A study on Effectiveness of Training in Tata Metaliks Ltd.

Kharagpur, West Bengal

A summer internship project submitted in the partial fulfillment for the requirement of the award of Bachelor of Business Management (BBM) By Natasha Kainth 1214110127 Under the guidance of Mrs. G. Arti Assistant Professor

Gitam Institute of Management Gitam University Visakhapatnam, Andhra Pradesh May 2011

ACKNOWLEDGEMENT

I like to express my profound gratitude to Prof. K. Siva Rama Krishna, Dean & Principal, GIM, GITAM UNIVERSITY for giving me the opportunity to do this project work I extend my heartfelt thanks to Prof. P. Sheela, Vice Principal GIM, GITAM University who has been a staunch pillar of support to do our project. I take this opportunity to acknowledge my sincere thanks to Dr. K. Manjusree Naidu, Programme Coordinator of BBM whose cooperation and valuable guidance helped me to enhance my knowledge in completing my project report. With my immense pleasure I would like to express my sincere thanks to my project guide G. Arti Asst Prof for giving me this opportunity to successfully complete my project work. I express my deep sense of gratitude to the management of NALCO for giving me this opportunity to study in their esteemed organization I would humbly thank the representatives and employees of and all those individuals who made this study making it a success, giving their support directly and indirectly.

Natasha Kainth Roll No: 1214110127

DECLARATION

I hereby declare that the project work titled Effectiveness of Training in Tata Metaliks Kharagpur, West Bengal submitted by me under the guidance of G. Arti, Asst. Prof, it is the work done by me and has not been submitted to any other University or Institution for the award of any certificate or degree or diploma.

Natasha Kainth Roll No: 1214110127

CERTIFICATE

This is to certify that the Project report titled A STUDY ON EFFECTIVENESS ON TRAINING at TATA METALIKS LTD. submitted by Natasha Kainth in the partial fulfillment for the award of the degree Bachelor of Business Management supervision.. to GITAM INSTITUTE OF MANAGEMENT, GITAM

UNIVERSITY. It is a bona-fide work carried out by her under my guidance and

Date: Visakhapatnam

Mrs. G.Arti Asst. professor

CONTENTS

Chapter

Title Theoretical framework of TATA METALIKS LTD. Introduction Methodology: Need of the study Objectives of the study Scope

Page

Chapter 1

Chapter 2

Limitations Research design Data collection method

Chapter 3

Aluminum industry & Company profile

Chapter 4

Analysis

Chapter 5

Findings & suggestions

Chapter 6

Bibliography

Annexure Chapter 7 Questionnaire

CHAPTER 1 THEORITICAL FRAMEWORK OF TATA METALIKS LTD.

Introduction:
TRAINING EFFECTIVENESS:
Training is required to enhance the individuals knowledge & skill base. In the contemporary competitive environment at any organization training is an important aspect in an employees development. With the increasing economic globalization, market place has become increasingly competitive & dynamic in nature. In such, a situation competitive advantage through peoples knowledge will make the difference between success & failure of the organization. And a well trained & efficient human resource is perhaps the only reliable & long-lasting source of competitive advantage. To attain this, it requires organizations to provide employees with updated skills & knowledge to perform their jobs. It helps organization to be cost effective, more productive & simultaneously increases the efficiency. The gamut of training & development extends beyond the job related skill, competencies & embraces wholesome development of each employee as an individual. Training & development are the major factor determining the quality of employee & long-term profitability of the organization. Development is defined as process to enhance ones ability to understand & interpret knowledge in a useful way. Manpower Service Commission(MSC) defined development as the growth or realization of a persons ability, through conscious or unconscious learning & development programs usually including elements of planned study & experience, & frequently supported by coaching & counseling facility. Development mainly

aims at preparing for future responsibilities, while increasing the capacity to perform at a current job. Based on the above, training & development can be defined as: *Training is the continuous process of increasing the skills, knowledge & abilities of an employee to perform particular job in attainment of organizational objective. *HRD evaluation is defined as the systematic collection of descriptive & judgmental information necessary to make effective training decision related to the selection, adoption, value & modification of various instructional activities. The effectiveness of training is a measurement of learning. It is determined by comparing post-test scores with pre-test scores and then measuring the net change. There are several methods to measure thison a per-student basis, on a per-skill point base or on a per-dollar basis. Lets look at the skill-point base, which measures the cost of raising a students skill by one unit." A measurement of learning is not training effectiveness - it's a measure of learning! You can learn everything required, but fail to put it to required use and the required outcomes are not achieved. Training in organisations is ALMOST ALWAYS about achieving a better performance or capability than is currently available - it's about OUTCOMES that favour the customer and the shareholder it's not about learning that's a bonus.

