A PROJECT REPORT ON FUNCTIONING OF THE HUMAN RESOURCE DEPARTMENT AT FORCE MOTORS LTD.

IN PARTIAL FULFILLMENT OF MASTERS IN PERSONNEL MANAGEMENT UNIVERSITY OF PUNE BY ANJALI ANAND MPM BATCH 2009-11 INDIRA INSTITUTE OF MANAGEMENT,PUNE

PREFACE
This field work is undertaken to study the HR practices followed by FORCE MOTORS LTD., Akurdi , Pune. The human factor is the most critical and dynamic factor in the management of the organization. Indian industry is waking up to the challenges thrown in market economy, to survive in the highly competitive scenario, managers are being pressured to improve quality, increase productivity, cut down waste and eliminate inefficiency. The employer and the employee assume relevance in this context. And this is where Human Resource Management can play a crucial role. This field work report on HR practices is a modest but sincere attempt towards the understanding of organisation human resources perspective. The contents have been logically divided into sections to enable the reader comprehend thoroughly the vital aspects and applications of the various principles of Human Resource Management. In all, this report provides brief information about Management of Human Resources at Force Motors. Ltd.

ACKNOWLEDGEMENT
Whatever we do, there is someone who helps us to achieve our goals, compete our targets or simply inspire us. This project too has been the result of many such inspirations, a lot of support and helps from my guides. It is a great privilege that I have done my field work in such a well organized and diversified organization. I would like to thank the organization for giving me an opportunity of learning and contributing through this field work report. During my actual project work, Mr. Mohan Kolapkar [Divl. Manager (H.R.M.)] and Ms. Pallavee Godbole has been the source of inspiration through their constant guidance; personal interest; encouragement and help. I convey my sincere thanks to them. In spite of their busy schedule they always found time to guide me through the project. I am also thankful to our Director Mrs.Prachee Javadekar and my project guide Mrs.Gayatri Kulkarni for helping me in completing the project. Last but not least, I am also thankful to my friends for helping me directly or indirectly in my project.

ANJALI ANAND

TABLE OF CONTENT CONTENTS COMPANY PROFILE INTRODUCTION HISTORY MILESTONES AND ACHIEVEMENTS PRODUCT RANGE ANNUAL TURNOVER QUALITY ACCREDITATION EMPLOYEES STRENGH BOARD OF DIRECTORS CODE OF CONDUCT ORGANISATION STRUCTURE PERSONNEL DEPARTMENT ACTIVITIES ORGANISATION OF THE PERSONNEL SET UP MANPOWER PLANNING RECRUITMENT SELECTION H.R.ACTIVITIES INDUCTION TRAINING PERFORMANCE APPRAISAL WAGES AND SALARY ADMIN. WAGES AND SALARY STRUCTURE TIME KEEPING AND LEAVE RECORDS PROMOTION AND TRANSFER H.R. INFORMATION SYSTEM H.R. AUDITING CURRENT TRENDS IN HRM STRESS MANAGEMENT QUALITY CONTROL SYSTEM LABOUR WELFARE WORKERS PARTICIPATION IN MANAGEMENT INDUSTRIAL RELATION
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PG NO. 5 6 7 13 17 22 22 22 23 24 25 26 27 28 29 30 32 33 34 35 36 37 37 37 39 41 44 45 46 48 52

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DISCIPLINARY NORMS/PROCEDURE TRADE UNION GRIEVANCE HANDLING NEGOTIATION AND COLLECTIVE

56 58 58 58 60 61 61 61 62 63

BARGAINING FIELD WORK REPORTING OBSERVATION CONCLUSION LIMITATION BIBLIOGRAPHY QUESTIONNAIRE

COMPANY PROFILE

INTRODUCTION
Force Motors : Bajaj Tempo Limited has changed its name to Force Motors Limited, an enterprise of the Firodia Group. The Company was set up by Shri N.K. Firodia and began its operations in 1950 in collaboration with Vidal and Sohn of Hamburg Germany. It started with import of Tempo three-wheeler. In 1957 it began the manufacturing of HANSEAT 3 wheelers in a small plant at Goregaon, Mumbai. It established its strong presence in the LCV (Light Commercial Vehicle) with the Matador that became synonymous with lcvs in India. Vidal & Sohn merged with Daimler Benz in 1970s, therefore in a new collaboration in July 1982, the company produced Mercedes Benz OM 616 engine. In the last 5 years Force Motors has introduced new Light Commercial Vehicles, a new family of Utility Vehicles, new state-of art Tractors, and a new range of Three-Wheelers. The manufacturing unit is located at Akurdi (Pune) and Pithampur (Indore).

HISTORY FOUNDER

SHRI N.K. FIRODIA 1910-1997 Shri Navalmal Kundanmal Firodia freedom fighter and dedicated Gandhian,participated in the freedom struggle,joining the Non-Cooperation Movement in 1932 and the Quit India Movement in 1942.He was repeatedly imprisoned.His vision of an independent and industrially strong nation inspired his many achievements.He went on to pioneer the Automotive Industry in India,first founding M/s.Jaya Hind Industries Limited in 1946.Jaya Hind Industries Ltd. Is the promoter of Bajaj Tempo Ltd.- now FORCE MOTORS LTD. It was he who established the concept of the low cost public transport the Autorickshaw.In fact the word,Autorickshaw was coined by him- now it is who accepted in the English language Dictionaries.It was Shri N.K. Firodia

developed the autorickshaw and scooter business of Bachraj Trading Corporation Limited,now Bajaj Auto Limited as per a joint venture agreement affecting from 1st December 1947.He was largely responsible for the gradual growth of Bajaj Auto Ltd.and for the prosperity of that company from the start of the autorickshaw and scooter project,till 1968.

