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CHAPTER-1 INTRODUCTION

Absenteeism is one of the oldest and most enduring problems of management. Absenteeism is considered as the plague by the management. Absenteeism is one of the acute problems. It adversely affects the employees, employer and the nation as a whole due to loss of wages and loss of production. The high rate of absenteeism in the work force in India is due to the lack of commitment. There are many causes advanced of absenteeism such as in-plant causes, personal causes and job related causes. India is one of the fastest developing countries in the world. Rapid industrialization is the lapping of accelerated economic growth. Progressive industrialization depends on the effective use of technical process (machine), material control and human resources. A balanced pattern of industrialization requires well organized efforts to utilize the human resources. Labour is one of the important factors of production and it has been recognized as such. Absenteeism is one of the most serious problems facing employers in todays workplace. Legitimate illnesses still account for the majority of absences, but more employees are using sick days for no health-related reasons. A recent study by a human resources firm estimated that less than one-third of absences from the workplace are related to poor health. No health-related absences were attributed to a variety of reasons, including family problems, stress, running errands, and so-called mental health days.

Most employers recognize that in order to keep their employees happy, and therefore productive, they cannot expect them to work tirelessly without a break. That is why the vast majority of employers gives their employees time off to take care of personal business, stay home from work when they are sick, approved time off is available under your policy, there will always be employees who will need more.

MEANING AND DEFINITIONS


Labor in the broad sense of the term may be defined as any hand or brain work which is undertaken for a momentary consideration. According to S. E. Thomas, labour consists of all human efforts of body or of mind, which is undertaken in the expectation of reward. According to the department of labour, U.S.A absenteeism is the absence of a worker during a full shift that he is scheduled to work. Memoria and memoria (1984) have defined absenteeism as the failure of workers to report on the job when they are scheduled to work, when their names are actually on the payrolls of the organization. Absenteeism refers to the worker's absence from his regular task when he is normally scheduled to work.

EFFECTS OF ABSENTEEISM
It possesses a serious problem in factory management because it involves heavy additional expenses, either reserves and understudies must be kept in readiness to take the place of the absent worker or the overhead cost of idle equipment must be faced. Again it 2

affects the worker himself in his earnings and thereby it reduces his standard of living. When this happens his efficiency will be reduced, this will again reflect on the quality and quantity of production assigned to him and also the production schedule of the department. All the above factors indirectly recoil on the workers themselves and affect their morale. Absenteeism is an industrial malady affecting productivity, profit investments of the absent workers themselves. An increasing rate of absence adds considerable loss to the industry and safe industrial progress. The economic and social loss occurring from absenteeism cannot be determined accurately.The phenomenon of absenteeism leads to one of the most common and important forms of wastage in the industry. It is an established fact that absenteeism and labour turnover affect almost every type of organized set up. Its importance is realized and recognized from a government office to an educational institution and from a commercial house to the factory. But the seriousness of the problem is realized more in modern industry than any other concern.

TYPES OF ABSENTEEISM
Vala classified absentees into five categories as under: 1. Entrepreneur Person who considered their job is too small of their total interest and therefore engaging themselves in several economic and social activities to gain more money status, power and social recognition. 2. Status seekers

People who are trying to compensate for their lower shop floor by gaining status outside by undertaking such activities as participating in company sponsored cultural and social programmes. 3. Epicurears The persons primary goal in life is to have comforts and pleasures. They define money status and power but are unwilling to work for their achievement and they are disinclined to undertake activities which call for initiative responsibility, discipline and physical discomfort.

4. Family oriented Family oriented absentees are those who had to face excessively high demands from their family which makes them to distract from their jobs. 5. Sick and old Sick and old are obviously those absentees who are unable to hold on the job for physical reasons but they have no alternative.

CAUSES OF ABSENTEEISM

The rate absenteeism is the highest of the last and the first working days in the week and after the paydays. The enterprises with paid sick leave have greater absences than their counterpart, manufacturing units have higher rate of absence than the non manufacturing ones, the shop have greater rates of absences than the office rates,the night shift involves more absence than the day shifts, and the job satisfaction is also negatively related to

absenteeism. Rates of sickness absenteeism indicate a health rather than a moral problem, it should be separately estimated. However whatever is the nature of absenteeism it can upset the production schedule badly, especially in line and group production systems. The causes of absenteeism can be categorized into three. It includes In-plant causes Personal causes Community causes

In plant Causes

In plant causes of absenteeism include: In effective selection and placement procedures Excessive fatigue Over staffing Under staffing Irregular flow of production In effective use of skills Poor supervision In adequate training program In effective grievance procedure Low morale Poor employer employee relations

Personal Causes

The personal causes of absenteeism are: Illness of oneself or of ones family Seeking other employment Household responsibilities Child care Recreation Use of alcohol

Community or Social Causes The community or social causes include:

Inadequate housing Poor transportation Marketing and shopping difficulties Lack of social facilities such as hospital and credit Seasonal factors such as cultivation season, marriage season, amusement and religious festivals

1.1 STATEMENT OF THE PROBLEM

A project titled A Study On Employee Absenteeism at cavinkare private limited with special reference to Kanchipuram branch. Most of the studies conducted were based on the causes of absenteeism and its relation towards job satisfaction, economic conditions of the workers. It hence, the present study deals with important reasons for absenteeism. The necessary measures were taken to control absenteeism but there is no improvement in the organization. In continuation to the above, the researches were undertaken to bring significant change in the organization.

1.2 SCOPE OF THE STUDY


The development of any organization depends on the regularity of employees. The study is conducted to know the various levels and reasons for absence of employees in an organization. By looking it, one can adopt corrective measures to decrease irregularities in the organization, leads to organizational growth. The study on absenteeism among the employees in cavinkare pvt Ltd Kanchipuram has given insight into various dimensional factors that influenced absenteeism. Factors like: Job related characteristic Possibility of getting leave Working condition of employees Recognition from supervisors Type of leave availed most.

1.3 OBJECTIVE OF THE STUDY


Primary objective: To identify the reason of employees absenteeism with special reference to cavinkare private limited. Secondary objective: To identify factors that motivate the employees, to minimize absenteeism. To know the types of facilities for the employees benefit. To study the employee absenteeism level.

1.4 RESEARCH METHODOLOGY


Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how a research is done scientifically. In this the researcher studies the various steps that are generally adopted in studying his/her research problem along with the logic behind them. It is necessary for the researcher to know not only the research methods/techniques but also the methodology.

RESEARCH DESIGN A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. The research design is conceptual structure within which research is conducted; it constitutes the blueprint for collection, measurement and analysis of data. As such design includes an outline of what researcher will do from writing the hypothesis and its operational implications to the final analysis of data. The research design for this study is descriptive form; through which the data collection is done through questionnaire to employees Descriptive form includes surveys and fact-finding enquires of different kinds. The major purpose is description of the state of affairs as it exists at present. It is to specify the objective with sufficient precision to ensure that the data collected are relevant and the study may not provide the desired form.

SOURCES OF DATA The task of data collection begins after a research problem has been defined and research design plan chalked out. In this study data has been collected through both primary and secondary method.

PRIMARY DATA The primary data are those which are collected a fresh and for the first time and thus happen to be of original character. In this study the primary data is collected through a questionnaire from 160 employees in the organization.

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SECONDARY DATA Secondary data means data that are already available (i.e.). They refer to the data which have already been collected and analyzed by some one else. In this study the secondary data is collected from books, websites, and journals.

SAMPLING DESIGN The sampling design which deals with the method of selecting the items observed for the study. In simple it is a way of selecting the sample. A sampling design is a definite plan for obtaining a sample from the sampling frame. It refers to the technique or the procedure the researcher would adopt in selecting some sampling units from which inferences about the population is drawn.

SAMPLING UNIT A decision has to be taken concerning the sampling unit before selecting the sample. In this study the sampling unit was drawn from in cavinkare private limited to study on Employee Absenteeism,10 samples were taken for pilot study after making necessary alteration a sample of 160 was choose for the study.

SAMPLING PROCEDURE The survey is done using probability sampling. The sampling method used is simple random sampling considering on the training factor.

