disagree 0 Strongly Disagree 0 Total 24 4. My opinion are mostly considered by my boss. Employees Strongly 1 Agree 7 Agree 12 Natural 3 Disagree 2 Strongly Disagree 0 Total 24 41 . Employees Strongly 1 Agree 6 Agree 14 Natural 4 Disagree 0 Strongly Disagree 0 Total 24 5.Employees Strongly 1 Agree 6 Agree 15 Natural 3 Disagree 0 Strongly Disagree 0 Total 24 3. My efforts enable me to go ahead in the company. Employees Strongly 1 Agree 7 Agree 9 Natural 5 Disagree 3 Strongly Disagree 0 Total 24 6. My boss has confidence on me. I am free to express myself in front my colleagues and boss. Employees Strongly 1 Agree 11 Agree 12 Natural 1 Disagree 0 Strongly Disagree 0 Total 24 7.

Salary packages at BHEL is comparable with those of other company. CHOPRA Business Studies 42 . Employees Strongly 1 Agree 6 Agree 15 Natural 1 Disagree 1 Strongly Disagree 1 Total 24 9. Employees Strongly 1 Agree 5 Agree 11 Natural 7 Disagree 1 Strongly Disagree 0 Total 24 10. Fringe benefits provided by company are comparable with other company.8. I am able to balance my family life and work. Employees Strongly 1 Agree 9 Agree 11 Natural 4 Disagree 0 Strongly Disagree 0 Total 24 BIBLIOGRAPHY BOOKS Organizational Behaviour By R.K.

com www.yahoo.BY C.in 43 .com www.B. GUPTA INTERNET www.Google.co.bhel.

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