Professional Documents
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ON
A study on
A project report submitted in the partial fulfillment for the requirement for the
award of the degree of Master of Business Administration in the Department
of Management, Assam Down Town University.
Submitted by:
Department of Management
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Declaration
I, Anil Kumar Thakur, hereby declare that the project entitled “A study on Employee
Motivation” at “Guwahati Refinery (IOCL)” submitted in partial fulfillment of the
requirements for award of the degree MBA at Assam down town University, is an authentic
work carried out by me during the period from 1stJuly to 14th August 2018 and has not been
submitted to any other university or institute for the award of any degree/diploma etc.
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Acknowledgement
Firstly I would like to express immense gratitude towards our institute “Assam
downtown University, Institute of Management” which creates a great platform to attain my
goal.
I would thank all the tutors especially my MBA faculty members for their guidance and
help in successful completion of the project report.
I am very thankful to my project guide Sir Samannoy Baruah (internal guide) for
extending his cooperation in doing this project.
I am grateful to all the employees of “Guwahati Refinery (IOCL) for their generous
time and patience in participating and helping me in completion of this project.
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Preface
The submission of the project is a part of the curriculum of the course of two years full time
Master of Business Administration (MBA) in Assam down town University.
The project work is a part of the 3rd semester to gather the knowledge and skill from an
actual work situation about the problem faced by management in practical life. The project has
given me an opportunity to gain some remedial measures for overcoming the problem.
The report has been prepared for the “INDIAN OIL CORPORATION LIMITED
(IOCL)” situated in Noonmati, Guwahati, Assam on a specific topic “STUDY ON
EMPLOYEE MOTIVATION”.
The findings and recommendation are believed to help the organization to go a long way.
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EXECUTIVE SUMMARY
RESEARCH METHODOLOGY:
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Chapter Contents Page No.
Introduction 7-9
Research Objective 17
Research Methodology 18
7. Recommendation
8. Conclusion
Bibliography
9.
Appendix
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Chapter-1
Introduction
1.1 Introduction to the topic:
It is well-known that employee plays an important role in a company’s development, and how
to motive the employees becomes a popular role of the organization. Employee motivation is
necessary to any business, the motivated labor force means a highly productive employee, and
those highly productive staff can be called the good helper to achieve business objectives.
Reasonable motivation policies will motivate employee to work harder. Harvard University
research psychologist William James approves that “if the individual ability to motivate object
fully mobilize their personal ability to play 80% to 90%, on the contrary, can only play 20% to
30% of individual ability.” therefore, an effective incentive system should be exist in each
company to better motivate their employees.
Employee motivation can improve employee performance, where, performance will depend on
the motivation level that his organization gives to him. That is to say that organization should
take effectives methods to stimulate their employee’s enthusiasm during their work time, hence
improving their employee’s performance. To some extent, employee motivation can improve
the competiveness of enterprises. As to 21st century, talent becomes the key element of the
enterprise resources; competition among companies tends to become the competition of talent.
What entrepreneur should pay attention to is to motivate their employees in an efficient way to
better attract and maintain the excellent talent that is beneficial for their business. The
importance of employee cannot be ignored; we should believe that once employees are
effectively motivated, they will bring a series of positive phenomena, for example, the
productivity will increase, the turnover become lower and lower, furthermore, the overall
performance will be improved as well.
Indian Oil Corporation is an Indian Public sector Petroleum Company. It is India’s largest commercial
enterprise, with sales turnover of Rs.4, 38,710 crore and profit of Rs.19, 106 crore for the year 2016-
17. It began operating in 1959 as Indian oil Company Ltd. The Indian oil corporation was formed in
1964. With the merger of Indian Refineries Ltd. Indian oil and its subsidiaries account for a 47% share
in the petroleum products market 40% share in refining capacity and 67% downstream sector pipelines
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capacity in India. The Indian Oil Group of companies owns and operates 10 of the India’s 20 refineries
with a combined refining capacity of 60.2 million metric tons annum.
