A STUDY ON

HUMAN RESOURCE DEVELOPMENT

IN
RINL STEEL PLANT
VISAKHAPATNAM

A Project report submitted to the ALWAR SCHOOL OF BUSINESS AND COMPUTERS

(GAJUWAKA) Visakhapatnam.
In the partial fulfilment for the Award of Degree of
POST GRADUATE DIPLOMA MANAGEMENT

BY

M.SURESH KUMAR

UNDER THE ESTEEMED GUIDANCE OF

DR.B.JAGADEV,Ph.D.,MANAGER(HRD)

RINL, VISAKHAPATNAM STEEL PLANT

VISAKHAPATNAM

1
 CERTIFICATE

This is to certify that the project work entitled, “A study on the HUMAN
RESOURCE DEVELOPMENT IN RINL STEEL PLANT,
VISAKHAPATNAM” is a bona-fide work done and submitted by M.SURESH
KUMAR in partial fulfillment for the award of the degree MASTERS OF
BUISNESS ADMINISTRATION, from “ALWAR SCHOOL OF BUSINESS
AND COMPUTERS”,VISAKHAPATNAM.

Date: Signature of
Place: Visakhapatnam. Dr.B.JAGADEV

2
 DECLARATION

I hereby declare that the project report on, “HUMAN RESOURCE

DEVELOPMENT in RINL”, is an original and authenticated work done by
me. I further declare that it has not been submitted elsewhere by any other
person in any other university for the award of any degree or diploma.

M.Suresh kumar
Alwar school of business and computes
Visakhapatnam

3
ACKNOWLEGEMENT

With great pleasure, I express my deepest and heart full gratitude “ALWAR
SCHOOL OF BUSINESS AND COMPUTERS for providing me an
opportunity to take of this project. This project is a result of the hard work &
sincere effort put by many hands.

My special thanks of DR.O.R.M.Rao, AGM, (MD), HRD Group of

“VISAKHAPATNAM STEEL PLANT”, for his valuable suggestions and co-
operation throughout the project work.

I also wish to express my sincere thanks to all the staff members of VSP who
have directly or indirectly lend me a helping hand in completing my project
work.

I also express special thanks to Dr.B.JAGADEV, Ph.D. Mgr (HRD)

,Rashtriya ispat nigam limited (RINL) for providing me guidance while
completing the project.

Last but not least, my heartfelt gratitude to my family and friends for their
cooperation.

Signature

CONTENTS

4
 PAGE NO
CHAPTER 1
 Introduction 7-10
 Objectives 11
 Need for the Project 12
 Methodology 13
 Limitations 13

CHAPTER 2 INDUSTRY PROFILE

 Steel Industry Profile 15
 India’s Steel Scenario 16-18
 Problems of Steel Industry 19-20

CHAPTER 3 COMPANY PROFILE

 Background 22
 Vision 2025 23
 Infrastructure 24-31
 HR Policy 32-33

CHAPTER 4
 Theoretical Framework 35-49

CHAPTER 5
 HRD AT RINL VSP 51-69

CHAPTER 6
 Data Analysis and Interpretation 71-84

CHAPTER 7
 Findings 86
 Suggestions 86
 Conclusion 86

BIBLIOGRAPHY 87-88

5
 CHAPTER 1

INTRODUCTION
OBJECTIVES OF THE PROJECT
NEED FOR THE PROJECT
METHODOLOGY
LIMITATIONS

6
INTRODUCTION OF HUMAN RESOURCE DEVELOPMENT

Human resource is an indispensable and a critical asset to any

organisation. Human resource is globalizing because universally organisations
for competitive reasons learn in order to create on advantage and keep ahead of
the game. The need is to build people centred strategies to be the winners.
Dynamic people can build dynamic organisations. Effective employees can
contribute to the effectiveness of the organisation; motivated and competent
people can make things happen and enable an organisation institution to achieve
its goals. Therefore organisation should continuously ensure that the dynamism,
competency, motivation and effectiveness of the employees remain at high
levels.

The responsibility of human resource department is to provide the right

resources and an environment that supports the growth and development needs
of the individual employee. Thus Human Resource Development is a
continuous process to ensure the development of employee dynamism,
competencies, motivation and effectiveness is a systematic planned way.
(Rao,1990) Saiyadain pointed out that “HRD as a function consists of various
activities related to training and development and performance appraisal
feedback and interviews and training play a significant role in achieving the
individual’s growth and development.

In the respect HRD is more a proactive and supportive function because

the organisation has to take lead in helping the people to grow ad realize their
potential.” (Saiyadain 2009) HRD is a newly emerging and modern field. It
aims to develop the competencies of employees and a culture in an
organisational growth. Like the other organisation there is a necessity for
systematic development of human resources in university libraries (Bhanabhai
and Patel, 2013).

7
DEFINITION OF HRD

HRD has numerous definitions. It would be good to reflect on alternate views of

HRD so that practitioners are exposed to a range of a range of thinking in the
profession.

1. Swanson (1987) provides a popular definition:

“HRD is a process of improving an organization performance through
the capabilities of its personnel. HRD includes activities dealing with work
design, aptitude, expertise and motivation”. (Swanson and Holton, 2008)

2. Len Nadler defines HRD as “an organized learning experience within a given
period of time with an objective of producing the possibility of performance
change.” (Gupta and Gupta, 2008)

3. T.V. Rao the best known Indian HRD expert who is regarded as the Father of
Indian HRD, defined “HRD as a process in which the employees of an
organisation are continuously helped in a planned way to:
a) Acquire or sharpen their capabilities required to perform various
obligations, tasks and functions associated with and related to their present or
future expected roles.
b) Develop their capabilities as individuals so that they may be able to
discover their potentialities and exploit them to the full for their own and / or
organizational development purposes and
c) To develop an organizational culture where superior subordinate
relationships, teamwork and collaboration among different sub-units are strong
and contribute to the organizational wealth , dynamism and pride of the
employees.”

4. T.V. Rao views that the main objective of HRD is to facilitate the growth and
development of a manager in the organisation in a planned way.

8
5. Further, T.V. Rao defined “Human Resource Development as essentially
consisting of these three C’s: Competencies, Commitment and Culture. All three
are needed to make an organisation function well.
a) Without Competencies many tasks of the organizations may not be
completed cost effectively or with maximum efficiency.
b) Without Commitment, they may not be done at all or are done at such a
slow pace that they lose relevance.
c) Without an appropriate Culture, organizations cannot last long, it provides
the sustaining force and spirit for organizations to live. It provides the oxygen
needed for them to survive. Its utility comes to the force specially when
organizations are in trouble.”

6. “ASTD”: Definition – “HRD is the integrated use of

a) Training and Development
b) Organizational Development
c) Career development to improve individual, group and organizational
effectiveness.”

7. Khan M.N remarked “HRD is the process of increasing knowledge, skills,

capabilities and positive work attitudes and values of all people working at all
levels in a business undertaking.”

8. Professor Sanker. C.S. observed, “HRD is a development oriented planning

effort in the personnel areas which is basically concerned with the development
of human resources infor improving the existing capabilities for achievement
for corporate and individual goals.”

9. Harbison and Myers “HRD is the process of increasing the knowledge,

capabilities of all the people and skills in a society. From the economic point of
view the term could be described as the accumulation of human capital and its
effectiveness investment in the development of an economy.
In political terms, HRD prepares people for adult participation in the political
process, particularly as citizens in a democracy. From the social and cultural

9
view, the development of human resource helps people lead fuller and richer
lives as well as to be lessbound to tradition. In the brief, the processes of HRD
unlock the door to modernization.

OBJECTIVES OF THE PROJECT

Work Opportunity: HRD provides an opportunity and a systematic framework

for the development resource in the organisation for full expression of their
talents.

10
Development of Traits: HRD is associated with development of total
personality so that these can show and use their talent for the benefit of the
organisation.

Ability Development: HRD makes capable employees. Thus they can develop
their capability by which they can do their present job easily.

Creative Motivation: HRD manager motivates employees and improve their of

performance.

Good Relation: HRD manager stresses the need of coordination which is used
for the benefits of him and for the benefits of those who come in his/their touch.

Develop team spirit: HRD manager develops the spirit of teamwork; teamwork
for it is used for the effective cooperation and coordination of each employee
which ultimately checks industrial unrest.

Organisational Growth: HRD manager is responsible for developing health,

culture and effective work plan which always result in more profitability.

Human Resource Information: HRD manager in general keeps all records to

employee working in his organization; these can be used at any time when these
are needed.

NEED OF THE PROJECT:

Needs assessment is a systematic exploration of the way things are and the way
they should be. These “things” are usually associated with the organization or
individual performance.
Legislation/Policy changes: This puts new demands on the human resource in
terms of skill/competencies.

11
Lack of basic skills: An assessment of the skill level of staff vis-a-visthe job
requirements may be evidence of a need.
Poor performance: Appraisal may reveal gaps in the performance of an
individual or organization.

a) New technology: The emergency of new technology may render the skills of
current staff redundant and hence a human development need.

b) Customer request: The enlightened citizenry is putting demands on the

public servants who may be ill-equipped to provide the demanded service.

c) New products/services: The emergence of new products/services requires

that the human resource is adequately prepared to cope.

d) Higher performance standards: High performance standards have emerged

due to new technology, globalization and demanding citizenry.

e) New jobs: This may be due to promotion, recruitment or the creation of new
structures that lead to the emergence of new jobs.

f) Career progression requirements: Where there is a defined a career growth

path that calls for the acquisition of competences as one grows in a career.

METHODOLOGY:

Methodology is a systematic procedure of collecting information in order to

analyse and verify a phenomenon. The collection of information is done through
two principal sources.
1. Primary Data
2. Secondary Data
PRIMARY DATA:
12
 It is the information collected directly from financial department for
further studies, it was mainly through interviews with concerned officers and
staff, either individually or collectively, sum of the information has been
verified or supplemented with personal observation.
The data collection includes:
Conducting group seminars and with the concerned managers and
officers of finance department of V.S.P.
SECONDARY DATA:
This is taken from the annual reports, websites, company journals,
magazines and other sources of information of steel plant.

LIMITATIONS:
Though the project is completed successfully a few limitations may be there
1. The research was carried out by asking the respondents to fill the
questionnaire. There may be bias in their answer which may lead to inaccuracy
of results.
2. Few of the employees were not fully cooperative.
3. The sample size taken may actually be too small to represent the whole
population.
4. The survey was limited to few departments in the organization.

