A

SUMMER INTERNSHIP PROJECT REPORT

ON
JOB SATISFACTION AT ITC

SUBMITTED BY

BBA VTH SEM

IN PARTIAL FULFILLMENT OF
THE REQUIREMENT OF BBA PROGRAMME (HNBU)

INTERNAL GUIDE EXTERNAL GUIDE

SGRRITS PATEL NAGAR DEHRADUN

(UTTARAKHAND)
BATCH (2016-2019)
 COMPANY PROFILE

ITC is one of India's foremost private sector companies with a market capitalization of nearly
US $ 18 billion and a turnover of over US $ 4.75 billion. ITC is rated among the World's Best
Big Companies, Asia's 'Fab 50' and the World's Most Reputable Companies by Forbes magazine,
among India's Most Respected Companies by Business World and among India's Most Valuable
Companies by Business Today. ITC also ranks among India's top 10 `Most Valuable (Company)
Brands', in a study conducted by Brand Finance and published by the Economic Times.

ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging,
Agri-Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel,
Personal Care, Stationery, Safety Matches and other FMCG products. While ITC is an
outstanding market leader in its traditional businesses of Cigarettes, Hotels, Paperboards,
Packaging and Agri -Exports, it is rapidly gaining market share even in its nascent businesses of
Packaged Foods & Confectionery, Branded Apparel, Personal Care and Stationery.

As one of India's most valuable and respected corporations, ITC is widely perceived to be
dedicatedly nation-oriented. Chairman Y C Deveshwar calls this source of inspiration "a
commitment beyond the market". In his own words: "ITC believes that its aspiration to create
enduring value for the nation provides the motive force to sustain growing shareholder value.
ITC practices this philosophy by not only driving each of its businesses towards international
competitiveness but by also consciously contributing to enhancing the competitiveness of the
larger value chain of which it is a part."
ITC's diversified status originates from its corporate strategy aimed at creating multiple drivers
of growth anchored on its time-tested core competencies: unmatched distribution reach, superior
brand-building capabilities, effective supply chain management and acknowledged service skills
in hoteliering. Over time, the strategic forays into new businesses are expected to garner a
significant share of these emerging high-growth markets in India.

TC's Agri-Business is one of India's largest exporters of agricultural products. ITC is one of the
country's biggest foreign exchange earners (US $ 2.8 billion in the last decade). The Company's
'e-Choupal' initiative is enabling Indian agriculture significantly enhance its competitiveness by
empowering Indian farmers through the power of the Internet. This transformational strategy,
which has already become the subject matter of a case study at Harvard Business School, is
expected to progressively create for ITC a huge rural distribution infrastructure, significantly
enhancing the Company's marketing reach.

ITC's wholly owned Information Technology subsidiary, ITC Infotech India Limited, is
aggressively pursuing emerging opportunities in providing end-to-end IT solutions, including e-
enabled services and business process outsourcing.

ITC's production facilities and hotels have won numerous national and international awards for
quality, productivity, safety and environment management systems. ITC was the first company
in India to voluntarily seek a corporate governance rating.

ITC employs over 21,000 people at more than 60 locations across India. The Company
continuously endeavors to enhance its wealth generating capabilities in a globalising
environment to consistently reward more than 3,71,000 shareholders, fulfill the aspirations of its
stakeholders and meet societal expectations. This over-arching vision of the company is
expressively captured in its corporate

positioning statement: "Enduring Value.

HISTORY AND EVOLUTION

Company was established on 24 August,1910.Its beginnings were humble. A leased office on

Rodham Bazar Lane, Kolkata, was the centre of the Company's existence. The Company
celebrated its ITC was incorporated on August 24, 1910 under the name of 'Imperial Tobacco
16th birthday on August 24, 1926, by purchasing the plot of land situated at 37, Chowringhee,
(now renamed J.L. Nehru Road) Kolkata, for the sum of Rs 310,000. This decision of the
Company was historic in more ways than one. It was to mark the beginning of a long and
eventful journey into India's future. The Company's headquarter building, 'Virginia House',
which came up on that plot of land two years later, would go on to become one of Kolkata's most
venerated landmarks. The Company's ownership progressively Indianised, and the name of the
Company was changed to I.T.C. Limited in 1974. In recognition of the Company's multi-
business portfolio encompassing a wide range of businesses - Cigarettes & Tobacco, Hotels,
Information Technology, Packaging, Paperboards & Specialty Papers, Agri-Exports, Foods,
Lifestyle Retailing and Greeting Gifting & Stationery - the full stops in the Company's name
were removed effective September 18, 2001. The Company now stands rechristened 'ITC
Limited'.

