A

PROJECT REPORT
On
“Employees Perception About Organization HR
Practices And Welfare”
 Contents

S.NO. TITLES PAGE NO.

1

10

11

12
 Introduction
Employee:

An employee is anyone who has agreed to be employed, under a contract of service, to work for some form
of payment. This can include wages, salary, commission and rates.
OR
A person who has agreed by contract to perform specified services for another, the employer, in exchange
for money.

This includes:

1. Homeworkers.
2. People who have been offered and have accepted a job.
3. Fixed-term employees.
4. Seasonal employees.
5. Casual and part-time employees.
6. Employees on probationary and trial periods.

An employee is not:

1. A self-employed or independent contractor.

2. A sharemilker.
3. A real estate agent whose agreement says they are an independent contractor.
4. A volunteer who does not receive a reward for working.
5. In some cases, a person who is engaged in film production.
HR PRACTICES
The success of any business depends as much on appropriate, effective, well-communicated, HR
and business practices as it depends on meeting the requirements of mandated laws and
regulations. In fact, good planning and the development of effective practices make regulatory
compliance much easier.
HR practices helps in increasing the productivity and quality, and to gain the competitive
advantage of a workforce strategically aligned with the organization’s goals and objectives.

KPI's For HR PRACTICES

Some of the key performance indicators for Human Resources include but are not limited to the
following.

• Employees’ clarity on HR policies

• Employees’ clarity on roles, responsibilities and expectations
• Development of qualitative staff
• Number of HR issues arising for which there are no clear policies and guidelines
• Competitiveness of compensation structure relative to industry benchmark
• Usefulness and accuracy of compensation survey
• Lead time to respond to staff welfare issues
• Employees’ assessment of promotion criteria and process (clarity, fairness)
• Measurement of HR policy violation
• Average time required to fill vacancies
• Proportion of training programs resulting in productivity improvement
• Staff attrition rate
• Understanding / Clarity of the Organizational philosophy
 Outline Internal capabilities and identify gaps on skills-competencies-behavioral aspects

 Prepare HR strategic Objectives and bring in clarity as to how the HR strategy supports the
organizational strategy
 Develop KPI's for each of the strategic
objectives.
 Track and measure
performance
Human Resources Best Practices

The best practices in the management of human resources are the ones which optimize a workforce
so that it can not only get work done, but also ensure a greater level of efficiency, timeliness and
quality as it accomplishes increases productivity overall.

Hence the job of the best practices human resources firm is to make sure that these benefits and
pay scales meet the company’s budget while remaining attractive and competitive enough to pull
in the very best talent possible. We should know that these figures put the company in a good light
while also presenting themselves as engaging and competitive for company’s recruitment efforts.

OBJECTIVE OF HR PRACTICES:-

The main objective of HR Practices is to differentiate the organization from its competitors by
effective and efficient HR Practices. By following this, the organization does its whole work
process. The objective of HR Practices is to increase productivity and quality, and to gain the
competitive advantage of a workforce strategically aligned with the organization’s goals and
objectives.

As The Transparent HR practices can reduce attrition, Because-

Transparent HR practices ensure continuous business growth in every organization.

It gives the suitable working environment to the employees.
The success of company motivates the employees of organization to continue relationship with
it. As all the employees Perks chart has been mentioned according to their designation in the HR
practices, it helps the employees to know what their perks charts are. So it creates a
transparency.
 Objectives of the project-

As we know the whole function of HR department depends upon the HR Practices of the
organization. The HR management is done according to the HR Practices of the company. Which
things to be done and which things should not be done depend upon this only. It also helps the
organization to achieve the target of the organization.

The HR policies of the organization have been mentioned in the HR Practices. All the rules &
regulations for the employees have been also mentioned in this. All the welfare of the employees’
processes is also mentioned in this.

So the study of the HR Practices means basically the brief study of all HR functions in the
organization. I believe the HR Practices is a vital part of an organization, which helps the
organization to achieve the goal of the organization.

All companies are having their HR Practices but the company who is having the best, is the most
successful company among its competitors. So the company can get success within its competitors
by applying best, effective HR Practices.

