CHAPTER-1

INTRODUCTION

1
.1. INTRODUCTION

Employee Relations involves the body of work concerned with maintaining employer-
employee relationships that contribute to satisfactory productivity, motivation, and
morale. Essentially, Employee Relations is concerned with preventing and resolving
problems involving individuals who arise out of or affect work situations.

Advice is provided to supervisors on how to correct poor performance and employee

misconduct. In such instances, progressive discipline and regulatory and other
requirements must be considered in effecting disciplinary actions and in resolving
employee grievances and appeals. Information is provided to employees to promote a
better understanding of management's goals and policies. Information is also provided
to employees to assist them in correcting poor performance, on or off duty misconduct,
and/or to address personal issues that affect them in the workplace. Employees are
advised about applicable regulations, legislation, and bargaining agreements.
Employees are also advised about their grievance and appeal rights and discrimination
and whistleblower protections.

Employee Relations is a leading international academic journal focusing on the

importance of understanding and merging corporate, management and employee needs
to achieve optimum performance, commitment and effectiveness, addresses research,
practice and ideas about relationships between employments. International issues are
covered in all areas of HR and industrial relations. A stringent double-blind review of
each paper is undertaken to ensure its relevance and validity.

Coverage

 Communication, participation and involvement

 Developments in collective bargaining
 Equal opportunities
 Health and safety
 HRM
 Industrial relations and employment protection law
 Industrial relations management and reform
 Organizational change and people
 Personnel and recruitment

2
  Quality of working life

Topicality

Today's turbulent business environment makes increasing demands on managers and

workforces, as competitive standards rise and expectations of individuals increase.
Managers must respond positively to changes in contemporary workforce attitudes if
they are to get the performance levels they need.

Key Benefits

The journal addresses key issues through authoritative, refereed papers by distinguished
international academics and practitioners, Internet site critiques and publications. It
suggests alternative strategies for improving working conditions and developing
constructive relationships between managers and workforce.

3
1.2. NEED OF THE STUDY:

 A common place that we see the need to apply Relations is in the work place. In
the work force, we can see Relations play a key role in leadership success. A
person unable to grasp Relations and apply it, will not become or stay a leader.
 It is critical that anyone seeking to lead or Relations understand "Howletts
Hierarchy of Work Motivators."

 Salary, benefits, working conditions, supervision, policy, safety, security,

affiliation, and relationships are all externally motivated needs.

 These are the first three levels of "Howletts Hierarchy" When these needs are
achieved; the person moves up to level four and then five. However, if levels one
through three are not met, the person becomes dissatisfied with their job.

 When satisfaction is not found, the person becomes less productive and
eventually quits or is fired. Achievement, advancement, recognition, growth,
responsibility, and job nature are internal motivators.

 These are the last two levels of "Howletts Hierarchy." They occur when the
person motivates themselves (after external motivation needs are met.) An
employer or leader that meets the needs on the "Howletts Hierarchy" will see
motivated employees and see productivity increase.

 Understanding the definition of motivation, and then applying it, is one of the
most prevalent challenges facing employers and supervisors.

 Companies often spend thousands of dollars each year hiring outside firms just to
give motivation seminars.

4
1.3. OBJECTIVES OF THE STUDY CAPITAL HERITAGE FOODS:

1. To find out the present Relations level of the employees.

2. To find out the blockages for the Relations (i.e: disciplined).
3. To suggest measures for improvement of the Relations as a discipline Point;
4. To study the hygienic and Relational content factors.

5
 1.4. SCOPE OF THE STUDY

 The study is confined and relevant only to Heritage Foods not applicable to any
organization.
 The study covers motivational practices in Heritage Foods at various levels of
employees.
 The study assists the management in determining the decision regarding the
performance of the employee.

6
 1.5. METHODOLOGY

The basic principle in the research has been adopted in the overall methodology.

The following methodology has been used for meeting the requirements,

 Defining objectives

 Developing the information sources

 Collection o information

 Analysis of information

 Suggestion

The methodology followed for collection, analysis under interpretation of

data in explained below.

1. RESEARCH DESIGNS

There are generally three categories of research based on the type of information

required, they are

1. Exploratory research

2. Descriptive research

3. Casual research

The research category used in this project in descriptive research, which is

focused on the accurate description of the variable in the problem model. Consumer

profile studies, market potential studies, product usage studies, Attitude surveys, sales

analysis, media research and prove survey s are the,

7
 Examples of this research: - Any source of information can be used in this study

although most studies of this nature rely heavily on secondary data sources and survey

research.

2. Primary Source: Discussions with plant staff, Interviews, Questionnaire

administered.

3. SAMPLE DESIGN

a) Sampling unit: The study is directed towards the executive of managerial

level.

b) Sample size: Sample size of 100 employee is taken in this study

4) DATA ANALYSES

Simple analysis method is followed for analyzing the data pertaining to different

dimensions of employees. Simple statistical data like percentage are used in the

interpretation of data pertaining to the study. The results are illustrated by means of bar

charts.

8
LIMITATIONS OF THE STUDY

There are certain limitations of the concept of empowerment. It may be cost

consuming in selecting personnel, training costs and labor costs may be high, it may
result in slower or inconsistent services and poor use of the technique of empowerment.

At the outset, Managers must also accept the fact that not all employees want to
be empowered. Many workers just work better in jobs that are clearly defined and
closely supervised. Once both employees and managers have received proper training,
the next step is go give employee’s control of the resources needed to make the
improvements in their job and work processes.