CHAPTER - 2

13
 INDUSTRY PROFILE

 STEEL INDUSTRY PROFILE

 INDIA’S STEEL SCENARIO
 PROBLEMS OF STEEL INDUSTRY
 GROWTH OF STEEL INDUSTRY

INTRODUCTION TO STEEL INDUSTRY IN INDIA:

The iron and steel industry is one of the most important industries in
India. During 2014 through 2016, India was the third largest producer of raw
steel and the largest producer of sponge iron in the world. The industry
produced 91.46 million tons of total finished steel and 9.7 million tons of raw
iron. Most iron and steel in India is produced from iron ore. The Indian Ministry
of Steel is concerned with: the coordination and planning of the growth and
development of the iron and steel industry in the country, both in the public and
private sectors; formulation of policies with respect to production, pricing,
distribution, import and export of iron and steel, Ferro alloys and refractories;
and the development of input industries relating to iron
ore, manganese ore, chrome ore and refractories etc., required mainly by the

14
steel industry. Most of the public sector undertakings market their steel through
the Steel Authority of India (SAIL).
The Indian steel industry was de-licensed and de-controlled in 1991 &
1992 respectively. Steel Authority of India Limited (SAIL) is an Indian state-
owned steel making company based in New Delhi, India. It is a public sector
undertaking, owned and operated by the Government of India with an annual
turnover of INR 44,452 Crore (US$6.83 Billion) for fiscal year 2016-17.
Incorporated on 24 January 1973, SAIL has 72,578 employees (as of 01-Mar-
2019). With an annual production of 14.38 million metric tons, SAIL is the
largest steel producer in India and one of the largest steel producers in the
world. The Hot Metal production capacity of the company will further increase
and is expected to reach a level of 50 million tonnes per annum by 2025. Sri
Anil Kumar Chaudhary is the current Chairman of SAIL. SAIL operates and
owns 5 integrated steel plants at Bhilai, Rourkela, and
Durgapur, Bokaro and Burnpur (Asansol) and 3 special steel plants
at Salem, Durgapur and Bhadravathi. It also owns a Ferro Alloy plant
at Chandrapur. As a part of its global ambition, the company is undergoing a
massive expansion and modernization program involving upgrading and
building new facilities with emphasis on state of the art green technology.
According to a recent survey, SAIL is one of India's fastest growing Public
Sector Units. Besides, it has R&D Centre for Iron & Steel (RDCIS), Centre for
Engineering in Ranchi, Jharkand.

INDIA’S STEEL SCENARIO:

India was the world’s second-largest steel producer with production standing at
106.5 MT in 2018. The growth in the Indian steel sector has been driven by
domestic availability of raw materials such as iron ore and cost-effective labor.
Consequently, the steel sector has been a major contributor to India’s
manufacturing output. The Indian steel industry is very modern with state-of-
the-art steel mills. It has always strived for continuous modernization and up-
gradation of older plants and higher energy efficiency levels. Indian steel
industries are classified into three categories such as major producers, main
producers and secondary producers.

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MARKET SIZE:

India’s finished steel consumption grew at a CAGR of 5.69 per cent during
FY08-FY18 to reach 90.68 MT. India’s crude steel and finished steel production
increased to 103.13 MT and 104.98 MT in 2017-18, respectively. In 2017-18,
the country’s finished steel exports increased 17 per cent year-on-year to 9.62
million tonnes (MT), as compared to 8.24 MT in 2016-17. Exports and imports
of finished steel stood at 5.77 MT and 7.13 MT, during April 2018-February
2019 (P).

INVESTMENTS:

Steel industry and its associated mining and metallurgy sectors have seen a
number of major investments and developments in the recent past.

According to the data released by Department for Promotion of Industry and

Internal Trade (DPIIT), the Indian metallurgical industries attracted Foreign
Direct Investments (FDI) to the tune of US$ 11.18 billion in the period April
2000–December 2018.

Some of the major investments in the Indian steel industry are as follows:

As of December 2018, Vedanta Group is going to set up a one million tons

capacity steel plant in Jharkhand with an investment of Rs 22,000 crore (US$
3.13 billion). JSW Steel will be looking to further enhance the capacity of its
Vijayanagar plant from 13 MTPA to 18 MTPA. In June 2018, the company had
announced plans to expand the plant’s production capacity to 13 MTPA by 2020
with an investment of Rs 7,500 crore (US$ 1.12 billion).

Vedanta Star Ltd has outbid other companies to acquire Electro steel Steels for
US$ 825.45 million. Tata Steel won the bid to acquire Bhushan Steel by
offering a consideration of US$ 5,461.60 million. JSW Steel has planned a US$
4.14 billion capital expenditure program to increase its overall steel output
capacity from 18 million tonnes to 23 million tonnes by 2020.

16
In March 2019, Arcelor Mittal was declared as the winning bidder to acquire
Essar Steel for a consideration of Rs 42,000 crore (US$ 5.82billion).Tata Steel
has decided to increase the capacity of its Kalinganagar integrated steel plant
from 3 million tonnes to 8 million tonnes at an investment of US$ 3.64 billion.

Government Initiatives

Some of the other recent government initiatives in this sector are as follows:

An export duty of 30 per cent has been levied on iron ore^ (lumps and fines) to
ensure supply to domestic steel industry.

Government of India’s focus on infrastructure and restarting road projects is

aiding the boost in demand for steel. Also, further likely acceleration in rural
economy and infrastructure is expected to lead to growth in demand for steel.

The Union Cabinet, Government of India has approved the National Steel
Policy (NSP) 2017, as it seeks to create a globally competitive steel industry in
India. NSP 2017 envisages 300 million tonnes (MT) steel-making capacity and
160 kgs per capita steel consumption by 2030-31.

The Ministry of Steel is facilitating setting up of an industry driven Steel

Research and Technology Mission of India (SRTMI) in association with the
public and private sector steel companies to spearhead research and
development activities in the iron and steel industry at an initial corpus of Rs
200 crore (US$ 30 million).

The Government of India raised import duty on most steel items twice, each
time by 2.5 per cent and imposed measures including anti-dumping and
safeguard duties on iron and steel items.

Road ahead

The National Steel Policy, 2017, has envisaged 300 million tonnes of
production capacity by 2030-31. In 2018, steel consumption of the country is
expected to grow 5.7 per cent year-on-year to 92.1 MT*. Further, India is
expected to surpass USA to become the world’s second largest steel consumer
in 2019*.

17
Huge scope for growth is offered by India’s comparatively low per capita steel
consumption and the expected rise in consumption due to increased
infrastructure construction and the thriving automobile and railways sectors.

Exchange Rate Used: INR 1 = US$ 0.0139 as of Q3 FY19.

PROBLEMS OF STEEL INDUSTRY:

Some of the major problems faced by Indian iron and steel industry are as
follows:

1. Capital:
Iron and steel industry requires large capital investment which a
developing country like India cannot afford. Many of the public sector
integrated steel plants have been established with the help of foreign aid.

2. Lack of Technology:
Throughout the 1960s and up to the oil crisis in mid-1970s, Indian steel
industry was characterized by a high degree of technological efficiency.
This technology was mainly from abroad. But during the following two
decades after the oil crisis, steep hike in energy costs and escalation of
costs of other inputs, reduced the margin of profit of the steel plants. This
resulted in lower levels of investment in technological developments.
Consequently, the industry lost its technology edge and is now way
behind the advanced countries in this regard. Material value productivity
in India is still very low.

18
3. Advertisements:

In Japan and Korea, less than 1.1 tonnes (and in several developed
countries 1.05 tonnes) of crude steel is required to produce a ton of
saleable steel. In India, the average is still high at 1.2 tonnes.
Improvement in the yield at each stage of production, particularly for
value added products will be more important in the coming years.

4. Low Productivity:
The per capita labor productivity in India is at 90-100 tonnes which is one
of the lowest in the world. The labor productivity in Japan, Korea and
some other major steel producing countries is about 600-700 tonnes per
man per year. At Gallatin Steel a mini mill in the U.S. there are less than
300 employees to produce 1.2 million tonnes of hot rolled coils. A
comparable facility in India employs 5,000 workers. Therefore, there is
an urgent need to increase the productivity which requires retraining and
redevelopment of the labor force.

5. Inefficiency of public sector units:

Most of the public sector units are plagued by inefficiency caused by
heavy investment on social overheads, poor labor relations, inefficient
management, under utilization of capacity, etc. This hinders proper
functioning of the steel plants and results in heavy losses.

6. Low potential utilization:

The potential utilization in iron and steel is very low. Rarely the potential
utilization exceeds 80 per cent. For example, Durgapur steel plant utilizes
only 50 per cent of its potential. This is caused by several factors, like
strikes, lockouts, scarcity of raw materials, energy crisis, inefficient
administration, etc.

7. Heavy demand:
Even at low per capita consumption rate, demand for iron and steel is
increasing with each passing day and large quantities of iron and steel are
to be imported for meeting the demands. Production has to be increased
to save precious foreign exchange.

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8. Shortage of metallurgical coal:
Although India has huge deposits of high grade iron ore, her coal
reserves, especially high grade cooking coal for smelting iron are limited.
Many steel plants are forced to import metallurgical coal. For example,
steel plant at Vishakhapatnam has to import coal from Australia. Serious
thought is now being given to replace imported coal by natural gas from
Krishna-Godavari basin.

9. Inferior quality of products:

Lack of modern technological and capital inputs and weak infrastructural
facilities leads to a process of steel making which is more time
consuming, expensive and yields inferior variety of goods. Such a
situation forces us to import better quality of steel from abroad. Thus
there is urgent need to improve the situation and take the country out of
desperate position.

Thus there is urgent need to improve the situation and take the country
out of desperate position.

CHAPTER - 3
COMPANY PROFILE

20
 BACKGROUND
 VISION 2025
 INFRASTRUCTURE
 HR POLICY

PROFILE OF VISAKHAPATNAM STEEL PLANT:

Visakhapatnam Steel Plant, popularly known as Vizag Steel, is an

integrated steel producerin Visakhapatnam, India built using German and Soviet
technology. The company has grown from a loss-making industry to 3-billion-
dollar Turnover Company registering a growth of 203.6% in just four years.
Vizag Steel Plant was conferred Navratna status on 17 November
2010. Founded in 1971, the company focuses on producing value-added steel,
with 214,000 tonnes produced in August 2010, out of 252,000 tonnes total of
salable steel produced.

Rashtriya Ispath Nigam Limited, the corporate entity of Visakhapatnam

Steel Plant is a Navaratna PSE under the Ministry of Steel. Visakhapatnam Steel
Plant fondly called Vizag steel. It is the first shore based Integrated Steel Plant
in the country and is known for its quality products delighting the customers. It

21
is a market leader in long products and it caters to the needs of diverse
Industrial sectors. It is the first Steel plant to be certified ISO 9001:2008
(presently2015), ISO 14001:2004 (presently2015), OHSAS 18001:2007 and
ISO/IEC 27001:2013 Standards. It is also the first PSE to be certified ISO
50001:2011 - Energy Management Systems and has acquired CMMI Level 3
Certification for s/w development.

VISION 2025:

To be the most efficient steel maker having the largest single location shore
based steel plant in the country.

Core Values

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 I Initiative Have a self-propelled & proactive approach.

D Decisiveness Decide with speed & clarity.

E Ethics Be consistent with professional & moral values.

A Accountability Take responsibility for actions.

L Leadership Lead by example.

S Demonstrate swiftness and efficiency in everything

Speed
we do.