Generally effectiveness measures are defined in terms of the extent to which a set of objectives are met. It would be quite easy to have a large overlap here with efficiency measures. (Training) efficiency is generally defined as the number of units output for the number of units input. Taking a similar theme I suggest training efficiency can be measured several ways here are some examples:

Number

of

training

courses

achieving

the

required x courses

outcomes 100% delivered

--------------------------------------------------------------------Total required Or 100% number of training

Or 100% x (Number of trainees behaving as required /operating equipment to standard) x / Total (Total number benefits / of people Total trained) costs

PURPOSE OF TRAINING EVALUATION:

Evaluation of HRD programs are to be conducted to help managers, employees & HRD professionals make informed decision about the training program & method of its delivry. Evaluation can serve a number of purposes within organizations. According to Phillips, evaluation can help to determine whether a program is accomplishing its objectives, identifies the strengths & weaknesses of HRD programs, which can lead to changes as needed, determine the cost benefit ration of an HRD program, decide who should participate in future HRD programs, identify which participant benefited the most or the least from the program gather data to assist in marketing future programs, & to establish a database to assist management in making decisions. Effectiveness at Level 1 (Reactions of trainees) could be measured in terms of getting at least 4 out of 5 in each area being rated. If 100% of trainees rate all the aspects at least 4 out of 5, then at Level 1 we'd be 100% effective. But if these same trainees have line managers who report that these trainees are only

demonstrating new but required behaviors for 40% of the time, then arguably the training at Level 4 (Business Impact of training) is just 40% effective. There are mechanisms to measure effectiveness of behavioural skills. These are cumbersome to implement. It needs a fair amount of investment by the organisation in terms of time and money. Organisations that have chosen to implement assessment centres have been able to measure learning at this level. Assessment centre is a large topic on its own and has been kept out of the scope of this article.

CHAPTER 2 Research Methodology:

Need of the study:

1) To know the training process given to the employees. 2) To know whether the training is effective. 3) To know the need of training for better performance of the employees.

Objectives of the study:

The main objectives of the study are     To analyze the training process. To measure the satisfaction levels of employees on various factors To study the relationship between the company & the employees To determine the level of awareness and satisfaction on the policy of training and development.

Scope of the study:

Tata Metaliks Ltd. is one of the major Tata companys. This enables it to know about the effectiveness of the training purpose & the level of satisfaction of the employees.

Research Design:
Research design are of two types qualitative research designs and quantitative research designs. However, fixed designs need not be quantitative and flexible design need not be qualitative. In fixed designs the design of the study is fixed before the main stage of data collection takes place. Fixed designs are normally theory-driven; otherwise its impossible to know in advance which variables need to be controlled and measured. Often these variables are quantitative. Flexible designs allow for more freedom during the data collection. One reason for using a flexible research design can be that the variable of interest is not quantitatively measurable, such as culture. Researcher has adapted a simple random sampling method in its approach for collection of data.

Data Collection Methods:

Data is the useful information which collected for our study. There are two methods of collecting this data. 1. Primary data 2. Secondary data 3. Primary data: The first hand information which is collected for our study is known as primary data. Methods of collecting primary data are 1. Observation 2. Questionnaire 4. Scheduling The data here is collected from the employees basing on the questionnaire and schedule. Secondary data: The data which is collected from already available information is known as secondary data.The data here is collected from the company web sites, journals, annual report and various books.

CHAPTER 3 TATA METALIKS LTD.

