A

MAJOPROJECT REPORT

ON

“EMPLOYEES WELFARE: A COMPARATIVE STUDY OF

TATA MOTORS AND HERO MOTOCORP”
SUBMITTED FOR THE COMPLETION OF THE REQUIREMENT FOR THE DEGREE
OF

MASTER OF BUSINESS ADMINISTRATION

(Session 2016-2018)

Submitted By

Natasha Thakur

Uni. Roll No. 123

MBA

BABA FARID COLLEGE OF MANAGEMENT AND TECHNOLOGY

BATHINDA

1
 CERTIFICATE

This is to certify that Natasha Thakur (Uni. Roll No.123) has preceded her major project under my
supervision on "Comparative Study of Employees Welfare in Tata Motors and Hero Motocorp” as
Human Resource specialization.

The work embodied in this report is original and is of the standard expected -of an MBA student and
has not been submitted in part or full to this or any other University for the award of any degree or
diploma. She has completed all requirements of guidelines for research project report and the work
is fit for evaluation.

Name of the supervisor/guide:

Signature of Supervisor/Guide

2
 DECLARATION

This is certified that Natasha Thakur, the student of Baba Farid College of Management and
Technology, Bathinda, studying in MBA (4th Sem.), has undergone research project on title
“COMPARATIVE STUDY OF EMPLOYEES WELFARE BY TATA MOTORS AND HERO
MOTOCORP” for the completion of degree of Master of Business Administration.

I solemnly declare that the work done by me is original and no copy of it has been submitted
to any other university for award of any other degree/fellowship or a similar title and topic.

(Natasha Thakur)

Uni. Roll No. 123.

3
 ACKNOWLEDGEMENT

It is great pleasure to present this report on the project entitled “Comparative study of Employees
Welfare by Tata Motors and Hero Motocorp” undertaken by us as part of my MBA curriculum.

The satisfactions that accompany the successful completion of any task would be incomplete
without mentioning the people who made it possible, whose consistent guidance and encouragement
crowned the efforts with success.

It is a matter of inordinate gratification and delectation for me to express my thankfulness to my

mentor for his adroit teachings and unceasing motivation. Whatsoever, appears in this research work
is the reflection of his vivacious involvement and critique frame of mind. I am highly beholden for
his direction, advice and support extended to me spontaneously and decidedly beyond the call of
supervision. I can never adequately express my feeling for him as without his able, learned and
impulsive guidance, the present work would not have seen conclusion.

I would like to take this opportunity to express my deep sense of gratitude towards my family and
friends who supported me throughout during this research and writing.

I have tried my best to present this information as clearly as possible using basic terms that I hope
will be comprehended by the widest spectrum of researchers, analysts and students for further
studies.

(Natasha Thakur)

Uni. Roll No. 123.

4
 TABLE OF CONTENTS

Sr. No. Titles P/No.

1 Chapter-1 7-24
Company profile
2 Chapter-2 25-43
Introduction to topic
3 Chapter-3 44-49
Review of Literature
5 Chapter-4 50-51
Need, Scope and Objective
6 Chapter-5 52-54
Research Methodology
8 Chapter-6 55-93
Data Analysis & Interpretation
9 Chapter-7 94-96
Findings , Conclusion & Suggestions
10 Chapter-8 97-98
Bibliography
11. Appendix 99-102

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 ABSTRACT

The terms ``employee welfare benefit plan'' and ``welfare plan'' are defined in section 3(1) of

the Act to include plans providing ``(I) medical, surgical, or hospital care or benefits, or

benefits in the event of sickness, accident, disability, death or unemployment, or vacation

benefits, apprenticeship or other training programs, or day care centers, scholarship funds, or

prepaid legal services, or (ii) any benefit described in section 302(c) of the Labor

Management Relations Act, 1947 (other than pensions on retirement or death, and insurance

to provide such pensions).''

Welfare facilities include toilets, washing facilities, rest and changing facilities, personal

security arrangements (e.g. lockers) and refreshment, recreational facilities, Loan facilities,

personal growth facilities like library facility; training facility, Safety and Security measures,

adjustable working shift and timing, festival grants, transportation facility, housing facility

etc.

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 CHAPTER- 1
COMPANY PROFILE

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HERO MOTORCOP: (OVERVIEW OF THE COMPANY)
Hero Motocorp Ltd., formerly Hero Honda, is an Indian motorcycle and scooter manufacturer
based in New Delhi, India. The company is the largest two-wheeler manufacturer in the world, and
also in India, where it has a market share of about 46% in the two-wheeler category. The 2006
Forbes list of the 200 World's Most Respected Companies has Hero Honda Motors ranked at
#108. On 31 March 2013, the market capitalisation of the company was ₹30,800
crore (US$4.7 billion).

Hero Honda started its operations in 1984 as a joint venture between Hero Cycles (sometimes called
Hero Group, not to be confused with the Hero Group food company of Switzerland) of India
and Honda of Japan. In 2010, when Honda decided to move out of the joint venture, Hero Group
bought the shares held by Honda. Subsequently, in August 2011
In June 2012, Hero MotoCorp approved a proposal to merge the investment arm of its parent Hero
Investment Pvt. Ltd. with the automaker. This decision came 18 months after its split from Hero
Honda.

"Hero" is the brand name used by the Munjal brothers for their flagship company, Hero Cycles Ltd.
A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the
Hero Honda Motors Limited at Dharuhera, India. Munjal family and Honda group both owned 26%
stake in the Company.

During the 1980s, the company introduced motorcycles that were popular in India for their fuel
economy and low cost. A popular advertising campaign based on the slogan 'Fill it – Shut it – Forget
it' that emphasised the motorcycle's fuel efficiency helped the company grow at a double-digit pace
since inception. In 2001, the company became the largest two-wheeler manufacturing company in
India and globally. It maintains global industry leadership to date. The technology in the bikes of
Hero Motocorp (earlier Hero Honda) for almost 26 years (1984–2010) has come from the Japanese
counterpart Honda.

Termination of Hunda Joint Venture

By December 2010, the board of directors of the Hero Honda Group had decided to terminate the
joint venture between Hero Group of India and Honda of Japan in a phased manner. The Hero
Group would buy out the 26% stake of the Honda in JV Hero Honda. Under the joint venture Hero
Group could not export to international markets (except Nepal, Bangladesh and Sri Lanka) and the

8
termination would mean that Hero Group could now export. Since the beginning, the Hero Group
relied on their Japanese partner Honda for the technology in their bikes.

The Japanese auto maker will exit the joint venture through a series of offmarket transactions by
giving the Munjal family—which held a 26% stake in the company—an additional 26%. Honda,
which also has an independent fully owned two-wheeler subsidiary—Honda Motorcycle and Scooter
India (HMSI)—will exit Hero Honda at a discount and get over ₹6,400 crore for its stake. The
discount will be between 30% and 50% to the current value of Honda's stake as per the price of the
stock after the market closed on December 16, 2010.

The rising differences between the two partners gradually emerged as an irritant. Differences had
been brewing for a few years before the split over a variety of issues, ranging from Honda's
reluctance to fully and freely share technology with Hero (despite a 10-year technology tie-up that
expires in 2014) as well as Indian partner's uneasiness over high royalty payouts to the Japanese
company. Another major irritant for Honda was the refusal of Hero Honda (mainly managed by the
Munjal family) to merge the company's spare parts business with Honda's new fully owned
subsidiary Honda Motorcycle and Scooter India (HMSI).

As per the arrangement, it will be a four-leg deal. In the first part, the jhunjhunwala family, led by
Brijmohan Lal Munjal group, will form an overseas-incorporated special purpose vehicle (SPV) to
buy out Honda's entire stake, which will be backed by bridge loans. This SPV would eventually be
thrown open for private equity participation, and those in the fray include Warburg Pincus, Kohlberg
Kravis Roberts (KKR), TPG, Bain Capital, and Carlyle Group.

Formation of Hero Motor Corp

Limited on 29 July 2011. The new brand identity and logo of Hero Moto Corp were developed by
the British firm Wolff Olins. The logo was revealed on 9 August 2011 in London, to coincide with
the third test match between England and India.

Hero Moto Corp can now export to Latin America, Africa and West Asia. Hero is free to use any
vendor for its components instead of just Honda-approved vendors.

On 21 April 2014, Hero Moto Corp announced their plan on a ₹254 crore (US$39 million) joint
venture with Bangladesh's Nitol Niloy Group in the next five years. also hero updated its 100cc
engine range in 2014 for 100cc bikes except hero dawn.

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49% stake in Erik Buell Racing

In July 2013, HMC acquired 49.2% shareholding in Erik Buell Racing, a motorcycle sport company
which produced street and racing motorcycles based in East Troy, Wisconsin, United States. EBR
filed for bankruptcy in 2015 and Hero Moto corp proceed to acquire certain assets for ₹18.2
Crore (US$2.8 million).

Operations

Hero Moto Corp has five manufacturing facilities based at Dharuhera, Gurgaon, Neemrana,
Haridwar and Halol under Green Field stage. These plants together have a production capacity of 76
lakh+ 2-wheelers per year. Hero Moto Corp has a sales and service network with over 6,000
dealerships and service points across India. It has a customer loyalty program since 2000, called the
Hero Honda Passport Program which is now known as Hero Good Life Program.

It is reported that Hero MotoCorp has five joint ventures or associate companies, Munjal Showa, AG
Industries, Sunbeam Auto, Rockman Industries and Satyam Auto Components, that supply a
majority of its components.

The company has a stated aim of achieving revenues of ₹64,000 crore (US$9.8 billion) and volumes
of 10 lakh two-wheelers by 2016–17. This in conjunction with new countries where they can now
market their two-wheelers following the disengagement from Honda. Hero Moto Corp hopes to
achieve 10 per cent of their revenues from international markets, and they expected to launch sales
in Nigeria by end-2011 or early-2012.

Company performance

The company has sold over 4.7 crore 2-wheelers since its inception in 1984 till March 2013. It sold
60.7 lakh 2-wheelers in 2012, out of which 55 lakh were motorcycles. Hero Moto corp sells more
two wheelers than the second, third and fourth placed two-wheeler companies put together. Its most
popular bike Hero Honda Splendor sells more than ten lakh units per year.

In 2013, Hero Moto Corp registered best ever calendar year performance of more than 61 lakh unit
sales. By selling 6,25,000 units in the month of October, it became the first-ever manufacturer to
cross landmark 6 lakh unit sales in a month. In the last quarter of the year or say in the festive

10
season, the company sold more than 16 lakh units, while in non festive time in April–May 2013, it
managed to sell out quite good numbers of units—11 lakh.