INFRASTRUCTURE:

COKE OVEN AND CHEMICAL PLANT:

Coal is converted into coke by heating the prepared coal blend charge in the
coke ovens in the absence of air at a temperature of 1000oC-1050oC for a
period of 16/19 hours. The volatile matter of coal liberated during carbonization
is collected in gas collecting mains in the form of raw coke oven gas passing
through stand pipes and direct contact cooling with ammonia liquor spray. The
gas cooled from 800oC to 80oC is drawn to Coal Chemical Plant by Exhauster.
The residual coke is pushed out of the oven by pusher car through a guide into
coke bucket. The red-hot coke is taken to coke dry cooling plant for cooling.

The main by-product in the process of coke making is crude coke oven gas and
this has a lot of valuable chemicals. Coal Chemical Plant recovers Ammonia
(NH3), Tar and Benzol from CO-Gas. The primary by-products from Crude CO
Gas are Ammonium Sulphate (NH4)2SO4, Crude Tar, Crude Benzol and cleaned

23
coke oven gas. The cooled coke from CDCP (Coke Dry Cooling Plant) is
separated into 3 fractions, BF Coke i.e. +25-70 mm, which is sent to Blast
Furnaces, Coke Breeze i.e. +0-15 mm, which is sent to Sinter making and nut
coke i.e., +15-25 mm, which is also used in the Blast Furnaces.

Facilities:

 There are 4 batteries, each having 67 ovens.

 The volumetric capacity of each oven is 41.6 m3.
 Dry Coal charge /Oven are 32 tons.

Salient features:

 Largest and technologically unique Coke Oven Batteries in the country at

the time of commissioning.
 7 meter tall coke ovens batteries.
 Selective crushing of coal to improve the coke quality.
 100% Dry Quenching of coke using Nitrogen gas.
 Power generation, from the waste heat recovered, at BPTS (Back
Pressure Turbine Station).

CAPACITY:

 Production capacity (for 4 Batteries) – 2.475 Mt of BF coke per annum.

Date of installation:

 Battery No. 1 - 1st Pushing - 06.09.1989.

 Battery No. 2 - 1st Pushing - 31.10.1991.
 Battery No. 3 - 1st Pushing - 30.07.1992.
 Battery No. 4 - 1st Pushing - 12.04.2009

SINTER PLANT:

Sintering is an agglomeration process of fine mineral particles into a porous

mass by incipient fusion caused by heat produced by combustion within the
mass itself. Iron ore fines, coke breeze, limestone and dolomite along with
recycled metallurgical wastes are converted into agglomerated mass at the
Sinter Plant, which forms 70-80% of iron bearing charge in the Blast Furnace.

24
The vertical speed of sintering depends on the suction that is created under the
grate. At VSP, two exhausters are provided for each machine to create a suction
of 1500-1600 mm water column under the grate.

Facilities:

 Sinter machine-1 with 378 M2 grate area (after Modernization)

 Sinter machine-2 with 312 M2 grate area.
 Sinter Machine-3 with 408 M2 grate area.

Salient Features:

 Base mix (homogeneous mixture of all raw materials) blending yard with
six beds each of 1, 10,000 tons storage capacity.

M/C-1&2

 Sinter Machine-1 (after modernization) is provided with Chamber type

Ignition Furnace with roof mounted energy efficient burners. Machine-2
is provided with an ignition furnace of horizontal burners.
 Sinter Bed Height 650 mm for M/C-1 (after Modernization) & 500 mm
for M/C-2.
 Straight Line Sinter Cooler.
 Sinter Heat Recovery Power Plant (SHRPP) with a capacity of 20.6 MW
electrical power generation by utilizing waste heat recovered from Sinter
Coolers of Machine 1 & 2

M/C-3

 Bed Height 700 mm.

 Chamber type Ignition Furnace with roof mounted energy efficient
burners.
 27 m long extended hood with hot air supply through 4 feed points.
 Circular Sinter cooler with waste heat-recovery system.
 Lime addition at Mixing and Nodulizing Section of Sinter Machine
building.

Production Capacity:

25
  Sinter Machine - 1:3.640 MT of Gross Sinter per annum (after
Modernization).
 Sinter Machine – 2: 2.628 MT of Gross Sinter per annum.
 Sinter Machine – 3: 3.611 MT of Gross Sinter per annum.

Commissioning Dates

● Base mix preparation from RMB (Raw Materials Bin)- 03.11.1989

● Machine - 1 commissioned (3.0 Mt stage) - 14.11.1989

● Machine - 1 Hot trials for commissioning (after modernization)-08.08.2017

● Machine - 2 commissioned- 27.12.1991

● Machine- 3 Integrated trial run for commission- 04.07.2013.

BLAST FURNACE:

Iron is produced in the Blast Furnace by smelting iron bearing materials with
the help of coke and air. The solid charge materials like sinter, sized iron ore,
coke etc. are charged in the vertical shaft of the Blast Furnace from top and hot
air blast is blown through tuyeres located at the bottom.

The oxygen present in hot air combines with the carbon of coke and generates
heat and carbon monoxide (reducing agent). The reducing gases, while
ascending upwards comes into contact with the descending charge materials.
Eventually the charge gets reduced and hot metal, slag and BF gas are produced.
Hot metal and slag is tapped from tap hole. The Blast Furnace gas which comes
out from top of the furnace is cleaned and used as fuel in the plant.

FACILITIES:

 Three Blast Furnaces of 3800 m3 useful volume each.

Salient Features:BF-1 & 2

 New generation Paul-Wurth "Bell-Less" Top with conveyor charging

 BF Cooling elements (Cast Iron Staves & Copper Staves)
26
  High heat zone copper staves.
 Double compensator tuyeres, with PCI injection facility and extended
tuyere platform.
 Circular type flat cast house with full cast- able runner system
 Hydraulic Drilling Machine, Mud Gun, Manipulators.
 Silencer to bin pressure relief.
 New scrubber with annular gap element for better gas cleaning.
 HMI based control room.
 Equipped with above burden temperature Probes.
 Automation with PLC in BF-1 and PCS in BF-2.
 Pulverized Coal Injection system
 BF-3
 New Generation Parallel Hopper Bell less Top
 BF Cooling elements (Cast Iron Staves & Copper Staves)
 Flat Cast house Equipment (by TMT).
 INBA Slag Granulation system
 Annular Gap Scrubber
 Pulverized Coal Injection system
 Hot Stoves (internal combustion chamber)
 Automation with DCS.

Capacity

 Production Capacity - 7.5 MT per Annum for shop

2.5 MT per Annum for BF-1, 2 & 3 each.

STEEL MELTING SHOP AND CONTINUOUS CASTING:

Steel is made in steel melting shop in the refractory lined vessels called LD
Converters by blowing oxygen through the hot metal bath. While iron making is
a reduction process, steel making is an oxidation process. The oxygen reacts
with impurities like carbon, silicon, phosphorous, sulphur etc. present in hot
metal to produce steel. No external fuel is required as the silicon & carbon
releases huge amount of heat energy. Also the carbon reaction releases large
quantities of gas rich in carbon monoxide along with huge amount of dust. The
gases released from the converter are collected, cooled, cleaned and recovered
for use as fuel in the steel plant. The entire molten steel at VSP is continuously

27
cast at the radial type continuous casting machines resulting in significant
energy conservation and better quality steel. 100% Continuous casting on such a
large scale has been conceived for the first time in India.

Facilities:

SMS-1:

 Three LD converters (modernized with increase in volume to 150 cum.

each along with DOG House facility).
 6 nos. of 4 - Strand Continuous Bloom Casting machines.

SMS-2:

 Three LD Converters of 150 cum. volume each.

 1 no. of 6- Strand Continuous Billet- cum- Round caster.
 2 nos. of 6- Strand Continuous Billet casters.
 1 no. of 5-strand Continuous Billet-cum-Round caster.
 Hot Metal Desulphurization Plant (HMDP).
 DOG House.

Salient Features:

 100% Continuous casting of steel.

 Converters gas cooling, cleaning and recovery systems.
 Computerization of the converter process.

Capacity:

Production Capacity

 SMS-1: Original Installed Capacity is 3.0 MT of Liquid Steel per annum

& 2.82 MT of CC Blooms per annum. After Modernization of all the 3
converters, capacity is enhanced to 3.5 MT of Liquid Steel & 3.29 MT of
CC Blooms per annum.
 SMS-2: 3.8 MT of Liquid Steel per annum & 3.7 MT of CC
Blooms/Rounds per annum from Converters-D, E & F.

Commissioning Dates:

28
  Converter - A - 1st Heat - 06.09.1990 / 1st Heat after Modernization -
16.03.2016.
 Converter - B - 1st Heat - 04.03.1991 / 1st Heat after Modernization -
22.05.2017.
 Converter - C - 1st Heat - 25.07.1992 / 1st Heat after Modernization -
27.10.2016.
 Converter - D - 1st Heat - 28.03.2014.
 Converter - E - 1st Heat - 30.10.2013.
 Converter - F - 1st Heat - 07.11.2016.

LIGHT & MEDIUM MERCHANT MILL:

The cast blooms from continuous casting department are heated and rolled in
the two high speed and fully automated rolling mills namely Light & Medium
Merchant Mill (LMMM) and Medium Merchant & Structural Mill (MMSM).

The billets produced in LMMM are further rolled in Bar Mill / Wire Rod Mill
(WRM). The finished products include wire rods & long products like
reinforcement bars, rounds, squares, flats, angles, channels, billets etc.

Blooms from Continuous Casting Division are rolled into billets, some of which
are sold and rest is sent to Bar Mill/WRM. The continuous two-line Bar Mill
comprises of 8 Stand Double Strand roughing train, 2 nos. of 4 Stand Single
Strand intermediate train & 2 nos. of 4 Stand Single Strand finishing train.
Loopers are provided in between the finishing stands for tension free rolling in
order to obtain good surface quality and tolerances. Housings are of closed top
type. Roll necks are mounted in anti-friction bearings.

WIRE ROD MILL:

WRM-1

The Mill is high speed 4 strand No-Twist continuous mill designed to produce
8, 50,000 Tons of wire rod coils per year. Rolled billets of 125 mm x 125 mm
square cross section, length ranging from 9.8 m to 10.4 m and weighing
approximately 1250 kilograms are used. The mill is designed to roll steel stock
of 0.9% maximum carbon content.

29
WRM-2

The Mill is designed to produce 6, 00,000 tons per year of rounds in coil form.
The Mill is designed to roll low, medium and high carbon steel, case hardening
steel, cold heading quality steel, electrode steel, spring steel, bearing steel and
free cutting steel. The mill shall use continuous cast billets of 150 mm X 150
mm square cross section, 12 m length and weighing 2100 kilograms
approximately, are used as input material.

MEDIUM MERCHANT & STRUCTURAL MILL:

The Medium Merchant and Structural Mill (MMSM) is one of the modern
rolling mills of Visakhapatnam Steel Plant. This is a single strand continuous
mill having production capacity of 8, 50,000 tons per year.

