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A report on the study of OPTIMIZATION OF HUMAN RESOURCES

For Shrenuj & Co. Ltd

Submitted to the Department of Management Studies

In partial fulfillment of the Post Graduate Diploma In Management

Under the Guidance of

MS. RAJESWARI MENON

By DEEPESH. P.

BATCH 16

FK – 1628

S C

M S

SCMS – COCHIN SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA-683 106, COCHIN September 2008

DECLARATION

I, the undersigned, hereby declare that this project report entitled Optimization of Human Resources has been written and submitted under the guidance of Ms Rajeswari Menon and is my original work.

I understand that detection of any copying is liable to be punished in any way the school deems fit.

DATE:

DEEPESH. P

SCMS – COCHIN
S C M S

SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA- 683 106, COCHIN.

CERTIFICATE

This is to certify that the project work entitled Optimization of Human Resources’ has been carried out under my guidance by DEEPESH. P in partial fulfillment of his Post Graduate Diploma in Management during the academic year 2007 - 2009.

Date:

Ms Rajeswari Menon

SCMS – COCHIN
S C M S

SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA-683 106, COCHIN.

This is to certify that the project work entitled

Optimization of

Human Resources has been carried out by DEEPESH. P in partial fulfillment of his Post Graduate Diploma in Management.

DATE :

Dr. V. Raman Nair Director

Raghu Menon. My profound and sincere thanks to Mr. It’s indeed a privilege to express my gratitude to the people involved. With limitless humility. who bestowed me with enough courage to accomplish this treatise. Deepesh. I am indeed indebted to a large number of people who have encouraged and helped me in a variety of ways.ACKNOWLEDGEMENT In successfully completing my project report. who provided me with all her support in this great endeavour. P . Vinod More. Shrenuj & Co. I owe my sincere regards to the ‘Almighty’ for making me able to believe in myself and letting me utilize my potential to the fullest of my energy during the entire course of the study. Last but not the least. I thank my family and friends. I express my sincere thanks to Ms Rajeswari Menon.ADMIN. unflinching judgment and constant encouragement during the entire course of my study. DGM HR & ADMIN and Mr. valuable guidance. I have paucity of words to express my obeisance before them for their keen interest. Manager. Mumbai who consented to be my project advisors. I am highly obliged and grateful to SCMS for giving me an opportunity in undertaking the project.

4 study 3 4 5 6 7 8 9 Chapter II.11 12.36 37 .Findings and Conclusion Chapter VI.Recommendations and Suggestions Bibliography Appendix 5-6 7 .Industry and Company profile Chapter IV.Introduction and theoretical background of 3 .Research Methodology Chapter III.TABLE OF CONTENTS S. No 1 2 Title Executive Summary Page No 1-2 Chapter I.Analysis and Interpretation Chapter V.31 32 .33 34 35 .

Chart no: 5 showing the grading system in the company. Chart no: 2 showing the Labor mix of Shrenuj group. Chart no: 4 showing the enrollment segregation of labor in Shrenuj group. Table no: 5 & 6 showing the designations and required skills for various departments. 13 14 15 16 23 28 29 30 20 21 22 26 . Table no: 7 showing the sample Job descriptions with KRA.TABLE OF CHARTS AND GRAPHS S. No Title Page No 1 2 3 4 5 6 7 8 9 10 11 12 Chart no: 1 showing the break up of employee strength in Shrenuj group. Chart no: 6 showing the minimum and maximum salary for each grade in various divisions. Table no: 3 & 4 showing the designations and required skills for various departments. Chart no: 3 showing the capacity of each company in units per month. Chart no: 9 showing the minimum and maximum salary for each grade in various divisions. Table no: 1 & 2 showing the designations and required skills for various departments. Chart no: 7 & 8 showing the minimum and maximum salary for each grade in various divisions.

was that the company has highly competent employees. But. It was observed that there was a huge disparity in the wage scale for each designation therefore. The major objectives of this project comprised of manpower planning. It was also noted that the company had rightly expected growth which helped to establish a new factory with all modern facilities in the month of August 2008 inside SEEPZ. defining wage scale for staff and preparation of objective performance appraisal system. By implementing these steps the company could optimize human resources and thereby reap benefits. The major change observed. The job description could be done at least twice in a year and needs to be effectively communicated to the . if the company adopts a policy where in the employees are made permanent and encourage them for taking up higher studies which would enhance their skill level and lead to a higher performance.EXECUTIVE SUMMARY The project titled “Optimization of Human Resource” was undertaken for the HR department of Shrenuj & Co Ltd. The preparation of a job specification and job description helped to establish an easier recruitment process which ensured that the right person is employed at the right place and at the right time. But the full scale of the benefits will be realized only in the future. The Company has a practice of hiring contract labors instead of permanent employees. Based on the findings of the study the researcher puts forward certain suggestions. conducting a job analysis with Key Result Area (KRA). which was lucrative enough to attract the best talent. the whole system was revised to reduce the attrition level. The reason for this is due to proper manpower planning that initiated proper profiles and packages.

