MARUTI UDYOG LTD.

A MINOR PROJECT REPORT

ON
ATTRITION ANALYSIS OF
MARUTI UDYOG LIMITED

Submitted To:-

Submitted By:-

MS.ASHA CHA4DHARY

ISHIKA GUPTA

Assistant Professor

07121201811
BBA (B&I) 2nd Shift
THIRD SEMESTER

In partial fulfillment of the

Requirements for the award of Degree of
Bachelor of Business Administration

Maharaja Surajmal Institute

MARUTI UDYOG LTD.

INTRODUCTION TO THE RESEARCH TOPIC

Human Resources Management
(MUL) was established in February 1981, though the actual production commenced in 1983
with the Maruti 800, based on the Suzuki Altokei car which at the time was the only modern
car available in India, its only competitors- the Hindustan Ambassador and Premier
Padmini were both around 25 years out of date at that point. Through 2004, Maruti Suzuki
has produced over 5 Million vehicles. Maruti Suzukis are sold in India and various several
other countries, depending upon export orders. Models similar to Maruti Suzukis (but not
manufactured by Maruti Udyog) are sold by Suzuki Motor Corporation and manufactured
in Pakistan and other South Asian countries.
The company exports more than 50,000 cars annually and has an extremely large domestic
market in India selling over 730,000 cars annually. Maruti 800, till 2004, was the India's

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largest selling compact car ever since it was launched in 1983. More than a million units of
this car have been sold worldwide so far. Currently,Maruti Suzuki Alto tops the sales charts.
Due to the large number of Maruti 800s sold in the Indian market, the term "Maruti" is
commonly used to refer to this compact car model. Its manufacturing facilities are located at
two facilities Gurgaon and Manesar south of Delhi. Maruti Suzukis Gurgaon facility has an
installed capacity of 350,000 units per annum. The Manesar facilities, launched in February
2007 comprise a vehicle assembly plant with a capacity of 100,000 units per year and a
Diesel Engine plant with an annual capacity of 100,000 engines and transmissions. Manesar
and Gurgaon facilities have a combined capability to produce over 700,000 units annually.
More than half the cars sold in India are Maruti Suzuki cars. The company is a subsidiary of
Suzuki Motor Corporation, Japan, which owns 54.2 per cent of Maruti Suzuki. The rest is
owned by public and financial institutions. It is listed on the Bombay Stock
Exchange and National Stock Exchange in India.
During 2007-08, Maruti Suzuki sold 764,842 cars, of which 53,024 were exported. In all,
over six million Maruti Suzuki cars are on Indian roads since the first car was rolled out on
14 December 1983. Maruti Suzuki offers 14 models, Maruti 800, Alto, WagonR, Estilo, Astar, Ritz, Swift,Swift DZire, SX4, Omni, Eeco, Gypsy, Grand Vitara, Kizashi. Swift, Swift
DZire, A-star and SX4 are manufactured in Manesar, Grand Vitara and Kizashi are imported
from Japan as completely built units(CBU), remaining all models are manufactured in
Maruti Suzuki's Gurgaon Plant.
Suzuki Motor Corporation, the parent company, is a global leader in mini and compact cars
for three decades. Suzukis technical superiority lies in its ability to pack power and
performance into a compact, lightweight engine that is clean and fuel efficient. Nearly
75,000 people are employed directly by Maruti Suzuki and its partners. It has been rated first
in customer satisfaction among all car makers in India from 1999 to 2009 by J D Power Asia
Pacific.

Joint venture related issues

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Maruti Suzuki's A-Star vehicle during its unveiling in Pragati Maidan, Delhi. A-Star,
Suzuki's fifth global car model, was designed and is made only in India.Maruti Suzuki is also
Suzuki's leading research and development arm outside Japan
Relationship between the Government of India, under the United Front (India) coalition
and Suzuki Motor Corporation over the joint venture was a point of heated debate in the
Indian media till Suzuki Motor Corporation gained the controlling stake. This highly
profitable joint venture that had a near monopolistic trade in the
Indian automobile market and the nature of the partnership built up till then was the
underlying reason for most issues. The success of the joint venture led Suzuki to increase its
equity from 26% to 40% in 1987, and further to 50% in 1992. In 1982 both the venture
partners had entered into an agreement to nominate their candidate for the post of Managing
Director and every Managing Director will have a tenure of five year.
R.C. Bhargava was the initial managing director of the company since the inception of the
joint venture. Till today he is regarded as instrumental for the success of Maruti Suzuki.
Joining in 1982 he held several key positions in the company before heading the company as
Managing Director. Currently he is on the Board of Directors. After completing his five year
tenure, Mr. Bhargava later assumed the office of Part-Time Chairman. The Government
nominated Mr. S.S.L.N. Bhaskarudu as the Managing Director on 27 August 1997. Mr.
Bhaskarudu had joined Maruti Suzuki in 1983 after spending 21 years in the Public sector
undertaking Bharat Heavy Electricals Limited as General Manager. In 1987 he was
promoted as Chief General Manager. In 1988 he was named Director, Productions and
Projects. The next year (1989) he was named Director of Materials and in 1993 he became
Joint Managing Director.