The main objective of the project is:

>To understand the HR practices followed & Process of Performance Appraisal.
>To know what are the uses of HR practices for any
organization.
>How these HR Practices help any organization to know its stand in the market and to be
competitive by implementing good HR Practices for their employees.
>To understand how the organization would achieve its goals by implementing good HR
Practices.
>To understand the work culture of the
organization.
 HR function is very important in every organization. It helps the organization to manage not only
the people of the organization but to manage all the working processes in it also. HR is
management function that helps managers to recruit, select, train and develop members for an
organization. Obviously HR is concerned with the people’s dimensions in organizations. HR refers to set
of programs, functions, and activities designed and carried out.

The HR practices are as follows:

1.Recruitment & Selection:

I.Recritment:
It is a process to discover the sources of manpower to meet the requirements of the staffing
schedules and to employ the effective measures for attracting that manpower in adequate numbers
to facilitate effective selection of an efficient workforce.
Edwin B. Flippo has defined it as “ the process of searching for prospective employees and
stimulating them to apply for jobs in the organization. “

Objectives of Recruitment:

 To attract people with multi-dimensional skills and experiences that suti the present and
future organizational strategies,
 To infuse fresh blood at all levels of the organization,
 To develop an organisational culture that attracts competent people to the company,
 To search for talent globally and not just within the company,
 To design entry pay that competes on quality but not on quantum,
 To anticipate and find people for positions that do not exists yet.

PROCESS

 Finding out the requirement (hiring vs. exit), upcoming vacancies, kind of employees needed.
 Developing suitable techniques to attract suitable candidates.
 Stimulating as many candidates as possible.
Factors Affecting Recruitment:

Internal Factors External Factors

Employer’s brand Socio-economic factors
Company’s pay package Supply & Demand factors
Quality of work life Employment Rate
Organisation culture Labour market conditions
Career planning & growth Political, Legal, Governmental factors
Company’s size
Company’s products, services
Role of trade unions
Cost of recruitment
Company’s name & fame.

Sources Of Recruitment:

Internal Sources External Sources

Present employees Campus Recruitment
Retired employees Private employment consultant
Dependent of present Data Banks
Employee Referrals Casual Applicants
Trade Unions
Walk-ins
Head Hunting
Mergers & Acquisitions
E-Recruitment

It helps in translating Business Strategy into people requirements. A combination of internal

recruitment, campus recruitment, and executive search is leveraged to meet up to the changing
needs of the organization
 In today’s rapidly changing business environment, organizations have to respond quickly to
requirements for people. Hence, it is important to have a well-defined recruitment policy in place, which
can be executed effectively to get the best fits for the vacant positions. Selecting the wrong
candidate or rejecting the right candidate could turn out to be costly mistakes for the
organization.
II.Selection:

It is one area where the interference of external factors is minimal. Hence the HR department can
use its discretion in framing its selection policy and using various selection tools for the best result.
Recruitment of staff should be preceded by:

An analysis of the job to be done (i.e. an analytical study of the tasks to be performed to determine
their essential factors) written into a job description so that the selectors know what physical and
mental characteristics applicants must possess, what qualities and attitudes are desirable and what
characteristics are a decided disadvantage.

Effectively, selection is 'buying' an employee (the price being the wage or salary multiplied by
probable years of service) hence bad buys can be very expensive. For that reason some firms (and
some firms for particular jobs) use external expert consultants for recruitment and selection.

Equally some small organizations exist to 'head hunt', i.e. to attract staff with high reputations from
existing employers to the recruiting employer. However, the 'cost' of poor selection is such that,
even for the mundane day-to-day jobs, those who recruit and select should be well trained to judge
the suitability of applicants.
Outsourcing is also done through consultancies by mentioning the requirement, number and
time.