employees so that they are well updated and know exactly the things that are expected out of them while on the job. . In conclusion. the study helped to realize that optimization of resources is very much important for companies to ensure competitive advantage over others in this present era. Much of the data was sourced primarily secondary sources like the company’s database. assistant managers. managers etc. Additional information was collected through formal and informal discussions with supervisors. The research was descriptive in nature.

27% amounting to total exports of US $ 20. are coming to the fore. The Diamond industry is set to grow at a rate of 40 % by 2010. In industry after industry the traditionally powerful centers are making way for younger. However. companies don’t have enough resources to keep their people happy. The Indian Gem and Jewellery Industry have witnessed a growth of 22. complex and valuable resources of the company. The Gem and Jewellery sector . But. and this comes with a huge cost. India is one of the leaders of this new breed of players. a company must provide for more.CHAPTER I Introduction and theoretical background of the study Gone are those days when the Human Resources Department was considered as the smiling and filing department. Now it is one of the most important department of any organization. more enterprising players. Today’s Human Resource Department in any organization is trying out various strategies to make their employees happy. who. It is very easy for anyone to practice the hire and fire policy. The Human Resources Department has the responsibility of dealing with and overseeing the most important. employees now demand for more and unfortunately.the employees. Thus. in the present era organizations are trying to retain the employees by giving them adequate training which would enhance their skills. using a potent mix of lower cost and comparable. if not higher skills. and there is every indication that the Asian giant is finally awakening to its full potential.8 billion in the year 2007-2008. should any company be doing anything less for the companies’ most important asset? The current scenario that one sees is that to keep their employees engaged and more dedicated.

Job analysis and Performance Appraisal system they aim to optimize the human resource. There are more than 120 factories inside SEEPZ which are engaged in the export of diamond jewellery. By conducting proper Manpower planning. Today due to the cutthroat competition and global recession. And also with the emergence of China as a major manufacturer of gem and jewellery India is feeling the pressure. Diamond exporters fear that China would dent the Indian diamond industry's prospects in the long term. So Shrenuj & Co. . Already many companies have shut down their units. The only thing they can do is to use the existing resources efficiently and effectively. By doing so they can optimize the cost of production and sustain in the global market.1% of India’s total merchandise exports. Out of it Human Resources is the most important component.accounted for 13. Majority of the diamond factories are concentrated in Mumbai and Surat. usage of advanced technology and business friendly policies give china a upper hand over India in the present scenario. Ltd concentrated on optimizing the Human Resource. Cheap labor. better infrastructure. the diamond factories are located inside the SEEPZ. the firms are finding it difficult to survive in the market. In Mumbai.

crystallizing the organigram. • To define wage scale for staff by keeping in mind the cost to the company. . • To prepare an Objective Performance Appraisal System (PAS) inorder to assess the performance of the employees without any bias. • To Conducting Job Analysis exercise with Key Result Area(KRA) comprising of. So in order to achieve it they are concentrating more on optimizing the Human resource. and the skill set possessed by workers to achieve Optimum utilization of the capacity and manpower to be hired. By doing so they can reduce the cost of production and sustain in the global market. Defining job specification for each position and respective job description for every staff.But at the same time due to cut throat competition and the global economic recession the firms are finding it to increase their bottom line.CHAPTER II RESEARCH METHODOLOGY Rationale of the Project The Diamond industry is set to grow at a rate of around 40% per annum by 2010. Objectives of the Study • To assess the current manpower planning.

assistant managers and HOD’s. Limitations of the Study The project was conducted and supervised by the DGM HR and technical managers. . It helped to bring out proper charts and graphs which gave a better view on the results achieved from the study. Data Analysis The data so collected was transferred into an MS Excel sheets and analyzed. Data Collection Method The data collected was mainly from secondary sources like the company database and useful websites. Other data collection methods were formal and informal discussions with managers.Type of Research The type of research adopted for the project was primarily Descriptive in nature. The decisions on the entire project work were taken by them and researchers duty was to assess them in conducting the entire activity. This was analyzed with the help of MS-Excel.

