ANALYSIS OF THE FINANCIAL PERFORMANCE ON FOLLOWING ASPECTS FOR THE LAST 5 YEARS

PROFITABILITY RATIOS MAR’21 MAR’20 MAR’19 MAR’18 MAR’17

Operating margin (%) 13.63 15.67 15.83 17.83 17.87
Gross profit margin (%) 9.89 12.79 12.99 14.53 14.37
Net profit margin (%) 13.00 9.17 9.46 11.58 12.98
Adjusted cash margin (%) 14.14 12.80 12.01 14.48 15.90
Adjusted return on net worth (%) 5.82 8.98 8.67 10.68 10.89
Reported return on net worth (%) 6.73 7.89 8.67 10.68 10.89
Return on long term funds (%) 6.15 9.67 10.91 12.71 11.85

LIQUIDITY RATIOS MAR’21 MAR’20 MAR’19 MAR’18 MAR’17

Current ratio 0.90 0.44 0.60 0.44 0.42
Current ratio (inc. st loans) 0.77 0.35 0.48 0.41 0.35
Quick ratio 0.72 0.32 0.39 0.25 0.20
Inventory turnover ratio 0.36 0.52 0.66 7.97 7.79

LEVERAGE RATIOS MAR’21 MAR’20 MAR’19 MAR’18 MAR’17

Long term debt / Equity 0.33 0.49 0.29 0.25 0.27
Total debt/equity 0.40 0.65 0.38 0.30 0.35
Owners fund as % of total source 71.00 60.60 72.05 76.46 73.99
Fixed assets turnover ratio 0.37 0.55 0.76 0.72 0.67

PRODUCTIVITY AND EFFICIENCY

Reliance is developing indigenous solutions and adopting world-class technologies to get optimal
returns on its digitisation initiatives. Reliance Jio is the fulcrum that is propelling the Company’s
journey to become future-fit in a digital-first world. It leverages digital technology and smart
manufacturing applications to not only create business solutions but also innovate business practices
for the connected world. The Company is continuously upskilling employees to accelerate the
adoption of technology to improve efficiency, productivity and data protection.

During COVID 19 pandemic, Jio successfully met the needs of surging data traffic as millions of
citizens adopted to digital services in order to stay connected, access education, healthcare and
essentials and stay productive. The entire operations were carried out despite minimum staff and
pandemic related restrictions owing to high degree of automation and network virtualisation.

ANALYSIS OF HR PRACTICES

Today companies are trying to reinvent HR practices. Likewise, Reliance Jio also is continuously
adopting new changes that can be in mutual benefit of their employees and organization’s business.
Reliance Jio human resource team is reconfiguring their HR processes and run innovative employee
engagement programs to improve motivation among employees and reduce costs. Reliance Jio HR
practices includes-

 Talent Acquisition and Talent Management

 Resourcing from referrals, online portals, campus placements and walk ins.

 Payroll Administration and Compensation Management

 Workforce Management
EMPLOYEE ENGAGEMENT

 Communicate your plans effectively.

 Own internal magazine.

 Get employees involve with the community.

 Make business games for engaging employees.

 Workshops by professionals.

 Make sure all the employees should be a part of the activities.

 Help employees in education and career.

 Take note what works and what not works.

TALENT ACQUISITION

 Recruitment of fresh talent

Now a day’s recruiters are using social media to find, source and connect with talented candidates.
When used effectively, social media can give an unpredictable boost to a company recruiting
capabilities like using LinkedIn, Facebook, google plus to find fresh talent for their company.

 Proper training of interviewer

Conducting the interview is not everybody’s cup of tea that is why it is important that the company
should train its interviewers properly. If they want to get the best results company can provide
training sessions to its interviewers by the experts. This will fulfil exactly what company wants and
will also remove all kind of ambiguity. As Reliance Jio is a start-up and there are lot of vacant
positions in the company, by training its interviewers it can built up a strong workforce.

