EMPLOYEE MOTIVATION in oil & petroleum sector

PRESENTED BY:

AYESHA REHMAN (M.B.A-43) SAMAN AFROZ (M.B.A-45)

 Gear up that spirit

The processes that account for an individuals intensity, direction, and persistence of effort toward attaining a goal

ABOUT ONGC
An Indian multinational oil and gas company. Its Maha-Navratna company of India. Established in the year 1956.

Major products include petroleum ,crude

natural gas, LPG , kerosene and petrochemical products.

Ranked 357th in the Fortune Global 500

Among the Top 250 Global Energy Company. Employees 32,862

MOTIVATIONAL SCHEMES at ONGC

Incentive & Bonuses Recognition of Meritorious Work Awards and prizes Suggestion scheme Publicity Grievance Handling Medical Facilities Other Incentives

1. INCENTIVES AND BONUSES

ONGC has three incentive schemes for its employees:

Performance Incentive Scheme: Top performers with consistently high rating (>98% for two consecutive years) may be rewarded with bonus, a percentage of pay. Productivity Honorarium Scheme: It is for the executives and is based on the improvement of productivity vis--vis operating cost.

Reserve Establishment Honorarium: ONGC accretes reserves of hydrocarbon and on its basis gives ex-gratia payment as per the provisions of the Payment of Bonus Act.
Amount permissible is 20%of pay+ DA subject to a max of 8400/- p.a.

Contd
Bonuses:
Competence and skill based bonus Market based bonus Creativity, R&D and Innovative initiative awards Discovery bonus, Recovery improvement & Sick well revival bonus Mentor bonus Knowledge management & best practice initiative bonus

Incentive For Acquiring Higher Qualifications

given to the executives who attain First Class or 60% level in professional qualification.

2. RECOGNITION OF MERITORIOUS
WORK:
Monetary Powers for grant of awards for meritorious work: A sum of 5,000-10,000/- p.a. for grant of cash award, up to the level of Deputy Manager.

Non - monetary
The employees selected for such a recognition are rewarded as follows:(i) a certificate of merit, a copy of which is placed in their confidential report dossiers (ii) out-of-turn promotion

3.AWARDS AND PRIZES

Annual Awards:
Best all rounder of the year Officer - Rs. 5, 000/Best annual performance for various events Battle proficiency & efficiency test Rs. 1,000/Physical proficiency test Rs. 750/Turnout, Drill & Word of Command Rs. 750/-

Group awards
Directors may approve Group Awards up to Rs. 10,000/- in each case subject to a ceiling of Rs.1 lakh/ annum.

Contd
Prizes
The following are the types and number of prizes to be awarded every year:
TYPE Class-A Class-B Class-C VALUE Rs. 1000 Rs. 500 Rs. 250 NUMBER 2 3 5

4.SUGGESTION SCHEME
to ensure that employee contributions do get due recognition, a Suggestion Scheme has been introduced

The object of the scheme is to recognize and reward inventiveness, originally of approach and other allied qualities.

5.PUBLICITY
PACE SETTERS
names of employees who render exceptionally good performance, with their photograph, together with details , are published in the House journal displayed for a minimum period of 3 months on a Board set up at a prominent place of the work centre under a bold tile PACE SETTERS

6.GRIEVANCE HANDLING SCHEMES

helps build trust and instills motivation among the employees to work for the organization

7. MEDICAL FACILITIES
Free medical facilities are provided to the employees and their dependent families members Facilities are available to the employees after the completion of their service terms

8. OTHER INCENTIVES
Loans available at low cost Pension provision Employees are sent for training to international work stations Lap tops and cell phones are provided

Scholarships for the children

ABOUT IOCL
IndianOil is India's flagship national oil company. Ranked at the 83rd position in Fortune 'Global 500' listing,2012. Business interests: from refining, pipeline transportation and marketing of petroleum products to exploration & production of crude oil & gas, marketing of natural gas and petrochemicals. The IndianOil Group of companies owns and operates 10 of India's 20 refineries. With over 34,233-strong workforce, IndianOil has been helping to meet Indias energy demands for over half a century.

MOTIVATION AT IOCL
Incentive schemes Non monetary incentives Suggestion scheme Other benefits

INCENTIVE SCHEMES
Performance Linked incentive (PLI) Productivity Incentive Scheme (PIS) PIS system has both team performance and individual performance combined, in ratio of 80:20. The team performance incentive for achieving 100% targets has been pegged at maximum of 12%. Pay-out on individual performance is based on the scores obtained by the individual in the normal performance appraisal.

NON-MONETARY INCENTIVES
RECOGNITION
HALL OF FAME
The achievements of individual employees, are put up on boards along with photographs. The Boards are titled Hall of Fame.

CERTIFICATES
INSTRUMENT OF APPRECIATION
Any particular action of an employee, which has shown results in his / her respective job area, is taken note of by the management and the latter sends a certificate of appreciation commending the goodwork done.

SUGGESTION SCHEME
"INDIAN OIL SUGGESTION SCHEME" aims at harnessing the latent Creativity in every individual.
Monetary Award Value Type of Certificate

Rs.10001/- to Rs.25000/-

Silver

Rs.25001/- and above

Gold

CONTD
ANNUAL AWARDS
Annual Trophies at Unit, Division and Corporate level are given as under: Suggestion of the year Best Suggestor of the year Most Frequent Suggestor Functional Group Award

OTHER BENEFITS
Car purchase advance immediately after induction training - Rs. 2.65 lakh (@ nominal interest of 2.5%). Computer and furniture at home (provided by Company).

House-building advance after 5 years of service - Rs. 12 lakh (@ nominal 5% interest). Insurance coverage for house is also provided at nominal 0.5% . Almost unlimited medical benefits and nomination facility at best of the hospitals across the country for self and dependents.

 Opportunity to avail of full fee reimbursement (up to Rs. 3 lakh) for part-time MBA programme at best of the institutes in India. Individual performance-based incentives.
Life-time medical care: Post-retirement medical benefits. Holiday Homes facility during service & after retirement. Nominated hotels facility on tours / leave.

CONCLUSION
increased drive to work increased job satisfaction builds respect and trust creates a sense of loyalty creates a sense of belongingness and shared vision encourages better performance a motivated employee is a committed employee

THANKYOU