 Though the first six decades of the Company's existence were primarily devoted to the
growth and consolidation of the Cigarettes and Leaf Tobacco businesses, the
Seventies witnessed the beginnings of a corporate transformation that would usher in
momentous changes in the life of the Company.
 ITC's Packaging & Printing Business was set up in 1925 as a strategic backward
integration for ITC's Cigarettes business. It is today India's most sophisticated
packaging house.
 In 1975 the Company launched its Hotels business with the acquisition of a hotel in
Chennai which was rechristened 'ITC-Welcom group Hotel Chola'. The objective of
ITC's entry into the hotels business was rooted in the concept of creating value for the
nation. ITC chose the hotels business for its potential to earn high levels of foreign
exchange, create tourism infrastructure and generate large scale direct and indirect
employment. Since then ITC's Hotels business has grown to occupy a position of
leadership, with over 70 owned and managed properties spread across India.

 In 1979, ITC entered the Paperboards business by promoting ITC Bhadrachalam

Paperboards Limited, which today has become the market leader in India.
Bhadrachalam Paperboards amalgamated with the Company effective March 13, 2002
and became a Division of the Company, Bhadrachalam Paperboards Division. In
November 2002, this division merged with the Company's Tribeni Tissues Division to
form the Paperboards & Specialty Papers Division. ITC's paperboards' technology,
productivity, quality and manufacturing processes are comparable to the best in the
world. It has also made an immense contribution to the development of Sarapaka, an
 economically backward area in the state of Andhra Pradesh. It is directly involved in
education, environmental protection and community development. In 2004, ITC
acquired the paperboard manufacturing facility of BILT Industrial Packaging Co. Ltd
(BIPCO), near Coimbatore, Tamil Nadu. The Kovai Unit allows ITC to improve
customer service with reduced lead time and a wider product range.
 In 1985, ITC set up Surya Tobacco Co. in Nepal as an Indo-Nepal and British joint
venture. Since inception, its shares have been held by ITC, British American Tobacco
and various independent
 paper manufacturing company and a major supplier of tissue paper to the cigarette
industry. The merged entity was named the Tribeni Tissues shareholders in Nepal. In
August 2002, Surya Tobacco became a subsidiary of ITC Limited and its name was
changed to Surya Nepal Private Limited (Surya Nepal).

In 1990, ITC acquired Tribeni Tissues Limited, a Specialty Division (TTD). To harness strategic
and operational synergies, TTD was merged with the Bhadrachalam Paperboards Division to
form the Paperboards & Specialty Papers Division in November 2002.

 Also in 1990, leveraging its agri-sourcing competency, ITC set up the Agri Business
Division for export of agri-commodities. The Division is today one of India's largest
exporters. ITC's unique and now widely acknowledged e-

Choupal initiative began in 2000 with soya farmers in Madhya Pradesh. Now it extends
to 9 states covering over 4 million farmers. ITC's first rural mall, christened 'Choupal
Saagar' was inaugurated in August 2004 at Sehore. On the rural retail front, 24 'Choupal
Saagars' are now operatonal in the 3 states of Madhya Pradesh, Maharashtra and Uttar
Pradesh.