Listings and shareholding

The equity shares of Hero Moto corp are listed on the Bombay Stock Exchange where it is a
constituent of the BSE SENSEX index, and the National Stock Exchange of India, where it is a
constituent of the S&P CNX Nifty.

As on 31 December 2013, the promoters Munjal Family held around 40% equity shares in Hero
Moto corp. Over 61,000 individual shareholders hold approx. 7.44% of its shares. Foreign
Institutional Investors hold approx. 30% shares in the company.

Shareholders (as on 31-Dec-2013) Shareholding[31]

Promoter Group 39.92%

Foreign Institutional Investors (FII) 30.63%

Foreign Corporate Bodies 12.29%

Individual shareholders 06.44%

Insurance companies 05.38%

Mutual Funds / UTI 02.56%

Bodies Corporate 01.60%

Financial Institutions / Banks 00.53%

Others 00.60%

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Total 100.0%

Employees
As on 31 March 2014, the company had 6,782 employees, out of which 66 were women (1.1%). It
also had approx. 13,800 temporary employees on that date. The company had an attrition rate of
5.1% in the FY 2012-13. The company spent ₹821 crore (US$130 million) on employee benefits
during the FY 2012-13.

Awards and recognition

• The Brand Trust Report published by Trust Research Advisory has ranked Hero Honda in the
7th position among the most trusted brands in India.
• It received the 'Best value for Money Bike Maker' and 'Best Advertising' in Two Wheelers
Category at the Auto India Best Brand Awards 2012.

Initiatives
The company started Raman Kant Munjal Foundation (RKMF), in 1992 when it was known as Hero
Honda Motors Ltd., that looks after:

• Raman Munjal Vidya Mandir (an educational institution)

• Raman Munjal Memorial Hospital
• BML Munjal University
During the financial year, the company spent ₹1.4 crore on corporate social responsibili

Company Address:

10th Km Stone, G.T. Road Dadri, Distt- Gautam Budh

Nagar, U.P.
Industry: Automobile Spareparts
Product range: Gear block, Cylinder block, Swing arm, Main stand, Side stand, Chain
case, etc.
Mother concern: HERO GROUP OF COMPANIES:
Hero Cycles - Founded in 1956, largest manufacturer of cycles in the world,
manufacturing over 6 million cycles per year.
Hero Motors - Auto component outsourcing / scooter & Step through maker & parent
company of Hero Global Design.

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Hero Global Design – Design/ Engineering/ Prototyping and Manufacturing support services.

Munjal Showa - Joint Venture with Showa, Japan largest

manufacturer of shock absorbers in India

Sunbeam Auto & Munjal Castings - Aluminum die casting Unit

Hero Mindmine – BPO training services, BPO services; Call Center

All India Offices:

1) Corporate Office: 601, International Trade Tower, Nehru Place,New Delhi- 110019

2) Plant / Works: 10th Km Stone, G.T.Road, Dadri, Distt- Gautam Budh Nagar, Ghaziabad

(UP)

3)Foundry Project: Plot No. 192, Sector-4, Manesar, Gurgaon

ACHIEVEMENTS:

• Green Pioneer Award - 2013

• Asias Third Best Employer Brand Award-2012

• NDTV Profit Car & Bike Awards 2010

• Company of the Year awarded by Economic Times Awards for Corporate Excellence
2008-09
• The NDTV Profit Car India & Bike India Awards 2007 in the following category:
Overall "Bike of the Year" - CBZ X-treme
• Adjudged 7th Top Indian Company in 2006 by Wallstreet Journal Asia (Top Indian
Two Wheeler Company).
• Awaaz Consumer Awards 2005 - India's most preferred two-wheeler brand by CNBC
in the 'Automobiles' category.
• Hero Group ranks amongst the top 10 Business Houses comprising 18 companies,
with an estimated turn over of US$ 1.8 billion during the fiscal year 2003-2004.
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 • HSBC-Merril Lynch has estimated Hero Group would be among the Top Value
Creator in 2001-2004.

• Hero Honda Motors was ranked 3rd amongst top Indian companies Review 2000-
Asia’s leading companies award (2003) by Far Eastern Economic Review.
• Hero Cycles Limited is a Guinness Book Record holder since 1986 as the wolrd’s
largest manufacturer of bycycles, with annual sales volume of 5.2 million bicycles in
FY 2004.

Hero Motors Limited was awarded as Highest Automobile Exporter in the year of 1995-1996 &
1996-1997.
• Hero Motors is Certified by ISO 9000 in the year of 2002.

HISTORY OF HERO MOTORS:

Hero, the brand name synonymous with two-wheelers in India, is a multi-unit, multi- product,
geographically diversified, Group of Companies - the reflection of the steely ambition and
indomitable grit of the Munjal Family. Munjal Brothers, the founders of the Hero Group, started
out in 1960’s in business of bicycle components, and then complete bicycles. Like every
success story, Hero's saga contains an element of spirit and enterprise; of achievement through
grit and determination, coupled with vision and meticulous planning.

The company incorporated its business with the name of Majestic Auto Limited in 1978. It was
established at Ludhiana by Mr. O.P.Munjal, chairman of the coimpany. Later in 1988 another
production plant, namely Majestic Auto Limited-II was established by Mr. Pankaj Munal at
Ghaziabad. In 2005 the company has demerged and the second plant of Ghaziabad was renamed
as Hero Motors Limited. The plant area of Hero Motors spread over 30 acre land. HML has
another small plant of 20 acre land at Manesar, near Gurgaon where they produce Ferrous
casting products for their customer. Hero Motors (and subsequently Hero Global Design), set up
in 1988 was originally focused solely on the two-wheeler market. The company manufactured
two stroke mini motorcycles under the HERO PUCH brand, two stroke scooters under the
HERO WINNER brand and four-stroke step through motorcycles under the HERO SMART
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and HERO STING brand.
• The Automobile and the Automobile Component Industry is one of the largest
growing in India. Hero Motors considers this to be a focus area. Since 2004, based on
a new strategic initiative, Hero Motors is nurturing the integrated engineering service
provider business. HML now supplies automotive spare parts like gear block to
Austria,Cylinder block to L.G. and Swing arm; Main stand; Side stand; Chain case
etc to Hero.

1988 - Set up to manufacture mopeds in technical collaboration Styer, Daimler Puch,

Austria

1993 - Became India’s largest exporter of two wheelers

1998 - Started development of four stroke engines in technical collaboration with Briggs &
Stratton, USA
- Formed HERO GLOBAL DESIGN

2001 - Launched HGD designed specialized moped – HERO POWER range

2002 - Launched India’s first four stroke moped – HERO SMART

2003 - Launched motorcycle –HERO- STING Entered into agreements with ROTAX for
engine & part development

2004 - Company focused as a “integrated engineering solution provider”

2005 - First supplies to ROTAX (Austria) and a World renowned Consumer Goods

Manuacturer - Ferrous Casting Plant being set up at Manesar

2011- New licensing arrangement signed between Hero and Honda (Hero Honda is renamed
as Hero)

2012- Migration of all products to Brand Hero and Strategic partnership with Erik Buell

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 Racing (EBR) of USA

2013- Neemrana Plant Foundation Stone laid

50 Million cumulative 2 wheelers production

- Global Parts Centre Foundation Stone laid

VISION

The story of Hero Honda began with a simple vision - the vision of a mobile and an

empowered India, powered by its two wheelers. Hero Moto Corp Ltd., company's new

identity, reflects its commitment towards providing world class mobility solutions with

renewed focus on expanding company's footprint in the global arena

MISSION

Hero Motor’s mission is to become a global enterprise fulfilling its customers' needs and

aspirations for mobility, setting benchmarks in technology, styling and quality so that it

converts its customers into its brand advocates.

The company will provide an engaging environment for its people to perform to their true

potential. It will continue its focus on value creation and enduring relationships with its

partners

16
TATA MOTORS LIMITED: (OVERVIEW OF THE COMPANY)
Tata Motors Limited (formerly TELCO, short for Tata Engineering and Locomotive Company)
headquartered in Mumbai, is an Indian multinational automotive manufacturing company and a
member of the Tata Group. Its products include passenger cars, trucks, vans, coaches, buses, sports
cars, construction equipment and military vehicles. Tata Motors has been ranked 5th in 2017
Responsible Business Rankings developed by IIM Udaipur.

Tata Motors has auto manufacturing and assembly plants

in Jamshedpur, Pantnagar, Lucknow, Sanand, Dharwad, and Pune in India, as well as in Argentina,
South Africa, Great Britain and Thailand. It has research and development centres in Pune,
Jamshedpur, Lucknow, and Dharwad, India and in South Korea, Great Britain and Spain. Tata
Motors' principal subsidiaries purchased the English premium car maker Jaguar Land Rover (the
maker of Jaguar and Land Rover cars) and the South Korean commercial vehicle manufacturer Tata
Daewoo. Tata Motors has a bus-manufacturing joint venture with Marcopolo S.A. (Tata
Marcopolo), a construction-equipment manufacturing joint venture with Hitachi (Tata Hitachi
Construction Machinery), and a joint venture with Fiat Chrysler which manufactures automotive
components and Fiat Chrysler and Tata branded vehicles.

Founded in 1945 as a manufacturer of locomotives, the company manufactured its first commercial
vehicle in 1954 in a collaboration with Daimler-Benz AG, which ended in 1969. Tata Motors
entered the passenger vehicle market in 1991 with the launch of the Tata Sierra, becoming the first
Indian manufacturer to achieve the capability of developing a competitive indigenous automobile. In
1998, Tata launched the first fully indigenous Indian passenger car, the Indica, and in 2008 launched
the Tata Nano, the world's cheapest car. Tata Motors acquired the South Korean truck
manufacturer Daewoo Commercial Vehicles Company in 2004 and purchased Jaguar Land
Rover from Ford in 2008.

Tata Motors is listed on the (BSE) Bombay Stock Exchange, where it is a constituent of the BSE
SENSEX index, the National Stock Exchange of India, and the New York Stock Exchange. The
company is ranked 226th on the Fortune Global 500 list of the world's biggest corporations as of
2016.

On 17 January 2017, Natarajan Chandrasekaran was appointed chairman of the company.

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History
Tata entered the commercial vehicle sector in 1954 after forming a joint venture with Daimler-
Benz of Germany. After years of dominating the commercial vehicle market in India, Tata Motors
entered the passenger vehicle market in 1991 by launching the Tata Sierra, a multi utility vehicle.
Tata subsequently launched the Tata Estate (1992; a station wagon design based on the earlier
'TataMobile' (1989), a light commercial vehicle), the Tata Sumo (1994; LCV) and the Tata Safari
(1998; India's first sports utility vehicle).

