A

PROJECT REPORT ON
“Organizational and Effectiveness of a HR
of JK paper Mill”

In Partial Fulfillment for the award of

BACHELOR DEGREE IN COMMERCE
Submitted by:

Tapas Pradhan
Exam Roll No. : 011703CM396
Class Roll No. : BC17-192

Under The Guidance of

Dr. Yajnya Dutta Nayak
Lect. in Com. , Khallikote Auto. College
P.G. DEPARTMENT OF COMMERCE
KHALLIKOTE AUTONOMOUS COLLEGE
BERHAMPUR, GANJAM, SESSION: 2019-20

1
 Dr. Yajnya Dutta Nayak P.G. Dept. of Commerce

(M.Com, M.Phil. PGDMM & Ph.D) Khallikote Auto. College

Berhampur -1

Email: yajnya.dutta@gmail.com

CERTIFICATE

This is to certify that the project work titled “Organizational

and effectiveness of a HR of JK paper Mill” is an original work of TAPAS
PRADHAN bearing Exam Roll No: 011703CM396 and is being submitted to
Khallikote (Auto) College, Berhampur in partial fulfillment for the award of
Degree in Bachelor of Commerce. The matter embodied in this project report
is original and has not been submitted for the award of any other degree.

Place:-

Date:- Signature of guide

2
 DECLARATION

I, Tapas Pradhan, bearing Exam Roll No. 011703CM396, a

student of Khallikote Autonomous College, Berhampur hereby declare
that the project work on “Organizational and effectiveness of a HR of
JK paper mills” prepared by me is an authentic work carried out for the
partial fulfillment of the requirement for the award of the degree of
bachelor of commerce under the guidance of Dr. Yajnya Dutta Nayak,
Lecturer in Commerce, Khallikote Autonomous College, Berhampur.

The matter embodied in the project work has not been submitted for
the award of any other degree, diploma or any other similar title or
prizes to the best of my knowledge and belief

TAPAS PRADHAN

Roll No: 011703CM396

B.com Final Year
 ACKNOWLEDGEMENT

To make any project report, essential requirement is able guidance

and references without which project is incomplete. First and foremost,
I would like to thank my respectable and learned guide, Dr Yajnya
Dutta Nayak, Lecturer in commerce who has provided such an
opportunity and motivation to gain knowledge through this type of
project. This will help me a lot in my career.

Secondly, I would like to bestow my gratitude to the Khallikote

Autonomous College, which provides me such opportunity to undertake
the project report on Organizational and Effectiveness of a HR, for
providing valuable input resources for preparing project like library.

Last but not the least, I am also thankful to my friends specially Udit
Narayan Koushalya , Tejaswini Pattnaik and ,Tushar Dash colleagues,
parents and all faculty member of commerce department whose co-
operation and moral support has contributed major part in preparation
of my project.

TAPAS PRADHAN

Roll No: 011703CM396

B.com Final Year

 CONTENT
CHAPTER NO. TITLE PAGE NO.
1 PROFILE OF THE ORGANISATION 1
2 REVIEW OF LITERATURE 10
3 RESEARCH, PROBLEMS AND 28
METHODOLOGY
4 DATA ANALYSIS AND INTERPRETATION 36
5 CONCLUSION AND RECOMMENDATION 41

BIBLIOGRAPHY 44

LIST OF TABLES AND FIGURES

SN NO. TITLE PAGE NO.

1 JK PRODUCT RANGE 9

2 JKPM ORGANIZATIONAL STRUCTURE 9

3 HRM AT JKPM 12

4 FUNCTIONAL AREAS OF THE ORGANISATION 38

 CHAPTER—01
PROFILE OF THE ORGANISATION

1
Company profile of JK PAPER MILL:

The foundation of J.K. Organization was laid when the nation was
passing through turbulent times. It was the time when Indians were
discriminated against, in their own homeland. Born on 7th November 1884,
Lala Kamlapatji, the worthy son of Lala Juggilal Singhania, had the
determination to fight against this discrimination and a vision to make Indian
business self reliant. With this inspiration he set up the first cotton mill in
northern India JK Cotton Spinning Mill in 1921, exclusively using Indian
capital, management and labour. After this, many other enterprises were started.
JK Jute Mills Co Ltd, JK Iron & Steel Co Ltd, JK Oil Mills, JK Cotton
Manufacturers, JK Hosiery Factory (Calcutta), Motilal Padampat Sugar Mills,
Kamla Ice Factory… an empire was being created.

The Visionary personality had strong nationalist fervour. Responding to the

Mahatma’s call for ‘Swadeshi’ in 1930, he burnt his whole stock of imported
cloth and decided not to import any further. He organized and led a boycott
week with a protest march in Kanpur in a procession on August 10, 1930, which
was more than three miles long – a reflection of his awakened conscience.

He founded the Merchants Chamber of Commerce of Uttar Pradesh, to

act as a platform for the Indian industry to express itself. His philanthropic trait
was reflected through a number of primary schools that he started all over
Kanpur district. In 1937, he motivated his illustrious son Padampat Singhania to
become a member of an elected United Province Assembly under the
Government of India Act, 1935.

Legacy of Entrepreneurship Keeping alive the spirit of entrepreneurship,

2
the three sons of Lala Kamplapat Singhania; Sir Padampat Singhania, Lala
Kailashpat Singhania and Lala Lakshmipat Singhania established a number of
industries across India and further consolidated the existing businesses. They
were the pioneers in setting up a mini steel plant in 1924, and the first Indian
Jute Mill in Uttar Pradesh in 1929.

Moving ahead, 1938 saw the inception of a mill in Bhopal, converting

wheat straw into strawboards, which later became the foundation of JK Paper
Ltd. producing top quality paper and boards. 1944 witnessed the beginning of
the first plant in India, manufacturing Aluminium from Indian bauxite and a
variety of end products, including aluminium extrusion foils and ACSR
products. In 1952, JK Steel pioneered the manufacture of Jute Baling Hoops,
Steel Wires & Wire Ropes, Electric Hoists and Material Handling Equipments
etc.