The important feature of this mill is that Universal beams (both parallel and
wide flange) have been rolled for the first time in India using Universal stands.
Parallel flange beams have an advantage over conventional beams because, for
the same weight, the section is stronger and stiffer due to greater moment of
inertia and higher radius of gyration.

Special Bar Mill:

The Mill is designed to produce 7,50,000 tons per year of plain rounds in
straight length and in coil form by using an input of Continuous cast billets of
150 mm x 150 mm x 12 m and weighing approximately 2050 kilograms. The
mill is designed to roll medium and high carbon steel, case hardening steel, cold
heading quality steel, electrode steel, spring steel, bearing steel and free cutting
steel.

Structural Mill:

The Mill is designed to produce 7,00,000 tons per year of structural section in
straight length in approximately 3733 rolling hours and 8,50,000 tons per year
of structural sections in straight length in approximately within 4533 rolling

30
hours.an input of Continuous cast cold bloom of 200 mm x 200 mm x 12 m and
weighing approximately 3760 kilograms.

HR POLICY

31
IAO's Full Accreditation Awarded to HR Global:

32
HR Global has successfully met all of the IAO's accreditation requirements and
as a Result has been awarded Full Accreditation by IAO. The institute has been
awarded Full Accreditation after evaluating it on IA0 standards of the global
best practices in Organizational Management, Academic Management and
Institutional Performance. IAO's full accreditation is a proof that HR Global
offers education to its students that is on par with global education standards
and that the institute is fully committed towards continuous improvement of its
educational standards.

IAO's full accreditation is proof of Test Institute’s commitment to providing an

education that is on par with global standards.HR Global has been awarded this
point's profile score after a preliminary assessment of their educational
standards.

Many a times, non-up- gradation of Knowledge/Skills of an individual could

result in nonperformance. Our real time industry experts assist individuals/
universities/ organizations in addressing this concern.

To bridge the skill gap & enhance knowledge level of the individuals, we
conduct extensive training programs/workshops that are specifically designed
for HR professionals with 0-10 yrs. of experience.

We also provide Training to Corporate, Management Institutes & Business

Schools on HR process.

33
 CHAPTER -4
THEORETICAL FRAMEWORK

HISTORY OF HRD

Dimensions of HRD in World Historical Perspective

Swanson and Holton asserted: “It is easy to logically connect the origins of
HRD to the history of humankind. While HRD is relatively a new term, training

34
– the largest component of HRD – can be tracked through the evolution of the
human race.” (Swanson and Holton, 2008)

Haslinda-a (2009) “the origin of HRD was suggested to have started in the USA
during the advent of the industrial revolution in 1800. But some writers argue
that the roots of HRD emerged in 1913 when Ford Motor started training its
workers in massproduction of cars in the assembly line.”(Haslinda-a, 2009)

CONCEPT OF HUMAN RESOURCE DEVELOPMENT

The concept of the Human Resource Development (HRD) has been in existence
since the Vedic age in India. Since the concept of HRD has been given a
different shade by the western economists. It will be more appropriate to
consider these schools of thought separately which are shown in figure

School of thought of HRD

Concepts of HRD

Ancient Indian Western school of thought

School of Thought

Micro View Macro View

HRD – The Indian View

In the ancient Indian literature, HRD is synonymous with all round

development of personality – physical, spiritual and ethical. In the western
world emphasis is placed on artificial inducements comprising of various
35
incentives. In the Indian context, emphasis is laid on good qualities among
Human Beings. According to Dr. K. M. Munshi, “mere imparting of information
is not HRD but it is the building of character.

The Indian concept of HRD implies achievement of perfection and ethical

values and not on making profits. Thus, the scope of HRD in the Indian thought
is more broad-based and qualitative.” According to Swami Chinmayanand,
“When a determined nation elaborately plans for its own development and
progress, apart from its political plans, and economic schemes, it must look into
its own cultural genius in order to impart, mould and polish the character of the
individuals. The nation – building works starts with the discovery of a mental
poise and a physical dynamism in the young intelligent citizens.” Various
attributes of HRD, in the Indian context, may be listed below.

a. Qualitative in nature: HRD is not based on materialism, but on positive

qualities to make perfect human beings.

b. Comprehensive: The Indian concept of HRD does not concentrate only

on personal qualities but also includes moral and ethical values essential
for any understanding.

c. Discourages Legal Conflicts: No legal dispute is contemplated between

the employer and employee. It rather promotes love and mutual respect.
Spontaneous Wide coverage Ethical
d. Encourages Dynamism to Progress: The Indian concept
Absence of of HRD is
Conflict
value based and thus encourages dynamism and self development.

The scope of HRD may be illustrated with the help of the figure

Self-less ness Excellence

Self –
Development

36
 Dynamism & Scope of HRD Qualitative
Progress Comprehensive

In the absence of efficient human resources, the task of transforming a

traditional and less developed economy in to a progressive and dynamic
growing economy would remain a distant dream.

In the present context of vicious industrial climate, sinking levels of

productivity, lack of motivation, industrial disputes, lack of social responsibility,
reckless pursuit of profit and greedy utilization of natural resources and
environmental problems, it is the Indian concept of HRD, which is more
relevant. Men with integrity, character and commitment can change the very
productive and developmental process and ensure the development of all-
segments of the national economy.

HUMAN RESOURCE DEVELOPMENT IN INDIAN INDUSTRY

The concept of HRD in India has taken birth from the concept of Personnel
Management and Human Resource Management. Even Kautilya had
37
emphasized the importance of human resources management in his Arthshastra
in 400 B.C. In modern India, this concept has been in vogue since independence
only as the British India Company was here for the exploitation of the labour
and not for labour welfare. In the year 1948, Factories Act was passed in which
certain conditions were imposed on industrial units to care for labour welfare.
Labour welfare officers were appointed and with the passage of time, Labour
Welfare Department popularly known as Personnel Department was set up in
big and medium size organizations. The Personnel department focuses on
maximization of performance and compensation. Their main functions are:
recruitment & selection training, placement & compensation.

However, due to the dynamic nature of human factor, it was increasingly

realized that mere higher compensation and lip service to labour welfare are not
going to lead to the proper development of human capital. In 1975, L&T, a
prominent engineering company had appointed two consultants UdaiPareek and
T.V. Rao from IIM, Ahmedabad to develop HRD as an integrated system and to
separate it from the personnel function. Since then, most organizations have
stated new HR developments or redesigned their personnel and other
departments as HRD.

The control theme in the HRD approach is the development of the individual
and the development of work groups. The focus is on enhancing employee
involvement in internalizing organizational objectives through vibrant HRD
efforts in order to release the springs of dynamism and creativity of both
individual as well as work groups.

The personnel function has reduced human resources in organizations to mere

objects while the HRD approach postulates a proactive rather than a fire-
fighting orientation, a development strategy rather than a constructive strategy
(Jerome Joseph) 16. Pareek& Rao 17 opined that Performance Appraisal,
Potential Appraisal, Feedback, Counseling, Career Development, Career
Planning, Training and Development get distinct attention as unique parts of an
integrated system which we call the Human Resource Development System**.
In essence, the integrated HRD System Approach of Pareek and Rao (1975)
have the following elements:

(a) A separate and differentiated HRD department with full time HRD staff.

(b) Six HRD subsystems including OD.

38
(c) Interlinkages between the various subsystems.

(d) Linked to other subsystems of HRD.

After L&T accepted these recommendations in full and started implementing

them, the State Bank of India and its associates decided to use the Integrated
HRD System Approach and created a new HRD Department. By mid-80’s, a
large number of organizations in India had established HRd departments.

T.V. Rao18 conducted a survey of 12 organizations covering financial services,

consumer product, electronics, cement, tyres and automobile. This audit
highlighted the HRD practices of 12 companies from which following trends
may be observed:

Most organizations seem to have well – developed performance management

systems or are in the process of having the same.

Employee satisfaction surveys, TQM interventions, total productivity

management, team building workshops, visioning exercises, train the trainer
programmes etc. are some of the OD interventions being used by these
organizations.

Training& development is well developed and well managed in these

organizations. Internal faculty has been developed in most of these
organizations. Those organizations covered under ISO certification programmes
have given systematic and high emphasis to training & development activities.

While the public organizations including the government departments play an

important role as agents of HRD at the national level, the HRD department
plays an important role at the organizational levels. Various organizations have
been attempting to create and improve their HRD climate through various
mechanisms like Performance Appraisal, Job Rotation, Feedback and
counseling, potential development, training, organizational development, career
planning &job enrichment programmes. In the last few years, these
organizations have generated a good deal of experience to enrich our
understanding involved in HRD.

The review of various studies brings out that the organizations which realized
the importance of HRD has led to the overall development of the organizations.
Sundaram Clayton Ltd (A TVS Group Co.) has evolved an HRD philosophy
over a period of time.

39
The main features of this philosophy are:

 Employee’s welfare should be the top priority of the company and

employees should be treated as family members.
 A person should be developed as a whole person and he should be given
opportunities for development.
 Every workman should be ensured a decent standard of living by
providing fair & reasonable compensation based on merit and
contribution.
 Retraining and development should be carried out as a continuous
process.
 The workplace should be clean, healthy and congenial to work.
 Work – related issues should be discussed openly through various forums.

Sundaram Clayton19 has grown into 800 crores mega – group by treating
human resources in a familial manner and believing in the dictum that better
people along with better technology is a surest way to grow.

The experiences of Steel Authority of India Ltd. have shown that the HRD
initiatives have significant role to play the success of business and the company
has implemented a number of initiatives in the area of HRD.

“The Priorities of Action” and the appraisal system are two successful
examples. With the passageof time, following qualitative changes have been
observed in the attitude of employees.

 Greater awareness among workers, officers & associations.

 More effective communication process.
 Considerable clarity about goals & objectives.

HRD has played a significant role in the achievement of arganizational goals in

SAIL. In the case of Eicher Tractor Ltd. The turnover registered a manifold
jump from 3 crores to 70 crores per annum in a matter of 7 years in the serious
efforts made in HRD.

These studies clearly bringing out that the importance of human resources
development has been realized by the corporate worls in India in the recent past.
HRD has not been adopted by all the organizations in India. In this respect, it

40
may be pointed out that it is in the mutual interest of employers & employees to
implement proper HRD practices in the industry. Above all, the development of
people is not a matter of format. It requires an almost emotional commitment
and conviction on the part of every employer that it is his duty to develop the
people working with them.

Indian Scenario

The need for developing managerial capabilities among executives is being

increasingly felt and attended to in Indian Industry in the recent past. The
following functions were stipulated by Pareek and Rao in their book when L &
T Ltd. Established an independent HRD department in Performance Appraisal

1. Potential Appraisal

2. Feedback and Counseling

3. Career development and Career planning and

4. Training and Development (Pareek and Rao, 1974)

Evolution of HRD

The importance of human resources was recognized as early as 400 B.C. by our
saints in the Purans and Vedas. Later on the classical economists also concurred
with the viewpoint that of all the resources required for the development of any
organization, be it a firm, society or a nation as a whole, human resources are
the most significant. The significance gets amplified because human beings are
not onle the producers of goods and services but also the consumers of those
goods and services. Barring human capital, all other resources required for
production of goods and services i.e. land, machinery, money etc. are incapable
of producing on their own.