The corporation’s cross country network of crude oil and product pipelines, spanning about 9300km
and the largest in the country meets the vital energy needs of the consumers in an efficient, economical
and environment-friendly manner. As the flagship national oil company in the downstream sector,
Indian oil reaches precious petroleum product, to millions of people every day through a countrywide
network of about 34000 sales points. Indian oil’s ISO-9002 certified Aviation service commands over
62% market share in aviation fuel business meeting the fuel needs of domestic and international flag
carries private airlines and the Indian Defense Services. The corporation also enjoys a dominant share
of the bulk consumer business, including that of Railways, state transport undertaking and industrial,
agriculture and marine sectors. To emerge as a transactional energy major. Indian oil has set up offices
in Sri Lanka, Mauritius an UAE and is simultaneously scouting new opportunities on new energy
markets in Asia and Africa. The Sri Lankan subsidiary, Lanka IOCL operates 170 retail outlets
commanding a 27% market share. Indian oil Mauritius Ltd. has generated a 7% market share in the very
first year of its operation.
Indian Oil’s world class R&D Centre is perhaps Asia’s finest. Besides pioneering work in lubricants
formulation, refinery processes, pipelines transportation and alternative fuel the Centre is also the nodal
agency of the Indian hydrocarbon sector of ushering in hydrogen fuel economy in the country. A wholly
owned subsidiary, Indian oil Technologies Ltd in engaged in commercializing the innovations and
technologies developed by Indian Oil’s R&D Centre across the globe.
At Indian oil customers always gets the first priority. New initiatives are launched round the years for
the convenience of various customers segments. To safeguard the interest of the valuable customer’s
interventions like retail automation, vehicle tracking and market system have been introduced to ensure
quality and quantity of petroleum products. Indian Oil set its sight to reach US$60 billion revenues by
the year 2011-12 from the current earnings of US$53 billion. The roadmap to attain this milestone has
been laid through vertical integration forward.
1. Digboi Refinery
2. Guwahati Refinery
3. Bongaigaon Refinery
4. Gujarat Refinery
5. Haldia Refinery
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6. Barauni Refinery
7. Mathura Refinery
8. Panipat Refinery
9. Paradip Refinery
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Chapter-2
Guwahati Refinery
2.1 About Guwahati Refinery (IOCL):
Guwahati Refinery was set up at Noonmati in Guwahati on 1 January 1962.It is the first public sector
Refinery of the Country , built with the Romanian Collaboration, was inaugurated by Late Pandit, the
first Prime Minister of independent Sector refinery of India and belongs to Indian Oil Corporation
Limited. With a capacity of 1million metric tons per annum, Guwahati Refinery possesses crude oil
received from Upper Assam Oil fields and caters to the requirement of the petroleum products of North
Eastern region.
4. Kerosene,
Raw Petroleum Coke. Keeping pace with the changes in the industrial environment, Guwahati Refinery
is making efforts to produce special products. It is the only in India to produce needle coke, a high value
import substitute.
With growing environmental consciousness, Guwahati Refinery, Indian Oil Corporation Limited has
also ventured into ecologically friendly fuel and subsequently installed 3 new units: the ISOSIV,
the Hydrotreater and the INDMAX.
The ISOSIV unit produces Lead Free Petrol by the Molecular Sieve Technology, which
separates Octane rich MS components from feed naphtha. The Hydrotreater Unit (HDT) enables the
Refinery to produce High Speed Diesel of very low sulphur and cetane number conforming to BIS
specifications.. The Indane Maximization (INDMAX) technology developed by R&D Centre of Indian
Oil installed at the Refinery is designed to achieve LPG yield as high as 44%.. The INDMAX unit also
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enables Guwahati Refinery to upgrade all its residual products to high value distillate products and
make it a zero residue Refinery.