Suzuki Motor Corporation didn't attend the Annual General Meeting of the Board with the
reason of it being called on a short notice. Later Suzuki Motor Corporation went on record to
state that Bhaskarudu was "incompetent" and wanted someone else. However, the Ministry
of Industries, Government of India refuted the charges. Media stated from the Maruti Suzuki
sources that Bhaskarudu was interested to indigenise most of components for the models
including gear boxes especially for Maruti 800. Suzuki also felt that Bhaskarudu was a proxy
for the Government and would not let it increase its stake in the venture. If Maruti Suzuki
would have been able to indigenise gear boxes then Maruti Suzuki would have been able to
manufacture all the models without the technical assistance from Suzuki. Till today the issue
of localization of gear boxes is highlighted in the press.

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The relations strained when Suzuki Motor Corporation moved to Delhi High Court to bring a
stay order against Bhaskarudu's appointment. The issue was resolved in an out-of-court
settlement and both the parties agreed that R S S L N Bhaskarudu would serve up to 31
December 1999, and from 1 January 2000, Jagdish Khattar, Executive Director of Maruti
Udyog Limited would assume charges as the Managing Director. Many politicians stated in
parliament that the Suzuki Motor Corporation is unwilling to localize manufacturing and
reduce imports. As of 2011 Gear boxes are still imported from Japan and are assembled at
the Gurgaon facility.
Industrial relation.

For most of its history, Maruti Udyog Limited had relatively few problems with its labour
force. Its emphasis of a Japanese work culture and the modern manufacturing process, first
instituted in Japan in the 1970s, was accepted by the workforce of the company without any
difficulty. But with the change in management in 1997, when it became predominantly
government controlled for a while, and the conflict between the United Front Government
and Suzuki may have been the cause of unrest among employees. A major row broke out in
September 2000 when employees of Maruti Udyog Ltd (MUL) went on an indefinite strike,
demanding among other things, revision of the incentive scheme offered and implementation
of a pension scheme.

Employees struck work for six hours in October 2000, irked over the suspension of nine
employees, going on a six-hour tools-down strike at its Gurgaon plant, demanding revision
of the incentive-linked pay and threatened to fast to death if the suspended employees were
not reinstated. About this time, the NDA government, following a disinvestments policy,
proposed to sell part of its stake in Maruti Suzuki in a public offering. The Staff union
opposed this sell-off plan on the grounds that the company will lose a major business
advantage of being subsidised by the Government.

The standoff with the management continued to December with a proposal by the
management to end the two-month long agitation rejected with a demand for reinstatement
of 92 dismissed workers, with four MUL employees going on a fast-unto-death. In
December the company's shareholders met in New Delhi in an AGM that lasted 30 minutes.
At the same time around 1500 plant workers from the MUL's Gurgaon facility were agitating
outside the company's corporate office demanding commencement of production linked

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incentives, a better pension scheme and other benefits. The management has refused to pass
on the benefits citing increased competition and lower margins.

Services offered
Current sales of automobiles

Red Bull Maruti Suzuki Swift

Maruti Omni

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India's Corps of Military Police personnel patrolling the Wagah border crossing in
thePunjab in a Maruti Gypsy.

Maruti Suzuki Swift

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Suzuki SX4

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Discontinued car models
1.
2.
3.
4.
5.
6.

1000 (19901994)
Zen (19932006)
Esteem (19942008)
Baleno (19992007)
Zen Estilo (20062009)
Versa (20012010)

Gurgaon Manufacturing Facility

The Gurgaon Manufacturing Facility has three fully integrated manufacturing plants and is
spread over 300 acres (1.2 km2). All three plants have an installed capacity of 350,000
vehicles annually but productivity improvements have enabled it to manufacture 700,000
vehicles annually. The Gurgaon facilities also manufacture 240,000 K-Series engines
annually. The entire facility is equipped with more than 150 robots, out of which 71 have
been developed in-house. The Gurgaon Facilities manufactures
the 800, Alto, WagonR, Estilo, Omni, Gypsy and Eeco.