THE BEGINNING
In 1950,Shri N.K.Firodia has already entered into a separate collaboration with M/s. Vidal Sohn of Germany,to import Tempo Hanseat 3 wheeler chassis,and manufacture vehicles with specialized bodies for 3 wheeled Auto Rickshaws and pick-up-trucks. The company Bajaj Auto Ltd. Was founded in 1958.A dedicated factory for the production of Tempo Hanseat 3 wheelers was set at Goregaon,a suburb of Mumbai. 8

In the very first year ,the company produced 517 vehicles with a total sale value of Rs.14,29,618.The Three Wheeler Tempo Hanseat went on to become an extremely popular,low cost vehicle,in various parts of rural India.

Tempo Hanseat 3 Wheeler

ACCLERETING AHEAD
In the 1950's, in the wave of corporate mergers in Germany, Vidal & Sohn merged with a company called Hanomag.They were later taken over by Henschel, which was ultimately purchased by Daimler Benz, now known as daimlerchrysler.Thus, The companny have had close partnerships and technical collaborations, with a number of renowned German companies since 1958.In 1961, 120 acres of land was acquired for building a modern new plant at Akurdi, near Pune to manufacture Four-wheeled Light Commercial Vehicles (lcvs), for the first time in India. The factory was Contemporary and ahead of its time, with high degree of vertical integration adopted in manufacturing.The first LCV to be introduced in 1964 was the 2 ton GVW Vikinga petrol engined vehicle. This was followed by the diesel engined 3.5 ton GVW Matador vehicle in 1970. In 1972, the complete machinery for manufacture of D301E2 diesel engine - the 'Matador engine' - was installed. The Matador proved to be the most popular Light Commercial Vehicle in India, serving the nation for 30 years with efficiency and reliability.

. 1964:viking petrol LCV Indias 9 1972:the Matador-

HITTING THE HIGHWAY

After the oil shock of 1973, diesel became the fuel of choice for all commercial transportation in India. The Matador diesel vehicle, with its legendary reliability, powered the company to great success.In 1982, the OM-616 Mercedes engine was introduced. This Mercedes engine, one of the most famous models ever built, gave the company a technological edge and an immense amount of success. The collaboration with Mercedes Benz (Daimler Benz) was strengthened with the signing of the collaboration for the Tempo Traveller in 1986. In 1987, the ultra modern Pithampur Plant designed & built to the specification of Mercedes Benz was inaugurated for the production of the Tempo Traveller and the new generation of four-wheelers. This year also witnessed the entry of the Trax, a completely indigenously designed utility vehicle.

Shri H.K.Firodia 1919-1995

Pithampur Plant

NEW VISION - NEW PASTURES

In 1992, the Research & Development activity of the company was entirely computerized. A new Computer Aided Manufacturing (CAM) tool room was inaugurated - the first of its kind in India. This strengthened the engineering capability of the Company, to develop and put to production - new vehicle platforms, the first of which was the Minidor -a new concept in Auto Rickshaws. Later, a full new range of modern tractors, with Horse Power ranging from 25 to 45 HP, was introduced. This too was a result of the strong in-house R&D. 10

The Akurdi plant, built initially for the production of lcvs was fully revamped and remodeled in 1997, to produce the Tractor and the Minidor 3-Wheeler. The company's commitment to maintain and modernize its plants and processes and to simultaneously provide employment to old existing employees was expressed through this effort. Dr. Rolf The year 1999 was a year of achievements and accolades. Mercedes Benz asked the company to produce engines for the production of their Mercedes cars in India. A new plant was set up and was dedicated to the assembly and testing of these machines. To date, over 10,000 engines have been supplied to Daimlerchrysler India, for powering Mercedes cars. This initiative culminated in the company winning the famous Mercedes Quality Award twice.

Abhay Firodia introduced

1999:Tempo Excel LCV

GEARING UP FOR THE FUTURE

At the turn of the millennium, Tempo had established 4 product lines: 3 Wheelers (Minidor), lcvs (Excel and Traveller), muvs (Trax), & Tractors (Balwan and OX), supported by 4 areas of excellence. The 4 areas of excellence are being - Research & 11

Development, Manufacturing.

Production

Engineering,

Engine

Manufacturing

&

Vehicle

Meanwhile by an amicably negotiated arrangement, Daimlerchrysler exited from the share holding in the company, yet continuing the close business relations. We signed new agreements with them, for sourcing technology, for the state-of-the-art common rail (CRDI) engines & modern gear boxes. In 2002, it was decided to add a 5th product line of Heavy Commercial Vehicles to the Company's business portfolio, along with a 5th area of excellence in 'Marketing' to Strengthen the company for the future. In a historic agreement with MAN - world leaders in engine and truck technology, the company formed a new alliance. This alliance enables it to produce trucks that not only have the latest technology, but also possess the most reliable engines. The Company MAN is the worlds most respected Diesel Engine Manufacturers. The inventor of the Diesel Engine Mr. Rudolf Diesel built the worlds first Diesel Engine at MANs Augsburg factory in 1897.In October 2004, the Company took another momentous step by entering into a comprehensive 'Technology Agreement' with ZF the world leaders in transmission technology. Enabling the company to acquire latest product and processes technology for heavy duty Truck & Bus Gearboxes. This new agreement is the 5th occasion, over last 40 years, when the two companies - Bajaj Tempo Ltd. And ZF Germany have collaborated.

