A PROJECT REPORT ON GENERAL STUDY OF P&A DEPARTMENT IFFCO KANDLA

Submitted to:
Mr.Fomi Dwivedi IFFCO-KANDLA

Submitted By:
Ashwin D Makwana

Batch: 2012-2014 PARUL INSTITUTE OF MANAGEMENT, VADODARA (GUJARAT)

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DECLARATION

We the undersigned Mr. ASHWIN D. MAKWANA Study of PARUL INSTITUTE OF MANAGEMENT declare and confirm that work done by us are original and true to the best of our knowledge.

The project is the result of our efforts and dedication. Moreover it has been approved by the management of Indian Fertilizer Co-operative Ltd KANDLA does not contain any material objectionable to them.

Place: Date:

Signature: (Ashwin D Makwana)

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PREFACE

The Industrial training comes under the PGDM programmers to upgrade the knowledge of students. The main aim of industrial training is to introduce the students with practical skills which are highly required to get an extra edge in the industry. Industrial training gives us the actual detail of the business. The training also highlights the latest reforms which are going to take place in the industries along with the passing time. In addition to this, training helps the management students to understand how the work is done through sub-ordinates. Management student has to apply his theoretical knowledge in the practical field and compare with results he has to find new ways for the further improvement in the practical field. Industrial training for a management student is the first stage towards the Industrial exposure which tells him what difficulties he has to face when he will enter in the corporate world. We have taken our Industrial training at IFFCO KANDLA where we got a chance to learn the skills as well as understand the function of personnel & Administration departments. We hope that this report on IFFCO-KANDLA proves to be an adequate source of Information to understand the units and its overall Human Resource Management.

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ACKNOWLEDGEMENT

It gives us immense pleasure to work with Indian Farmers Fertilizers Cooperative Limited, KANDLA and we are very thankful to this organization for providing us this platform and opportunity to work with them through summer training which has improved our practical knowledge. It is not possible to prepare a report without the assistance & encouragement of other people. We would like to express our sincere thanks to Mr. R.A Ambwani, DGM (P&A), and Mr. J V Shah, Sr.Manager (training) who gave us the opportunity to work with such an esteemed organization. We owe profound sense of regards & towards to Mr. Rajesh S Sisodia, Manager (HR), who has continuously guided us & supported in all the tasks by giving us valuable insight into issues like the meaning of HR as well as steps to be considered in developing and studying an organizational structure. We are also thankful to Mr.P.Sathiyamoorthy, Dy.Manager (Personal Dept. & PR), Mr. P R Rawal, Chief Manager (Admin), and Mr. S H DAMECHA Dy. Manager (Welfare) for giving us their support and encouragement. We owe debt of gratitude to Mr.Satish Kakani who has given us enough support & cooperation to us. We would thank PIM Pro.Aniruddh Tambe for giving us an opportunity to work with such an esteemed organization

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INDEX
SR.NO 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 DESCRIPTION DECLARATION PREFACE ACKNOWLEDGEMENT INTRODUCTION TO IFFCO Vision 2015 MISSION Units of IFFCO PROCESS DESCRIPTION(phase I & II) PERSONAL &ADMINISTRATION DEPARTMENT RECRUTEMENT & SELECTION Welfare department IR/Legal department Administration department Time office EMPLOYEMENT POLICY HUMAN RESOURCE POLICIES 2 3 4 6 7 8 9 10 13 16 18 31 33 36 41 46 51 52

CONCLUSION BIBLIOGRAPHY

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INTRODUCTION OF IFFCO

3 November 1967: Indian Farmers Fertilizer Cooperative Limited (IFFCO) was set up at the initiative of the farmers. It soon emerged as a role model for cooperatives. IFFCO is registered under the Multi-State Cooperative Societies Act 1984, which was amended in 2002. Beginning with a membership of 57 societies, it has grown to around 40,000, as on 31 March 2008. The initial equity capital of Rs 6 lakh has jumped to Rs 423.93 crore. A pioneer in this field, IFFCOs growth reflects its belief in the strength of the farmer. Several prestigious awards stand testimony to the fact that IFFCO is driven by its values and the dedication of its people. This is an organization that believes in fair play and has always followed transparent and professional practices in corporate governance. Over 40 years ago, the Government and the farming community came together with a single objective: to empower lives. Thus was born IFFCO, the worlds largest Fertilizer cooperative. IFFCOs mission is to enable Indian farmers to prosper through the timely supply of reliable, high quality fertilizers and farm inputs and services in an environmentally sustainable manner and to undertake activities to improve their welfare. This is the success story of an organization that has the vision to grow; it is a story that has been scripted with the best intentions to benefit the farmer and to spread smiles across the nation. Indian Farmers Fertilizer Cooperative Limited (IFFCO) is a multi-state cooperative society engaged in production and distribution of chemical fertilizers. Registered on 3.11.1967, the Society commissioned its first two plants at Kalol and Kandla in Gujarat in 1975 for production of Urea and NPK/DAP, respectively. It expanded its production facilities in 1981 by commissioning two additional streams of phosphate fertilizers at Kandla and a new urea plant at Phulpur. Another gas-based plant was commissioned in 1988 at Aonla, Uttar Pradesh. In the year 2005, IFFCO took over the Phosphoric Acid, Sulphuric Acid and NPK/DAP plant of M/s Oswald Ltd, Paradeep.

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Further, during the period 1996 to 1999, the installed capacity of all the three ammonia/urea plants at Aonla, Kalol and Phulpur was doubled by expanding. The capacity was raised from 16.2 lakh tons to 32.2 lakh tons. The Kandla unit was also expanded and the new plant was commissioned on 5th August, 1999. The annual capacity of NPK/DAP was increased from 9 lakh tons to 16 lakh tons of bulk fertilizer or 3.09 lakh tons to 5.61 lakh tons of P2O5 output.