Venturing into other areas, JK acquired Raymond Wollen Mills in 1944

and turned it around. Today the brand Raymond is well known in the country
and world over as a hallmark of impeccable quality and styling.

diversified into manufacture of readymade garments and steel engineer’s files,

as the second largest manufacturer in the world.

The JK Group, in 1947, acquired the National Insurance Company

Limited and added National Fire and General Insurance Company, making JK
the 3rd largest Life Insurance Company in India and the largest Indian insurer
on foreign shores. However, Aluminium, Life and General Insurance were later
nationalized by the policy makers of those times.

In 1964, JK set up the first Nylon Filament Yarn manufacturing plant in

3
India without any foreign collaboration and became one of the largest
manufacturers of various nylon / synthetic fibres yarns.

The year 1977 was yet another landmark year for J.K. Organisation as the
conglomerate entered into the business of producing tyres, which was till then
the domain of multi-nationals. JK Tyre commenced production in its ultra
modern manufacturing unit in Kankroli Rajasthan, in technical collaboration
with General Tire Company of USA and pioneered the launching of steel belted
radial car tyres for the first time in India. Today, JK’s Truck radial uses cutting
edge technology for leadership in the industry.

The pioneering spirit of J.K. Organization of giving the best to the

consumer continues in all the different businesses.

The Singhanias of today and their generation next have inherited the spirit
of entrepreneurship from their forefathers. Under the visionary leadership of
Shri Hari Shankar Singhania, President, J.K. Organisation, supported by his
brothers, the Organisation has shown continuous and exemplary growth in
diversified fields of industry. The group had achieved a lead position in major
business over the years.

JK Paper Ltd. is India’s largest producer of branded papers and a leading

player in the Fine Papers and Packaging Board segments. It operates two
integrated Pulp and Paper Mills in India, JK Paper Mill in Rayagada, Orissa, in
eastern India and Central Pulp Mills in Songadh, Gujarat, in western India with
a combined manufacturing capacity of 2,40,000 tonnes per year, using
contemporary technology. The products include a wide range of Coated and
Uncoated Printing & Writing Papers and Packaging Boards. Both the
manufacturing units of the Company are ISO 9001-2000 complaint.

4
 JK Paper pioneering initiatives in the Indian paper industry started as far
as the mid 60’s. JK Paper’s pioneering initiatives in the Indian paper industry
started as far as the mid 60’s. It was the first Company to manufacture surface
sized printing & writing paper, followed by copier paper. The Company’s state-
of-the-art Packaging Board plant at Central Pulp Mills produces international
quality virgin boards like FBB, SBS and Cup Stock, in the brand names of “JK
TuffCote”, “JK Ultima” and “JK PureFil”. Nearly 95% of the Company’s
product mix comprises high value products, marketed under various popular
brand names such as, ‘JK Copier’, ‘JK Bond’, ‘Cedar’, ‘JK Excel Bond’, ‘JK
Cote’, ‘JK TuffCote’, ‘JK PureFil’ and ‘JK Pristine Cote’.

The Company’s plantation, driven by in-house research programme, has

coverage of more than 70,000 hectares with 7,000 hectares of plantation being
added every year. By providing farmers high quality plant species through the
Company’s plantation research centre, it helps farmers to improve their
economic well being. A large number of farmers in the state of Orissa, Andhra
Pradesh, Chhattisgarh, West Bengal, Gujarat and Maharashtra are benefiting
from the programme. These plantations with their superior quality plants
contribute towards a strong base for high quality raw materials for the
Company.

JK Paper is the first integrated Pulp and Paper Company in India

conferred with TPM Excellence Award by Japan Institute of Plant Maintenance,
apart from various accolades received over the years. The Company has an
export footprint for high value branded products and Packaging Boards in the
Middle East, South East Asia, SAARC and various African countries.

5
Main Objectives of JKPM

The main objects as contained in the Memorandum of Association are:

Object I:
To carry on the business of manufacturers of and dealers in all kinds and
classes of Pulp and Pulp products and conversions including Sulphate and
Sulphite Pulp, Soda Pulp, Mechanical Pulp, Chemical Pulp, Paper Pulp, Rayon
Pulp and all other varieties, types and qualities of Pulp in all its forms by
converting, treating or turning to account by any process or method of
manufacture, spin, dye, manner and mode bamboo, timber and wood, dropping,
fly, cotton or cotton waste, cotton seeds, grasses, straw, rice straw, wheat straw,
jute, jute sticks, seisal fibre flax, hemp, remie, hessian, gunny, sugarcane,
bagasse, leather, asbestos, rags, waste paper, water hyacinth, all types and forms
of seed hairs, bast fibres, grass fibre, leaf fibre, wood fibre or any other
vegetable or other material, synthetic or otherwise, suitable for any of the above
treatment and to manufacture and deal in all kinds of articles in which any form
of pulp is used and also to manufacture and/or deal in any other articles or
things of a character similar or analogous to the foregoing or any of them or
connected therewith.

Object II:
To carry on the business of manufacturers of and dealers in all kinds and
classes of Paper, Board, and Paper and Board products and conversions
including writing paper, printing paper, absorbent paper, blotting paper, filter
paper, antique paper, ivory-finish paper, coated paper, art paper, bank or bond
paper, badami, brown or buff paper, bible paper, cartridge paper,

6
clothlined paper, azure-laid and move paper, cream-laid and wove paper,
greaseproof paper, glassine paper, gummed paper, hand-made paper, parchment
paper, drawing paper, wrapping paper, kraft paper, manilla paper, envelope paper,
tracing paper, vellum paper, corrugated paper, water-proof paper, carbon paper,
sensitised paper, chemically treated paper, litmus paper, photographic paper, glass
paper, emery paper, paper board, paste board, card cardboard, strawboard, grey
board, pulpboard, leather board, mill board, corrugated board, duplex and triplex
boards, laminated board, hard-board, plywood board, post cards, visiting cards,
chromo and coated paper and boards, machine coated boards etc., and all kinds or
articles in the manufacture of which in any form paper or board is used and also to
manufacture or deal in any other articles or things of a character similar or analogous
to the foregoing or any of them or connected therewith.