THE NEW FORCE

The traditional values of Ethical Business, strength in Technology & in Manufacturing, Energy in Product Development, and the array of new Technological Alliances - with MAN, Daimlerchrysler, and ZF, today enable it to reposition itself in the Indian and the Global markets. When force makers took steps to rechristen the company, gave its name a meaning and a character, which reflects not only their Values, Strengths and Vision for the future, but more. It is also the 'binding force, in their close and mutually beneficial relations, with over 5,00,000 valued customers, over 500 dealers, hundreds of suppliers and other close Business Associates. In its 12

new avatar, company will be henceforth known as FORCE MOTORS LTD. The word FORCE denotes, in engineering terms the product of mass & acceleration. But to them, it is the definition of the way they conduct their enterprise. FORCE is the Dynamism with which the company ventures into the Future of its business.

Prasan Firodia

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MILESTONES AND ACHIEVEMENTS

Late Shri N.K.Firodia, a dedicated Gandhian and Visionary was the Industrialist, FounderHaving

Managing Director of the company. participated in the freedom struggle for India in 1932 and 1942 was determined to achieve Industrial modernization for India. He established, starting in 1950, with import progressive Wheeler. On 15th in Vidal Collaboration & Sohn, later

Hamburg, Germany the and manufacture

in India of the Tempo 3August 1957, the 10th

anniversary of Indian independence, Mr. N.K.Firodia signed a collaboration with Vidal & Sohn Tempo Werke gmbh for 14

phased manufacturing of TEMPO 3WHEELER & manufacturing was started in a small plant at Goregaon, Bombay. The initial licensed capacity granted by the government was 1000 per year and 80 vehicles per month. Expanding the business in 1961, the Company acquired about 150 acres of land in Akurdi near Pune. The production was transferred to Pune by the end of 1964. Ambitious plans for producing Light Commercial Vehicles for the growing industrial economy of India were drawn up. The manufacture of TEMPO VIKING 4-Wheeled Trucks & Vans commenced in November 1964. The licensed capacity was increased to 6000 vehicles per year. The VIKING vehicle subsequently was upgraded with a diesel engine and the MATADOR was born. The production of Matador commenced in 1969. In 1975, the manufacturing capacity of the company was increased to 12,000 vehicles per year, in addition to 6,000 diesel engines for other purposes. The collaborator company in Germany, in the wave of mergers during the 70 s merged eventually with Daimler-Benz. In July 1982, the company in a new collaboration - with the then Daimler Benz - produced the Mercedes Benz OM 616 engine under license for fitting on its line of vehicles. The TEMPO TRAX Vehicle, specifically designed for the rough roads of rural India was developed by the Company's Research & Development department, to cater to the growing mechanization of passenger transport in rural India. To further modernize its LCV product range, the Company took up the production of the TEMPO TRAVELLER, under license from DaimlerBenz. A new Plant was set up 15

in 1987, on a Greenfield site in Central India at Pithampur in Madhya Pradesh. This modern developed facility in close was co-

operation with Daimler-Benz. The plant is equipped with a modern conveyorised body welding and Electrophoretic dip painting shop. The Plant has been expanded to house a new Press Shop in 1997. In 1996, the company introduced a new range of Three Wheelers MINIDOR - pick up and auto rickshaw. These vehicles were completely designed in house using its own modern Computer aided Design and Computer In 1997, a the company Aided Manufacturing facilities conceived technologically

superior tractor, the OX, as a diversification and the OX 45; a 45 HP tractor was introduced. The tractor was designed using Transmission technology from ZF, Germany, and technical assistance for engine from AVL, Austria and hydraulics technology from Bosch. A 35 HP version of the tractor, the OX 35 was introduced in 1999. During 2002, 25 HP OX-25 16

was added to its range. The company launched Balwan range of tractors in 2003. In 1999, The EXCEL range of state of the art Light Commercial Vehicles was introduced. These vehicles with their superb ergonomics and superior aggregates represent the latest generation of LCV s in India that can carry payloads upto 4 tonnes. Continuing with the efforts to introduce new products, the company in the year 2000 introduced two new - highly refined vehicles - specially designed for the Indian market.- Trax JUDO and Trax GAMA. Trax JUDO, now with a Euro II compliant engine, all metal body, excellent fit and finish is the All Rounder multi utility vehicle, with both air conditioning and power steering as standard options. Trax GAMA also features a full metal body and fine fit and finish, with a most economical DI engine. The GAMA is thus the Ideal People Carrier, for rural as well as urban transportation needs.

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In the Year 2000, the Pithampur plant and its Mercedes Engine facilities received the prestigious ISO 9002 certification for quality systems. In year 2003, the entire Akurdi plant and Pithampur Plant were certified to ISO 9001: 2000. Recently the company has firmed up a joint venture with MAN AG of Germany for manufacturing of trucks at Pithampur, the industrial hub of Madhya Pradesh in Indore. On 3rd Dec 2008 another agreement was signed between Man AG and Force motors to the effect that both will hold equal (50:50) stake in the JV company Man Force trucks pvt. Ltd.

PRODUCT RANGE
The company produces so many types of vehicles. MUV LCV 3 WHEELER SCV TRACTOR

MUV
Force motors produces two types of MUVs: (i) MUV ( Goods Carrier)

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Trax Hospital Waste Incinerator

Trax Ambulance

Trax Recovery Van

Trax Troop Carrier (ii) MUV Passenger GAMA Gurkha black beauty Cruiser classic Toofan classic TRAX ambulance Challenger

Trax Cash Van

Trax Vaccine Carrier

LCV
(i) LCV (Goods Carrier)

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Commuter Mobile Laboratory

Excel 2Wheeler Carrier

Excel Cash Van

Excel Cash Van

Excel Cylinder Carrier

Excel Delivery Van

Excel Delivery Van

Excel Laboratory

Excel Recovery Van

Excel Side Delivery Van

Excel Tea Supply Van

Excel Water Tanker

(ii) LCV (Passenger)

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Commuter Mobile Clinic

Excel Ambulance

Excel Bus

Traveller Police Van Traveller Mobile ATM

3 WHEELER

Minidor Ice Cream Parlour

Minidor Burger Shop

Minidor Coffee Van

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Minidor Soft Drinks Minidor Demo Carrier Carrier

Minidor Gas Cyl Carrier

Minidor Tipper

Minidor Ambulance

Minidor 2Wh Demo Vehicle

Minidor High Deck Pick Up

Minidor School Bus

SCV
M4 SUPER M4 SUPER CNG

TRACTOR

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 Balwan 500 Balwan 400 Balwan 450 Balwan 330 Orchard ox25

ANNUAL TURNOVER
The annual turnover of the Force Motors Ltd. is Rs.1300 crore.