Vision 2015
Installing ammonia and urea plants and acquiring fertilizer units Meeting feedstock requirements Generating power Producing and marketing micro-nutrients, seeds, bio-fertilizers and pesticides Value-addition to agri-products and marketing Offering IT-enabled services

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MISSION

To provide to farmers high quality fertilizer in right time and in adequate quantity with an objective to increase crop productivity To make plants energy efficient and continually review various scheme to converse an energy Commitment to health, safety, environment and forestry development to enrich the quality of community life Commitment to social responsibility to strong social fabric

To institutionalize core value and create a culture of team building, empowerment and innovation which would help in incremental growth of employees and enable achievement of strategic objectives

Building a value driven organization with an improved and responsive customer focus. A true commitment to transparency, accountability and integrity in principle and practice To acquire, assimilate and adopt reliable efficient and cost effective technology and sourcing raw materials of production of phosphate fertilizers at economical cost by entering into joint venture outside India To ensure growth in core and non-core sector A true cooperative society committed for fostering cooperative movement in the Country.

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UNITS OF IFFCO

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PROCESS DESCRIPTION

 PROCESS DESCRIPTION OF KANDLA PHASE-1

KANDLA phase 1 consists of four identical streams A, B, C& D with common raw material, product handling, product storage and bagging facilities. The manufacturing is taking place with conventional granulation process which consists of ammonization of slurry formed with 1:4 mole ratios with the help of vertical agitated vessel known as PN tank. About 70% of total requirement end into tank and 30% of it feed as a scrubbing medium to bring nutrient back to the system. The exothermic reaction taken place between ammonia and phosphoric acid which become slurry containing about 18-20% of water which feed in granulator if any further ammonization is needed can be satisfied with the help of extra supply of ammonia or urea. Here mole ratio maintains is about of 1:80 along with addition of raw material mainly available according to grade to be produced .The addition of Potash, filler and recycle material is carried out at this stage only. The granulator discharge is having about 2.5% of moisture which is send further for drying operation The discharge is of dryer getting dried with the help of co- current flow of hot air resulting from combustion of furnace oil. The dried material discharge is elevated with the bucket type elevator and feed it to double deck vibrating screen. The screen separate oversize and undersize products. The oversize product further crushed in pulverizes and sent to the granulator. The amount of product is taken at cooler where temperature is bringing down with the help counter current flow of air. The discharge from cooler over common product conveyor which carries product from all steams to storage silos. Steam is generated at boiler plant. Steam is used for flushing pipelines, vessels and slurry nozzle of granulator. The scrubbing system is distributed in four areas. Fumes scrubber, Dryer scrubber, cooler scrubber and dust scrubber. Scrubbing is carried out by circulating dilute phosphoric acid termed as scrubber effluent. Dust scrubber collects nutrient from various areas like elevator, conveyor, and pulverizes. Unrelated ammonia is collected From granulator which is scrubbed with liquor and liquor is further sent to the vessel.
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Process Description of KANDLA phase-2

KANDLA phase-2 consists of two steams E and F. Here process of slurry formation taken place in pipe reactor which is installed in granulator so here no need of PN tank. The feed from granulator send to the dryer same process obtain in the process description of phase 1. The recycle system is same which is described in phase 1. The off gases from dryer and cooler first passed through cyclones and then it passes through wet scrubbing. The off gases from the granulator are first scrubbed in an inclined venture scrubber followed by a wet scrubber and a cyclonic spray tower. The exit gases from both dryer and granulator further sent to tail gas scrubber for maximum recovery of ammonia .Dust scrubber is also provided to collect a very small particles based on cyclone and wet scrubbing system. The scrubbing medium is weak phosphoric acid which is later consumed in DPR and GPR.

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ORGANIZATIONAL STRUCTURE OF PERSONAL & ADMINISTRATION DEPARTMENT

PERSONNEL Legal/IR
HUMAN RESOURCE MANAGEMENT

WELFAR E

TIME OFFICE

ADMINISTRATIO Relation N

Public

Time Office

Administr ation

Estate

HUMAN RESOURCE MANAGEMENT

Time Office
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Hindi Cell

PERSONAL & ADMINISTRATION DEPARTMENT

Estate

Mainly any organization deals with basically three main, machine & tools. P&A (personal &Administration) Department is dealing with men , their services and towards their devotion to work ,legal or statutory obligations as per rules of the organization for all that system requirement ,which is required and is dealt by personal and administration department . It has to physically act as an activator in the matter by providing certain amenities like health , cleanliness ,transport , communication uniform of the employees etc. monitoring is required to make an organization effective and efficient by making full P&A department work efficiently & effectively . It is the fulfilling service oriented department for the effectiveness &efficiency of organization. If not dealt properly it gives negative result .Timely ordering of the different function of men is the key. During training under this section the following are the task, which had been undergone and thus their descriptions are given in different section.

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Personnel Section

Recruitment

Establishment

Apprentices Recruitment

Personal File

Unit level Recruitment

Loans

Dept Promotions

Perks Administration

Transfers

Social Security Claims

Man Power Planning / Inventory

Probation / Increment

Succession Planning

Internal / External Communications

HRMS

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FUNCTION OF PERSONNEL DEPARTMENT

To keep manpower inventory/ planning of HRD/planning for redeployment. To assist departments to prepare manpower requirement. To review the management structure periodically and suggest change, if any. To take care of placement, recruitment, selection procedures. Performance appraisals. Promotion policy formulation & implementation. Salary & perks administration. Career planning and Succession planning. To take care of the social security aspects of the employees. Job study, Job rotation etc. Developing organizational culture and organizational commitment among the work force. Prepare annual budget pertaining to personal Issuance of press notes Daily update records of HRMS Conduct DPC for employee every year Issuance of service awards for 10/15/25 years NOC for passport /higher students Payment of LTC/LTE every year

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RECRUITMENT PROCESS

Recruitment in IFFCO

Unit Level

Head Office Level

At lowest level only I.e at L1 Grade

G2 to F Grades

Apprentices

Direct Recruitments

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ESTABLISHMENT SECTION
Establishment helps to maintain employees, understand their problems and solve it. This section handle following aspects related to employees 1) Retirement 2) Death 3) Resignations 4) Transfers 5) Pension 6) Probation/conformation 7) Increments 8) Character/cast/qualification verification 9) HRMS updating 10) Issuing certificates (experience, service, domicile etc.) 11) Annual confidential report 12) Providing awards to employees for long services. 13) Conveyance loan 14) Family planning incentive 15) NOC for passport, visa purpose 16) Foreign tours 17) Permission for higher studies

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WELFARE DEPARTMENT
LABOR WELFARE Welfare means faring or doing well. It is a comprehensive term and refers to the physical, mental, moral and emotional well-being of an individual. Labor welfare, also referred to as betterment work for employees, relates to taking care of the well-being of workers by employers, trade unions, and Government and non-government agencies. In 1948, the Factory Act was amended in which certain rules were set forth to look after the welfare of the workmen or the employees.