By giving employees information, resources and training and by following with

measurements and reinforcement, Human Resources can create an empowered
environment. But Empowerment should be continuous process like quality improvement
and it is like a race without a finish line. Those companies that take the first step by
creating an environment conductive to empowerment will be at the head of the pack

9
 CHAPTER-2

REVIEWOF LITERTURE

10
 2.1. THEORATICAL BACKGROUND

Human Resource Management System (HRMS) or Human Resource Information

System (HRIS), refers to the systems and processes at the intersection between human
resource management (HRM) and information technology. It merges HRM as a
discipline and in particular its basic HR activities and processes with the information
technology field, whereas the programming of data processing systems evolved into
standardized routines and packages of enterprise resource planning (ERP) software. On
the whole, these ERP systems have their origin on software that integrates information
from different applications into one universal database. The linkage of its financial and
human resource modules through one database is the most important distinction to the
individually and proprietary developed predecessors, which makes this software
application both rigid and flexible.

Purpose

The function of Human Resources departments is generally administrative and common

to all organizations. Organizations may have formalized selection, evaluation, and
payroll processes. Efficient and effective management of "Human Capital" progressed to
an increasingly imperative and complex process. The HR function consists of tracking
existing employee data which traditionally includes personal histories, skills,
capabilities, accomplishments and salary. To reduce the manual workload of these
administrative activities, organizations began to electronically automate many of these
processes by introducing specialized Human Resource Management Systems. HR
executives rely on internal or external IT professionals to develop and maintain an
integrated HRMS. Before the client–server architecture evolved in the late 1980s, many
HR automation processes were relegated to mainframe computers that could handle
large amounts of data transactions. In consequence of the high capital investment
necessary to buy or program proprietary software, these internally-developed HRMS
were limited to organizations that possessed a large amount of capital. The advent of
client–server, Application Service Provider, and Software as a Service SaaS or Human
Resource Management Systems enabled increasingly higher administrative control of
such systems. Currently Human Resource Management Systems encompass:

11
 1. Payroll
2. Work Time
3. Benefits Administration
4. HR management Information system
5. Recruiting
6. Training/Learning Management System
7. Performance Record
8. Employee Self-Service

The payroll module automates the pay process by gathering data on employee time and
attendance, calculating various deductions and taxes, and generating periodic pay
cheques and employee tax reports. Data is generally fed from the human resources and
time keeping modules to calculate automatic deposit and manual cheque writing
capabilities. This module can encompass all employee-related transactions as well as
integrate with existing financial management systems.

The work time module gathers standardized time and work related efforts. The most
advanced modules provide broad flexibility in data collection methods, labor
distribution capabilities and data analysis features. Cost analysis and efficiency metrics
are the primary functions.

The benefits administration module provides a system for organizations to administer

and track employee participation in benefits programs. These typically encompass
insurance, compensation, profit sharing and retirement.

The HR management module is a component covering many other HR aspects from

application to retirement. The system records basic demographic and address data,
selection, training and development, capabilities and skills management, compensation
planning records and other related activities. Leading edge systems provide the ability to
"read" applications and enter relevant data to applicable database fields, notify
employers and provide position management and position control. Human resource
management function involves the recruitment, placement, evaluation, compensation
and development of the employees of an organization. Initially, businesses used
computer based information systems to:

 produce pay checks and payroll reports;

 maintain personnel records;
12
  pursue Talent Management.

Online recruiting has become one of the primary methods employed by HR

departments to garner potential candidates for available positions within an organization.
Talent Management systems typically encompass:

 analyzing personnel usage within an organization;

 identifying potential applicants;
 recruiting through company-facing listings;
 recruiting through online recruiting sites or publications that market to both
recruiters and applicants.

The significant cost incurred in maintaining an organized recruitment effort, cross-

posting within and across general or industry-specific job boards and maintaining a
competitive exposure of availabilities has given rise to the development of a dedicated
Applicant Tracking System, or 'ATS', module.

The training module provides a system for organizations to administer and track
employee training and development efforts. The system, normally called a Learning
Management System if a standalone product, allows HR to track education,
qualifications and skills of the employees, as well as outlining what training courses,
books, CDs, web based learning or materials are available to develop which skills.
Courses can then be offered in date specific sessions, with delegates and training
resources being mapped and managed within the same system. Sophisticated LMS allow
managers to approve training, budgets and calendars alongside performance
management and appraisal metrics.

The Employee Self-Service module allows employees to query HR related data and
perform some HR transactions over the system. Employees may query their attendance
record from the system without asking the information from HR personnel. The module
also lets supervisors approve O.T. requests from their subordinates through the system
without overloading the task on HR department.

“Employee relationship management” is a term that refers to relationship development

and management between employers and their employees. There are a lot of different
issues that can affect employee satisfaction, which has a direct result on employee
productivity and overall corporate culture. Employee relationship management can be

13
driven by using employee surveys to directly engage your employees in the issues that
are most important to them.
Some of the core issues that can be controlled with effective employee relationship
management are:

 Communication – Open communication both amongst your employees and

between the employees and the management team is imperative. When
employees feel that they can’t be heard, they may become frustrated, leading to
lowered employee morale. Lowered morale can result in lowered productivity
and an uncomfortable, or even hostile, work environment. Employee surveys
can give you a thorough understanding of how your employees feel about
communication in your work environment.
 Conflict management – When problems arise, it is important to understand how
to handle them. This is a fundamental aspect of employee relationship
management. Sometimes those conflicts occur between employees and
employers. EmployeeSurveys.com can provide you the necessary tools to help
you negotiate and manage conflicts in your business.
 Employee growth – Employees that feel they are only required to put in their
hours and go home will do just that. Employees that feel they can become a
valuable asset based on their work, as well as their ability to provide important
ideas, offer input, and perhaps pursue growth opportunities within the company,
will create a positive atmosphere within the corporate culture.