Tata launched the Indica in 1998, the first fully indigenous Indian passenger car. Although initially
criticized by auto analysts, its excellent fuel economy, powerful engine, and an aggressive marketing
strategy made it one of the best-selling cars in the history of the Indian automobile industry. A
newer version of the car, named Indica V2, was a major improvement over the previous version and
quickly became a mass favourite. Tata Motors also successfully exported large numbers of the car to
South Africa. The success of the Indica played a key role in the growth of Tata Motors.

In 2004, Tata Motors acquired Daewoo's South Korea-based truck manufacturing unit, Daewoo
Commercial Vehicles Company, later renamed Tata Daewoo.

On 27 September 2004, Tata Motors rang the opening bell at the New York Stock Exchange to mark
the listing of Tata Motors.

In 2005, Tata Motors acquired a 21% controlling stake in the Spanish bus and coach
manufacturer Hispano Carrocera. Tata Motors continued its market area expansion through the
introduction of new products such as buses (Starbus and Globus, jointly developed with subsidiary
Hispano Carrocera) and trucks (Novus, jointly developed with subsidiary Tata Daewoo).

In 2006, Tata formed a joint venture with the Brazil-based Marcopolo, Tata Marcopolo Bus, to
manufacture fully built buses and coaches.

In 2008, Tata Motors acquired the English car maker Jaguar Land Rover, manufacturer of the Jaguar
and Land Rover from Ford Motor Company.

In May 2009, Tata unveiled the Tata World Truck range jointly developed with Tata Daewoo; the
range went on sale in South Korea, South Africa, the SAARC countries, and the Middle East at the
end of 2009.

Tata acquired full ownership of Hispano Carrocera in 2009.

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In 2009, its Lucknow plant was awarded the "Best of All" Rajiv Gandhi National Quality Award.

In 2010, Tata Motors acquired an 80% stake in the Italian design and engineering company Trilix
for €1.85 million. The acquisition formed part of the company's plan to enhance its styling and
design capabilities.

In 2012, Tata Motors announced it would invest around ₹6 billion in the development of Futuristic
Infantry Combat Vehicles in collaboration with DRDO.

In 2013, Tata Motors announced it will sell in India, the first vehicle in the world to run on
compressed air (engines designed by the French company MDI) and dubbed "Mini CAT".

In 2014, Tata Motors introduced first Truck Racing championship in India "T1 Prima Truck Racing
Championship".

On 26 January 2014, the Managing Director Karl Slym was found dead. He fell from the 22nd floor
to the fourth floor of the Shangri-La Hotel in Bangkok, where he was to attend a meeting of Tata
Motors Thailand.

On 2 November 2015, Tata Motors announced Lionel Messi as global brand ambassador at New
Delhi, to promote and endorse passenger vehicles globally.

On 27 December 2016, Tata Motors announced the Bollywood actor Akshay Kumar as brand
ambassador for its commercial vehicles range. On 8 March 2017, Tata Motors announced that it has
signed a memorandum of understanding with Volkswagen to develop vehicles for India's domestic
market.

Operations

Tata Motors has vehicle assembly operations in India, Great Britain, South Korea, Thailand, Spain
and South Africa. It plans to establish plants in Turkey, Indonesia, and Eastern Europe.

Tata Motors Cars

Tata Motors Cars is a division of Tata Motors which produces passenger cars under the Tata Motors
marque. Tata Motors is among the top four passenger vehicle brands in India with products in the
compact, midsize car, and utility vehicle segments The company's manufacturing base in India is
spread across Jamshedpur (Jharkhand), Pune (Maharashtra), Lucknow (Uttar Pradesh), Pantnagar
(Uttarakhand), Dharwad (Karnataka) and Sanand (Gujarat). Tata's dealership, sales, service, and
spare parts network comprises over 3,500 touch points. Tata Motors has more than 250 dealerships
19
in more than 195 cities across 27 states and four Union Territories of India. It has the third-largest
sales and service network after Maruti Suzuki and Hyundai.

Tata also has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine, Russia,
and Senegal. Tata has dealerships in 26 countries across 4 continents. Tata is present in many
countries, it has managed to create a large consumer base in the Indian Subcontinent, namely India,
Bangladesh, Bhutan, Sri Lanka and Nepal. Tata is also present in Italy,
Spain, Poland,]Romania, Turkey, Chile, South Africa, Oman, Kuwait, Qatar, Saudi Arabia, United
Arab Emirates, Bahrain, Iraq, Syria and Australia.

Tata Daewoo

Tata Daewoo (officially Tata Daewoo Commercial Vehicle Company and formerly Daewoo
Commercial Vehicle Company) is a commercial vehicle manufacturer headquartered in Gunsan,
Jeollabuk-do, South Korea, and a wholly owned subsidiary of Tata Motors. It is the second-largest
heavy commercial vehicle manufacturer in South Korea and was acquired by Tata Motors in 2004.
The principal reasons behind the acquisition were to reduce Tata's dependence on the Indian
commercial vehicle market (which was responsible for around 94% of its sales in the MHCV
segment and around 84% in the light commercial vehicle segment) and expand its product portfolio
by leveraging on Daewoo's strengths in the heavy-tonnage sector.

Tata Motors has jointly worked with Tata Daewoo to develop trucks such as Novus and World
Truck and buses including GloBus and StarBus. In 2012, Tata began developing a new line to
manufacture competitive and fuel-efficient commercial vehicles to face the competition posed by the
entry of international brands such as Mercedes-Benz, Volvo, and Navistar into the Indian market.

Tata Hispano

Tata Hispano Motors Carrocera, S.A. was a bus and coach manufacturer based in Zaragoza, Aragon,
Spain, and a wholly owned subsidiary of Tata Motors. Tata Hispano has plants in Zaragoza, Spain,
and Casablanca, Morocco. Tata Motors first acquired a 21% stake in Hispano Carrocera SA in
2005, and purchased the remaining 79% for an undisclosed sum in 2009, making it a fully owned
subsidiary, subsequently renamed Tata Hispano. In 2013, Tata Hispano ceased production at its
Zaragoza plant.

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Jaguar Land Rover

Jaguar Land Rover PLC is a British premium automaker headquartered in Whitley, Coventry,
United Kingdom, and has been a wholly owned subsidiary of Tata Motors since June 2008, when it
was acquired from Ford Motor Company of USA. Its principal activity is the development,
manufacture and sale of Jaguar luxury and sports cars and Land Rover premium four-wheel-drive
vehicles.

Jaguar Land Rover has two design centres and three assembly plants in the United Kingdom. Under
Tata ownership, Jaguar Land Rover has launched new vehicles including the Range Rover
Evoque, Jaguar F-Type, the Jaguar XF, the Jaguar XE, the Jaguar XJ (X351) the second-
generation Range Rover Sport, the fourth-generation Land Rover Discovery, and the Range Rover
(L405).

TML Drivelines

TML Drivelines Ltd. is a wholly owned subsidiary of Tata Motors engaged in the manufacture of
gear boxes and axles for heavy and medium commercial vehicles. It has production facilities at
Jamshedpur and Lucknow. TML Forge division is also a recent acquisition of TML Drivelines.
TML Drivelines was formed through the merger of HV Transmission and HV Axles .

Tata Technologies

Tata Technologies Limited (TTL) is an 43%-owned subsidiary of Tata Motors which provides
design, engineering, and business process outsourcing services to the automotive industry. It is
headquartered in Pune (Hinjewadi) and also has operations in London, Detroit and Thailand. Its
clients include Ford, General Motors, Honda, and Toyota.

The British engineering and design services company Incat International, which specialises in
engineering and design services and product lifecycle management in the automotive, aerospace,
and engineering sectors, is a wholly owned subsidiary of TTL. It was acquired by TTL in August
2005 for ₹4 billion.

In 2017, TAL, a subsidiary of Tata Motors, manufactured India’s first industrial articulated robot for
micro, small, and medium enterprises.

European Technical Centre

The Tata Motors European Technical Centre (TMETC) is an automotive design, engineering, and
research company based at Warwick Manufacturing Group (WMG) on the campus of the University
21
of Warwick in Great Britain. It was established in 2005 and is a wholly owned subsidiary of Tata
Motors. It was the joint developer of the World Truck.

In September 2013, it was announced that a new National Automotive Innovation Campus would be
built at WMG at Warwick's main campus at a cost of £100 million. The initiative will be a
partnership between Tata Motors, the university, and Jaguar Land Rover, with £30 million in
funding coming from Tata Motors.

JOINT VENTURES

Tata Marcopolo

Tata Marcopolo is a bus-manufacturing joint venture between Tata Motors (51%) and the Brazil-
based Marcopolo S.A. (49%). The joint venture manufactures and assembles fully built buses and
coaches targeted at developing mass rapid transportation systems. It uses technology and expertise
in chassis and aggregates from Tata Motors, and know-how in processes and systems for
bodybuilding and bus body design from Marcopolo. Tata Marcopolo has launched a low-floor city
bus which is widely used by transport corporations in many Indian cities. Its manufacturing facility
is based in Dharwad, Karnataka State, India.

Fiat-Tata

Fiat-Tata is an India-based joint venture between Tata and Fiat Automobiles which produces Fiat
and Tata branded passenger cars, as well as engines and transmissions. Tata Motors has gained
access to Fiat's diesel engine and transmission technology through the joint venture.

The two companies formerly also had a distribution joint venture through which Fiat products were
sold in India through joint Tata-Fiat dealerships. This distribution arrangement was ended in March
2013; Fiats have since been distributed in India by Fiat Automobiles India Limited, a wholly owned
subsidiary of Fiat.

Tata Hitachi Construction Machinery

Tata Hitachi Construction Machinery is a joint venture between Tata Motors and Hitachi which
manufactures excavators and other construction equipment. It was previously known as Telcom
Construction Solutions. The TATA Motors European Technical Centre is an automotive design,
engineering, and research company. Company based at Warwick Manufacturing Group (WMG) on
the campus of the University of Warwick in Great Britain. It was established in 2005 and is wholly
owned subsidiary of Tata Motors. It was the joint developer of the World Truck . In September 2013
22
it was announced that a new National Automotive Innovative Campus would be built at WMG at
War wicks main campus at a cost of 100 million pounds. The initiative will be a partnership between
Tata Motors, the University, and Jaguar Land Rover, with the 30 million pounds in funding coming
from Tata Motors.

Products

For details of Tata Motors passenger cars, see Tata Motors Cars. For details of Land Rover products,
see Land Rover. For details of Jaguar products, see Jaguar Cars.