INDUSTRY PROFILE:
Tata Metaliks Ltd. is a public limited company promoted by Tata Steel & assisted by the West Bengal Industrial Development Corporation which was established to provide materials to foundries in the country in a subsidiary of Tata Steel. The TML emerged as the largest manufacturer of Foundry grade pig iron in the world with a capacity of more than 650,000 tpa.TML has two businesses one at Kharagpur, West Bengal and the other at Redi, Maharashtra. The turnover of the company was Rs.11854.73 million in the year 2007-08; it earned a profit of Rs.1063.32 million which was on enhancement by 152% over the last few years. But, during the recession period of 2008-09 it incurred a loss of Rs.1680 million. It is a customer centric organization. The pig iron produced by TML is rated as the best in India. The company also provides its customers with critical support across their entire business cycle-raw materials, process and product helping it emerges their business partner. Tata Metaliks through its joint centre with Kubota Corporation of Japan called as Tata Metaliks Kubota Pipes Ltd. And which has entered into the business of manufacturing ductile iron pipes.

Human Resource Management of Tata Metaliks Ltd.

Human Resource Management has come to be recognized as an inherent part of management, which is concerned with the human resources of an organization. Its objective is the maintenance of better human relations in the organization by the development, application and evaluation of policies, procedures and programs relating to human resources to optimize their contribution towards the realization of organizational objectives. In other words, HRM is concerned with getting better results with the collaboration of people. It is an integral but distinctive part of management, concerned with people at work and their relationships within the enterprise. HRM helps in attaining maximum individual development, desirable working

relationship between employees and employers, and effective modeling of human resources as contrasted with physical resources. It is the recruitment, selection, development, utilization, compensation and motivation of human resources by the organization. The scope of HRM is very wide: 1. Personnel aspect- This is concerned with manpower planning, recruitment, selection, placement, transfer, promotion, training and development, layoff and retrenchment, remuneration, incentives, productivity etc. 2. Welfare aspect- It deals with working conditions and amenities such as canteens, crches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities, etc. 3. Industrial relations aspect- This covers union-management relations, joint consultation, collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc. To conclude Human Resource Management should be linked with strategic goals and objectives in order to improve business performance and develop organizational cultures that foster innovation and flexibility. All the above futuristic visions coupled with strategic goals and objectives should be based on 3 H's of Heart, Head and Hand i.e., we should feel by Heart, think by Head and implement by Hand.

ORGANIZATIONAL PROFILE:
Pig iron is the primary input for producing casting in the foundries. Pig iron being an intermediate and a commodity product, we Endeavour become a preferred supplier by creating a positive impact on the customers value chain i.e.; a)Product differentiation, & b)Technical support services through cell c)Performance cell. Our differentiator for product, services & delivery mechanism: Product Customized grades based on end use application. Good surface finish (PPP) for ease of manual handling.

Services

Long term contract. Technical support services by engineers. Supply of pig iron with coke under Performance solutions. Web mail access. CSA for delivery for lead time reductions. Optimum lot size as per requirements.

Delivery

Tata Metaliks has grown by an annual average rate of 18% (saleable pig iron) in the last 10 years. The focus is on: Company Name Tat Metaliks Ltd. SESA Kirloskar Neck OTHERS Market Share 16% 9% 8% 6% Having less than 5%

Main products, services, delivery mechanism are given below: Customers value chain Main Product/services Product FG-Foundry grade, FG-High silicon, FG-High manganese, FGhigh phos, FG-Low phos. SG grade, SSG grade Customized-Ultra high phos., Customized-Ultra high silicon. SERVICES Performance solutions-pig iron with coke-new initiative. Technical services. Customer Delivery Mechanism Based on manufacturing process Grey iron Casting producers including auto casting. Deliveries direct to customers from the plant & from 7 stock points.

Procurement

Ductile iron casting producers including auto casting Aluminum smelting.

Existing domestic Delivery in truck customers (only loads from plant to grey iron casting). customers. Domestic customers. Technical support service cell.

