EXECUTIVE SUMMARY

I have made this Project report as an essential part of VI semester course curriculum of BBA. The
title of project is “a study of HR practices in ITC” at ITC Ghaziabad.
In the course of my training I have had the golden opportunity of seeing the practical application
of what ever theoretical knowledge was imparted to me in a class room studies at Learning Point
Sec-16 Noida I have had the good fortune in interacting with the executive and employee of ITC
Ghaziabad who were very warm and cordial in their conduct toward me.
My report mainly focuses on “study of HR practices in ITC”. I hope that the finding of the project
work must conform with the companies expectation & suggestion made on that basis must be
useful for the total performance of the employees of the “ITC Ghaziabad.”

OBJECTTVE
 The main objective of the study is as follows:
 To know the recruitment & selection procedures adopted in this company.
 To improve training and development programs used in the company.
 To know how the performance of the employees is being appraised.
 To provide better employee welfare.
 To increase the labor productivity.

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CHAPTER-1
INTRODUCTION
Certification of ITC

ITC constantly endeavors to benchmark its products, services and processes to global standards.
The Company’s pursuit of excellence has earned it national and international honors. ITC is one
of the eight Indian companies to figure in Forbes A-List for 2004, featuring 400 of '^the world's
best big companies". Foibes has also named ITC among Asia’s’Fab 50’ and the World’s Most
Reputable Companies

ITC IS the first Indian company and the second in the world to win the
prestigious
 Development Gateway Award. It won the $100,000 Award for the year 2005 for its
trailblazing ITC e-Choupal initiative which has achieved the scale of a movement in rural
India. The Development Gateway Award recognizes ITC’s e-Choupal as the most
exemplary contribution in the field of Information and Communication Technologies (ICT)
for development during the last 10 years. ITC e-Choupal won the Award for the importance
of its contribution to development priorities like poverty reduction, its scale and
replicability, sustainability and transparency.

2
  ITC has won the inaugural ’World Business Award’, the worldwide business award
recognizing companies who have made significant efforts to create sustainable livelihood
opportunities and enduring wealth in developing countries. The award has been instituted
jointly by the United Nations Development Programmed (UNDP), International
Chamber of Commerce (ICC) and the HRH Prince of Wales International Business
Leaders Forum (IBLF).

 ITC is the first Corporate to receive the Annual FlCCl Outstanding Vision Corporate Triple
Impact Award in 2007 for its invaluable contribution to the triple bottom line benchmarks
of building economic, social and natural capital for the nation.
 ITC has won the Golden Peacock Awards for * Corporate Social Responsibility (Asia)' in
2007, the Award for ‘CSR in Emerging Economies 2005* and ‘Excellence in Corporate
Governance' in the same year. These Awards have been instituted by the Institute of
Directors, New Delhi, in association with the World Council for Corporate Governance
and Centre for Corporate Governance
 ITC's cigarette factory in Kolkata is the first such unit in India to get ISO 9000 quality
certification and the first among cigarette factories in the world to be awarded the ISO
14001 certification
 ITC Maury a in New Delhi is the first hotel in India to get the coveted ISO 14001
Environment Management Systems certification.
 ITC Filirona is the first cigarette filter company in the world to obtain ISO 14001
 ITC Infotech finds pride of place among a select group of SEl CMM Level 5 companies in
the world.
 ITC's Green Leaf Threshing plant in Chirala is the first in India and among the first 10 units
in the world to bag the Social Accountability (SA 8000) certification
ITC Chairman Y C Deveshwar has received several honors over the years. Notable among
them are:

Award
ITC has won the Enterprise Business Transformation Award* for Asia Pacific (Apac), instituted
by Infosys Technologies and Wharton School of the University of Pennsylvania for its celebrated
e-Choupal initiative.
ITC is the only Indian FMCG Company to have featured in the Forbes 2000 list The Forbes 2000
is a comprehensive ranking of the world's biggest companies, measured by a composite of sales,
profits, assets and market value. The list spans 51 countries and 27 industries.
ITC continues its dominance of The Economic Times* Brand Equity listing of India's 100 Biggest
FMCG Brands, with three brands from its stable making it to the top five. Gold Flake remains
India's biggest FMCG brand in terms of sales. Navy Cut ranks at No. 4. ITC's Scissors brand ranks
at No 5 and is the only new entrant into the top 10.

3
Restaurant magazine has chosen Bukhara at the ITC Maurya, New Delhi as the best Indian
restaurant in the world and the best restaurant in Asia. Bukhara has also been adjudged one of the
top 50 restaurants in the world by the London based magazine 'The Good Food Guide*. Bukhara
is the only South Asian restaurant to figure in the list.
ITC's Lifestyle Retailing Business Division (LRBD) has won the "Best SupplyChain Practices
Award" for time^effective and cost-efficient Logistics Management in Organized Retail. The
awards were organized by Retailers Association of India (rai) in association with ITW Signode -
the International leaders in packaging solutions.

4
CHAPTER-2
INDUSTRY PROFILE
ITC’s market strategies are:
Create multiple drivers of growth by developing a portfolio of world class businesses that best
matches organizational capability with opportunities in domestic and export markets.
Continue to focus on the chosen portfolio of FMCG, Hotels, Paper, Paperboards & Packaging,
Agri Business and Information Technology.
Benchmark the health of each business comprehensively across the criteria of Market Standing,
Profitability and Internal Vitality.
Ensure that each of its businesses is world class and internationally competitive.
Enhance the competitive power of the portfolio through synergies derived by blending the diverse
skills and capabilities residing in ITC’s various businesses.
Create distributed leadership within the organisation by nurturing talented and fix^used top
management teams for each of the businesses.
Continuously strengthen and refine Corporate Governance processes and systems to catalyse the
entrepreneurial energies of management by striking the golden balance between executive freedom
and the need for effective control and accountability.

The ITC Vision

Sustain ITC's position as one of India's most valuable corporations through world class
performance, creating growing value for the Indian economy and the Company's stakeholders

The ITC Mission

To enhance the wealth generating capability of the enterprise in a globalising environment,
delivering superior and sustainable stakeholder value

ITCs EHS Policy

ITC's mission is to sustain and enhance the wealth-generating capacity of its portfolio of businesses
in a progressively globalising environment. As one of India's premier corporations employing a
vast quantum of societal resources, ITC seeks to fulfil a larger role by enlarging its contribution to
the society of which it is a part. The trusteeship role related to social and environmental resources,
aligned to the pursuit of economic objectives, is the cornerstone of ITC's Environment, Health and
Safety philosophy. ITC’s EHS philosophy cognises for the twin needs of conservation and creation
of productive resources.
In the multi-business context of ITC, Corporate Strategies are designed to create enduring value
for the nation and the shareholder, through leadership in each business and theattainment of world-

5
class competitive capabilities across the value chain. The objectiveof leadership extends to all
facets of business operations including Environment, Health and Safety.
ITC is, therefore, committed to conducting its operations with due regard for the environment, and
providing a safe and healthy workplace for each employee. Various international and national
awards and accreditations stand testimony to ITC's commitment to EHS. Such external recognition
further reinforces the need to direct the collective endeavour of the Company's employees at all
levels towards sustaining and continuously improving standards of Environment, Health and
Safety in a bid to attain and exceed benchmarked standards, whether regulatory or otherwise.

ID particular, it is ITC's EHS policy -

To contribute to sustainable development through the establishment and implementation of
environment standards that are scientifically tested and meet the requirement of relevant laws,
regulations and codes of practice.
To take account of environment, occupational health and safety in planning and decision- making.
To provide appropriate training and disseminate information to enable all employees to accept
individual responsibility for Environment, Health and Safety, implement best practices, and work
in partnership to create a culture of continuous improvement.
To instil a sense of duty in every employee towards personal safety, as well as that of others who
may be affected by the employee's actions.
To provide and maintain facilities, equipment, operations and working conditions which are safe
for employees, visitors and contractors at the Company’s premises.
To ensure safe handling, storage, use and disposal of all substances and materials that are classified
as hazardous to health and environment.
To reduce waste, conserve energy, and promote recycling of materials wherever possible.
To institute and implement a system of regular EHS audit in order to assure compliance with laid
down policy, benchmarked standards, and requirements of laws, regulations and applicable codes
of practice.
To proactively share information with business partners towards inculcatingworld-class EHS
standards across the value chain of which ITC is a part.
All employees of ITC are expected to adhere to and comply with the EHS Policy and Corporate
Standards on EHS.
ITC's EHS Policy extends to all sites of the Company. It will be the overall responsibility of the
Divisional/SB U Chief Executives, through the members of their Divisional Management
Committees, General Managers and Unit Heads, to ensure implementation of this Policy and
Corporate Standards on EHS, including formation of various committees and designating
individuals for specific responsibilities in respect of their Division/S BU.The Corporate EHS

6
Department is responsible for reviewing and updating Corporate Standards on EHS, and for
providing guidance and support to all concern.

Corporate Governance
Preamble
Over the years, ITC has evolved from a single product company to a multi-business corporation.
Its businesses are spread over a wide spectrum, ranging from cigarettes and tobacco to hotels,
packaging, paper and paperboards and international commodities trading. Each of these businesses
is vastly different from the others in its type, the state of its evolution and the basic nature of its
activity, all of which influence the choice of the form of governance. The challenge of governance
for ITC therefore lies in fashioning a model that addresses the uniqueness of each of its businesses
and yet strengthens the unity of purpose of the Company as a whole.
Since the commencement of the liberalization process, India's economic scenario has begun to
alter radically. Globalizations will not only significantly heighten business risks, but will also
compel Indian companies to adopt international norms of transparency and good governance.
Equally, in the resultant competitive context, freedom of executive management and its ability to
respond to the dynamics of a fast changing business environment will be the new success factors.
FTC's governance policy recognises the challenge of this new business reality in India.