Electric vehicles

Tata Motors has unveiled electric versions of the Tata Indica passenger car powered by TM4 electric
motors and inverters,[as well as the Tata Ace commercial vehicle, both of which run on lithium
batteries.

Tata Motors' UK subsidiary, Tata Motors European Technical Centre, has bought a 50.3% holding
in electric vehicle technology firm Miljøbil Grenland/Innovasjon of Norway for US$1.93 million,
which specialises in the development of innovative solutions for electric vehicles, and plans to
launch the electric Indica hatchback in Europe next year.In September 2010, Tata Motors presented
four CNG–Electric Hybrid low-floored Starbuses to the Delhi Transport Corporation, to be used
during the Commonwealth Games. These were the first environmentally friendly buses to be used
for public transportation in India.

Notable vehicles

The Nano was launched in 2009 as a city car intended to appeal as an affordable alternative to the
section of the Indian populace that is primarily the owner of motorcycles and has not bought their
first car. Initially priced at ₹100,000 (US$1,500), the vehicle attracted a lot of attention for its
relatively low price. Production declined to 2 units per day in November 2017.

Tata Ace

Tata Ace, India's first indigenously developed sub-one-ton minitruck, was launched in May 2005.
The minitruck was a huge success in India with auto analysts claiming that Ace had changed the
dynamics of the light commercial vehicle (LCV) market in the country by creating a new market
segment termed the small commercial vehicle segment. Ace rapidly emerged as the first choice for
23
transporters and single truck owners for city and rural transport. By October 2005, LCV sales of
Tata Motors had grown by 36.6% to 28,537 units due to the rising demand for Ace. The Ace was
built with a load body produced by Autoline Industries. By 2005, Autoline was producing 300 load
bodies per day for Tata Motors.

Ace is still a top seller for TML with 500,000 units sold by June 2010. In 2011, Tata Motors
invested Rs 1000 crore in Dharwad Plant, Karnataka, with the capacity of 90,000 units annually and
launched two models of 0.5-T capacity as Tata Ace Zip, Magic Iris.

Ace has also been exported to several Asian, European, South American, and African countries and
all-electric models are sold through Polaris Industries' Global Electric Motorcars division. In Sri
Lanka, it is sold through Diesel and Motor Engineering (DIMO) PLC under the name of DIMO
Batta.

24
 CHAPTER – 2
INTRODUCTION TO TOPIC

25
EMPLOYEE WELFARE AT HERO MOTORS

Employees are always important in HERO MOTORS. HML wants employees who

can carry out their missions and fulfill their roles, with the aim of contributing to the

enhancement of the Company’s enterprise value, thereby winning society’s trust.

In order to have a solid organization which attracts and inspires employees like these

to actively contribute to the Company with their best efforts, skills and abilities. Hero

Motors is endeavoring to establish effective systems for performance evaluation and

compensation, human resources development, and staff deployment.

Furthermore, HML welfare and benefits system is designed to provide a comfortable

environment in which employees can easily adjust. While providing a workplace

where employees can focus on their work without distractions, the welfare and

benefits system also helps keep them in the best of health, and serves as a safety net,

giving employees a stronger feeling of security.

LOAN POLICY:

Hero Motors provides its employees two types of loans- Personal loan for any personal

purpose like marriage, higher education, housing etc and Vehicle loan. Total 10 loans

approved in a month in “first come first serve” basis. For lower level employee there is no

interest charged up to Rs. 5000/- and recovered in 10 equal monthly installments from the

employee’s salary, above this amount 14% interest are charged/ year and recovered in 20

EMI. For higher level employee up to Rs.15000/- is interest free above which 14% interest

are charged.

26
As vehicle loan, 75% of the total cost paid by company as loan in 5% interest and recovered in

60 EMI including interest. Car loan available for managers and above only.

Amount given as loan at different levels:

G.M and above - 2 Lac

A.G.M I - 1.5 Lac

A.G.M II - 1.25 Lac

Managers - 1 Lac

CANTEEN FACILITY:

Canteen is not only a place for taking lunch or dinner. It is a place where employees of one
department can meet with employees of other departments and can make some conversation that
helps to improve the informal communication flow within organization. In Hero Motors a
specious and well-equipped canteen is there facilitated with every modern facility like
comfortable seating arrangement, water cooler and washing facility.
Hero Motors provides canteen subsidies for employees; lunch coupon distributed at Rs.14/-
and Rs. 3/- is paid by company as subsidy and at breaks two times free teas are provided.
Employees working for overtime above 4 hours are entitled for free lunch. Summer Trainees
are provided free lunch during their training periods. Except these meal allowances for lunch

and snacks are also given to employees if they are outside the plant for any official purpose

during lunchtime. Hero Motors provides free lunch to the visitors and guests (like corporate

guests) who come for any official purpose.

27
COST OF LAST FINANCIAL YEAR BEHIND CANTEEN

Total meal allowance (on duty) paid to employees: Rs. 1, 96,800/- Canteen

bill (including pantry cost) : Rs. 22, 43,200/-

Refreshment & tea, snacks expenses : Rs. 6, 50,000/-

MEDICAL FACILITY:
At Hero Motors there is a dispensary where doctor visits regularly, daily 1 hour a doctor attends

patients. All time first-aid facility and medicines for any minor illness are available. For any

major accident or in any serious case patients are admitted to near by hospitals or nursing home.

The cost of medicines, rent of bed and others are given by company. Hero Motors has an

ambulance for shifting purpose in case of serious illness.

MEDICAL COST OF LAST THREE FINANCIAL YEARS:

Cost for Cost behind Doctor's

Year medicines employees fees

Treatment
April 2013-

March 2014 59,700 39,000 72,000

April 2012-

March 2013 12,000 97,400 60,000

April 2011-

March 2012 23,300 4,50,000 60,000

28
 Hero Motors gives its employees medi-claim facility, under which the policy premiums for

employee are given by Hero Motors and policy premium of employee’s family members are

paid by employee.

MAXIMUM AMOUNT PAID AS PREMIUM AT DIFFERENT LEVELS:

MD and Family – 5 Lac

General Manager I/II – 3 Lac

Assistant General Manager I/II -2 Lac

Manager I/II, Assistant Manager I/II- 1.5 Lac

Executive I/II/III -1 Lac

Supervisor – Rs. 50000/-

Workmen/ Driver/ Peon- Rs.15000/-

Uniform Provided:

To create a sense of unity, proud feelings for organization and a sense of belongingness it is

very necessary for every organization to create and maintain an identity. For this purpose

Hero Motors provides uniforms for all its employees from workers to high-level managers..

Sweaters and jackets are given alternatively in every winter.

As per requirements of the job, personal protective equipments like masks, gloves, safety

shoes, dangri suits (for paint shop and machine shop workers), caps etc are also provided to

workers.

29
COST OF UNIFORMS OF LAST THREE FINANCIAL YEARS:

Cost of Cost of Cost of Cost of Cost of other

pants, woolen personal leather accessories

Year shirts, and clothes protective shoes and

stitching equipments socks

cost
April

2013-

March

2014 3,72,500 2,51,000 1,47,500 1,83,000 1450

April

2012-

March

2013 4,02,300 40,800 60,600 1,71,600 1840

April

2011-

March

2012 3,86,000 61,500 36,000 60,000 1350

30
Transportation facility:

Providing transportation facility is a very important aspect of any organization to its

employees. Because if the way to reach the organization is not very convenient and the

employee has to face lots of problems during every day journey it can affects the

organization in a very large way. It may results in late comings that hamper organizational

culture and also the productivity, again facing problems in daily up-down may irritate

employees and they may feel to switching the job means, increasing employee’s

dissatisfaction and lost of good employees which can be a severe problem for any

organization.

Hero Motors has three buses. The buses cover different routes for their workers coming from

different places.

COST BEHIND BUS SERVICE IN LAST FINANCIAL YEAR : RS. 9,65,000

Cost of last three financial years behind training and development programs:

Cost for Cost of Total Cost

Training Seminars &

Years
Workshops
March'2013-
April'2014 3,86,400 63,800 4,50,000

March2012-
April'2013 3,34,300 21,700 3,56,000
March'2011-
April'2012 5,89,000 37,600 6,26,600

31
Training and development:
Training is way to make sure that employees have the right skills to effectively operate various

machines and manage various challenging situations. Employer gives training to his/her

employees so that employees can do the same job in some better way, which ultimately increase

the quantity of production and also the quality of work. It is basically given by every

organization for technical up-gradation of the job where as development program is carried out

with the view to explore and upgrade the qualities of employee’s inner quality. Development

program is very necessary for the personal growth of employees.Hero Motors gives special

emphasize on this aspect for its employees. In Hero Motors ‘Employee Training Programs’ are

carried out by a group of people of Quality Department. Hero Motors provides good scopes for

employees to learn from Internal as well as External Training. Employees can attend Seminars

and Workshops arranged by other organization and company bears entry fees for that. Hero

Motors invites/hires external trainer from outsides for ‘Worker’s Training’. Staff training

programs also carried out as per training needs and plans. The training programs are carried out

in two basic ways- a) On the job training and b) Off the job training. Off the job training is give

using different methods like class room training, group discussion etc. After training, trainees

are evaluated and ranked by the trainer to judge and compare their qualities and again a feed

back form filled by trainees to welcome their suggestions.

Telephone Allowance:
Today’s business world is very dynamic in nature and it demands proper and quick execution of

any work. Managers have to update their information base in every moment and have to take

decisions in challenging situation. For this it is very necessary to stay connected with their

colleagues and boss within and outside organization also. Now a days most of the companies

32
give mobile and telephone allowances to their managers.Hero Motors grants mobile allowance

from supervisor level to highest level of management and paid for residential telephone bill only

to top-level management.

Amount given as mobile allowance at different level:

Vice president and above : Rs. 3500/- per month

General manager I / II : Rs. 2200/- per month

Assistant General Manager, Manager : Rs. 1500/- per month

Assistant manager I / II : Rs. 1000/- per month

Executive I /II /III, Supervisor I/II/III : Rs 600/- per month

Motivational Tool: Awards :

• Motivated employees can give two times extra than a dissatisfied employee.

Rewarding employees is that simple tool.

• Award is a way of appreciating one’s job from management side; it is a proof or

formal recognition. Award is a tool of motivating employees to do the job with new

zeal, enthusiasm, hard work and sincerity.

• Hero Motors rewarding employees for long service and retirement. The “Long

Service Awards” are given for 5years, 10years, 15 years and 20 years. For 10 years

service “Two-in-One Music System”, 15 years “CD Player” and 20 years “gold chain

of 8 gms” are given by the company. There is an award given once in a year as

“Regular Attendance Award”.