According to this Act, under section 49 any industrial house having 500 or more employees should appointed a welfare officer. IIFFCO has a separate welfare department & welfare officer also. This welfare officer acts as a bridge between the management and the workmen, so that they do not face any problem to do their duty in the plant. IFFCOS WELFARE ACTIVITIES

IFFCO has done a lot for its employees. Being a cooperative it always believes in sharing its benefit with its employees. Any person would be satisfied if he gets good pay & good facility to live his/her life. If the employees are socially secured then the employee would put in his full potential to carry out his duties and he feels indebted to the organization and gives in his best.

1}. STATUTORY FACILITIES:

IFFCO provides all the statutory welfare measures to its employees as per the Factory Act 1948 like:

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1. FACILITIES FOR STORING AND DRYING CLOTHING

2. WASHING FACILITIES

3. SITTING FACILITIES FOR REST FOR WORKERS

4. FIRST-AID APPLIANCES: There is a first-aid center with all facility according to Factory Act 1948 Ambulance facility One hospital at the factory site and one dispensary is in Township. Medical service is provided by Chief Medical Officer and other visiting doctors like eye specialist, gynecologists etc.

Canteen facility is one of most important service offered this plant. If the workmen were satisfied with the quality of food then they would be refreshed to do their job. Canteen contract renewed every year.

IFFCO has total four canteens to adequately serve its employees.

1. Main canteen 2. Admin. Building canteen 3. NPK (K-1) canteen 4. NPK (K-2) canteen

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For canteens all infrastructure are provided by IFFCO like Gas, utensils, accessories and many more. The preparation of foodstuff and service in canteen will be subject to supervision & guidance of the Authorized officers of the company. The quality and quantity of the raw material to be used for the aforesaid purpose will be subject to check by the member of the canteen management committee.

Catering service will be required to serve the items during official meeting, training, conference & seminars. For the supplies of the items for official purpose a separate bill has to be raised on the basis of vouchers signed by the appropriate authority.

Then there is daily inspection of the canteen and an inspection register is maintained. So that if any corrective measures are required they can be taken in right direction.

CANTEEN SUBSIDY:

5% of basic pay to workmen every month. 7% of basic pay to officers every month.

6. THE SHELTER, REST ROOM, LUNCH ROOM ARE PROVIDED WITH VENTILATION, LIGHTED, COOL & CLEAN CONDITION.

7. IN EVERY DEPARTMENT THERE ARE WATER COOLERS FOR COLD WATER.

8. THERE IS SEPARATE WELFARE DEPARTMENT

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2} NON STATUTORY FACILITIES:

1. TOWNSHIP: IFFCO KANDLA Township is known as Udaynagar, & it is built on 196.77 acres of land & has about 758 quarters in it, house are allotted grade wise.

IN TOWNSHIP THERE ARE ALL MODERN AMENITIES LIKE:

Club, Dispensary, Guest house, Swimming pool, Multipurpose Community Center, Bank, Post Office, Children Park, Gardens, Temple, Open air theater.

For the welfare of the employees gymnasium, health club, club for indoor outdoor games, Cricket ground, volleyball ground, Cultural programs, musical night, festival celebration, Cinema shows provided. All the residents have been provided cable TV system.

To meet the day to day requirement of grocery, eatable etc. of the residents a shopping center is maintained in the township.

Community Hall in the township is there to celebrate any personal function of the employee like marriage, reception or any other institute.

To provide educational, cultural and recreational facilities

2. SCHOOLS:

In IFFCO there are English medium (Kendriya vidhyala) & Gujarati medium (Aum Vidya Mandir) schools up to 12thslandered.

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FACILITY OF SCHOOL BUSES

IFFCO provides school bus facility for schools are located outside township.

CHILDREN EDUCATION ALLOWANCE:

Children education allowances 2% basic to employees.

Library facilities are available in township & plant also.

3. LIVERIES:

Liveries means uniform, here the item under liveries are right from the head to the foot. They are given to all employees of IFFCO free of cost. Liveries are procured & distributed by the Welfare Section. First of all the required quantity of different liveries is prepared, and then according to it MPR is raised and selection of samples is done through committee consisting of Union and management representatives. When the item is received the samples are inspected to check any defect. Then eligibility list is prepared, only those having attendance of 2/3 or more are eligible. All the records pertaining to procurement & disbursement of liveries are computerized.

Each employee in IFFCO is given 3 pairs of uniform, which includes pant & shirt cloth for male employees and sari & blouse for female employees, one pair of shoes, 2 pairs of socks to all employees is given every 6 month, then raincoat, pullover is given every three years, 2 pair of safety shoes are issued every year for plant staff.

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Sr. no

Particular of the items

Frequency

1 2 3

Summer Uniform employees, apps and trainees Reimbursement of stitching charges

12 months 12 months

Reimbursement of cost and stitching charge for 12 months sari and blouse for female employees

4 5 6 7

Apron cloths for chemists and chemical staff Reimbursement of stitching charge for apron cloth Boiler suits for welder

12 months 12 months 12 months

Reimbursement of one pair of shoe and sandal for 06 months office staff

8 9 10 11 12 13 14 15 16 17

Issue of one pair of safety shoe to plant staff High Ankle shoe for welders Rain coat Woolen pullover Godrej lock for plant staff Woolen subsidy Gumboot for plant staff Gumboot for others Terry wool cloth for security & fire & safety staff Blazer cloth for security & F&A staff

06 months 06 months 36 months 36 months 48 months 36 months 24 months 36 months 36 months 60 months

4. STAFF BUSES:

IFFCO provides staff buses and staff cars to its employees to come on duty in the fixed schedules/shifts and reach back to their homes without facing any hardship of the public transport.

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Other facilities like House building loan, LTC/LTE, Traveling allowance, conveyance loan, washing allowance etc. are provided by IFFCO.