 Establishing effective induction and training programs

Proper induction programs can be planned and interactive sessions can be panned for the new
joiners and in the induction programs arrangement for various management games, brainstorming
sessions should be provided, this will keep them involve and energetic. Hiring of employees should
be not done only on the basis of skills and talent but also the attitude they carry and show should be
one of the important parameters for selection.

This is directly linked to effectiveness of training, as if employees carry positive attitude, then
training for them can be more effective. Training needs should be assessed on regularly basis by
observing the performance of the employees and also through feedback. Training records should be
properly prepared, preserved and updated time to time, so that dump can be created of those
employees who are absent from sessions.

 Proper feedback should be taken from new employees

There should be proper system to get feedbacks from the new employees that will allow company to
improve its induction, on boarding experience, Add-on’s training programs.
 Job description should match candidate skills

As job description is the first step towards successful hiring. Company should properly analyse
information about requirement of a particular job position and it should finalize its job description.
The perfect job description will be that one which explains the expectation that company wants
from its candidates for a particular position. To choose the best candidate interview should take care
that the candidate skills and knowledge should meet the criteria of the company.

 Company should follow diversity hiring technique

Diversity is a broad concept that implies inclusion of many characteristics that differentiate us from
each other. Sometimes these characteristics affect the view of the world, experiences, and ways of
relating to the surroundings and each other. Many perspectives that arise from a variety of cultures,
races, gender, religions, national origins, ages, physical and cognitive capabilities, sexual
orientations, and other ways we identify ourselves.

By hiring a diverse staff, you will have access to different perspectives that can optimize your team’s
capacity. Different people, places, ages, personality, experience, minority, ratio of men and women,
skill set, innovative ideas and different perspective will make a creative environment, happy
employees and will help in building best teams in the organization. This will also help to shape the
world of work.

CSR RELATED INITIATIVES

Reliance Jio is a committed player in improving the quality of life of the underprivileged by zeroing in
on different focus areas – education, disaster response, sports for development, rural
transformation, arts culture and heritage and urban renewal.

Corporate Social Responsibility – Reliance aims to align its business goals and priorities with social
commitments. The strategy is to provide as much holistic development to people and local
communities as possible. They improve the quality of lives of the underprivileged sections of the
society by taking initiatives proactively.

Reliance Jio concentrates on Reliance CSR activities by focusing on the three pillars – 

 Endless direct engagement with the society and community, 

 Creating relationships, partnerships and collaborations with institutions and
 expanding and using the power of IT

The CSR activities of Reliance are also in conformity of the Sustainable Development Goals that are

outlined in the United Nations 2030 Agenda for Sustainable Development.

Here are some of the initiatives of Reliance Jio that have been making a difference:

 Water conservation and harvesting projects

Reliance Foundation has engaged with over 500 villages to provide water security. They help
rural communities secure water for drinking purposes along with agricultural needs. RF has
created over 10,000 structures like wells, farm ponds, check dams, earthen dams and masonry
dams. They’ve also created ‘water use groups’ for farmers for effective water management.
 Building Institutions

Reliance Foundation has participated actively in a time of crisis. They have helped over 86000
rural households in over 1200 villages across 12 states in India during times of crises.

 Alternative Rural Livelihood and Entrepreneurship

Reliance Jio offers and promotes alternative sources of livelihood to protect against
uncertainties. If farm-based activities and sources of livelihood are affected due to catastrophes,
Reliance helps small farmers start poultry, nurseries, goat-rearing and vermicomposting. Till
date, they have helped over 10000 rural families.

 Jio Schools

Intending to improve the quality of teaching and learning process for quality education, Reliance
Foundation has set up Jio Schools. In association with the Department of Education, Government
of Andhra Pradesh and Gujarat, they’ve promoted education with the help of Jio technology.

 Dhirubhai Ambani Scholarship Programme

Initiated in 1996, the Dhirubhai Ambani Scholarship Programme aims to empower the youth by
providing scholarships to meritorious students. The scholarship is offered to class 12th students
to carry on their higher education for courses like medical and engineering.