Professional Documents
Culture Documents
ON
STUDY OF THE FUNCTIONING OF PERSONNEL
MANAGEMENT, INDUSTRIAL RELATION & SOCIAL
WELFARE DEPARTMENT IN AN ORGANIZATION AT
R&DCIS, SAIL
RANCHI
DECLARATION
(Deeksha Bishnoi)
ACKNOWLEDGEMENT
CONTENTS
S.NO.
PARTICULAR
PAGE
PART I
1.
1:1
COMPANY PROFILE
HISTORY OF THE ORGANIZATION
3
5 TO 7
8 TO 11
1:2
1:3
1:4
1:5
1:6
1:7
OBJECTINVE OF SAIL
SAILS VISION STATEMENT
CREDO
PRODUCT & SERVICE
RESEARCH & DEVELOPMENT
CENTRE FOR IRON & STEEL (RDCIS),
SAIL, RANCHI
SWOT ANALYSIS
12
13
14
15 TO 26
27 TO 39
40
PART II
2.
3.
3:1
3:2
4.
5.
6.
7.
8.
9.
10.
10:1
42 TO 45
46
47 TO 50
51 TO 61
62 TO 73
74
75 TO 81
82
83
84
85
86 TO 88
COMPANY PROFILE
Steel Authority of India Limited (SAIL) is one of the largest state-owned steel making
company based in New Delhi, India and one of the top steel makers in world. With an annual
turnover of 50627 cr. (US$7.5 billion) (FY 2014-15). It is a public sector undertaking
which trades publicly in the market is largely owned by Government of India and acts like an
operating company. Incorporated on 24 January 1973, SAIL has 93,352 employees (as of 31Mar-2015).[2] With an annual production of 13.9 million metric tons, SAIL is the 24th largest
steel producer in the world.[4] The Hot Metal capacity of the Company will further increase
and is expected to reach a level of 23.5 million tones per annum by the end of the Financial
Year 2015-16. P.K Singh is the current chairman of SAIL.
SAIL
operates
and
owns
integrated
3
special
steel
steel
plants
plants
at
Salem, Durgapur and Bhadravathi. It also owns a Ferro Alloy plant at Chandrapur. As part of
its global ambition, the company is undergoing a massive expansion and modernization
program me involving upgrading and building new facilities with emphasis on state of the art
green technology. SAIL is a public sector company, owned and operated by the Government
of India. According to a recent survey, SAIL is one of India's fastest growing Public Sector
Units. Besides, it has R&D centre for Iron & Steel (RDCIS), Centre for Engineering and
Technology (CET), Management Training Institute (MTI) and SAIL Safety Organization
(SSO) located at Ranchi capital of Jharkhand.
MAJOR UNITS
Steel plants
Bhilai Steel Plant in Bhilai, Chhattisgarh
Bokaro Steel Plant in Bokaro, Jharkhand
Durgapur Steel Plant in Durgapur, West Bengal
Rourkela Steel Plant in Rourkela, Orissa
Subsidiaries
Indian Iron & Steel Company Limited in Burnpur, West Bengal
Maharashtra Elektrosmelt Limited in Chandrapur, Maharashtra
OTHER UNITS
New Delhi
SAIL Consultancy Division
Kolkata, West Bengal
Raw Materials Division
Central Marketing Organization
Environment Management Division
Growth Division
Ranchi, Jharkhand
Research & Development Centre for Iron & Steel
Centre for Engineering & Technology
Management Training Institute
Sail Safety Organization
Dhanbad, Jharkand
Central Coal Supply Organization
Post independence the Government of India assumed responsibility of developing the core
sectors including steel. The Government of India prevented the private sector from setting up
new integrated steel plants (ISPs). The government in the 50s and one in the 60s set up three
ISPs. SAIL was formed in 1973 as a holding company of the Government owned steel and
associated input companies. In 1978 by enactment of an Act the subsidiary companies viz.
Durgapur Mishra Ispat Ltd, Bokaro Steels Ltd, Hindustan Steel Works Ltd, Salem Steel Ltd,
SAIL International Ltd were all dissolved and merged with SAIL. In 1979, the Government
also transferred ownership of Indian Iron and Steel Company Ltd. (IISCO) which continues
to be a wholly subsidiary of SAIL. SAIL also acquired controlling interest in two major
suppliers of Ferro alloys namely Maharashtra Elektrosmelt Ltd and Visvesvaraya Iron and
Steel Company Ltd. The Company currently operates 4 integrated steel plants, 1 alloy steel
plant and 1 stainless steel plant.
Presently, SAIL is the largest steel producer in the country. The Government of India, the sole
owner till 1992, divested about 11% of the equity in 1992 and has allowed further dilution of
its stake through a Euro issue in 1996.
The Government of India has also committed not to set up any new Greenfield plant and
capacity expansions will be limited to de-bottlenecking and modernization.
In the international steel market, too, SAIL has garnered a reputation for itself as a consistent
and reliable supplier of world-class quality products. SAIL products have been well accepted
in more than 75 countries in the world, helping the company win recognition as a major
foreign exchange earner for the country.