Where the organization does its own printed advertising it is useful if it has some identifying logo
as its trade mark for rapid attraction and it must take care not to offend the sex, race, etc.
antidiscrimination legislation either directly or indirectly. The form on which the applicant is to
apply (personal appearance, letter of application, completion of a form) will vary according to the
posts vacant and numbers to be recruited.
 Interviewing can be carried out by individuals (e.g. supervisor or departmental manager), by
panels of interviewers or in the form of sequential interviews by different experts and can vary

from a five minute 'chat' to a process of several days. Ultimately personal skills in judgment are
probably the most important.
Training in interviewing and in appraising candidates is clearly essential to good recruitment. Largely
the former consists of teaching interviewers how to draw out the interviewee and the latter how to rate the
candidates. For consistency (and as an aid to checking that) rating often consists of scoring candidates
for experience, knowledge, physical/mental capabilities, intellectual levels, motivation, prospective
potential, leadership abilities etc. (according to the needs of the post). Application of the normal curve of
distribution to scoring eliminates freak judgments

The Chart of Recruitment & Selection Process has been given here:

HOD

Requisition for
Vacancy to be as
per Org Chart
1. Data bank Short Listing
HR 2. Req Agency
3. Poornata

END
Scheduling
the interview
Induction

Offer Letter Selection &

Joining Negotiatio
2. Performance Management System:

It is a structured method of formally and objectively evaluating employees’ performance with

respect to their objectives. It addresses the issue of an employee’s development by providing them
with structured and in-depth analysis of strengths and areas of improvement. It provides with input
for annual increments, training and development.
For an organization the aim should not be just to have the best people, but also to retain them and
get best out of them.
Employee Performance management includes planning work and setting expectations, developing
the capacity to perform, continuously monitoring performance and evaluating it.

Most organizations focus on an annual evaluation process for employees and call that Performance
Management. However, annual evaluations are often subjective and can lack specific
measurements and supportive data to help the employee truly improve their behavior.

Simply putting, a Performance Management System is essential to the success of any organization
because it influences the effort expended by employees, which in turn, drives bottom-line business
results. Furthermore, the Performance Management System helps an organization identify, recruit,
motivate, and retain key employees.

An effective Performance Management System should achieve the

following:
Review the employment cycle of every
employee,
Beginning with the recruiting process,
Employee development,
Ending with effective exit interviews.
Employee’s knowledge, skills, and abilities with the organization's human capital needs and
business objectives.

Provide managers and employees with the tools necessary to focus on short-term and long-term
goals that contribute to both career and organizational success.
Support the organization in developing and sustaining a culture that recognizes and rewards
individual contributions and team performance.
Promote a work climate that requires employees to remain flexibly focused. For instance,
employees can manage current tasks and unit goals while keeping pace with, and adapting to,
change in the work environment.
HR Performance Management System can be performed in three steps:
Needs Analysis
Identifying Competencies
Development of effective Performance Management System.

PURPOSE:

For Administration-
 Document HR decisions with regards to performance & its related issues.
 Determine promotion of employees.
 Determine increment in pay of employees.
 Determine transfer & change in job assignments.
 Determine retention or termination.
 Decide on layoffs.
 Decide need for training
 Decide salary & related issues.

For Development-
 Provide performance feedback to all concerned.
 Identify individual skills, core competencies, strength & weaknesses.
 Assist employees in setting goals.
 Identify training needs.
 Improve communication.
Method employed –

 Rating & Contribution

 Management by Objectives (MBO)-
Advanced by Peter F. Drucker, way back in 1954. During last decade about 50 organisations have
adopted MBO in work settings.

MBO is a process whereby superior & subordinate managers of an organization jointly identify its
common goals, define each individual’s major areas of responsibilities in terms of results expected
of him & use these measures of guides for operating the unit & assessing the contribution of its
members.
The MBO focuses attention on participatively set goals that are tangible, verifiable
& measurable.
The superior & subordinates jointly determine goals to be considered during appraisal period &
what level of performance is necessary for subordinates to satisfactorily achieve specific goals.
During performance appraisal period the superior & subordinates update & alter goals as necessary
due to changes in business environment.
If not achieved identify reasons for deviation.

System of Performance Appraisal –

a) Establish Performance Standard.
b) Communicate standard & expectation to employees.
c) Measure actual performance, by following instructions.
d) Adjust actual performance due to environment influence.
e) Compare actual performance with set standards & find out deviations.
f) Suggest changes in job analysis & standards if necessary.
g) Follow up.
PROBLEMS-
 Rating biases-
 Halo effect
 Error of central tendency.
 Personal Prejudice.
 Recency effect.