CONTACT PROCEDURE In this study the contact procedure is done on the basis of a questionnaire. Each and every employee from the sample was given a questionnaire in order to find out the effectiveness of training. SCALING TECHNIQUE

Scaling describes the procedures of assigning numbers of degrees of opinion, attitude and other concepts. The rating scale involves qualitative description of limited 11

number of aspects of a thing or traits of a person. When scaling is used, judgment of an object is made with references to absolute terms against specified criteria. In this study the sampling technique is of five point scale they are Highly Satisfied, Satisfied, Neutral, Dissatisfied, Highly Dissatisfied.

TOOLS FOR ANALYSIS The data analyzing is done through simple percentage method. The analyzed data is presented through tables and charts. The formula used for simple percentage method is,

Number of respondents Simple percentage =

x 100
Total number of respondents

Chi-Square Test A chi-square test is any statistical hypothesis test in which the sampling distribution of the test statistic is a chi-square distribution when the null hypothesis is true, or any in which this is asymptotically true, meaning that the sampling distribution (if the null hypothesis is true) can be made to approximate a chi-square distribution as closely as desired by making the sample size large enough. Correlation The correlation is one of the most common and most useful statistics. A correlation is a single number that describes the degree of relationship between two variables. The correlation will always between -1.0 and +1.0. If the correlation is positive, we have a positive relationship. If it is negative, the relationship is negative.

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1.5 LIMITATIONS OF THE STUDY

1. The sample size is limited to 160 from the population of 250.

2. The data provided by the respondents may be false at times.

3. A researcher is conducting the project for the first time.

4. Absenteeism solely depends on the report of the employees,as individual attitudes differ the rate of absenteeism also differs from one person to another.

5. As the study is based on information received from the questionnaire only.

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CHAPTER -2

REVIEW OF LITERATURE Studies on absenteeism: Absenteeism is related to new values and norms which are developing among the work force as a result of technological developments. Work and leisure are now cherished by the workers and thus he wants to enjoy along with the monetary benefits he gets for his services. The royal commission on labour observed that high absenteeism among Indian labour is due to its rural orientation and its frequent urge for rural exodus.

Steers and Rhodes, (1978) there are different reasons why workers are absent from work, such as an illness, family emergency or just taking a day off. These different reasons can be categorized into unavoidable and avoidable absenteeism (also called involuntary and voluntary absenteeism). Unavoidable absences are the result of conditions that are usually not under the control of the worker, such as illness, injury, transportation problems or the need to care for a sick family member. Avoidable absenteeism occurs because the employee decides to be absent from work for reasons that most employers would view as inappropriate or even illegitimate, such as to have a day off, to attend a social event, to sleep in or to recover from a hangover

Lombardo (1981) among correctional officers at a New York State prison reported that job dissatisfaction was related to absenteeism, but only briefly discussed the matter.

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Steers and Rhodes (1984) report that for every 0.5% increase in national absence rates in the U.S., the gross domestic product drops $10 billion. Based on the size of today's GDP compared with the early 1980s, that figure is surely substantially larger today.

Leigh (1986) estimated that hours lost in absenteeism is over 40% larger than the number of hours lost in unemployment.

Dunn and Youngblood, (1986) Absenteeism is higher in union settings than in nonunion settings. Women are absent more than men, possibly because they are more sensitive to family needs

Dalton and Enz, (1987) In the U.S., one million employees a day will not attend their regularly scheduled work at an estimated annual cost of $40 billion per year.

Huczynski and Fitzpatrick, (1989) Absenteeism is "nonattendance of employees for scheduled work when they are expected to attend". Because absenteeism involves nonattendance from scheduled work in terms of hours and days rather than minutes, it is distinguishable from being late to work (Rhodes and Steers, 1990).

Hazzard, (1990) Experience shows that better attendance is synonymous with better quality, lower costs, and greater productivity .This paper reviews the literature related to absenteeism and suggests how managers can improve their absenteeism rate and, as a result, improve productivity. Absenteeism is higher in manufacturing environments than in other areas and is a bigger problem among blue-collar workers than white-collar.

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Drago and Wooden, (1992) Single persons are typically absent more than married persons, a pattern that might reflect greater financial pressures for married persons to work.

Markowich (1993) cited a survey of 5,000 companies conducted by Commerce Clearing House, Inc., Chicago that found that unscheduled absences cost small businesses an average of $62,636 a year in lost productivity, sick time, and replacement costs.

Gwaltney, (1994) At least 50% of all employee absenteeism is not caused by bona fide illness or other acceptable reasons. Experts estimate that absenteeism in the U.S. results in the loss of over 400 million workdays per year - an average of approximately 5.1 days per employee.

Venne (1997) explored the impact of 12-hour shifts on Canadian correctional officers and concluded that the shifts increased absenteeism.

Lach, (1999)In a survey of U.S. workers, it was found that 42 percent of wealthy households, 41 percent of college-educated workers and 43 percent of those younger than 24 years old admitted that they had pretended to be sick in order to avoid work. The major reason given in the survey was that they just wanted a day off, followed closely by the need for a "mental health day." Therefore, roughly half of all absences are unavoidable, while the other half is avoidable (Brooke, 1986).

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Lambert (2001) theorized about the importance of researching correctional staff absenteeism and postulated that job stress, job satisfaction and organizational commitment would be linked with correctional staff absenteeism. He also argued that it was important to determine how employees viewed the use of sick leave and how they viewed the use and impact of sick leave in their particular work areas.

Lambert et al., (2005) Absenteeism costs correctional organizations both directly and indirectly. Direct costs include sick pay, fringe benefits that still must be paid, overstaffing (scheduling additional workers to fill in for those employees who are absent) and overtime to fill the position. There are many positions in correctional facilities that cannot be vacated when an employee calls in sick. This means that a person may be paid overtime to cover the position of the absent individual. The administration must spend time and effort to alter employee assignments to deal with the absence. Indirect costs include disruptions, reduced productivity, loss of expertise and experience, costs to monitor and administer the absence program, and resentment and decreased morale of other employees.

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CHAPTER 3 INDUSTRY & COMPANY PROFILE

3.1 INDUSTRY PROFILE


Fast moving consumer goods (FMCG): FMCG are products that have a quick shelf turnover, at relatively low cost and don't require a lot of thought, time and financial investment to purchase. The margin of profit on every individual FMCG product is less. However the huge number of goods sold is what makes the difference. Hence profit on FMCG goods always translates to the number of goods sold. Fast Moving Consumer Goods is a classification that refers to a wide range of frequently purchase consumer products Including: toiletries, soaps, cosmetics, teeth cleaning products, shaving products, detergents, and Other non-durables such as glassware, bulbs, batteries, paper products and plastic goods, such as Buckets. Fast Moving are in opposition to consumer durables such as kitchen appliances that are Generally replaced less than once a year. The category may include pharmaceuticals, consumer Electronics and packaged food products and drinks, although these are often categorized Separately. The term Consumer Packaged Goods (CPG) is used interchangeably with Fast Moving Consumer Goods (FMCG). Three of the largest and best known examples of Fast Moving Consumer Goods companies are NESTL, UNILEVER AND PROCTER & GAMBLE. Examples of FMCGs are soft drinks, tissue paper, and chocolate bars. Examples of FMCG Brands are Coca-Cola, Kleenex, Pepsi and Believe. The FMCG sector represents the consumer Goods required for daily or frequent use. The main segments of this sector are personal care (oral Care, hair care, soaps, cosmetics, and toiletries), household care (fabric wash and household Cleaners ), branded and packaged food, beverages (health beverages, soft drinks, staples, cereals) The Indian FMCG sector is an important contributor to the country's GDP. It is the fourth largest Sector in the economy and is responsible for 5% of the total factory employment in India. The Industry also creates employment for 3 m people in downstream activities, much of which is Disbursed in small towns and rural India. This industry has witnessed strong growth in the past 18

Decade. This has been due to liberalization, urbanization, increase in the disposable incomes and de-reservation from the small-scale sector and the concerted efforts of personal care companies To attract the burgeoning affluent segment in the middle-class through product and packaging Innovations. Unlike the perception that the FMCG sector is a producer of luxury items targeted at the elite, in Reality, the sector meets the everyday needs of the masses. The lower-middle income group Accounts for over 60% of the sector's sales. Rural markets account for 56% of the total domestic FMCG demand.