disc and drag finishers. in which the modern jewellery industry first took root. even continuous casting or diffusion welding machines are being extensively used which have changed the face of the . The massive industry employed over a million people. laser marking systems. automatic modular cleaning systems. The knowledge and expertise of the diamond industry's highly skilled workforce has made India one of the key contributors to the growth of diamond jewelry worldwide. Similarly in Surat there are more nearly 1000 small units which gives employment to nearly 8 to 10 lakh people.000 people. over 90 per cent of the world’s workforce in the diamond industry. By the mid 1990s. High Tech systems like Vacuum pressure casting machines. doing more than 50 per cent of the total value of polished diamonds worldwide and 90 per cent of the volume. India had emerged as the largest cutting centre in the world.CHAPTER III INDUSTRY AND COMPANY PROFILES DIAMOND INDUSTRY The Diamond industry has witnessed incredible growth in India in the last few years. Surat is known as the Diamond hub of India. automatic state of art refining plants. the development of the jewellery industry has really accelerated both in terms of quality of the product and the expansion in terms of sheer size. Over the last five years. The Special Economic Zone. is now the world’s largest single concentration of jewellery manufacturing units-over 120 factories employing an estimated 35. lifting hundreds of thousands of people out of rural poverty into employment. SEEPZ in Mumbai.

jewellery manufacturing to branding and retailing. New Zealand and Germany. Finally. Today the country. the finished pieces are eventually sold at fancy shops on Fifth Avenue and Bond Street. France. It has a production capacity of . after this arduous process. Shrenuj Group's state of the art diamond manufacturing facilities in India and Israel specialize in processing better quality high value diamonds in larger sizes. Yet India is on the defensive and expects to lose share. the US. Shrenuj also processes smaller diamonds. Belgium.500 people in its worldwide operations. The jewellery division of Shrenuj is located at SEEPZ (Mumbai) and adheres to one of the most stringent international standards. and a strong financial system is well set to emerge as a trading centre as well. The company exports diamonds and precious stones to many international markets.Indian Diamond Industry. a well developed international marketing network. India a country with a million diamond workers and an 80% share of the diamond polishing industry are facing tough competition from the dragons-China. in its other units. It employs over 2. regular Indian products. There is an indication that the country is poised for yet another qualitative leap. India is fast moving towards its next stage of development. Hong Kong. with its huge polishing industry. also expects to lose share to China. Antwerp. a traditional non-Indian product and one of Shrenuj's key differentiators. which still specializes in polishing larger diamonds. The company derives more than 80 per cent of its revenues from Polished Diamonds while Studded Jewellery contributes the rest balance. mainly Japan. a 1100 crore plus company is an integrated gem and jewellery conglomerate having presence across 13 countries with activities ranging from diamond processing. INTRODUCTION TO SHRENUJ & COMPANY Shrenuj & Company Limited.

In 1992. India. the company commenced exporting polished diamonds sourced from local polishing units.approximately 45000 units per month and is equipped with state of the art machinery. In China. Shrenuj entered jewellery retailing through its acquisition of Daily Jewellery in Hong Kong. In 2003. The origin of Shrenuj dates back nearly a century when the Late Mr. The chain presently has 12 stand-alone shops in Hong Kong and is slated to make an entry in mainland China by the end of 2008 by opening a store in Shanghai. In 1943. the firm started sourcing rough diamonds in the international markets and processed them in India for exports. Shrenuj has always pioneered in introducing various systems and procedures in an effort to bring about efficiency and transparency in dealing with its internal as well as external customers. Kalidas S. In recognition of its achievement in exports. A second unit followed this in 1995. Doshi started a broking firm trading in diamonds in 1906. the trading arm of DeBeers. The firm was converted into a corporate body in 1982 and became sight holder of Diamond Trading Corporation (DTC). company will adopt dual model of shop in shop and stand-alone stores. the company set up an ultra-modern diamond and precious stone studded jewellery unit in Mumbai exclusively catering to its overseas clientele. In 2002. the Indian National Design Contest and the prestigious Diamonds International Award organized by DeBeers for the best jewellery designed. The discount retail chain was re-positioned as fashion jewellery chain under the brand Joliesse. . Shrenuj has received several awards from the Government of India. The jewellery division has won the De Beers India jewellery design contest for the best design. Shrenuj set up a fully integrated diamond polishing and diamond studded jewellery facility in the diamond district of Mumbai. The jewellery facilities manufacture studded ornaments in both gold and platinum. By 1956.