 Focusing on employee relationship management can have profound effects on

how your business operates. Conducting employee surveys is a useful tool
towards reaching a beneficial level of employee relationship management
because they provide an opportunity for candid feedback and analysis that isn’t
achievable in typical business communication.
 The term "Employee Relationship Management" (acronym ERM), translate as
"management of the relationship with the employees" refers to the use of
technologies in the management of human resources. This concept is based on
client relationship management, with the employee at its center.
 This involves implementing a dedicated information system for the management
of human resources (generally referred to as HRIS), which makes it possible to

14
 cover all problems that are related with the relationship between a company and
its employees, in particular:

 Training, i.e. the preparation of an overall training plan of the company which
makes it possible to handle a catalog of compulsory or optional internships,
requests by employees, and tracking of training actions;
 Pay, to prepare a statement of payments and mailing of salary bulletins;
 Recruiting, in particular follow-up on recruiting interviews and new recruits;
 Competence and career management, consisting in the implementation of a
competence reference standard which permits improved management of jobs
within the enterprise and in-house transfers. The goal is to value human assets by
prioritizing the competences, knowledge, and know-how of the employees;
 Time management, i.e. the management and quantification of the activity of the
employees of the company, in particular with a view to compliance with existing
laws (reduction of working hours, payment of overtime, accounting of vacation,
work breaks and absences);
 Internal communication, which permits sensitization and transversal
information, which makes it possible to break the isolation of the different
sectors of the enterprise.

Human Resource vendors as well as Customer Relationship Management Vendors are

trying to offer solutions for Employee Relationship Management. Employee
Relationship Management is a science as old as business itself. One of the first
technologies to improve employee relationship was the telephone and later the fax. So
what is Employee relationship management all about?

15
Defining employee relationship management is more difficult than defining something
like Customer Relationship management. The nature of the relationship between a
company and employee is far more complex than the relationship with customers.
Customers simply go off to competitors when the relationship is not working while
unhappy employees can remain for long periods in the company. Customers only
experiences the company at some key points of truth while employees are daily
experiencing a relationship with their employer. The employee experience the
relationship with the employer from the moment the employee enters into a workspace.
Their moments of truth is overshadowed by a total experience over a period of time.

The question is however: "Why do we need Employee Relationship Management?".

Before answering this question we need to reflect on what constitutes a relationship.

We have a relationship between two parties when;

- they feel close to each other,
- they have report with each other,
- they interact well,
- they communicate,
- they are sympathetic to each other
- they are responsive,
- they feel empathy with each other.

A good relationship is a relationship where there is a reciprocal exchange of value

between two parties. Both parties must want to be part of that relationship and contribute
to the relationship to work.

We believe that Employee Relationship Management will improve productivity by

improving:
- Employee morale
- Employee loyalty
- Employee turnaround
- Employee communication
- Employee change readiness

16
The problem with a relationship is that it is much like an iceberg. The visible part of the
relationship is only the tip of the iceberg that is visible above the water level. Most of
the factors that determine the quality of a relationship is beneath the water. All these are
done with the aim of improving productivity rather than interacting with employees.

The question is: Can Technology can help improve employee relationships especially if
such a large part of the relationship is based on hidden element?

Technology has already contributed to improving employee relationships:

- Companies already employ HR systems to ensure that employees get paid out the
correct salaries on time
- HR system allows employees to manage training as well as their leave.
- Advance companies have performance measurement systems that assist with the
monitoring and feedback of performance by linking it to bonus schemes.
- Work flow systems help to manage and coordinate the flow of work to and from
employees.
- Organisational structure diagramming helped to make reporting lines and
responsibilities clear.
- Business information management technologies provides employees with up to date
information.
- Knowledge management technologies help employees to share knowledge of what is
happening in the company.
- Email, company portals and electronic calendars are already tools in use in most
companies.
- Chief Executives have use blogging as a means to directly communicate with
employees.
- Online self training courses helps employees to stay up to date with the latest
developments in the industry

These technologies improved efficiencies rather than relationships. The question is:
"Can these technologies really help to improve employee relationships?" I think they can
if these technologies are integrated and shaped around the needs of each employee.

A company will benefit only from Employee Relationship Management technologies if

there are clear guidelines and rules of how these technologies should be used. A culture

17
that values the employee must pervade the organisation before these technologies can
begin to make a positive contribution. Without a clear management adoption of
employee centered values these technologies can become a destructive force which
spread a negative morale rather than a positive one. Employee relationship management
tools breaks down the dependency on hierarchical command and control systems and
introduces more and more a self organizing culture of employees that are networked to
collaborate on points of need.

Technology can definitely assist but old style interpersonal skills and conflict resolution
techniques are still forming the baseline requirements for effective Employee
Relationship Management.

Maintaining healthy employee relations in an organization is a pre-requisite for

organizational success. Strong employee relations are required for high productivity and
human satisfaction. Employee relations generally deal with avoiding and resolving
issues concerning individuals which might arise out of or influence the work scenario.
Strong employee relation depends upon healthy and safe work environment, cent percent
involvement and commitment of all employees, incentives for employee motivation, and
effective communication system in the organization. Healthy employee relations lead to
more efficient, motivated and productive employees which further lead to increase in
sales level.

Good employee relation signifies that employees should feel positive about their
identity, their job as well as about being a part of such a great organization. Despite the
importance of strong and healthy employee relations, there are circumstances in the life
of every organization when employee and management relations are hampered.
Instances of such circumstances are as follows-

1. When the employees do not behave as per accepted norms of behavior, it is

known as employee indiscipline. Absenteeism, change in employee’s behavior,
slow performance and grievances are all forms of employee indiscipline. Thus,
when the employees fail to meet management expectations in terms of standard
performance and behavior, it is referred to as indiscipline. In such cases, it must
be ensured by the management that steps should be taken so that employee’s
behavior is in conformity with the managerial expectations.

18
 2. Similarly, the employees also expect from the management to provide them a
safe working environment, fair treatment, proper incentives, participation in
decisions, and needs satisfaction. The failure on part of management to meet
these expectations is termed as employee grievance.
3. When the employees fail to meet their own expectations whether in terms of
personal goals, career goals, performance, self-respect, etc it is referred to as
employee stress. Excessive workload, insufficient workload, peer pressure,
excessive/unreasonable use of authority by the management, lack of promotional
opportunities, nature of job, etc all again lead to employee stress.