5. SECURITY:

Security plays an important role in the protection of the society, there are following grades in this section, security guard, security naik, security officer and chef security officer. To recruit a security officer he must be an ex-service man at a JCO rank at the army. These security officials make an arrangement so that have of the societys product or even a small belonging to the society goes out of the boundary of the society.

6. GUEST HOUSE & ESTATE This section looks after the guests resting, their facilities their lodging and boarding, their transportation to the plant and various place related to the plant and their meeting arrangement for the above mentioned meeting with the GM and the Head office. Estate is related with the housing and boarding of the employees of the IFFCO co-operative and this deal with the improvement with the facilities given to the employees according to their grades in their designation and this section does not directly play in the productivity of the plant but indirectly have an effect on the performance and their productivity.

SOCIAL SECURITY FUNCTIONS:

PAYMENT OF GRATUITY ACT 1972

1. GROUP GRATUITY CUM LIFE INSURANCE SCHEME IFFCO has taken Group Gratuity-cum-life insurance scheme for its employees.

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Employees are entitled to payment of gratuity in normal circumstance as per provisions of Payment of Gratuity Act 1972 as extended to all permanent employees.

The qualifying period of gratuity as laid down in the Act is minimum of 5 years continuous service subject to other provisions of payment of gratuity Act 1972. The gratuity will be calculated on the basis of last drawn monthly Basic pay plus dearness allowance of an employee divided by 26 days and multiplied by 15 days for each completed year of service.

In the event of death of an employee before the date of superannuation, while he is in the service of IFFCO, The employees nominees or dependent will be paid an amount which he would have got had he worked till the date of retirement on the basis of his salary/wages drawn at the time of death.

PAYMENT OF GRATUITY On his superannuation, or On his retirement or resignation, or On his death or disablement due to accident or dieses

2. PROVIDENT FUND & EMPLOYEE PENSION SCHEME

This Act is applies, whether there is an establishment which is a factory engaged in any of the scheduled industries employing 20 or more persons. IFFCO has its own contributory provident fund scheme under which it has established its rules and trust Under the rules there is a centralized provident fund for all units of IFFCO. This fund came into force with effect from 1st June, 1975.

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MEMBERSHIP OF PROVIDENT FUND

Every employee in or in connection with the work of IFFCO will be entitled and required to become a member of the provident fund immediately with effect from the date of joining the services of IFFCO.

CONTRIBUTION TO PROVIDENT FUND

Every member will be entitled and required to contribute 12% of his monthly emoluments consisting of basic pay plus DA to the fund. IFFCO will also contribute the same amount out of it 8.33% or Rs 541/- whichever less is paid under the employees pension scheme and 3.67% will be credited to the provident fund account of the member. Employee Pension scheme was introduced on16th November 1995 in IFFCO.

i.

Minimum eligible period : 10 years pension able service

ii. 70

Pension formula: pension able pay x pension able service

FACILITY OF WITHDRAWAL / TO LOAN PROVIDENT FUND TO THE MEMBERS

Member of IFFCO employees provident fund entitled to grant of non-refundable and refundable advance for purpose specified in the rules. They are as under

A] NONREFUNDABLE ADVANCE:

1) For purchase of a house/flat or for construction of a house including acquisition of land.

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The maximum amount of advance to a member will not more than 36

months basic pay and DA or 90% of the total contribution available on account of member and employees share and interest there on whichever is least. The grant of advance will be subject to the condition that the member has

put in a minimum 5 year membership and member own share of contribution together with interest there in is not less than Rs 1,000/2) For making substantial alternation/additional to the existing house owned by the member. The maximum advance to the member for the purpose is up to 12 months

basic wages (basic pay +DA) or members own contribution with interest there on whichever is less. A member would be entitled for this advance only after a minimum period

of 5 years from taking the first non-fundable advance for purchase of a house/flat or for construction of a house including acquisition of land as mentioned at serial NO,1 above. For the marriage of self/daughter/sister/son/brother or for the post matriculation education of childrens. A member is entitled to non-refundable advance up to 50% of his own

contribution along with interest accrued there on for the marriage of self, daughter, son, sister, brother or for the post matriculation education of his own childrens. Such advances are available to a member up to a maximum of 3 times in

the total period of all service B] REFUNDABLE ADVANCES: In certain cases for example to meet the cost to passage to a place out of India for member or members family etc. a member is entitled to refundable loan limited to a maximum of 6 month basic pay + DA or his own share of contribution with interest thereon whichever is least.

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Refundable advance for meeting expenses in connection with religious ceremonies etc. A member is entitled to refundable advance limited to 2 months basic pay + DA members own share of contribution, whichever is least.

GENERAL CONDITIONS FOR GRANT OF REFUNDABLE ADVANCE: A member will be interest of 14% on this advance. Second refundable advance will not be normally permitted unless the account first withdrawn has been fully repaid. Normally refundable advance along with interest will be recovered from the member in 48 equal monthly installments.

PAYMENT OF PROVIDENT FUND ACCUMULATION OF THE MEMBERS Full accumulation standing to the credit of a member including IFFCOS contribution and interest there upon will be permitted to the withdrawn by the member or his nominee as the case may be at the time of retirement.

TRANSFER OF PROVIDENT FUND ACCUMULATION In respect of an employee who cease to be rolls of the society and takes employment with another organization covered under employees provident fund act, 1952 within a period of 60 days the total accumulation including share of employees, employer and interest thereon will be transferred to the new employer.

3} GROUP ACCIDENT INSURANCE SCHEME The Group Accident Insurance Scheme is intended to provide for the payment of certain defined benefit in the event of the insured employees sustaining disablement by Accident injury and for payment of Medical Expenditure for the treatment of injuries suffered on account of accidents. The scheme is not contributory. IFFCO shall pay all premiums in respect of the insurance of each eligible employee. All regular employees of IFFCO are eligible to be insured under this scheme. Risk cover of each employee under this scheme is for all the 24 hours and not merely duty hours. The cover all types of accident that employees may meet anywhere with certain specified exceptions such as suicide, insanity, etc.
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Capital sum insured in respect of each eligible employee has been kept 45 times the mean basic pay of the pay-scale of each employee.