Object III:
To manufacture and deal in all materials and substances used in the
manufacture, production or treatment of Pulp, Paper and Board and other
substances, articles and things the manufacture of which the Company is
authorized to undertake and to turn to account, render marketable and deal in
any of the by-products or the manufacturing process which the Company may
undertake.

Object IV:
To buy, sell, import, export, process, cut, cost, chemically or otherwise
treat and to work out for special purposes all kinds of pulps, paper and boards
and also deal in the manufacture of any other articles connected with the
foregoing.

Object V:
To plant, cultivate, produce, raise, manufacture, purchase, sell, import,
export or otherwise handle or deal in grass, timber, wood, bamboo, straw and
7
other forest products, cotton, jute, flax, hemp, sugarcane, leather, asbestos, rags,
waste paper, gunnies, water hyacinth, jute sticks o fibres, fibrous substances or
other things as many furnish materials for pulp and for paper or board
manufacture in any of its branches or as may be proper or necessary in
connection with the above objects or any of the them and to carry on business as
owners, lessees, managers or planters of forest, plantations and farms and
hewers and cutters of bamboo, wood, timber, grasses and all other forest
products.

Object VI:
To own, work, erect, install, maintain, equip, repair, alter, add to or
otherwise handle or deal in pulp and paper plants, filatures or any other factories
for pressing, ginning, carding, combing scouring, mixing, processing, bleaching,
printing, dyeing, or finishing pulp or paper or board for conversion of pulp,
paper or board or any allied products of any description and kind.

Business Activities
The Company manufactures and sells a diverse and multi-application
range of papers, and allied stationery products as well as virgin packaging board
products. Detailed below is the description of various business segments (See
Fig 5.1):
a. Writing & Printing Paper,
b. Industrial Paper, and
c. Speciality Paper

8
FIGURE – 1.1: JK’s PRODUCT RANGE

Existing Corporate Structure & Management of JKPM:

FIGURE – 1.2: JKPM’S ORGANIZATIONAL STRUCTURE

9
 CHAPTER -02
REVIEW OF LITERATURE

Human Resource Management at JKPM

The company believe that the ability to maintain the growth depends

10
 to a large extent on the strength to attract, train, motivate and retain
employees. As of December 31, 2010 the company had approximately
2,823 full-time employees on the rolls of the Company (See Table 1.1).

TABLE – 1.1: HRM AT JKPM

Category No.
S. No. Total
of
Employees
1 Workmen 1,597
.
2 Officers 657
.
3 Supervisors 214
.
4 Staff 132
.
5 Sub staff 50
.
6 Casual employees 173
.
TOTAL 2,823

Source: JKPM’s HR Records

The Company has several human resource initiatives in

place, conforming to contemporary standards, to nurture and develop its
human resources. Efforts are made to enhance the individual skills and
abilities of the employees through various training programmes and to make
the overall work experience meaningful.

The developmental needs for each employee is identified at the time of

annual appraisal and employees are put through an appropriate mix of internal
11
and external training programmes and other facilitating mechanisms. The
Company emphasizes on improved business performance year after year, and,
accordingly, the individual goals and targets of the management team are
finalized in a workshop prior to the beginning of the relevant financial year.
As a part of the customer-in culture, a few distinguished dealers/ wholesalers
are invited to share their experiences and expectations from the Company
during the Goal Setting Workshop‘, thereby helping the senior management to
orient their goals for the coming Fiscal Year. Besides, several visits to
customer locations by the executives not working in its sales and marketing
department are also arranged from its manufacturing units as well as from its
head office in New Delhi. Further, the Company has instituted The Executive
Coaching along with M/s Hewitt Associates, a renowned HR Consultancy
firm, a program for senior executives to train them in delivering quality
performance. At the top management level strategic skills and
organization building skills are emphasized, at the middle management level
it is largely focused on preparing future leadership, whereas at junior
management levels appropriate functional skills training is imparted. The
Company has organized summits for senior management, such as, a 3-day
summit on Strategies for Quantum Growth‘, conducted at the ISB, Hyderabad
in November 2008. Additionally, some of its promising employees have also
undergone one to two weeks' Leadership Programmes at IIM, Bangalore and
IIM, Lucknow

Awards and Recognitions

JKPM and its manufacturing units have received numerous awards and
recognitions, some of which are listed below:
12
• Sword of Honour from British Safety Council, United
Kingdom, for the Unit JKPM.
• Paper Mill of the Year‘ award from Indian Paper Makers
Association, for the Unit JKPM in 1995.
• Unit JKPM has been adjudged as the First Greenest Paper Mill‘
in 1999 and Second Greenest Paper Mill‘ in 2004 by Centre for
Science & Environment (CSE).
• Paper Mill of the Year‘ award from Indian Paper Manufacturers
Association, for Unit CPM in 2004.
• National Safety Award-2004‘ by Ministry of Labour &
Employment, GoI, to Unit CPM.
• CII Sohrabji Godrej‘s National Award for Excellence in Energy
Management 2005‘ to Unit CPM.
• CII National Award‘ to Unit CPM for excellence in
energy management in 2005.
• The IPMA Energy Conservation Award‘ to Unit CPM in 2007.
• Greentech Environment Excellence Award 2010 - Winner of
Gold Award in Paper Sector‘ to Unit CPM.
• Greentech Environment Excellence Award 2010 - Winner of
Silver Award in Paper Sector‘ to Unit JKPM.
• National Energy Conservation Award 2009 - Merit Certificate
in the Pulp & Paper Sector‘ to Unit CPM.
• Good Corporate Citizen Award-2006‘ by PHD
Chambers of Commerce & Industry.
• TPM Excellence First Category Award‘ in 2006 by Japan
Institute of Plant Maintenance for both manufacturing units.
• Award for Excellence in Consistent TPM Commitment – 2009‘
by Japan Institute of Plant Maintenance for Unit JKPM.