Going beyond steel production, SAIL has formed several joint ventures in different areas
ranging from power plants to e-commerce. Three are with NTPC and DVC for taking care of
the steel plants captive power requirements, one with USX Engineers & Consultants, a
subsidiary of US Steel Corporation, for promoting IT in Steel sector and one with Bansal
Mechanical Works for a steel service centre at Bokaro. SAIL and Tata Steel have also jointly
set up Metaljunction.com Pvt. Ltd, a company managing e-commerce activities in steel and
related areas.
The SAIL Corporate Office in New Delhi manages and oversees this vast business. Besides
the SAIL Chairmans Sect., Corporate Office comprises of the companys Finance,
Operations, Commercial, Personnel and Projects Directorates.
Today, the accent in SAIL is to continuously adapt to the competitive business environment
and excel as a business organization both within and outside India.
10
OBJECTIVE OF SAIL
11
*
To be a
Respected world-class corporation
And
The Leader
In
Indian Steel business
In
Quality, productivity, profitability
And
Customer satisfaction
12
CREDO
We build lasting relationships with customers based on trust and mutual benefit.
We uphold highest ethical standards in conduct of our business.
We create and nurture a culture that supports flexibility, learning and is proactive to
change.
We chart a challenging career for employees with opportunities for advancement and
rewards.
We value the opportunity and responsibility to make a meaningful difference in
peoples lives.
13
Five-time winner of the Prime Ministers Trophy for Best-Integrated Steel Plant in the
country. Bhilai Steel Plant (BSP) is a major producer of rails, heavy and wide (up to
3600mm) steel plates as well as structural. With an annual production capacity of 3.153
million tones of saleable steel, the plant also specializes in other items such as wire rods and
merchant products, including TMT bars and rods branded SAIL-TMT. Facilities for
production of long rails-26m and above- are presently being installed at the plants Rail &
Structural Mill.
Situated in Chhattisgarh, this was one of the three 1 MT capacity crude steel plants set up in
the public sectors in the late 50s. Subsequently it was expanded to 2.5 MT ingot capacity and
currently expanded to 4.0 MT. With this, the saleable steel capacity increased from 1,965 MT
(2.5 MT stage) to 3,153 MT (4.0 MT stage).
Since BSP is accredited with ISO: 9001: 2000 Quality Management System standard, all
saleable products of the plants come under the ISO umbrella. BSPs plate mill, Dalli
Mechanised Mines and Rail Mill have, in addition, received ISO: 14001 certification for their
Environment Management Systems.
14
PRODUCT MIX
TONNES / ANNUM
Semis
Rails
Heavy structural
Merchant products
Wire rods
Plates
Total saleable steel
553,000
500,000
250,000
500,000
400,000
950,000
3,153,000
15
SAILRIM, API grade steel, HRNO, SAILMA, WTCR, BSL-46 for auto sector, etc., have
been introduced after modernization. The plants Steel Melting Shops, Continuous casting
shop, Slabbing Mill, Hot Rolled Coil Finishing and Cold Rolling Mill complex are accredited
to ISO: 9002 QMS standards.
PRODUCT MIX
HR Coils, HR Plates, & HR
Sheets
CR Coils & Sheets
GP/ GC Sheets
Tin Mill Black Plates
(TMBP)
Total Saleable Steel
TONNES/ ANNUM
2,120,000
1,390,000
170,000
100,000
3,780,000
16
PRODUCT MIX
TONNES/
ANNUM
Plate mill plates
3,25,000
HR plates
1,30,000
HR coils
7,46,000
ERW pipes
45,000
SW pipes
55,000
CR sheets & coils
2,20,000
Galvanized sheets (GP & 1,80,000
GC)
Electrolytic tin plates
60,000
Silicon steel sheets (CRNO)
75,000
Special steel plates
3,000
Total saleable steel
18,39,000
17
With the successful commissioning of modernized units, Durgapur Steel Plant is all set to
produce 2.088 million turnover of hot metal, 1.870 million tones of liquid steel and 1.755
million tones of saleable steel annually.
PRODUCT MIX
Merchant Products
Structural
Skelp
Wheel & Axles
Semis
Total Saleable Steel
TONNES/ ANNUM
3,25,000
1,80,000
2,20,000
30,000
10,00,000
17,55,000
Plant
BSP
DSP
RSP
BSL
Others
Total
Interest
SAIL
PBT
2002-03
1088
-117
-228
644
-369
1018
1334
-316
2003-04
2184
160
147
1345
-309
3527
899
2628
18
Swing
1095
277
275
700
60
2509
435
2944
19
springs, hammers, grate bars, hot saw blade, shear blade, bright bar, stainless steel liner plate,
etc. ASP also saw suppliers import substitution items to many customers through established
conversion agents. The entire plant is certified to ISO: 9002 standards.
20
operation. VSL has an installed capacity of 77,000 tonnes of alloy/special steel and 205,000
tonnes of not metal. The plant has received ISO: 9002 certification for steel production
through rolled and forged routes and pig iron production.