DEFINITION AND PURPOSE

ITC defines Corporate Governance as a systemic process by which companies are directed and
controlled to enhance their wealth generating capacity. Since large corporations employ vast
quantum of societal resources, we believe that the governance process should ensure that these
companies are managed in a manner that meets stakeholder’s aspirations and societal expectations.

CORE PRINCIPLES
ITC's Corporate Governance initiative is based on two core principles. These are :
Management must have the executive freedom to drive the enterprise forward without undue
restraints; and
This freedom of management should be exercised within a framework of effective accountability.
ITC believes that any meaningful policy on Corporate Governance must provide empowerment to
the executive management of the Company, and simultaneously create a mechanism of checks and
balances which ensures that the decision making powers vested in the executive management is
not only not misused, but is used with care and responsibility to meet stakeholder aspirations and
societal expectations.

Cornerstones
From the above definition and core principles of Corporate Governance emerge th cornerstones of
ITC's governance philosophy, namely trusteeship, transparency, empowerment and accountability,

7
control and ethical corporate citizenship. ITC believes that the practice of each of these leads to
the creation of the right corporate culture in which the company is managed in a manner that fulfils
the purpose of Corporate Governance.

Trusteeship:
ITC believes that large corporations like itself have both a social and economic purpose. They
represent a coalition of interests, namely those of the shareholders, other providers of capital,
business associates and employees. This belief therefore casts a responsibility of trusteeship on the
Company's Board of Directors. They are to act as trustees to protect and enhance shareholder value,
as well as to ensure that the Company fulfils its obligations and responsibilities to its other
stakeholders. Inherent in the concept of trusteeship is the responsibility to ensure equity, namely,
that the rights of all shareholders, large or small, are protected.

Transparency:
ITC believes that transparency means explaining Company's policies and actions to those to whom
it has responsibilities. Therefore transparency must lead to maximum appropriate disclosures
without jeopardizing the Company's strategic interests. Internally, transparency means openness
in Company's relationship with its employees, as well as the conduct of its business in a manner
that will bear scrutiny. We believe transparency enhances accountability.

Empowerment and Accountability :

Empowerment is an essential concomitant of ITC's first core principle of governance that
management must have the freedom to drive the enterprise forward. ITC believes that
empowerment is a process of actualising the potential of its employees. Empowerment unleashes
creativity and innovation throughout the organisation by truly vesting decision* making powers at
the most appropriate levels in the organisational hierarchy.
ITC believes that the Board of Directors are accountable to the shareholders, and the management
is accountable to the Board of Directors. We believe that empowerment, combined with
accountability, provides an impetus to performance and improves effectiveness, thereby enhancing
shareholder value.

Control:
ITC believes that control is a necessary concomitant of its second core principle of governance
that the freedom of management should be exercised within a framework of appropriate checks
and balances. Control should prevent misuse of power, facilitate timely management response to
change, and ensure that business risks are pre-emptively and effectively managed.

Ethical Corporate Citizenship:

ITC believes that corporations like itself have a responsibility to set exemplary standards of ethical
behavior, both internally within the organisation, as well as in their external relationships. We
believe that unethical behavior corrupts organizational culture and undermines stakeholder value.

8
ITC Ltd. Policy on Human Rights
ITC believes that all its employees must live with social and economic dignity and freedom,
regardless of nationality, gender, race, economic status or religion, in the management of its
businesses and operations therefore, ITC ensures that it upholds the spirit of human rights as
enshrined in existing international standards such as the Universal Declaration and the
Fundamental Human Rights Conventions of the ILO.

Policy
ITC upholds international human rights standards, does not condone human rights abuses, and
creates and nurtures a working environment where human rights are respected without prejudice.

Implementation
The Corporate Human Resources function of ITC is responsible for the Human Rights Policy
design, implementation and updating. The policy is implemented at all locations of ITC through a
set of separate policies and procedures covering each of the main constituents of human rights
applicable at the workplaces.

Monitoring Audit
The assessment procedures for different constituents of this policy are defined against each specific
policy.

Consideration of Human Rights Impacts across the Supply Chain

As a large and multi-product enterprise whose products are benchmarked nationally and
internationally, ITC's main supply chains can be grouped as follows:
For all its operations, technology, machinery and equipment are sourced from reputed and globally
benchmarked suppliers/vendors who are expected to follow internationally accepted norms and
standards on human rights.
ITCs major businesses are vertically integrated across several Divisions. A substantial part of the
supply chain is therefore internal through strategic backward linkages. Common values relating to
human rights performance are shared across this supply chain.
Being a major agri-based company, the agriculture sector is a major supplier of inputs for its
operations. The bulk of agricultural commodities are procured from state controlled trading
platforms and the open market.
A very small proportion of ITC's business consists of supply chains comprising local vendors and
suppliers. The policy framework for such entities is enunciated separately in Policy to Ensure
Respect for Human Rights across the Supply Chain

9
 Policy to Prevent Discrimination at Workplace ITC acknowledges that every individual brings a
different and unique set of perspectives and capabilities to the team. A discrimination-free
workplace for employees provides the environment in which diverse talents can bloom and be
nurtured. This is achieved by ensuring that a non-discrimination policy and practice is embedded
across the Company in line with corporate principles and benchmarked business practices.

Policy
ITC's approach to its human resources is premised on the fundamental belief in fostering
meritocracy in the organisation which, pari passu, promotes diversity and offers equality of
opportunity to all employees. ITC does not engage in or support direct or indirect discrimination
in recruitment, compensation, access to training, promotion, termination or retirement based on
caste, religion, disability, gender, age, race, colour, ancestry, marital status or affiliation with a
political, religious, or union organization or minority group.

Implementation
The policy is communicated to all employees through induction programmers, policy manuals and
intranet portals. The custodian of this policy is the head of each operational unit and Divisional
Chief Executives of the respective business. YTOs complaints resolution procedure is premised
on the freedom of employees to approach higher officials beyond his/her immediate superior. For
the unionized employees, compliance of the policy is ensured through a robust grievance handling
procedure and the presence of a union that brings violations to the notice of the unit HR head.

Monitoring & Auditing

The accountability for the application of the non-discrimination employment policy rests with the
Unit Head who reviews anti-discriminatory complaints annually or on a case-by- case basis.
The Corporate Human Resources function conducts non-discrimination reviews annually on a
sample basis with unit heads and through on-site assessments ITC's Core Values are aimed at
developing a customer-focused, high- performance organisation which creates value for all its
stakeholders:

Trusteeship
As professional managers, we are conscious that ITC has been given to us in "trust" by all our
stakeholders. We will actual is e stakeholder value and interest on a long terra sustainable basis.

Customer Focus
We are always customer focused and will deliver what the customer needs in terms of value,
quality and satisfaction.
Respect for People
We are result oriented, setting high performance standards for ourselves as individuals and teams.
We will simultaneously respect and value people and uphold humanness and human dignity.
10
We acknowledge that every individual brings different perspectives and capabilities to the team
and that a strong team is founded on a variety of perspectives.
We want individuals to dream, value differences, create and experiment in pursuit of opportunities
and achieve leadership through teamwork.
Excellence
We do what is right, do it well and win. We will strive for excellence in whatever we do.
Innovation
We will constantly pursue newer and better processes, products, services and management
practices.
Nation Orientation
We are aware of our responsibility to generate economic value for the Nation. In pursuit of our
goals, we will make no compromise in complying with applicable laws and regulations at all levels
ITC believes that all its employees must live with social and economic dignity and freedom,
regardless of nationality, gender, race, economic status or religion. In the management of its
businesses and operations therefore, ITC ensures that it upholds the spirit of human rights as
enshrined in existing international standards such as the Universal Declaration and the
Fundamental Human Rights Conventions of the ILO.
Policy
ITC upholds international human rights standards, does not condone human rights abuses, and
creates and nurtures a working environment where human rights are respected without prejudice.
Implementation
The Corporate Human Resources function of ITC is responsible for the Human Rights Policy
design, implementation and updating.
The policy is implemented at all locations of ITC through a set of separate policies and procedures
covering each of the main constituents of human rights applicable at the workplaces.

Policy
ITC nurtures an internal working environment which respects human rights without prejudice.
Likewise, it expects its business partners to establish a human rights compliant business
environment at the workplace.

Implementation
The responsibility for implementation of this policy rests with the Divisional Chief Executive of
the concerned business and the Unit Manager. The policy is communicated internally through
policy manuals and intranet portals, and externally by the HR personnel of concerned units to
vendors/suppliers.

11
Monitoring & Audit
ITC has established a policy intent for mapping/monitoring progress and performance of existing
and potential vendors/suppliers on human rights performance.

HIV/AIDS: Policy Guidelines

Background
ITC is committed to providing a safe and healthy work environment to all its employees. These
policy guidelines on HIV/AIDS are an endorsement of this commitment and, in particular, of the
Company’s commitment to specific programmers and actions in response to the HIV epidemic.
The Company’s position is based on scientific and epidemiological evidence that people with HI
V/AIDS do not pose a risk of transmission of the virus to co-workers by casual, non-sexual contact
in the normal work setting.
Policy Guidelines

Compliance
The Company’s policies on HIV/AIDS with regard to its employees will, at a minimum, comply
with all relevant Central and State legislation and the Company will implement all policies and
directions of the Government regarding HIV/AlDS whenever issued.