Refinery has integrated management system or IMS of the refinery including ISO-9001: 2000,
OHSAS-18001 (Occupational Health Safety Association System), level-8 rating in ISRS (International
Safety Rating System). It also has various system improvement initiatives like Total Productive
Management) TPM.
“Prakriti ke saath- Pragati Ki or” explains the Refinery’s commitment to environment. The Modernized
Effluent Treatment Plant commissioned in March’07, the environment monitoring system, the Sox,
NOx analyzers in various areas are watchdogs of Refinery emission.
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Guwahati Refinery is committed in its responsibility towards the community around it and the larger
society. It is also deeply committed in safeguarding and preserving ecological balance. It has been
taking proactive measures continuously for the improvement of safety, health and environment
standards due to progressive proximity of community settlement around the Refinery. The measures
include tree plantation, improvement is drainage system, house-keeping and cleanliness drives as well
as substantive programs adopted on successive World Environment Days to enhance awareness of
the individual and collective responsibilities towards environment preservation among the employees
and their families, student and the community in general.
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Chapter-3
Employee Motivation process in Guwahati Refinery
Motivated employees tend to play essential roles within an organization thereby making them essential
and beneficial. Motivating employees is not an easy task. Employees’ are likely to be motivated in
diverse ways taking into consideration their various positions or ranks within the organization. For
instance an employee may be motivated when entrusted with many responsibilities and being allowed
the freedom to take contingency decisions whilst another may prefer monetary rewards. In order for
employees to be efficient it is necessary for management to understand what actually motivates their
employees within the environment of the roles employees perform. This is basically due to the fact that
strategies involved in the process of employee motivation are considered not to be static. Additionally,
as employees draw closer to retirement, the delight attained in work satisfaction becomes more of a de-
motivator.
There are various types of motivations that can influence an employee to act in a certain manner to
attain prescribed objectives. These include the following:
2 Affiliation motivation -Affiliation motivation is the type of motivation that enables employees’ to
relate to their colleagues on a social basis. Employees’ with such type of motivation perform work better
when they are complimented for their encouraging attitudes towards work. High affiliation employees’
prefer work that provides considerable personal relations. They take delight in being part of groups and
when not apprehensive make excellent team members.
3 Competence motivation -Competence motivation has been described as the ambition often pursued
by employees’ in their quest to be brilliant at work performance hence high quality work is
accomplished. Competence motivated employees’ normally seek work mastery, take delight in
developing and using their problem-solving skills to be creative when confronted with obstacles in order
to be accorded more respect and recognition within the organization.
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4 Power motivation -An employees’ ambition for power can be of two types namely personal and
organizational. Employees’ who desire for personal power prefers to direct or control others thus
performing leadership roles in their respective organizations and this desire is often perceived as
undesirable. Meanwhile employees’ who desire for institutional power also prefer to organize the efforts
of others to further the objectives of their organization. Employees’ with a desire for institutional power
tend to be more effective than those with an increasing desire for personal power.
5 Attitude motivation -Attitude motivation simply refers to how employees’ think and feel. It is their
self-confidence, belief and attitude to life. Furthermore, it is how they feel about the possibility and
react to the past.
6 Incentive motivation -Incentive motivation refers to the situation in which employees tend to garner
rewards from the performance of an activity.
Basically, IOCL uses certain parameters to boost up the motivation of their employees to increase their
efficiency towards the contribution and dedication that the employees makes to the organization. IOCL
uses certain techniques which can be divided into:
1. Financial
2. Non- Financial
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And Non- financial parameter consists:
a. Seminars
b. Training
c. Courses
d. Involvement in specific projects
e. Free use of professional literature, etc.
Every serious organization therefore needs to explore what for their employees represent motivation,
otherwise it could happened that the company invest in the benefits that will not have the desired effect
on employee motivation.
The good side of Guwahati Refinery (IOCL) is that it encourages employees to work to their
maximum capacity and commitment, encourages employees to creativity, innovation, developing a
competitive spirit among employees, tightly linking the movement of marketing costs with the overall
results of the work, allows a differentiated approach, various types and percentages fees for various
tasks, and keeping the differential policies and strategies of the organization.