Accident Benefits Accident Fatal accident Benefit Doubled of capital sum insured

Loss of two limbs, two eyes or one limb 100% of capital sum insured or one eye Permanent total disablement Temporary (more than 3 days) total 100% of capital sum insured

disablement 1 % of capital sum insured at a maximum of Rs 3000 per week

Cost of Medicine
Reimbursement 50% of compensation

1% of CSI or Rs 3000 x no. of weeks absent 2 4. BENEVOLENT FUND SCHEME: Every employee in IFFCO will be entitled are required to become a member of the benevolent fund scheme. In this scheme every employee has to pay Rs.50/-per month. IFFCO also pay Rs.100/- per month per member. On the death of any employee the nominee/dependent is being paid Rs.1lakh lump sum amount and there after Rs.4000 per month for next 5 years. Now IFFCO has introduced a new scheme, in which after retirement every employee will get medical facility. In this scheme every employee has to pay Rs. 20/- and IFFCO will contribute Rs.40/- per employee per month.

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MEDICAL BENEFIT AFTER RETIREMENT UNDER THIS SCHEME

Reimbursement up to Rs.2500 on medical expenses of member /spouse for normal treatment per year.

A new medicine policy has been proposed in the current year 2003 where by retiring employees will contribute Rs.5000 as one time lump sum amount towards the policy. The policy would cover medical needs due to hospitalize

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LEGAL/ INDUSTRIAL RELATIONS DEPARTMENT

Industrial Relations are concerned with the relationship between management and workers and the role of regulatory mechanism in revolving any industrial dispute. Industrial Relations refers to a dynamic & developing concept which is not limited to the complex of relations between trade unions and management but also refers to the general web of relations normally obtained between employer and employees.

Industrial Relations are an integral aspect of social relations arising out of employeremployee interaction in modern industries, the concept of Industrial Relations has been extended to denote the relations of the state with employees and workers and their organization. Thus the concept of IR is given due importance in all organization. IMPORTANCE OF PEACEFUL INDUSTRIAL RELATIONS To increase productivity to higher level in the era of full employment by lessening the tendency to high turnover and frequent absenteeism. To maintain a good relation of labor and management by securing highest level of mutual understanding and goodwill among all those section in the industry which participate in the process of production To avoid industrial conflict and develop harmonious relations, which are an essential factor in the productivity of workers and the industrial progress of country. To protect workers interests & to improve economic condition.. To establish and nurse the growth of an Industrial Democracy based on labor partnership in the sharing of profits and of managerial decisions, so that an individuals personality may grow to its full stature for the benefit of the industry and of the country as well. To eliminate as far as possible and practicable, strikes, lockouts and gears by providing reasonable wages, improved living and working condition, and fringe benefits.

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INDUSTRIAL RELATIONS IN CONTEXT TO IFFCO

In IFFCO Industrial Relations is done by undergoing to following functions Monthly meeting of Joint Management Council, Notice of meeting to be

issued/compliance to be taken from concerned section/ minutes of meeting to be prepared and issued / quarterly return to RLC, A bad on workers participation. Maintaining Liaison with labor and other department of state and Central Government Renewal license of Factory, electrical license and license for LPG Providing Legal Assistance in Legal matters by attending various court cases Courts cases are pending before various courts viz. High courts, Industrial Tribunal, Labor court and civil court and Conciliation authorities. Preparing written statements, plaints, rejoinders, etc. in consultation with Advocates and to attend cases in the various courts Dealing with various Disciplinary matters Arranging meeting of IR / Union Management meetings Bipartite / tripartite settlements Memorandum of settlements with Union from time to time Ensuring compliance of statutory requirement by contractors and IFFCO by periodical inspection of records pertaining to several acts Submission of statutory and non-statutory returns to Government and H.O

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ADMINISTRATION DEPARTMENT
One of the biggest sections of the Personnel and Administration Department that deals with the employees day to day wants and needs is the Administration Section. Administration is the service rendering section of the P&A department, which provides its service to different officials, sections, departments and any part of the plant. It is the main fuel for the functioning of different sections and departments. It looks to the day to day requirement of the different workmen, employees, groups, sections and departments. Administration section is divided into the following subsections as 1} Dispatch, 2} Transportation 3} HBL (House Building Loans), 4} Furniture issuing and other functions. The following are the procedure that the department carries out during the day to day activities.

1} Dispatch Subsection: The is the minor section but has it is a importance in the
Administration Section which is a centralized subsection of the Administration section. It does not contain any major work of the department and the society, instead it is as the name reveals is the process of forwarding the documents, letters, etc. to the headquarters and other unit of IFFCO about the activities, any communication by any section or department to other department to within and outside the plant and to different units and head office and the monthly reports and this subsection purely for the purpose of the official use. Also it does the function of the giving the documents and so only come from the Purchase department and here there are officials who make entry of the records to maintain the records for future references or so and hence carry out its function as and when needed. As initially told it does not have much of importance it only shows a minor importance in the section.

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2} Transportation subsection:As told for any organization to work and function efficiently transportation is one of the criteria to be followed by any organization. Similarly this organization (IFFCO) also looks after the transportation of the employees (both employees and workmen) i.e. it sees to it that the employees and workmen are at plant in time and are well and reached the plant as the plant pays a great attention to the safety measures for the protection for the environment and Human Resources (Employees and the Workers). For if any delay in the transportation of the employees which may lead or result in the huge loss which may cost the plant adversely, hence the job of transportation is also looked after the Administration Department.

Also for this transportation there are actually 11 buses for the employees and the workmen so that they can reach the plant in time from their places so that there is no delay. For the Officers Grade i.e. Chief Manager and above cars are allotted to the Chief Managers. These all vehicles are running on contract by different contractors and hence passing the tenders makes these contracts, which is looked after the Personnel Section. Also it administers after the transporta tion of the VIPs, Ministers, Officials from central and state Government also it looks after the facilities of the above mentioned who make a round of the plant or have come for a meeting with the General Manager on official issues, etc.

Hence we can say that transportation is the one among the most important subsections of the Administration section, which is in turn, should work efficiently for the efficient working of the plant and hence get good results.