It is the human capital that mobilizes all these factors and to bring our resultant
output. This fact has been amply highlighted by late Professor Fredrick
Harbison in his statement:

“Human Resources – constitute the ultimate basis for the wealth of nation.
Capital and natural resources are passive factors of production; human beings
are the active agents who accumulate

41
Capital, exploit natural resources, build social, economic and political
organization, and carry forward national development. Clearly a country which
is unable to develop the skills and knowledge of its people and utilize them
effectively in the national economy will be unable to develop anything else.”

Human resources can be thought of as the total knowledge, skills, creative

abilities, talents and aptitudes of the work force as well as the values, attitudes
and beliefs of the people in general. Adam Smith included the acquired and
useful abilities of human beings in his analysis of capital: Human resources are
generally equated with the total labour force or total manpower of a country
working for public or private employers and receiving remuneration for their
work (ILO).

To improve upon this definition, it may be suggested that human resources can
include efforts and contribution of people towards society or nation even if they
are not paid any remuneration for that.

The significance of human capabilities was further analyzed by Shultz2 as

‘capable people are the key to the abundance of a modern economy. They are
the major sources of economic growth. Economic growth is neither interesting
nor rewarding if we neglect improvement in skills and knowledge”. Human
development is now-a-days considered as the most important indicator of the
Development of any nation.

To enhance the productivity of the labour force of any country, it is imperative

that suitable measures are taken to develop human capital. We can borrow
money capital and start operations immediately but it is impossible to create
human capital overnight. So every nation is required to invest in developing
human capital for a long period of time before this process bears results.

Human capabilities cannot be developed without improving the quality of man

power, facilitating better education and training, public health services namely
medical facilities, sanitation, safe drinking water and balanced diet, other socio-
economic efforts like, reducing gender inequality, checking disparities in
income distribution etc. Keeping in view the importance of human resources,
development of human capabilities has to be viewed as the obligation of the
governments in developing countries. It has to be regarded as a right to which
all people are entitled. This right includes the basic education, health and
subsistence.

42
The need for government efforts for developing human resources is all the more
crucial in developing countries like India since the rate of growth of population
in these countries is quite high. The govt. expenditure made in respect of
improving education, training and health facilities is more than outmatched by
the rapid growth in population. Thus expenditure on improving human
capabilities needs to be raised significantly as it has potential to yield a return to
society no less than the return from physical capital formation. “When all costs
and benefits are taken into account, the social rates of return from human
development expenditure turnout to be no less than the average rates on fixed
capital investments in the economy”.

Investing in education and training may not result into possible developments
all the times since it depends upon their social, cultural, political, economic, and
geographical structure.

But this should not deter a country from investing in developing human
resources since development of human capabilities paves the way for rapid
economic development although some of the economically advanced countries
are showing signs of social tensions, alienation of workers and ecological
imbalance.

Having considered the importance of human resource development, now we

will more ahead to understand the concept of human resource development.

Importance of HRD

HRD involves introducing changes for the better in the work culture and work
environment. all without interrupting the functioning of the organization. The
following points highlight the importance of HRD:

a) Developing Competent Employees

An important mechanism in HRD is the Training and Development area. Each

employee is trained in his/her task. This results in greater clarity of works norms
and standards, better performance and thereby a more competent work force.

b) Role Clarity

43
Employees are aware not only of their own roles, but are also more sensitive to
the roles and expectations of the other members of the team.

c) Committed Work Force

Through training, development and education, people gain a heightened sense

of responsibility and thus become more committed. The HRD process also
encourages a more transparent system, including the dispensation of awards.

d) Development of Synergistic Effects

Effective communication, participative management, and emphasis on team-

work produce synergistic effects within the organization.

e) Encourages greater Trust and Respect

A culture of trust and respect is built in an organization due to effective

communication amongst all thereby increasing the productivity of the
organization.

f) Breaks Resistance to Change

HRD equips people with problem-solving capabilities. This is evident in

companies practicing QCs [Quality Circles] and SGAs [Small Group
Activities].

Such activities not only help the work-force to accept change, but also develop
in them a spirit of being proactive.

g) Facilitate HR Planning

Human resource planning is the first step of the entire process. HRD initiates
and facilitates the same.

44
h) Additionally HRD impacts

i) Higher productivity

ii) Cost effectiveness

iii) Growth expansion

iv) Diversification

v) Increased profits. (SCDL, 2008)

Scope of HRD

HRD is broader than human resource management; it consists of several

sub system such as training and development, employee appraisal, counseling,
rewards and welfare, quality of work life, etc. these are the areas within its
scope. The following topics are included within the scope of HRD.

1. Training: - Training is an essential element of HRD. This develops skills

and capacity to work at higher levels and positions. Training is possible
by different methods. It is useful for self-development and career
development.

2. Performance appraisal: - Performance appraisal is an important area of

HRD. The purpose of performance appraisal is to study critically the
performance of an employee and to guide him to improve his
performance. This technique is useful for building a team of capable
employees and is also used for their self-development.

3. Potential appraisal: - It relates to the study of capabilities of employees.

It is useful for proper placement and career development of employees.
Potential appraisal of employees is useful for developing their special
qualities, which can be used fruitfully along with the expansion and
diversification of activities of the company.

45
4. Career planning and development: - Under HRD employees should be
given guidance for their self – development and career development. The
opportunities likely to develop in the organization should be brought to
their notice. They should be motivated for self – development, which is
useful to the organization in the long run.

5. Employees’ welfare: - Employees welfare is within the scope of HRD.

Welfare facilities are useful for creating efficient and satisfied labour
force. Such facilities raise the male of employees. Employee welfare
include the provision of medical and recreation facilities, subsidized
canteen, free raining and other measures introduced for HRD.

6. Rewards and incentives: - HRD includes provision of rewards and

incentives to employees to encourage them to learn, to grow and to
develop new qualities, skills and experiences which will be useful in the
near future. Reward is an appreciation of good work. It may be in the
form of promotion, higher pay etc.

7. Organizational development: - HRD aims at providing conflict-free

operations throughout the organization. It also keeps plans ready to deal
with problems like absenteeism, turnover, low productivity or industrial
disputes.

8. Quality of work life: - Quality of work life depends on sound relations

between employer (owner) and employees. A forward looking policy on
employee benefits like job security, attractive pay, participative
management and monetary and non-monetary rewards will go long way
in improving the quality of work life.

46
Human resource information system: - Such system acts as information bank
and facilitates human resource planning and development in a proper manner. It
facilitates quick decision-making in regards to HRD. Every organization has to
introduce such system for ready reference to HRD matters.

Principles of HRD

The major principles as given by Rai and Rao (2007) which should be kept in
mind while framing the aspect of development human resource are as follows.

1. HRD system should help the company to increase enabling capabilities which
include: development of human resources in all aspects, organizational health,
improvements in problem solving capabilities, diagnostic skills, capabilities to
support all the other systems in the company, etc.

2. It should help individuals to recognize their potential and help them to

contribute their best towards the various organizational roles they are expected
to perform.

3. It should help maximize individual autonomy through increased

responsibility.

4. It should facilitate decentralization through delegation and shared

responsibility.

5. It should facilitate participative decision-making.

6. It should attempt to balance the current organizational culture with its

diffusion into the others.

7. There should be balance between differentiation and integration.

8. There should be balance between specializations of the function with its

diffusion into the others.

9. HRD system should ensure responsibility for the function.

10. It should build upon feedback and reinforcement mechanisms.

11. It should maintain a balance between quantification and qualitative

decisions.

12. There should be a balance between external and internal help.

47
13. It should plan the evolution of the function.

14. There should be a continuous review and renewal of the function.

HRD Activities

The different activities taken up by the HRD wing of the Steel Plant are as
follows:

Organization of in-house Management Development Programmers

Nomination of executives to outside programmers organized by expert bodies

Conduct of exit Interviews

Interface with Professional Bodies

Administration of performance appraisal of Executives

Human Resource Information System

Organization of Guest Lectures by Eminent Personalities

48
 CHAPTER – 5

HUMAN RESOURCE DEVELOPMENT

AT RINL - VSP

49
HUMAN RESOURCE DEVELOMENT AT RINL – VSP

RINL believes that the employees are its assets and strives to realise their
potential in full for mutual advantage. The human resource development
involves development of the employee as a whole.
a) In house Training Programs
b) Nominations to External Training Programs
c) Organisations Research, Employees Satisfaction Surveys and Voice of
Employees index.
d) Organisation Development
e) Membership with Professional Bodies
f) In plant Training for management studies
g) Lectures by eminent personalities
h) Corporate presentations
i) Interactions with professionals, academicians and consultants.
j) Emancipation of women through WIPS, Women Development Programs
k) Thrust on “Samalochana”.

Employees are sent to other steel plants on short duration tours to find solutions
to the various issues facing the company. Employees are also sent to suppliers
manufacturing units / training institutes to get specific training in identified
areas.

50
Objectives of HRD

HR strategies and HR functions take its root from Vision, Mission &
Objectives of RINL/VSP. To meet the aspirations of stakeholders, the Company
has focused areas to harness the full potential of its human resources by
integrating Business Excellence with that of individual aspirations. HRD always
endeavours to match the expectations of the Company to enhance competence
of its workforce in-tandem with the technological and competency
requirements.

HRD facilitates the VSP collective to cope-up with the role requirements,
standardize them with strong knowledge and information base to enable them
create effective teams and also overhaul systems & structures in HR area
corresponding with the organisational Vision, Mission and Objectives.

The following activities are mainly handled by HRD:

 In –house Management Development Programmes

 External Programme Nominations (other than overseas)
 Organisational Studies
 Membership with Professsional Bodies
 Industry-Academy Interaction
 Guest Lectures by Eminent Personalities

In-house MDPs:

Annual plan for in-house programmes is made based on training needs reflected
in the Performance Appraisals, Training Needs Survey, meetings of Training
Advisory Committee, as well as top management’s priorities & strategies. The
programmes are conducted in the 3 halls of Centre for HRD in the steel
township. Faculty is drawn from both internal and external experts/resource
persons.

External Nominations:

51
Employees are sponsored for programmes conducted at premier institutes. HRD
Group scrutinizes the proposals for external programmes with a view to
ascertain their relevance to current organisational needs, credentials of the
organizers / faculty and also verifies skill profile of the proposed employees as
also the budget availability, before recommending for approval of the competent
authority.

Organisational Studies:

HRD Group designs and oversees various OD interventions like internal

surveys / studies. Results of such exercise are analysed scientifically for aiding
management to take important decisions on various HR issues. Besides, HRD
Group is involved in various open internal communication for a organized for
the employees at large.