1. Work by itself - the employees of IOCL are happy and satisfied as they work more challenging
job than simple and monotonous. Challenging work allows the employees to do a variety of
tasks in which there is a freedom of action.
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2. Compensation System – in case of emergence and critical situations the employees gets a
beneficiary rewarding system where the employee’s expenses are carried by the organization
itself to make sure their employees are safe.
3. The favourable working conditions - it is logical that if they have better working conditions
the worker satisfaction goes up. Better working conditions create a greater opportunity for
better achievement of expected operational performance.
4. Colleagues at work - satisfaction is greater if employees work with colleagues with whom they
have a good relationship and if there is a pleasant social atmosphere. Also to the satisfaction
contributes a correct relationship with supervisor. Employees like to be commended by his
superior, and have an open relationship with him.
5. The organizational structure - the organizational structure of IOCL is clear, stable and
familiar, employees have a clearer picture of the hierarchy of the company, and are happy.
1. The harmony between personal interests and work - when personal interests, knowledge and
skills are in correlation with the needs of the workplace, employees are more satisfied with their
job. They feel that their workplace allows them to express their opinions, knowledge and
personality.
2. Length of service and status - older people with more years of service are generally satisfied
with the job. This happens, not only because the man eventually gets better at his job, gives
better results and it is more awarded, but also because of the effect of cognitive dissonance.
3. Position and status - as an employee is at a higher position, or hierarchy, has higher incomes,
social status and power, that results in greater satisfaction.
4. Overall satisfaction with life - total job satisfaction and overall life satisfaction have an effect
on each other, or the satisfaction of the overflow from one to another. Satisfaction with life
overall has a positive impact on job satisfaction which a man does and inversely, job satisfaction
has a positive effect on overall happiness
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Chapter-4
Research Objective
The survey was confined to the employees (labour excluded) of IOCL, Guwahati.
To analyse the data collected.
The study was done on ransom sampling Techniques with 70 employees as the sample size.
To report is useful to the management of the organization to know the turnover rate of the
employees and they can take corrective measures to decrease the turnover rate of the employees
The report is also useful to the management of the organization to know the level of awareness
of separation and they can take corrective measures to increase the awareness level of employees
about the separation process.
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Chapter-5
Research Methodology
For this study the design used was descriptive. Descriptive design as the name itself implies, is
conducted to describe something. This study describes the factors that lead to employee motivation
system existing in IOCL, Guwahati Refinery, Here the descriptive research was conducted to find out
the information about the factor and to spot light the areas that need the management’s attention.
Primary data – The objective of the study has been accomplished with the help of primary data
collected from 70 employees. The pre-decided number of sample has been selected based on the
(Probability sampling) simple random sampling method from various departments. The selected
samples are met in person and the required data have been collected with the help of a structured
questionnaire
Secondary data – Secondary data was collected from company records, Magazines websites.
The target population chosen for the study are the employees of Guwahati Refinery (IOCL).
Sample element –The entire group from which a sample is chosen is known as sampling unit. The
research data was collected from employees of IOCL Guwahati Refinery Sample size-30
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CHAPTER-6
Analysis and interpretation
5.1Analysis of responses:
About 100 questionnaires were issued to be filled by the Employees of Guwahati Refinery (IOCL)
about the process of Employee Motivation in their organization. The questionnaires were sorted on the
basis of the parameters that motivates employees in doing their jobs effectively and efficiently. It shows
that about 70% of the employees are actively participated in the survey and successfully completed the
questionnaires.
The employees of Guwahati Refinery (IOCL) were asked some questions regarding the process of
Employee Motivation in their organization through questionnaires. The responses from the employees
are as follows:
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Answers for question 1.