SUBSIDIARIES
INDIAN IRON & STEEL COMPANY LIMITED
The Indian Iron & Steel Co. Ltd. (IISCO), originally in the private sector, became a
subsidiary of SAIL in 1977. Its integrated steel plant in Burnpur has the capacity to produce
352,000 tonnes of saleable steel and 335,000 tonnes of pig iron annually. IISCO also has
captive collieries at Chasnalla, Jitpur and Ramnagore. Its mines at Gua, Chiria and
Manoharpur are considered to have Asias largest reserves of iron ore. The production
facilities at Burnpur are currently being augmented under a plan approved by the
Government.
IISCI produces a range of steel structural and special sections as pig iron. The plant pioneered
in the production of Z-section centre sills and Z-type sheet piling sections used in the
fabrication of wagons and construction of barrages, bridge foundations and other projects.
IISCOs Merchant & Rod Mill is equipped with ISO: 9002 certification.
OTHER UNITS
RAW MATERIALS DIVISION
21
The Raw Materials Division (RMD) formed in 1989 with headquarters in Kolkata for
management of all the captives mines of the SAIL Steel plants in the eastern sector. This has
enabled rationalization of raw material supply to the different plants in the region and
achievement of systematic reduction in the purchase of iron ore from non-captive sources.
Presently, RMD manages five iron ore mines in Jharkhand and Orissa, and four Limestone
and Dolomite quarries in Madhya Pradesh, Jharkhand and Orissa.
States
Kiriburu
Meghahatuburu
Bolani
Barsua
Kalta
Jharkhand
Jharkhand
Orissa
Orissa
Orissa
Annual Capacity
(MT)
4.25
4.30
3.00
2.01
0.80
RMD is planning to expand capacity in view of the enhanced production plants of the steel
plants and to cope with the requirement of high quality iron ore.
The limestone quarries under RMD are located at Kuteshwar, Purnapani and Bhawanathpur.
Dolomite Quarries are at Tulsidamar and Purnapani.
RMD has a centralized workshop at Bolani for repair/overhauling of engines & transmission
of heavy earthmoving machinery operating at the mines.
Besides the above, RMD has three Customer Service Offices at Rourkela, Durgapur and
Bokaro for Coordination with the steel plants. Two liaison Offices are also maintained at
Bhubaneshwar and New Delhi for better coordination with government agencies and other
statutory authorities.
of around 12,000 tonnes each of washed coking coal and power-grade coal to SAIL steel
plants.
23
proper dispatch of export materials and timely imports of raw materials to keep the SAIL
plants going.
24
conducts network meetings for selected important program. MTI also undertakes
management research for diagnosing organizational issues and provides consultancy services
in the are of management, organizational development and HRD within India and abroad.
Research and Development Centre for Iron and Steel (RDCIS) is the Corporate R&D units of
Steel Authority of India Limited (SAIL) which was set up in 1972. Over the years, RDCIS
has earned credentials of being an R&D Centre of international repute in the field of ferrous
25
metallurgy. The ISO 9001:2000 certified Research & Development Centre for Iron & Steel
(RDCIS) undertakes R&D projects in diverse realms of iron & steel technology under the
categories of Basic Scientific Research, Plant Performance Improvement, Investigation
Consultancy Assignments, Equipments & Instrument Design and Major Technology
Development.
RDCIS has more than 250 dedicated and competent scientists and engineers and its
laboratory is equipped with around 300 sophisticated diagnostic research equipments and 5
pilot plant facilities.
The major efforts of RDCIS are directed towards cost reduction, quality improvement and
value-addition to products of the SAIL plants and providing application-engineering support
at customers end. Along with the steel plants, RDCIS has recently taken initiatives to pursue
multi-disciplinary large projects with an aim to improve overall performance of the plants
and to develop special steel products for prospective customers.
The main objective of RDCIS is to plan, demonstrate and implement multiplinary R&D
programs in the Companys steel plants to improve their key performance indicates related to
quality, productivity and yield. RDCIS works hand-in-hand with steel plants and the Central
Marketing Organization of SAIL to:
The key inputs to RDCISs drive for plant performance improvements are provided by
laboratory based basic and scientific research activities. Also, sustained efforts towards
development of appropriate softwares, equipments, instruments and sensors have lent a
cutting edge to our research programs.
During last 10 years, the centre has accomplished the following:
26
RDCIS
LABS
Ministry
Of IT
BSR
EID
Academic
Inst.
MTD
Ministry Of
Steel
Research
Labs
PLANTS
PPI
ICA
Ministry
Of Coal
Industry
SHOPS
Due to closer linkages between domestic and global markets, Steel business has witnessed
fierce competition. This has necessitated reorientation of RDCISs efforts to provide greater
thrust in the following areas:
Inter-disciplinary plant performance improvement projects to meet shop / product
oriented objectives.
Development of comprehensive technology packages for production of new and
special steels.
Optimization of resource utilization using process and system modeling techniques.
Intensification of collaborative efforts with peer organizations.
Increase in external earnings by marketing of expertise, services and technologies
developed in-house.
Up gradation of research facilities.
RDCIS is also actively engaged in pursuing basic scientific research & development of
equipment and instruments with primary application potential in iron & steel industry.