1. Prevention through Awareness

The Company will provide to all its employees sensitive, accurate and the latest information about
risk reduction strategies in their personal lives, with the objectives of reducing the stigma of
HIV/AlDS, encouraging safe behavior and improving understanding of treatment.

2. Safe and Healthy Workplace

The Company is committed to providing a safe and healthy workplace to all its employees, it is
the Company’s objective that employees will have access to health services to prevent and manage
HIV/AlDS.

3. Non discrimination
The Company will not discriminate against any employee infected by HIV/AEDS with regard to
promotions, training and other privileges and benefits as applicable to all employees.
A HIV positive employee will be allowed to continue to woik in his/her job unless
•Medical conditions interfere with the specific job being done, in which case reasonable alternative
working arrangements will be made; or The employee is incapacitated to perform his/her duties
and is declared medically unfit by a medical doctor, in which case the employee will be assisted
to rehabilitate himself/herself outside the Company.

12
The Company will not make pre-employment HIV/AIDS screening mandatory as part of its fitness
to work assessment. Screening of this kind refers to direct methods (HIV testing), indirect methods
(assessment of risk behavior), and questions about HIV tests already taken.
HIV/AIDS test will not be part of the annual health check-ups unless specifically requested for by
an employee.

2. Confidentiality
Voluntary testing for HIV/AIDS when requested for by the employee, will be cairied out by private
or community health services and not at the workplace.
There will no obligation on the part of the employees to inform the Company about their clinical
status in relation to HIV/AIDS.
Information on clinical diagnosis of an employee’s* status in terms of his/her HIV/AIDS status if
advised to the Company, will be kept strictly confidential.

Management Approach
Policy: The Company’s commitment in the area of economic performance is encapsulated in its
Vision statement, which is *to sustain ITC’s position as one of India’s most valuable corporations
through world-class performance, creating growing value for the Indian economy and the
Company’s stakeholders’. ITC’s Mission is ’to enhance the wealth generating capability of the
enterprise in a globalizing environment delivering superior and sustainable stakeholder value*.
The Company's strategy is to ensure that each of its businesses is world-class and internationally
competitive in the Indian global market in the first instance, and progressively in the offshore
global markets.
ITC, as a premier 'Indian* enterprise, consciously exercises the strategic choice of contributing to
and securing the competitiveness of the entire value chain of which it is a part. This philosophy
has shaped the Company’s eqjproach to business into 'a commitment beyond the market*.

Goals and Performance: At the enterprise level the Company’s goals include:
Sustaining ITC's position as one of India's most valuable corporations
Achieving leadership in each of the business segments within a reasonable time frame
Achieving a Return on Requital Employed (ROCE) in excess of the Company’s cost of capital, at
all times
Amongst listed companies in the private sector, ITC ranked 4th in terms of Gross Turnover and
3rd in terms of pre-tax profits for the financial year ended 31st March 2006. The Company ranked
6th by market capitalization amongst listed private sector companies in the country, as at 31 st
March 2006.

13
The Company has consistently achieved a ROCE well in excess of its cost of capital. Of the Rs.
10,325 crores of’ value added* by the Company during the financial year ended 31st March 2006,
74% represented Contribution to the Exchequer.
Please refer to the 'Report of the Directors and Management Discussion and Analysis' section of
the Report and Accounts 2006 (available on itcportal.com) for a detailed discussion on the
Company's market standing in each of the business segments.

Context: Please refer to the 'Report of the Directors and Management Discussion and Analysis'
section of the Report and Accounts 2006 for a detailed discussion on the business environment,
opportunities, key challenges, etc. pertaining to each of the Company’s businesses (available at
www.itcportal.com).

14
CHAPTER-3
COMPANY PROFEE
ITC Ltd. GHAZTABAD UTTAR PRADESH INDIA
ITC limited is one of the top three private sector companies in India. It is a market leader in India
in Cigarettes & Tobacco, hotels, packaging, specialty papers and paperboards, it has also entered
into the life style retailing business with the lunch of the “wills sports” range of relaxed wear. It
has also spin off its information technology (I.T) business into a wholly owned subsidiary to more
aggressively pursue emerging opportunities.
ITC has a market capitalization of around US $ 4 billion and a turnover of over US $ l.Sbillion. It
employees 12,000 employees at over 60 locations across India, and nearly 1,50,000 shares holders.
Over the years, ITC has evolved from a single product company to a multi-business corporation.
Its businesses are spread over a wide spectrum, ranging from cigarettes and tobacco to hotels,
packaging, paper and paperboards and international commodities trading.
Each of these businesses is vastly different from the others in its type, the state of its Evolution
and the basic nature of its activity, all of which influence the choice of the form of Governance.
The challenge of governance for ITC therefore lies in fashioning a model that Addresses the
uniqueness of each of its businesses and yet strengthens the unity of purpose of the Company as a
whole.
Since the commencement of the liberalization process, India's economic scenario has begun to
alter radically. Globalization will not only significantly heighten business risks, but will Also
compel Indian companies to adopt international norms of transparency and good Governance.
Equally, in the resultant competitive context, freedom of executive management and its ability to
respond to the dynamics of a fast changing business environment will be the new success factors.
ITC's governance policy recognizes the challenge of this new business reality in India.

Indian leafs Tobacco Development (ILTD) division

The leaf & tobacco arm of ITC Ltd. For over 9 decades, has pioneered the cultivation and
development of cigarette tobacco in India. It is instrumental in making India succeed in the global
cigarette tobacco market. ITC-ILTD is head quartered (HQ) at Guntur, in the state of Andhra
Pradesh, the biggest agro-commercial center for tobacco. Mysore is the gateway to cigarette
tobacco in the state of Karnataka. Sustaining ILTD” leadership in the leaf business by combining
the virtues of tradition with modernity, and delivering goods and services efficiency with a
personal touch.
ITLD give one key to superior business performance, it is his ability to turn the perceptions
capabilities, and relationships of our people into the building blocks of the organization. His track
record, so far, stands testimony to this recognition and the future will be no different.

15
Tobacco A its processing
ITLD is controlling from tobacco seed to finally tobacco. ITLD give adoption of contemporary
Agro- techniques and the enterprising sprit of the tobacco farmer have led to India being aknow-1
edged as one of the most important tobacco producing countries in the world. Topical climate
Coupled with two monsoons facilitates the Indian farmer to grow tobacco throughout the gear.
Tobacco cultivation in India is spread over a large geographical area covering a wide range of
Soils, each growing area producing a unique style of tobacco .The southern states of India, Andhra
Pradesh and Karnataka are the Prime cigarette type tobacco growing regions with 4,00,000
hectares land under Tobacco cultivation. India is recognized as an ideal source for a variety of
tobacco, offering sustainable quality produce at competitive prices through out the Year.
ITLD's green leaf threshing (GLT) plants with a total capacity to process 520 metric Tones per
day are comparable with the best in the world. They are fully automated with the latest equipment
to process and deliver 100 million Kg's of high quality tobacco every year. It is no surprise that
they enjoy IS09002 and ISO 140 01 accreditations. He have two processing lines in the southern
state of Andhra parades - chirala with 3 processing lines and antipathy with 1 processing line.
Chirala unit is first unit in India who has received the Coveted Social Accountability Standard
Certification (SA 8000).
This unit" ware housing facilities are benchmarked to international standard for hygiene and
infestation control. I LTD have large wear housing capacity to stock around 100 M.Kg of finishes
produce (Tobacco).

Production process of cigarettes:

The production of cigarettes in I LTD two major process. One is primary process which includes
So many sub processes, which we discussed later, and other is secondary process which includes
final packing of cigarettes and lots etc.

Primary process of cigarettes; -

Under this process I LTD start from the leaf cutting, which he received from his OLT unit chirala.
Chirala supply leaf all the production units of ILTD in 200kg size pack. Production unit start from
there point, First of all production unit cuts 200kg.pack in to 5- 6 piece and put in to machine
which give moisture 10 -11 % to 21 %of leaf and up to 38% of stamc. After that he cut it into 30
cut and per inch length 140 cuts per inch length respectively through cottoned rolled squire (CRS).
After the processing of cutting leaf he possesses through drying process and these times tobaccos
have up to 15% moisturizer.
When tobacco is cooled then he is passed into secondary proem. Before passes secondary proem
both type of cutting result [Leaf and stems] is mixed up. The tobacco carmines and stems are then
cooled and stacked in bins-ready to be rolled into cigarettes.

16
Production division of ILTD
India leaf tobacco development (ILTD) is a major department of ITC which have four major
production division across the country such as Bang lore, (Karnataka) monger (Bihar), Saharanpur
(U.P.)& Kolkata (W.B). These all flour-production division is producing billion cigarettes per
year. One thing is cam man Amery all production division is that all units producing will’s brand
and other brand of IRC is depended upon the regional requirement of cigarettes. Wills is most
valuable brand of ITC Ltd. And his share of total sales is % appox.
Brand, name and his length are as follows: -.

Marketing Division
ILTD have four marketing office for maintaining advertising and promoted activities. It maintains
supply of cigarette all over India. There office is situated are as follows*
1. Jalandhar (Punjab)
2. Saharanpur (U.P)
3. Delhi (Capital Marking office)
4. Kanpur (U.P)

Secondary process of cigarette production

After making tobacco by primary process. Then begins the one rouse task of giving shape to the
cut tobacco and dressing it up in cigarette paper. The processed tobacco is spread every on cigarette
paper from roll that is anywhere from 4000 to 6000 meters in length. Then some thing like a long

17
pencil is formed. This pencil of tobacco column rolled into cigarette paper is then cut into
predermined sections depending on the length of the cigarette.
After that, double length filters are inserted between every two cigarette and cut in half with a
strong blade.
The cigarettes get collected in aluminum trays which are then stored under controlled conditions
of temperature and humidity. After storage for a few hours these are taken to the packers machine,
which pack the cigarettes sticks into pack of 10’s and 20’s.