13
Employee benefits:
(a) Defined Contribution Plan
Employee benefit in the form of Superannuation Fund is
considered as defined contribution plan and charged to the profit and loss
account in the year when the contribution to the respective fund is due.
(b) Defined Benefit Plan
Retirement benefits in the form of gratuity is considered as defined
benefit obligation and provided for on the basis of an actuarial valuation,
using the projected unit credit method, as at the date of balance sheet.
The provident fund contribution is made to trust administered by
the trustees. The interest rate to the members of the trust shall not be
lower than the statutory rate declared by the Central Government under
Employees‘ Provident Fund and Miscellaneous Provision Act, 1952. Any
shortfall, if any, shall be made good by the Company.

(c) Other long-term benefits

Long term compensated absences are provided for on the basis of

an actuarial valuation, using the projected unit credit method, as at the
date of balance sheet.
Actuarial gain/losses, if any, are immediately recognized in the profit and
loss account.

Health, Safety and Risk Management

JKPM implemented work safety measures and standards to ensure
healthy and safe working conditions, equipment and systems of work for
all the employees, contractors, workers, visitors and customers at its
manufacturing units. It intended to reduce waste and other harmful
pollutants by careful use of materials, energy and other resources while
maximizing recycling opportunities. Each of its manufacturing units have
its own work safety management departments which ensures compliance
14
with safety measures and standards. In addition, it has established a
separate in- house safety department to address all safety related issues
with respect to manufacturing units. It has established a committee for
work safety which sets safety measures and standards in accordance with
the relevant safety laws and regulations in India. JKPM oversee the
implementation and compliance of these safety measures and standards.

Starting at the design and engineering of its manufacturing units, it

adopted safety technology for all its equipment, electrical machines and
electronic control systems as per international standards of industrial
safety.

Both manufacturing units have integral safety systems and

emergency shutdown systems for stoppage of the manufacturing units in
abnormal conditions.

Insurance
JKPM maintains insurance against property damage caused by fire,
burglary, terrorism, earthquake and other perils that may result in
physical damage to or destruction of its offices, manufacturing units,
equipment, raw materials, and inventory and business interruption. It also
has a marine cargo open policy for transport of machines. All policies are
subject to standard deductibles and coverage limitations. In addition, it
maintains group personnel accident policy and group mediclaim policy
with respect to certain category of its employees. It also maintains a range
of general commercial liability insurance, including directors’ and
officers' and company reimbursement policy. Its insurance policies are
provided by domestic insurance companies.

SCOPE OF STUDY
15
 There are 21 labour cases pending in various courts against the
Company. These cases primarily relate to recovery of subsistence
allowances, payment of provident fund, applicability of productivity
norms to employees, compensation claims, re-instatement claims, back
wages claims and termination related matters. The total amount of claims,
against the Company aggregates to approximately ` 0.56 crore. Material
cases are described below.

JK Paper Mills Contract Sramika Sangh, a union representing

1,800 workers engaged with 31 contractors working for the Unit JKPM
and unrecognized by the Company, filed a complaint on November 23,
2004 before the Regional Provident Fund Commissioner, Bhubaneshwar,
alleging that the 1,800 workers were not extended the benefits of the
employee provident fund. A detailed inquiry was conducted by the
Regional Provident Fund Commissioner, Bhubaneshwar and, acting on
the findings of the inquiry, proceedings were initiated before the
Assistant Provident Fund Commissioner, Berhampur. The Assistant
Provident Fund Commissioner, Berhampur delivered an order dated June
12, 2006, stating that an amount of ` 33,23,592 along with applicable
interest should be paid by the Company as contribution towards the
employee provident fund for the 1,800 workers. The Company filed an
appeal before the Orissa High Court against the order of the Assistant
Provident Fund Commissioner, Berhampur dated June 12, 2006 and the
Orissa High Court passed an interim order dated September 11, 2006,
stating that no coercive action for realisation of the employee provident
fund dues should be taken against the Company subject to the Company
depositing a sum of ` 5,00,000 as deposit. The Company has
subsequently deposited ` 5,00,000 with JK Paper Limited (JK Paper
Mills) Compulsory Employees Provident Fund Trust on September 21,
2006. The Company filed a writ petition dated September 1, 2006,
16
against the order of the Assistant Provident Fund Commissioner before
the High Court of Orissa, with a prayer to direct the Assistant Provident
Fund Commissioner to review its order dated June 12, 2006. In terms of
the order dated March 28, 2008, the High Court of Orrissa remitted the
matter back to Assistant Provident Fund Commissioner, Behrampur for
fresh equiry and with a direction to provide reasonable opportunity to all
the concerned parties. The matter is pending. The total amount involved
is ` 0.33 crore. The matter is currently pending.