Capabilities
27
RDCIS has to play increasingly vital role towards meeting the current as well as future needs
of the steel plants. This would critically dependent on the availability of research facilities
and their utilizations. Major laboratory facilities of RDCIS are in the areas of : coal, coke &
chemicals, mineral processing & agglomeration, iron making, melting and solidification of
steel, rolling mills, thermo-mechanical simulation, metallographic, mechanical testing, heat
treatment, X-ray diffraction, chemical analysis, environment, refractory, corrosion, coating,
tribology, energy conservation, automation & instrumentation and computerization. All
equipment and diagnostic tools available in different laboratories are maintained with planned
preventive maintenance program and are regularly checked.
RDCIS Expertise
Over the years, RDCIS has developed expertise in all thrust areas of iron & steel technology:
raw materials & beneficiation, sinter making, coal blending & coke making, iron & steel
making, continuous casting, hot & cold rolling, process automation, computer application &
software development, tribological & metallurgical investigations, corrosion engineering and
environment management.
AREA OF EXPERTISES
Raw materials, Coal $ Coke
*
Sintering
*
Iron Making
28
*
Alternative routes of iron making
*
Energy
*
Steel making and casting
*
Refractory
*
Rolling technology
*
Instrumentation and Automation
*
Design and engineering
*
Pollution control and waste management
*
Facilities
*
Total quality efforts
*
Collaborative research
*
System
*
Human Resource
Plant Centers
RDCIS Plant Centers are located at all the steel plants of SAIL. These Plant Centers are
manned with experts from major technological disciplines. The role of each centre is to work
as an interface between the plant and the main centre at Ranchi, facilitate identification and
formulation of R & D projects, participate in the execution of the projects, provide technical
services to plants, monitor and review the progress of projects and facilities utilization and
evaluation of the R & D innovations.
TsNIIChermet, Russia
National Science Foundation and Naval Research Laboratory, USA
International Flame Research Foundation, Holland
MEFOS, Sweden
NKK, Japan
Voest Alpine, Austria and
NPL, England.
RDCIS CLIENTELE
Some of the esteemed customers are as follow:
30
31
Consultancy services outside SAIL and enhanced efforts to market at RDCIS, R&D activities
are pursued in projected form. In addition some amount of basic research is also conducted
for fostering creativity. Besides carrying out laboratory investigations and plant trail,
increasing emphasis is now being given in using physical and mathematical no dealing
approach for process analysis and Optimization. The center stands for total quality in the field
of research and ferrous metallurgy and strives for total customer satisfaction accordingly;
RDCIS acquired ISO 9001 certification in 1994. This has enabled the center to
continuously improve upon the quality assurance system aimed at accomplishment of
international standards in research quality.
32
MISSION
Most organizations, which pursue bulk of their activities in projectiles mode, as RDCIS does,
do have a mission. The mission statement for such an organization indicates the collective
destination of its projects and program and provides the substances for its time bound goals.
33
CORE VALUES
Core Values of RDCIS are the same as those of our Company, SAIL:
Customer satisfaction
Customer comes first every time.
Concern for people
Consistent profitability
Consistent profitability is essential
for growth
Commitment of Excellence
Jobs
Manpower planning
Recruitment
Training & Development
Employee services
Establishment i.e. implementation of policies and procedures related to service
conditions
Appraisal
Motivation & Incentives
Growth of employees
Records management
35
Wage administration
Employee welfare
Separation
Industrial relations
Grievance handling
Workers participation in management
Union & Associations
Committees
Agitations
Statutory obligations
Office communications
SWOT ANALYSIS
STRENGTH
1. Strong employee workforce with over 130,000 employees
2. Technical & managerial expertise in the industry
3. Strong raw material supply chain management
4. Strong financial resources owing to being a Govt enterprise
5. It has an annual production of over 13million tonnes
36
6. Partnerships with NTPC, Bokaro Steel etc has strengthened its market position
WEAKNESS
1. Govt. and political intervention affects operational efficiency
2. Higher profit margins are not allowed
OPPORTUNITIES
1. Expansion & growth
2. Globalization with tie-ups with international players
3. Mergers & Acquisitions
THREATS
1. Change in Government policies & economy trend
2. Emerging & existing private sector players
3. Technological developments in outside world
PART II
37
SAIL is a large organization and presently has a employee strength of about 1.57 lacs. This
includes executives and non-executives. Since inception of SAIL the need of Personnel
Deptt. Were felt and all units of SAIL having a separate department for management of its
manpower? This deptt.is responsible for all aspects of man management. RDCIS being a unit
of SAIL has a personnel and administration department since inception.
38
The role and functions of Personnel Department remains similar all over SAIL. The policy
and procedures of SAIL are uniformly applied. However, on same instances the functions of
personnel department differ from unit to unit. This difference is dependent upon the nature of
the job of respective unit of SAIL. The major difference is between steel plants and other
corporate units like RDCIS, CMO, RMD, and CET etc. This is because steel plants being
productions units and the others being service units have a different nature of job.