Working Area of ITC Ltd

ITC is now a day’s doing eight (8) major area of production, distribution and servicing, these are
as follows-
A. Cigarettes and Tobacco.
B. Hotels.
C. Packaging
D. Paper board & Specialty paper

E. Information Technology (IT)

F. Life style retailing
G. Agro-Exports
H. Group Companies etc
A. Cigarettes and Tobacco: • ITC buys nearly 50% of all cigarettes types tobacco grown in India.
It has been India “single largest integrated sources of quality tobacco for customer” in 37 countries
over the last 6 decades. ITC's Comprehensive and sophist6icated R&D facilities cover all aspects
of cultivation. Processing and packaging. ITC to process and deliver 100 million Kgs of high
quality tobacco par Annam. ITC also co-operates with government agencies to develop new
varieties of tobacco and to develop new areas for tobacco cultivation.
B. Hotels: • ITC entered into hotels field in 1975. He is giving best hospitality services in some
field. ITC have 46 hotels across 42 destination all over India.C. Packaging: - ITC also
producing packaging items like-
I. Flip top boxes.
II. Car board outers.
III. Shells and slides.
IV. Soft cup and strap labels

18
V. Bundle wraps
VI. Flap boxes
VII. Inner frames
VIII. Coupon inserts & Variety
IX. Folding crotons
The major unit (factory) which is producing packaging items- one is munger (Bihar) and other is
Tiruvottiyar hear Chennai.
D. Paper Board A Specialty paper: - ITC has now integrates sits paperboard & specialty paper
business into its newly created (PSPD), to how new strategic & operational synergies. ITC is one
of the world” most modem and contemn portray manufactures of packaging (paper board) boards,
with a manufacturing capacity of over 2,00,000 tones par year (1) packaging board coasted folding
box boards, solid bleached sulphates board, white unit chipboard, liquid packaging board (2) cast
coated papers and boards. The division also produced quality-
(a) . Printing & Writing papers
(b) . Eco- friendly papers
(c) . Photo copier papers.
Specialty papers: ITC is the premier manufacturer of specialty paper in India, with a diversified
product. Range ITC’s specialty paper are used in the manufacturer of cigarettes, decorative
laminates. Electrical equipment, fire works and automotive factory filters. They are also used for
fire printing, packaging and carbonizing.
The division pioneered the manufacturer of specialty paper for Indian cigarette industry in 1949.
It currently offers a comprehensive range of cigarette Tissues; plug Wray, tipping base, printed
tipping papers and metalizing base.
E. Information Technology (IT) - ITC has recently spun off its 20 year old information system
division into a wholly owned subsidiary to aggressively pursue growth opportunities in this sector.
ITC Infotech India Ltd offer a powerful customer value proposition based on its in depth domain’s
know ledge gained from the experience of servicing a range of internal & external customers across
diverse domains. -
1. FMCG
2. Hoteliering
3. Packaging
4. Paper boards
5. Specialty papers

19
6. International Trading Etc.

F. Life style retelling: ITC also manufacturing ready made garments range of international
quality of relaxed wear under the brand name “wills sport”. It have 48 retail out across 38 cites in
the country. Recently he also lunched another brand name “John players” offers complete range
of contemn porary men's wear- like shirts, Trousers, t-shirts & denims. It also lunches in Nov.
2002 under brand name “ the classes collection”.
G. Agro*Exports; - ITC international business division (IBD) is doing Exports activities of
Agriculture products and processed fiords Tee. he exports following items to UK, US and Another
European countries-
1. Soya meal.
2. Rice
6. Aqua products.
7. Peanuts.
8. Coffee.
9. Wheat
10. Sesame Seeds.
11. Black pepper
12. Processed & frozen fruits & vegetables.
H. Group Companies; • Main group companies-
a) . ITC Hotels.
b) . Surya Nepal private limited.
c) . International travel house
d) . Land base
Associate companies -ITC filtrona.

ITC A RESPONSIBLE CITIZEN

ITC is a responsible corporate citizen: -
ITC is doing so many activities for the welfare of society and darks as a responsible corporate
leader without any gap. Some of its major societal activation for the we 1 free of different section
of society is as follows-

20
a. Environment, health & safety (EHS)
b. Reaching out to society
c. Preserving national heritage.
d. Supporting sustainable development

a. Environment, health A Safety (EHS): - Asa responsible corporate citizen, ITC accords
the highest priority to environment, occupational health, and safety. It is committed to protecting
the environment in which it operates. It is equally committed to ensuring very high standard of
safety at the work place.
It is a relegations of ITC” high EHS standards that lit has been the recipient of several National
and international awards- such as-

ISO14000
Sword of honour
Royal society of prevention of accidents awards.
National safety awards.
The corporate Environment award.
The golden peacock environment management award.
Excellence in pollution control management
Prashanna patra award.
National Award for excellence in energy conservation.

b. Reaching out to society: As a responsible corporate citizen, ITC promotes art, culture and
education. Besides working for the protection and enrichment of the environment and over all
social development.
Community development.
Education.
Protecting the environment,

c. Preserving National Heritage: - Asa socially responsible corporate citizen, ITC

Endeavors to creates value for the Indian society in multiple ways, one of them being Preservation
of India” rich culture heritage ITC has made significant contribution to the Promotion of Indian
classical music, theatre, are and cuisine

GRADES FOR MANAGERS

21
■ Senior Managers. (Managers)
■ Middleman Managers.(Asst. Managers)
■ Junior Managers. (Executives)

GRADES FOR WORKERS

■ Unskilled Workers.
■ Semi Skilled Workers.
■ Skilled Workers.
■ Highly Skilled Workers.

22
ORGANTSATTON STRUCTURE
ITC a world leading electric company works as a Team System.
Hierarchy of this organization is as follows:

23
CHAPTER-4
History
 ITC was incorporated on August 24, 1910 under the name of 'Imperial Tobacco Company
of India Limited'. Its beginnings were humble. A leased office on Radha Bazar Lane,
Kolkata, was the centre of the Company's existence. The Company celebrated its 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 widerange 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 TTC Limited*.
 ITC is one of India's foremost private sector companies with a market capitalization of
nearly 19505 cr. and a turnover of over is 12369 cr. ITC also ranks among Indian top 10
'Most Valuable (Company) Brands^ in a study conducted by Brand Finance and published
by the Economic Times.
 ITC was the first company in India to voluntarily seek a corporate governance rating. 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 has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers,
Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology,
Branded Apparel, Personal Care, Greeting Cards, 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
and Greeting Cards.
 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 globalizing
environment to consistency reward more than 3,97,000 shareholders, fulfill the aspirations

24
 of its stakeholders and meet societal expectations. This over-arching vision of the company
is expressively captured in its corporate positioning statement:

ITC Leadership
Flowing from the concept and principles of Corporate Governance adopted by the Company,
leadership within ITC is exercised at three levels. The Board of Directors at the apex, as trustee of
shareholders, carries the responsibility for strategic supervision of the Company. The strategic
management of the Company rests with the Corporate Management Committee comprising the
whole time Directors and members drawn from senior management. The executive management
of each business division is vested with the Divisional Management Committee (DMC), headed
by the Chief Executive. Each DMC is responsible for and totally focused on the management of
its assigned business.
This three-tiered interlinked leadership process creates a wholesome balance between the need for
focus and executive freedom, and the need for supervision and control.

Vision
Sustain ITC’s position as one of India’s most valuable
Corporation through world class performance,
Creating growing value for the Indian economy and
the company’s stakeholders

Mission
To enhance the wealth generating capability
of the enterprise in a globalizing environment,
delivering superior and sustainable
Stakeholder value

25
CHAPTER-5
SWOT Analysis
The following point shows the internal and external factors affecting the market opportunities for
ITC. This SWOT analysis also shows ITC internal strengths such as their experienced management
team, a competitive product line, a global marketing realm, and the continuous efforts by their
research and development to research trends in the industry and to be creative in exploiting those
trends. Some possible opportunities noted in the SWOT analysis are the growing markets for
specialized ethnic foods and healthier food products. Another opportunity is that the income of
consumers is high enabling them to be less price sensitive, and convenience is becoming even ore
important not only to the United States but to many countries around the world.
Although ITC has many strengths, a few weaknesses lie in the fact that the company is so large
and could possibly lose focus or have internal conflict problems. A few of theb threats ITC must
stay aware of are the ease of replicability of its product line, the almost pure competition in pricing
for its products, and the quickness of technological advances causing existing products to be no
longer the most advanced.

STRENGTHS
• Management
Experienced, broad base of interests and knowledge

• Product Line
Unique, tastes good, competitive price, and convenient

• Marketing
Diverse and global awareness

• Personnel
International, diverse positions

• International diverse positions

High sales revenue, high sale growth, large capital base

• Manufacturing
Low costs and liabilities due to outsourcing of bottling

• Research & Development

Continuous efforts to research trends an reinforce creativity

• Consumer/Social
26
Huge market in the healthy products and growing market for specialized
foods for ethnic groups

• Competitive
Distinctive name, product and packaging in with regards to its markets

• Technological

Internet promotion such as banner ads and keywords can increase their sales, and more
computerized manufacturing and ordering processes can increase their efficiency
• Economic
Consumer income is high, more tend to eat out, convenience is
important to U.S.