Employees were asked about for how long are they working in IOCL, for which they responded in the
following:
20%
33%
23%
10%
14%
Interpretation: A majority of respondents have been gathered with a working experience of more than
20 years (33%) followed by employees within a range of 6-10 years (23%) and a minority is found with
responses within a range of 16-20 years of job experience.
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Answers for question 2.
The employees were asked about are they satisfied from the support from the HR department, for which
they responded in the following:
7%
22%
21%
50%
Interpretation: A majority of respondents (50%+22%) have opted for satisfied and highly satisfied
respectively as the employees find immense satisfaction regarding supports and holding hands from the
H.R. Department followed by least amount of votes on dissatisfaction (7%)
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Answers for question 3.
The employees were asked about which type of incentives motivates them more, for which they
responded in the following:
Motivation on Incentives
Financial Incentives
33%
Both
59%
Non-Financial
Incentives
8%
Interpretation: A majority of employees opted for both of the required facilities availed in the
organization (59%) that is financial and non-financial incentives respectively where, the employees
receive motivation, leading them with encouragement to work even harder by means of their
contribution towards the organization.
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Answers for question 4.
Employees were asked about whether the financially related rewards in the organization is fair and
satisfactory, for which they responded in the following:
1%
7%
26%
16%
50%
Interpretation: Here, from the collection of data, employees seem to agree with the satisfaction
regarding financial related reward systems where, a majority of employees voted on agreeing (50% +
26%) the statement followed by uncertain which implies in the state of neither acceptance nor denial
(16%)
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Answers for question 5.
Employees were asked about whether they feel that their working conditions are clean, pleasant and
safe, for which they responded in the following:
1%
4% 3%
42%
50%
Interpretation: a majority of employees agreed (50%+42%) for the security and hygiene provided by
the organization in a healthy way where, they do not face any problems relating to their working
environment.
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Answers for question 6
The employees were asked about whether the welfare facilities provided by the company are adequate
and provides them satisfaction, for which they responded in the following:
4%
13% 27%
56%
Interpretation: Here, from the collection of data, employees seem to agree with the satisfaction
regarding adequate welfare facilities provided by the organization where, a majority of employees voted
on agreeing (56% + 27%) the statement followed by uncertain which implies in the state of neither
acceptance nor denial (13%)
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Answers for question 7.
The employees were asked whether they are recognized and praised for good performance, for which
they responded in the following:
4% 1%
22%
23%
50%
Interpretation: from the chart, it can be seen that a large number of votes were opted for agreeing the
statement (50%+22%) that they are praised and appreciated for their good performances followed by a
very lesser votes on denying the statement.
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Answer for question 8.
The employees were asked about whether there are right opportunities in the organization for their
personal growth and promotion, for which they responded in the following:
4% 3% 20%
13%
60%
Interpretation: a large number of employees of the organization agreed (60%+20%) with the
statement with an acceptance of the right opportunities in the organization for their personal growth and
promotion.
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Answer for question 9.
The employees were asked about whether the management involves them in decision making as well
as gives them chances to present their own ideas, for which they responded in the following:
7% 3%
26%
13%
51%
Interpretation: by looking at the data provided by the respondents, majority goes in favor of agreeing
the statement (51%+26%) where, the employees are given importance regarding involvement of the
decision making also, providing them the chance to present their own ideas with even greater
encouragement.
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Answers for question 10.
Employees were asked to rate the following questions, for which their responses are:
1%
3%
14% 29%
53%
Interpretation: Majority poles under agreed and strongly agreed section (53%+29%) where they
believe increase in salary takes place reasonably periodic.
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II) Job security exist in the organization
1%
3% 2%
41% 53%
Interpretation: a huge number of employees strongly agreed (53%+41%) on the given statement that
is, job security exists in the organization.
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III) Good relation with the co-workers.
2% 1%
3%
41% 53%
Interpretation: a large number of employees strongly agreed (53%+41%) with the given statement
where, they believe there are good relations among each other.
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IV) Effective performance appraisal system.