Gifts and Events :

33
Celebration of various festivals and events are necessary to welcome a wind of relieve so that

employees can start their job with a new passion. Again these types of celebrations give employees a

chance to meet each other in an informal atmosphere and also a chance to show their other creative

talents. Although in Hero Motors these types of celebrations are not done in very frequently, still

some special days are celebrated by Hero Motor’s employees. The “Foundation day” is celebrated

every year, on that day puja or hawan are done in the morning. After that, eminent personalities give

their speeches and provide snacks by company.

EMPLOYEE WELFARE AT TATA MOTORCOP

Hero MotoCorp to offer ESOPs to employees, directors

The Munjal family-controlled scooter and motorcycle maker Hero MotoCorp Ltd plans to offer
stock options to its employees and directors in an effort to retain talent and hire top executives to
drive its global aspirations.

The offer of 4.99 million employee stock options (ESOPs) will result in a less than 2.5% dilution of
the paid-up equity share capital of the company as on 30 June. At Tuesday’s closing price
of Rs.2,791.30 per share, the 4.99 million shares are worth Rs.1,393 crore, according to
a Mint calculation.

The vesting of stock options will be determined by certain performance parameters of the
nomination and remuneration committee, two people familiar with the development said. Neither
wished to be identified.

The company firmed up its first employee stock ownership plan scheme in 2012.

That plan remained just an “enabled resolution”. The new resolution envisages the issue of options
over the next 10-12 years.

“The proposal to grant ESOPs is currently under the consideration of the shareholders of the
company. Therefore, we would not like to discuss specific details of the proposal at this stage,” a
spokesperson for the company said in an emailed response.

34
The New Delhi-based company has opened the e-voting for the new stock option resolution till 18
September and results will be declared on 22 September.

“The objective of the scheme is to reward, attract, motivate and retain employees and directors of
the company and its subsidiaries,” one of the persons cited above said.The nomination and
remuneration committee will grant stock options based on the merit, grade, conduct and length of
service of an employee. The stock options can be exercised one year from the date of grant. The new
stock option plan comes even as Hero is in the process of hiring global auto executives. It recently
appointed a senior designer from German luxury car-maker BMW, Markus Braunsperger, as the
head of its research and development (R&D) division. It is also looking to fill up the vacancy
created by the exit of Anil Dua, senior vice-president (sales and marketing).Proxy advisory firms
said the resolution is not clear on details such as the price at which the options will be exercised.This
refers to the price at which the stock can be bought by the person holding the option, and it is usually
decided at the time the option is issued.Proxy advisory firm Institutional Investor Advisory Services,
in a note to investors, said that “as a practice of good governance the companies should disclose the
exercise price. We have therefore flagged transparency risk to the proposal”.

Shriram Subramanian, managing director, InGovern, a Bangalore-based proxy advisory firm, said
that his firm has recommended that investors vote against the proposal because the “details of
exercise price and schedule” have not been given.“It will be difficult for us to judge as the details are
sketchy,” he said.An analyst said the stock option plan was another of Hero’s efforts to make the
next big leap.“From setting up a world class R&D centre to hiring expats with international
experience, the Hero management has sent out all the right signals so far. Stock options to
employees is unusual but looks like a good move. This is a great HR practice,” said Mahantesh
Sabarad, deputy head of research, SBI Cap Securities Ltd.Not too many Indian companies issue
stock options to employees.

Ever since parting ways with its Japanese partner of 26 years, Honda Motor Co. Ltd, Hero has been
in transition. Its first indigenous product is yet to hit the market and the lack of technology is seen by
analysts as a constraint for Hero’s future prospects. The company has sought to address this by
developing its own capabilities on this front, picking up a stake in Erik Buell Racing, and forming
partnerships with Austrian engine developer AVL LIST GmbH, Italy’s Engines Engineering

35
and Magneti Marelli.On Tuesday, the Hero stock closed down 0.34% while the BSE’s benchmark
Sensex fell 1.21% to 26,492.51 points.

Labour-management imbroglio over worker salaries continues at Hero MotoCorp

Gurgaon, January 31, 2013: The labour-management imbroglio over a hike in workers' salaries
continues unabated at Hero MotoCorp's Gurgaon plant in Haryana. The last round of negotiations
before the deputy labour commissioner (DLC) held on January 29 failed to break the stalemate. The
next round of talks before the DLC is to be held today.
Anuradha Lamba, DLC of the region, told Autocar Professional that both sides held firm on their
demands. Workers have been steadfast about a monthly hike in wages to the tune of Rs 15,000-
18,000 over a three-year period. The company meanwhile is said to be offering an increment of
around Rs 6,500 over the same period as part of a wage settlement agreement.
This was the hike offered to the company’s workers at its Dharuhera plant during the three-year
agreement signed in 2011. But workers at the Gurgaon plant are not happy with this offer.
Lamba says that representatives of the Hero management are also offering a subsidy to workers for
housing schemes including help in purchase of land to build a house. Besides, the company has also
drawn up an attractive picture of monthly installments to be paid on housing schemes by workers.
The workers, however, are not satisfied with the offer and are sticking to their demand for the
specified wage hike. In case the next round of talks in front of the DLC fails, the conciliation
process could be referred to the courts. Hero Moto Corp has, in the past few months, been bogged
down by labour strife triggered off since August 2012. The standoff involves around 1,200
permanent workers, who are banded together under the Hero Moto Corp Workers Union
(HMCWU). The Gurgaon facility manufactures two-wheelers like the Passion, Maestro and
Pleasure.The union had submitted its demand in August with its representatives negotiating with the
management since then. The workers have been demanding a higher wage hike similar to that given
at Maruti Suzuki and HMSI after their wage settlement.
While Hero Moto Corp officials were not available for comment, an earlier statement from the
company said: "As stated earlier, we will continue to engage with the workers towards achieving the
objective of reaching at an amicable solution, without allowing ourselves to be coerced into
decisions governed by pressure tactics. As the industry leader, we will take prudent and a well-
deliberated decision which will be in the best interest of all our workers as well as for the larger
good of the industrial environment in the region. "Hero Moto Corp has always given top priority to
the overall welfare and well-being of all our workers. In keeping with this spirit, our welfare
36
measures and benefits have been the benchmark in the industry. And we will strive to reach at a
reasonable, sustainable and sensible settlement.” The workers are expected to decide their future
course of action after the next round of talks in front of the deputy labour commissioner.

DIRECTORS’ RESPONSIBILITY STATEMENT

Your Directors make the following statement in terms of Section 134 of the Act, which is to the best
of their knowledge and belief and according to the information and explanations obtained by them:
1. That in the preparation of the annual accounts for the financial year ended March 31, 2017, the
applicable accounting standards have been followed, along with proper explanation relating to
material departures;
2. that appropriate accounting policies have been selected and applied consistently and judgments
and estimates that are reasonable and prudent have been made so as to give a true and fair view of
the state of affairs as at March 31, 2017 and of the profit and loss of your Company for the financial
year ended March 31, 2017;
3. that proper and sufficient care has been taken for the maintenance of adequate accounting records
in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets of your
Company and for preventing and detecting fraud and other irregularities;
4. That the annual accounts for the financial year ended March 31, 2017 have been prepared on a
going concern basis;
5. That the directors have laid down Internal Financial Controls which were followed by the
Company and that such Internal Financial Controls are adequate and were operating effectively; and
6. That the directors have devised proper systems to ensure compliance with the provisions of all
applicable laws and that such systems are adequate and operating effectively.

REMUNERATION POLICY
Pursuant to provisions of the Act, the NR Committee of your Board has formulated a Remuneration
Policy for the appointment and determination of remuneration of the Directors, Key Managerial
Personnel, Senior Management and other employees of your Company. The NRC has also
developed the criteria for determining the qualifications, positive attributes and independence of
Directors and for making payments to Executive and Non-Executive Directors of the Company.
The NRC takes into consideration the best remuneration practices in the industry while fixing
appropriate remuneration packages and for administering the long-term incentive plans, such as
ESOPs, RSUs etc. Further, the compensation package of the Directors, Key Managerial Personnel,
37
Senior Management and other employees is designed based on the set of principles enumerated in
the said policy.
Your Directors affirm that the remuneration paid to the Directors, Key Managerial Personnel, Senior
Management and other employees is as per the Remuneration Policy of your Company.
The Remuneration details of the Directors, Chief Financial Officer and Company Secretary, along
with details of ratio of remuneration of each Director to the median remuneration of employees of
the Company for the FY under review are provided as Annexure I.

EMPLOYEES’ INCENTIVE SCHEME

In terms of the SEBI (Share Based Employee Benefits) Regulations, 2014, as amended from time to
time (''SEBI Regulations''), the NRC of your Board, inter alia, administers and monitors the
Employees'' Incentive Scheme, 2014 of your Company and the Employees'' Stock Option plans
framed there under.
Further, the NRC has, at its meeting held on August 22, 2016 granted 49,950 stock options under
ESOP Plan 2016 to the eligible employees at an exercise option price of '' 2,469/- per option. In
addition, the NRC also approved grant of 11,194 Restricted Stock Units under RSU Plan, 2016 to
the eligible employees at the face value of '' 2/- per unit.
Your Company has received a certificate from M/s Deloitte Haskins & Sells, Gurgaon, Haryana,
Statutory Auditors (Firm Registration No. 015125N) that the Employees'' Incentive Scheme, 2014
for grant of stock options has been implemented in accordance with the SEBI Regulations and the
resolution passed by the members in their general meeting. The certificate would be placed at the
ensuing Annual General Meeting for inspection by the members.

CORPORATE GOVERNANCE
Your Company is committed to benchmarking itself with global standards of Corporate Governance.
It has put in place an effective Corporate Governance system which ensures that provisions of the
Act and Listing Regulations are duly complied with, not only in form but also in substance.
The Board has also evolved and adopted a Code of Conduct based on the principles of good
Corporate Governance and best management practices that are followed globally. In terms of Listing
Regulations, a report on Corporate Governance, along with the certificate from Mr. Sanjay Grover,
Managing Partner (CP No. 3850), M/s Sanjay Grover & Associates, Company Secretaries, New

38
Delhi, confirming compliance of the conditions of corporate governance is annexed hereto and
forms part of this Annual Report as Annexure IV.