History of FMCG in India: In India, companies like ITC, HLL, Colgate, Cadbury and Nestle have been a dominant force in The FMCG sector well supported by relatively less competition and high entry barriers (import Duty was high). These companies were, therefore, able to charge a premium for their products. In This context, the margins were also on the higher side. With the gradual opening up of the Economy over the last decade, FMCG companies have been forced to fight for a market share. In The process, margins have been compromised, more so in the last six years (FMCG sector Witnessed decline in demand).

Growth of FMCG in India: The growth potential for FMCG companies looks promising over the long-term horizon, as the Per-capita consumption of almost all products in the country is amongst the lowest in the world. As per the Consumer Survey by KSA-Technopak, of the total consumption expenditure, almost 40% and 8% was accounted by groceries and personal care products respectively. Rapid Urbanization, increased literacy and rising per capita income are the key growth drivers for the Sector . Around 45% of the population in India is below 20 years of age and the proportion of the Young population is expected to increase in the next five years

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Indian dairy Industry - a profile Today, India is 'The Oyster' of the global dairy industry. It offers opportunities galore to entrepreneurs worldwide, who wish to capitalize on one of the world's largest and fastest growing markets for milk and milk products. A bagful of 'pearls' awaits the international dairy processor in India. The Indian dairy industry is rapidly growing, trying to keep pace with the galloping progress around the world. As he expands his overseas operations to India many profitable options await him. He may transfer technology, sign joint ventures or use India as a sourcing center for regional exports. The liberalization of the Indian economy beckons to MNC's and foreign investors alike. Indias dairy sector is expected to triple its production in the next 10 years in view of expanding potential for export to Europe and the West. The urban market for milk products is expected to grow at an accelerated pace of around 33% per annum to around Rs.43, 500 crores by the year 2005. This growth is going to come from the greater emphasis on the processed food sector and also by an increase in the conversion of milk into milk products. By 2005, the value of the Indian dairy produce is expected to be Rs 10,00,000 million. Presently the market is valued at around Rs7, 00,000mn

Background India with 134mn cows and 125mn buffaloes, has the largest population of cattle in the world. Total cattle population in the country as on October'00 stood at 313mn. More than fifty percent of the buffaloes and twenty percent of the cattle in the world are found in India and most of these are milch cows and milch buffaloes. Indian dairy sector contributes the largest share in agricultural gross domestic products. Presently there are around 70,000 village dairy cooperatives across the country. The co-operative societies are federated into 170 district milk producers' unions, which is turn has 22-state cooperative dairy federation. Milk production gives employment to more than 72mn dairy farmers. In terms of total production, India is the leading producer of milk in the world followed by USA. The milk production in 1999-00 is estimated at 78mn MT as compared to 74.5men MT in the previous year. This production is expected

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to increase to 81mn MT by 2000-01. Of this total produce of 78mn cows' milk constitute 36mn MT while the rest is from other cattle. The top five milk producing nations in the world are India , USA, Russia, Germany and France. Although milk production has grown at a fast pace during the last three decades (courtesy: Operation Flood), milk yield per animal is very low. The main reasons for the low yield are Lack of use of scientific practices in mulching . Inadequate availability of fodder in all seasons. Unavailability of veterinary health services.

Operation Flood The transition of the Indian milk industry from a situation of net import to that of surplus has been led by the efforts of National Dairy Development Board's Operation Flood. programme under the aegis of the former Chairman of the board Dr. Kurien. Launched in 1970, Operation Flood has led to the modernization of India's dairy sector and created a strong network for procurement processing and distribution of milk by the co-operative sector. Per capita availability of milk has increased from 132 gm per day in 1950 to over 220 gm per day in 1998. The main thrust of Operation Flood was to organize dairy cooperatives in the milk shed areas of the village, and to link them to the four Metro cities, which are the main markets for milk. The efforts undertaken by NDDB have not only led to enhanced production, improvement in methods of processing and development of a strong marketing network, but have also led to the emergence of dairying as an important source of employment and income generation in the rural areas. It has also led to an improvement in yields, longer lactation periods, shorter calving intervals, etc. through the use of modern breeding techniques. Establishment of milk collection centers, and chilling centers has enhanced the life of raw milk and enabled minimization of wastage due to spoilage of milk. Operation Flood has been one of the world's largest dairy development programme and looking at the success achieved in India by adopting the co-operative route, a few other countries have also replicated the model of India's White Revolution. 21

Fresh Milk Over 50% of the milk produced in India are buffalo milk, and 45% are cow milk. The buffalo milk contribution to total milk produce is expected to be 54% in 2000. Buffalo milk has 3.6% protein, 7.4% fat, 5.5% milk sugar, 0.8% ash and 82.7% water whereas cow milk has 3.5% protein, 3.7% fat, 4.9% milk sugar, 0.7% ash and 87% water. While presently (for the year 2000) the price of Buffalo milk is ruling at $261-313 per MT that of cow is ruling at $170-267 per MT. Fresh pasteurized milk is available in packaged form. However, a large part of milk consumed in India is not pasteurized, and is sold in loose form by vendors. Sterilized milk is scarcely available in India. Packaged milk can be divided according to fat content as follows, Whole (full cream) milk - 6% fat standardized (toned) milk - 4.5% fat Doubled toned (low fat) milk - 3% fat. Another category of milk, which has a small market is flavored milk.

Potential for further growth Of the three A's of marketing - availability, acceptability and affordability, Indian dairying is already endowed with the first two. People in India love to drink milk. Hence no efforts are needed to make it acceptable. Its availability is not a limitation either, because of the ample scope for increasing milk production, given the prevailing low yields from dairy cattle. It leaves the third vital marketing factor affordability. How to make milk affordable for the large majority with limited purchasing power? That is the essence of the challenge. One practical way is to pack milk in small quantities of 250 ml or less in polythene sachets. Already, the glass bottle of retailing milk has given way to single-use sachets which are more economical. Another viable alternative is to sell small quantities of milk powder in mini-sachets, adequate for two cups of tea or coffee.

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Emerging Dairy Markets

Food service institutional market: It is growing at double the rate of the

consumer market

Defense market: An important growing market for quality products at reasonable

prices

Ingredient market: A boom is forecast in the market of dairy products used as

raw material in pharmaceutical and allied industries

Parlor market: The increasing away-from-home consumption trend opens new

vistas for ready-to-serve dairy products which would ride piggyback on the fast food revolution sweeping the urban India India, with her sizable dairy industry growing rapidly and on the path of modernization, would have a place in the sun of prosperity for many decades to come. The one index of the statement is the fact that the projected total milk output over the next 15 years (19952010) would exceed 1457.6 million tonnes which is twice the total production of the past 15 years! Market Size And Growth Market size for milk (sold in loose/ packaged form) is estimated to be 36mn MT valued at Rs470bn. The market is currently growing at round 4% pa in volume terms. The milk surplus states in India are Uttar Pradesh, Punjab, Haryana, Rajasthan, Gujarat, Maharashtra, Andhra Pradesh, Karnataka and Tamil Nadu. The manufacturing of milk products is concentrated in these milk surplus States. The top 6 states viz. Uttar Pradesh, Punjab, Madhya Pradesh, Rajasthan, Tamil Nadu and Gujarat together account for 58% of national production. Milk production grew by a mere 1% pa between 1947 and 1970. Since the early 70's, under Operation Flood, production growth increased significantly averaging over 5% pa.