All the above mentioned organizational factors influencing employees relation must be
carefully tackled. An optimistic approach to strengthen disciplinary culture rooted on
shared norms of employees should be adopted. An effective grievance redressal system
should be there. Stress management strategies should be followed in the organization.

Improving Employee Relations

Employee relations must be strengthened in an organization. To do so, following points

must be taken care of:-

i. Employee has expectation of fair and just treatment by the management. Thus,
management must treat all employees as individuals and must treat them in a fair
manner. Employee favoritism should be avoided.
ii. Do not make the employees’ job monotonous. Keep it interesting. Make it more
challenging. This can be done by assigning employees greater responsibilities or
indulging them in training programmes.
iii. Maintain a continuous interaction with the employees. Keep them updated about
company’s policies, procedures and decisions. Keep the employees well-
informed. Informed employees will make sound decisions and will remain
motivated and productive. Also, they will feel as a member of organizational
family in this manner.
iv. Employees must be rewarded and appreciated for a well-done job or for
achieving/over-meeting their targets. This will boost them and they will work
together as a team.
v. Encourage employee feedback. This feedback will make the employers aware of
the concerns of employees, and their views about “you” as an employer.

19
 vi. Give the employees competitive salary. They should be fairly paid for their
talents, skills and competencies.
vii. Be friendly but not over-friendly with the employees. Build a good rapport with
the employee. The employee should feel comfortable with the
manager/supervisor rather than feeling scared.

The importance of employee relations and organizational communication cannot be

emphasized enough. To maintain a strong relationship the culture must be acknowledged
and looked upon frequently.

There are several different sub organizations or organisms within a company that need to
communicate well in all directions, up, down and horizontally.

There are three hard questions that should be asked when analyzing effective
organizational communication.

1. Is management able to communicate effectively with employees?

2. Is communication trusted and does it relay appropriate information to employees?

3. Has management communicated its commitment to its employees and to fostering a

rewarding work environment?

There is one thing that can be trusted in all fields of communication and that is that it is
messy. An organization need to function like the body that has many different organisms
that work together to build on whole unit. If communication is cut off in any way the

20
whole body will have a problem, therefore the emphasis on free-flowing
communication.

The five principles to a smooth and cohesive organization are, 1. Respect-without

mutual respect and value for both parties there may be a resistance that hinders a good
working relationship.2. Honest Feedback-Candid feedback helps employees understand
what is going on and therefore has the opportunity to correct and improve. 3.
recognition Employees need to feel like they are a part of the organization, their opinion
and effort should be recognized to make it a team.4. voice Everyone needs to have a say
in what is going on, this does not diminish the managerial authority but merely lets
everyone have an opinion. 5. Encouragment-Money and benefits may serve as an
incentive for employees to take part and work harder but workers need to be
acknowledged to know their value and status.

All of these components are essential to a greater working relationship within an

organization to improve results and maintain harmony.

The most important and often most expensive resource a company has is its “human”
resource. Because of its cost and importance it makes sense to ensure that this resource
is operating as productively as possible. Sometimes this may mean dealing with conflict
issues in the workplace and at other times it may mean finding proactive ways to keep
employees happy and productive.

Employee Relations often includes:

 Employee issues
 Management coaching
 Discipline
 Harassment

21
Strategic HR inc. can assist with Employee Relations by:

 Coaching managers and employees on how to handle employee relations issues

to avoid escalation and legal impacts on the organization
 Advising on how to handle and document corrective action plans and
disciplinary actions
 Investigating, obtaining statements, and making recommendations for further
action
 Identifying retention solutions to help improve turnover and employee morale
 Developing training solutions to help build a collaborative workforce
 Community Relations Programs
 Recreational/Social Events
 Employee Recognition Programs
 Suggestion Programs
 Absenteeism
 Termination
 Retention strategies

Industrial relations is a multidisciplinary field that studies the employment

relationship. Industrial relations is increasingly being called employment relations
because of the importance of non-industrial employment relationships. Many outsiders
also equate industrial relations to labour relations and believe that industrial relations
only studies unionized employment situations, but this is an oversimplification.

Overview

Industrial relations has three faces: science building, problem solving, and ethical In the
science building face, industrial relations is part of the social sciences, and it seeks to
understand the employment relationship and its institutions through high-quality,
rigorous research. In this vein, industrial relations scholarship intersects with scholarship
in labor economics, industrial sociology, labor and social history, human resource
management, political science, law, and other areas. In the problem solving face,
industrial relations seeks to design policies and institutions to help the employment
relationship work better. In the ethical face, industrial relations contains strong
normative principles about workers and the employment relationship, especially the
rejection of treating labor as a commodity in favor of seeing workers as human beings in

22
democratic communities entitled to human rights."The term human relations refers to the
whole field of relationship that exists because of the necessary collaboration of men and
women in the employment process of modern industry."It is that part of management
which is concerned with the management of enterprise -whether machine
operator,skilled worker or manager.It deals with either the relationship between the state
and employers and workers organisation or the relation between the occupational
organisation themselves.

Industrial relations scholarship assumes that labor markets are not perfectly competitive
and thus, in contrast to mainstream economic theory, employers typically have greater
bargaining power than employees. Industrial relations scholarship also assumes that
there are at least some inherent conflicts of interest between employers and employees
(for example, higher wages versus higher profits) and thus, in contrast to scholarship in
human resource management and organizational behavior, conflict is seen as a natural
part of the employment relationship. Industrial relations scholars therefore frequently
study the diverse institutional arrangements that characterize and shape the employment
relationship—from norms and power structures on the shop floor, to employee voice
mechanisms in the workplace, to collective bargaining arrangements at a company,
regional, or national level, to various levels of public policy and labor law regimes, to
"varieties of capitalism" (such as corporatism), social democracy, and neoliberalism).