These brands are managed independently by Shrenuj's own marketing teams in each country. in addition to its own offices worldwide. The product development team of designers and merchandisers is spread across the globe.6% stake comes close on the heels of Shrenuj expanding its footprint across USA. These brands are retailed through exclusive arrangement with independent retailers in nine countries. In addition.7 million. controlled by a strong outsourcing and quality assurance office in Hong Kong. Caro74. for acquiring 84. in addition to dedicated outsourcing facilities in China. Shrenuj is a recipient of many national and international jewellery awards. France. backed by a strong downstream distribution worldwide. US-based Simon Golub & Sons. Scintilla66 and Amante88. The deal. Valina. Shrenuj is a leading participant in DTC's Forevermark Programme in Japan and India one of the authorized manufacturers of Platinum Guild International. USA and Hong Kong. Shrenuj's jewellery manufacturing operations are located in India. Arisia (co-owned). valued at USD 22. The company has entered into JVs in Israel. to cater to national as well as international markets to quickly respond to the changes in fashion trends. . MasterCut.In addition. Shrenuj & Company acquired the 80-year-old. one of the top five US jewellery distributors. its 15 offices cater to almost all corners of the world. Based on hub-and-satellite approach (logistical hubs located in key trading centers and satellites operating in the consumption markets). Bhavya. Shrenuj has a brand portfolio comprising of leading brands such as Sveni. Fiana. Shrenuj's international distribution model compliments its international manufacturing platform.

. This style is followed because each region has different tastes. Whereas European clients go for high quality diamonds with complex designs.000. Currently. Emerald. US clients go for low quality diamonds but they come up with a vide range of designs. bracelet. Each company caters to different clients of different regions. Arisia is the leading brand in expensive solitaires segment in India. rings. It also uses other precious stones like Ruby. Arisia is a premium brand and is sold at an average price of Rs 350. and earring. Similarly Moon caters to the needs of US clients.The Mumbai-based diamond company Shrenuj & Company acquired `Arisia Solitaire` brand from the UK-based Diamond Trade Corporation (DTC) for an undisclosed amount. and Sapphire etc. With the acquisition. So Shrenuj deided to follow a method where each company can specialize on a particular group of clients. The major foreign clients for Shrenuj are: • Zales diamonds • Helzberg diamonds • Gordon’s Jewellers • Friedman’s Jewellers • Ultra diamonds etc Shrenuj has four companies inside SEEPZ. For example Kiara caters to the needs of French clients. It provides all kinds of diamond jewellery like pendants. Shrenuj plans to launch high-end designer watches. bags and other accessories in the global market under Arisia brand.

optimum utilization of the existing human resource is the main objective of any company . Human Resources Optimization (HRO) involves employee allocation and timetabling. to ensure the efficient management of the personnel. Thus. Human resources are the most precious resources of an enterprise. conforming to various social regulations and labor contracts.CHAPTER IV ANALYSIS AND INTERPRETATION The project intends to Optimize the Human resources of Shrenuj & Co Ltd in order to achieve an effective system. This ensures better performance of the employees.

In short Manpower planning (MPP) determines where we are. They come up with wide variety of designs and they will have bulk orders. The main reason for this is that they cater to the demands of clients in US and Europe. MPP is an integral part of corporate planning. 278 SDL. Kiara’s employee strength is only 108. This is because Kiara is a company which caters to the needs of a french client. where we want to go and how we are going to get there. 292 Moon.1. But at the same time all other companies are having high employee strength. . So the demand is low because only limited orders will be there. 260 Chart no: 1 Shows the break up of employee strength in the Shrenuj group In the above chart the present manpower of group companies are shown. Manpower Planning Before we depart for a journey it is necessary to know our destination. 108 Shrenuj. Employee strength Shrenuj Moon SDL Kiara Kiara.

This needs very high expertise. filers etc. Whereas the skilled and unskilled consists of polishers. The highly skilled consists of the exceptionally talented workers who engage in designing and setting. The company cannot compromise on the quality of the products because all the products are exported to the foreign clients. The percentage of highly skilled labor is high in Shrenuj group because the company deals with the production of high quality jewellery products like diamond. From this we can infer that the firms are having more of highly skilled labor when compared to skilled and unskilled labor.Labour Mix of Shrenuj Group 100 90 80 70 60 50 40 30 20 10 0 Shrenuj Moon SDL Kiara Highly Skilled Skilled & Unskilled Chart no: 2 shows the Labor mix of Shrenuj group The chart shows the Labor mix employed at Shrenuj group. . platinum and gold.