Manesar Manufacturing Facility

The Manesar Manufacturing Plant was inaugurated in February 2007 and is spread over 600
acres (2.4 km2). Initially it had a production capacity of 100,000 vehicles annually but this
was increased to 300,000 vehicles annually in October 2008. The production capacity was
further increased by 250,000 vehicles taking total production capacity to 550,000 vehicles
annually. The Manesar Plant produces the A-star,Swift, Swift DZire and SX4.

Sales and service network

As of 31 March 2011 Maruti Suzuki has 933 dealerships across 666 towns and cities in
all states and union territories of India. It has 2,946 service stations (inclusive of dealer
workshops and Maruti Authorised Service Stations) in 1,395 towns and cities throughout
India. It has 30 Express Service Stations on 30 National Highways across 1,314 cities in
India.
Service is a major revenue generator of the company. Most of the service stations are
managed on franchise basis, where Maruti Suzuki trains the local staff. Other automobile
companies have not been able to match this benchmark set by Maruti Suzuki. The Express

MARUTI UDYOG LTD.

Service stations help many stranded vehicles on the highways by sending across their repair
man to the vehicle.

Maruti Insurance
Launched in 2002 Maruti Suzuki provides vehicle insurance to its customers with the help of
the National Insurance Company, Bajaj Allianz, New India Assurance and Royal Sundaram.
The service was set up the company with the inception of two subsidiaries Maruti Insurance
Distributors Services Pvt. Ltd and Maruti Insurance Brokers Pvt. Limited.
This service started as a benefit or value addition to customers and was able to ramp up
easily. By December 2005 they were able to sell more than two million insurance policies
since its inception.

Maruti TrueValue.
Maruti True service offered by Maruti Suzuki to its customers. It is a market place for used
Maruti Suzuki Vehicles. One can buy, sell or exchange used Maruti Suzuki vehicles with the
help of this service in India. As of 31 March 2010 there are 341 Maruti True Valueoutlet.

Accessories
Many of the auto component companies other than Maruti Suzuki started to offer
components and accessories that were compatible. This caused a serious threat and loss of
revenue to Maruti Suzuki. Maruti Suzuki started a new initiative under the brand
name Maruti Genuine Accessories to offer accessories like alloy wheels, body cover,
carpets, door visors, fog lamps, stereo systems, seat covers and other car care products.
These product are sold through dealer outlets and authorized service stations throughout
India.

Issues and problems

On 24 February 2010, Maruti Suzuki India announced recalling of 100,000 A-Star
hatchbacks to fix a fuel leakage problem. the company will replace the gaskets for all
100,000 A-Star cars.

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Exports
Maruti Exports Limited is the subsidiary of Maruti Suzuki with its major focus on exports
and it does not operate in the domestic Indian market. The first commercial consignment of
480 cars were sent to Hungary. By sending a consignment of 571 cars to the same country
Maruti Suzuki crossed the benchmark of 300,000 cars. Since its inception export was one of
the aspects government was keen to encourage. Every political party expected Maruti Suzuki
to earn foreign currency. Angola, Benin, Djibouti, Ethiopia, Europe, Kenya, Morocco,
Nepal, Sri Lanka, Uganda, Chile, Guatemala, Costa Rica and El Salvador are some of the
markets served by Maruti Exports.

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ATTRITION

Word origin and history

1540s, "abrasion, a scraping," from L. attritionem (nom. attritio),lit. "a rubbing against," nou
n of action from attritus pp. ofatterere "to wear, rub away," from ad"to" + terere "to rub" (seethrow). The earliest sense in Eng. is from Scholastic theology(late
14c.),
"sorrow for sin merely out of fear of punishment," a minorirritation, and thus less than contri
tion. The sense of "wearingdown an enemy's strength" is a World War I coinage (1914).

Customer attrition, also known as customer churn, customer turnover, or customer

defection, is a business term used to describe loss of clients or customers.
Attrition is a major challenge that many corporate have to overcome in todays highly
competitive business environment. Re-hiring can be a very costly affair; it can be a tedious
process administratively too, as the entire process if hiring and training is very time
consuming. Losing a key employee has some serious repercussions; its a loss of talent
expertise and competencies and companies in todays talent starved environment will find it
difficult to find the perfect fit. Also, companies have to incur higher recruitment costs too to
fill the vacant position. There are no quick fixes the only way through which one can
minimize risk is by effectively engaging with ones most important stakeholder the
employee.
Attrition rate is calculated based on the total strength in the organization and percentage of
employees leaving it during a specified period. For the same type of industry or business if
the percentage is abnormally high then it requires a review by the employer what is wrong
with the organization.
Organizations will need to review their current retention plans in order to keep themselves
abreast with the changing market demands. Companies need to ensure that quality talent is
identified early on and put on a fast track program to grow within the organization. Learning
and development are increasingly becoming key factors today towards ensuring increased
retention. Also, performance linked pay will be an important parameter against which an
employee will make his /her decision of staying on with the current company.
Providing new avenues for growth and learning through job rotation is a significant driver in
everyday knowledge enhancement. Staff engagement is a key area of force and these align