QUALITY ACCREDITATION
Force Motors. is ISO certified company.

EMPLOYEES STRENGTH
The strength of pay roll employees in the company is 5400.

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BOARD OF DIRECTORS

No. 01. 02. 03. 04. 05. 06. 07. 08. 09. 10. 11. 12.

Name Mr. Abhay Firodia Mr. S. N. Inamdar Mr. Bharat V. Patel Mr. Pratap G. Pawar Mrs. Anita Ramachandran Mr. S. Padmanabhan Mr. L. Lakshman Mr. Sudhir Mehta Mr. Vinay Kothari Mr. Prasan Firodia Mr. S. A. Gundecha Mr. R. B. Bhandari

Designation Chairman & Managing Director Director Director Director Director Director Director Director Director Director Director Director

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CODE OF CONDUCT

Applicability This Code of Conduct is applicable and binding on the Directors and Senior Management Personnel of the levels of Presidents, Vice Presidents, who are Members of the Senior Management Team of the Company. Code of Conduct The Board Members and Senior Management shall o Always act in the best interest of the Company; o Adopt highest standards of personal ethics and integrity in their dealings with the Company; o Make disclosures, to the Board of Directors, relating to all material financial and commercial transactions in which they have personal interest, and may have a potential conflict with the interests of the Company; o Ensure security of all confidential information made available to them in the course of discharge of their duties or otherwise; o Follow all prescribed safety and environmental norms; o Not engage with any member of the Press or Media in the matters connected with the Company or its business unless specifically permitted by the Board of Directors of the Company or the Chairman & Managing Director of the Company; o Conduct themselves and their activities outside the Company in such a manner as to not adversely affect the image or reputation of the Company; o Accept and act according to this Code of Conduct and affirm compliance with this Code on annual basis.

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ORGANISATION STUCTURE

Management (7 Grades)

Supervisory Level (6 Grades)

Clerks

Operators

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PERSONNEL DEPARTMENT ACTIVITIES

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ORGANIZATION OF THE PERSONNEL SET UP

H.R. DIVISION GENERAL

hrh MANAGER

HRD DEPT.

PERSONNEL HRM DEPT.

SENIOR EXECUTIVE

SENIOR DIVL. MANAGER

EXECUTIVES

DIVL. MANAGER

HR OFFICERS In Force Motors LDT. ,the whole personnel set up is divided into two departments, the first one is HRD department and the other one is personnel HRM department.HRD department looks after the activities like Recruitment, selection 28

,induction ,training and development, and performance appraisal of the human resources. The other department takes over the work of Industrial Relations.(i) IR system (ii) Discipline and grievance management (iii) industrial disputes management.

MANPOWER PLANNING
Manpower planning also called as human resource planning is the process including forecasting , developing , implementing , and controlling by which a firm ensures that it has the right number of people and right kind of people , at the right place ,at the right time , doing things which are economically most suitable.

Objectives of HRP:
To recruit and retain the human resources of required quantity and quality. To foresee the employee turnover and make the arrangements for minimizing turnover and filling up of consequent vacancies. To meet the needs of the programmes expansion , diversification etc ; To foresee the impact of of technology on work existing employees and future human resources requirements. To improve the standards, skills, knowledge, ability, discipline etc. To assess the surplus or shortage of human resources and take measures accordingly. To make the best use of its human resources To estimate the cost of human resources. To minimize imbalances caused due to non availability of human resources of the right kind, right number in the right time and right place.

Manpower Planning In Force Motors.

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In Force Motors Limited, a separate Industrial Engineering department has been provided for Manpower planning. They review that if there are vacancies and requirements in any department of the company. These activities are done on monthly basis. If there are any requirements of human resources or vacancies then this is reported to the higher authorities. After their approval, recruitment is done.

RECRUITMENT
Recruitment is a process of finding and attracting capable applicants for employment. The process begins when new recruits are sought and when their applications are selected. Edwin B. Flippo defined recruitment as the process searching for prospective employees and stimulating them to apply for jobs in the organization.

Objectives of recruitment:
To attract people with multi-dimensional skills and experiences that suits the present and future organizational strategies. To infuse fresh blood at all levels of the organization. To search for talent globally and not just within the company. To induct outsiders with a new perspective to lead the company To develop an organizational culture that attracts competent people to the company To anticipate and find people for positions that do not exist yet

Sources of recruitment:
Internal sources of recruitment 30 Present permanent employees Present temporary or casual employees Retrenched or retired employees

Employee referrals

External sources of recruitment Walk in Campus recruitment Consultancy firms Public employment exchanges Professional associations Trade unions

Recruitment In Force Motors.

In Force Motors Limited, recruitment is done from both the types of sources internal as well as the external sources of recruitment. Recruitment is mostly done through employee referrals, through private employment agencies /consultants, jobsites and also through websites.