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3} House building loan subsection:The following are the rules of the HBL to the employees of the IFFCO. These rules vary from time to time which are given below are the rules which have been implemented on 9th April 2001. The rules decide to give one time permission to the employees, who have purchased/constructed houses after availing HBL from IFFCO, to sell of the same and invest the sale proceeds for construction/purchase of another house elsewhere. In order to regulate the cases for grant of one time permission for change of house under the revised rules, the following regulations have been issued:-

1)

The employee desirous of availing the above provision shall submit an application

to the competent Authority seeking permission to sell the existing property and purchase/construct of another house elsewhere within a period of six months from such transaction. 2) During the transition period the employee should furnish a surety from another

IFFCO employee, for the outstanding loan. The surety shall be furnished as per provision of IFFCO HBL. 3) Before finalizing the deal for new property, the employee shall submit all the relevant documents/papers of the property, which he intends to purchase to IFFCO, which shall be examined with a view to ensure that the same are in order and meet the requirement of IFFCO HBL rules, for acquiring construction of properties of different types and the cost of the new property should not be less than the total HBL SANCTIONED, from time to time. 4) The employee must establish a clear title to the property/land in his or in the name of himself and his wife, which enables him/them to mortgage the property in favor of IFFCO, within one month from the date of acquisition. 5) The employee will continue to be governed by all other provision of IFFCO HBL RULES.

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TIME OFFICE
Time office is one of the important sections where attendance of all employees and executive in duty are effectively monitored. It maintains regularly the punching cards, leave records and various other functions through its totally computerized system. There are 4 shifts in IFFCO Morning shift : 6 AM to 2 PM Second shift :2 PM to 10 PM Night shift : 10 PM to 6 AM General shift : 8 AM to 4.30 PM MAIN FUNCTION OF TIME OFFICE Maintaining the attendance records of all employees and making present absent ,leave etc. of workers Reporting to the accounts department the monthly staff attendance in respect of employee. Compiling the statistical report regarding employment and attendance etc. of workers for submission to various authorities under various labor enactments and to head office. Issuance of attendance card to the employees. Maintenance of all types of leave records of employees as per the requirements of Gujarat factories rules /standing orders /payment of wages. Maintaining records of overtime. MAINTAINENCE OF ATTENDANCE RECORDS OF EMPLOYEES The chief time keeper will coordinate and supervise the work of time office. All the correspondence, monthly attendance reports, muster roll, etc. from time office will be sent to the accounts department through chief time keeper The time office will maintain a standard force register according to the department wise separately showing particulars of personal number, name, designation, date of admission to CPE, transfer /termination/dismissal, etc. The copy of tour programs, sanctioned leave application, etc.
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The attendance register of officers maintained in the department would be collected by time office in day in between 10 am to 12 noon to mark presence. The leave register for the officer will be maintained by time office. The monthly attendance reports of the officers will be reported to accounts pay bill by time office. Since mal practices can happen that employee punch card and leave premises before time and then return back to punch his exit time ,or can be done by other person punch his card ,the time office send in attendance sheet to various department where the head of department verifies whether there was false punching favoring that particular employee. LEAVING THE PLANT ON PRIVATE WORK OR ON OFFICIAL DUTY DURING DUTY HOURS: Employees intending to leave the workers earlier than the close of the shift shall obtain an authority from authorized officers which he will hand over to the time office for record. The proportionate deduction of wages for the period of absence will be indicated in the statement of attendance sent to pay bill section by the time office. Employees deputed on official duty, require going outside only on production of authority duty authorized by section head of departments. OVERTIME Employees continuing on overtime beyond his normal shift hours, the copy of daily overtime will be sent to the time office by the department. The time keeper on duty will note down the departure timing of the employee with reference to the time punched on the attendance card, which will be retained in time office. The time office will work out by 21st of each month the total overtime hours worked by an employee in the month together with rates at which overtime wages are to be calculated i.e. single or double and send a monthly statement of overtime worked in a department wise. This will be sent along with attendance Report to enable the accounts to release overtime payment along with the salary. GRANT OF LEAVE &MAINTAINANCE OF ITS RECORD
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An employee intending to avail leave of any kind will apply for grant of leave as per IFFCO leave rules in the leave application in duplicate along with his leave book to the leave sanctioning authority through his section head. One copy of the leave application will be retained in the concerned section itself where the individual is working and the 2 nd copy of leave application along with leave book and return the same to the employees concerned.

FOR SALARY & ALLOWANCES 1} PAYMENT OF SALARIES

1) Salaries are payable on the last but one working day of every month. 2) The award of increments in accordance with the pay scales will be related to an annual review of the employees development and performance. 3) The increments awarded as a result of the aforesaid review shall become effective (a) January 1 for all those appointed on any date between January 1 and June 30; and, (b) July 1 for all those appointed on any date between July 1 and December 31. (c) Date of increment of an employee, arrived at on his joining IFFCO shall remain unchanged throughout his career in IFFCO, notwithstanding his promotion on any date in future, unless otherwise specifically ordered by the Management to take care of the anomalies in pay fixation and Leave without pay/absence from duty. (d) If an employee remains absent from duty on account of Leave without pay, unauthorized absence, the date of award of next annual increment shall be postponed by the corresponding period for which he remained on Leave without Pay /absent (e) On appointment and promotion, the annual increment will be awarded to an employee only after confirmation in the services/grade and it will be deferred by the period of extension(s) of the probation. 4) A permanent employee may be allowed to draw an advance up to one months salary (Basic + Dearness Allowance) last drawn, once in a year, free of interest.

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The advance shall be recoverable in not more than 10 equal monthly installments commencing from the salary of the following month. No further advance shall be granted unless the earlier advance is fully repaid.

2} ALLOWANCES
Dearness, House Rent and other allowances shall be as decided by IFFCOs Board from time to time. 1) DEARNESS ALLOWANCE Payment of Dearness Allowance will be regulated as per rates and rules notified from time to time. 2) HOUSE RENT ALLOWANCE 2.1) Payment of House Rent Allowance will be regulated as per the rates and rules as notified from time to time. 2.2) Where an employees spouse is employed elsewhere and the spouse is provided with residential accommodation by his/her employer, the IFFCO employee staying with the spouse will not be entitled to House Rent Allowance from IFFCO. For drawing HRA from IFFCO, an employee will have to furnish an undertaking that his/her spouse has not been provided with accommodation by his/her employer. It will be the responsibility of the employee to intimate IFFCO on the first available opportunity that his/her spouse has been provided with residential accommodation by his/her employer. Failure to disclose will constitute misconduct under IFFCO Service Rules. 2.3) Where both husband and wife are employed in IFFCO and one of them has been provided with residential accommodation or leased accommodation, the other spouse will not be entitled to House Rent Allowance.