Mainly the performance management is done by online system includes the following basic
processes:
1. Annual goal setting
2. Mid year review
3. Annual performance review
1.Annual goal setting –

In the month of April/May every year, after the annual planning and budgeting rounds, all
teams identify their KRA’s and goals for the forthcoming financial year. This process occurs by
offline.
Then the employees fill their goal setting document in the Poornata system, listing the KRA’s,
Goals, Measurement Criteria, Assigning Weightage and due date for completion of specific
goals as already discussed offline.
Then they notify the same to their manager/immediate supervisor and await
approval.
The manager recommends any changes if required or else approves the goals set in
the document.
The approval of the goals set by the managers completes the goal setting
process.
The approved documents will be then available to the employees as well as their managers
for the reference throughout the year. These documents can also be viewed by manager’s
manager
(Reviewer) for their indirect
subordinates.
2. Mid Year Review:

Mid year review of goals set at the beginning of the financial year held on the months
of
October/November every year.
The mid year review generally initiated by the manager.
The main focus of the mid year review is to check if the goals set at the beginning of the year
are relevant or if they need to be revised or updated.
The mid year review is also an opportunity for the manager and his team members to
identify and discuss about any performance issues and initiate corrective action for the same.
The mid year review does not entail any ratings.

3. Annual Performance review:

The annual performance reviews against goals set and achieved held during the months of
April- May every year.
The employee completes his self-review /appraisal against goals set, online in the
Poornata system and submits the same to his manager for review.
The manager then discuss the performance of the employee with him/her off-line, give him
feedback on his performance and capture his own comments and performance ratings against
goals and overall ratings in the manager’s evaluation form.
The manager also discusses the employee’s performance as well as rating with the
manager’s
manager (reviewer) and sends the document to the HR department for further
processing.
 3. Training and Development

The needs of individual are objectively identified & necessary interventions are planned for
identified groups, which get rolled out in a phased manner through training calendar.

The training and development program is charted out to cover the number of trainees, existing
staff etc. The programs also cover the identification of resource personnel for conducting
development program, frequency of training and development programs and budget allocation.
Training and development programs can also be designed depending upon job requirement and
analysis. Selection of trainees is also facilitated by job analysis.

The company has a strong focus on manpower training according to their requirements.
The internal training department aims at improving the skill sets relevant to the work
profile of employees.

This includes improving communication-

 Different skills

 E-mail programming

 Operation systems.

The design of the training program can be undertaken only when a clear training objective
has been produced. The training objective clears what goal has to be achieved by the end of
training program i.e. what the trainees are expected to be able to do at the end of their training.
Training
objectives assist trainers to design the training
program.
Training Design-

The trainer – Before starting a training program, a trainer analyzes his technical,
interpersonal, judgmental skills in order to deliver quality content to trainers.

The trainees – A good training design requires close scrutiny of the trainees and their
profiles. Age, experience, needs and expectations of the trainees are some of the important
factors that affect training design.

Training climate – A good training climate comprises of ambience, tone, feelings,

positive perception for training program, etc.

Trainees’ learning style – The learning style, age, experience, educational background of
trainees must be kept in mind in order to get the right pitch to the design of the program.

Training strategies – Once the training objective has been identified, the trainer translates it
into specific training areas and modules. The trainer prepares the priority list of about what must
be included, what could be included.

Training topics – After formulating a strategy, trainer decides upon the content to be
delivered. Trainers break the content into headings, topics and ad modules. These topics and
modules are then classified into information, knowledge, skills, and attitudes.

Sequence the contents – Contents are then sequenced in a following manner:

• From simple to complex
• Topics are arranged in terms of their relative importance
• From known to unknown
• From specific to general
• Dependent relationship

Training tactics – Once the objectives and the strategy of the training program becomes
clear, trainer comes in the position to select most appropriate tactics or methods or
techniques. The
method selection depends on the following factors:

• Trainees’ background
• Time allocated
• Style preference of trainer
• Level of competence of trainer
• Availability of facilities and resources, etc
Improve performance:
“Training & Development is any attempt to improve current or future employee performance by
increasing an employee’s ability to perform through learning, usually by changing the employee’s
attitude or increasing his or her skills and knowledge.”