When labor markets are seen as imperfect, and when the employment relationship
includes conflicts of interest, then one cannot rely on markets or managers to always
serve workers’ interests, and in extreme cases to prevent worker exploitation. Industrial
relations scholars and practitioners therefore support institutional interventions to
improve the workings of the employment relationship and to protect workers’ rights. The
nature of these institutional interventions, however, differ between two camps within
industrial relations.The pluralist camp sees the employment relationship as a mixture of
shared interests and conflicts of interests that are largely limited to the employment
relationship. In the workplace, pluralists therefore champion grievance procedures,
employee voice mechanisms such as works councils and labor unions, collective
bargaining, and labor-management partnerships. In the policy arena, pluralists advocate
for minimum wage laws, occupational health and safety standards, international labor
standards, and other employment and labor laws and public policies. These institutional
interventions are all seen as methods for balancing the employment relationship to
generate not only economic efficiency, but also employee equity and voice. In contrast,
23
the Marxist-inspired critical camp sees employer-employee conflicts of interest as
sharply antagonistic and deeply embedded in the socio-political-economic system. From
this perspective, the pursuit of a balanced employment relationship gives too much
weight to employers’ interests, and instead deep-seated structural reforms are needed to
change the sharply antagonistic employment relationship that is inherent within
capitalism. Militant trade unions are thus frequently supported.

History

Industrial relations has its roots in the industrial revolution which created the modern
employment relationship by spawning free labor markets and large-scale industrial
organizations with thousands of wage workers. As society wrestled with these massive
economic and social changes, labor problems arose. Low wages, long working hours,
monotonous and dangerous work, and abusive supervisory practices led to high
employee turnover, violent strikes, and the threat of social instability. Intellectually,
industrial relations was formed at the end of the 19th century as a middle ground
between classical economics and Marxism, with Sidney Webb and Beatrice Webb’s
Industrial Democracy (1897) being the key intellectual work. Industrial relations thus
rejected the classical econ.

Institutionally, industrial relations was founded by John R. Commons when he created

the first academic industrial relations program at the University of Wisconsin in 1920.
Early financial support for the field came from John D. Rockefeller, Jr. who supported
progressive labor-management relations in the aftermath of the bloody strike at a
Rockefeller-owned coal mine in Colorado. In Britain, another progressive industrialist,
Montague Burton, endowed chairs in industrial relations at Leeds, Cardiff and
Cambridge in 1930, and the discipline was formalized in the 1950s with the formation of
the Oxford School by Allan Flanders and Hugh Clegg.

Industrial relations was formed with a strong problem-solving orientation that rejected
both the classical economists’ laissez faire solutions to labor problems and the Marxist
solution of class revolution. It is this approach that underlies the New Deal legislation in
the United States, such as the National Labor Relations Act and the Fair Labor Standards
Act.

24
Theoretical perspectives

Industrial relations scholars have described three major theoretical perspectives or

frameworks, that contrast in their understanding and analysis of workplace relations. The
three views are generally known as unitarism, pluralist and radical. Each offers a
particular perception of workplace relations and will therefore interpret such events as
workplace conflict, the role of unions and job regulation differently. The radical
perspective is sometimes referred to as the "conflict model", although this is somewhat
ambiguous, as pluralism also tends to see conflict as inherent in workplaces. Radical
theories are strongly identified with Marxist theories, although they are not limited to
kosala

Unitary perspective

In unitarism, the organization is perceived as an integrated and harmonious whole with

the ideal of "one happy family", where management and other members of the staff all
share a common purpose, emphasizing mutual cooperation. Furthermore, unitarism has a
paternalistic approach where it demands loyalty of all employees, being predominantly
managerial in its emphasis and application.

Consequently, trade unions are deemed as unnecessary since the loyalty between
employees and organizations are considered mutually exclusive, where there can't be
two sides of industry. Conflict is perceived as disruptive and the pathological result of
agitators, interpersonal friction and communication breakdown.

Pluralist perspective

In pluralism the organization is perceived as being made up of powerful and divergent

sub-groups, each with its own legitimate loyalties and with their own set of objectives
and leaders. In particular, the two predominant sub-groups in the pluralistic perspective
are the management and trade unions.

Consequently, the role of management would lean less towards enforcing and
controlling and more toward persuasion and co-ordination. Trade unions are deemed as
legitimate representatives of employees, conflict is dealt by collective bargaining and is
viewed not necessarily as a bad thing and, if managed, could in fact be channeled
towards evolution and positive change.
25
Marxist/Radical perspective

This view of industrial relations looks at the nature of the capitalist society, where there
is a fundamental division of interest between capital and labour, and sees workplace
relations against this background. This perspective sees inequalities of power and
economic wealth as having their roots in the nature of the capitalist economic system.
Conflict is therefore seen as inevitable and trade unions are a natural response of
workers to their exploitation by capital. Whilst there may be periods of acquiescence, the
Marxist view would be that institutions of joint regulation would enhance rather than
limit management's position as they presume the continuation of capitalism rather than
challenge it.

Industrial Relations Today

By many accounts, industrial relations today is in crisis. In academia, its traditional
positions are threatened on one side by the dominance of mainstream economics and
organizational behavior, and on the other by postmodernism. In policy-making circles,
the industrial relations emphasis on institutional intervention is trumped by a neoliberal
emphasis on the laissez faire promotion of free markets. In practice, labor unions are
declining and fewer companies have industrial relations functions. The number of
academic programs in industrial relations is therefore shrinking, and scholars are leaving
the field for other areas, especially human resource management and organizational
behavior. The importance of work, however, is stronger than ever, and the lessons of
industrial relations remain vital. The challenge for industrial relations is to re-establish
these connections with the broader academic, policy, and business worlds

26
 CHAPTER-3
INDUSTRY PROFILE
COMPANY PROFILE

27
INDUSTRY PROFILE

HISTORY OF INDIAN FOODS INDUSTRY

Retailing is one of the pillars of the economy in India and accounts for 35% of GDP.