Weaknesses
• Management
Large size may lead to conflicting interests

• Product Line
New one calorie products have no existing customer base, generic brands can make similar product
- cheaper

• Marketing
May lose focus, may not be segmented enough

• Personnel
Possible conflicts due to so many people, possible trouble staying focused

• Finance
High expenses may have trouble balancing cash-flows of such a large operation.

• Research & Development

May concentrate too much on existing products, intrapreneuralship may not be welcomed

• Consumer/Social
More expensive products than Hul. Such a high price may limit lower income families from buying
an ITC product

27
• Competitive
Not entirely patentable, constant replicability by competitors

• Technological
Computer breakdowns, viruses and hackers can reduce efficiency, and must constantly update
products or other competitors will be more advanced

• Economic
Very elastic demand, almost pure competition

Opportunities
• Expected 30% CAGR in organized market to result in better footfall and conversion rates.
• Entry into Tier 2 and Tier 3 cities.
• Collaboration with foreign players because of a national brand.
• An opportunity to diversify its operations in retailing.
• As big company of India can go globally.

Threats
 Employee shortage and attrition due to rapid growth in the whole market.
 Impact of slowdown in consumer spends to be felt in FMCG market.
 Opening up of economy for free entry of foreign players.

A SOCIAL CHARTER FOR BUSINESS

Few weeks ago, the Humble Prime Minister Dr Manmohan Singh presented a ten-point 'Social
Charter' sharing his vision on the responsibility of corporate for sustainable and inclusive growth.
He said, and I quote, "Indian industry must rise to the challenge of making our growth processes
both efficient and inclusive. This is our endeavor in Government. It will have to be yours too and
I seek your partnership in making a success of this giant national enteqDrise. If those who are
better off do not act in a more socially responsible manner, our growth process may be at risk, our
polity may become anarchic and our society may get further divided. I invite corporate India to be
a partner in making ours a more humane and just society." Unquote.
By the Y C Deveshwar mind, the Hon'ble Prime Minister's clarion call is not only a responsibility
that we, in Indian Business and Industry, must commit ourselves to but a crying need that we
cannot afford to neglect any longer. While we can justifiably be proud of India's stellar
performance in GDP growth, the growing inequity in sharing the fruits of success is indeed a

28
millstone that impedes the nation's true potential. Business Corporations draw heavily on societal
resources. Therefore, it is in the enlightened self* interest of business to engage constructively in
enlarging its contribution to the broader social and environmental agenda. Competitiveness of
firms can be severely threatened by unsustainable environments and a lopsided social structure
that creates islands of affluence amidst a sea of poverty. A constructive pub lie-private partnership
for socially responsible growth is imperative and must occupy a larger space in the future business
strategies of India's corporate sector.
You are indeed aware of the enormous importance of our rural engagement in the future growth
of your Company. We have constandy strived to meaningfully blend our social responsibilities
with business competitiveness, so that we can continue to create shareholder value even as we
enhance the benefits that accrue to rural communities. We recognize that this is the path we must
pursue to ensure sustainable and inclusive growth a philosophy that is central to the vision
articulated by Prime Minister's Social Charter for Business. I take immense pride that the vision
enunciated by the Hon'ble Prime Minister echoes the core values that your Company has enshrined
in its management philosophy and governance structure. We have indeed been 'practitioners' of
this vision for many years now. It gives me immense satisfaction that your Company has executed,
on a substantial scale, innovative business strategies which result in 'mainstreaming' the
disadvantaged sections of rural India.
ITC Ltd. Company’s pioneering e-Choupal initiarive today comprises 6,400 choupals
transforming the lives of over 3.5 million farmers in 38,500 villages in 9 States of India. We hope
to reach out to 10 million farmers in 100,000 villages in the not too distant future. The Social and
Farm Forestry Programme of ITC covers 65,000 hectares providing over 28 million person days
of employment among the disadvantaged. In the process, we have also helped sequester over 2,000
kilotons of Carbon Dioxide as a firm commitment to combating climate change. Your Company's
Integrated Watershed Development programmes in rural areas cover nearly 27,000 hectares
providing critical irrigation to water stressed areas. This year, we have also forged a milestone
partnership with the Government of Rajasthan for an integrated watershed development project
covering 5,000 hectares. ITC's initiatives to provide opportunities for non-farm incomes through
economic empowerment of women, supplementary education and integrated animal husbandry
services continue to make significant strides in rural empowerment As a nation, we face today a
multi-dimensional challenge to chart a growth path that will transform the lives of almost a third
of our billion populations who live at the margin. Surely, it is not a task that any single segment of
society - be it Government or Responsible Business - can hope to accomplish in isolation. It is true
that sustained high rates of GDP growth is one of the surest ways of creating livelihoods for the
disadvantaged. However, if such growth impulses do not envision or contain conscious efforts to
enhance social value, it is not necessary that high growth rates alone will ensure social equity. In
fact, there is a danger that competitive pressures may not actually lead to development and growth
in areas that need it the most.

29
ALIGNING FORCES OF FRANCHISE
Given the power of consumer franchise, how do we align forces amongst all the market participants
to support a new movement for innovative CSR?
To make 'consumer choice' a compelling market driver we would need to create a supportive
institutional framework to facilitate the process of making an informed choice by market
participants. Let me briefly elaborate on some of these enablers:

First, the Policy and Institutional Framework.

• Market participants would need an effective tool to make an informed choice in favour of
a Responsible Corporation. I would suggest that Government support the development of a 'CSR
Sustainability Trust mark', or a series of Trust marks defined by Industry segments, which could
be displayed on products and services to convey to the consumer that the enterprise follows a
strong commitment to building natural and social capital. Voluntary in nature, these Trust marks,
crafted on sound scientific and market principles, will stand for the positive impact a company has
made on the environment and the society. The Trust marks could also be supplemented with
Ratings, based on the extent of the individual company's involvement in creating societal capital.
• The Trust marks need to be administered by a reputed and independent body or bodies,
much like the financial rating agencies. An institutional framework and appropriate guidelines can
be created by a Government-Industry partnership to provide organizational support and credibility.
• A major impetus can emerge out of Government's consideration to extend fiscal and
financial concessions, priority clearance and other incentives to organizations that attain sustained
high ratings. Government and its agencies could also give purchase preferences to suppliers with
highly rated Trust marks.

Second, the role of Industry:

 In championing a sincere commitment to a Vision that embraces contribution to Society as
a key component of business strategy.
 In moving towards voluntary disclosure of Triple Bottom Line performance in the
Company's Annual Reports, verified by independent reputed third party organizations.
 In making a strong effort to attain the CSR Sustainability Trust marks, and displaying the
same on their products and services.
 In enlarging the Company's contribution by giving preference to vendors with a strong
CSR and Sustainability orientation.
 In developing a model code of responsible conduct by Industry bodies and associations for
its members.
 In encouraging Modern Retail outlets to develop special sections that display and sell
products with Trust marks.
 In providing support to the creation of Awards that recognize outstanding Sustainability
Performance. This would provide a tremendous reputation asset and incentives CSR
significantly.

30
  In strengthening reporting on Sustainability based on guidelines such as the Global
Reporting Initiative. I am sure that the Indian operations of multinationals, not listed on
Indian bourses, would also want to make such public disclosures and demonstrate their
contribution to the Indian Society. I envisage a future where Sustainability Reporting will
form an integral part of a firm's public disclosures, and will be valued by stakeholders in
equal measure to the established practices of financial reporting.

Third, the role of Investors.

 Investors play a critical role in encouraging social accountability in corporate behavior.
Globally, there are today hundreds of funds that invest in socially responsible enterprises.
These funds rely on Sustainability Indices such as Dow Jones Sustainability World Index,
FTSE4Good, Domini 400 Social Index and others to guide investment decisions. These
funds have already channeled large amount of investors' savings into companies that have
high social brand capital.
 India has witnessed some welcome developments in this direction in recent years. The
ABN Amro Bank launched a Sustainable Development Fund as India's first Socially
Responsible Investing Fund. Recently CRISIL, S&P and KLD have announced that they
would develop an Environmental, Social and Corporate Governance (ESG) Index of Indian
companies. The Institute of Chartered Accountants of India is also reported to be working
on developing a similar evaluation.
 Individual investors, while seeking to maximise returns from their portfolio holdings, could
exercise a powerful choice for companies with high Triple Bottom Line performance.
 Banks and Financial Institutions could ask for voluntary disclosures and fector the rating
in their lending evaluations.

Fourth, the role of Civil Society organizations.

 Consumer awareness will benefit immensely if civil society organizations and consumer
bodies actively advocate the usage of Trust marks. They could also promote awareness
amongst constituents to support products and services of companies with higher
Sustainability ratings.
 Schools and educational institutions could also promote awareness on responsible
corporate behavior and its association with the Trust mark ratings on products and services,
and design elements in their curriculum to groom citizens of tomorrow as enlightened
consumers.
 And finally, the Media, as one of the most powerful forces of shaping public opinion, can
make a multi-dimensional contribution in this direction.
 It is my strong belief that by aligning such powerful forces, we will see the emergence of
a new consciousness where CSR will transcend from corporate philanthropy to a
competitive value proposition.
 ITC has been instrumental in setting up the CII-ITC Centre of Excellence Sustainable
Development, which is a unique institution that seeks to address the void in developing
requisite capability on Sustainability issues among Indian industry. The Centre endeavors
to bring about transformational change in Indian businesses by providing thought
31
 leadership, promoting awareness and building capacity. One of the major initiatives of the
CII-ITC Centre is to recognize excellence in Sustainability practices by presenting Awards
to industry, based on a rigorous process of selection. This attempt to recognize outstanding
Sustainability initiatives is designed not only to celebrate individual corporate action, but
also to inspire others to follow.
 ITC convinced that in today's enlightened India, more and more companies will respond to
the appeal made by the Hon'ble Prime Minister to ft>rge partnerships for social action, and
achieve growth with efficiency and inclusively. Making markets work for CSR will indeed
provide the compelling foundation for such initiatives.