Employees Satisfaction Surveys are undertaken by HRD to capture the

satisfaction levels of employees at different points of time. Every year the
surveys are held across various department and various levels of employees in
the Plant and the aspects covered are:- Hygiene, Working Conditions, Enablers
& Motivators, Human relations, Leadership etc.,

The dissatisfaction levels are brought out to in the form of O.F.I’s

(Opportunities for Improvement) and shared. The information is analyzed for
taking up initiatives to see that the dis-satisfaction levels are mitigated. Study by
Great Places to Work Institute (GPWI) (In association with Times of India)

We are participating in the survey undertaken by Great Places to Work Institute,

Mumbai since 2009 to understand the levels of Overall Trust Index,
Camaraderie, Pride, Fairness, Credibility, and Respect. For the year 2012, the
random sample survey has been completed and we are expecting to response by
July, 2013.

Institutional Membership:

RINL is a Corporate Member of different professional bodies of national and

international repute. Constant liaison is maintained with them for deriving all
the benefits applicable and also to duly process the invoices for timely renewal
of fees and Membership.

52
Industry-Academy Interaction:

In order to maintain healthy industry-academy interactions, students from

various institutions in the country are permitted to have practical in-plant
training in the areas of HRM, Marketing, Materials, Management Services,
Corporate Planning, Finance Management etc.

HRD ACTIVITIES INVOLVED IN RINL:

HRD involves various activities which helps the employee satisfaction,

employee and industrial needs. The main categories of HRD are as follows:
a) Technical training institute
b) Enterprise resource planning
c) Corporate social responsibility
d) Research and Development (R&D)
e) HR Management
f) Welfare Measures in VSP

TECHNICAL TRAINING INSTITUTE

The needs of induction training, skill up gradation, unit training,

computer related training, refresher training, foreign training, faculty
development etc. are attended by the Training & Development Centre while
management development and attitudinal development are taken care at the
Centre for HRD.

Training in certain specialized areas like safety, fire prevention,

occupational health etc. is also taken up by departments specializing in
respective fields.

Training Objectives

 Identifying training needs

 Providing training input
 Monitoring training effectiveness
 Creating learning environment

53
  Facilitating self-development
 Innovativeness & self-expression
 Enabling employees to assume higher responsibility
 Meeting the Statutory requirements & Social Obligations

Activities of TTI

 Adopt a planned approach towards Training and Development in RINL.

 Design and conduct suitable training package for fresher’s at various
intake levels incorporating concepts of job enrichment and multi skill
approach to work.
 Design and conduct suitable training package for the employees as per
need to develop skills, knowledge and attitude.
 Assist in developing standard operating/maintenance practices for
technological areas of the plant/unit.
 To expose selected employees to latest technologies and work practices
abroad.
 Motivate and develop internal training faculty.
 Knowledge sharing and giving adequate opportunities to the employees
for self-development.
 To make training productive and cost effective.
 Organise training of apprentices as per act obligations.
 Constantly enrich the quality of training and upgrade training facilities to
meet the requirement.
 Providing training services to outside organisations.
 To have interaction with academic institutions and fulfil social
obligations.

TTI has the following facilities.

i. Classrooms: There are 5 well furnished & Air conditioned class rooms, a
conference hall and 10 class rooms.

ii. Work Shop: A full-fledged workshop exists with a machine shop, fitting
and assembling shop, welding shop, electrical shop, Hydraulics and
Material handling section. Valves and pumps section, mechanical
maintenance section, a carpentry shop to conduct skill development
programs.

54
iii. Electronics Laboratory: A modern Electronic Laboratory consisting the
following facilities for training & hands on practices. Analog & Digital
Work Stations, Highly sophisticated equipment such as Micro Processors
test kits, PLCs and digital drives etc.

iv. Personal Computer Laboratory: Two labs has Pentium IV PCs where
programs on PC awareness, windows based MM packages, MS office,
Flash, AutoCAD, Primaveera, Photoshop, etc. are conducted regularly.

v. Central Library: An Air Conditioned Central Library which is catering

to the knowledge and information needs of the entire organization. This
library is using modern scientific system (such as UDC classification
system for Books and Documents. It is equipped with well-designed
display facilities for journals, Periodicals, specifications, books etc. As on
date the library has 25,215 books, 177 journals, entire set of India 18,600
standards & 234 international standards. E-journals service is a feather in
its cap. Selected articles for various journals are regularly kept in T & DC
portal. Central Library works in General Shift. Complete set of Indian
standards available in VSP Intranet for browsing & printing of various
depts.

vi. Auditorium: A fully Air conditioned Auditorium with a seating capacity

of 310 persons.

vii. Audio-Visual section: In line with the trend training center has also
separate Audiovisual section with AV aids such as LCD Projectors, over-
head projectors, 16mm film projector, Opaque film projector, sound slide
projector system with synchronizing and dissolving units, P A system TV
& VCR etc.

55
viii. Trainees Hostel: A trainee’s hostel, having 150 rooms which can
accommodate 300 trainees, is situated in Sector-I, Ukkunagaram. The
usual facilities like mess, recreation room and indoor games are also
available in the hostel.

5.3 Man Power as on 01-03-2016

Non-Executives Executives
Commercial 106 546
Corp office 8 46
Finance 14 256
HR 479 501
Operations (mines, IT & R&D) 213 221
Projects 47 368
Vigilance 4 28
Works 10678 4119
Grand Total 11549 6085

56
ENTERPRISE RESOURCE PLANNING

Enterprise Resource Planning is one of the major set of modules of

enterprise systems being implemented in various organizations across the globe.
ERP seeks to standardize, streamline and integrate the various operations and
information flow in a company by synergizing its resources. ERP is one of the
most advanced business management applications available to support
companies in a wide variety of industries.

ERP systems provide an integrated application environment with a fast

and seamless access to single unified information business-wide, hence
representing a catalyst for business process change. ERP is defined as an
integrated, multi-dimensional system for all functions, based on a business
model for planning, control and global (resource) optimization of the entire
supply chain, by using state of art technology that supplies value added services
to all internal and external parties. ERP is an integrated system that allows
information to enter at a single point in the process and update a single, shared
database for all functions that directly or indirectly depend on this information.

ERP could also be defined as an integrated suite of application software

modules, providing operational, managerial and strategic information for an
enterprise to improve productivity, quality and competitiveness. ERP would be
enabling an enterprise to balance its resources to stay competitive in a globalize
economy. It is a business tool rather than systems tool as it establish business
process engineering as well as business process reengineering and can bring
radical change in the organization.

57
Critical Success Factors for ERP implementation:

 Undiluted management commitment

 Business driven initiative
 Experienced consultants
 Cross functional participation in core team
 Strong leadership with clear vision
 Predefined To-Be processes
 Implementation cycle to be of proper duration
 Proper Change management

Major Business Objectives of ERP

 Streamline RINL/VSP’s Financial, Commercial, HR and Production

Planning processes through software led business process re-engineering
in conjunction with the implementation of the ERP package.

 Integrate Expansion and other improvement projects with ERP Package.

 Standardize business processes and practices throughout the enterprise to
conform to desired practices, company’s laid down business policies,
statutory regulations or procedures and collective bargaining agreements.
 Enhance the ability to report enterprise wide expenditures, cash flow &
budget utilization by unit & cost centers by implementation of enterprise
wide accounting and other business standards.
 Improve RINL/VSP’s overall ability to conduct business and manage its
human resources based on reliable and timely data/information through
HRIS.
 Facilitate enterprise compliance with the Governmental and GAAP
(Generally Accepted Accounting Principles) Accounting Standards
reporting requirements.

58
CORPORATE SOCIAL RESPONSIBILITY:

CSR & Sustainability is a company’s commitment to its stakeholders to

conduct business in an economically, socially, and environmentally sustainable
manner that is transparent and ethical. The ecosystem approach in business has
bloomed lately wherein one accords prime importance to its “stakeholders”,
which further aids in creating partnerships. The focus of CSR is to share the
profits derivative from the Society to the well-being of Society.

The provisions of the Companies Act (CSR Policy) Rules 2014 and DPE
guidelines empowered the Companies to contribute on CSR which is the
essence of this Policy document. The latest DPE Guidelines is the force and
directive in farming this Policy.

RINL, since inception, through its Peripheral Development dept. laid utmost
importance on environmental and societal concerns and has been in the
forefront of addressing the societal needs predominantly of peripheral areas of
its business activities.

Since 1993 emphasis upon Peripheral development was put and projects were
implemented for the same under e Town Administration department. With the
experience of Peripheral development, VSP embarked on the path of CSR after
allotment of requisite budget and fulfilling legal obligations under the
Companies Act. To boost up the CSR activities, a separate Department was
formed in March 2007 and RINL CSR Foundation Trust was registered under
the Companies Act, 1956 and IT Exemption (80 G / 12 AA) obtained for the
trust.

Earlier, RINL was following its own the CSR Policy, subsequently; the
guidelines issued by DPE, Govt. Of India from time to time became the guiding
light. Further the New Companies Act-2013 and The Companies (Corporate
Social Responsibility Policy) Rules-2014 which has come into force w.e.f. 1st
April 2014, has further brought clarity in terms of processes as well as
outcomes.

59
The present CSR and Sustainability Policy of RINL has been drawn up
incorporating the statutory provisions DPE guidelines issued on 21st October
2014 Enterprises, Govt. Of India, New Delhi.

CSR Objectives

The CSR Objectives of the company are intended to serve the larger goal of
inclusive growth and sustainable development in the communities around and
beyond.

 Creating shared value for the company and the stakeholders of the CSR
projects.
 Sensitize and involve the employees of the company and their families to
the concepts and approaches to CSR.
 Continuous monitoring of the implementation of CSR projects.
 To have a compact, dedicated and empowered team of CSR Department

Formation of CSR Foundation:

 A Trust was registered viz., ‘RINL CSR Foundation’ in May, 2007.

 CSR activities:

RESEARCH AND DEVELOPMENT:

R & D Department of RINL started functioning in a small way in 2005 to

carry out limited assignments. The department is presently functioning with a
total strength of Twenty Five engineers consisting of four graduates, seventeen
post graduates and four doctorates from different engineering streams. Number
of collaborative projects are taken up with reputed organizations like IIT
Kanpur, IIT Kharagpur, IISc Bangalore, CGCRI Kolkata, CECRI Karaikudi,
Andhra University Visakhapatnam, Jadavpur University Kolkata, NGRI
Hyderabad etc.

RINL is poised for a major growth where injection of new technologies would
play a vital role. To enhance the competitiveness and sustainability, R&D
focuses on the specific research agendas like

60
  Development of innovative technologies
 Enriching lean grade ores
 Product Development
 Improvement in environment and energy
 Developing human resources

This strategy will lead to cost reduction, quality improvement, new value added
products, generation of new knowledge base, publications and patents. R & D in
RINL while striving to meet the latest technology requirements in the field of
iron and steel provides ample benefits to RINL at large thereby contributing to
the nation building.