The retail industry is divided into organised and unorganised sectors. Over 12 million
outlets operate in the country and only 4% of them being larger than 500 sq ft (46 m2) in
size. Organised retailing refers to trading activities undertaken by licensed retailers, that
is, those who are registered for sales tax, income tax, etc. These include the corporate-
backed hypermarkets and retail chains, and also the privately owned large retail
businesses. Unorganised retailing, on the other hand, refers to the traditional formats of
low-cost retailing, for example, the local kirana shops, owner manned general stores,
paan/beedi shops, convenience stores, hand cart and pavement vendors, etc.

Most Indian shopping takes place in open markets and millions of independent grocery
shops called kirana. Organized retail such supermarkets accounts for just 4% of the
market as of 2008. Regulations prevent most foreign investment in retailing. Moreover,
over thirty regulations such as "signboard licences" and "anti-hoarding measures" may
have to be complied before a store can open doors. There are taxes for moving goods to
states, from states, and even within states.

Growth

An increasing number of people in India are turning to the services sector for
employment due to the relative low compensation offered by the traditional agriculture
and manufacturing sectors. The organized retail market is growing at 35 percent
annually while growth of unorganized retail sector is pegged at 6 percent.

The Retail Business in India is currently at the point of inflection. Rapid change with
investments to the tune of US $ 25 billion is being planned by several Indian and
multinational companies in the next 5 years. It is a huge industry in terms of size and
according to management consulting firm Technopak Advisors Pvt. Ltd., it is valued at
about US $ 350 billion. Organised retail is expected to garner about 16-18 percent of the
total retail market (US $ 65-75 billion) in the next 5 years.

28
India has topped the A.T. Kearney’s annual Global Retail Development Index (GRDI)
for the third consecutive year, maintaining its position as the most attractive market for
retail investment. The Indian economy has registered a growth of 8% for 2007. The
predictions for 2008 is 7.9%. The enormous growth of the retail industry has created a
huge demand for real estate. Property developers are creating retail real estate at an
aggressive pace and by 2010, 300 malls are estimated to be operational in the country.

With over 1,000 hypermarkets and 3,000 supermarkets projected to come up by 2011,
India will need additional retail space of 700,000,000 sq ft (65,000,000 m2) as compared
to today. Current projections on construction point to a supply of just 200,000,000 sq ft
(19,000,000 m2), leaving a gap of 500,000,000 sq ft (46,000,000 m2) that needs to be
filled, at a cost of US$15–18 billion.

According to the Icrier report, the retail business in India is estimated to grow at 13%
from $322 billion in 2006-07 to $590 billion in 2011-12. The unorganized retail sector is
expected to grow at about 10% per annum with sales expected to rise from $ 309 billion
in 2006-07 to $ 496 billion in 2011-12.

The Indian Retail Market

Indian market has high complexities in terms of a wide geographic spread and distinct
consumer preferences varying by each region necessitating a need for localization even
within the geographic zones. India has highest number of outlets per person (7 per
thousand) Indian retail space per capita at 2 sq ft (0.19 m2)/ person is lowest in the world
Indian retail density of 6 percent is highest in the world. 1.8 million households in India
have an annual income of over 45 lakh

Delving further into consumer buying habits, purchase decisions can be separated into
two categories: status-oriented and indulgence-oriented. CTVs/LCDs, refrigerators,
washing machines, dishwashers, microwave ovens and DVD players fall in the status
category. Indulgence-oriented products include plasma TVs, state-of-the-art home
theatre systems, iPods, high-end digital cameras, camcorders, and gaming consoles.
Consumers in the status category buy because they need to maintain a position in their
social group. Indulgence-oriented buying happens with those who want to enjoy life
better with products that meet their requirements. When it comes to the festival shopping
season, it is primarily the status-oriented segment that contributes largely to the retailer’s
cash register.
29
While India presents a large market opportunity given the number and increasing
purchasing power of consumers, there are significant challenges as well given that over
90% of trade is conducted through independent local stores. Challenges include:
Geographically dispersed population, small ticket sizes, complex distribution network,
little use of IT systems, limitations of mass media and existence of counterfeit goods.

Major Indian Retailers

Indian apparel retailers are increasing their brand presence overseas, particularly in
developed markets. While most have identified a gap in countries in West Asia and
Africa, some majors are also looking at the US and Europe. Arvind Brands, Madura
Garments, Spykar Lifestyle and Royal Classic Polo are busy chalking out foreign
expansion plans through the distribution route and standalone stores as well. Another
denim wear brand, Spykar, which is now moving towards becoming a casualwear
lifestyle brand, has launched its store in Melbourne recently. It plans to open three stores
in London by 2008-end.

The low-intensity entry of the diversified Mahindra Group into retail is unique because
it plans to focus on lifestyle products. The Mahindra Group is the fourth large Indian
business group to enter the business of retail after Reliance Industries Ltd, the Aditya
Birla Group, and Bharti Enterprises Ltd. The other three groups are focusing either on
perishables and groceries, or a range of products, or both.

 Vivek Limited Retail Formats: Viveks, Jainsons, Viveks Service Centre, Viveks
Safe Deposit Lockers
 PGC Retail -T-Mart IndiaSwitcher , Respect India , Grand India Bazaar ,etc.,
 REI AGRO LTD Retail-Formats:6TEN Hyper & 6TEN Super
 RPG Retail-Formats: Music World, Books & Beyond, Spencer’s Hyper,
Spencer’s Super, Daily & Fresh
 Pantaloon Retail-Formats: Big Bazaar, Food Bazaar, Pantaloons, Central,
Fashion Station, Brand Factory, Depot, aLL, E-Zone etc.
 The Tata Group-Formats: Westside, Star India Bazaar, Steeljunction, Landmark,
Titan Industries with World of Titans showrooms, Tanishq outlets, Chroma.
 K Raheja Corp Group-Formats: Shoppers Stop, Crossword, Hyper City, Inorbit
 Lifestyle International-Lifestyle, Home Centre, Max, Fun City and International
Franchise brand stores.