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employees with the work place and organizational goals. Companies also need to provide
benefits which help an employee attain a good work life balance.
The value system of an organization is driven by the core beliefs in respect to individuals and
transparency and these values are carried forward in their interactions with candidates
aspiring to work with us. Interview is a commonly used term to describe the interaction that
take place during the selection process. As part of the selection process efforts are made to
value the candidate as well as provide appropriate feedback as per the discussions conducted.

A feedback given constructively can work wonders for candidates. It helps them identify
their development areas and also see their blind spots. This way, they are able to work on
individual development besides what their current employers are doing are them. Also,
sharing the result firstly leaves.
The simultaneous growth experienced in other sectors, including financial services,
manufacturing and retail business, has created a huge demand for skilled labor across
sectors. The traditional workers prefer other employment avenues like the retail sector.
Unlike the problem of the labor force getting older as experienced by countries like the
United States and Europe, India faces the challenge of a young work force. The challenges of
dealing with a young work force are different. Demographics consider that India is and will
remain for some time one of the youngest countries in the world.
It is argued, therefore that with careful planning, the population base of India can be used for
its advantage, a demographic dividend, instead of viewing the expansion in population as a
burden. This, however, requires efforts to improve skills and generate jobs that can absorb
the young workforce.
Attrition though a nuisance also has some associated benefits along with such as low cost of
operation, knowledge sharing amongst the firms benefiting the overall industry in increasing
its competencies. Attrition usually occurs on two fronts - people leaving the industry and
people shifting jobs inside the industry. Both of them have separate causes.
Attrition cannot be blindly classified with a negative connotation. A healthy attrition rate in
any industry is necessary for new ideas and innovation to flow in as well as to facilitate the
overall growth of the industry in terms of knowledge sharing. But after a particular level the
same boon becomes a bane. Recruiters say that the high attrition rates significantly increase

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the investments that are made on the employees. The problem of losing funds in employee
acquisition is more prominent.
Companies invest a lot of time and money in training a candidate. But these investments do
not always get converted into actual profits. In an industry, each agent level recruitment costs
some amount. This is the amount which a company needs to pay the job recruitment agency.
Other than the direct cost, an associated cost of training and administrative service is also
involved. Each agent works is non-productive or partly productive in the organization for
nearly the first 2-3 months. Hence an employee leaving the organization within the first 6
months is a bad investment for the company. Also, as stated earlier the cost of attrition in the
industry is 1.5 times the annual salary.
The reason for India's success has been primarily the low cost, high quality labor which India
provides. India is the only country where we have a balance between the cost involved and
the quality provided till now. For Indian companies to remain successful in future they
would have to keep the cost low. Since the tasks performed by an agent are pretty standard
and does not require added skills, there is no benefit in retaining a highly experienced
employee. At the floor level operation, a non-experienced candidate could work with the
same efficiency of a 2-3 year experienced employee after minimal training. Hence the
industry players consider the present attrition as a positive attrition which is serving the
industry by keeping the cost low.

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INDUSTRY APPLICATIONS
Financial services such as banking and insurance use applications of predictive analytics for
churn modeling, because customer retention is an essential part of most financial
services' business models. Other sectors have also discovered the power of predictive
analytics, including retailing, telecommunications and pay-TV operators. One of the main
objectives of modeling customer churn is to determine the causal factors, so that the
company can try to prevent the attrition from happening in the future. Some companies want
to prevent their good customers from deteriorating (e.g., by falling behind in their payments)
and becoming less profitable customers, so they introduced the notion of partial customer
churn.
Customer attrition merits special attention by mobile telecom service providers worldwide.
This is due to the low barriers to switching to a competing service provider especially with
the advent of Mobile Number Portability (MNP) in several countries. This allows customers
to switch to another provider while preserving their phone numbers.