Here Kiara is having the lowest capacity because it is only catering to the needs of the French client. . But at the same time SDL is having a production capacity of 15000 units per month mainly due to the fact that it needs to meet the demand / order from the European clients.Capacity in units per month Kiara SDL Moon Shrenuj 0 2000 4000 6000 8000 10000 12000 14000 16000 Capacity in units per month Chart no: 3 Shows the capacity of each company in units per month In the above chart production capacity is shown.Mmoon and Shrenuj is having 13000 units each as it cater to the US clients. In all these companies technology is at its best.

37 185 26 210 70 95 38 198 Shrenuj In the above chart the company wise breakup of contract and payroll employees are shown. so the experience that they gained added them on to the payroll. . Maintenance of contract employees helps to practice the hire and fire policy effortlessly.300 250 200 150 100 50 0 Moon Kiara SDL payroll Contract Chart no: 4 Shows the enrollment segregation of labor in Shrenuj group. Whereas in the case of Kiara and SDL the percentage of payroll employees is very low due to the fact that these companies were established after 2000. In these companies the average experience of the employees is nearly ten years. It can be noted that in Moon and Shrenuj the percentage of payroll employees are very high because these two companies were set up in the 1990’s.

Now Shrenuj is expected to grow at a steady pace of 20 – 30 % per annum because they are having well established retail outlets in US. Due to this the prediction of the business is limited to a certain extend. . linking job specification with employee profile and linking wage scale with salary expectations. after conducting manpower planning. UK and Hong Kong. Here.Therefore. they have set up a new state of art factory inside seepz. They expect to perform well in the coming years and in the previous month. vacant seats are found out by finding the difference between the available seats and the number of people employed. the company is planning to re-engineer the recruiting process. This includes looking out for alternate resources. the entire process is being reviewed for effective results. it has been noticed that in each department. To improve the quality of the employees in the future. The diamond industry is very seasonal in nature and the demand increases only during festive seasons. The company has also devised a plan to set up shops in the major metros in India. Depending upon the future requirements the seats are filled up.

2. Knowledge refers to the possession of information. to provide optimum work performance. Thus. facts. Various contents of a job specification can be prescribed in three terms: (1) Essential qualities which a person must possess (2) Professional qualities that the person must possess (3) Years of experience required If you look at the content of a job specification. you will find that various qualities that a job incumbent should possess may be divided into two broad categories: technical qualities and behavioral qualities. This comprises of job description. Conducting job analysis exercise with KRA Job specification is a process that qualifies the major requirements in a job incumbent for the effective performance of the job. principle duties. This process helps to understand the qualities needed for employees. this a systematic process of gathering documenting and analyzing data about the work required for the job. and techniques of a particular job. It provides an objective picture of the job and not the person. Technical qualities consist of knowledge and skills related to ‘how a job should be performed’. . information about skills and responsibilities and models and techniques.

technical qualities. that is. . This specifies the basic knowledge skill and qualities that the employees must have. Thus. will not be relevant to another job if both jobs differ significantly.Skills refer to the proficiency required to use the knowledge to perform the job. a basic structure of the important designations of each department was initialized to set a systematic guideline for managers to help in understanding the requirement of the firm. Generally technical qualities are job specific. Behavioral qualities are not job-specific but are of universal nature and are applicable in most of the jobs. which are relevant to a particular job.

Typing. knowhow of Emperor Sr. knowhow of Emperor Computer knowledge. OFFICER ASSISTANT Table no: 2 Shows the designations and the required skills for the HR and Administration department. knowhow of Emperor Overall knowledge on Operations and Production MANAGER process. knowhow of Spine software Knowhow of Spine software Knowhow of Spine software Typing Marathi. MANAGER Sr. knowhow of Emperor Asst. . knowhow of Spine software Knowledge on latest HR and Admin Practices. knowhow of ASSISTANT emperor Table no: 1 Shows the designations and required skills for the production department. Hindi and English AVP/ VP DGM/ AGM/ GM MANAGER Asst. Overall knowledge on Operations and Production OFFICER process. Designations Remarks Knowledge on latest HR and Admin Practices.30 WPM. knowhow of Emperor DGM/ Overall knowledge on Operations and Production AGM/ GM process. knowhow of Spine software Knowledge on latest HR and Admin Practices. Overall knowledge on Operations and Production MANAGER process.Designations Remarks Sound knowledge on the Operations and Production AVP/ VP process.