30
 Pyramid Retail-Formats: Pyramid Megastore, TruMart
 Nilgiri’s-Formats: Nilgiris’ supermarket chain
 Subhiksha-Formats: Subhiksha supermarket pharmacy and telecom discount
chain.
 Trinethra- Formats: Fabmall supermarket chain and Fabcity hypermarket chain
 Vishal Retail Group-Formats: Vishal Mega Mart
 BPCL-Formats: In & Out
 Reliance Retail-Formats: Reliance Fresh
 Reliance ADAG Retail-Format: Reliance World
 German Metro Cash & Carry
 Shoprite Holdings-Formats: Shoprite Hyper
 Paritala stores bazar: honey shine stores
 Aditya Birla Group - more Outlets
 Kapas- Cotton garment outlets

31
 COMPANY PROFILE

Heritage at a Glance:

The Heritage Group, founded in 1992 by Sri Nara Chandra Babu Naidu,
is one of the fastest growing Private Sector Enterprises in India, with three-business
divisions viz., Dairy, Retail and Agri under its flagship Company Heritage Foods (India)
Limited (HFIL), one infrastructure subsidiary - Heritage Infra Developers Limited and
other associate Companies viz., Heritage Finlease Limited, Heritage International
Limited and Heritage Agro Merine Private Limited. The annual turnover of Heritage
Foods crossed Rs.347 crores in 2006-07 and is aiming for Rs.700 crores during 2007-08.

Presently Heritage’s milk products have market presence in Andhra

Pradesh, Karnataka, Kerala, Tamil Nadu and Maharastra and its retail stores across
Bangalore, Chennai and Hyderabad. Integrated agri operations are in Chittoor and
Medak Districts and these are backbone to retail operations.

In the year 1994, HFIL went to Public Issue to raise resources, which was
oversubscribed 54 times and its shares are listed under B1 Category on BSE (Stock
Code: 519552) and NSE (Stock Code: HERITGFOOD)

About the founder:

Sri Chandra Babu Naidu is one of the greatest Dynamic, Pragmatic,

Progressive and Visionary Leaders of the 21st Century. With an objective of bringing
prosperity in to the rural families through co-operative efforts, he along with his
relatives, friends and associates promoted Heritage Foods in the year 1992 taking
opportunity from the Industrial Policy, 1991 of the Government of India and he has been
successful in his endeavour.

At present, Heritage has market presence in all the states of South India. More than
three thousand villages and five lakh farmers are being benefited in these states. On the
other side, Heritage is serving more than 6 lakh customers needs, employing more than
700 employees and generating indirectly employment opportunity to more than 5000
people.

32
 Sri Naidu held various coveted and honorable positions including Chief
Minister of Andhra Pradesh, Minister for Finance & Revenue, Minister for Archives &
Cinematography, Member of the A.P. Legislative Assembly, Director of A.P. Small
Industries Development Corporation, and Chairman of Karshaka Parishad.

Sri Naidu has won numerous awards including " Member of the World
Economic Forum's Dream Cabinet" (Time Asia ), "South Asian of the Year " (Time
Asia ), " Business Person of the Year " (Economic Times), and " IT Indian of the
Millennium " ( India Today).

Sri Naidu was chosen as one of 50 leaders at the forefront of change in

the year 2000 by the Business Week magazine for being an unflinching proponent of
technology and for his drive to transform the State of Andhra Pradesh.

Board of Directors
Chairperson D Seetharamaiah
Vice Chairperson & MD N Bhuvaneswari
Non Executive Director V Nagaraja Naidu
Company Secretary Umakanta Barik
Executive Director N Brahmani
Director N Vishnu Raju, Rajesh Thakur Ahuja

Forward looking statements:

“We have grown, and intended to grow, focusing on harnessing our

willingness to experiment and innovate our ability to transform our drive towards
excellence in quality, our people first attitude and our strategic direction.

Mission:

Bringing prosperity into rural families of India through co-operative

efforts and providing customers with hygienic, affordable and convenient supply of "
Fresh and Healthy " food products.

Vision:

To be a progressive billion dollar organization with a pan India foot print

by 2012.To achieve this by delighting customers with "Fresh and Healthy" food
products, those are a benchmark for quality in the industry.

33
 We are committed to enhanced prosperity and the empowerment of the
farming community through our unique "Relationship Farming" Model.

To be a preferred employer by nurturing entrepreneurship, managing

career aspirations and providing innovative avenues for enhanced employee prosperity.

Heritage Slogan:

When you are healthy, we are healthy

When you are happy, we are happy

We live for your "HEALTH & HAPPINESS"

Quality policy of HFIL:

We are committed to achieve customer satisfaction through hygienically

processed and packed Milk and Milk Products. We strive to continually improve the
quality of our products and services through upgradation of technologies and systems.

Heritage's soul has always been imbibed with an unwritten perpetual

commitment to itself, to always produce and provide quality products with continuous
efforts to improve the process and environment.

Adhering to its moral commitment and its continuous drive to achieve

excellence in quality of Milk, Milk products & Systems, Heritage has always been
laying emphasis on not only reviewing & re-defining quality standards, but also in
implementing them successfully. All activities of Processing, Quality control, Purchase,
Stores, Marketing and Training have been documented with detailed quality plans in
each of the departments.

Today Heritage feels that the ISO certificate is not only an epitome of
achieved targets, but also a scale to identify & reckon, what is yet to be achieved on a
continuous basis. Though, it is a beginning, Heritage has initiated the process of
standardizing and adopting similar quality systems at most of its other plants.

34
Commitments:

Milk Producers:

Change in life styles of rural families in terms of:

 Regular high income through co-operative efforts.

 Women participation in income generation .

 Saved from price exploitation by un-organized sector .

 Remunerative prices for milk .