Philosophy
 ITC is a professionally managed organisation and the core value underlying our corporate
philosophy is "trusteeship". We believe this organisation has been handed to us by the
various stakeholders in "trust" and we as professionals are the "trustees" of these
stakeholders. It is therefore our responsibility to ensure that the organisation is managed in
a manner that protects and furthers the interests of our stakeholders. We recognize society
as an important stakeholder in this enterprise and therefore it is part of our responsibility
to practise good corporate citizenship.
 It is also our belief that in order to serve the interests of our stakeholders in perpetuity, we
must build ITC into an institution whose dynamism and vitality are anchored in its core
value.

Corporate Governance Policy

The Corporate Governance Policy is the apex level instrument guiding conduct of the affairs of
the Company and clearly delineates the roles, responsibilities and authorities of the key entities in
the governance structure of the Company. This Code forms an integral part of the Company's
Governance Policy. The directors, senior management and employees must adhere to the
Corporate Governance Policy of the Company.

Good Corporate Citizenship

In the conduct of the Company's business, the practice of good corporate citizenship is a
prerequisite and embraces the following:
Dealing with People in the Organisation In dealing with each other, directors, senior management
and employees shall uphold the values which are at the core of our HR Philosophy - trust,
teamwork, mutuality and collaboration, meritocracy, objectivity, self-respect and human dignity.
Indeed, these values form the basis of our HR management systems and processes. In selection
and recruitment, while meritocracy will be a prime criterion, managers will scrupulously consider
all factors that go towards securing the interests of the Company. ITC will focus on meritocracy,
equity and upholding of Company values in all people processes including performance
management systems, appraisals, remuneration and rewards.

32
A Gender Friendly Workplace
 As a good corporate citizen, ITC is committed to a gender friendly workplace. It seeks to
enhance equal opportunities for men and women, prevent/stop/redress sexual harassment
at the workplace and institute good employment practices.
 Sexual harassment includes unwelcome sexually determined behavior such as: unwelcome
physical contact; a demand or request for sexual favors; sexually colored remarks; showing
pornography and any other unwelcome physical, verbal or non-verbal conduct of a sexual
nature.
 ITC maintains an open door for repartees; encourages employees to report any harassment
concerns and is responsive to employee complaints about harassment or other unwelcome
and offensive conduct, A committee has been constituted to enquire into complaints and to
recommend appropriate action, wherever required.
 ITC demands, demonstrates and promotes professional behaviour and respectful treatment
of all employees.

Relationships with Suppliers and Customers

All directors, senior management and employees shall ensure that in their dealings with suppliers
and customers, the Company's interests are never compromised. Accepting gifts and presents of
more than a nominal value, gratuity payments and other payments from suppliers or customers
will be viewed as serious breach of discipline as this could lead to compromising the Company's
interests.

Legal Compliance
It is the Company's policy to comply fully with all applicable laws and regulations. Ensuring legal
and regulatory compliance is the responsibility of the Chief Executives of the Businesses and the
Divisional Management Committees. The Company cannot accept practices which are unlawful
or may be damaging to its reputation. Divisional Management Committees must satisfy themselves
that sound and adequate arrangements exist to ensure that they comply with the legal and
regulatory requirements impacting each business and identify and respond to developments in the
regulatory environment in which they operate. In the event the implication of any law is not clear,
the Company's Legal Department shall be consulted for advice.

Health and Safety

The Company attaches great importance to a healthy and safe work environment ITC is committed
to provide good physical working conditions and encourages high standards of hygiene and
housekeeping. Particular attention should be paid to training of employees to increase safety
awareness and adoption of safe working methods, particularly designed to prevent serious or fatal
accidents.

33
Environment Policies
The Company believes that commitment to sustainable development is a key component of
responsible corporate citizenship and therefore deserves to be accorded the highest priority.
Accordingly, the Company is committed to Best Practices in environmental

matters arising out of its business activities and expects each business to fully demonstrate this
commitment. In addition to complying with applicable laws and regulations, Businesses must
establish procedures for assessing the environmental effects of their present and future activities.
They should adopt Best Practices in their environmental policies and procedures.

Personal Conduct
All directors, senior management and employees have the obligation to conduct themselves in an
honest and ethical manner and act in the best interest of the Company at all times. They are
expected to demonstrate exemplary personal conduct through adherence to the following:

Avoidance of Conflict of Interest

All directors, senior management and employees must avoid situations in which their personal
interest could conflict with the interest of the Company. This is an area in which it is impossible
to provide comprehensive guidance but the guiding principle is that conflict, if any, or potential
conflict must be disclosed to higher management for guidance and action as appropriate.

Transparency and Auditability

All directors, senior management and employees shall ensure that their actions in the conduct of
business are totally transparent except where the needs of business security dictate otherwise. Such
transparency shall be brought about through appropriate policies, systems and processes, including
as appropriate, segregation of duties, tiered approval mechanism and involvement of more than
one manager in key decisions and maintaining supporting records. It shall be necessary to
voluntarily ensure that areas of operation are open to audit and the conduct of activities is totally
auditable.

Protection of Confidential Information

No director, senior management and employee shall disclose or use any confidential information
gained in the course of employment/ association with the Company for personal gain or for the
advantage of any other person. No information either formally or informally shall be provided to
the press, other publicity media or any other external agency except within approved policies.

Company Facilities
No director, senior management and employee shall misuse Company facilities. In the use of
Company facilities, care shall be exercised to ensure that costs are reasonable and there is no
wastage.

34
Waivers
Any waiver of any provision of this Code of Conduct for a director, senior management or
employee must be placed for approval before the Company's Board of Directors/ Corporate
Management Committee, as appropriate.

Non Adherence
Any instance of non-adhere nee to the Code of Conduct / any other observed unethical behavior
on the part of those covered under this Code should be brought to the attention of the immediate
reporting authority, who shall in turn report the same to the Head of Corporate Human Resources
Senior management for the purpose of this Code would mean the following:
• Managers at Grade ‘A' & its equivalent, and above
• Divisional & SBU Chief Executives
• Corporate HODs
• This Code of Conduct, as adopted by the Board of Directors of the Company on 26th
March, 2005, was amended on 29th March, 2006

ITC, 10 other Indian firms among world's 50 'Local Dynamos'

Going global is not the only trump card for an international recognition*. As "many as 11 India
companies, including the likes of ICICI Bank and Bharti Airtel, have made it to a list of 50 ‘Local
Dynamos* for mastering the dynamics of their domestic markets.
These 50 firms from the world*s Rapidly Developing Economies (RDEs) are "domestically
focused, at least for now, and have devised formidable business models with which to master the
intense dynamics of their local markets," global consultancy firm Boston Consultancy Group said
in a report.
Other Indian companies in the list are two Tata Group entities Indian Hotels and Titan Industries
besides Amul; Apollo Hospitals, CavinKare Group, ITC Limited, NilT, SKS Micro finance and
Subhiksha. Apart from the four BRIC countries - Brazil, Russia, India and China - the list also
Includes companies from Indonesia, Malaysia, Mexico, Poland, Slovakia, Poland and Thailand.
The study titled "The BCG 50 Local Dynamos - How Dynamic RDE based companies are
mastering their home markets - and what MNCs need to learn from them" has 15 companies from
China, including the internet search engine Baidu.com.
BCG said these companies were selected on the basis of criteria such as high growth and original
business model specifically adapted to the unique challenges posed by RDEs.
According to BCG, companies from RDEs are "staying home" and conquering their domestic
markets. Further, these firms are using innovative Business models to beat MNCs and established
domestic incumbents, many of which are state-owned entities.

35
BCG said ICICI Bank has an interest income of 5,196 million dollars as compared to its MNC
competitor, HSBC, which rakes in an interest income of 1,066 million dollars.
Withs more than 950 branches and 24 million customers, it offers a diverse range of financial
products and services and competes well against local and foreign rivals," it noted. Observing that
the chosen Dynamos target their offerings mainly at the middle class, the study said India has
shown that companies can serve the poor profitably provided they use "the right approach".
"In consumer goods, CavinKare entered the personal care market by selling shampoo in affordable
sachets to rural customers. Titan Industries produces more than seven million watches a year...
No-frills retailer Subhiksha has brought low prices and convenience to the lives of many Indians
by locating small supermarkets close* to its customers...," the study added.

Privacy Policy
• ITC Limited welcomes you to its website and looks forward to a meaningful interaction
with you.
• ITC Limited respects your right to privacy. Any personal information that you share with
us, like your name, date of birth, address, marital status, telephone number, credit card particulars
and the like, shall be entitled to privacy and kept confidential.
• ITC Limited assures you that your personal information shall not be used/disclosed by it,
save for the purpose of doing the intended business with you, or if required to be disclosed under
the due process of law.
• ITC Limited assures you that in the event of your personal information being shared with
its subsidiaries, business associates etc., such sharing of information shall be for the purpose of
doing the intended business with you.
• ITC Limited reserves its rights to collect, analyses and disseminate aggregate site usage
patterns of all its visitors with a view to enhancing services to its visitors. This includes sharing
the information with its subsidiaries, and business associates as a general business practice.
• In the course of its business ITC Limited may hold on-line contests and surveys as
permitted by law and it reserves its right to use and disseminate the information so collected to
enhance its services to the visitors. This shall also include sharing the information with its
subsidiaries and business associates as a general business practice.
• If you have any questions or concerns regarding your privacy issues, please do not hesitate
to contact ITC Limited at webmaster@.itc.in
• While ITC Limited assures you that it will do its best to ensure the privacy and security of
your personal information, it shall not be responsible in any manner whatsoever for any violation
or misuse of your personal information by unauthorized persons consequent to misuse of the
internet environment.