P&A departments of all units of SAIL including RDCIS perform a service & support
function. Their role is more of advisory to the line function. They act as facilitators and
advisors of different major functionaries in the organization. Personnel department is
responsible to formulate policies and procedures related to man management. These policies
basically guide the functioning of personnel deptt. The implementation of these policies is
also responsibility of personnel deptt. Personnel department basically caters to all needs of its
unit with regard to its Human resources. Its role starts from assessment of manpower
requirements, their recruitment, utilization and their separations from the company.
Maintenance of conducive environment for effective utilization of human resources is the
responsibility of this department. It is this department which is held responsible for peaceful
industrial relations. Adherence to statutes related to labor is the responsibility of this
department. This department also performs certain general administrative functions such
security management, office administrations, liaison with various agencies outside the
organization etc.
If one looks in detail to its functions, it can be broadly categories in the following.
Manpower Planning
SAIL has a proper manpower planning system in place since very beginning. During the days
of inception of SAIL plants proper IED study was done and accordingly manpower planning
was done. But later it was found that SAIL has excess manpower compared to industrial
standards. Hence a comprehensive manpower planning policy was made which envisaged for
reduction of manpower. This policy tried to make a balance between company needs and
welfare of employees and the society in general. SAIL started to reduce the number of intake
and allowed the separations to take place. Schemes like Voluntary retirement, sabbatical leave
39
where introduced. This resulted into considerable reduction in manpower. The need for fresh
recruitments has been reduced partly because help of new technology was taken.
The detailed procedure for manpower is given below:-
Recruitment
At present, no recruitment for non-executives is done at RDCIS. The recruitment of
executives is done centrally by corporate office and then the recruited executives are placed
in respective units as per the requirement. But very few recruitments are taking place in
executives grade also. However, in plants and some other units some recruitment of fresh
critical category non-executives is taking place, so as to maintain the availability of trained
manpower.
The policy for recruitment, which is followed by all units/plants of SAIL, identifies two
sources of recruitment i.e. (i) Internal (ii) External
(i)
(ii)
For all types of recruitments merit is the sole criteria. But good guidelines for reservations to
SC/ST/OBC etc. are followed.
There are different methodologies for recruitment in different levels. For intake in
executive grade all India level exams are conducted. The successful candidates are then
called for group discussions and interview. Then the successful candidates are recruited.
Appointment procedures are mentioned as above. It varies as per the level of recruitment.
40
Salary fixation is done as per the existing wage structure in the company .The new entrant
is given the salary structure corresponding to his grade of entry. The details of wage
structure are discussed ahead.
The entry into executive cadre is a trainee in technical stream and managerial stream.
Only executive for finance dept. are not taken as trainee. The technical stream trainees are
called management trainee (administration).In both these categories a comprehensive one
year training is given before they are confirmed as junior mgrs. In non executive category
also ITI qualified and Diploma holders are taken as trainees. After successful completion
of training they are regularized in their respective grades.
SAIL has well identified levels of entry into the company. Executive recruitment is done
in broadly four levels:(i)
(ii)
(iii)
(iv)
Recruitment sources are identified above. No recruitment is done for Wards / Sons
of employees except in cases of accidental deaths.
Written test, group discussions, interviews, trade test etc. are used as tool for
selection according to the type and level of recruitment.
All the recruits are given a comprehensive induction training of their respective
units.
41
OBJECTIVE OF STUDY
42
INDUSTRIAL RELATION
Meaning
The term industrial relation is used to denote the collective relationship between
management, employees and government in any form of industrial or non-industrial
organization. Individual relationships of workers with their management are thus excluded
from the scope of industrial relations and form part of personnel management.
1.Collective Bargaining:
established employee organizations in the manner best meeting the interests of the company
and its employee.
a) Negotiate agreements
b) Interpret and administer agreements.
2.Employee
Discipline:
Developing
and
maintaining
effective
work
regulations and creating and promoting harmonious working relationships with employees.
a) Establish rules and regulations for conduct.
b) Establish and administer disciplinary measures.
3.Personnel Research:
43
Non-Statutory
Rs 100 per month is deducted from the members salary. The policy has to be renewed
every year. Contribution period is 1st January to 31st December. If an employee wants
to withdraw from the policy, he can do so. In that case, he will receive 65% of his
contribution and the Group Insurance
Employees Family Benefit Schemes (EFBS)
Death Benefits Schemes (DBS)
SAIL Employees Superannuation Benefits Fund (SESBF)
44
(b) Homeopathy
(c) Ayurvedic
Report
Scholarship
Finalization of Holidays/Optional Holidays list
Report on ST/SC?OBC
Peripheral Development
Renewal of license under the Factories Act
Testing and Inspection of Equipment under the Factories Act
Renewal of license under the Shops and Establishment Act of Bihar/Jharkhand
Report on Parliamentary questions
Issues related Employees
Union/Association for Steel Executive-Election
45
disablement.
46
Scheme:
lakh to its holders. In case of permanent disablement/death, whatever the case may be the
employee/his family members will receive Rs 1 lakh. Under the scheme, interest there on.