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About 75% of milk is consumed at the household level which is not a part of the commercial dairy industry. Loose milk has a larger market in India as it is perceived to be fresh by most consumers. In reality however, it poses a higher risk of adulteration and contamination. Major Players The packaged milk segment is dominated by the dairy cooperatives. Gujarat Cooperative Milk Marketing Federation (GCMMF) is the largest player. All other local dairy cooperatives have their local brands (For e.g. Gokul, Warana in Maharashtra, Saras in Rajasthan, Verka in Punjab, Vijaya in Andhra Pradesh, Aavin in Tamil Nadu, etc.). Other private players include J K Dairy, Heritage Foods, Indiana Dairy, Dairy Specialties, etc. Amrut Industries, once a leading player in the sector has turned bankrupt and is facing liquidation. Packaging Technology Milk was initially sold door-to-door by the local milkman. When the dairy cooperatives initially started marketing branded milk, it was sold in glass bottles sealed with foil. Over the years, several developments in packaging media have taken place. In the early 80's, plastic pouches replaced the bottles. Plastic pouches made transportation and storage very convenient, besides reducing costs. Milk packed in plastic pouches/bottles have a shelf life of just 1-2 days , that too only if refrigerated. In 1996, Tetra Packs were introduced in India. Tetra Packs are aseptic laminate packs made of aluminum, paper, board and plastic. Milk stored in tetra packs and treated under Ultra High Temperature (UHT) technique can be stored for four months without refrigeration. Most of the dairy co-operatives in Andhra Pradesh, Tamil Nadu, Punjab and Rajasthan sell milk in tetra packs. However tetra packed milk is costlier by Rs5-7 compared to plastic pouches. In 1999-00 Nestle launched its UHT milk. Amul too re-launched its Amul Taaza brand of UHT milk. The UHT milk market is expected to grow at a rate of more than 10-12% in coming years.

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Indian (traditional) & Western Milk Products There are a large variety of traditional Indian milk products such as Makkhan unsalted butter. Ghee - butter oil prepared by heat clarification, for longer shelf life. Kheer - a sweet mix of boiled milk, sugar and rice. Basundi - milk and sugar boiled down till it thickens. Rabri - sweetened cream. Delhi - a type of curd. Lassie - curd mixed with water and sugar/ salt. Channa/Paneer - milk mixed with lactic acid to coagulate. Khoa evaporated milk, used as a base to produce sweet meats. The market for indigenous based milk food products is difficult to estimate as most of these products are manufactured at home or in small cottage industries catering to local areas. Consumers while purchase dairy products look for freshness, quality, taste and texture, variety and convenience. Products like Dahi and sweets like Kheer, Basundi, Rabri are perishable products with a shelf life of less than a day. These products are therefore manufactured and sold by local milk and sweet shops. There are several such small shops within the vicinity of residential areas. Consumer loyalty is built by consistent quality, taste and freshness. There are several sweetmeat shops, which have built a strong brand franchise, and have several branches located in various parts of a city. Western milk products such as butter, cheese, yogurt have gained popularity in the Indian market only during the last few years. However consumption has been expanding with increasing urbanization. Milk Powder Milk powder is mainly of 2 types

Whole milk powder Skimmed milk powder

Whole milk powder contains fat, as distinguished from skimmed milk powder, which is produced by removing fat from milk solids. Skimmed milk powder is preferred by diet conscious consumers. Dairy whiteners contain more fat than skimmed milk powder but 25

less compared to whole milk powder. Dairy whiteners are popular milk substitutes for making tea, coffee etc. The penetration of these products in milk abundant regions is driven by convenience and non perishable nature (longer shelf life) of the product. Dairy sector of advanced nations exports milk products with a subsidy of $ 1000 per tonne with a level of subsidy more than 60 % of the price of milk powder produced in India, this has led to large scale imports of milk powder both in whole and skimmed form. To protect the domestic sector from these subsidized imports the central government has recently increased the basic import duty on all imports of milk powder more than 10000 MT to 60% from 15%. For imports less than 10000 MT the basic customs duty has been left unchanged at 15%. Major Players Milk Powder/Dairy Whiteners : Major skimmed milk brands are Sagar (GCMMF) and Nandini (Karnataka Milk Federation), Amul Full Cream milk powder are a whole milk powder brand. Leading brands in the dairy whitener segment are Nestle's Everyday, GCMMF's Amulya, Dalmia Industry's Sapan, Kwality Dairy India's KreamKountry, Wockhardt's Farm Fresh and Britannia's MilkMan Dairy Whitener. Condensed Milk The condensed milk market has grown from 9000 MT in 1998 to 11000 MT in 1999. Condensed milk is a popular ingredient used in home-made sweets and cakes. Nestle's Milkmaid is the leading brand with more than 55% market share. The only other competitor is GCMMF's Amul.
GCMMF (Gujarat Cooperative Milk Marketing Federation)

Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products marketing organization. It is a state level apex body of milk cooperatives in Gujarat which aims to provide remunerative returns to the farmers and also serve the interest of consumers by providing quality products which are good value for money.

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Members:

12 district cooperative milk producers' Union

No. of Producer Members: No. of Village Societies: Total Milk handling capacity: Milk collection (Total - 1999-00): Milk collection (Daily Average 199900): Milk Drying Capacity:

2.12 million 10,411 6.1 million liters per day 1.59 billion liters 4.47 million liters

450 metric Tons per day

Cattle feed manufacturing Capacity: 1450 Mts per day

Future Prospects India is the world's highest milk producer and all set to become the world's largest food factory. In celebration, the Indian Dairy sector is now ready to invite NRIs and Foreign investors to find this country a place for the mammoth investment projects. Be its investors, researchers, entrepreneurs, or the merely curious Indian Dairy sector has something for everyone. Milk production is a relatively efficient way of converting vegetable material into animal food. Dairy cows buffaloes goats and sheep can eat fodder and crop by products which are not eaten by humans. Yet the loss of nutrients energy and equipment required in milk handling inevitably makes milk comparatively expensive food. Also if dairying is to play its part in rural development policies , the price to 27

milk producers has to be remunerative. In a situation of increased international prices, low availabilities of food aid and foreign exchange constraints, large scale subsidization of milk conception will be difficult in the majority of developing countries. Hence in the foreseeable future, in most of developing countries milk and milk products will not play the same role in nutrition as in the affluent societies of developed countries. Effective demand will come mainly from middle and high income consumers in urban areas. There are ways to mitigate the effects of unequal distribution of incomes. In Cuba, where the Government attaches high priority to milk in its food and nutrition policy, all pre-school children receive a daily ration of almost a liter of milk fat the reduced price. Cheap milk and milk products are made available to certain other vulnerable groups, by milk products outside the rationing system are sold price which is well above the cost level. Until recently, more fresh milk in the big cities of China was a reserved for infants and hospitals, but with the increase in supply, rationing has been relaxed. In other countries dairy industries have attempted to reach lower income consumers by variation of compositional quality or packaging and distribution methods or blending milk in vegetable ingredients in formula foods for vulnerable groups. For instance, pricing of products rich in butter fat or in more luxury packaging above cost level so as to enable sales of high protein milk products at a somewhat a reduced price has been widely practiced in developing countries. This policy needs to be brought in Indian Dairy scenario.

28

3.2 COMPANY PROFILE


HISTORY
Success is a journey not a destination. CavinKare began with a young mind choosing the road less taken. In 1983 with a single product, CavinKare started out as a small partnership firm. The Company that began its journey as a Chick India Ltd was renamed as CavinKare Pvt. Ltd (CKPL) in 1998. With innovative Entrepreneur C.K. Ranganathan at the helm, CavinKare emerged into a successful business enterprise. Today, CavinKare, having established a firm foothold in the national market, is increasing its popularity in the international arena. A dedicated Research & Development Centre, equipped with the latest equipment and technologies, constantly supports the various divisions in their endeavor. The Company, which primarily relied on contract manufacturing for many years has now set up its own world class plant in Haridwar to cater to the demand of both domestic and international markets. CavinKare Group has crossed a turnover of 11000 million INR in 2011-2012. The Company has employee strength of around 3000, an all India network of 5351 Stockists catering to about 25 lakh outlets nationally. CavinKare's astute professionalism, innovative products and consistent quality are the results of its significant corporate practice. " To succeed we believe that we need total commitment and the highest standard of ethical and corporate behavior in order to provide the best for our consumers, stakeholders and employees".

CORPORATE VISION
"We shall achieve growth by continuously offering unique products and services that would give customers utmost satisfaction and thereby be a role model."