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2.4) Where both husband and wife are employed in IFFCO but none of them has been provided with residential accommodation, only one of them will be entitled to House Rent Allowance at full rate and the other will be allowed HRA at half the rate, at their option. It will be the responsibility of the employee concerned to intimate IFFCO immediately on employment of his/her spouse by IFFCO, and to exercise a joint option by husband and wife as to who will draw House Rent Allowance at full rate and who will draw at half the rate. However, both will get full HRA if they are not posted at the same location.

2.5) IFFCO employee will not be entitled to HRA, if i) he/she shares the IFFCO accommodation provided to another IFFCO employee. ii) he/she resides in accommodation provided to his / her parents / son / daughter by IFFCO, Government or Quasi-Government, Autonomous body, Public Sector Undertaking, Cooperative society or other determinable sources.(to be declared by the employee).

3} CITY COMPENSATORY ALLOWANCE Payment of City Compensatory Allowance (CCA) discontinued w.e.f.1st April, 2009.

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EMPLOYMENT POLICIES
1} RECRUITMENT & SELECTION POLICY
i. ii. iii. iv. v. i. Recruitment Selection and Interview Induction Probation Confirmation RECRUITMENT

It is necessary to keep the organization successfully running & growing. To achieve these objectives, that only the best and most suitable employees are

appointed/promoted in each post. Thus, the recruitment and promotion policy of the organization shall be to recruit the most suitable person to each post. So far as the suitability of a candidate is concerned, this should be judged by a committee of senior officers. While judging the suitability of a candidate, his academic qualifications, experience in and outside IFFCO, nature of experience, interview performance, quality of the past performance, his suitability for the next higher post or the post for which he is being recruited and his potential for future development are to be viewed and examined carefully before any final decision is made of a candidate, whether from outside or from within the organization Selection and /or Appointment of a candidate to a vacancy either from outside IFFCO through direct recruitment or on deputation or from internal employees will be made in accordance with the applicable laws, rules, procedures, Guidelines and specifications is may be laid down, by the Management from time to time.

In IFFCO all recruitment to H1 Grade and above shall be made on all India bases and to Grade H2 and below on local unit basis.

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RESERVATION FOR S.C/S.T

Though the presidential directive governing off post for ST/SC candidates is not mandatory in IFFCO, the board, in keeping pace with national policy on the subject, has directed implementation of the reservation policy in respect of SC/ST candidates, as applicable to public sector undertakings. IFFCO voluntarily adopt government directives with regards to reservation of jobs for S.C/S.T/O.B.C Sources of Recruitment
1. Direct recruitment. 2. Promotion of Departmental Candidates. 3. On deputation basis from Government or other Organization. 4. On contract for a specified period 5. From amongst the trainees/apprentices of the Society. 6. Campus interviews as may be approved by the Competent Authority from time to time The list of the panel of selected candidates drawn for the purpose of recruitment from outside will be valid for a period of six months. The validity of the panel may be extended for another six months with the approval of Management Director ii. SELECTION PROCEDURE

Selection is the process of differentiating between applicants in order to identify & hire those with a greater likelihood of success in a job. In this process a deliberate attempt is made by the organization to select a fixed number of employees from a large pool of applicants. The selection process involves three district stages viz. recruitment, selection and placement. In IFFCO the following are the major steps involved in the selection process Having done the job analysis, prepare the job description and main specification. Advertisement in local newspaper / English news paper

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Application Screening by Personnel section with consultation with concerned department. Checking of all certificates True copies Call for Written Test of academic education aspect Interview. Medical Test/ Physical examination Final selection. INDUCTION

iii.

The main objective of placement is to fit new employee to job demands. As new employee is unaware of the organization philosophies culture different department etc, he is to put into a process of INDOCTRAINATION .it means that the philosophies & approaches of the organization is slowly inculcate to the employee for easy adaption in the organization. In general this process takes place, while new employee is put under INDUCTION iv. PROBATION All persons appointed to posts under IFFCO shall be on probation for a period of six months from the date of such appointments. The period of probation may be further extended by a period of three months at a time subject to the condition that total period of such extensions will not exceed one year. At any time during the period of probation (including extensions thereof, if any), or at the end of such periods, if in the opinion of IFFCO, an employees work or conduct has not been satisfactory, his services may be terminated without notice and without assigning any reason, provided that if he had been in IFFCOs employment immediately prior to the appointment in question, he may be reverted to such earlier post or a post equivalent thereto without notice and without assigning any reason. Until a letter of confirmation has been issued by the Management on satisfactory completion of initial or subsequently extended probationary period it will be presumed that the probationary period has been extended.
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On the completion of the period of probation including extensions thereof, if any, the appointment shall be reviewed, and if IFFCO is so satisfied a communication shall be issued to the employee to the effect that the period of probation has been satisfactorily completed.

Until a letter of confirmation has been issued by the Management on satisfactory completion of initial or subsequently extended probationary period it will be presumed that the probationary period has been extended. Notwithstanding the effective date of promotion, an employee shall be on probation for a period of six months, with effect from the date of promotion order v. CARRIER GROWTH

Matching with organizational growth ,manpower needs the promotional avenues of employees would depend their on educational background , experience ,competencies to shoulder higher responsibility ,potential for future development by DPC`s ,and such suitability.
2} PERFORMANCE APPRAISAL

other considered

as may be necessary to judge the

This is the systematic evaluation of the individual with respect to his/her performance on the job & their potential development. For different grades there are different appraisal forms. 1) Performance appraisal form for grade H2 and below 2) Performance appraisal form for grade H1 and above In applying and using appraisal system it three phases Reporting Evaluation Follow-up

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The rating of employee should be done once a year. The first page of appraisal format is to be filled by personal department and passed to APPRAISAL Officer by 1st week of April who will give rating to 10th April and send it to review officer and from him to Accepting officer.