Coverage:
Eligibility:
Benefits:
employee himself , as thecase may be, on depositing with the company the entity PF and
gratuity amounts of the employee, would be entitled to monthly payment equivalent to his
basic pay plus PF and gratuityamounts of the employee, would be entitled to monthly
payment shall continue till the normal date on which the employee concerned would have
attained the age of superannuation, had he been in the service of the company.
Termination of benefit:
In case the family members/employee, as the case may be, wants to withdraw from the
scheme, he/she can do so by making an application. In that case , the monthly paymentshall
be paid to him/her. In case of the date of actual Superannuation of the employee comes, the
monthly benefit would be stopped and the PF the gratuity amount deposited with the
company, shall be refunded.
employee.
47
Coverage:
Benefit:
this scheme and thetotal amount collected is handed-over to the family of the
deceased.
Superannuation. With this objective a fund was created in which 2% of the basic and dearness
allowance by both employee and company has to be deposited. This fund will be utilized for
creating a pension scheme, which may come in future.
Coverage: The
Benefit:
48
In case of treatment outside the city, the to and fro journey and lodging expenses
(6) MEDICLAIM
Objective:
spouses.
Coverage:
a)
b)
c)
disablement.
d)
The spouse of an employee who dies in service.
The scheme is optional and those who opt for this scheme will hereinafter referred to as
members.
Scheme:
Benefits:
OPD Facilities
The insured person can avail medical facilities in out patient department in government
hospital, SAIL HOSPITAL, sail approved hospital/nursing homes or the hospital approved by
Mediclaim. The limit of reimbursement is Rs 4000/- per member.
Indoor Facilities:
Reimbursement of actual charges up to Rs. 85,000/- per member per policy spent on room, IC
unit, nursing expenses, surgeon, anesthesia, medical practioner, consultant, specialist fees,
blood, oxygen, operation theatre charges, surgical appliances, medicines, and drugs,
diagnostics materials-ray, dialysis, chemotherapy, radio therapy, artificial limbs, and cost of
49
organs and similar other expenses. The limit of Rs 85000 /- includes domiciliary
hospitalization of Rs 11,500 /- per member.
(7) FAREWELL
Objective:
Coverage: The scheme covers all the regular employee of the company.
Scheme:
A function is organized by the company on the last day of the service of the
retiring employee, in which senior officers including the Director/Chief Executive are
present. The contribution of the concerned employee during his service period is recalled and
people present express their feelings and sentiments on the occasions. The company gives a
gift to the retiring employee which is SAIL made steel dinner set along with a service
certificate. A high tea is organized on the occasion followed by a group photograph.
Coverage:
Scheme:
50
51
wards of employees.
Coverage: All regular employees.
(13) HOLIDAYS
RDCIS finalizes the list of closed holidays and optional holidays in consultation with the
employees representatives. However, the total number of holidays and leave remain same
thought SAIL. There are 17 closed and 4 optional holidays provided to the employees in a
year.
52
(ii)
(iii)
bipartite
committees,
processes
the
nominations
of
UNION/ASE.
(iv)
(v)
53
The foundation day of SAIL is celebrated of 24 th January every year, across the company. A
SAIL run for 5KM cross country is organized and winners are distributed the prizes. The
employees and their wards participate in this programme.
(23) SECURITY
This department looks after all the security aspects of RDCIS complex, SAIL Satellite
Township, the bungalows of VIPs. SAIL Hanger, etc, the group looks after the fire-fighting
measures at RDCIS, they work towards preventive vigilance. They also do the Liasioning
with police officials.
STATUTORY
Industrial Relation & Welfare section of RDCIS have multiple facets of activities. All major
activities have been discussed briefly previously. To give main emphasis on some of the most
important aspects, the concentration was made on the following two activities:
1. Implementation of Factories Act.
2. Implementation of Employees State Insurance Act.
RDCIS is registered under the Factories Act 1948. The renewal of license under the Factories
Act is done regularly. However, there are many other provisions to be followed under the Act.
The job assigned was to see those aspects with reference to the Factories Act and point-out
non-compliance, if any and suggest the remedial measures to RDCIS for possible
implementation.
54
RDCIS was forced to get itself registered under the factories act sometime in the year 1988.
This was done under pressure from the then Inspector of Factories. This was inspite of the
fact that no manufacturing process was going on and still is being done here. The listing of
RDCIS is under Schedule 2 of the Factories Act, which covers the dangerous and
Hazardous operation in the Factory. RDCIS does only the research and development work on
experimental basis. Once renewal of license every year compliance is being done regularly.
Since no manufacturing process is being carried out here, the RDCIS should be deregistered.
At the best the DG set centre, where power is generated to take care of the emergency, should
only be registered. The need of statutory canteen does no exist as less than 250 persons are
deployed in the power generation.
55
located. They also fear that once they go there, they would be out Ispat Hospital facilities,
which they were getting earlier. Another reason they have in their mind that they don not
want a separate identity than the RDCIS employees. Whenever any pressure was created on
them, they resorted to agitation path.
The management of RDCIS is fully aware of the penal provisions, as also the accumulation
of contribution and interest thereon, which is supported to be deposited with the ESI
authorities.