GOAL
We will be a 5200 crores group of 2018

29

CavinKare: Reaching new Horizons


Starting its journey in the early 80's, CavinKare is now a brand name with interests spread across Food, Personal Care, Salons & Restaurant businesses CavinKare began its journey in early 1983 with a single product under the banner of Chik India Limited. Over the years, Chik India renamed as CavinKare Pvt. Ltd (CKPL) emerged as a successful business empire with interests in personal care, foods, snacks, beverages and dairy products. With CK. Ranganathan at the helm of the business, CavinKares growth escalated remarkably and the company was able to broaden its product portfolio extensively. Today, CavinKare boasts of 10 major brands in the market that have helped it achieve a competitive edge with a sound understanding on mass media dynamics. CKPL offers quality Personal care (hair care, skin care, home care) and Food products made after gathering a keen understanding of consumer needs. The company believes in constantly innovating and offering items that match the requirements of its consumers. CavinKare Group crossed a turnover of 10165 million INR in 2010-2011. The Chennaibased company has employee strength of 1780 and an all India network of 1300 Stockists catering to about 25 lakh outlets nationally. CavinKare's astute professionalism, innovative products and consistent quality are results of its significant corporate practice. CavinKares Business Units CavinKare has been providing the Indian market with a range of high quality products that are backed by modern research and development, a strong distribution network and above all a selection of the safest ingredients for the products. Personal Care A range of products are offered under this banner catering to consumer requirements in hair, skin and home care portfolio. Chik Shampoo, Nyle Herbal Shampoo, Indica 10 30

minutes hair color, Fairever Fairness, Fairever Fruit cream, Spinz Deo & Talc, Meera Herbal Hair wash Powder, Meera Cocunut Oil & Shampoo are to name a few of CavinKares most popular brands. Food The companys Food division doles out an array of pickles, vermicelli and other eatables. Snacks, which are an important aspect of the Indian food habit, are also offered to consumers who are constantly looking for variety and high quality items with an authentic Indian flavor. CavinKares range of Garden snacks have aptly fitted the role. Established in 1982 in Mumbai, Garden Namkeens has grown leaps and presently offers a variety of snacks to suit the Indian taste buds. It was acquired by CavinKare Pvt Ltd in August 2009, and that has marked a new chapter in the success story for Gardens. The growth of the companys food division is phenomenal says Mr. Sanjay Sachdeva, Head of Food Division, CavinKare. He has been with the company for over a year and says his experience has been extremely rewarding. We have an ambition to grow and focusing on our distribution footprint in the next few years will help us greatly he added. Dairy Products The companys Cavinkare Dairy Division is renowned for its wide range of dairy products. Other offerings include milk, curd, butter, flavoured milk etc. The milk procured from village farms is sent for processing at CavinKare's State-of-the art dairy plant. Care is taken to ensure that the processed milk from the plant reaches consumers within 24 hours. This guarantees freshness of CavinKare's products when its available in the market. Plus, different variants of milk are accessible to suit the requirements of different age groups. CavinKares International Business Currently, CavinKare is marketing its brands across more than 13 countries including Sri Lanka, Nepal, Bangladesh, Malaysia, Singapore, USA and GCC Countries. 31

The International Business Division develops and markets products that suit the specific needs of the market. Though the brands origin is from India, the offerings are custom made for consumers all over. After having established its foothold in the national market, CavinKare is working on increasing its popularity in the international arena too. A dedicated Research & Development centre, equipped with latest equipment and technologies, constantly supports the various divisions in their endeavour. The Company, which primarily relied on contract manufacturing for many years, has now set up its own world class plant at Haridwar to cater to the demand of both domestic and international market. Group Companies Trends Invogue: Trends In Vogue Pvt. Ltd., a group Company of CavinKare, came into being in July 2002 with a clear-cut focus on providing personal styling and beauty solutions to everyone in the family. The Company has pioneered the concept of 'Family Salons' in India with its specialist brands - LimeLite, and Green Trends. The company has its own outlet as well as franchise-based models. United Agrocare: United Agro Pvt Ltd, a group company of Cavinkare, came into existence in July 2009 with one thing in mind - to come up with the finest restaurants and fast food outlets in town. Quality, taste and hygiene are the key factors that go into the opening and running of any outlet. CKs Foodstaurant and Vegnation are namely 2 restaurants the company operates. Trends in the FMCG industry Personal Care Industry in India is penetrating more and more across regions which can be attributed to many reasons. First, the buying power of consumers has increased considerably. People have upgraded themselves from just Shampoos to Shampoo + Conditioners. Plus, MNCs have started investing heavily to cater tailor made products for the Indian Consumers said Mr. TD Mohan, Joint Managing Director, CavinKare.

32

The Personal Care industry is said to be Recession Proof because people will never stop using products. They may downgrade but will always use products. This certainly works to our advantage Mr. Mohan added. CavinKares Continuous Improvement Strategies We are slowly moving our base to Mumbai. We are a Rs 1,100-crore company and were looking to grow across four divisions of fast moving consumer goods - (FMCG), foods, salons and restaurants. We also wish to raise money through the private equity route to support this counterparts. Mr. Mohan said. The companys major competitors include HUL, P&G, ITC etc. in the Personal Care space while regional players like Aachi, Shakti, MTR etc are main rivals in the Food business. CavinKare A team effort We conduct regular off site workshops for the Sales and the Marketing team by experienced veterans in the Industry. These workshops add value to the employees in terms of building their skill set and develop the team synergy Mr. Mohan said. The company has a number of HR processes such as: Employee engagement survey:This is a confidential note on how engaged/associated do the employees feel being at CavinKare. Year on year, CavinKare sees a significant rise in the engagement levels. Any scope for improvement is taken with utmost seriousness and the changes are implemented on a regular basis. Appreciation Corner: is a forum where employees of different departments feel free to appreciate their peers/reportees/superiors on any task achievement. This motivates the employees to perform better every time.

33

CavinKare in the next 5 years We will be a 5200 Cr turnover company by 2017. As a team, we will strive hard to fulfill this mission as soon as we can Mr. Mohan concludes. So far, the company has been able to make its presence felt in spite of facing tough competition in Indian markets. This only confirms that the brand will have miles ahead to go in the future.

34

CHAPTER 4 DATA ANALYSIS AND INTERPRETATION


TABLE 4.1 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS BY THEIR JOB

S.NO 1 2 3 4 5

PARTICULAR Heavy work load Long hours of working Poor working climate Work stress None of the above TOTAL

NO.OF.RESPONDENT 32 12 0 44 72 160

PERCENTAGE % 20 7.5 0 27.5 45 100

Source: Primary data

INFERENCE: From the above table it is interpreted that 20% of the respondents feel their job is heavy work load, 7.5% of the respondents feel long hours of working, 0% of the respondents feel poor working climate ,27.5% of the respondents feel work stress and 45% of them feel their job is none of the above.

35

CHART- 4.1

CLASSIFICATION OF RESPONDENTS BY THEIR JOB


45%
0.45 0.4 0.35

Respondents

0.3 0.25 0.2 0.15 0.1 0.05 0

28%

20%

Percentage of

8% 0% Heavy Long work load hours of working Poor working climate Work Stress None of the Above

Opinion about the Job

36

TABLE 4.2 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS BY THEIR JOB

S.NO 1 2 3 4 5

PARTICULAR General 1st 2nd 3


rd

NO.OF.RESPONDENT 28 24 12 24 72 160

PERCENTAGE % 17.5 15 7.5 15 45 100

None TOTAL

Source: Primary data

INFERENCE:

From the above table it is interpreted that 17.5% of the respondents feel difficult to work in General in shift, 15% of the respondents feel difficult to work in 1st in shift, 7.5% of the respondents feel difficult to work in 2nd shift,15% of the respondents feel difficult to work in 3rd shift and 72% of them feel none of the above .

37

CHART- 4.2

CLASSIFICATION OF RESPONDENTS BY THEIR SHIFT

45%
45 40 35 Percentage of Respondents 30 25 20 15

17.5% 15% 15%

7.5%
10 5 0

General

1st

2nd

3rd

None

Shift

38

TABLE 4.3 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS BY LEAVE TAKEN IN A MONTH

S.NO 1 2 3 4 5

PARTICULAR 1 day 2 days 3 days 4 days More than 4 TOTAL

NO.OF.RESPONDENT 104 32 4 20 0 160

PERCENTAGE % 65 20 2.5 12.5 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 65% of the respondents taken one day leave in a month, 20% of the respondents taken 2days leave, 2.5% of the respondents taken 3days leave,12.5% of the respondents taken 4days leave and 0% of them didnt take leave more than 4days.