36
• Cookies To personalize your experience on our website or to support one of our
promotions, we may assign your computer browser a unique random number called a cookie.
"Cookies" enhance website performance in important ways like personalising your experience, or
making your visit more convenient. Your privacy and security are not compromised when you
accept a "cookie" from ourwebsite. ITC Limited does not use "cookies" to collect personal
information.
"Cookies" cannot read data from your computer's hard disk or read cookie files from other
websites.
• ITC Limited reserves its rights to revise this privacy policy from time to time at its
discretion with a view to making the policy more user friendly. In the design of our website, we
have taken care to draw your attention to this privacy policy so that you are aware of the terms
under which you may decide to share your personal information with us. Accordingly, should you
choose to share your personal information with us, ITC Limited will assume that you have no
objections to the terms of this privacy policy.

A SOCIAL CHARTER FOR BUSINESS

A few weeks ago, the Hotible Prime Minister Dr Manmohan Singh presented a ten-point 'Social
Charter' sharing his vision on the responsibility of corporates for sustainable and inclusive growth.
He said, and I quote, "Indian industry must rise to the challenge of making our growth processes
both efficient and inclusive. This is our endeavor in Government. It will have to be yours too and
I seek your partnership in making a success of this giant national enteqDrise. If those who are
better off do not act in a more socially responsible manner, our growth process may be at risk, our
polity may become anarchic and our society may get further divided. I invite corporate India to be
a partner in making ours a more humane and just society." Unquote.
To my mind, the Honble Prime Minister's clarion call is not only a responsibility that we, in Indian
Business and Industry, must commit ourselves to but a crying need that we cannot afford to neglect
any longer. While we can justifiably be proud of India's stellar performance in GDP growth, the
growing inequity in sharing the fruits of success is indeed a millstone that impedes the nation's
true potential Business Corporations draw heavily on societal resources. Therefore, it is in the
enlightened self-interest of business to engage constructively in enlarging its contribution to the
broader social and environmental agenda. Competitiveness of firms can be severely threatened by
unsustainable environments and a lopsided social structure that creates islands of affluence amidst
a sea of poverty. A constructive public-private partnership for socially responsible growth is
imperative and must occupy a larger space in the future business strategies of India's corporate
sector.
You are indeed aware of the enormous importance of our rural engagement in the future growth
of your Company. We have constantly strived to meaningfully blend our social responsibilities
with business competitiveness, so that we can continue to create shareholder value even as we
enhance the benefits that accrue to rural communities. We recognise that this is the path we must
pursue to ensure sustainable and inclusive growth • a philosophy that is central to the vision
articulated by Prime Minister's Social Charter for Business.

37
1 take immense pride that the vision enunciated by the Hon'ble Prime Minister echoes thecore
values that your Company has enshrined in its management philosophy and governance structure.
We have indeed been 'practitioners' of this vision for many years now. It gives me immense
satisfaction that your Company has executed, on a substantial scale, innovative business strategies
which result in 'mainstreaming' the disadvantaged sections of rural India.
Your Company's pioneering e-Choupal initiative today comprises 6,400 choupals transforming the
lives of over 3.5 million farmers in 38,500 villages in 9 States of India.
We hope to reach out to 10 million farmers in 100,000 villages in the not too distant future. The
Social and Farm Forestry Programme of ITC covers 65,000 hectares providing over 28 million
person days of employment among the disadvantaged. In the process, we have also helped
sequester over 2,000 kilotons of Carbon Dioxide as a firm commitment to combating climate
change. Your Company's Integrated Watershed Development programmes in rural areas cover
nearly 27,000 hectares providing critical irrigation to water stressed areas. This year, we have also
forged a milestone partnership with the Government of Rajasthan for an integrated watershed
development project covering 5,000 hectares. Your Company's initiatives to provide opportunities
for non- form incomes through economic empowerment of women, supplementary education and
integrated animal husbandry services continue to make significant strides in rural empowerment.
As a nation, we face today a multi-dimensional challenge to chart a growth path that will transform
the lives of almost a third of our billion population who live at the margin. Surely, it is not a task
that any single segment of society - be it Government or Responsible Business - can hope to
accomplish in isolation. It is true that sustained high rates of GDP growth is one of the surest ways
of creating livelihoods for the disadvantaged. However, if such growth impulses do not envision
or contain conscious efforts to enhance social value, it is not necessary that high growth rates alone
will ensure social equity. In fact, there is a danger that competitive pressures may not actually lead
to development and growth in areas that need it the most.
There is also a significantly large cost involved in implementing value-chains that are socially
inclusive. While commensurate returns may flow over the longer term, there are indeed cost
barriers, over the short to medium term, that inhibit investments in suc socially inclusive initiatives.
In the absence of strong fiscal or financial incentives, business enterprises would hesitate to raise
such investments and commit physical and human resources over a longer term. Therefore, it is
important to examine how market drivers can creatively facilitate such long-term investments
which have larger societal benefits. Corporates will be able to support a much larger social
involvement in their business strategies, if market forces facilitate such investments and returns.

38
CHAPTER-6
INTRODUCTION OF HR
My research report is entitled “A study of HR Practices in ITC”. Firstly I would like to discuss
about HR Practices.
What are HR Practices?
HR Practices are those practices which are been done by the organization for having optimum
utilization of human resource of the organization. These practices can be explained as follows:
• Recruitment & Selection
• Training & Development
• Performance Appraisal System
• Evaluation System
• Feed Back Mechanism
• Rewards to Employees
• Work Remuneration of the employees
• Increment practice

INTRODUCTTON OF HRM
Human resource management is the planning , organizing, directing, and controlling of the
procurement, development, compensation, integration, maintenance and separation of human
resources to the end that individual, organizational, and social objective are accomplished.
FEATURES OF HRM
■ Increased competition
■ Emphasis on quality in staff, goods/services
■ Flexibility in operations
■ Willingness to adopt to changing maiket needs
■ Global Market
OBJECTIVES OF HRM
■ Integration of HRM policy with business goals/objectives
■ Attainment of organizational objectives through human capital
■ Creation of flexible work hours/function

39
■ Creation of a flexible environment to be responsive to maiket ambience, as per the need of
the dizzily fast packed and changing environment,
■ Integration of people related issues with business issues, while bringing people related
issues to the fore and advocating primacy of business needs.

MEANING & DEFINITION

“HRM is a management function that helps manager's recruit, select, train and develops members
for an organization obviously HRM is concerned with peoples dimension in organizations”
HRM: - It is also a management function concerned with hiring motivating and maintaining people
in an organization.
It is a series of integrated decision that from the employment relationship; their quality contributes
to the ability of the organization and the employees to achieve their objective.
Human resource management is concerned with the people dimension in management since every
organization is make up of people, acquiring their services, developing their skill, motivating them
to higher level of performance and ensuring that they continue to maintain their commitment to
the organization are essential to achieving organizational objectives.

INTRODUCTION OF RECRUITMENT
The human resources are the most important assets of organization. The success or failure of an
organization is largely dependent on the caliber of the people working therein.
Without positive and creative contribution from people, organization can't progress and prosper.
In order to achieve the goals and perform the activities of an organization, therefore we need to
recruit people with requisite, skills, qualification and experience.
While doing so we have to keep the present as well as future requirements of the organization in
mind.

OBJECTIVE
To effectively manage the manpower recruitment in coherence with long term and short term
manpower planning of the organization through a standard recruitment and selection policy.
To proactively and systematically identify the recruitment needs in time. To ensure that all the
recruitment are within the manpower budget and as per the laid down policy.
The recruited people with required level of skilled and aptitude for learning and growth.

SCOPE:
This policy shall apply to all PERMANENT management position in tfie company including the
workmen.

40
IDENTIFICATION OF VACANT POSITIONS
1. Total permanent manpower strength/budget for organization has been sanctioned by the
board of directors.
2. All the recruitment has necessarily to be made within the approved budge t/strength only.
3. Vacancies against the sanctioned budget may arise due to:
• Retirement
• Turnover
• Natural Separation
4. whenever a vacancy arise, the concerned department has to fill up the prescribed manpower
requisition form clearly indication the job description and specification, time frame and send it to
HR department.

HR PLANNING
HRP is the process of forecasting an organization's future demand for and supply of, the right type
of people in the right number. It is only after this that the HRM department can initiate the
recruitment and selection process. HRP is the sub-system in the total organizational planning.
Organizational planning includes managerial activities that set the company's objective. HRP
facilitates the realization of the company's objectives by providing the right type and right number
of personnel. HRP then is like materials planning that estimate the type and quality of the materials
and supplies needed to facilitate the manufacturing activities of the organization. HRP is variously
called manpower planning, personnel planning or employment planning.