INPUTS
Human
Resources
56
The strength of RDCIS lies in the availability of true professional in diverse engineering and
scientific disciplines like metallurgy, chemical engineering, mechanical engineering, Physics,
Computer Science, Ceramic, Chemistry, Electrical Engineering, Electronics, Fuel technology
and many other gives the ability to execute multi disciplinary and complex projects.
Lets have a look at the number of executives and non-executives qualification wise break up
of executives in RDCIS.
Non - Technical
118
189
Executive
Non
Executive
Total
474
307
Technical : Non Technical = 1.54 : 1
Total
435
346
781
Ph. D.
48
10
PG
85
11
Graduates
149
32
Others
0
-
01
19
61
10
57
Facilities
The research laboratory of RDCIS comprises of 55 diagnostic equipment and 11 major
facilities required for advanced R&D work in the field of Iron and Steel. The facilities are
supported by any information and documentation centre (IDC) for providing latest
information on research activities.
Expenditure
The revenue expenditure of RDCIS in the last year was 41.12 crore.
Manpower Rationalization.
58
Around 2,000 employees opted for voluntary separation during the year, and along with
around 3,500 natural retirements helped the companys manpower to be further reduced to a
level of 131,910 at the end of March 2004. Since 1998 in SAILs manpower has been around
45,000.
15994
15671
14760
16000
13749
14000
13191
12000
10000
8000
6000
4000
2000
0
1999-00
2000-01
2001-02
2002-03
20003-04
Labor Productivity
During 1999-00, labor productivity in SAIL was 96 Tonnes of crude steel per man per year
and in 2000-01 it was 105 Tonnes of crude steel per man per year. In 2001-02 it was 111
tonnes of crude steel per man per year. In 2002-03, the labour productivity was 123 tonnes of
59
crude steel per man per year. In the year 2003-04, the labor productivity in SAIL went upto
137 tonnes of crude steel per man per year, an improvement of 11.38% over the level
achieved the previous year.
137
140
123
120
105
111
96
100
80
60
40
20
0
1999-00
2000-01
2001-02
2002-03
20003-04
Outputs
Projects Completed
RDCIS completed 66 projects in the last year (2002-03). The distribution of projects /
programmes completed in different categories was
60
PP1 61
ICA 22
EID 7
BSR 4
Monetary Benefit
The certified annual benefit ( CAB ) of or RDICS in 2002-2003 was Rs.200.81 crore , of
which Rs. 78.83 crore was incremental CAB as certified by the heads of works and Rs.121.98
crore was recurring CAB generated due to sustained utilization in 2002-2003 of R&D
innovations recurring CAB as certified annual benefit was 233.31 crore of which Rs.98.01
crore was recurring CAB as certified by head of work and Rs.133.31 crore was recurring
CAB generated due to sustain utilization in 2003-2004 of R&D innovations.
The incremental CAB is the annual monetary benefits produced by plants by use of all the
R&D innovations for the period of 1st 12 months after starting date of utilizations.
Monetary benefit accruing from project output certificate by standing committee of plants
61
Scientists and engineers of RDCIS published 45 papers in journals of repute and made 155
presentations in various national and international conferences during 2002 03. The list of
papers published / presented during the year is given in the outputs details of this report.
OUTPUT OF RDCIS
1999-00 TO 2003-04
2003-2004
Papers Published
Presentations
Patents
Copyrights
TAPs
Certified
Annual
Benefit
(Rs.Crores)
External Earnings
(Rs.Lakhs)
Awards
44
98
26
31
18
231.3
1999-00 TO 200304
196
438
120
102
77
967.4
176.3
621.4
44
62
CUSTOMER SATISFACTION
The customer satisfaction level of PPI and ICA projects is determined using an established m
an objectives criteria and is expressed in terms of a dimensionless parameter,called customer
satisfaction index(CSI).The CSI for 2003-04 was 3.7 on a scale of 4, which is compared with
the figures in the previous two years.
63
64
65
66
Distribute copies
Travel tickets
Arrangements
Other allowances
Foreign exchange
Medical insurance
67
RESEARCH METHODOLOGY
68
nature of their work. The target population was directly or indirectly involved in handling the
areas of different PM, IR & HRD activities.
SAMPLING METHOD-
INTERVIEWS-
The next step planned was to interview the target population and get
their written feedback in the form of reply to the questionnaire supplied to them. Each
employee was subjected to discussion on each and every question of the questionnaire.
COLLECTION OF DATA
interviews, surveys and by means of questionnaire prepared. The respondents were given
some time to fill their responses. The secondary data were collected from several records kept
in HRD, printed materials. Its also worthwhile to mention that some personal observations
were also there
DATA ANALYSIS
69
The following are observations on the replies given by the employees of RDCIS, who were
interviewed:
(1) 100% employees are fully aware about the functions of personnel and industrial
Relation Dept.
(2)On the Query whether Personnel Dept. functions well in its concern areas like
Promotion, Transfer, Grievances Handling etc., 98% employees reply Yes
2%
YES
NO
98%
3)On the Question ,whether the personnel Dept. takes proper care to redress the genuine
Grievances of employees, 80% employees agree on the statement & rest 20% feels that there
is the need of improvement.