Processing

It is a customer centric organization. The pig iron produced by Tata Metaliks Ltd. is rated as the best in India. The company also provides its customers with critical support across their business cycle raw materials, process & end-product helping it emerges as their business partners. Tata Metaliks believes that the larger purpose of a business is to serve society through best value delivered to stake-holders including employees, customers, investors, vendors & service providers & the community while this also remains a fact that is only by maintaining a strong company that it will be able to support its various community welfare activity. It is among those few companies in India, especially in the business of pig iron making to adopt bottom line performance reporting in its corporate sustainability report. The manufacturing units of Tata Metaliks are located at Kharagpur in West Bengal & Redi in Maharashtra. It has brought a difference in the true Tata in its plant. An area of 10 km radius is identified for its community development schemes. Principal factors of Tata Metaliks Ltd.: a) b) c) Consistency in product quality. Proximity to all regional markets, because of manufacturing facilities in East & West. Ability to manufacture & offer end use specific products (customer delight).

Key changes that may affect Tata Metaliks competitive situations: RM prices increases (Adverse) Control over RM source(Favorable) If global crap availability goes up (Adverse)

TOPIC PROFILE IN THE ORGANIZATION:

The HR & IR departments of Tata Metaliks is famous for various training & welfare pregame it has labored for its workers which are in line with Tata group policies. The focus of HRM will be to give Tata Metaliks a competitive advantage by stretching its position though various HR system & inventions. All efforts would be denied at maximizing the contribution of employees & directing them towards the achievement & organizational objective. The main objective of HRD is: y To give the company a competitive advantage through affective management of human resource. y To maximize the contribution of employees by developing their potential & directing them towards the achievement of their personal & organizational goal. y To enrich the quality of work lives of employees.

PLANNING: Sinister Project: Tata Metaliks Ltd. is in the process of setting up a sinister at its KGP plant to produce about 6 lakh tones of sinister per annum. The use of the sinister in the plant furnace burden will help in utilization of iron ore fines & other waste materials that would reduce the coke rate in blast furnaces & improve their productivity. Coke Oven Plant: Tata Metaliks Ltd. Tata Steel (Thailand) & Hoogly Met Coke & Power Co. Ltd. has signed out at MOU to jointly explore the possibility of setting up a heat recovery cake oven plant along with a power plant. Karnataka Project: The State high level clearance committee (SHLCC) in meeting has approved Tata Metaliks Ltd. Project of setting up an iron & steel plant in Havere district, Karnataka.

PLANT PROFILE: Category Officer Supervisors Workers Total Employees Kharagpur plant 70 60 131 261 Redi plant 51 103 217 371 Head office 42 3 1 371 Total 163 166 349 678

** Tata Metaliks Ltd. is the only Tata company to have awarded the highest delta award thrice as well as awarded TRDQV in 2007.It is also ranked 12th among the list of companies as per the group of business standard.

CORPORATE GOVERNANCE: It aims at maximizing shareholder value legally, ethically & on a sustainable basis, while ensuring fairness to every stake holder-customers, employees, investors, vendors, partners, government of countries which we operate & the community. Thus, corporate governance is a reflection of our culture, policies, and our relationship with stake holders & commitment to values. We believe that sound corporate governance is critical to enhance and retain investor trust. Accordingly, we always seek to ensure that we attain our performance rules with integrity. The employees as a whole are in matters of legal & ethical behavior.

PRODUCTS MANUFATURED: Pig iron manufactured by Tata Metaliks meets exacting product & quality standard low sulphur & low phosphorous grades are standard product offering suitable for the manufacture of ductile grades of casting & it is the only supplier of such grades in eastern India. It produces 16 different composition of pig irona) Automobile- Tractor, MCV, HCV b) Material handling equipment manufactures. c) Motor manufacturers. d) Pump manufacturers. e) Refractory pumps. f) Power pumps.

CHAPTER 4 ANALYSIS

Table 1: Training and development programs are satisfactory or not?

Employees opinion: Satisfactory Non satisfactory Partially satisfied No. of employees 34 10 6 Percentage of opinion 68 20 12

Partially satisfactory level of training and satisfied devolopment 12% Non satisfacto ry 20%

Satisfacto ry 68%

Interpretation: from the feedback the satisfaction level with training and devolopment
programs availed to the employees is 68%

Table 2: Need of uptation of training and devolopment programs ?

Opinion of employees Yes No Ok No of employees 36 4 10 Percentageofopinion 72 20 8

Need of updation in training &devolopment

Ok 20% No 8% Yes 72%

Interpretation: the above table shows that 72% of the employees agree that there is a need of
updating training and development programmes and 20% of the employees are satisfied with current scenario.