6% 3% 21%
24%
46%
Interpretation: majority is believed under the section of agreement (46%) in conjunction with a strong
acceptance (21%) followed by an uncertainty (24%) of effective performance appraisal system.
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V) Effective promotional opportunities in the organization.
1% 4% 9%
29%
57%
Interpretation: Majority poles under agreed and strongly agreed section (57%+9%) where, they
believe in effective promotional opportunities in the organization followed by a strong pole under the
uncertainty section (29%).
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VI) Good safety measures adopted in the organization.
6% 1%
17% 36%
40%
Interpretation: here, from the collection of data it could be seen that employees are highly satisfied
(40%+36%) with the safety measures adopted by the organization.
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VII) Company recognizes and acknowledge your work.
8% 3%
19%
20%
50%
Interpretation: By looking at the data provided by the respondents, majority goes in favor of agreeing
the statement (50%+19%) where, the employees are given importance regarding involvement of the
decision making also, providing them the chance to present their own ideas with even greater
encouragement followed by lesser votes uncertainty.
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Answers for question 11.
Employees were asked to rate the following questions, for which their responses are:
I) Salary increase
1%
2%
7%
34%
56%
Interpretation: Majority poles under the section of agreeing with the statement regarding increment of
salary (56%+34%) followed by least number of poles on uncertainty.
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II) Promotion
1%
21%
32%
46%
Interpretation: Majority poles under the section of agreeing with the statement regarding promotion
(32%+22%) followed by least number of poles on uncertainty.
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III) Motivation Talks
7% 1%
22%
20%
50%
Interpretation: Majority poles under the section of agreeing with the statement regarding motivational
talks initiated by the organization (35%+15%) followed by least number of poles on uncertainty.
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IV) Leave.
10% 1%
23%
17%
49%
Interpretation: majority poles under the section of agreeing with the statement regarding leave
(34%+16%) which shows that the employees are satisfied with the superannuation leave facility
provided by the organization, followed by least number of poles on uncertainty.
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V) Recognition.
1%
20%
32%
47%
Interpretation: Majority poles under the section of agreeing with the statement regarding recognition
of employees in the organization (33%+22%) followed by least number of poles on uncertainty.
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Questionnaire
Dear Sir/Madam,
This is a survey conducted as part of my Summer Training under the topic “A study on
‘Employee Motivation’ in IOCL, Guwahati Refinery” in partial fulfilment of my Post
Graduation. The information given by you will be confidential and will be purely used
for Academic purpose. I will be very much obliged if you spare some time for answering
the following questions.
Name:
Gender:
Age:
Designation:
Education:
a. Matriculation
b. Higher Secondary
c. Graduate
d. Post Graduate
e. Other:
4. Do you think that financially related reward system in the organisation is fair and
satisfactory?
a. Strongly agree
b. Agree
c. Uncertain
d. Disagree
e. Strongly Disagree
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5. Do you feel that working conditions are clean, pleasant and safe?
a. Strongly agree
b. Agree
c. Uncertain
d. Disagree
e. Strongly Disagree
6. Do you feel that the welfare facilities provided by the company are adequate and
provide satisfaction to you?
a. Strongly agree
b. Agree
c. Uncertain
d. Disagree
e. Strongly Disagree
8. Do you think there are right opportunities in these organisation for your personal
growth and promotion?
a. Strongly agree
b. Agree
c. Uncertain
d. Disagree
e. Strongly Disagree
9. The management involves you in decision making as well as gives you chances to
present your own ideas?
a. Strongly agree
b. Agree
c. Uncertain
d. Disagree
e. Strongly Disagree
No Factors Rate
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5. Effective promotional opportunities in the organisation
11. Please rate the following factor which motivates you the most.
(1.Strongly agree 2. Agree 3. Neutral 4. Disagree 5.Strongly Disagree)
No Factors Rate
1. Salary Increase
2. Promotion
3. Motivation Talks
4. Leave
5. Recognition
***Thank You***
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