While mature markets with high teledensity (phone market penetration) have churn
rates ranging from 1% to 2% per month, high growth developing markets such as India and
China are experiencing churn rates between % to 4% per month.
By deploying new technologies such churn prediction models coupled with effective
retention programs, customer attrition could be better managed to stem the significant
revenue loss from defecting customers.
Customer attrition is a major concern for US and Canadian banks, because they have much
higher churn rates than banks in Western Europe. US and Canadian banks with the lowest
churn rates have achieved customer turnover rates as low as 12% per year, by using tactics
such as free checking accounts, online banking and bill payment, and improved customer
service. However, once banks can improve their churn rates by improving customer service,
they can reach a point beyond which further customer service will not improve retention;
other tactics or approaches need to be explored.

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PREDICTING ATTRITION FOR HUMAN RESOURCES

Human Resources has long been looked at as a touchy-feely business. The stereotype of its
practitioners is that they give warm and fuzzy answers to most business queries. While they
put Talent Management as a priority, yet they lack the analytical tools to be able to deliver
the agenda. As Zach Thomas of Forrester says, Forward-looking analytics that push well
beyond traditional metrics are the cornerstone of this effort. But soloed systems, inconsistent
data, and a lack of benchmarks and tools have made this increasingly difficult to achieve. To
address this problem and become more strategic, HR professionals must get their arms
around the data, identify key performance indicators (KPIs), settle on a technology approach,
and infuse the data into their organization.
With HR professionals increasingly turning to Predictive Analytics (PA), all that is set to
change. Predictive Analysis uses different techniques that will analyze historical and current
data to make predictions about the future behavior. PA answers what will happen, when. It is
like having an astrologer for the business not someone who is a fake and who pretends to
know, but, someone who can actually save you, or make you, money. Imagine HR being able
to predict which new hire has the highest probability of turning out to be a top performer and
then using the organizations resources to nurture that talent. Data Mining is usually a post
mortem of data to gain insights about the past. It is reactive. PA classifies the person in a
group or in terms of a trait and then makes predictions in a context. Whether it is in decisions
around hiring effectiveness, predicting success of employees or even using it to decide whom
to layoff, Predictive Analytics is helping corporations make data-driven, fact-based
decisions. The field is not without its controversies.

REDUCING ATTRITION FOR HUMAN RESOURCES

There are organizations that have developed international standards regarding recognition
and sharing of global best practice in customer service in order to reduce HR attrition. .
Talent management implies recognising a persons inherent skills, traits, personality and
offering him a matching job.
Every person has a unique talent that suits a particular job profile and any other position will
cause discomfort.
It is the job of the Management, particularly the HR Department, to place candidates with
prudence and caution. A wrong fit will result in further hiring, re-training and other wasteful
activities.
No matter how inspiring the Leaders are, they are only as effective as their team.

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A teams output is healthy only if the members are in consensus with each other. To achieve
such harmony, the key ingredient is putting the right people in the right jobs.
But there is no magic formula to manage talent, the trick is to locate it and encourage it.
Talent Management is beneficial to both the organization and the employees. The
organization benefits from: Increased productivity and capability; a better linkage between
individuals efforts and business goals, commitment of valued employees, reduced turnover;
increased bench strength and a better fit between peoples jobs and skills.
Employees benefit from: Higher motivation and commitment, career development, increased
knowledge about and contribution to company goals, sustained motivation and job
satisfaction.
Essentially, the process of talent development in organisations is a complex one. This is
because the architecture of talent pipeline differs across organisations. The main shared goal
of top management and HR professionals in an organisation is to build talent-rich
organization through,
Zero-Talent Outages: Having two or three people ready, willing and able to step into each
role that opens up due to a business opportunity, promotion retirement or resignation of
others.
Succession and not Replacement: Ensuring that these people are actually better than the
people they are succeeding, in a short time, if not immediately.
Becoming a Talent Magnet: Building the kind of reputation as a talent rich enterprise that
attracts great talent into the organisation.

Talent rich organisations look at cadres of talent at different levels in the organisations rather
than focusing on a handful of individuals only. At each age group they would like to see a
good number of people who have great potential, experience, maturity and aggressiveness to
drive forward.
From this group, the organisation needs to select a few people; which can lead the
organisation towards a futuristic innovative growth path. Along with this it is necessary to
create and maintain the HR systems that will help attract, select, deploy, develop, reward and
retain this talent.
This essentially means that the organisations needs to manage the careers of the talented
people so as to see them move into leadership roles, with the sense of continuity and with an
urgency to create an efficient succession planning process in order to create a pool of
talented people on a continuous basis.