39

CHART-4.3

CLASSIFICATION OF RESPONDENTS LEAVE TAKEN IN A MONTH


70 60

65%

Percentage of Respondents

50 40 30

20%
20 10 0

12.5% 2.5%

0%

1 Day

2 Days

3 Days Leave Taken

4 Days

More than 4

40

TABLE 4.4 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR LEAVE CATEGORY

S.NO 1 2 3 4

PARTICULAR Satisfied Dissatisfied Highly satisfied Neutral

NO.OF.RESPONDENT 112 20 12 16

PERCENTAGE % 70 12.5 7.5 10

Source: Primary data

INFERENCE: From the above table it is interpreted that 70% of the respondents feel satisfied with leave category , 12.5% of the respondents feel Dissatisfied with leave category, 7.5% of the respondents feel highly satisfied with leave category ,10% of the respondents feel neutral with leave category and 0% of them feel highly Dissatisfied .

41

CHART- 4.4

CLASSIFICATION OF RESPONDENTS FOR LEAVE CATEGORY 70%


70 60

Percentage Of Respondents

50 40 30 20 10 0

12.5% 7.5%

10% 0%

Satisfied

Dissatisfied

Highly satisfied

Neutral

Highly Dissatisfied

Leave Category

42

TABLE 4.5 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR PREFERRED KIND OF LEAVE

S.NO 1 2 3 4 5

PARTICULAR Medical leave Casual leave Privilege leave Probationary leave All TOTAL

NO.OF.RESPONDENT 16 120 4 16 4 160

PERCENTAGE % 10 7.5 2.5 10 2.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 10% of the respondents take Medical leave , 7.5% of the respondents take Casual leave , 2.5% of the respondents take Privilege leave, 10% of the respondents take Probationary leave and 4% of them take All kind of leave.

43

CHART -4.5

CALSSIFICATION OF RESPONDENTS FOR PREFERED KIND OF LEAVE


80

75%

Percentage of Respondents

70 60 50 40 30 20 10 0

10%

10%

2.5%

2.5%

Medical

Casual

Privilege

Probationary

All

Types of Leave

44

TABLE 4.6 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR WELFARE MEASURES

S.NO 1 2 3 4 5

PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL

NO.OF.RESPONDENT 12 104 28 12 4 160

PERCENTAGE % 7.5 65 17.5 7.5 2.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 7.5% of the respondents feel highly satisfied with Welfare measures, 65% of the respondents feel satisfied , 17.5% of the respondents feel neutral,7.5% of the respondents feel dissatisfied and 2.5% of them feel highly dissatisfied with welfare measures.

45

CHART-4.6

CLASSIFICATION OF RESPONDENTS FOR WELFARE MEASURES


65%

Percentage of Respondents

70 60 50 40 30 20 10 0

17.5% 7.5% 7.5% 2.5%

Highly Satisfied

Satisfied

Neutral

Dissatisfied

Highlly Dissatisfied

Welfare Meaures

46

TABLE 4.7 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR GETTING LEAVE

S.NO 1 2 3 4 5

PARTICULAR Always Often Neutral Sometimes Never TOTAL

NO.OF.RESPONDENT 52 12 20 76 0 160

PERCENTAGE % 32.5 7.5 12.5 47.5 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 32.5% of the respondents always get leave, 7.5% of the respondents often get leave, 12.5% of the respondents feel neutral,47.5% of the respondents sometimes get leave and 0% of respondents never get leave.

47

CHART-4.7

CLASSIFICATION OF RESPONDENTS FOR GETTING LEAVE


50 45 40

47.5%

Percentage of Respondents

32.5%
35 30 25 20

12.5%
15 10 5 0

7.5%
0%

Always

Often

Neutral

Sometimes

Never

Getting Leave

48

TABLE 4.8 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS REASONS FOR LEAVE

S.NO

PARTICULAR

NO.OF.RESPONDENTS PERCENTAGE %

1 2 3 4 5 6

Sickness Poor Transporation Facility Poor Working Climate Long Working Hours Personal Problem TOTAL

4 4 0 8 144 160

2.5 2.5 0 0.5 90 100

Source: Primary data

INFERENCE: From the above table it is interpreted that 2.5% of the respondents feel sick, 2.5% of the respondents feel Poor Transporation facility, 0% of the respondents feel Poor Working Climate, 0.5% of the respondents feel Long hours of working and 90% of them feel Personal Problem as a Reason for Taking leave.

49

CHART-4.8

CLASSIFICATION OF RESPONDENTS REASONS FOR LEAVE Percentage of Respondents


100 80 60 40 20 0

90%

2.5%

2.5%

0%

0.5%

Reasons For Leave

50

TABLE 4.9 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

ABOUT THEIR WORK

S.NO 1 2 3 4 5 6

PARTICULAR Strongly Agree Agree Neutral Disagree Strongly Disagree TOTAL

NO.OF.RESPONDENTS 24 60 76 0 0 160

PERCENTAGE % 15 10 47.5 0 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 15% of the respondents Strongly agree about their work, 10% of the respondents Agree, 47.5% of the respondents feel neutral,0% of the respondents feel disagree and 0% of them Strongly Disagree about their work.

51

CHART-4.9

CLASSIFICATION OF RESPONDENTS ABOUT THEIR WORK


47.5%
50

Percentage of Respondents

40 30 20 10 0

15% 10% 0% 0%

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

Heavy or Tiresome

52

TABLE 4.10 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS FOR JOB SATISFACTION S.NO 1 2 3 4 5 6 PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL NO.OF.RESPONDENTS 52 100 8 0 0 160 PERCENTAGE % 32.5 62.5 0.5 0 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 32.5% of the respondents feel highly satisfied, 62.5% of the respondents feel satisfied , 0.5% of the respondents feel neutral,0% of the respondents feel dissatisfied and 0% of them feel highly dissatisfied with their job.

53

CHART-4.10

CLASSIFICATION OF RESPONDENTS FOR JOB SATISFACTION

70

62.5%

Percentage of Respondents

60 50 40 30 20 10 0

32.5%

0.5%

0%

0%

Highly Satisfied

Satisfied

Neutral

DisSatisfied

Highly Dissatisfied

Satisfaction of Job

54

TABLE 4.11 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS ATTEND REGULARLY S.NO 1 2 3 4 5 6 PARTICULAR Good employer relation Work environment Future prospectus Recognition of work Salary/Incentive TOTAL NO.OF.RESPONDENTS 76 44 20 12 8 160 PERCENTAGE % 47.5 27.5 12.5 7.5 0.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 47.5% of the respondents feel Good employer relation, 27.5% of the respondents feel work environment,12.5% of the respondents feel future prospectus ,7.5% of the respondents feel recognition of work and 0.5% of them feel salary/incentive motivates them to attend regularly.

55

CHART-4.11

CLASSIFICATION OF RESPONDENTS ATTEND REGULARLY


47.5%
50 40 30 20 10 0

Percentage of Repondents

27.5%
12.5% 7.5% 0.5%

Motivate To Attend Regularly

56

TABLE 4.12 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR EFFECT OF ABSENTEEISM

S.NO 1 2 3 4 5 6

PARTICULAR Cause Work stress Delayed performance Lead in overtime Less turnover All the above TOTAL

NO.OF.RESPONDENTS 40 8 44 32 36 160

PERCENTAGE % 25 0.5 27.5 20 22.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 25% of the respondents feel Cause of work stress , 0.5% of the respondents feel Delayed performance,27.5% of the respondents feel Lead in overtime ,20% of the respondents feel Less turnover and 22.5% of them feel All of the above causes the effect of absenteeism.

57

CHART-4.12

CLASSIFICATION OF RESPONDENTS FOR EFFECT OF ABSENTEEISM Percentage of Respondents


30 20 10 0

25%

27.5% 20% 22.5%

0.5%

Effect of Absenteeism

58

TABLE 4.13 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR LONG ABSENCE

S.NO 1 2 3 4 5 6

PARTICULAR Family Problem Personal Problem Religious Matter Social obligation None of the above TOTAL

NO.OF.RESPONDENTS 32 68 8 0 52 160

PERCENTAGE % 20 42.5 0.5 0 32.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 32% of the respondents feel Family problem, 68% of the respondents feel Personal problem , 8% of the respondents feel Religious matter ,0% of the respondents feel Social obligation and 52 % of them feel None of the above for their Long absence.