The need for Training and Development is determined by the employee’s performance deficiency,
computed as follows.
Training & Development Need = Standard Performance – Actual
Performance

Training: Training refers to the process of imparting specific skills. An employee undergoing
training is presumed to have had some formal education. No training program is complete
without an element of education. Hence we can say that Training is offered to operatives.

Development: Development means those learning opportunities designed to help employees to

grow. Development is not primarily skills oriented. Instead it provides the general knowledge
and attitudes, which will be helpful to employers in higher positions. Efforts towards
development often depend on personal drive and ambition. Development activities such as those
supplied by management development programs are generally voluntary in nature.
Development provides knowledge about business environment, management principles and
techniques, human relations, specific industry analysis and the like is useful for better
management of a company.

The Training Inputs are:

Skill

Education

 Development

 Ethics

 Problem Solving Skills

 Decision Making

 Attitudinal Changes
Importance of Training & Development:

 Helps remove performance deficiencies in employees

 Greater stability, flexibility and capacity for growth in an organization
 Accidents, scraps and damages to machinery can be avoided
 Serves as effective source of recruitment
 It is an investment in HR with a promise of better returns in future
 Reduces dissatisfaction, absenteeism, complaints and turnover of employees

Needs of Training:

Individual level
 Diagnosis of present problems and future challenges
 Improve individual performance or fix up performance deficiency
 Improve skills or knowledge or any other problem
 To anticipate future skill-needs and prepare employee to handle more challenging tasks
 To prepare for possible job transfers

Training given on:

 Safety aspects
 Behavorial aspects
 Technical aspects
 Communication skills
Identification of Training Needs (Methods)

Individual Training Needs Identification

1. Performance Appraisals
2. Interviews
3. Questionnaires
4. Attitude Surveys
5. Training Progress Feedback
6. Work Sampling
7. Rating Scales

Group Level Training Needs Identification

1. Organizational Goals and Objectives
2. Personnel / Skills Inventories
3. Organizational Climate Indices
4. Efficiency Indices
5. Exit Interviews
6. MBO / Work Planning Systems
7. Quality Circles
8. Customer Satisfaction Survey
9. Analysis of Current and Anticipated Changes

Benefits of Training Needs Identification

1. Trainers can be informed about the broader needs in advance
2. Trainers Perception Gaps can be reduced between employees and their supervisors
3. Trainers can design course inputs closer to the specific needs of the participants
4. Diagnosis of causes of performance deficiencies can be done.
 4. Talent Management:

It is a holistic and systematic process, across the group. It is built on the work done so far
on people processes, and has a Talent Identification and Talent Development Strategy for all the
3 levels of management i.e. Senior, Middle & Junior Management. This is facilitated by
Development Assessment Center followed by Individual Development Plan, enabling planned
succession and career management.

The talent management process includes HR

process for:
 Recruitment,

 Performance,

 Compensation,

 Succession planning,

 Learning and other capabilities around self-service,

 Analytics
 Reporting.

With businesses going global and competition becoming intense, there is mounting pressure on
organizations to deliver more and better than before. Organizations therefore need to be able to
develop and deploy people who can articulate the passion and vision of the organization and
make teams with the energy to perform at much higher levels.

Talent management is a key business process and like any business process takes inputs and
generates output.

Talent management is a professional term that gained popularity in the late 1990s. It refers to
the process of developing and fostering new workers through onboarding, developing and
keeping current workers and attracting highly skilled workers to work for your company. Talent
management in this context does not refer to the management of entertainers.

Companies that are engaged in talent management (human capital management) are strategic
and deliberate in how they source, attract, select, train, develop, promote, and move employees
through the organization. This term also incorporates how companies drive performance at the
individual level (performance management).

The term talent management means different things to different

people.

 To some it is about the management of high-worth individuals or “the

talented”.
 To others it is about how talent is managed generally - i.e. on the assumption that all people
have talent which should be identified and liberated.