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For developing such an architecture, four dimensions need to be considered:
A clear, articulated picture of the talent needs for the next several years.
Developmental pathways that can be used to get the raw potential developed into polished
performers(talent transformation)
Programmes that enable both talent to develop and talent mangers to do a great job of
ensuring that the organisation becomes a talent rich enterprise.
In order to develop an effective talent pipeline, corporate need to focus on nurturing,
assessment, refilling, and monitoring to ensure that it continues to provide the right
conditions through which the human talent can reach its potential and strategic goals. For
doing so, organisations needs to have its place a talent development system.
Talent development system: this meta system is composed of seven smaller system each of
which must be aligned with the others the main driver is the human resource strategic
planning system, which shows the talent required to execute the strategic plan.
It is made possible by recruitment and selection, career management, training and
development, succession management, compensation and benefits, performance management
system.

MVPs
If 20 per cent of every organisations workforce consists of MVPs (Most Valuable Player),
then 2 per cent of the total workforce-are super performers. Super performers are the people
who are instrumental in carrying out the corporate mission, whose performance skills and
abilities serve as an example to the organisation, and whose departure would have a
significant impact on the business.
Every organisation has them and would like to have more. Yet interestingly, not every
organisation can identify them. It is puzzling, therefore, to observe in this decade, when it
seems organisations are truly starting to acknowledge the strategic importance of human
capital, that the processes used to manage that capital are not optimally designed to place
quality-in both the talent selection process and the employment experience-at the center of
the equation indeed, the primacy of the time to hire metric reflects a worldview still oriented
around time.
Organisations have failed to adopt advanced practices for using information about
candidates, potential candidates, and employees to facilitate and improve the act of finding
and retaining the Super performer. Its an unfortunate misstep, because quality employees
are essential to any organisation. In order to identify the super performers, organisation uses
Employee Ranking Grid.

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This report is composed of a two dimensional matrix with performance on the horizontal axis
and potential on the vertical. During the review process of this report, we can find that only 3
to 5per cent of the total population in the organisation fall in the category of super
performers.
The names in this category is usually known to all, however, there shall be few names that
results in strong disagreement. This rather a natural process of sharing results would reveal
how the top level accurately identifies the super performers. Given a shrinking labour market
that continually presents challenges to attract and retain super performers.
It is not just about retention. High performing companies are seeking to achieve multiple
objectives when compensating their top talent. Long term incentives may help to achieve
some of these objectives, but other non compensation elements are important as well.
The objectives of high-performing organisations include the following:
Attract top talent- using a competitive rewards strategy tied to market.
Engage and motivate employees-driving business performance and connecting results to
compensation outcomes.
Retain top performers-differentiating pay opportunities based on performance, and
lengthening the timeframe associated with pay receipt.
Create succession plans-knowing the next generation of leaders.
Lengthen the performance horizon-focusing on longer-term results (beyond one year)
Create line of sight-aligning individual performance, business outcomes, and shareholder
expectations.Organisations tailor their compensation strategy to help meet these objectives,
and where by long term incentives can play an important role.
Recognise talent
Talent recognition is tied directly to retention and ultimately, organisations results. The
recognition associated with incentive eligibility is an important outcome for high performers.
Organisations have found that the amount of incentive pay is often less important to certain
employees than the fact that they are eligible for an incentive pay award.
Broaden the base
Introduce long- term incentives deeper within the business, selectively for your high
performers. Perhaps it is time to ignore internal equity and ensure that superstars understand
how important they to the success of the business both in the short and the long run.

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Top performers are not born in top management positions; top performers often rise from
lower levels within the organisations- they shall be the next generation of leaders. Hence
organisation must use selective awards of long term incentive opportunities to connect them
more deeply to the business.
Give top talent more
By differentiating reward sizes, organisations can boost morale, suggesting that
performance is rewarded. To have the greatest impact, organisations must have a clear
strategy, understand what they are trying to accomplish, and tailor the incentive strategy to
fit its objectives.

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CHAPTER 3
ANALYSIS
AND
INTERPRETATION

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Q1: Would you consider working with this company again in the future?

76
74
72
70
68
66
64
62
60
A

Category
No of employees

Yes
(A)
75

No
(B)
25

Interpretation: From the survey conducted, it is interpreted that most of the

employees leaving the company were satisfied with the working conditions offered
to them. However, there are a few who thinks that it was not better than their
current company and would like to work again.

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Q2: Would you recommend employment with maruti to your friends and family?

No of employees

30

70

Category
No of employees

Yes
(A)
70

No
(B)
30

Interpretation: From the survey conducted, it can be inferred that, nearly 70% of
the employees would recommend the company to their acquaintance. However, the
rest would not suggest it to their family or friends.

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Q3: Please indicate the reason for your leaving.