59

CHART-4.13

CLASSIFICATION OF RESPONDENTS FOR LONG ABSENCE

Percentage Of Respondents

50 40 30 20 10 0

42.5% 32.5% 20%

0.5%

0% None of the above

Family Problem

Personal Problem

Religious Social matter Obligation Long Absence

60

TABLE 4.14 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS ABOUT WORK ENVIRONMENT

S.NO 1 2 3 4 5 6

PARTICULAR Excellent Good Average Fair Poor TOTAL

NO.OF.RESPONDENTS 32 112 12 4 0 160

PERCENTAGE % 20 70 7.5 2.5 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 20% of the respondents feel Excellent, 70% of the respondents feel Good, 7.5% of the respondents feel Average,2.5% of the respondents feel Fair and 0% of them feel Poor about their work environment.

61

CHART-4.14

CLASSIFICATION OF RESPODENTS ABOUT WORK ENVIRONMENT


70%
70 Precentage of Respondents 60 50 40 30 20 10 0

20% 7.5% 2.5% 0%

Excellent

Good

Average

Fair

Poor

Work Environment

62

TABLE 4.15 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS FOR WORK PRESSURE

S.NO 1 2 3 4 5 6

PARTICULAR Forced to do the work Improper environment Strict supervision Improper planning External factors TOTAL

NO.OF.RESPONDENTS PERCENTAGE % 4 16 20 68 52 160 2.5 10 12.5 42.5 32.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 25.5% of the respondents feel forced to do the work, 10% of the respondents feel improper environment, 12.5% of the respondents feel strict supervision,42.5% of the respondents feel improper planning and 32.5% of them feel external factors are increasing work pressure.

63

CHART-4.15

CLASSIFICATION OF RESPONDENTS FOR WORK PRESSURE

Percentage of Respondents

50 40 30 20 10 0

42.5% 32.5%

10% 2.5%

12.5%

Work Pressure

64

TABLE 4.16 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

TO REDUCE ABSENTEEISM

S.NO 1 2 3 4 5 6

PARTICULAR Increasing number of holidays Better working conditions

NO.OF.RESPONDENTS PERCENTAGE % 16 68 10 42.5 0.5 37.5 0.5 100

Providing non-monetary benefits 8 Better performance appraisal Reducing the work pressure TOTAL Source: Primary data 60 8 160

INFERENCE:

From the above table it is interpreted that 10% of the respondents feel to increase the no.of holidays, 42.5% of the respondents feel better working conditions, 0.5% of the respondents feel non-monetary benefits,37.5% of the respondents feel better performance appraisal and 0.5% of them feel reducing work pressure may reduce absenteeism.

65

CHART-4.16

CLASSIFICATION OF RESPONDENTS TO REDUCE ABSENTEEISM Percentage of Respondents


50 40 30 20 10 0

Reduce Absenteeism

66

TABLE 4.17 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

ABOUT LEAVE FACILITIES

S.NO 1 2 3 4 5 6

PARTICULAR Strongly Agree Agree Neutral Disagree Strongly Disagree TOTAL

NO.OF.RESPONDENTS 16 112 24 8 0 160

PERCENTAGE % 10 70 15 0.5 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 16% of the respondents feel Strongly Agree, 112% of the respondents feel Agree, 24% of the respondents feel neutral, 8% of the respondents feel Disagree and 0% of them Strongly Disagree with the Leave Facilities.

67

CHART-4.17

CLASSIFICATION OF RESPONDENTS ABOUT LEAVE FACILITIES


70%
70 60 50 40 30 20 10 0

Percentage of Respondents

10%

15% 0.5% 0% Strongly Disagree

Srongly Agree

Agree

Neutral

Disagree

Leave Facilities

68

TABLE 4.18 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS ABOUT JOB ENRICHMENT

S.NO 1 2 3 4 5 6

PARTICULAR Strongly Agree Agree Neutral Disagree Strongly Disagree TOTAL

NO.OF.RESPONDENTS 40 64 52 4 0 160

PERCENTAGE % 25 40 32.5 2.5 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 25% of the respondents feel Strongly Agree, 40% of the respondents feel Agree,32.5% of the respondents feel neutral, 2.5% of the respondents feel Disagree and 0% of them feel Strongly Disagree that job enrichment reduces absenteeism.

69

CHART-4.18

CLASSIFICATION OF RESPONDENTS ABOUT JOB ENRICHMENT


40%

Percentage of Respondents

40 35 30 25 20 15 10 5 0

32.5% 25%

2.5% 0% Strongly Agree Agree Neutral Disagree Strongly Disagree

Job Enrichment

70

TABLE 4.19 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

TO CONTROL ABSENTEEISM S.NO 1 2 3 4 5 6 PARTICULAR Change work conditions/times Provide incentives Extra working to be controlled Encashment of unveiling leaves Others (please specify) TOTAL Source: Primary data NO.OF.RESPONDENTS 24 68 40 16 12 160 PERCENTAGE % 15 42.5 25 10 7.5 100

INFERENCE:

From the above table it is interpreted that 15% of the respondents feel change working conditions/time, 42.5% of the respondents feel provide incentives,25% of the respondents feel extra working to be controlled, 10% of the respondents feel encashment of unveiling leave and 7.5% of them specified to control absenteeism.

71

CHART-4.19

CLASSIFICATION OF RESPONDENTS TO CONTROL ABSENTEEISM Percentage of Respondents


50 40

42.5%

25%
30

15%
20 10 0

10%

7.5%

Controlling Absenteeism

72

TABLE 4.20 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS ABOUT CO -WORKERS S.NO 1 2 3 4 5 6 PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL NO.OF.RESPONDENTS 128 28 0 4 0 160 PERCENTAGE % 80 17.5 0 2.5 0 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 80% of the respondents feel highly satisfied, 17.5% of the respondents feel satisfied , 0% of the respondents feel neutral,2.5% of the respondents feel Dissatisfied and 0% of respondents feel Highly dissatisfied with Coworkers relationship.

73

CHART-4.20

CLASSIFICATION OF RESPONDENTS ABOUT CO-WORKERS


80%
80

Percentage of Respondents

70 60 50 40 30 20 10 0

17.5% 0% 2.5% 0%

Highly Satisfied

Satisfied

Neutral Co-Workers

Dissatisfied

Highly Dissatisfied

74

TABLE 4.21 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

ABOUT PAY

S.NO 1 2 3 4 5 6

PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL

NO.OF.RESPONDENTS 8 56 36 48 12 160

PERCENTAGE % 5 35 23 30 7.5 100

Source: Primary data

INFERENCE: From the above table it is interpreted that 5% of the respondents feel highly satisfied, 35% of the respondents feel satisfied , 23% of the respondents feel neutral,30% of the respondents feel dissatisfied and 7.5% of them feel highly dissatisfied regarding their pay.

75

CHART-4.21

CLASSIFICATION OF RESPONDENTS BY PAY


35%
0.35

30% 23%

Percentage of Respondents

0.3 0.25 0.2 0.15 0.1 0.05 0

5%

7%

highly satisfied satisfied

neutral Pay

dis highly satisfied satisfied

76

TABLE4. 22 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

FOR TRANSPORT

S.NO 1 2 3 4 5 6

PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL

NO.OF.RESPONDENTS 0 24 16 64 56 160

PERCENTAGE % 0 15 10 40 35 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 0% of the respondents feel highly satisfied, 15% of the respondents feel satisfied , 10% of the respondents feel neutral, 40% of the respondents feel dissatisfied and 35% of them feel highly dissatisfied with mode of transport.

77

CHART-4.22

CLASSIFICATION OF RESPONDENTS FOR TRANSPORT 40%


40

35%

Percentage of Respondents

35 30 25 20 15 10 5 0

15% 10%

0%

Highly Satisfied

Satisfied

Neutral

Dissatisfied

Highly Dissatisfied

Transport

78

TABLE 4.23 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

ABOUT JOB SECURITY

S.NO 1 2 3 4 5 6

PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL

NO.OF.RESPONDENTS 16 100 36 4 4 160

PERCENTAGE % 10 62.5 22.5 2.5 2.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 10% of the respondents feel highly satisfied, 62.5% of the respondents feel satisfied , 22.5%of the respondents feel neutral, 2.5% of the respondents feel dissatisfied and 2.5% of them feel highly dissatisfied with job security.