Talent management decisions are often driven by a set of organizational core competencies as
well as position-specific competencies. The competency set may include knowledge, skills,
experience,
and personal traits (demonstrated through defined
behaviors)
5. Job Analysis & Evaluation:

It is broadly categorized in two parts. Job Analysis is a process to understand the job, identify
and disaggregate the activities, competencies and accountabilities associated with the job. It
defines and clusters the task required to perform the job. It also clarifies boundaries between
jobs. The output of Job Analysis exercise is referred to as job description.

.
 STEPS:

1) Process of Collecting Information

“Job Analysis is a process of studying and collecting information relating to operations

and responsibilities of a specific job. The immediate products of this analysis are ‘Job
Description’ and
‘Job
Specifications’.”

2) S ys t e m a t i c E x p l o r a t i o n o f A c t i v i t i e s

“Job Analysis is a systematic exploration of activities within a job. It is a basic technical

procedure that is used to define duties and responsibilities and accountabilities of the job.”

3) I d e n t i f yi n g J o b R e q u i r e m e n t s

“Job is a collection of tasks that can be performed by a single employee to contribute to the
production of some product or service, provided by the organization. Each job has certain ability
requirements (as well as certain rewards) associated with it. Job Analysis is a process used to
identify these requirements.”

Each job is a unique description of a role that a person can hold in an organization or required
to be performed for the business benefit of that organization. When jobs are created, their tasks
and requirements are taken into consideration.
Jobs are used in the following components:

 Job and Position Description

 Shift Planning

 Personnel Cost Planning

 Career and Succession Planning

Note:
Job descriptions should be as general as possible and as detailed as
necessary.

JOBS

Jobs

Jobs are general

Examples :
classifications of
tasks performed Head of Department
by employees Buyer
Secretary

Secretary

Buyer

Head Of Dept.
Positions:

Positions
Positions are specific to your
Positions are the enterprise
concrete representation
of jobs. They are held More than one position can be
by individuals at your based on the same job
enterprise. Each position typically
represents one employee, but
may be partially filled by more
than one
Job:
Head
of
Dept.

Positio
Position: n:
HOD : HOD :
Positio
Purchasing HR
n: HOD
: Sales
Once you have created a job, define the number of positions required the enterprise.
Jobs are not staffed by employees. That is the role of positions. If more than one person must
perform jobs, more than one position must be created to meet this requirement.
A position inherits the job’s tasks, and can also be assigned its own additional
tasks.
Positions can be 100% staffed, partially staffed, or
vacant.
When we define a position as vacant, the system prompts us to define the period for which the
position will be vacant There will be a central authority that will be designated to declare
vacancies and make them available for Recruitment (both internal and external). Positions can
fall vacant due to reassignment or Separation as well. Such positions become unoccupied and
not vacant. Vacancy is thus a declared feature for a position.
A chief position is a position designated as the leader of a particular organizational
unit.

By matching the requirements of a position and the qualifications of the employees, we will be
able to do career planning for employees and succession planning for positions.
A profile matching reports can also be run to review the results of how an existing employee or
an applicant fares against the requirements of a position.
6. Organizational Structure:

Using the basic object types – constructs of relationships is built to mirror the business edifices and
processes. By assigning object characteristics, validations, requirements etc, we can capture
complex organizational realities with relative ease.

Process Flow:

 Before creating all of the other necessary objects and relationships, the user must first create a
root organizational unit. Once one organizational unit has been created, it is recommended to
create the appropriate organizational units below it.
 Jobs may be created after an organizational unit exists in the model.
 You can assign cost centers to organizational units and Positions.
Inputs:

Organization chart
 Root org
unit
 Additional Org
units
 Jobs if
Required

Positions
 Details to where the positions need to be
mapped.
 Position Details like Position Type, Position Sub Type, Department, and Sub
department.

Every organization has its organizational structure. According to this every employee has some
specific work. The work also depends upon their levels. As per their levels in different departments
they will have to do their work.