 In 2000, ITC launched a line of high quality greeting cards under the brand name
'Expressions'. In 2002, the product range was enlargedwith the introduction of Gift
wrappers, Autograph books and Slam books. In the same year, ITC also launched
'Expressions Matrubhasha', a vernacular range of greeting cards in eight languages
 and 'Expressions Paperkraft', a range of premium stationery products. In 2003, the
company rolled out 'Classmate', a range of notebooks in the school stationery segment
 ITC also entered the Lifestyle Retailing business with the Wills Sport range of
international quality relaxed wear for men and women in 2000. The Wills Lifestyle
chain of exclusive stores later expanded its range to include Wills Classic formal wear
(2002) and Wills Clublife evening wear (2003). ITC also initiated a foray into the
popular segment with its men's wear brand, John Players, in 2002. In 2006, Wills
Lifestyle became title partner of the country's most premier fashion event - Wills
Lifestyle India Fashion Week - that has gained recognition from buyers and retailers
as the single largest B-2-B platform for the Fashion Design industry. To mark the
occasion, ITC launched a special 'Celebration Series', taking the event forward to
consumers. In 2007, the Company introduced 'Miss Players'- a fashion brand in the
popular segment for the young woman.

In 2000, ITC spun off its information technology business into a wholly owned subsidiary, ITC
Infotech India Limited, to more aggressively pursue emerging opportunities in this area. Today
ITC Infotech is one of India’s fastest growing global IT and IT-enabled services companies and
has established itself as a key player in offshore outsourcing, providing outsourced IT solutions
and services to leading global customers across key focus verticals - Manufacturing, BFSI
(Banking, Financial Services & Insurance), CPG&R (Consumer Packaged

ITC's foray into the Foods business is an outstanding example of successfully blending multiple
internal competencies to create a new driver of business growth. It began in August 2001 with
the introduction of 'Kitchens of India' ready-to-eat Indian gourmet dishes. In 2002, ITC entered
the confectionery and staples segments with the launch of the brands mint-o and Candyman
confectionery and Aashirvaad atta (wheat flour). 2003 witnessed the introduction of Sunfeast as
the Company entered the biscuits segment. ITC's entered the fast growing branded snacks
category with Bingo! in 2007. In just six years, the Foods business has grown to a significant
size with over 200 differentiated products under six distinctive brands, with an enviable
distribution reach, a rapidly growing market share and a solid market standing.
 2003 marked the manifestation of its partnership with the cottage sector. ITC's popular
agarbattis brands include Spriha and Mangaldeep across a range of fragrances like
Rose, Jasmine, Bouquet, Sandalwood, Madhur, Sambrani and Nagchampa.
 ITC introduced Essenza Di Wills, an exclusive range of fine fragrances and bath &
body care products for men and women in July 2005. Inizio, the signature range under
Essenza Di Wills provides a comprehensive grooming regimen with distinct lines for
men (Inizio Homme) and women (Inizio Femme). Continuing with its tradition of
bringing world class products to Indian consumers the Company launched 'Fiama Di
Wills', a premium range of Shampoos, Shower Gels and Soaps in September, October
and December 2007 respectively. The Company also launched the 'Superia' range of
Soaps d and shampoos in the mass-market segment at select markets in October 2007
and February 2008.
 HUMAN RESOURCE MANAGEMENT AT ITC

Human beings are the dynamic elements of Management.The success of an enterprise will
depend upon the caliber and motivation of persons working on it .All organizational structures
require different types of people.The human resourse management refers to the problem of
selecting, training ,motivating and retaining personnel in any organization.It is concerned with
recruitment,training and development of personnel.

A Big organization requires a large number of person every year this necessitates locating of
appropriate person who can be hired apart of human resourse mamagement is assigned to
perssonel department.This department performs some of the staffing function on behalf of
managers.The managers should be involved in preparation and execution of staffing policies so
that while incorporating it they have the support of best possible staff.The managers should
devote sufficient time for human resourse management.

VALUE OF HUMAN RESOURCE MANAGEMENT

Human resourse is the most important asset of an organization . Planning for human resourses is
an important managrrial function . It ensures adequate supply,proper quantity and quality as well
as effective utilization of human resources . There is generally a shortage of suitable person . An
organization will determine its manpower needs and then find out the sources from which the
requrirements will be met . If sufficient manpower is not available then mgmt willsuffer .job
opportunities are available in these countries but proper persons are not there.These countries try
to import skill from other countries.In order to meet human resourses need,an organization will
have to plan in advance about its requirements and the sourses,etc.