TRANSFER TO GENERAL RESERVE

During the FY under review, no amount has been transferred to the General Reserve of the
Company.
TRANSFER TO INVESTOR EDUCATION AND PROTECTION FUND
During the FY under review, your Company has transferred unpaid/ unclaimed dividend, amounting
to Rs, 2.37 crores for FY 2008-09 to the Investor Education and Protection Fund (IEPF) of the
Central Government of India.
MATERIAL CHANGES AND COMMITMENTS
No material change and/or commitment affecting the financial position of your Company have
occurred between April 1, 2017 and the date of signing of this Report.
PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS
During FY 2016-17, your Company has not given any loan or guarantee pursuant to provisions of
Section 186 of the Act. Details of investments made in terms of Section 186 of the Act are as under:
Principal Amount (Shares) Principal Amount (Bonds/Debentures) Total
Opening 593.70 362.40 956.10
Addition * 274.31 0.69 275.00
Reduction 1 - 78.54 78.54
Closing Balance 868.01 284.55 1,152.56
* HMCL MM Auto Limited Rs, 6.60 crores, HMCL(NA) Rs, Nil, HMCL Netherlands BV Rs, 50.79
crores, HMCL Americas Inc. Rs, Nil, Hero FinCorp Limited Rs, 36.40 crores, Ather Energy Private
Limited Rs, 180.52 crores including mark to market adjustment of Bonds Rs, 0.69 crores.
DEPOSITS
Your Company has neither accepted nor renewed any deposits during FY 2016-17 in terms of
Chapter V of the Act.
CONTRACTS AND ARRANGEMENTS WITH RELATED PARTIES
During FY 2016-17, all contracts/arrangements/transactions entered into by your Company with
related parties under Section 188(1) of the Act were in the ordinary course of business and on an
arm''s length basis. During FY 2016-17, your Company has not entered into any
contracts/arrangements/transactions with related parties which could be considered ''material'' in
39
accordance with its Policy on Materiality of Related Party Transactions. Thus, there are no
transactions required to be reported in form AOC-2.
Further, during FY 2016-17, there were no materially significant related party transactions made by
your Company with the
Promoters, Directors, Key Managerial Personnel or other designated persons, which might have
potential conflict with the interest of the Company at large.
All related party transactions are placed before the Audit Committee for its approval. There was no
matter requiring approval of the Board. During FY under review, the Audit Committee has approved
transactions through the Omnibus mode in accordance with the provisions of the Act and Listing
Regulations. Related party transactions were disclosed to the Board on regular basis as per IND AS
24. Details of related party transactions as per IND AS 24 may be referred to in Note 36 of the
Standalone Financial Statements.

RISK MANAGEMENT FRAMEWORK

Your Company follows a comprehensive system of Risk Management. It has adopted a policy and
procedure for rapid identification, definition of risk mitigation plans and execution. Actions include
adjustments in prices, dispatch plan for specific durations across models, inventory build-up,
aligning product line-up as per regulatory mandates and active participation in regulatory
mechanisms. Many of these risks can be foreseen through systematic tracking. Major risks can be
categorized across following:
1. Changes in regulations
2. Market contraction due to macro-economic factors
3. Socio-economic-political disruptions
Your Company has constituted a Risk Management Committee to oversee the risk management
efforts under the Chairmanship of Mr. M. Damodaran, Independent Director. The details of the
Committee along with its charter are set out in the Corporate Governance Report, forming part of
this report. The Board periodically reviews the Risk Management framework of the Company.
VIGIL MECHANISM/ WHISTLE BLOWER POLICY
Your Company is committed to highest standards of ethical, moral and legal business conduct.
Accordingly, the Board of Directors have formulated Vigil Mechanism/Whistle Blower Policy
which provides a robust framework for dealing with genuine concerns & grievances. Your Company
has an ethics hotline managed by a third party which can be used by employees, Directors, vendors,

40
suppliers, dealers etc. to report any violations to the Code of Conduct. Specifically, employees can
raise concerns regarding any discrimination, harassment, victimization, any other unfair practice
being adopted against them or any instances of fraud by or against your Company. During FY under
review, three complaints were received and processed. Out of these, two complaints have been
investigated & acted upon and remaining one is under investigation.
During FY 2016-17, no individual was denied access to the Audit Committee for reporting concerns,
if any.

CORPORATE SOCIAL RESPONSIBILITY

Your Company has constituted a Corporate Social Responsibility (CSR) Committee which functions
under direct supervision of Mr. Pawan Munjal, Chairman, Managing Director & CEO of your
Company, who is also the Chairman of the CSR Committee. Other members of the Committee are
Gen. (Retd.) V. P. Malik and Mr. Pradeep Dinodia, who are Non-Executive and Independent
Directors of your Company.
Your Company has implemented the CSR Policy, duly formulated and recommended by the CSR
Committee to the Board. The CSR policy lays down CSR activities to be undertaken by your
Company. The CSR activities undertaken by your Company are based on the approved CSR policy,
which is available on the Company''s website, www.heromotocorp.com and can be viewed on the
following.The CSR Policy of your Company, as adopted by the Board, broadly covers the following
focus areas:
a) To direct HMCL''s CSR Programmes, inter alia, towards achieving one or more of the following -
enhancing environmental and natural capital; supporting rural development; promoting education
including skill development; providing preventive healthcare, providing sanitation and drinking
water; creating livelihoods for people, especially those from disadvantaged sections of society, in
rural and urban India and preserving and promoting sports.;
b) To develop the required capability and self-reliance of beneficiaries at the grass roots, in the
belief that these are prerequisites for social and economic development;
c) To engage in affirmative action/interventions such as skill building and vocational training, to
enhance employability and generate livelihoods for persons including from disadvantaged sections
of society;
d) To pursue CSR Programmes primarily in areas that fall within the economic vicinity of the
Company''s operations to enable close supervision and ensure maximum development impact;

41
e) To carry out CSR Programmes in relevant local areas to fulfill commitments arising from requests
by government/regulatory authorities and to earmark amounts of monies and to spend such monies
through such administrative bodies of the government and/or directly by way of developmental
works in the local areas around which the Company operates;
f) To carry out activities at the time of natural calamity or engage in Disaster Management system;
g) To contribute to the Prime Minister''s National Relief Fund or any other fund set up by the Central
Government for socioeconomic development and relief and welfare of the Scheduled Caste, the
Scheduled Tribes, other backward classes, minorities and women;
h) To contribute or provide funds to technology incubators located within academic institutions
which are approved by the Central Government;
i) To contribute to any fund setup by the Central Government or State Government(s) including
Chief Minister''s Relief Fund, which may be recognized as CSR activity;
j) To promote sustainability in partnership with industry associations, like the Confederation of
Indian Industry (CII), PHD, FICCI, etc. in order to have a multiplier impact.
During the FY under review, your Company spent Rs, 85.14 crores on its CSR activities, which
amounts to 2.41% of the average net profits of previous three financial years. CSR initiatives
undertaken by your Company, along with other details form part of the Annual Report on CSR
activities for FY 2016-17, which is annexed and forms part of this Report as Annexure V.
AUDIT COMMITTEE
The Audit Committee of your Company comprises the following Non-Executive and Independent
Directors:
1. Mr. Pradeep Dinodia - Chairman
2. Mr. M. Damodaran - Member
3. Gen. (Retd.) V. P. Malik - Member
4. Dr. Pritam Singh - Member
Further details on the Audit Committee and its terms of reference etc. have been furnished in
Corporate Governance Report which forms part of this Report as Annexure IV.
During the FY under review, all recommendations of the Audit Committee were accepted by the
Board of Directors of the Company.

DISCLOSURE UNDER SEXUAL HARASSMENT OF WOMEN AT THE WORKPLACE

(PREVENTION, PROHIBITION & REDRESSAL) ACT, 2013

42
Your Company has in place a policy on Prevention of Sexual Harassment at workplace. This policy
is in line with the requirements of The Sexual Harassment of Women at the Workplace (Prevention,
Prohibition & Redressal) Act, 2013. All employees, whether permanent, contractual, temporary and
trainees are covered under this Policy.
As per the said Policy, an Internal Complaints Committee is also in place to redress complaints
received regarding sexual harassment. Following is the summary of complaints received and
disposed of during FY under review:
No. of complaints received: Nil No. of complaints disposed of: NA
AWARDS AND RECOGNITION
During the FY under review, we have received multiple awards and recognition. Some of them are
listed below:
1. Your Company has been adjudged as “Indian MNC of the year" by the All India Management
Association (AIMA)
2. NDTV Manufacturer of the year
3. International Fire and Security Exhibition and Conference (IFSEC) Award for Excellence in
Manufacturing Security.
4. Golden Peacock Award for HR Excellence in Automobile Sector, organized by Institute of
Directors.

APPRECIATION
The Board of Directors would like to express their sincere thanks to the Shareholders & Investors of
the Company for the trust reposed on us over the past several years. Your Directors would also like
to thank the Central Government, State Governments, Financial Institutions, Banks, Customers,
Employees, Dealers, Vendors and Ancillary Undertakings for their co-operation and assistance. We
would like to reiterate our commitment to continue to build our organization into a truly world class
enterprise in all respects.

43
 CHAPTER- 3
LITERATURE REVIEW

44
1. Srinivas KT (2013) The present study is made an attempt to identify welfare facilities and
employee’s satisfaction level about welfare facilities adopted at Bosch limited, Bangalore.
To achieve the aforesaid objective data is gathered from 100 employees of the organization
with random sampling technique. It is found that most of the respondents are aware about the
legislative and non - legislative employee welfare facilities provided at the Company,
welfare facilities like medical, canteen, working environment, safety measures etc., are
provided by the company. And most of the employees are satisfied with the welfare facilities
adopted by the company towards the employee’s welfare.

2. Teti and Andriotto (2013) Corporate social responsibility studies prove that an employee is
increasingly a key stakeholder for companies. Firms are starting to think about their
workforce as a real opportunity to manage and improve their human and economic capital.
Employee welfare and benefit schemes are particularly important in this perspective and top
companies are investing significantly in this direction. On the basis of an empirical cross-
analysis, conducted on a questionnaire addressed to its own employees, by one of the world's
biggest multinational groups, and in which the level of satisfaction of benefits and welfare
schemes is investigated, significant results emerged: the utility of benefits is marginally
higher in women than in men; an evident direct linear relationship exists between job
standing and benefit satisfaction, with the exception of factory workers; seniority and age
variance of employees do not imply different marginal utility in benefits. Furthermore, the
implementation of some limited cost benefits would generate higher marginal utility in
employees than of other, more expensive and exclusive, benefits.