Environment:
The Company has been focused in terms of adopting and
improving the practices contributing to continual environment
improvement and sustainable development. Both its manufacturing units
are ISO 14001‘certified for their eco-friendly operations and OHSAS
18001: 2007‘certified for occupational health and safety management
system standard. The Unit CPM has won the National Safety Award from
Ministry of Labour, GoI for the year 2004 and the National Award for
Excellence in Energy Management in 2005 by CII-Sohrabji Godrej Green
Business Centre, Hyderabad, which declared the Unit CPM as an
―Energy Efficient Unit. The company deploy eco-friendly technology to
provide a safe and clean environment in its neighbourhood. In recognition
of its efforts in these areas, the Unit CPM was conferred the Greentech
Environment Excellence Gold Award 2010‘ and the Unit JKPM was
conferred the prestigious National

Ground Water Augmentation Award – 2008‘ by Ministry of Water

Resources, GoI and the Certificate of Appreciation for Excellence in
Energy Management
– 2008‘ by Bureau of Energy, GoI. Some of the recent initiatives taken by
the Company to further improve the environment include the following:

17
 JKPM implemented an oxygen delignification system and chlorine
dioxide system at the Unit CPM to reduce elemental chlorine
consumption in the process; it has installed high efficiency, DCS
controlled modern recovery boiler at the Unit CPM to improve upon the
chemical recovery efficiency and also help in conserving coal for steam
generation; the units are using treated effluent for internal use of effluent
treatment plant and chips washing, to save water; the units increasing fly
ash utilization by 25%; and with a installed lime kilns at both of its
manufacturing units to recover lime from the lime sludge. This has
brought down the quantity of lime sludge disposed by about 85% besides
reducing the requirement of lime.

In Fiscal 2008, the company signed an Emission Reduction

Purchase Agreement (ERPA) with the Bio Carbon Fund of World Bank
for sale of carbon emission reductions under the Clean Development
Mechanism (CDM).

Plantation initiatives:

Plantation initiative was started in 1990 at Unit JKPM and later extended
to another Unit CPM. The Company has been aggressively promoting
social and farm forestry and high yielding clones developed by in- house
research and development institutions, carried out on the lands owned by
people residing at villages near to its manufacturing units, (i.e., in Odisha
and Andhra Pradesh for Unit JKPM and in Gujarat and Maharashtra for
CPM Plant), to provide for sustainable supply of raw materials and
increasing benefit to the villagers. The Company has been promoting
plantation of high yielding, short duration pulpwood species with the help
of villagers in areas in a radius of about 250-300 kms from its

18
manufacturing units. Currently, a well equipped network comprising
around 60 de-centralized nurseries and two centralized nurseries contain
18 mist chambers and several clone testing and demonstration fields that
are used for development and production of clonal plants. Fast growing
clones have been identified that are able to produce 100-120 MT/ha of
hardwood in a period of five to six years as compared to 50-60 MT/ha
from seed route seedlings in six to seven years. Clonal seedlings and seed
route seedlings are distributed among villagers with a buyback
understanding. Regular technical assistance is made available to the
villager for the proper upkeep and growth of plants.

Procurement of wood from farm forestry sources now accounts for

over 70-75% of the Company‘s raw materials consumption. The
Company has developed seeds orchards of high yielding strains of
various species including Eucalyptus and Casuarina. The units are
presently operating such social and farm forestry programs in Koraput,
Rayagada, Ganjam, Gajpati and Kalahandi districts of Odisha, Dhule,
Nandurbar, Jalgaon and Nashik districts of Maharashtra, Tapi, Surat,
Bharuch, Baroda, Kheda and Valsad districts of Gujarat and
Vizianagram, Srikakulam and Vishakhapatnam districts of Andhra
Pradesh. This benefits the Company in the long term ensuring continuous
procurement of hardwood and bamboo.

Further, the company has been able to generate over 75,000

hectares of plantations through its social forestry and farm forestry
programs.

Various ecological benefits from plantations of JKPM:

Control of surface run-off, nutrient and soil erosion; improvement
of microclimates, such as lowering of soil temperature and reduction in

19
 evaporation of moisture through mulching and shading; improvement in
soil structure through constant addition of organic matter from
decomposed litter; use and restoration of degraded marginal lands;
greening of wastelands and increase in the area under tree cover; and
reduction of pressure on natural forests. The plantation program
undertaken by the Company has the following key objectives:

i. maximization of farm forestry within 200 kms radius of the

manufacturing units;
ii. research and development for disease resistant varieties and
improvement of farm productivity;
iii. diversity of species to be maintained to avoid monoculture;
focus on less productive lands and providing assistance to
farmers for sustainable management of land; development of
agro-forestry; and
iv. implementation of gate-purchase scheme for direct purchase of
raw materials from farmers.

Conclusion

Paper Industry is a vital and essential industry throughout the world.

However, with the emergence of concept paperless environment, the
sustenance of this vital industry is at stack. However, with the changing
environment, paper industry is also changing its course from traditional
product ranges to new and innovative product ranges and as such it can
be considered as an evergreen industry. It is not surprising to say that the
world could not be imagined without paper.

In order to streamline the industry from certain setbacks, especially

with the emergence of business transparence with ethical and social

20
responsibility domain, the paper industry especially in India, have to ride
with national and global standards. Keeping in mind this view, the
present research focused in detail in the form of a case study with special
reference to JKPM.

The key concluding remarks of the author is that “Corporate

Governance cannot be seen through papers, it should be exhibited in
reality, especially the employees and other stakeholder’s, whose face and
cheer on the part of the corporate to which they belong is always an index
of good governance.”

CODE OF CONDUCT AT JKPM

Code of Conduct for Members of the Board and Senior

Management of JK Paper Limited (pursuant to sub-clause I(D) of Clause
49 of Listing Agreement).

Preamble
The Company already has for the last three years, a Code of
Conduct in position for Management Cadre Staff. The new provisions of
Clause 49 of the Listing Agreement and contemporary practices of good
corporate governance provide that the Company shall have a Code of
Conduct for all members of the Board of Directors and Senior
Management Personnel. Hence this Code.
1. This Code of Conduct divided into Part A: applicable to the
Directors and Part B: applicable to the Senior Management of the
Company, was approved by its Board of Directors at its meeting
held on 22nd October 2005.
2. For the purpose of this Code, “Directors” shall mean all the
Directors on the Board of Directors of the Company and "Senior

21
 Management" shall mean personnel of the Company who are
members of core management team excluding Board of Directors.
Normally this would comprise all members of management one
level below the Executive Directors including all functional heads
reporting to the Managing or Executive Directors.
3. Philosophy: Basic philosophy of the Code of Conduct has been
guided by the practices of good Corporate Governance followed by
the Company. The core values of the Company are:
- Commitment to excellence
- Integrity including intellectual honesty, openness, fairness &
trust.
- Caring for people.
- Dynamic & successful business organisation.
- A socially-valued enterprise.
- Business integrity.