100%
90%
80%
70%

salary

60%

work location

50%

career opportunity

40%

family reason

30%
20%
10%
0%

category

Family reason

No of employee 25

Career
opportunity

Work location

salary

20

50

Interpretation: From the survey it can be inferred that most of the employees left the
company because they were getting better salary. However, their were a few who
left because they were offered better career opportunity. 5% of the employees left
because the work location were not suitable for them, 25% left because of family
reasons.

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Q4: If you could change anything about how the company operates, what would it be?
40
35
30
25
20
15
10
5
0
A

Category

Organization
culture
(A)

No of
employees

35

Flexible
working
condition
(B)
15

Work
overload
(C)
25

More
opportunity
(D)
25

Interpretation: The conclusion drawn from this analysis is that nearly 35% of the
employees want to change the organization culture. However, 15% of the
employees desire for flexible working conditions.25% of the employees believe that
their should be lesser work overload. The rest feels that there are very less career
opportunities to grow.

MARUTI UDYOG LTD.

Q5: Did your job opportunities turned out to be as you expected?

no of employee
80
78
76
74

no of employee

72
70
68
66
64
yes

Category
No of employees

no

Yes
(A)
70

No
(B)
30

Interpretation: From the survey conducted we can infer that 70% of the employees
believe that their job opportunities and career growth turned out to be in the way the
expected them. However the rest feels that they were below expectation.

MARUTI UDYOG LTD.

Q6: Was the training you received sufficient to enable you to meet our performance
expectation?

No of employees
25

35

50

Category

No of employees

They were good

(A)
25

Satisfactory,could
have been better
(B)
50

Not upto mark

(C)
35

Interpretation: The conclusion that can be drawn on the basis of this survey is that,
nearly 25% of the employees are happy with the frequency and quality of training
programs conducted for them in the company. However, around 35% of employees
think that they are good but there are chances of further improvement. Moreover,
50% of employees think that they are not upto the mark.

MARUTI UDYOG LTD.

Q7: Did you receive adequate support to do your job?

25

25

A
B
C

50

Category
No of employees

Frequently
(A)
25

Sometimes
(B)
50

Rarely
(C)
25

Interpretation: Through this survey we can conclude that, 25% of the employees
believe that they got proper support from their colleagues in management.
However, 50% of the employees feel that they received average support from their
higher hierarchy. Moreover, the rest 25% of the employees are not satisfied with the
support they received from the management.

MARUTI UDYOG LTD.

Q8: Did you receive sufficient feedback from your performance between evaluation
reviews?

No of employees

A
B
C

Category
No of employees

Absolutely
(A)
25

Most of the times

(B)
25

Sometimes
(C)
50

Interpretation: From the survey we can infer that, 25% of the employees think that
their feedback sessions have always been very appropriate and they received it
frequently. However 25% of employees believe that most of the times they have
been appropriate but they didnt get it well sometimes. The rest 50% are not so
happy with the frequency and quality of the feedback sessions with the
management.

MARUTI UDYOG LTD.

Q9: Did this company help you fulfill your career goals?

No of employees

15

25
A
B
C

60

Category
No. of employees

Yes
(A)
25

Till some level

(B)
60

Not so far
(C)
15

Interpretation: From the survey it is inferred that most of the employees think that
till some level the company helped them fulfill their career goals. However few also
think that it did not help them fulfill their goals so far.

MARUTI UDYOG LTD.

Q10: Were you happy with your pay, benefits and other incentives?

35
34
33
32
35

31

35

30
29

30

28
27
A

No of employees

Yes, always
(A)
35

Category

Satisfactory
(B)
35

Never
(C)
30

Interpretation: 35% of employees were happy with their pay scale, salary and other
incentives. 35% of the employees are satisfied with all these incentives.
However,30% of the employees are not happy with any of these.

MARUTI UDYOG LTD.

Q11: How would you rate the morale in your department on the scale of 1 to 5 ? (5 being
excellent)

No of employees
5

5
A

40

20

B
C
D
E

30

Category
No of
employees

A
5

B
5

C
20

D
30

E
40

Interpretation: Around 40% of the employees would rate the morale of their
department as excellent. However there are few who think it was good, average and
poor respectively.

MARUTI UDYOG LTD.

Q12: How would you evaluate the quality of supervision you received?

Series 1
50
45
40
35
30
25
20
15

Series 1

45
35

10

20

5
0
A

Category

No of employees

Good
(A)
35

Average
(B)
45

Not upto mark

(C)
20

Interpretation: Near about 35% of employees think that they received a good
quality of supervision,where as 45% of employees think its average and rest think
its not up to the mark.

MARUTI UDYOG LTD.

CHAPTER 4
CONCLUSIONS
AND RECOMMENDATIONS

MARUTI UDYOG LTD.