3. S. Prabakar (Oct 2013) Every individual has certain needs and motives which he/she wants
to fulfill. Any job which fulfills their needs and motives give him satisfaction. There are
some situational factors responsible for job satisfaction .The important causes of job
satisfaction are wage incentive systems, the work environment, length of working hours,
behavior of the supervisor, security, scope for promotion and recognition of merit. Besides
proper evaluation of work, impartial behavior and social relationship with co-workers etc.
are also contributory factors. The term welfare proposes many ideas, meanings and
connotations, such as the state of well-being, health, happiness, prosperity and the
development of human resources. As a total concept of welfare, it is a desirable state of

45
 existence involving physical, mental, moral and emotional well-being. The social concept of
welfare implies the welfare of man, his family, and his community. Welfare is called a
relative concept, for it is related to time and space. Changes in it have an impact on the
system of welfare as well. Welfare is also a positive concept. In order to establish a
minimum level of welfare, it demands certain minimum acceptable conditions of existence,
biologically and socially
4. Srinivas KT (Nov 2013) Employees welfare facilities in the organization affects on the
behavior of the employees as well as on the productivity of the organization. While getting
work done through employees the management must provide required good facilities to all
employees. The management should provide required good facilities to all employees in such
way that employees become satisfied and they work harder and more efficiently and more
effectively. Welfare is a broad concept referring to a state of living of an individual or a
group, in a desirable relationship with the total environment – ecological economic and
social. It aims at social development by such means as social legislation, social reform social
service, social work, social action. The object of economics welfare is to promote economic
production and productivity and through development by increasing equitable distribution.
Labour welfare is an area of social welfare conceptually and operationally. It covers a broad
field and connotes a state of wellbeing, happiness, satisfaction, conservation and
development of human resources.Employee welfare is an area of social welfare conceptually
and operationally. It covers a broad field and connotes a state of wellbeing, happiness,
satisfaction, conservation and development of human resources and also helps to motivation
of employee. The basic propose of employee welfare is to enrich the life of employees and to
keep them happy and conducted. Welfare measures may be both Statutory and Non statutory
laws require the employer to extend certain benefits to employees in addition to wages or
salaries.

5. Dr. Usha Tiwari (Nov 2014) Health, safety and welfare are the measures of promoting the
efficiency of employee. The various welfare measures provided by the employer will have
immediate impact on the health, physical and mental efficiency, alertness, morale and overall
efficiency of the worker and thereby contributing to the higher productivity. The basic
propose of employee welfare is to enrich the life of employees and to keep them happy and
conducted. Welfare measures may be both statutory and non-statutory, laws require the

46
 employer to extend certain benefits to employees in addition to wages or salaries. In the
present study an attempt has been made to study the employee welfare facilities and its
impact on employees efficiency at Vindha Telelinks Ltd. Rewa Madhya Pradesh. The study
show the Employees welfare facilities and its impact on employees efficiency at Vindha
Telelinks Ltd. Rewa appear good. The average mean score and percentage score of the
overall of 22 items has been computed at 3.64(66%).It can be conclude that the employee
welfare facilities provided by the company to employees are satisfied and it is commendable,
but still of scope is there for further improvement. So that efficiency, effectiveness and
productivity can be enhanced to accomplish the organizationalgoals.

6. Prof. Dr Rajeev Jain After completing this module the students will be able to:Understand
the meaning and definition of employee welfare Have a knowledge of the welfare agencies
and welfare schemes. Have a knowledge of the provisions of employee welfare as given
under factories act 1948.

7. Since its inception, Tata Steel has always viewed its people as its greatest asset. Measures
taken by the Company became a part of modern India’s laws and a part of the Conventions
of the International Labour Organisation. The Company endeavours to be an ‘Employer of
Choice’ by fostering an environment of aspirational goal setting, continuous improvement, in
addition to health and safety, and corporate responsibility.
8. Rao et al. (2015) Employees are undeniably crucial stakeholders who influence
organisational effectiveness by stabilizing the tremors caused by business environment.
Every organisation has an inexplicable role to play in providing welfare facilities to the
stakeholders not just monetary but also non-monetary, which go beyond money of which
employees are the one who make the cut if prioritized. A satisfied employee is the key
ingredient for progress of every organisation and the concept of employee welfare was and
will always a part of organisational efficiency. These facilities may either be voluntarily
provided by the progressive and enlightened employers at their will as a social responsibility
towards employee, or laws may compel them to make provision for these facilities by the
government and the trade unions. Employees have always been an integral part of an
organisation and in this study an effort is put to realize the measures implemented to seek
employee welfare in service sector by the way of making their work life contented. This

47
 paper also draws empirical evidence by studying the impact of welfare measures on the
employee's performance in both public and private organisations.

9. J.A Raja (22Jan2016) In the early stages of Industrialization, the scope of Personnel
Management was very limited. Recent developments in the field of Management increased
the scope of Personnel Management. Employee Welfare is an important fact of Industrial
Relation, giving satisfaction to the worker in a way, which even a good wage cannot. This
study was conducted by the researcher at small scale industries at Hosur. Welfare programs
are aimed at promoting the physical, psychological and general well being of the working
population. It is a corporate attitude or commitment reflected in the expressed case for
employers at all levels. Findings were from the part of canteen facilities, medical facilities
and other fringe benefits. The employee reaction is neutral towards the facilities provided by
the company. It can be concluded that the welfare measures in an organization are one of the
factors for the workers to stay within the organization and to work towards success of the
organization and this has been evident in this organization.

10. S.Divyabharathi (May 2017) Defined Employee welfare as a term which is understood to
include such services, facilities and amenities as may be established in or in the vicinity of
undertakings to enable the persons employed in them to perform their work in healthy,
congenial surrounding and to provide them with amenities conductive to good health and
high morale. Worker’s Health Services -Factory health center; dispensary, ambulance,
emergency aid, medical examination for workers; health education, health research; family
planning services. Women and Child Welfare-Antenatal and postnatal care, maternity aid,
crèche and child care; women’s general education; separate services for women wormers, tat
is lunch rooms, urinals rest rooms, women’s recreation (indoor); family planning services.
Worker’s Recreation -Indoor games; strenuous games to be avoided during intervals of work.
Employment Follow up-Progress of the operative in his/her work; his /her adjustment
problems with regard to machines and workload, supervisors and colleagues; industrial
counseling. Economic Services- Cooperatives, loans, financial grants; thrift and saving
schemes; budget knowledge, unemployment insurance, health insurance, employment
bureau, profit-sharing and bonus schemes; transport family assistance in time of need.
Labour-Management Participation-Formation and working of various committees, that is
works committee, safety committee, canteen committee; consultation in welfare area, in the
48
area of administration, in the area of public relations. This study focuses on the improvement
of the welfare schemes provided to all the employees and to improve their working
environment.

49
 CHAPTER-4
NEED, SCOPE & OBJECTIVE

50
NEED OF STUDY
Welfare programs are aimed at promoting the physical, psychological and general wellbeing of the
working population. Welfare can be observed, experienced and enjoyed but its effectiveness may be
more difficult to measure the present study is an analysis of the effectiveness of the employee
welfare programs.

OBJECTIVE OF THE STUDY

i. To Study& compare various welfare facilities provided by Tata Motors& Hero Motocorp
to their employees.

ii. To Study& compare the levels of satisfaction among the employees regarding the
welfare measures provided by both the companies.

SCOPE OF THE STUDY

The present study is restricted to Tata motors limited and hero motorcop , and data is analyzed based
on the information provided by employees of the tata motors and hero motocorp.

51
 CHAPTER-5
RESEARCH
METHODOLOGY

52
INTRODUCTION
The design of any research project requires considerable attention to the research methods
and the proposed data analysis. Within this section, we have attempted to provide some information
about how to produce a research design for a study. We offer a basic overview of the research
methods portion of a research proposal and then some data analysis templates for different types of
designs. Our goal is not to answer every question, but provide a head start.

RESEARCH DESIGN
A research design is a frame work or blue print for conducting research procedure is necessary
for obtaining information to solve the problem. Research designed to assist the decision maker in
determining, evaluating and selecting the best course of action to take in a given situation.
Descriptive studies are usually the best methods for collecting information that will demonstrate
relationships and describe the world as it exists. Descriptive studies are designed primarily to
describe what is going or what exist.
The research design that will be use is Descriptive Research.
➢ Involves gathering data that describe events and then organizes, tabulates, depicts, and
describes the data.
➢ Uses description as a tool to organize data into patterns that emerge during analysis.
➢ Often uses visual aids such as graphs and charts to aid the reader.

SOURCE OF DATA
PRIMARY DATA
The data are collected directly from employees of the tata motors and hero motocorp.
SECONDARY DATA
When data are collected and compelled from the published nature or any other's primary data is
called secondary data. we have not collected any information from any sources. So, we have not
used secondary data for our research
Research instrument
I have collected the data through QUESTIONNAIRE by personal meeting and table–calling with
employees.

Sampling area:-The sampling area to collect the data industrial area near about Bathinda

53
Sample size:-100 respondents ( 50 for each company)

Sample technique:-Convenient technique

Limitations of the study

• The responses given by respondents may not be true
• Area of study is limited
• Time of study is also limited

54
 CHAPTER-6

DATA ANALYSIS
&INTERPRETATION

55
Q1. From how many years you are working with this Organization?
a. 0-5 Years
b. 5-10 Years
c. 10 to 15 Years
d. More than 15 Years

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
0-5 Years 20 40% 25 50%
5-10 Years 20 40% 17 33.3%
10-15 Years 10 20% 8 16.7%
More than 15 Years

TATA MOTORS

56
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 40% employees working in the tata
motors from 10 years, 40% employees working in the tata motors from 0-5 years and approx. 50%
employees working in the hero motocorp from 10-15 years ,40% employees working in the tata
motors from 5-10 years.

57
Q2. How do you rate the Working Environment of the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Averagely Satisfactory
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 10 20% 17 33.3%
Satisfactory 30 60% 25 50%
Averagely Satisfactory 10 20%
Dissatisfactory 8 16.7%
Highly Dissatisfactory

TATA MOTORS

58
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees has been satisfied
and 20% is highly satisfied with the working environment in the tata motors and 50% employees has
been satisfied and 33.3% is highly satisfied with the working environment in the hero motocorp.

59
Q3. How do you rate the medical benefits provided by the Organization for the employees & their
families?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 20 40% 25 50%
Satisfactory 20 40% 25 50%
Average 10 20%
Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

60
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 40% employees has been satisfied
and 40% is highly satisfied with the medical benefits provided by the tata motors for them & their
families and 50% employees has been satisfied and 50% is highly satisfied with the medical
benefits provided by the hero motocorp for them & their families.
.

61
Q4. Does the company provide maternity leave to Female Employees?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 40 80% 50 100%
No 10 20%

TATA MOTORS

62
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 80% employees of tata motors agreed
that the company provide maternity leave to Female Employees and 100% employees of hero
motocorp agreed that the company provide maternity leave to Female Employees

63
Q5. How do you rate the working Hours of the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 17 33.3
Satisfactory 50 100% 17 33.3%
Average 16 33.3%
Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

64
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 100% employees of tata motors
satisfied with the working Hours of the Organization and 33.3% employees of hero motocorp is
highly satisfied and 33.3% is satisfied with the working Hours of the Organization.