The Code of Conduct therefore aligns around the said core

values and the commitment to maintain the highest standards in its
interface with all stake-holders, society at large and environment.
4. The Directors and Senior Management recognise that they have
fiduciary responsibility and are accountable to maximise
shareholder value through good business practices and controls.

Part – A
5. The Directors of the Company shall endeavour and would
(a) use due care and diligence in performing their duties of office
and in exercising the powers attached to that office;
(b) act honestly and use their powers of office, in good faith and in
the best interests of the Company;

22
 (c) not make improper use of information nor take improper
advantage of their position as a Director;
(d) not allow personal interests to conflict with the interests of the
Company;
(e) make all necessary disclosures to the Company in terms of the
Companies Act 1956, the Listing Agreement and any other law
for the time being in force;
(f) not engage in conduct which may bring discredit to the Company;
(g) be independent in judgement and actions, and to take all
reasonable steps to be satisfied as to the soundness of all
decisions taken by the Board of Directors;
(h) ensure the confidentiality of information they received whilst
being in office of Director and disclosed only when authorized
by the Company, or is required by law;
Part – B
6.
The Senior Management shall endeavor to:
(a) Devote their utmost to achieve the goals of the Company and
the standards set before them.

(b) carry on the business of the Company complying with all

relevant laws, rules and regulations;
(c) ensure that financial records and present financial reports in
accordance with the provisions of law and applicable
accounting standards so as to give a true and fair view of the
state of affairs of the company;
(d) ensure that necessary internal control systems are enforced
effectively whereby fraud and other illegalities or irregularities,
23
 if any, are detected and timely remedial action is taken;
(e) ensure confidentiality of all material sensitive information of
the affairs of the Company coming in their possession and not
to disclose or use the same for personal profit or for the
advantage of any other person unless the same is required to be
disclosed to any other person in terms of applicable regulations.
(f) make all necessary disclosures to the Company in terms of the
Companies Act 1956, the Listing Agreement and any other law
for the time being in force;
(g) disclose and obtain requisite approval under the law in cases
where personal interest might conflict with the interest of the
Company. Senior Management personnel shall also from time
to time and at any time, make disclosures to the Board relating
to all material financial and commercial transactions where they
have personal interest that may have a potential conflict with
the interest of the Company at large [e.g dealing in company
shares, commercial dealings with bodies corporate which have
shareholding of management and their relatives, etc];
(h) pursue healthy Human Resource policies without any
discrimination on account of caste, religion or sex, promote
meritocracy, uphold self respect and human dignity to instill a
sense of belonging to the Organization;
(i) ensure that in dealing with customers, lenders, investors,
Government and the community at large, the Company's
image and its interests are well protected;
(j) maintain highest level of professional conduct that would
enhance the image, goodwill and credibility of the business of
the Company;
(k) create an atmosphere of highest integrity, trust, fairness and

24
 honesty in performance of their duty which should strengthen
the bond of relationship with people, both internally and
externally;
(l) promote SHE factors, biz., safe, healthy working environment
and comply with all regulations concerning preservation of the
environment of the territory of operation, in conducting the
Company’s business;
(m) remain apolitical while involving in conduct of Company’s
affairs.

The Senior Management shall not-

(n) engage by themselves or on behalf of the Company in any
activity detrimental to or against national interest;
(o) receive or offer, directly or indirectly, any illegal payment or
charitable benefits which are intended to or perceived to obtain
business favours barring nominal gifts which are customarily
given and are of commemorative nature;
(p) permit misuse of company's properties and assets, both tangible
and intangible.
7. This Code is in addition to and not in supersession of other
Codes for the time being in force, viz. Corporate Ethics and Code
of Conduct; implemented voluntarily by the Company; Code of
Conduct for Prevention of Insider Trading and Code of Corporate
Disclosure Practices, pursuant to SEBI (Prohibition of Insider
Trading) Regulations, 1992. The Code of Conduct shall be posted
on the website of the Company.

25
 All the members of the Board of Directors and Senior
Management shall affirm in writing compliance with this Code
immediately after the Code is approved and adopted by the Board of
Directors of the Company and on an annual basis in every financial year
as per the format given at Annexure-I. The Annual Report of the

Company shall contain a declaration to this effect signed by the

Managing Director as per the format in Annexure-II.

26
 CHAPTER – 03
RESEARCH, PROBLEMS AND
METHODOLOGY

27
INTRODUCTION

This chapter deals with the problem and methodology adopted for the
present study. The scope and objectives of the study, various methods adopted,
data collection, etc. have been discussed in detail along with the presentation
and limitations of the study at the end.

Organizations are made up of people and functions through people.

Organizations cannot exist without people. The resources of men, money,
materials and machinery are collected, co-ordinate and utilized through
people. Therefore, people are the most important resources of any organization.
People altogether can build progressive organizations.

Employees can contribute to the effectiveness of the organization.

Competent and motivated workforce can make things happen and enable the
organization to achieve its objectives. Thus, if people have to make things
happen, they require a set of circumstances to make them happen and it is the
people who have to create those circumstances that can help them and others in
making things happen. Organizations should continuously ensure the
dynamism, effectiveness; competency and motivation of people remain at high
level. In order to achieve all these factors, an organization uses various
development mechanisms or initiatives. In this project the indicatives
undertaken to achieve organizational effectiveness by the HR department of JK
paper mills is mentioned.

Some of the initiatives undertaken by HR department of JK paper mills

Rayagada are knowledge management, succession planning, mentoring and
counseling, 360 degree performance appraisal, birthday wish cards, CSR
activities etc. Apart from all these, various surveys are conducted on regular
basis to assess the quality of work life, motivational level of the employees and
overall organizational climate. Therefore, objectives of such initiatives

28
undertaken are to make the goals clearer to employees, to keep their morale and
motivational level high which will enable the entire workforce to contribute
effectively. Consequently, organizational effectiveness can be achieved as a
whole.