CRITICAL SUCCESS FACTOR OF ITC LIMITED

 FINANCIAL STRENGTH
 BRAND RECOGNITION
 YIELD MANAGEMENT SITE AND LOCATION
 POSITIONING AND GUEST PROFILE
 DIFFERENTIAL PRICING
ABOUT JOB SATISFACTION

Definitions of Job Satisfaction

 Job satisfaction has been defined as a pleasurable emotional state resulting from the

appraisal of one’s job

 an affective reaction to one’s job

 and an attitude towards one’s job

 Job satisfaction is an attitude but points out that researchers should clearly distinguish

the objects of cognitive evaluation which are affect (emotion), beliefs and behaviours.

 ‘The pleasure derived from a job well done, from knowing that what you do is

appreciated, valuable to someone’.

 Job satisfaction

Job satisfaction is in regard to one’s feelings or state of mind regarding the nature of their work.

Job satisfaction can be influenced by a variety of factors, e.g. the quality of one’s relationship

with their supervisor, the quality of physical environment in which they work, degree of

fulfillment in their work etc.

The happier people are within their job, the more satisfied they are said to be. Job satisfaction is

not the same as motivation, although it is clearly linked. Job design aims to enhance job

satisfaction and performance; methods include job rotation, job enlargement and job enrichment.

Other influences on satisfaction include the management style and culture, employee

involvement, empowerment and autonomous work groups. Job satisfaction is a very important

attribute which is frequently measured by organizations. The most common way of measurement

is the use of rating scales where employees report their reactions to their jobs. Questions relate to

rate of pay, work responsibilities, variety of tasks, promotional opportunities the work itself and

co-workers. Some questioners ask yes or no questions while others ask to rate satisfaction on 1-5

scale (where 1 represents "not at all satisfied" and 5 represents "extremely satisfied").

DETERMINANTS OF JOB SATISFACTION

 Supervision: It is one of the most important factors in Job Satisfaction. Employee

oriented or considerate supervisors who take personal interest in their subordinates &
 display friendship, mutual trust, respect and warmth, have been found to have

subordinates who are relatively more satisfied with their job.

 The Work Group: People seek satisfaction of their social & psychological needs in

interaction with others in a group situation. Isolated workers dislike their jobs.

 Job Content: HERZBERG hold the view that job content factors such as achievement,

recognition, advancement, responsibility & the work itself tend to provide satisfaction but

there absences doesn’t tend to create dissatisfaction.

 Occupational Level: A large number of research studies have shown that there is a

positive relationship between the level or hierarchical status of a person and his job

satisfaction.

 Specialization: Specialization has no doubt resulted in greater efficiency, but it has also

contributed to dissatisfaction, repetitiveness of the task is found to be boring and

monotonous by workers. ‘Workers who carried out a number of operations expressed

satisfaction with their job’ – said WALKER & GUEST.

 Age: Workers in the advanced age group tend to feel more satisfied with their job

because they have adjusted with their job condition but younger workers; tend to feel

dissatisfaction with their job conditions because they have high ambitions about their

carrier advancement.

JOB SATISFACTION & PRODUCTIVITY

It was believed for a long time, particularly by human relations experts, that satisfied, workers

were productive workers, but later researchers sounds it to be a myth. No doubt some studies
have reported positive correlation between satisfaction & productivity but these are often not

statistically significant.

BAYFIELD & CROCKETT concluded from a review of a number of research studies that job

satisfaction did not necessarily imply high performance and that “production may be only

peripherally related to many of the goals towards which the industrial worker may be striving”.

Relationship between satisfaction & productivity is very complex. There are four possible

relationships:

o High Satisfaction & Low Productivity: Highly satisfied workers may turn out to be low

in productivity, if management is interested only in “keeping the employees happy”, and

not demanding of high productivity.