The Accepting officers record his observation on employees appraisal form and send it to personal department by the end of April. The instruction provided in appraisal form is to be carefully gone through individual appraiser bearing in mind that rater will be rated eventually. This system is called Annual Confidential Report (ACR). For H1 and above grades ACR are furnished online. No hard copy is maintained. For H2 and below grades ACR are maintained by HOD of P&A office.

3} EMPLOYMENT CONTRACT A legal employment contract specifies and set out the terms and conditions of employment in details. A new hire will receive an employment contract after joining the company and while going through residence visa processing. The official employment contract is drafted in English and Arabic and governed in accordance with the Labor Law for unlimited period. 4} RESIDENTIAL ACCOMMODATION IFFCO may, at its discretion, make available such residential accommodation to its employees as it considers appropriate and on such rates of monthly rent and other charges as it consider reasonable. 5} POSTINGS AND TRANSFERS Regardless of the post to which an employee is initially appointed and the station where he is posted, IFFCO reserves the right to transfer him from one post to another equivalent post and from one station to another, anywhere in India or abroad, including transfer to new establishments that might be started in future.

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6} FORWARDING OF APPLICATIONS FOR JOBS OUTSIDE IFFCO If any employee wishes to apply to a post outside IFFCO, he should do so through proper channel. Employees not doing so will be liable to disciplinary action

HUMAN RESOURCE POLICIES

Human Resource Policies refers to principles and rules of conduct which formulate, redefine, break into details and decide a number of actions that govern the relationship with employees in the attainment of the organization objectives.

HR Policies cover the following:

1. Policy of hiring people with due respect to factors like reservations, sex, marital status, and the like. 2. Policy on terms and conditions of employment-compensation policy and methods, hours of work, overtime, promotion, transfer, lay-off and the like. 3. Policy with regard medical assistance -sickness benefits, ESI and company medical benefits. 4. Policy regarding housing, transport, uniform and allowances. 5. Policy regarding training and development-need for, methods of, and frequency of training and development. 6. Policy regarding industrial relations, trade-union recognition, collective bargaining, grievance procedure, participative management and communication with workers.

FORMULATING POLICIES There are five principal sources for determining the content and meaning of policies:
1. Past practice in the organization. 2. Prevailing practice in rival companies.

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1. Attitudes and philosophy of founders of the company as also its directors and the top management. 2. Attitudes and philosophy of middle and lower management.

5. The knowledge and experience gained from handling countless personnel problems on day to day basis

BENEFITS OF HR POLICIES Organizations should have personnel policies as they ensure the following benefits: a. The work involved in formulating policies requires that the management give deep thought to the basic needs of both the organization and the employees. The management must examine its basic convictions as well as give full consideration to the prevailing practices in other organizations. b. Established policies ensure consistent treatment of all personnel throughout the organization. Favoritism and discrimination are, thereby, minimized. c. Continuity of action is assured even though top management personnel change. The CEO of a company may possess a very sound personnel management philosophy. He/she may carry the policies of the organization in his/her head, and he she may apply them in an entirely fair manner. But what happens when he/she retires? The tenure of office of nay manager is finite. But the organization continues. Policies promote stability. d. Policies serve as a standard of performance. Actual results can be compared with the policy to determine how well the members of the organization are living up to the professional intentions.

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e. Sound policies help build employee motivation and loyalty. This is especially true where the policies reflect established principles of fair play and justice and where they help people grow within the organization. f. Sound policies help resolve intrapersonal, interpersonal and intergroup conflicts PRINCIPLES OF HR POLICY 1. Principle of individual development to offer full and equal opportunities to every employee to realize his/her full potential. 2. Principle of scientific selection to select the right person for the right job. 3. Principle of free flow of communication to keep all channels of communication open and encourage upward, downward, horizontal, formal and informal communication. 4. Principle of participation to associate employee representatives at every level of decision-making. 5. Principle of fair remuneration to pay fair and equitable wages and salaries commensuration with jobs. 6. Principle of incentive to recognize and reward good performance. 7. Principle of dignity of labor to treat every job and every job holder with dignity and respect. 8. Principle of labor management co-operation to promote cordial industrial relations. 9. Principle of team spirit to promote co-operation and team spirit among employees. 10. Principle of contribution to national prosperity to provide a higher purpose of work to all employees and to contribute to national prosperity

OBJECTIVES OF STUDY 1. To study the HR Policies of the company. 2. To study the amendments made in the HR Policies of IFFCO since its incorporation. 3. To incorporate the amendments in the base policy and prepare a final policy. 4. To design a HR Policy manual for the company with special emphasis on the Managerial Service Conditions

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 SCOPE OF STUDY
In any organization human resource is the most important asset. In todays current scenario, IFFCO is a very large manufacturer and distributer of different fertilizers As most of the company`s overall performance depends on its employees performance which depends largely on the HR POLICIES of the organization. So the project has wide scope to help the company to perform well in today`s global competition. The core of the project lies in analyzing and assessing the organization and to design an HR POLICY manual for the organization

The various procedures that form the HR Policy of the Organization are:

1. Recruitment and selection of manpower 2. Induction and Placement 3. Probation 4. Carrier growth 5. Performance appraisal 6. Promotion 7. Transfer

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CONCLUSION
During the study of the project I observed different functions of the HR Department. I got the knowledge about the different types of HR Policies functioning in the organization. I also got knowledge about how the organization is following their values in a very sincere way. I observed and analyzed the span of Human resource department /Personal and Administration department which is connected with every department, every function directly or indirectly. I learnt how and what types of facilities are being provided to the employees. They emphasis on providing proper working environment to their employees, so that the employees can work efficiently & smoothly . I also observed how they are doing the Performance Appraisal on basis of the Annual Confidential report (ACP) got the knowledge about different departments in a manufacturing company and idea about the challenges what the employees are facing while performing their work. I learned the rules and policies related to job /service followed by employees Which not only contain codes of conduct ,but also measures to save employees interest , prevent illegal procedures and employees welfare.

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BIBLIOGRAPHY
Book

Human Resource Management (11Th edition)-Gary Dessler/Biju Varkkey Personal Management (6Th edition) - Edwin.B.Flippo Personnel/Human Resource Management (5Th edition)-Gary Dessler

Internet

www.iffco.nic.in

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