In RMC business, there are different departments so as to organize the work efficiently and
effectively. These are:


HR

Marketing

Technical
 Commercial and
Accounts

IT
 Key
Accounts

CRM

Quality

As for different departments different works has been specified for the different levels of people. It
helps them to perform their work, which has been specified to him. For similar jobs also the work
of the employees’ has been structured properly, to avoid the repetition of the work with the other
employees. It helps in decrease the overlapping of the work.

To manage the different levels of work the employees have been separated in to different
designations and different depts. According to their area of specialization. The designations which
have been given to the employees are based on the skills they have, grades, knowledge, varying
experiences. These designations have been specified as per the standard HR Practices of the
organizations, so as to make the organization different from other organizations.

In this way the organization stands in a better position than its competitors in the competitive
business.
The different designations given to the employees are given in the following table.

Designation (s)
Jt. President /Jt. Exc. President
Sr. Vice President
Vice President
Asst. Vice President
Sr. General Manager / General Manager
Dy. General Manager
Sr. Manager
Manager
Dy. Manager
Asst. Manager
Sr. Engr. /Sr. Officer
Engineer / Officer
Asst. Engr. / Asst. Officer
Jr. Engr. /Jr. Officer
Sr. Supervisor
Supervisor
Support Staff
7. Compensation Philosophy of the company-

It is an outcome of what the Organization would like to pay for, which is determined by external
and internal factors. All the processes are aligned to reinforce the philosophy. The company
views compensation not only as something that reflects on the pay slip or in the CTC (Cost To
Company) but also they are concerned about overall employee well being though they may not
put any monetary value on items like Scholarships, Club membership, Retirement benefit,
Health and Accident coverage.

The Group’s approach towards various aspects of compensation focuses

on:

• Pay for performance (Variable Pay)

Rewards stretch performance which is linked to business, team and individual results

• Compensation increase

Pay for the job

Internal equity based on contribution to the organization

• External benchmarking

Relevant industry segment and people market

Parameters beyond compensation: head count/ level/ reporting

Individual profile and performance

To be market aware, not blindly follow market practices

• Compensation structure

Tax efficient but compliant

Common perk structure but varying amount

Three major terms used in the company’s compensation:

1. Fixed Cost: It is the fixed component of the salary that is committed to an employee and is
paid on monthly / annual basis. This includes base salary, all perks and reimbursements and
retrials such as PF, Gratuity and Superannuation.

2. VariablePay: This is the variable component, payout of which is contingent on Business,

Unit/Zone and Individual performance. Targets for the year will be fixed and communicated at
the beginning of every performance year

3. Cost to Company: This is a sum of Fixed Cost and Variable

Pay.

CTC is decided based on designation, qualification and experience. Basic is around 42% of fixed
cost without housing. Perks and allowances are fixed as per the designations. Variable pay
based on job band is payable at 18%, 15% and 12% of fixed cost without housing. Balance
amount is
paid as special
allowance.
8.Exit Interviews:

An exit interview is simply a conversation between a departing employee (who is leaving the
company either voluntarily or involuntarily) and a representative from the organization.
The interview can follow a structured format or be conducted on an informal basis; written
questionnaires can even be used in place of a face-to-face meeting. Whichever format is used,
exit interviews are generally documented.

Traditionally, exit interviews are conducted with employees leaving an organization. The
purpose of the interview is to provide feedback on why employees are leaving, what they liked
or didn’t like about their employment and what areas of the organization they feel need
improvement. Exit interviews are one of the most widely used methods of gathering employee
feedback, along with employee satisfaction surveys.

Benefits of Exit Interview

Exit interviews can be a win-win situation for both the organization and the leaver. The
organization gets to retain a portion of the leaver’s knowledge and make it available to
others, while the leaver gets to articulate their unique contributions to the organization and to
‘leave their mark’.

Exit interviews offer a fleeting opportunity to find out information that otherwise might be
more difficult or impossible to obtain. The exit interview is an important learning tool for
employers. When properly conducted, the interview provides the employer with the opportunity
to:

 Discuss and clarify the reasons for the

termination
 Clarify pay and benefits issues (e.g., receipt of the last paycheck, the amount of unused
vacation, conversion or continuation of benefits, terms of a severance package, unemployment
insurance, etc.)