SELECTION

After identifying the sources of human resources, searching for prospective employees and stimulating them to apply for jobs in an organization, the management has to perform the function of selecting the right employees at the right time. The obvious guiding policy in selection is the intention to choose the best qualified suitable job candidate for each unfilled job. Thus Selection is the process of differentiating between applicants in order to identify and hire those with a greater likelihood of success in a job. It is choosing the fit candidates, or rejecting the unfit candidates or a combination of both. Selection involves both because it picks up the fits and rejects the unfits. The objective of the selection decision is to choose the individual who can most successfully perform the job from the pool of qualified candidates. The selection procedure is the system of functions and devices adopted in a given company to ascertain whether the candidates specifications are matched with the job specifications and requirements or not. 31

Role of selection in organizational efficiency:

Organizational efficiency is mostly determined by productivity. Productivity in its turn is mostly influenced by the employees contribution Organizational efficiency is influenced by production of high quality products, rendering superior services to the customer. Human resources is most vital resource in producing quality products and rendering the best service to the customer. Globalization and international competitiveness led to the customization in production and distribution. Customization can be possible only with the commitment and multi skills of human resources Human resources is the knowledge, machine, technology, marketing, finance, etc. in the software industry.

Selection Process In Force Motors.

In Force Motors Ltd. Company, after the application pool is obtained through recruitment, first of all shortlisting is done by going through the CVs of the candidates. The shortlisted candidates are then called for the interview. The candidates have to go through two rounds of interviews core interview and preliminary interview. The appropriate candidates those who pass these two rounds of interviews are then selected and offered the job.

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H.R. ACTIVITIES

33

INDUCTION

Induction is a process of introducing a new employee to the organization and the organization to the employee by providing him relevant information. It is a technique by which a new employee is rehabilitated into the changed surroundings and introduced to the practices, policies and purposes of the organization. This process is also called as orientation.

Need and importance of induction:

For overcoming employee anxiety Overcoming reality shock Accommodating employees to the new environment

Induction In Force Motors.

In Force Motors LTD. Company, induction to the new employees is given for five days. On the first day of induction all the new employees are introduced to company, its milestones and achievements. On the second day about the functioning of the

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company. They are also introduced to the Board of Directors and the whole staff of the company. On the third, fourth and fifth day the new employee is inducted related to the functions of his/her department concerned and what his/her work would be. After that they are placed on to the jobs in their respective departments.

TRAINING

Training is the act of increasing the knowledge and skill of an employee for doing a particular job. In other words, training improves changes and moulds the employees knowledge, skill, behavior and aptitude and attitude towards the requirements of the job and the organization.

Objectives of training:
To prepare the employee, both new and old to meet the present as well as the changing requirements of the job and the organization. To prevent obsolescence. To impart the new entrants the basic knowledge and skills they need for an intelligent performance of a definite job. To prepare employees for higher level jobs tasks. To ensure economical output of required quality.

Training In Force Motors.

35

This company has a training centre. New employees as well as old employees are given training as per the requirements. The trainees are first of all given a TNI (training needs identification) form. The trainees have to go through atleast seven critical training procedures. The whole training procedure is divided into three types: 1. Technical training 2. Behavioral training 3. Functional training The trainees are given freedom to choose atleast seven training procedures they want to go through. This training is given to the employees throughout the year.

PERFORMANCE APPRAISAL

Performance appraisal is the key ingredient of performance management. It is a process of evaluating an employees performance of a job in terms of its requirements. Performance appraisal is the process of evaluating or judging the value, excellence, qualities or status of some object, person or thing.

Objectives of performance appraisal:

to help a manager decide what increase of pay shall be given on grounds of merit. To determine the future use of an employee, e.g., whether the employee shall remain in his or her present job or be transferred, promoted, demoted or dismissed. To indicate training needs, i.e. areas of performance where improvements would occur if appropriate training could be given.

36

 To motivate the employee to do better in his or her present job by giving the worker knowledge of results ,recognition of merits and the opportunity to discuss work with his or her manager.

Performance Appraisal In Force Motors.

Performance appraisal in the Force Motors Ldt. is done on annually basis. A KPI (key performance index) set is maintained for every employee. The performance of every employee is recorded and then evaluated, according to which they are given training in their respective Accordingly, employees are promoted. area of improvement. or transferred

WAGES AND SALARY ADMIN.

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WAGES AND SALARY STRUCTURE

Wage is referred to as remuneration to workers particularly, hourly- rated payment. And salary refers to the remuneration paid to white- collar employees including managerial personnel. Wages and salary are paid on the basis of fixed period of time and normally not associated with productivity of an employee at a particular time. Wages and salaries are subject to annual increments. They differ from employee to employee and depend upon the nature of job, seniority, and merit. The company did not reveal anything about the wages and salary structure of their employees. However, the wages and salary are given to the employees according to the type of job, level of seniority, or whether the employee is skilled, semi- skilled, or unskilled.

TIME KEEPING AND LEAVE RECORDS

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Generally this is done manually. Registers are maintained for attendance and then these are fed into the computer. Leave records are also put into the computers and proper records are maintained.

PROMOTIONS AND TRANSFER Promotion:

Promotion means an improvement in pay, prestige, position and responsibilities of an employee within his/her organization. A mere shifting of an employee to a different job which has better working hours ,better location and more pleasant working conditions does not amount to promotion. The new job is a promotion for the employee only when it carries increased responsibilities and enhanced pay.

Objectives of promotion:
To motivate employees to higher productivity. To attract and retain the services of qualified and competent people. To recognize and reward the efficiency of an employee. To fill up higher vacancies from within the organization. To build loyalty, morale and a sense of belongingness in the employee.

Transfer:
A transfer involves a change in the job (accompanied by a change in the place of the job) of an employee without a change in responsibilities or remuneration. A transfer differs from a promotion in that a latter involves a change in which a significant increase in responsibility, status and income occurs but all the elements are stagnant in the former. Another difference is that transfers are regular and frequent as in banks and other government establishments, but promotions are infrequent, if not irregular.