Table 3: Satisfaction with salaries and perks? Opinion of employees Satisfied Non satisfied No of employees 50 0 Percentage of opinion 100 00

Satisfaction with salary satisfied 0% and perks:

Non

Satisfied 100%

Interpretation: clearly from the above chart we can see that 100% of the employees are
satisfied with the salaries and perks

Table 4: Percentage of job satisfaction?

Percentage of job satisfaction Less than 40% 40% to 60% 60% to 80% Above 80% No of employees 0 10 14 26 Percentage of opinion 0 20 28 52

Percentage of job satisfaction:

Less than 40% 60% to 80% 0% 52% 28% 40% to 60% Above 80% 20%

Interpretation:

from the feedback 52% of the employees have satisfaction level of more than 80% with their job, 28% of the employees have 60-80 % of job satisfaction, 20% of the employees have 40-60% of the job satisfaction.

Table 5: Opinion on man power alottment? Opinion of employees Enough Shortage More than necessary No of employees 36 12 2 Percentage of opinion 72 24 4

opinion on man power allotment:

Enough Shortage 24% 4% 72% More than necessary

Interpretation: opinion on man power allotment chart shows that 76% of the employees are
satisfied with existing man power.

Table 6: Opinion of employees on Work load in the job?

Opinion of employee Heavy Adequate Less No of employees 8 36 6 72 16 12 Percentage of opinion

Less 12%

Opinion on work load:

Heavy 16%

Adequat e 72%

Interpretation: 72% of the employees feel that the work load assigned is adequate, 16% of
the employees feel that work load is heavy and 12% of the employees feel workload is less

Table 7: Fair opportunities to progress within the organization are there or not?
Opinion of employees No. of employees 38 12 Percentage of opinion 76 24

Yes No

fair oppertunities to progress within the organisation

No 24%

Yes 76%

Interpretation: the feedback shows that 76% of the employees agree that, there are fair
opportunities to progress within the organization and 24% of the employees arent.

Chapter 5 Findings and Suggestions

FINDINGS:

1) New findings in the field of HR. 2) 68% of employees are satisfied with their training & development programs. 3) 72% of the employees need the updation of training & development program. 4) 100% employees are satisfied with their salaries. 5) Above 80% of the employees, 52% of employees are satisfied with their jobs. 6) 76% of employees are satisfied with existing manpower. 7) 72% of employees feel that work load assign is adequate, 16% feel that it is heavy whereas 12% feel that workload is less. 8) 76% of employees agree with the organization.

SUGGESTIONS:
Based on the findings from the analysis done, the suggestions for the organization which can be implemented for enhancing the training effectiveness are: a) Both the supervisor & the worker should be involved in appropriate training need assessment & the process should be transparent. b) Trainees should be given adequate time & facilities & supervisory support to practice the newly learned skill. c) Pre-training & post-training test should be conducted for every program so as to know the increase in knowledge & leaning of the trainees. Training evaluation should not be merely a happy sheet but should measure the worth of the program. d) Certain difficult portions should be discussed more elaborately during the training session & doubt clarification should be promoted. e) Training coordinators & line managers or supervisors should provide more pre-training preparation support to the participant which may be in the form of discussions or supply of study materials in advance.

f)

My suggestion to organisations that embark on measuring effectiveness of training is to measure all programmes at level-1 and level-2. The measures at level-3 and level-4 can start with the functional skills, before moving on to the behavioural skills programmes.

BIBLIOGRAPHY:
Text Books: 1) Measures of Job Satisfaction, Organizational Commitment, Mental Health and Job related Well-being: A Benchmarking Manual (Paperback) by Chris Stride (Author), Toby D. Wall (Author), Nick Catley (Author) 2) Employee Satisfaction Becomes Office Designers Priority.: An article from: San Diego Business Journal [HTML] (Digital) by Natasha Lee (Author), Tim Coffey (Author) Journals: 1) The Tata Business Excellence Model 2010. 2) Tata Metaliks Ltd.16th annual report 2005-06. 3) Tata Metaliks Ltd.20th annual report 2009-10.

Websites: a) b) c) d) www.tatametaliks.co.in www.businessballs.com www.google.com www.indianbusiness.com