CONCLUSION
The conclusions which can be made after conducting this survey are that, however most of
the employees who have recently joined the organization are overall satisfied with the
current situation, still there are certain scope of improvement which could make the
company a better place to work in.
Most of the employees think that the overall experience at MARUTI Udyog is going
good so far. The complaints are for manufacturing department and the ambience of the
workplace. Some of the employees feels that the manufacturing department should have
been more responsible and maintain the timeliness in order to serve better .Also, many of
the new employees have not been provided with permanent seating facilities. They are
accommodating on a temporary basis on the absence of person to whom the seats belong.
Also, the employees are not satisfied with the frequency of training program being
conducted for them. They believe that there should me more training program organized for
them both on the job and off the job. They believe that this could help them to increase their
efficiency and also motivation for the work.
The employees more over seem happy and satisfied with the organizational culture
and behavior. They find the environment cooperative and the colleagues are friendly. But
some employees feel that they should get more support from the manufacturing department
and the Admin department.
Moreover, employees feel that more motivational measures should be generated at the
workplace.

MARUTI UDYOG LTD.

Recommendations
As per the survey conducted it is observed that the primary problem which most of the new
employees are facing is that they dont have a proper workplace. Hence, emphasis should be
given to provide them a permanent workstation meeting their comfort zone and necessary
requirements. The focus should be on motivating the employees through various employee
engagement activities, trying to make them feel as a part of the Maruti family.
Other than this, the company should conduct various training programs for the employees
which could increase their capability to work and deliver what is actually desired from them.
The employees should be provided with all the necessary information needed to them at
work.
Also, there should be a proper formal orientation program conducted for them, followed by a
follow up of the orientation which could make them familiar with the organization.
There should be various doubt clearing sessions for the new employees with the seniors
which could provide them with the platform to put forward their problems and doubts.

MARUTI UDYOG LTD.

BIBLIOGRAPHY
BOOKS
Challenges of attrition and retention strategies ...
Anil verma
Customer Attrition Analysis,
Van Den Poel & Larivire.

WEBSITES

1. www.wd2point.com
2. www.google.com
3. www.wikipedia.org
4. www.wiki.answers.com

MARUTI UDYOG LTD.

QUESTIONNAIRE ON ATTRITION ANALYSIS!

This is a survey on Attrition analysis by Niti Priya for the partial fulfillment of
BACHELOR OF BUSINESS ADMINISTRATION. So kindly give your response to
these questions:-

Name: ____________________

Date: ____ / ____ / ____ (DD/MM/YY)

Designation:

General Instructions:1. Answer all questions.

2. Indicate your answer by marking a tick () against an appropriate option.
3. Mark only one option in all questions.

MARUTI UDYOG LTD.

Q.1) WOULD YOU CONSIDER WORKING WITH US AGAIN IN FUTURE?

YES

NO

MAY BE

Q.2) WOULD YOU RECOMMEND EMPLOYMENT WITH US TO YOUR

FRIENDS AND FAMILY?

YES

NO

SOMETIMES

Q.3) INDICATE THE REASON/S FOR YOUR LEAVING?

WORKING HOURS

TRANSPORTATION

CAREER OPPURTUNITY

SALARY

MARUTI UDYOG LTD.

Q.4) DID YOUR JOB OPPURTUNITIES TURNED OUT TO BE AS YOU

EXPECTED?

YES

NO

Q.5) WHAT ARE YOUR VIEWS ABOUT ORGANISATION BEHAVIOUR AND

CULTURE?

ITS LIKE ITS CULTURE

IT CAN BE MORE BETTER

NOT UPTO MARK

Q.6) DID YOU RECEIVE ADEQUATE SUPPORT TO DO YOUR JOB?

YES

NO

RARELY

MARUTI UDYOG LTD.

Q.7) WERE YOU SATISFIED WITH THIS COMPANYS MERIT REVIEW
PROCESS?

COMPLETELY

HARDLY

NEVER

Q.8) WHAT MOTIVATED YOU TO BEGIN LOOKING FOR ANOTHER JOBS?

SALARY

FLEXIBLE WORKING CONDITIONS

PERKS

TRANSPORTATION

Q.9) WAS THE CORPORATE CLIMATE COMFORTABLE?

YES

NO

Q.10) WHAT WAS MOST SATISFYING ABOUT YOUR JOB ?

MARUTI UDYOG LTD.

Q.11) HOW DO YOU FEEL ABOUT THE WAY OUR COMPANY IS RUN?

Q13: How is your new job/company different from this one?

Q14: Could this company have done anything to encourage you to stay?

Q15: What other comment of information you would like to share?