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Promotion And Transfer In Force Motors.

In the Force Motors, promotions are given on the basis of results of performance appraisal. If there is a vacancy for a post and performance of any employee is extraordinarily good, after approval by the higher authoritities, he/she is promoted to that post. Transfers are also done and it depends on the internal requirements of the company. Also, inter departmental transfers occur in the company sometimes, for example, recently a person from one department was transferred to another department as it was found that his skills and expertise were more suited to the other job.

H.R. INFORMATION SYSTEM

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HUMAN RESOURCE INFORMATION SYSTEM

The Human Resource Information System (HRIS) is a software or online solution for the data entry, data tracking, and data information needs of the Human Resources, payroll, management, and accounting functions within a business. Normally packaged as a data base, hundreds of companies sell some form of HRIS and every HRIS has different capabilities. Pick your HRIS carefully based on the capabilities you need in your company Human Resource Information System (HRIS) merges human resource management with information technology to not only simplify the decision making process, but also aid in complex negotiations that fall under the human resource umbrella. The basic advantage of a Human Resource Information System (HRIS) is to not only computerize employee records and databases but to maintain an up to date account of the decisions that have been made or that need to be made as part of a human resource 41

management

plan.

The four principal areas of HR that are affected by the Human Resource Information System (HRIS) include; payroll, time and labor management, employee benefits and HR management. These four basic HR functionalities are not only made less problematic, but they are ensured a smooth running, without any hitch. A Human Resources Information System (HRIS) thus permits a user to see online a chronological history of an employee from his /her position data, to personal details, payroll records, and benefits information. The advantage of a Human Resource Information System (HRIS) in payroll is that it automates the entire payroll process by gathering and updating employee payroll data on a regular basis. It also gathers information such as employee attendance, calculating various deductions and taxes on salaries, generating automatic periodic paychecks and handling employee tax reports. With updated information this system makes the job of the human resource department very easy and simple as everything is available on a 24x7 basis, and all the information is just a click away. The H.R. department of the company makes use of SAP and ORACLE for maintaining H.R. Information System.

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H.R. AUDITING
HR AUDIT
An H.R. audit is a tool for evaluating the personnel activities of an organization. The audit may include one division or an entire company. It gives feedback about the H.R. functions to operating managers and H.R. specialists. It also provides feedback about how well managers are meeting their H.R. duties. In short, the audit is an overall quality control check on H.R. activities in a division or a company and an evaluation of how these activities support the organizations strategy.

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HRM OBJECTIVES

HRM ACTIVITIES

Organizational Objectivess

HRM OUTCOMES

HRM AUDIT

H.R. AUDIT

Benefits of H.R. audit:

Identification of the contributions of the H.R. department to the organization. Encouragement of greater responsibility and professionalism among members of the H.R. department. Classification of the H.R. departments duties and responsibilities. Stimulation of uniformity of H.R. policies and practices. Finding critical personnel problems. Reduction of H.R. costs through more effective personnel procedures. The company does not have H.R. audit system.

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CURRENT TRENDS IN HRM

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STRESS MANAGEMENT
Stress is defined as a feeling of emotional or physical tension. Emotional stress usually occurs when situations are considered difficult or unmanageable. Therefore, different people consider different situations as stressful. Stress management refers to various efforts used to control and reduce the tension that occurs in these situations. Stress management involves making emotional and physical changes. The degree of

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stress and the desire to make the changes will determine the level of change that will take place.

Stress Management In Force Motors.

In Force Motors., various exercises and yoga classes are conducted in the morning which as a part of stress relieving programme. On every Sunday employees are invited and they are shown 2 to 3 films regarding how company has travelled so far, how manufacturing is done, achievements and milestones of the company. Also competitions are organized time to time to reduce the stress of work. Recently force Motors won first prize in BHAJAN COMPETITION organized by Maharashtra Labour Welfare department.

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QUALITY CONTROL SYSTEM

QUALITY CONTROL SYSTEM TQM

-Total: Everyone should be involved

-Quality: customers should be provided with an uniform quality product that meets their expectations 48

-Management: the way Total Quality is conducted TQM is an approach to improving the effectiveness and flexibilities of business as a whole. It is essentially a way of organizing and involving the whole organization, every department, every activity and every single person at every level. TQM ensures that the management adopts a strategic overview of the quality and focuses on prevention rather than inspection.

Objectives of TQM:
Meeting the customer's requirements is the primary objective and the key to organizational survival and growth. The second objective of TQM is continuous improvement of quality. The management should stimulate the employees in becoming increasingly competent and creative. Third, TQM aims at developing the relationship of openness and trust among the employees at all levels in the organization.

TQM In Force Motors.

In the company there is a separate TQM (Total Quality Management) cell. They train the employees of different departments and the workers to improve the quality. The TQM cell does internal Audits also from time to time. Force Motors Limited is ISO Certified Company.

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LABOUR WELFARE

LABOUR WELFARE

Welfare means faring or doing well. It refers to the physical, mental, moral and emotional well-being of an individual. Labour welfare refers to all those efforts of 50

employees, trade unions, voluntary organizations and governmental agencies which help employees feel and perform better. Labour welfare has two aspects negative and positive. On the negative side, labour welfare is concerned with counteracting the baneful effects of the large scale industrial system of production especially capitalistic, so far as India is concerned on the personal/family, and social life of the worker. On its positive side, it deals with the provision of opportunities for the worker and his/her family for a good life as understood in its most comprehensive sense.

Advantages of labour welfare: Welfare facilities help to motivate and retain the employees. Welfare facilities help to develop loyalty towards the organization. Welfare of employees may help to minimize social evils such as alcoholism, gambling, prostitution, drug addiction etc. Welfare facilities provided by the organization for the workers helps to improve local image and goodwill of the organization as good employers and thus assist in recruitment.