RECRUITMENT SOURCES
The sources of recruitment may be broadly divided into two categories: internal sources and
external sources. On receipt of the Manpower Requisition (MPR) fomi HR department will initiate
action of sourcing the candidates as under:

INTERNAL SOURCES:
• As a matter of policy, the organization will encourage to fill up the vacancies from within
the existing people if they are fulfilling the criteria and found suitable.
• In Older to invite application from internal sources, notice/circular for all such vacancies
will be put up on the notice board.
• In case any permanent employee dies in harness due to accident or any other reason, one
depend son of deceased employee may be given preference in employment with the company
subject to his fulfilling the eligibility criteria based on qualification and experience as well as
suitable vacancy in the company at that time.

41
• The conditions fulfilling the requirement may apply against internal notification to HR
department through their department.
2. Other sources:
Other sources can be tapped for recruitment only when suitable candidates are mot available
internally. Other sources may include the following:
• internal data bank
• local employment exchange
• advertisement through newspaper
• Placement agencies.

Methods of Recruitment
The following are the most commonly used method of recruiting people.
1. Internal Method
2. Direct Method
3. Indirect Method

INTFRNAL METHOD:
PROMOTION AND TRANSFERS:
ITC Prefer to fill vacancies through promotion or transfers from within wherever possible.
Promotion involves movement of an employee from a lower level position to higher level position
accompanied by changes in duties, responsibilities, status and value and value.
It may lead to changes in duties and responsibility, working conditions, etc., but not necessarily
salary. Internal promotions and transfers certainly allow people greater scope to experiment with
their career, kindling ambitions and motivating them to take a shot at something they might
otherwise never have considered. The system, of course, woiks best for young executives who are
willing to take risks.
JOB POSITION
Job position is another way of hiring people from within. In this method, the organization
publicizes job openings on bulletin boards, electronic media and similar outlets. Hindustan lever
introduced its version open job position in early 2002 and over 40 positions have since been filed
through the process. HLL even allows its employee to undertake career shifts, for example from
technical position system.
EMPLOYEE REFERRALS
Employee referral means using personal contacts to locate job opportunities. It is a
recommendation from a current employee regarding a job applicant. The logic behind employee
42
referral is that “ it takes one to know one” employee working in the organization in this case, are
encouraged to recommend the name of their friends working in other organization for a possible
vacancy in the near future. In fact, this has become a popular way of recruiting people in the highly
competitive information technology industry now a day. Companies offer rich rewards also to
employees whose recommendation are accepted after the routine screening and examining
process is over* and job offers extended to the suggested candidates.

Direct Method
Campus Recruitment
It is a method of recruiting by visiting and participating in college campuses and their placement
centers. Here the recruiter's visits reputed educational institutions such as lITs, 11 Ms colleges and
universities with a view to pickup job aspirants having a requisite technical of professional skills.
Job seekers are provided information about the jobs and the recruiter's inturen get a snap shot of
job seekers through constant interchange of information with respective institutions. A preliminary
screening is done within the campus and the short listed students are then subjected to the reminder
of the selection process. In view of the growing demand for young managers, most reputed
organizations visit regularly and even sponsor certain popular activities with a view to earn
goodwill in the job market Advantage of this method include: the placement centre helps locate
applicants and provides resumes to organization; applicants can be prescreened; applicants will
not have to be lured away from a current job and lower salary expectation.

Indirect Method
Advertisement
This includes advertisement in news papers; trade, professionals and technical journals; radio and
TV etc. In recent time this medium became just as colorful lively and imaginative as consumer
advertising. The ad generally gives a brief oudine of the job responsibilities, compensation
package, prospects in the organization etc. This method is appropriate when (a) the organization
intends to reach a large target group and (b) the organization wants a fairly good no. of talented
people who are geographically spread out.
Head Hunters
There is an influx of executive search agencies also known as head hunters who specialize in
selection of professionals for very senior or top posts, where applicants are in short supply and
employers have no time to go round in search of the best talents. Such vacancies are fewer and far
between and organizations prefer hiring a head hunter who maintains confidentiality of the
employer and are specialize in recruiting the best talent strictly as per the job specification. But,
these specialists bodies charges hefty professional fees. However, the high cost is outweighed by
the benefit of recruiting the best talent without going through the cumbersome and time consuming
process of internal recruitment system.

43
SELECTION PROCEDURE
1. Screening of Application:
• All application received from various sources will be screened by the concerned
department and HR based on the job description and specification and the applicant profile.
• Shorting of prima facile suitable candidates who should be called for test/interview shall
be prepared.
• The ratio between the number of vacancy and the number of candidate to be called for
test/interview should normally be 1:5.
2. TEST:
• Depending on the requirement of the job if required, management may conduct
written/aptitude/psychometric/physical or any other test as deem fit,
• Short listed application will be send formal letter for appearing test at least 15 days in
advance.
• Qualifying criteria for the test will be detennined by the management depending on the
nature and requirement of the job.
3, INTERVIEW!
• All the candidates short listed for interview will be informed through a formal call letter
for attending interview at least 15 days in advance.
• The candidate will be interview by the interview panel.

4. FTNAL SELECTION AND APPOINTMENT:

• Recommendation of the interview panel will be put up before the MD by the HR
Department for his approval.
• Candidates for the officer and above after interviewed by the panel will be finally interview
by the MD.
• Selection of candidates will be strictly on the basis of merit. Other things being equal local
candidate from state of Bihar will be given preference.
• Appointment letter will be issued to the finally selected candidates after duly approved by
MD. However, in case appointment letter can initially be issued to the candidates and the detailed
formal appointment letter can be issued at the time of joining.
• Before letter of appointment is issued to candidates HR department will ensure the
following:

44
1. Check and verify all the personal details furnished by the candidates.
2. Verify the certificates and other credentials.
3. Make necessary reference/antecedents verifications whenever required.
4. Joining Formalities:
(a) Employees joining shall first report in the HR department will facilitate in completing the
joining formalities such as filling of joining report and other necessary firm.
(b) HR department will ensure that the candidates will be allowed to join subject to their being
found medically.

45
CHAPTER-7
Data Interpretation
Ql. How long you are working in the organization?

Column1

2-3 years
35%
3-more years
39%

3-more years
0-05 years
0.5-2 years
2-3 years

0-05 years
0.5-2 years 7%
19%

46
Q2. What are the various sources of recruitment in your Organization?

Column2
other
newspaper 2%
6%

references
8%

management
references
newspaper
other

management
84%

47
Q3. Are you satisfied with the recruitment process of your company?

Column3

Yes
20%

Yes
No

No
80%

48
Q4- Are you satisfied with your organization salary increment Policy ?

Column4

Cant say
30%

Yes
Yes
No
47%
Cant say
4th Qtr

No
23%

Q5. Are you satisfied with the training procedure given in the Organization?

Column5

No
32%

Yes
No

Yes
68%

49
Q6. Are you getting regular training in your company?

Column6

No
30%

Yes
No

Yes
70%

Q7. What methods is used for the performance appraisal system in your organization?

Column7
Other
11%

Forced distribution
17% Ranking
Forced distribution
Other
4th Qtr

Ranking
72%

50
Q8. Are you satisfied with your promotion activities in your Organization?

Column8

No
23%

Yes
No

Yes
77%

Q9. Does the present performance appraisal system meet your Career advancement?

Column9

Cant say
28%

Yes
No
Cant say
4th Qtr
No
6% Yes
66%

51
Q10. Are you comfortable with the working environment?

Column10
No
9%

Yes
No

Yes
91%

52
CHAPTER-8
Conclusions and results
There are the following conclusions come up after the research of the project by filling the
questionnaire:
• The working environment of the organization is excellent this is reason why employees are
doing the work their and they are stable there.
• Generally organization appointed the employees through the recommendations that is
references even though other sources are there.
• The employees are satisfied with the recruitment process of the organization.
• Most of the employees consider that the salary increment policy is good.
• Generally ranking method is used in the organization for the performance appraisal system
and with the promotion activities.
• As they accept that the working environment is really good this shows thye are satisfied
and the satisfaction of the employees of the organization is very necessary.
• And at last I would like to say that satisfied employees contribute more to the organization
this is the reason why ITC is growing faster.

53
CHAPTER-9
Recommendations and suggestions
There are the following suggestions being an HR student 1 would like to give thoiganization:
Organization should keep the eyes on the recruitment process they should recruit the employees
from outside as well means from where they get the employees they should recruit them.
As the organization is growing faster they should emphasis on the training programs even though
their training programs are quite good.
Organization should regularly give the increment on the salary so that who are not satisfied they
would become also satisfied.
Organization should analyze the training methods and should adopt those methods which are good
for the employees and promotion activities should be good so that employees are satisfied as we
know this is the basic requirement of the success.

54
CHAPTER-10
BIBLOGRAPHY
INTERNET WEBSITES USED: -
• WWW.wikiswot.com
• WWW.dogpill.com
• WWW.google.com
WWW.itc.com

55
QUESTIONNAIRE

Name : Class: - __________ Branch: - ___________

Gender : Male Female
Age Group: 18-20 21-22 23-24 above 25
1. Was the training related to your field?
a) Strongly Agree
b) Agree
c) Neutral
d) Disagree
e) Strongly Disagree
2. Is this organization helpful to update the knowledge of the employees?
a) Yes
b) No
3. Was the training content practical?
a) Yes
b) No
4. Do you think your training sessions would be helpful in getting a best position job in
the future?
a) Yes
b) May be
c) Not sure
5. Was the duration of the training appropriate?
a) Too long
b) Accurate
c) Too short

6. The training that you have done was based on your need identified by you or your
Faculty?

56
a) Yes
b) May be
c) Not sure
7. Do you like the methods and techniques adopted by the trainer?
a) Yes
b) No
8. Did you learn something from this job?
a) Yes
b) No
9. Are you satisfied with the job?
a) Yes
b) No

57