knowhow of Tally& ERP Knowledge about accounting and export import practices. Accounting AVP/ VP DGM/ AGM/ GM MANAGER Asst. knowhow of EMPEROR software Good communication skills(writtenand verbal). knowhow of EMPEROR software Good communication skills(writtenand verbal).Designations Remarks Sound knowledge about the accounting and export import practices inside SEEPZ Knowledge about accounting and export import practices. OFFICER ASSISTANT Table no: 3 Shows the designations and the required skills for the Accounts and Exim Designations Remarks Sound knowledge about the industry. knowhow of EMPEROR software Typing. MANAGER Sr. knowhow of Tally& ERP Tally and ERP AVP/ VP DGM/ AGM/ GM MANAGER Asst. . knowhow of Tally& ERP Knowledge about accounting and export import practices. MANAGER Sr. Good communication skills(written and verbal) Good communication skills(writtenand verbal). OFFICER ASSISTANT Table no: 4 Shows the designations and the required skills for the Sales and Marketing. knowhow of Tally& ERP Knowledge about accounting and export import practices. Good communication skills(written and verbal) Sound knowledge about the industry. Computer skills.

skill. jewel CAD Know-how of ideas. rhino. DESIGNER ASSISTANT Table no: 5 Shows the designations and the required skills for the Product Development / Designing / CAD Designations AVP/ VP DGM/ AGM/ GM MANAGER Asst. rhino. qualifications. MANAGER Sr. rhino. knowhow of ideas. experience etc required for in every department. jewel CAD Know-how of ideas. . jewel CAD Know-how of ideas. Thus.Designations Remarks Sound knowledge about the industry. rhino. DESIGNER ASSISTANT Experience Minimum 10 years in the industry Minimum 10 years in the industry Minimum 6 years in the industry Minimum 3 years in the indusrty Minimum 2 years in the industry Minimum 0-1 year Table no: 6 depicts the required experience for each position. rhino. the job specification process helped to formulate a systematic table of the designations. knowhow of ideas. This ensures finding the correct people for each position. jewel CAD Sound knowledge about the industry. jewel CAD Typing AVP/ VP DGM/ AGM/ GM MANAGER Asst. MANAGER Sr. This gives a proper guideline for the company to follow while recruiting the required amount of employees.

.Chart no: 5 Shows the grading system in the company.

This helps to maintain a proper job grade of the positions held by the employees in the organization. That means from the top level to the bottom level. .The graph basically depicts the structure of the designations ranked according to the positions held in the organization.

duties and responsibilities involved in a job. 5. this procedure helps in giving proper understanding of the job to be performed by the staff. horizontal. Job contents in terms of activities or tasks performed.Job Description Job description is a written statement showing job title. stress and relationship with other jobs. . Social environment prevailing at the workplace. Relationship with other jobs-vertical. Job responsibilities towards effective performance of the job. hazards. Job title. and diagonal. A basic structure for job description was compiled to implement the above mentioned plan. and department / division. Extent of supervision given and received. After observing the work culture of the organization the Job Description were made for each designation. 4. 6. job description is made for each staff in the organization by linking it with Key Result Areas (KRA). 2. Thus. It also prescribes the working conditions. tasks. 7. Thus. (Annexure)The vital part of a job description is the KRA which describes the important duties that a staff must perform. In order to make the job analysis more effective. Working conditions specifying specific hazards/stress. 3. code number. a job description contains the following information: 1.

DEPARTMENT DESIGNATION REPORTING OFFICER KRA Production Manager GM-Operations Planning and execution of orders. Quality Management Inventory management Cos t control measures Effective communication Human Resources Manager GMHR&Admin Recruitment Retention Training Development Organizational Development Effective Communication Administration Manager GMAdmin HR & Asset & Infrastructure Management General Administration Housekeeping Vehicle Management Liasioning Effective Communication & Table no:7 Shows the sample Job descriptions with KRA .

From the above Job description it is very clear that what an HR or Administration Manager should do. . By mentioning this it is very easy to analyze each ones performance based on these functions or responsibilities. In addition to this the responsibilities under KRA are also mentioned in the Job description.

2000000 1800000 1600000 1400000 1200000 1000000 800000 600000 400000 200000 0 M2 M3 M4 M5 Grade Min Max M6 M7 Chart no: 6 Shows the minimum and maximum salary for each grade in the Diamond Division. There is a proper scale pertaining to each department of the company. There should not be a disparity in the income provided.Wage scale Wages form the prime part of motivating your employees. S alary . It is necessary for each firm to fix a minimum and maximum scale for each grade. It is the best means by which you can retain your employees.