Types of welfare activities:1. Statutory provisions 2. Non statutory provisions

STATUTORY PROVISIONS IN FORCE MOTORS.

In force motors, various statutory provisions are there for the welfare of labours. Different acts which are applicable there are: Industrial Dispute Act, 1947 Standing Orders Act, 1946 The Factories Act, 1948 51

 Payment Of Wages Act Payment Of Bonus Act These acts stipulate that no adult worker should be allowed to work for more than 48 hours a week. Working hours should not exceed nine and the total number of hours spent in a factory is not to be more than 10 hours per day. Weekly, one day should be declared as a holiday. In the force motors, Sunday is a working day but instead Thursday is holiday. Other provisions are: Drinking water Washrooms

NON

STATUTORY

PROVISIONS

PROVIDED

BY

THE

COMPANY ARE: Transport facilities Safety shoes Summer caps Sweaters Raincoats Subsidized canteen facilities -2 teas, 1 lunch and 1 snack. Kids of the employees who come out with flying colours in examinations are given scholarship award of Rs. 2000- 5000. Man of the month award- the employee who is very punctual and have zero absent record in a month, has 100% efficiency, come out with innovative ideas, has good relations with his/her co workers, works in a team, and give wonderful suggestions is awarded with man of the month title.

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WORKERS PARTICIPATION IN MANAGEMENT

WORKERS PARTICIPATION IN MANAGEMENT

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Participative management refers to the process of involving employees or employee representatives at all levels of decision making. Co-determination is another term for participative management. Participative management results in improved performance. Improved performance is the outcome of three variables: removal of conditions of powerlessness, enhancement of self efficacy and employee perception of empowerment.

SCOPE AND WAYS OF PARTICIPATION:

There are three groups of managerial decisions which have a direct impact on the workers of any industrial establishment. They are social, personnel, and economic decisions. Workers can participate in these three groups.

WAYS OF PARTICIPATION

Participation at the board level Participation through ownership Participation through complete control Participation through staff or works council Participation through joint councils and committees Participation through collective bargaining Participation through job enlargement and job enrichment Participation through suggestion schemes Participation through quality circles Empowerment teams Total quality management Financial participation

Workers Participation In Force Motors.

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In Force Motors, workers participation in the management is through total quality management, participation through suggestion schemes and participation through joint councils and committees. In the company three committees have been made: Canteen committee Safety committee Apex committee

These committees include workers as well as management people. Apex committee contains top management people and some workers who are experienced and skilled. They meet once in a quarter and both involve in decision making. There is a safety committee which includes management and workers and they meet once in a week and check whether the machines are in safe position or not, they check for ventilation and other safety related things. Apart from these, there is a canteen committee where workers and the management both decide about the menu and improvement steps that should be taken.

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INDUSTRIAL RELATIONS

INDUSRIAL RELATIONS

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The term Industrial Relations comprises of two terms: Industry and Relations. Industry refers to any productive activity in which an individual (or a group of individuals) is (are) engaged. By relations we mean the relationships that exist within the industry between the employer and his workmen.

The term industrial relations explain the relationship between employees and management which stem directly or indirectly from union-employer relationship. Industrial relations are the relationships between employees and employers within the organizational settings. The field of industrial relations looks at the relationship between management and workers, particularly groups of workers represented by a union. Industrial relations are basically the interactions between employers, employees and the government, and the institutions and associations through which such interactions are mediated.

Industrial relations concern the relationship between the management and the employees of an industry. With the liberalization of the economy industrial relations in India have changed over the last 10-15 years. There are different approaches to industrial relations, psychological, sociological, human relations, socio-ethical, Gandhian and systems approach. The employees, trade unions and management are the three major players in industrial relations. The government also has a key role to play, but steps in only when the major players fail to maintain harmonious industrial relations. The government also provides the basic framework for industrial relations through its legislation. The industrial disputes prevention machinery helps in averting situations of conflict between the management and the workers that might lead to a strike or a lock-out. Some of the basic requirements for prevention of industrial disputes are an effective grievance redressal system, worker participation in management and collective bargaining.

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DISCIPLINARY NORMS/PROCEDURE
Some employees, regardless of an organization's efforts at selection, socialization, job design, performance standards and reward practices, create discipline problems for the management. Handling these discipline problems is a sensitive and challenging task for a human resource manager.

Employees of an organization are expected to conduct themselves in accordance with the organization's rules and standards of acceptable behavior. Employees who cannot be motivated to maintain such discipline require some degree of extrinsic disciplinary action. The primary objective of disciplinary procedure is to motivate an employee to conform to the organization's performance standards.

The disciplinary problems faced by the HR managers can be classified into four categories attendance, on-the-job behavior, dishonesty, and off-the-job behavior. There are three approaches incorrect discipline, preventive discipline, and positive discipline to discipline the employees. The Government of India enacted the Industrial Employment Standing Orders Act in 1946 to ensure uniform and stable conditions of employment.

Disciplinary Norms In Force Motors.

In Force Motors, boards (on which disciplinary norms are written) are there at different places so that workers can read and follow them. The various disciplinary actions that are administered are verbal warning, written warning, suspension, pay cut, demotion, and dismissal. The severity of the disciplinary action is in accordance with the severity of the misconduct.