Technology Development

With the growth in production capacity in the plant, there is an imperative

need for RINL to develop the technology to sustain in the competitive global
economy. As RINL has limited raw material resources for production of iron
and steel, proper iron making and steel making technologies should be
developed / studied for using indigenous raw materials. Development of other
major technologies of national importance in the field of iron and steel,
environment, waste management are among the activities of this division.

i) Process Development has following sub-divisions

 Raw materials, agglomeration and Iron making

 Steel Making and Continuous casting
 Coke making, Refractory, Engineering Shops and Foundry
 Energy and Environment

ii) Product Development & Rolling Technology takes up

 Development of new products

 Rolling Technology

iii) Technology Services undertakes

 Planning and Coordination

 Technology management
 Knowledge Management
 Application engineering
 Laboratory Services

HR MANAGEMENT
61
 Human resource initiatives at VSP are closely linked to the corporate
strategy of the organization. VSP has harmonious industrial relations where the
entire workforce works as a well-knit team for the progress of the company. The
productive environment prevailing in the company fosters an atmosphere of
growth – both for the employees and for the company.

VSP has introduced multi-skilling concept since inception and the

employees are trained to imbibe this. VSP has adopted a system of overlapping
shifts – the first of its kind in the industry. This system ensures smooth
changeover of the shifts and uninterrupted pace of operation of the plant during
the shift change over. The labour productivity is 358 tonnes/man/year for (2010-
11).

Management of Industrial Relations (IR)

Presently, 24 registered Trade Unions are functioning at VSP. There are

17 unions operating for espousing the cause of contract labour. In addition, two
unions each are also separately registered at our captive mines located at
Jaggayyapeta and Madharam. By and large, a smooth and cordial IR climate
prevails at VSP.

The “Man days Lost” were brought to ‘NIL’ since 2003 which indicates
the peaceful and harmonious industrial relations scenario in Visakhapatnam
Steel Plant.

The Code of Discipline adopted in the state of Andhra Pradesh has

envisaged determination of Majority union by way of secret ballot elections at
an interval of every 2 years. So far 11 elections have been held at VSP since
November, 1985. In the 11th elections held in the year 2010, Steel plant
Employees Union (Consisting of 9 Registered Unions) has emerged as the
majority union and was conferred the status of recognition for a period of 2
years. Integration of various activities close monitoring and review enabled
conduct of Trade Union elections without much disturbance to the production
activities. Despite intense electioneering, labour productivity was still kept at a
high peak.

Till date around 108 nos. Of Memorandum of Understandings (MOU),

Memorandum of Settlements (MOS) were arrived at by duly following proper
collective bargaining process. These notable features are getting union(s)
62
commitment for realization of Mission & Objectives, increase of Production &
Productivity, improving discipline etc.

Around 84 nos. Of Participative Fora are functioning at VSP which have

diminished inter-union rivalries and ushered in a peaceful IR climate. A large
number of employees are given an opportunity of participation in various fora at
VSP including Quality Circles and Suggestion Schemes.

Unique informal and formal Grievance Redressal Systems have been

successfully implemented in the organization providing for an active employee
participation/involvement. A separate section Industrial Relations coordinates
with respect to all IR related issues including holding discussions, coordinating
with meetings and negotiations etc.,

WELFARE MEASURES

RashtriyaIspat Nigam Limited, Visakhapatnam Steel Plant, considers

human resources as the most important of all the resources in the Company. Its
development and welfare have therefore been given the utmost emphasis in the
overall policy of Human Resources Management of the Company. Pursuant to
this policy, VSP has taken several initiatives for introducing and implementing
Statutory as well as Non-Statutory Welfare schemes which together impart and
propagate the feeling that the “Company cares for its employees”. In addition,
as a Social Security measure, Employees Family Benefit Scheme was
introduced w.e.f. 01.08.1995. Amongst these, the details of important welfare
measures the are being implemented in RINL/VSP are as follows:

Statutory Welfare Measures:

a. Canteen facilities: Canteen facilities in VSP have been organized

through the operation of 17 Canteens even though the requirement under
statue is to operate only 7 canteens. Out of these, 16 are located inside the
Plant and 1 outside the Plant. These Canteens cater to the needs of
employees by providing breakfast, tea, lunch and evening snacks at fixed
rates which hae been in vogue since 01-12-1996.

Besides this, through a system of extension points, tea and snacks are
made available to the employees in different shifts in the Shop Floor
itself. For this purpose, there are 141 extension points at 59 locations

63
 throughout the Plant. RINL/VSP has been extending Canteen Subsidy to
the non-executive employees @Rs 31/- per day of actual attendance

b. First Aid Facilities: In the Plant, Central First Aid-cum-Occupational

Health Centre with required facilities is in operation. In addition to this,
there is one more First Aid and Gas Rescue Station near the Coke Ovens
Deptt. One Ambulance in each of these First Aid Centres and one in Steel
Melting Shop is available round the clock. Adequate number of First Aid
Boxes with the required contents like Plaster, Scissors, Cotton rolls,
Tincture Iodine, Bandage Rolls, Eye & Ear drops, local antiseptic cream,
Paracetamol tablets etc. have been provided in each Shop Floor in the
Plant. The boxes are under the supervision of personnel trained to give
First Aid and they are regularly replenished with the required materials.

c. Water Coolers: 305 Nos of Water Coolers have been provided in the
plant for drinking water. Facilities for washing have also been provided
on the Shop-Floor in the Plant.

d. Leave: In matters of Leave, RINL leave rules provide 10 days additional

EL, over and above the maximum ceiling prescribed under the Factories
Act subject to the employee qualifying to earn the leave. Apart from
Earned Leave, the Company provides Casual Leave, Half Pay Leave/
Commuted Leave, Special Casual Leave, Quarantine Leave, etc.

e. Maternity Leave: Maternity Leave for 180 days with full pay is
extended to the women employees at the time of conceiving.

f. Mines Act: The aim of this Act is to provide a consolidated law relating
to the regulation and safety of labour in mines. The Act provides for
safety, health, and welfare amenities of persons working in mines. As per
the requirement, all amenities are provided at our captive Mines.
64
 g. Gratuity & Contributory Provident Fund: Employees are paid
Gratuity in terms of the Payment of Gratuity Act 1972 and as amended
from time to time. Over and above the Gratuity Act, in case of death of an
employee before the qualifying service of five years Gratuity is paid as
follows:

1st year of service ... 2 months emoluments

Before 5 years of service ... 6 months emoluments

On completion of 5 years of service ... 12 months emoluments

For all other cases at the time of separation from the Company, a maximum of
10 Lakhs or amount calculated based on the service rendered by the respective
individual, whichever is less, is being released towards Gratuity.

The cheques for Provident Fund and Gratuity are given to the employees on the
day of employee’s retirement. Contributory Provident Fund is paid @ 12% of
the wages of the employees and the fund is managed by a trust as per section 17
of the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952. The
Employees’ Pension Scheme 1995 introduced by the Government of India has
been implemented.

Non-statutory Welfare Measures:

1. Facilities for Education:

VSP’s philosophy towards educational facilities is not only to benefit the

children of employees but also to extend educational facilities to the
wards of the people dwelling in and around the Plant and also to act as a
catalyst in promoting quality education by encouraging reputed
educational Institutions like Delhi Public School, KendriyaVidyalaya,
DAVC Public School, etc. There are 10 Schools and 2 Junior Colleges in
and around Ukkunagaram running in English medium out of those, 2
Schools are running with English and Telugu medium. There is one
DAVC Public School at each of the two Mines at Jaggayyapeta and
Madharam.

2. Free Education

65
 Free education to poor and needy (i.e. for white ration card holders’
children) is being provided at both the VisakhaVimalaVidyalayam
schools at Ukkunagaram and BC Road under Corporate Social
Responsibility activity from 2007-08 onwards. Both the schools are being
fully funded by RINL-VSP under CSR Project from 2010-11 onwards.

3. Work Dress:

The Company provides two pairs of Work Dress annually to all non-
executive employees.

4. Long Service Award:

As per the scheme a Silver Medallion weighing 150 gms with emblem of
RINL, Visakhapatnam Steel Plant embossed on one side and “Long
Service Award” on the other side is to be presented to the employees who
have completed 25 years of service till 31st December of preceding
calendar year.

5. Farewell to Retiring Employees:

As per the revised scheme, the retiring employee shall be presented a 24

carats gold coin weighing 10gms of 999.9 purity

6. Housing Facilities:

The Company has a well laid out township – Ukkunagaram, consisting of

8701 quarters with all modern amenities like water supply, underground
sewerage, schooling, recreation facilities, parks, shopping complexes etc.
for its employees. Various types of quarters were constructed according to
DPE norms. Apart from

this, there are 386 quarters at our Captive Mines.

66
ACHIEVEMENTS AND AWARDS:

The efforts of VSP have been recognized in various fora. Some of the major
awards received by VSP are in the area of energy conservation, environment
protection, safety, quality, Quality Citrcles, Rajbhasha, MOU, sports related
awards and a number of awards at the individual level. Some of the awards
received from 2011 to till date are

Award Year
National Award For HR Best Practices, 2016 By National Institute 2016-17
of Personnel Management
Gold Awards For 5 Case Studies At ICQCC – 2016 2016-17
Prime Minister’s ShramVir And Shram Sri Awards For 02 (Two) 2016-17
Employees And 18 (Eighteen) Employees Got
ViswakarmaRashtriyaPuraskar Awards
5-S performance Excellence Award By QCFI 2016-17
Performance Excellence Award In Platinum Category For The 2016-17
Fourth Time In A Row
27 Awards At 30th National Convention On Quality Concepts – 2016-17
2016
Best Public Sector Organization Award – 2016 By NCQC – 2016 2016-17

Award Purpose Year

“Corporate Vigilance Excellence For promoting transparency in 2016
Award” by Institute of Public procedures and awareness in
Enterprise combating corruption
“Best Enterprise Award” under For outstanding contribution 2016
Maharatna&Navratna category by for the betterment of women
SCOPE – 2 nd prize employees
Awards at INSSAN – for For implementation of 2016
“Excellence in Suggestion Suggestions
Scheme”
3rd prize to “Kaizen” project at For practicing “Kaizen- 2015
CII National Cluster Summit- Continuous improvement”
2015
“Gold Award” at IIIE-National For Value Engineering case 2015
Productivity Competitions 2015 study
BT-Star “PSU Director/Head For CSR performance 2015
CSR of the Year” Award
“Performance Excellence Award For implementation of 5S 2015
67
by QCFI
“Performance Excellence Award For overall excellence in 2015
2014 by IIIE” performance
ICQCC 2015 at South Korea – 1 For implementation of QC 2015
Silver and 2 Bronze Illumination projects
awards
“India Steel Manufacturing For exploring opportunities in 2015
Product Leadership Award – the market for new products
2015” by Frost & Sullivan and maximizing the share of
value-added products
“VishwakarmaRashtriyaPuraskar” Innovative suggestions for 2015
by the Ministry of Labor and higher efficiency, productivity
Employment, GoI & process improvements
“CIO-100 Award” buy For operational and strategic 2015
International Data Group excellence in Information
Technology
“Excellent Energy Efficient For excellence in Energy 2015
Award- 2015” & “ Innovative Management
Project Award” by CII
“National Vigilance Excellence For Preventive Vigilance 2015
Award – 2015”
“Corporate Vigilance Excellence For promoting transparency in 2015
Award” by Institute of Public procedures and awareness in
Enterprise combating corruption
“Best Enterprise Award” under For outstanding contribution 2015
Maharatna&Navratna category by for the betterment of women
SCOPE employees
Star Performer Award by Ministry For outstanding exports 2015
of Commerce & Industry performance

68
 CHAPTER- 6

DATA ANALYSIS AND

INTERPRETATION

Questionnaire on Socio Economic Profile

1. Name:
2. Gender: Male Female
3. Age: _______Years
4. Education Qualification:
5. Designation:

69
 6. Department:
7. Years of experience:
o 1-5 Years
o 6-10 Years
o 11-15
o >15 Years
8. Marital Status:
o Married or cohabiting
o Separated
o Divorced
o Widowed
o Unmarried
9. Salary?
o Below 5000
o 5000-10000
o 10000-20000
o 20000-30000
o 30000 & above
10. Number of dependents
o None
o One
o Two
o Three
o Four and more

Questionnaire on Training programmes.