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CHART-4.23

CLASSIFICATION OF RESPONDENTS ABOUT JOB SECURITY

70

62.5%

Percentage of Respondents

60 50 40 30 20 10 0

22.5% 10% 2.5% 2.5%

Highly Satisfied

Satisfied

Neutral Job Security

Dissatisfied

Highly Dissatisfied

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TABLE 4.24 TABLE SHOWING THE CLASSIFICATION OF RESPONDENTS

ABOUT ALLOWANCES

S.NO 1 2 3 4 5 6

PARTICULAR Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied TOTAL

NO.OF.RESPONDENTS 4 112 36 4 4 160

PERCENTAGE % 2.5 70 22.5 2.5 2.5 100

Source: Primary data

INFERENCE:

From the above table it is interpreted that 2.5% of the respondents feel highly satisfied, 70% of the respondents feel satisfied , 22.5%of the respondents feel neutral, 2.5% of the respondents feel dissatisfied and 2.5% of them feel highly dissatisfied with allowances.

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CHART-4.24

CLASSIFICATION OF RESPONDENTS ABOUT ALLOWANCES


70%
70 60 50

Percentage of Respondents

40 30 20 10 0

22.5%

2.5%

2.5%

2.5%

Highly Satisfied

Satisfied

Neutral Allowances

Dissatisfied

Highly Dissatisfied

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STATISTICAL TESTS CHI-SQUARE TEST


4.3.8 ASSOCIATION BETWEEN THE EMPLOYEE LEAVE TAKEN IN A MONTH AND REASON FOR TAKING LEAVE.

Hypothesis Statement: Null Hypothesis (H0):


There is no association between the employee leave taken in a month and reason for taking leave.

Alternative Hypothesis (H1):


There is association between the employee leave taken in a month and reason for taking leave.

Formulas:
Chi-Square test = 2 = (Oi-Ei)2 Ei Expected Frequency = Ei = RT*CT GT Degrees of freedom = (row total 1) x (column total 1)

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4.3.8 Calculation of Chi-Square: TABLE 4.3.8 Observed Frequency Reason for taking leave

Employee leave taken in a month

Sickness

Poor

Poor

Long

Personal

Total

transportation working

working problem

conditions hours 1 day 2 days 3 days 4 days 108 36 8 24 108 36 8 24 4 104 32 4 20 0 112 40 12 28 8 248 176 148 164 144 680 320 180 260 160

More than 4 4 days Total 180

180

160

200

880

1600

Source: Primary Data

TABLE 4.3.8 - Expected frequency

76.5 36 20.25 29.25 18 180

76.5 36 20.25 29.25 18 180

68 32 18 26 16 160

85 40 22.5 32.5 20 200

374 176 99 143 88 880

680 320 180 260 160 1600

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Chi - Square test: TABLE 4.3.8 - Chi- Square Table


Oi 108 108 104 112 248 36 36 32 40 176 8 8 4 12 148 24 24 20 28 164 4 4 0 8 144 2= (Oi-Ei)2 Ei Ei 76.5 76.5 68 85 374 36 36 32 40 176 20.25 20.25 18 22.5 99 29.25 29.25 26 32.5 143 18 18 16 20 88 (Oi-Ei)2 992.25 992.25 1296 729 15876 0 0 0 0 0 150.06 150.06 196 110.25 24.01 27.56 27.56 36 20.25 441 196 196 256 144 3136 (Oi-Ei)2/Ei 12.97 12.97 19.06 8.58 42.45 0 0 0 0 0 7.41 7.41 10.89 4.9 24.25 0.94 0.94 1.38 0.62 3.08 10.89 10.89 16 7.2 35.64 238.47

Degrees of freedom = (r- 1)* (c-1) =4*4 =16

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The table value of 2 for 16 degrees of freedom at 5% level of significance is 238.47

CONCLUSION:
Since calculated value of 2 is 238.47 greater than the tabulated value, null hypothesis may be rejected at 5% level of significance and, it is found from the test of Hypothesis that there is association between employee leave taken in a month and reason for taking leave.

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1.2 Correlation Analysis


4.15.16 ASSOCIATION BETWEEN THE FACTORS INCREASING WORK

PRESSURE AND THE FACTORS REDUCE ABSENTEEISM. The extent of correlation between two variables that are related can be determined by a coefficient. Karl Pearson devised a formula for this coefficient, which is as follow:

Where r=the coefficient of correlation n=the number of pairs of item x=deviation of the first serious y=deviation of second serious

Calculation the coefficient of correlation

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X Y

104 4

32 4

4 0

20 8

10 144

X 104 32 4 20 10 X =170

x 70 2 -30 -14 -24

x2 4900 4 900 196 576

Y 4 4 0 8 144

y -28 -28 -32 -24 112

y2 784 784 1024 576 12544 y2 =15712

xy -1960 -56 960 336 -2688 xy =624

x2=6576 y=160

Mean of series (X ) = (X)/n x =170/5 =34

Mean of series (Y) = (Y)/n y = 160/5 =32

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r=624/6576 15712 r=624/10164 r=0.0613

CONCLUSION:
This value of r=0.0613 indicates a high degree association between the variables x & y and from the above the table it indicates there is some what positive higher correlation between employee work pressure and factors reduce employee absenteeism.

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CHAPTER -5 5.1 SUMMARY OF FINDINGS

Majority of the respondents (45%) says no opinion about shift which difficult to work.

Majority of the respondents (65%) takes one day leave in a month. Majority of the respondents (70%) satisfied with the leave category. Majority of the respondents (75%) often avail casual leave. Majority of the respondents (65%) feel satisfied with the welfare measure. Majority of the respondents (47.5%) is possible to get leave by sometimes. Majority of the respondents (90%) taking leave for personal problem. Majority of the respondents (47.5%) says neutral about the work. Majority of the respondents (62.5%) feel satisfied with the job. Majority of the respondents (47.5%) says good employer relation motivates them to attend regularly.

Majority of the respondents (27.5%) says lead to overtime causes effect of absenteeism.

Majority of the respondents (70%) feels good about their work environment. Majority of the respondents (42.5%) says improper planning increasing work pressure.

Majority of the respondents (42.5%) says better working conditions may reduce absenteeism.

Majority of the respondents (70%) agree with the leave schemes of the company. 90

Majority of the respondents (40%) agree that job enrichment reduce absenteeism. Majority of the respondents (42.5%) says provide incentives will control absenteeism.

Majority of the respondents (80%) feel highly satisfied with coworkers relationship.

Majority of the respondents (35%) feel satisfied with the pay. Majority of the respondents (40%) feel dissatisfied with the mode of transport. Majority of the respondents (62.5%) feel satisfied about the job security. Majority of the respondents (70%) feel satisfied with the allowances given by the company.

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5.2 SUGGESTION AND RECOMMENTATION


o The organization may improve more facilities to safeguard the health of the Employees. o Increasing the relationship between superior and subordinate in the organizations leads to job satisfaction of the employees. o Providing various better working conditions will reduce the absenteeism of the employees. o Stress free work environment leads the employees to make their absence of the work places so remedial measures can be taken to reduce the stress. o The company may take action to reduce employees work load. o The company may give attention to improve compensation package and employee safety. o Proper recognition for the employee contribution of the workplaces make them help about the organizations and it leads to reduce the absenteeism to their work.

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5.3 CONCLUSION
Employee absenteeism is a major problem in every organization. Based on the analysis, the study concludes that the company provides the adequate health measures, and guidance for the safety measures to reduce absenteeism in the concern. The company may give little attention to improve welfare measures and reduce the employees work load, provide the training program for all the employees in order to have a conducive working environment. Also the company must provide counseling to the employees and provide transport facilities for employees to avoid dissatisfaction. If there is any dissatisfaction of the workers initially it leads to the increase the absenteeism of the employees. The researcher concluded that the organization has comparatively moderate absenteeism.

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