IMPORTANCE OF THE STUDY

The study has got wide relevance in formulating valid information about
the organization. It also helps in getting a critical look into the
personnel of the organization, organization behavior, and employer-employee
relationship, organizational environment as well as the overall organizational
climate. The importance of the study is to get practical insight about the
organization.

In modern corporate world, it has become extremely difficult to manage

and to have control over skilled and competent workforce. Employees are
human beings having certain wanting, needs, aspirations which they would
aspire to fulfill through the organization. The organization cannot achieve its
objectives at the expense of such aspects. The effectiveness of the organization
depends on the effectiveness of each individual employee that contributes to the
growth of the organization as a whole. Thus, there must exist to a
climate/culture within the organization that would keep the motivation and
morale level of the employees high and which, in consequence, can extract the
best out of its employees. Merely remuneration/salaries will
not serve the purpose. The organization must introduce certain initiatives form
time to time on the basis of their requirements. It is the duty of HR/Personnel
department of the concerned organization to ensure and serve the above
mentioned purpose.

29
 Therefore, introducing initiatives to achieve overall organizational
effectiveness is a strategic decision. In my project report, initiatives undertaken
by HR department of JK paper mills of Rayagada are mentioned.

SCOPE OF THE STUDY

The study has wider scope. It includes all activities which help the
management in getting the work done by the labor force in the best possible
manner to accomplish the main objectives of the organization. Owing to
constraints like scarcity of resources and short time span, the work undertaken
is confined to a single unit only. The study mainly focuses on several HR
initiatives undertaken to achieve organizational effectiveness.

For the purpose of the study as well as in order to experience the

practices of the organization, the understudy programmed has been undertaken
in JK paper mills of Rayagada. I had to cover the history of JK paper mills,
about the HR Department and details with regards to the assigned topic.

OBJECTIVES OF THE STUDY

The understudy programmed has the following objectives.

● To gain an overall idea of the organization.

● To gain a practical knowledge in the areas of human resource

management and industrial relations.

● To study and understand various HR initiatives undertaken to accomplish

organizational effectiveness.

● To know the level of awareness of employees about various HR

initiatives introduced for them.

30
 ● To learn how HR initiatives provided to the employees help the

organization to build up a stable workforce.

● To bring in more clarity on the “role” or expectations of an employee.

● To provide a comprehensive framework for the overall development of

people in the organization.

PURPOSE OF THE STUDY

The present study is conducted, basically for two purposes:

(1) For academic compulsion and (2) For practical requirement.

The prime importance of the study is the academic compulsion. The

researcher, being a student of B.com, has to submit a dissertation based on the
field study, as it signifies partial fulfillment of the course.

The subject, being professional requires its students to gain knowledge

not only from the theoretical aspect but also from practical experience. Theory
and practice are complementary to each other. From this, it is implied that a
student must possess complete knowledge on the subject. As such, both learning
of theory and practices have been made obligatory.

METHODOLOGY

The present study is an empirical one and requires the scholar to visit the
field and collect information by applying guideline procedure in social science
research. The various approaches are undertaken for the collection of data for
study on HR initiatives for organizational effectiveness.

31
METHODS OF DATA COLLECTION

To collect information regarding the history of the organization, the

scholar adopted methods and found out its developments and various activities
as well as the functioning of HR initiatives in the organization. Survey method
was adopted in order to find out the fruitful activities of HR initiatives in the
organization which are adopted for the employees.

SOURCES OF DATA COLLECTION

Data were collected from different sources i.e. from primary sources and
secondary sources. The primary sources include discussion with the
management of JK paper mills Rayagada, trade union leaders and employees
mostly commented upon nature and effectiveness of HR initiatives on behalf of
the management. Those data were collected through direct personal interviews,
informal oral interviews etc.

The secondary sources of data include the documents, records and

available statistics of the management. The management of JK paper mills
provided the basic data like various measuring yardsticks of performance,
management policy programmers with regards to HR initiatives. These data are
collected from the reports and official publications of the management journal
collected from the report and official.

TOOLS AND TECHNIQUES OF DATA COLLECTION

To collect the primary and secondary data, the researcher has adopted
various tool and techniques of social science such as schedule, questionnaires,
interviews and non-participative observation etc.

● Schedule: Necessary schedule has been prepared where in different

questions are fitted in to in order to collect primary data from the

32
 respondent. In the present context, the researcher has prepared 2
schedules (a) for management (b) for workers.

● Interview: To call it primary data the researcher has also adopted

interview techniques. The scheduled so prepared have been a great

help in order to carry on in conducting the research with the respondents.

● Non-participative observations: Some non-participative observations

are also made to collect some information from the concerned

respondent.

The bulletins, books, journals, rewards, and reports which served as

secondary sources, supplemented the information provided by the primary
immense help. The records and bulletins of his community development
provided enough data regarding the various programmers and specifically the
statistical data were collected through these resources.

The data so collected are classified, tabulated and analyzed were used in
order to represent the statistical data. The data collected, classified analyzed
were put in the form of a project report which consists of six chapters.

PRESENTATION OF THE STUDY

The whole project report has enthusiastically been prepared with a

systematic approach. The report has been compartmentalized in 6
chapters. Each segment of the study bears some aspects and presented in
separate chapters and all these chapters have been arranged in a logical
sequence for better convenience of the readers.

LIMITATIONS OF THE STUDY

33
 Every research work suffers from several limitations. Likewise, the
present study is no exception to it. The researcher during his study suffered
from the following limitations.

First of all, the short span of 30 days is not sufficient enough to conduct a
study on the topic “HR Initiatives for Organizational Effectiveness” covering a
vast area.