Please read the following statements carefully and tick the answer appropriately.
1. Strongly Agree (SA)
2. Agree (A)
3. Neutral (N)

70
4. Disagree (D)
5. Strongly Disagree. (SD)

S A N D S
A D
1. Senior staff takes interest and spend time with new
recruits during training.
2. The norms and values of the company were clearly
explained to the new employees.
3. Training programmes are well planned in advance.
4. Training programmes are given adequate
importance
5. Training programs are handled by competent
faculty/superiors.
6. Human relations Competencies are developed
through training in Human Skills
7. Identification of training needs is done on a
systematic basis
8. When employees are sponsored for training they
take it seriously and try to learn from the programs
they attend.
9. There is a adequate emphasis on developing
Managerial capabilities in the training program.
10. The employees are helped to acquire technical
knowledge and skills through training
11. The organizations future plans are made known to
the managerial staff to help them develop their
juniors and prepare them for future
12. Organization’s current HRD policies are relevant to
employee career planning and development
13. The top management is willing to invest a
considerable part of their time and other resources
to ensure the development of employees

71
14. HRD team advice and counsel the employee for
developing of employee.
15.Organization’s HR executives are fully aware of the
business needs and strategies
16.The organization has a wide network of
computerized human resource information system
with the latest software
17. Performance appraisal system is extended to all
members of the organization
18. The organization carries out succession planning in
order to ensure that executives are available to fill
gaps in key managerial positions
19. Organization has the practice of carrying attitude/
employee satisfaction surveys
20. The organization has provision for employee
recognition programmes and awards

72
GRAPHS AND INTERPRETATION:

1. Senior staff takes interest and spend time with new recruits during training.
30

25

20

15
Number of respondents
10

0
SA A N D SD

It can be seen that senior employees take considerate responsibility in training

the employees

73
2. The norms and values of the company were clearly explained to the new employees.
35

30

25

20
Number of respondents
15

10

0
SA A N D SD

It is very evident that all the employees are clearly made aware of the
underlying values of the organization and it is much expected from an
organization of such history.

3. Training programmes are well planned in advance.

25

20

15

Number of respondents
10

0
SA A N D SD

There are mixed opinions in regard with the training schedules. We can see that
majority(76%) agree that the planning is done well in advance but even so some
people (8%) still don’t agree to it.

74
 4. Training programmes are given adequate importance
35

30

25

20
Number of respondents 15

10

0
SA A N D SD

Most respondents (80%) believe that training program is given adequate

importance.

5. Training programs are handled by competent faculty/superiors.

30

25

20

15
Number of respondents
10

0
SA A N D SD

While 22% respondents strongly agree that their superiors are highly competent,
56% agree that seniors are competent enough. It is evident that there are people
(18%) who disagree with the above opinions.

75
6. Human relations Competencies are developed through training in Human Skills
25

20

15

Number of respondents
10

0
SA A N D SD

We can see that most people(78%) agree that human skills can be developed
through the given training while 16% respondents don’t agree to that.

7. Identification of training needs is done on a systematic basis

25

20

15

Number of respondents
10

0
1 2 3 4 5

We can see that 44% strongly agree, 10% normally agree, 20% are neutral, 22%
are against the opinion that identification of training needs is done on a
systematic basis.

76
8. When employees are sponsored for training they take it seriously and try to learn from the programs they attend.
20

18

16

14

12

10
Number of respondents
8

0
SA A N D SD

60% respondents agree that trainees take the training program seriously but
38% feel that training is not considered seriously.

9. There is a adequate emphasis on developing Managerial capabilities in the training program.

25

20

15

Number of respondents
10

0
SA A N D SD

77
Most respondents (78%) agree that training results in adequate increase in the
managerial capabilities of the employees undergoing training. However 6%
respondents strongly disagree to this.

10. The employees are helped to acquire technical knowledge and skills through training
40
35
30
25
20
Number of respondents
15
10
5
0
SA A N D SD

Most employees (98%) agree that technical knowledge and skills are acquired
through training programs.

11. The organizations future plans are made known to the managerial staff to help them develop their juniors and prepare them for future
40

35

30

25

20
Number of respondents
15

10

0
SA A N D SD

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It can be inferred that there is proper communication existing between the top
management and the HR executives based on the (90%) respondents that agree.

12. Organization’s current HRD policies are relevant to employee career planning and development
30

25

20

15
Number of respondents

10

0
SA A N D SD

It can be inferred that the organization pays attention to the career development
of the employees based on the (80%) respondents that agree.

13. The top management is willing to invest a considerable part of their time and other resources to ensure the development of employees
30

25

20

15
Number of respondents
10

0
SA A N D SD

Employee Development is well taken into consideration by the top management

and it can be inferred from the 82% respondents who agree in comparison to the
12% who disagree.

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14. HRD team advice and counsel the employee for developing of employee.
25

20

15

Number of respondents
10

0
SA A N D SD

90% respondents agree that the HRD team is active in regard with the
counseling of the employees for employee development.

15. Organization’s HR executives are fully aware of the business needs and strategies
40

35

30

25

20
Number of respondents
15

10

0
SA A N D SD

It is evident that the strategies are well communicated between the departments
including the HR department based on the86% respondents who agree in
comparison to the 10% who disagree.

80
16. The organization has a wide network of computerized human resource information system with the latest software
30

25

20

Number of respondents 15

10

0
SA A N D SD

In terms of technological advancements in HR the organization is doing well

and it can be inferred from the 78% respondents who agree against the 14 %
respondents who disagree.

17. Performance appraisal system is extended to all members of the organization

40
35
30
25
20
Number of respondents
15
10
5
0
SA A N D SD

In terms of performance appraisal as well the organization is doing well which

is inferred from the96% respondents who agree.

81
18. The organization carries out succession planning in order to ensure that executives are available to fill gaps in key managerial positions
45

40

35

30

25
Number of respondents
20

15

10

0
SA A N D SD

Succession planning as evident is really good in the organization as can be

inferred from the 90%respondents who agree.

19. Organization has the practice of carrying attitude/ employee satisfaction surveys
30

25

20

15
Number of respondents
10

0
SA A N D SD

Even though 74% agree that employee satisfaction surveys are practiced
regularly the remaining 26% says still there is room for improvement.

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20. The organization has provision for employee recognition programmes and awards
40

35

30

25

20
Number of respondents
15

10

0
SA A N D SD

We can observe that 96% employees agree with opinion that recognition
programmes and awards are executed well in the organisation.

CHAPTER 7
FINDINGS and SUGGESTIONS

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FINDINGS
 MD group has successfully implemented all the objectives it has been
adhered to
 Significance of MD group lies in the conduct of internal & External
Programs where it has been a fore frontier
 The in-house activities are growing gradually over the previous years in
terms of numbers.
 The number of students enrolled for project work is also on a gradual
shift generating more revenue than the previous years.
 The external programs include the facilities of external bodies who
conduct programs on a weekly basis and thus the overall development of
the employee comes to the picture.
 Initially the guest lectures by eminent personalities/technicians only adds
value to the overall development of the employee.

SUGGESTIONS
The management development group has been functioning at its best with all
the activities and programs intact. The QC is achieved almost thrice than its

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target and same goes to the “Srujan Vikas” which is almost double to its target.
The eminent personalities from various fields of management not only act as a
backbone to the overall development of the employee but also provide a scope
for the future development of oneself. The “Samalochana” sessions can be done
twice a quarter if the stipulations permit so that there could more interactions
between the executives and non-executives.

CONCLUSION
The Management Development of Visakhapatnam Steel Plant has gone for both
forward and backward integration. The strategic interests of the organization are
to the met by all it policies and programmes. The Visakhapatnam Steel Plant is
under expansion and its contribution to the society is commendable.

BIBLOGRAPHY
Books:
1. Dr Rama Kanta K. Patra (2011), Strategic Human Resource Management
and Organizational Development, New Delhi: Himalaya Publishing
House.
2. Rajesh Viswanathan (2010), Strategic Human Resource Management,
New Delhi: Himalaya Publishing House.
3. P. SubbaRao (2004), Personnel and Human Resource Management, New
Delhi: Himalaya Publishing House.
4. William B. Wrther & Keith Davis, Human Resources & Personnel
Management, Singapore: Me Graw – Hill.
5. Dipak Kumar Bhattacharyya (2009), Human Resource Management,
New Delhi: Excel Books.

Journals, magazines & Manuals:

1. V.S.P. Library

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 2. Annual report RINL / VSP 2012-13
3. “Ukkuvani” – The in-house journal of V.S.P.
4. Monthly manpower study by Management Services department
5. Personnel manual of personnel department of V.S.P
6. Q M S manual of Personnel department of V.S.P

Website:

1. http://www. vspsite.org
2. http://www.buseco.monash.edu.au
3. www.ijhssnet.com/journals
4. http://en.wikipedia.org
5. http://hr.uer.edu
6. http://www.investorwords.com

Abbreviations:

BF - Blast furnace
CCD -Continuous casting department
CO & CCP -Coke oven and coal chemical plant
ISO -International standards organization
LMMM -Light and medium merchant mill
MIS -Management information system
IMMSM -Medium merchant structural mill
MTPA -Million tons per annum
MT -Million ton
MW -Mega Watts
OSAS -Occupational health and safety assistant series
86
PSE -Public sector enterprise
OSHE - Quality safety health & environment
RH -Reheating
RINL -Rashtriya Ispat Nigam Limited
RMHP -Raw material handling plant
SBM -Special bar mill
SM -Structural mill
SMS -Steel melt shop
TG -Turbo generator
TPP -Thermal power plant
WRM -Wire rod mill

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