Salary .2000000 1800000 1600000 1400000 1200000 1000000 800000 600000 400000 200000 0 M2 M3 M4 M5 Grade Min Max M6 M7 Chart no: 7 Shows the minimum and maximum salary for each grade in the Operations division. Salary 2000000 1800000 1600000 1400000 1200000 1000000 800000 600000 400000 200000 0 M3 M4 Grade Min Max M5 M6 Chart no: 8 shows the minimum and maximum salary for each grade in Sales & Marketing division.

.1400000 1200000 1000000 S alary 800000 600000 400000 200000 0 M2 M3 M4 Grade Min Max M5 M6 M7 Chart no: 9 shows the minimum and maximum salary for each grade in the Shared Services division. From the chart we can analyze that there is a wide gap between the minimum and maximum scale for each grade in a division. The above four charts show the prevalent wage scales for the grades in each division of the company. The salaries are given to the performers and not for the employees who are highly experienced.

The history of performance appraisal can be dated back to the 20th century and then to the second world war when the merit rating was used for the first time. how he is performing etc. Performance appraisals are an indispensable part of performance measurement. Thus the company will be able to identify what he is lacking and what should be done in order to improve his performance. In order to have a proper non biased Performance Appraisal System(PAS) we should have a classification of assessing performance of the employee in to objective & subjective performance appraisal from. (Annexure) By analyzing the PAS the HR is able to find out the skills of the employee. Here both the appraiser and appraisee need to fill the form.Performance Appraisal Performance appraisals are widely used in the society. An employer evaluating their employees is a very old concept. .

Outsourcing the work to sister concerns. The changes can only be seen in the way the company functions. Earlier employees used to have the same profile but regarding the salary certain negotiations were made. Defining wage scale and objective performance appraisal system would help in optimizing the Human Resources of the organization. • The major change is that the company is now having employees who are satisfied with their profile and package. So if there is any shortfall in the production the company can prepare alternate adjustments like extra working hours.CHAPTER V FINDINGS & CONCLUSION The project. Now as such the company is not experiencing the benefits of the policies adopted by the company. . This can be applied in the case of increase in order. Arrangement of contract employees. which covered the objectives namely Man Power Planning. • The Production reports are prepared every day and from this the company is able to find out the daily production units. The results of these steps will not be seen in a short span of time. The company had rightly expected the growth and because of this a new factory with all modern facilities was functional in the month of August 2008. But now its not prevalent because in the initial stages of recruitment itself the company will only select those candidates whose profile and expectation is closely matching with the company requirements. Conducting Job Analysis. it is a process which would take a long time to reap its benefits.

By doing this they can make sure that whether the candidate suits for the position.• The preparation of job specification and job description helped in finding out what the are the companies requirement from the employees. It helped in making the recruitment process easy and it ensures that the right person is employed at the right place at the right time. But at the same time a company will try to get t he most from an employee at a wage that is feasible for the them. • Wage is the most attractive tool for motivating the employees. . The company also enquired about the candidates performance in the previous company. In Shrenuj the package is very low and this is the main reason for high attrition rate.

CHAPTER VI SUGGESTIONS & RECOMMENDATIONS • The Company has a practice of hiring contract labors instead of permanent employees. . It would be better if the company adopt a policy where in the employees are made permanent. This could also avoid confusions regarding the job requirements which makes it transparent. The problem with the present system is that the employees know that their job is not assured and they can be fired with notice. • The company can encourage the workers for taking up higher studies which would enhance their skill level and lead to a higher performance. But the company should make sure that the employee should stay in the company after the completion of the course. • The job description could be done atleast twice in a year due to the fact that the roles and tasks which are performed is very dynamic in nature in the present era. • The Job description needs to be effectively communicated to the employees so that they are well updated and know exactly the things that are expected out of them while on the job.

Websites Referred 1.” 7th edition New Delhi: Tata Mc Graw Hill.com> 4.BIBLIOGRAPHY Books referred 1. 2006. Wayne F.shrenuj.com> 3. Shrenuj Co Ltd. Manpower Planning. 20 July 2008. “Managing Human Resources.GJEPC. <www. Shrenuj Newsletter. <www. <www. 2. 2004. “Human Resource Management.moneycontrol. Fisher. 25 June 2008. Gem and Jewellery Export Promotion Council (official website).com> 2.citehr.” 5th edition New Delhi: Biztantra.com> . Cynthia D. 13 July 2008. <www. Mumbai (official website) 20 June 2008. Cascio.

<www.5. .com> Browsed on 23 July 2008.superjobsonline/interview/job description/job specification . . .