Second of all, as the field is restricted to a single plant, it would create

problems on the part of the researcher to bring a broader generalization of the
study. This method has not been applied to all its employees. Apart from
collecting data from the workers, it is very difficult to know whether they are
frank in their saying or biased with fear. The interview was often hampered by
non-cooperation of some employees. In spite of these shortcomings, it has been
made to bring about the best on the subject through the accurate data collection.

34
 CHAPTER -04
DATA ANALYSIS AND
INTERPRETATION

DATA ANALYSIS AND INTERPRETATION:

35
 In this chapter we shall see the analysis and interpretation of HR of JK
paper mill through a chart and a small table

A. ORGANISATIONAL STRUCTURE AND HUMAN RESOURCE

POSITION

i. Organization structure:
ii. Manpower position:
a. Functional Distribution (Managerial, Operational, Clerical,
Supervisory, Worker)
b. Skill wise Distribution (Highly skilled, Skilled, Semi-skilled, Unskilled)
c. Service wise Distribution (Permanent, Casual, Temporary, Contractual)

B. HR/PERSONNEL/IR DEPARTMENT

i. Profile of the HR department

ii. Head of the HR/PERSONNEL/IR department
iii. Structure of HR/PERSONNEL/IR department
iv. Functions of the HR department

C. FUNCTIONAL AREAS OF THE ORGANISATION

a. Man power position

36
Year Manpower at No. of No. of Total
the beginning workers joined workers workforce at
separated the end of the
year

2014-2015 250 130 50 330

2015-2016 330 100 70 360

2016-2017 360 150 85 425

2017-2018 425 95 20 500

2018-2019 500 200 93 607

b. Manpower forecasting
c. Job analysis
d. Job design
e. Job evaluation
f. Recruitment & selection
g. Placement & Induction
h. Promotion & Induction
i. Performance appraisal

D. INDUSTRIAL RELATIONS:

● Collective bargaining:

● Trade unions:

● Grievance handling procedure:

● Disciplinary action:

37
 ● Workers participation in management:

● Industrial disputes ( if any):

E. WELFARE ADMINISTRATION:

● Working conditions:

● Shift timings:

● Leave facility:

● Statutory welfare facilities:

● Non-statutory welfare facilities:

● Accidents and safety measures:

E. WAGE AND SALARY ADMINISTRATION:

● Pay structures:

● Procedure of fixation of wages:

● Bonus schemes:

● Incentives:

F. TRAINING AND DEVELOPMENT:

● Infrastructures:

38
 ● Training needs:

● Types of training:

● Time taken for training:

● Training evaluation & Training budget( % of company budget):

G. OTHER AREAS:

● Communication:

● Career planning and development:

● Suggestion schemes:

● Absenteeism and separation policy:

● Quality circle and total quality management :

39
 CHAPTER -05
CONCLUSION AND
SUGGESTION
40
INTRODUCTION

In this chapter, the student researcher tried hard to tie up loose ends in
order to draw certain meaningful conclusions about HR initiatives undertaken in
the organisation. The style of management of JK paper mills can be regarded as
productive type. Further, researcher has given various suggestions to the
management for their consideration.

CONCLUSION

The JK paper mills is one of the major paper production house not only in
India but also in the World. The organisational structure depicts a cordial and
active staff relationship. The working and employment conditions are quite
satisfactory leaving least scope for future demands. Speaking of welfare
provisions, JK mills maintains both statutory and non- statutory provisions. It
maintains a subsidised canteen provision, rest room, washing facilities as well
as also operates provisions like first aid, spittoons, drinking water and
laboratories JK mills has certain community development programmes for the
socio economic cultural benefit and upliftment of nearby inhabitants for better
human relations and understanding, and to foster a social change, by bringing
about behaviourial changes and habits.

41
 HR initiatives undertaken so far in the organisation have greater scope for
development of the individual employees, which in turn, of the organisation as a
whole. From the personal interviews with a lot of senior employees and some
trade union leaders, I could come to the realisation that HR personnel are very
much confined to office boundaries and documental activities. They hardly opt
for inter-personal relationship with lower grade employees. Newly joined HR
executives do not take interest in having opinions of the employees before
introducing any initiatives.

From here, conclusion can be drawn that effective measures must be

taken from the side of HR department to eliminate the drawbacks as their
responsibility is to deal with the problems arising out of human aspect of the
organisation.

SUGGESTIONS

Even though JK mills is quite successful introducing initiatives, still then

some suggestion can be made for the development of the employees and for the
purpose of increasing efficiency and effectiveness of the organisation.

● Red tappism and more rules delay the process. That should be avoided.

● HR department should take up new tasks such as inter personal relationship

and stress management.

● HR department should organize motivating training programmes for

employees who are irregular and addicted to alcohol.

● Although it is a good working place but it would be better if the employees’

suggestions are taken into consideration.

● Management should encourage in forming quality circles.

42
● Unlike HR in other private sector organisation, HR in PSU needs to realize

its dual role. Respect to old traditional role system and injection and
nourishing of new ideas as and when required.

● After counselling/ mentoring /performance appraisal system, the HR

department should give proper feedback to the employees to motivate them.

(You take care of the organisation & we’ll take care of you.)

● The management may form committee to evaluate the effectiveness of the

initiatives taken and suggest necessary changes

REFERENCE AND BIBLIOGRAPHY:

1. Field Visits to JKPM

2. Study of various internal documents of JKPM
3. Structured Questionnaire to fill the gaps
4. Strict CSR Rules, non-Compliance fine, Business Standard, Dec
15th, 2011.
5. Making Indian Pulp & Paper Industry World Class” CII’s National
Best Practices Manual, June 2008
6. Corporate Governance Voluntary Guidelines issued by Ministry of
Corporate Affairs, Government of India, Dec 14th to 21, India
Corporate Week 2009,
7. Voluntary Corporate Social Responsibility Principles issued by
Ministry of Corporate Affairs, Government of India, 2009

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44