 Explain company policies relating to departing employees (e.g., trade secret confidentiality,
restrictive covenants or non-compete agreements, the possibility of future re-
employment,
freelance or contract work, the provision of references to prospective employers,
etc.)

 Ensure the return of keys, security cards, and company property

 Obtain information about improper or questionable management practices connected with
the employee's termination
 Obtain information about a supervisor's management skills
 Obtain information about how effectively a department operates
 Obtain feedback about employees' opinions and attitudes about the company
 Resolve or defuse any remaining disputes with the exiting employee
 Protect itself against subsequent charges that the employee was forced to resign
(i.e., constructive discharge)
Key Learnings From The Project:

 Firstly it was a very good experience to work and learn with a world class for two months as
it was my first step into the corporate world.
 When I saw my senior people doing each & every kind of work I came to know how much
important is each & every work. Maintaining files in systematic manner with each & every
detail is very important, if not done it hinders the work whenever these are required for
reference in medical claim formalities, appraisal etc.
 As I worked with the employees of HR department in the organization during the project they
shared their experience and learnings with me, which was a very good opportunity I got during
my project.
 I learned different HR Policies of the organization which were unknown to me before entering
to the corporate world.
 I also learned how much the values and culture of the organization impacts the employees
productivity. Like here the Seniors were approachable in nature, I felt an open culture.
 Many a times I felt people are not open to new ideas and they are resistant to
change.
 I have gained some learning from every individual working here; it might be in terms
of knowledge, skills, behavior or personal traits etc.
 I have learned many small, minute things by observations, being in the HR department for 2
months, which could not be learnt simply by reading books theoretically. The practical
experience was totally different.
 I have also learnt that a HR person should be very polite, soft spoken & good in handling
people.
Co-ordination with all departments is very necessary especially with Finance
Department.
Observations:

During the study of the project I observed different functions of the HR Department. I
got the knowledge about the different types of HR Policies functioning in the
organization. I also got knowledge about how the organization is following their values
in a very sincere way.
I learnt how and what types of facilities are being provided to the employees .
I also observed how they are doing the Performance Appraisal on basis of the
achievement of the targets by the employees in the time given to them through
ERP.
I got the knowledge about different departments in a manufacturing company and
idea about the challenges what the employees are facing while performing their
work.
As I worked on the ERP system of the organization, I came to know that how they
are maintaining the database of the employees for all departments region-wise & its
importance.
They emphasis on providing proper working environment to their employees, so that
the
employees can work efficiently & smoothly .
Suggestions:

 The company should give the compensation as per to the skills, so that the employees
could do the efficient work.

 Organizations must enhance work force motivation to improve productivity. Workers

must be encouraged and motivated to develop a customer satisfaction mind set.

 Organizations need to empower their workers by allowing them greater autonomy

and control and to design jobs that are more stimulating. This will enhance the
personal productivity.

 Interdependency of different departments should be well studied, co-ordinated for

effective output.
 Training schedule is worked out well here with proper planning schedule.
Recruitment proper planned, structured according to openings in plant, new vacancies.

 Goal Setting programs undertaken with schedule to find potential prospective

employees for higher posts, giving training, discussing the on job responsibilities.

 The employee goals are well studied and structured. The Key Related Areas are
properly designed & clearly mentioned to employees.
Limitations:

During the project there were various constraints, which were faced.

The review is done in retrospect and is an average of six months old, so recollection of
events is poor .
The opinions of staff and manager are often in opposition, causing de-motivation .
The process is usually Manager driven and the staff member is expected to be compliant
in the interview .
The process usually involves the Manager giving their opinion and the staff member
having to defend the position, rather than a positive discussion .
The process is usually done in a rushed manner to meet a budget development process
and therefore loses its relevance to performance .
Results of merit rating are not accurate unless factors in the assessment are relevant.
Sometimes,proper weightage may not be given to different qualities to be rated.
Actual rating of subjective factors like initiative & personality of employees may not be
on scientific lines.
Superior may be biased.
Method of Appraisal unreliable.
BIBILIOGRAPHY:

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