65
Q6. How do you rate the sitting arrangement of the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 20 40% 25 50%
Satisfactory 30 60% 25 50%
Average

Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

66
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees of tata motors is
satisfied and 40% is highly satisfied with the sitting arrangement of the Organization and 50%
employees of hero motocorp is satisfied and 50% is highly satisfied with the sitting arrangement of
the Organization.

67
Q7. How do you rate the Conveyance Allowance offered by the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 20 40% 8 16.7%
Satisfactory 30 60% 42 83.3%
Average

Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

68
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees of tata motors
satisfied and 40% is highly satisfied with the Conveyance Allowance offered by the Organization
and 83.3% employees of hero motocorp is satisfied and 16.7% is highly satisfied with the
Conveyance Allowance offered by the Organization.

69
Q8. Rate the Overtime allowance offered by the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 25 50%
Satisfactory 40 80% 17 33.3%
Average 10 20% 8 16.7%
Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

70
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 80% employees of tata motors
satisfied with the Overtime allowance and 50% employees of hero motocorp is highly satisfied and
33.3% is satisfactory with the Overtime allowance.

71
Q9. How do you rate leave policy of the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 10 20% 8 16.7
Satisfactory 30 60% 42 83.3%
Average 10 20%
Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

72
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees of tata motors are
satisfied and 20% are highly satisfied with the leave policy and 83.3% employees of hero motocorp
satisfied with the leave policy and 16.7%are highly satisfied with the leave policy.

73
Q10. Do you get regular increments ?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 30 60% 42 83.3%
No 20 40% 8 16.7%

TATA MOTORS

74
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees of tata motors get the
regular increments and 83.3% employees of hero motocorp get the regular increments.

75
Q11. Does the Organization offers sufficient number of toilets ?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 50 100% 50 100%
No

TATA MOTORS

76
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 100% employees agreed that tata
motors offers sufficient number of toilets and 100% employees agreed that hero motocorp offers
sufficient number of toilets.

77
Q12. Rate the canteen services provided by the organization.
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory

Satisfactory 50 100% 42 83.3%

Average

Dissatisfactory 8 16.7%
Highly Dissatisfactory

TATA MOTORS

78
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 100% employees satisfied with the
canteen services provided by the tata motors and 83.3% employees are satisfied and 16.7% are
dissatisfied with the canteen services provided by the hero motcorp.

79
Q13. Rate the Rest room and lunch room facility to the employees?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 10 20% 8 16.7%
Satisfactory 30 60% 34 66.7%
Average 8 16.7%
Dissatisfactory 10 20%
Highly Dissatisfactory

TATA MOTORS

80
 HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees satisfied and 20%
are dissatisfied with Rest room and lunch room facility provided by the tata motors and 66.7%
employees are satisfied and 16.7% are highly satisfied with Rest room and lunch room facility
provided by the hero motocorp.

81
Q14. Does the organization provide creche facility?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 40 80% 42 83.3%
No 10 20% 8 16.7%

TATA MOTORS

82
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 80% employees satisfied with the
creche facility provided by tata motors and 83.3% employees satisfied with the creche facility
provided by hero motocorp.

83
Q15. Does the company takes care of the employees working in night shift ?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 40 80% 33 66.7%
No 10 20% 17 33.3%

TATA MOTORS

84
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 80% employees satisfied with the
tata motors takes care working in night shift and 66.7% employees satisfied with the hero motoorp
takes care working in night shift.

85
Q16. Does working in the organization give you a feeling of security?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 30 60% 50 100%
No 20 40%

TATA MOTORS

86
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees satisfied that they
having a feel of security while doing job in the tata motors and 100% employees satisfied that they
having a feel of security while doing job in the hero motors.

87
Q17. Does the company takes safety measures for employee safety ?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 50 100% 50 100%
No

TATA MOTORS

88
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 100% employees satisfied with the
tata motors safety measures for them and 100% employees satisfied with hero motocorp safety
measures for them.

89
Q18. Do you think employee welfare activities of the Organization give a feeling of safety and
improves your performance?
a. Yes
b. No

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Yes 50 100% 25 50%
No 25 50%

TATA MOTORS

90
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 100% employees satisfied with the
employee welfare activities of tata motors and 50% employees satisfied with the employee welfare
activities of hero motocorp.

91
Q19. Rate the overall satisfaction with employee welfare activities of the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Options Respondents of TATA Respondents of Hero

Motors motocorp
No of Percentage No of Percentage
respondents respondents
Highly Satisfactory 20 40% 25 50%
Satisfactory 30 60% 25 50%
Average

Dissatisfactory

Highly Dissatisfactory

TATA MOTORS

92
HERO MOTOCORP

Interpretation: From the above pie chart we come to know that 60% employees are satisfied and 40%
are highly satisfied with the employee welfare activities of tata motors and 50 % employees are satisfied and
50% employees are highly satisfied with the employee welfare activities of hero motocorp.

93
 CHAPTER-7

FINDINGS, SUGGESTIONS AND

CONCLUSION

94
FINDINGS

• According to me, 100%Employees of tata motors satisfied with the working Hours of the
Organization and employees of hero motocorp 33.3% is highly satisfied with the working Hours of
the Organization.

• According to survey, 40% employees are working in the tata motors from 10 years and
approx. 50% employees working in the hero motocorp from 15 years.
• According to survey, 60% employees has been satisfied with the working environment in
the tata motors and 50% employees has been satisfied with the working environment in
the hero motocorp.
• According to survey, 40% employees has been satisfied, the medical benefits provided by
the tata motors for them & their families and 50% employees has been satisfied, the
medical benefits provided by the hero motocorp for them & their families.

• According to survey, 80% employees of tata motors agreed that the company provide
maternity leave to Female Employees and 100% employees of hero motocorp agreed that
the company provide maternity leave to Female Employees.

• According to survey, 60% employees of tata motors satisfied with the sitting arrangement
of the Organization and 50% employees of hero motocorp satisfied with the sitting
arrangement of the Organization.

• According to survey, 60% employees satisfied with the employee welfare activities of
tata motors and 50% employees satisfied with the employee welfare activities of hero
motocorp.
• According to survey, 100% employees satisfied with the employee welfare activities of
tata motors and 50% employees satisfied with the employee welfare activities of hero
motocorp.
• According to survey, 100% employees satisfied with the canteen services provided by the
tata motors and 83.3% employees satisfied with the canteen services provided by the hero
motcorp.

95
 SUGGESTIONS

• Both companies have to make proper sitting arrangement for the employees.
• Both companies need to be focus on welfare schemes(Canteen facility ,Rest Rooms)
which are provided to the employees.
• Tata motors should provide a job security to their employees.
• Hero motocorp should take care of the employees while working in night shift example
cab facility, Refreshment.
• Tata motors should have to make Rest room and lunch room facility to the employees.
• Tata motors should have to make proper leave policy for the employees.
• Hero motocorp have to made proper policy regarding Overtime allowance.
• Hero motocorp have to made proper policy regarding working hours of the employees.

CONLCUSION

Employee welfare measures of tata motors and hero motocorp are advocated to maintain a
strengthen manpower both physically and mentally. The study of various welfare measures
brings in to light that the present measures taken by the company. The improvement in working
condition are suggested to improve effectiveness of the employee welfares measures like canteen
facility, drinking water, spittoons, rest rooms and housing facilities which in turn would build the
morale and increase the productivity of the employees.

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 CHAPTER-8

BIBLOGRAPHY

97
1.https://www.researchgate.net/publication/291349557_Management_A_Study_on_Employee_Welfare_M
easures_with_Reference_to_Small_Scale_Industries_at_Hosur_Tamilnadu

2. http://www.abhinavjournal.com/journal/index.php/ISSN-2320-0073/article/viewFile/451/pdf_119

3. http://www.iosrjournals.org/iosr-jbm/papers/Vol19-issue5/Version-6/H1905064548.pdf

4. http://apjor.com/files/1383064178.pdf

5. http://www.isca.in/IJMS/Archive/v2/i12/2.ISCA-RJMS-2013-098.pdf

6. http://www.isca.in/IJMS/Archive/v2/i12/2.ISCA-RJMS-2013-098.pdf

7. http://www.tandfonline.com/doi/abs/10.1080/09585192.2013.763840?journalCode=rijh20

8.http://epgp.inflibnet.ac.in/epgpdata/uploads/epgp_content/S000023MA/P001194/M022410/ET/1504594
617quadrant1-module33.pdf

9. http://www.tatasteel.com/investors/annual-report-2011-12/html/templates/pdf/principles/principle3.pdf

10.https://www.researchgate.net/publication/283481802_EMPLOYEE_WELFARE_IS_THE_KEY_AN_INSIGH
T

98
APPENDIX

99
QUESTIONARRIER

Name…………………….

Age…………….

Occupation………………..

Q1. From how many years you are working with this Organization?
a. 0-5 Years
b. 5-10 Years
c. 10 to 15 Years
d. More than 15 Years

Q2. How do you rate the Working Environment of the Organization?

a. Highly Satisfactory
b. Satisfactory
c. Averagely Satisfactory
d. Dissatisfactory
e. Highly Dissatisfactory

Q3. How do you rate the medical benefits provided by the Organization for the employees &
their families?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q4. Does the company provide maternity leave to Female Employees?

a. Yes
b. No

Q5. How do you rate the working Hours of the Organization?

a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q6. How do you rate the sitting arrangement of the Organization?

a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

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Q7. How do you rate the Conveyance Allowance offered by the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q8. Rate the Overtime allowance offered by the Organization?

a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q9. How do you rate leave policy of the Organization?

a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q10. Do you get regular increments ?

a. Yes
b. No

Q11. Does the Organization offers sufficient number of toilets ?

a. Yes
b. No

Q12. Rate the canteen services provided by the organization.

a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q13. Rate the Rest room and lunch room facility to the employees?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

Q14. Does the organization provide creche facility?

a. Yes
b. No

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Q15. Does the company takes care of the employees working in night shift ?
a. Yes
b. No

Q16. Does working in the organization give you a feeling of security?

a. Yes
b. No

Q17. Does the company takes safety measures for employee safety ?
a. Yes
b. No

Q18. Do you think employee welfare activities of the Organization give a feeling of safety and
improves your performance?
a. Yes
b. No

Q19. Rate the overall satisfaction with employee welfare activities of the Organization?
a. Highly Satisfactory
b. Satisfactory
c. Average
d. Dissatisfactory
e. Highly Dissatisfactory

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