TRADE UNIONS
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Trade unions are voluntary organizations of workers or employers formed to promote and protect their interests through collective action. The Trade Unions Act 1926 defines a trade union as a combination, whether temporary or permanent, formed (i) primarily for the purpose of regulating the relation between (a) workmen and employers or (b) between workmen and workmen, or (c) between employers and employers, or (ii) for imposing restrictive conditions on the conduct of any trade or business, and includes any federation of two or more trade unions. Contrary to popular perception, unions are not meant only to organize strikes. Their presence is felt in all H.R. activities of an organization. Unions have political affiliations. Employees join unions because of job dissatisfaction and they perceive that the unions can remove such dissatisfaction. Unions use at least tactics to manage the managers. They are (i) organizing campaign, (ii) strike and (iii) political support. The Trade Unions Act, 1926, has 33 sections and has they contain provisions starting from registration of trade unions to penalties for non compliance of any clause.

Objectives Of Trade Unions:

To defend or improve the level of wages and working conditions for their members.

To replace managerial unilateral actions by mutually agreed upon actions.

Trade Union In Force Motors.

There exist only one trade union in Force Motors Limited and it is Bhartiya Kamagara Sena. They have the right to nominate its representatives on canteen committee, safety committee, and apex committee. They can raise an issue and enter into collective agreements with employers. They communicate with management on weekly basis.

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GRIEVANCE HANDLING

A grievance is a sign of an employee's discontentment with his job or his relationship with his colleagues. Grievances generally arise out of the day-to-day working relations in an organization. An employee or a trade union protests against an act or policy of the management that they consider as violating employee's rights. One of the effective ways of minimizing and eliminating the source of an employee's grievance is by having an open door policy'. An open door policy facilitates upward communication in the organization where employees can walk into a superiors cabin at any time and express their grievances. The National Commission on Labor suggested a Model Grievance Procedure, which lays down the sequence of steps to be taken whenever a grievance is expressed.

Conflict occurs when two or more people or parties perceive an incompatibility in their goals or expectations. There are seven methods for achieving reconciliation of conflict. These methods are win-lose withdrawal and retreat from argument, smoothing and playing down the difference, arbitration, mediation, compromise and problem solving. Of all these methods problem-solving method is most likely to bring about a win-win situation.

NEGOTIATION AND COLLECTIVE BARGAINING

A collective bargaining refers to a process by which employers on the one hand and representatives of employees on the other, attempt to arrive at agreements concerning the conditions under which employees will contribute and be compensated for their services. Collective bargaining is the most effective method of resolving industrial disputes. It is the process of negotiation between the management and the worker representatives for resolving differences related to wages, bonus and other benefits, employee working conditions, grievance redressal procedure, collective bargaining procedure etc..

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Importance of collective bargaining:

Collective bargaining offers the following benefits to both employers as well as employees: It helps increase economic strength of both the parties at the same time protecting their interests. It helps establish uniform conditions of employment with a view to avoid occurrence of industrial disputes. It helps resolve disputes when they occur. It lays down rules and norms for dealing with labour. It helps usher in democratic principles into the industrial world.

Collective Bargaining In Force Motors.

The process of collective bargaining has three steps - preparation for negotiation, negotiation and contract administration. First of all; preparations are made and issues are identified, then negotiation phase begins with each side presenting its initial demands. The negotiation goes on until the final agreement is reached. At last the agreement is signed and implemented. The company has adopted the method of collective bargaining for the settlement of disputes. There is a negotiation committee here in the Force Motors. For negotiating with the management if some disputes arises. There are 11 people in the negotiation committee nominated by the trade union Bhartiya Kamagara Sena.

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Field Work Reporting

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OBSERVATION Force Motors is a company which has reinvented itself. It is an automobile company,
with expertise in Design, Development and Manufacture of the full spectrum of Automotive Components, Aggregates and Vehicles. There are 150 departments in the company. They have a brand name in the market. Sunday is a working day for them and Thursday is off. The company is spread to a large area. Infrastructure of the company is also very good.

CONCLUSION
The experience of seeing for myself the application of the textbooks contents in actual organizational climate was an eye opener in itself. Force Motors Ltd. has a very good HR department. Their policies and HR initiatives clearly indicate that it is an employee centered organization. They believe in believing their employees and their capabilities and potential. Therefore proper treatment is given to the employees, i.e. proper training, salary structure as per the post of the employees, special benefits for the workers at the production site. This is a company that has reinvented itself. A fully vertically integrated automobile company, with expertise in Design, Development and Manufacture of the full spectrum of Automotive Components, Aggregates and Vehicles. The word 'Force' to them is not just the product of 'mass' and 'acceleration'. It reflects their values of ethical business, their strength in technology, in manufacturing and energy in product development. It is also the binding force in close and mutually beneficial relations with their customers, dealers, suppliers and business associates.

LIMITATIONS

It is very tough to extract all the information due to shortage of time and busy schedules of HR managers.

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BIBLIOGRAPHY
The books and web site which helped me a lot are as follows: K ASWATHAPPA HUMAN RESOURCE AND PERSONNEL MANAGEMENT P.SUBBA RAO PERSONNEL AND HUMAN RESOURCE MANAGEMENT C.V. MARORIA PERSONNEL MANAGEMENT L.M. PRASAD HUMAN RESOURCE MANAGEMENT

WEB SITES www.forcemotors.com www.google.com www.citemanhr.com www.wikipedia.org

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QUESTIONNAIRE
Who was the founder of the company? What are the products that the company manufactures? What is the annual turnover of the company? What is the employee strength? How manpower planning is done? What are the sources of recruitment procedure/ How selection is done? How induction is given to the new employees? Do you provide training to the new employees and old employees as well? What is its procedure? Promotions and transfers are done or not? On what basis? Which H.R. Information System is used in this company? Do you have H.R. Auditing? VRS is applicable in this company or not? What do you do for reducing the stress of the employees? Do you have quality control system in your company? Which are the non statutory provisions of labour welfare that the company provide to its workers? Is there workers participation in management? What is the level and scope of participation? Is there any trade union in this company? What is its name? How negotiation and collective bargaining is done?

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