1. High Satisfaction & High Productivity: It exists when supervisor is both employee

oriented as well as task oriented. He tries his best to help his employees in the fulfillment

of their social & psychological needs.

o Low Satisfaction & Low Productivity: It occurs when the supervisor is ‘laissez faire’

type. He neither takes care of employees needs not of production.

o Low Satisfaction & High Productivity: It may be found to exists together where a

highly task oriented and coercive supervisor uses scientific management techniques to

push up production without any regard to employee needs and feelings.

 What the job offers to the

employee.

Job Voluntary

MATCH
Satisfaction Resignation
YES NO
 Employee Vocational

Needs

Employee Job Satisfaction- A Conceptual Model

Determining Employee Job Satisfaction

The success of knowledge transfer and knowledge sharing relies on employee job satisfaction

and the stability of the workplace. Job satisfaction can be derived from the degree of match

between an employee’s vocational needs and the requirements of the job.

Some key vocational needs:

 Level of Achievement

 Ability utilization

 Advancement

 Level of Activity

 Authority

 Level of Creativity

 Compensation
  Independence

 Moral Values

 Level of responsibility

 Recognition

 Status

 Job Security

 Supervision (human relations)

 Supervision (technical)

 Variety

 Conditions of Wor

A Job Design for Employee Job Satisfaction

A job consists of following things in order to satisfy the employee from his/her job:-

 Experience variety in the task to avoid boredom.

 Is given responsibility to suit his ability.

 Has an opportunity to display his skills.

 Get a chance to develop a sense of accomplishment and self growth.

 Has an opportunity to control the work.

 Is able to participate in problem solving and decision making.

 Has an opportunity to learn new skills and to grow and develop with the organization.

 Proper technology for doing the work must be provided to the employee.
Measuring Job satisfaction

There are many methods for measuring job satisfaction. By far, the most common method for

collecting data regarding job satisfaction is the Likert scale (named after Rensis Likert). Other

less common methods of for gauging job satisfaction include:

 Yes/No questions

 True/False questions

 Point systems

 Checklists

 Forced choice answers.

The Job Descriptive Index (JDI), created by “Smith, Kendall, & Hulin” (1969), is a specific

questionnaire of job satisfaction that has been widely used. It measures one’s satisfaction in five

facets:

 Pay

 Promotions and promotion opportunities

 Coworkers

 Supervision

 Work

The scale is simple, participants answer either yes, no, or can’t decide (indicated by ‘?’) in

response to whether given statements accurately describe one’s job.

The Job in General Index is an overall measurement of job satisfaction. It is an improvement to

the Job Descriptive Index because the JDI focuses too much on individual facets and not enough

on work satisfaction in general.

Other job satisfaction questionnaires include:

o The Minnesota Satisfaction Questionnaire (MSQ) measures job satisfaction in 20

facets and has a long form with 100 questions (five items from each facet) and a short

form with 20 questions (one item from each facet).

o The Job Satisfaction Survey (JSS) is a 36 item questionnaire that measures nine facets

of job satisfaction.

The Faces Scale of job satisfaction, one of the first scales used widely, measured overall job
satisfaction with just one item which participants respond to by

Indicators of Job Dissatisfaction

There are various indicators which reflect that the employee is dissatisfied from the job, and

management or the superior must check these in order to recognize the problem of that employee

and try to solve it out in order to create satisfaction, which is beneficial for both employee as

well as the
RESEARCH METHODOLOGY

Research Objective : To find “Job Satisfaction of employees in I.T.C.”

Type of Research : Descriptive research

Type of Data : 1) Primary Data: “Primary data is the data collected for the

first time”

Primary data sources include the unstructured interview of the

concerned authorities & questionnaire.

: 2) Secondary Data: “Data collected by some other means like

newspapers, reports, magazines, etc.”

Secondary data sources include reports and website of the

organization.

Research Method : Survey Method

Research Instrument : Questionnaire

Sampling Plan : 1) Sample Size: 100

2) Sample Unit: Executive Level

3) Sample Area: ITC, HARIDWAR

A total 70 Questionnaires were distributed and 50 of them replied.