70
20%
YES
NO
80%
Sales
0.60000000000000064
71
0.4
7)When Asked about the creative changes, if hey were the heads of HRD Department, the
majority of employees emphasizes on transparency of the decisions & interaction
Programmes with the general employees in batches.
8) 80% of the employees think that an organization HRD intervention may bring creative
changes in various department of an organization.20% of employees think, it not bring
Creative changes.
20%
YES
NO
80%
9)The employees who have agree on the appropriate HRD intervention have given some
common interventions as:
i)
ii)
iii)
iv)
10)On asking a question to rate the present Procedures of Training at RDCIS, 60% of the
employees said it is Good, 30% said satisfactory & rest of the employees said it is very Good.
72
10%
GOOD 30%
SATISFACTORY
NO ANSWER
60%
11) Upon asking the suggestion for improving the function of HRD at RDCIS, the employees
reply as:
i) Better Customer Relations.
ii) Need to be Proactive & Responsive.
iii) Strengthing the Department.
12) When asked about the naming four welfare Schemes provided to RDCIS employees,
Majority of employees said-Housing ,Canteen, Group Insurance & Free education.
13)Upon asking to name four statutorily required welfare schemes, 90% of the employees
replied to the question .Majority of them mentioned Free Medical, Free education, Provident
Fund & CPF scheme.
14)Is the retiring employees, who has served in the company for whole of his career in the
organization, taken care properly. On this question, 70% of the employees were satisfied.
However 10% said No while the remaining 20% could not say anything.
73
20%
SATISFIED
CAN'T SAY
NO ANSWER
70%
15)On the query about the adequacy of number of scholarship, 40 %felt that they are
adequate, 30% felt that they are more than adequate & remaining 30% wanted the number to
be increased.
30%
30%
MORE THAN ADEQUATE
30%
CORRECT
NOT CORRECT
50%NO IDEA
20%
17)70% of the employees know about the employees State Insurance Act, whereas 30% do
not know.
KNOW
DON'T KNOW
70%
18)Some of the suggestions made by the employees for improving the Work efficiency of IR
& W are: Computerization of work of IR& W, more focus towards the interaction with
employees.
75
FINDING
SUGGESTIONS
RDCIS needs Human Resource Planning and To meet the demand of changing Job
requirements due to a rapidly changing Technology.
76
Certain new type of Human Resource may be required due to changes in / Introduction of
new legislative measures.
Personnel Department need to be pro-active and responsive.
Optimum utilization of Man Power.
Placing current Employee in Position who Utilize their capabilities better.
All basic policies and procedures relating to Industrial Relation should be clear to every
Employee in the Organization and to the Union leader
CONCLUSIONS
The main strength of an organization lies with its human resource one can say that the
employee build the organization. A good organization takes care of its human resource at its
priority. Unless the welfare and other facilities of the employees are properly taken care of,
they cannot contribute fully towards the organization with this, in view RDCIS involves
many welfare schemes.
The personnel management and industrial Relation department of RDCIS looks after the
various human resource activities of the organization. The department formulate the policies
and procedures related to man management, ensures conclusive environment for better
relation between employee and management, ensures adherence to statutory provision related
to labor, they also perform administrative functions like security, office administration and
takes of the welfare of the employees and also takes care on the implementation of Factory
Act and Employee State Insurance Act in the organization.
The Human Resource Development section of RDCIS basically deals with the training of
employees and also the various inputs and outputs like human resources, labor productivity,
manpower position, projects, presentations, patents, copyrights, arranging different programs
such as, programmes for awards & recognition etc. Training programmes are basically of
three types : In-house training of employees, external training of employees within India, and
external training of employees outside India (Foreign training)
77
BIBLIOGRAPHY
78
ANNEXURE
Group ________________________________
Questionnaire
(1)
Are you fully aware about the functions of Personnel and Industrial Relation
Department?
Yes
(2)
No
Does Personnel Department functions well in its concern area like Promotion,
Transfer, Grievance Handling, etc?
Yes
(3)
No
Do you feel that Personnel Department takes proper care to redress the genuine
Grievances of employees?
Yes
No
(4)
(5)
If you get negative reply from Personnel / HRD Department against Grievances,
how do you react?
(a) Argue with personnel Department.
(b) Dont feel to argue further.
(c) If any other way, please explain.
79
(6)
(7)
If you were head of HRD Department, what creative changes will be introduced
by you to make it more effective?
(8)
Do you think that an appropriate HRD intervention may bring creative changes in
various Departments of an Organization?
Yes
(9)
No
If the answer to the above question is yes, will you kindly list, what are the HRD
interventions?
(a)..
(b)..
(c)..
(10)
(11)
Very Good
Good
Satisfactory
(12)
(13)
80
(14)
Do you think that an employee who has served the company for whole his career
is properly taken care after his retirement?
Yes
(15)
No
(16)
Should be increased
No
Cant Say
(18)
Adequate
(17)
Cant Say
No
Make few suggestions for improving the work efficiency of IR&W Department?
(a)
(b)
(c)....
81