PUC etc. To coordinate with authorized agencies and make necessary arrangements for business tours of employees. Arrangement of vehicles on hire. Any untoward act/incident which is against the company’s interest is to be reported immediately to higher authorities. e Action with QC and Production to ensure that the same problem does not reoccur. monitoring and renewal of AMC for office equipments. AUTHORIZED TO Negotiate on terms and conditions with vendors and service providers. REPORTING FROM Officer – Administration . food etc). conference. etc. Endorse cash vouchers. renewal dates and bill approvals of housekeeping agencies. Make need based international calls. Endorse manpower requisition. MPCB. BMC. Approve leave to employees reporting. Responsible for overall cleanliness and general housekeeping of all the units.ADMINISTRATION GRADE : REPORTING TO: GM – HR & ADMIN DEPARTMENT : ADMINISTRATION DEFINING BODY : HRD Key Result Area’s Asset & Infrastructure Management Key Responsibilities Responsible for proper upkeeping of assets and infrastructure of organization. General Administration Housekeeping Vehicle Management Liaisoning Effective Communication Discipline To maintain discipline and strictly adhere to Code of Conduct laid down by management. Liaisoning with government authorities like SEEPZ. Monitor fuel consumption of company vehicles. Purchase and maintenance of company vehicles. Fire Department for renewal and obtaining permits and licenses for existing units and new projects. Periodic liaisoning with GJMA and GJEPC. Carry out Cost Benefit Analysis during decision making. Coordinate with employees going on business tours for compliance of legal formalities. gate passes. Timely reporting to the GM – HR and Admin for negotiation of contracts and purchases. Negotiate with various parties for selling of scrap in coordination with GM – HR & Admin. Proper and timely reporting to superior. exhibitions. Responsible for proper installation. RTO. Monitoring the contract terms. MIDC.Annexure 1 JOB DESCRIPTION SHRENUJ DESIGNATION : MANAGER . Responsible for making necessary arrangements for guests and customer visits (pick up. Responsible for making necessary arrangements for various events like fairs. Counsel and warn verbally the non-performers. Responsible for renewal of insurance policy. Development of vendor for office automation. Approval material requisition (required by their departments).

5. Business Understanding Understanding diamond and jewellery industry. 6. 2.Annexure 2 EMPLOYEE ASSESSMENT FORM APPRISEE (APE) Name : Designation : Department : APPRAISER (APR) Name : Designation : Department : RATING SCALE Excellent . Job Knowledge for Role performing Job knowledge – Superior to Subordinate Awareness about best practices in the industry . 4. 3. Contribution to Business Vision Focus on adding value to customers Focus on adding value to shareholders Role / Functional Competences 7. 8. Understanding competitors Understanding factors affecting business. Sr. Very Good Good Satisfactory Unsatisfact ory Rating Scale (Score) (10) APE APR (7) APE APR (5) APE APR (3) APE APR (1) APE APR 1.No. 9.

22. 14. 13. 19. Treatment to colleagues Inspiring team towards achieving company goals . Setting goals through interaction Utilization of Resource / Assets Result Orientation Timely Decision Making Problem Solving Ability Appreciation for work done Team Orientation 21. 25. Leadership Behavior 27. Focus on Profitability Estimation and forecasting ability Negotiation Skills Guidance for Cost Control Performance Orientation 15. 23. 28. 12. 17. company goals ASSESSMENT FORM Commercial Competences 11. 20. 16. 18. 26.Annexure 2 EMPLOYEE Aligning functions and goals with 10. 24. Clarifying mutual expectations Project Implementation Assembling Required Competences Supporting Colleagues Responding to Colleague’s expectations Building Acceptance among team members.

31. 35. 40. 43. Understanding colleagues Power sharing Setting personal example EMPLOYEE ASSESSMENT FORM Managing Conflict of Members People Development Encouragement for learning new ideas and methods Guiding and Coaching direct reports Promoting Peer learning Upholding dignity of relationship Openness for criticism / feedback from others Freedom for subordinates for operate Management Competence 33. 42. 39. 47. Work Planning Openness for learning Risk Taking .Annexure 2 29. Managing Change Encouragement for absorption of new technologies Choosing right focus for Change Management Being Consulted with industry circle Being Consulted with Government Bodies Generation of support within organization Generation of support outside of the organization Work Habits 46. 34. 44. 45. 48. 30. 32. 38. 41. 36. 37.

Time management Meeting Management TOTAL EMPLOYEE ASSESSMENT FORM GRAND TOTAL Any Achievement : Appraisee: Appraiser: If in Probation Period: Confirm / Extend Probation Period Appraisee Appraiser Date: Signature: Date: Signature: Comments by H. 50.Annexure 2 49. Date: .R.