 Increase of milk productivity through input and extension activities

 Shift from risky agriculture to dairy farming

 Heritage

 Financial support for purchase of cattle; insuring cattle

 Establishment of Cattle Health Care Centers

 Supplying high quality Cattle feed

 Organizing "Rythu Sadasu" and Video programmes for educating the farmers in
dairy farming

Customers:

 Timely Supply of Quality & Healthy Products

 Supply high quality milk and milk products at affordable prices

 Focused on Nutritional Foods

 More than 4 lakh happy customers

 High customer satisfaction

35
  24 hours help lines ( <10 complaints a day)

Employees:

 Enhancing the Technical and Managerial skills of Employees through continuous

training and development
 Best appraisal systems to motivate employees

 Incentive, bonus and reward systems to encourage employees

 Heritage forges ahead with a motto "add value to everything you do"

Returns:

Consistent Dividend Payment since Public Issue (January 1995)

Service:

 Highest impotence to investor service; no notice from any regulatory authority

since 2001 in respect of investor service
 Very transparent disclosures

Suppliers:

Doehlar: technical collaboration in Milk drinks, yogurts drinks and fruit

flavoured drinks Alfa-Laval: supplier of high-end machinery and technical support
Focusing on Tetra pack association for products package.

Society:

 Potential Employment Generation

more than 3500 employees are working with heritage

more than 9500 procurement agents got self employment in rural areas

36
 more than 5000 sales agents associated with the company

 Employment for the youth by providing financial and animal husbandry support
for establishing MINI DAIRIES
 Producing highly health conscious products for the society

Qualities of management principles:

1. Customer focus to understand and meet the changing needs and expectations of
customers.
2. People involvement to promote team work and tap the potential of people.

3. Leadership to set constancy of purpose and promote quality culture trough out
the organization.

4. Process approach to assess the efficiency and effectiveness of each process.

5. Systems approach to understand the sequence and interaction of process.

6. Factual approach to decision making to ensure its accuracy.

7. Continual improvement processes for improved business results.

8. Development of suppliers to get right product and services in right time at right
place.

Product/Market wise performance:

The total turnover is Rs 1240 Crores during the financial year 2016-17
against the turnover of 1045.02 Crores in 2015-16. Today Heritage distributes quality
milk & milk products in the states of A.P, Karnataka, Kerala & Tamil nadu.

37
 During the year 2016-17 liquid milk sales was Rs.56329.79 lakhs against
Rs.44525.23 lakhs in the previous year. The sales of miik products including bulk sales
of cream, ghee and butter were recorded Rs 7081.59 lakhs against Rs 6077.21 lakhs.

Milk sales:

23% growth was recorded in AP 3.38 lakhs litres per day(LLPD) in 2016-17
against 1.93 LLPD in 2015-16. 13% growth was recorded in Tamilnadu-1.53 LLPD in
2016-17 against 1.35 LLPD in 2015-16. Over all growth of 6% was recorded- 5.49
LLPD in 2016-17 against 5.16 LLPD. Flavoured milk sales recorded a growth rate of
77% over 2015-06. Butter milk sales have gone up by 45% over 2015-16.

Outlook:

Considering the growth potential in the liquid milk market, the company
has drawn plans to increase its market share in the existing markets and to enter into new
markets there by doubling revenues in dairy business in the next 3 years. To achieve this
object, company is undertaking major expansion in dairy business by inverting over
Rs20 crores during 2016-17 and over Rs10 crores during the current year to strengthen
the milk procurement.

BRANCHES OF HFIL:

HFIL has 3 wings. They are

 DAIRY
 RETAIL

 AGRI BUSINESS

1.DAIRY

It is the major wing among all. The dairy products manufactured by HFIL are

38
Milk, curd, butter, ghee, flavoured milk, paneer, doodhpeda, ice cream.

2. Retail:

In the retail sector HFIL has outlets namely “Fresh@”. In those stores the
products sold are vegetables, milk& milk products, grocery, pulses, fruits etc.

In Hyderabad 19 retail shops are there. In Bangalore& Chennai, 3&4

respectively are there. Totally there are 26 retail shops are there.

Fresh@ is a unique chain of retail stores, designed to meet the needs of

the modern Indian consumer. The store rediscovers the taste of nature every day making
grocery shopping a never before experience.

The unique& distinctive feature of Fresh@ is that it offers the widest

range of fresh fruits and vegetables which are directly hand picked from the farms.
Freshness lies in their merchandise and the customers are always welcomed with fresh
fruits and vegetables no matter what what time they walk in.

3. Agri Business:

In this business HFIL employees will go to farmers and have a deal with
them. Those farmers will sell their goods like vegetables, pulses to HFIL only. And
HFIL will transport the goods to retail outlets.

The agricultural professors will examine which area is suitable to import

vegetables from and also examine the vegetables, pulses and fruits in the lab. And finally
they report to the Head-Agribusiness. Representatives as per the instructions given by
the agri professors will approach the farmers directly and make a deal with them. It is
the process of registering the farmers.

39
40
 CHAPTER-4

DATA ANALYSIS

AND

INTERPRITATION

41
 DATA ANALYSIS AND INTREPRITATION

1. Is the physical working conditions are taken care by superiors?

A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 40
NO 25
SOME TIME 25
CAN’T SAY 10

Analysis
40% agreed with the above proposal
25% disagreed with the above proposal
25% may be may not
10% can’t say
Interpretation:
More Number of Employees is saying that the physical working conditions are
taken care by superiors only.

2. Are you accustomed to work under many supervisors for the same nature of
work?

42
 A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 25
NO 50
SOME TIME 25
CAN’T SAY 0

50
45
40
35
30
25 Series1
20 Series2
15
10
5
0
Yes No Some time Can’t say

Analysis
25% agreed with the above proposal
50% disagreed with the above proposal
25% may be may not
0% can’t say
Interpretation:
A few Number of Employees is saying that they accustomed to work under many
supervisors for the same nature of work.

3. Do you feel to do your duty out of your commitment to job because of the fear of
survival?

A) Yes B) No C) Some times

43
 PARTICULARS RESPONDENTS
YES 30
NO 70
SOME TIME 0

70

60

50

40
Series1
30 Series2

20

10

0
Yes No Some time

Analysis
30% agreed with the above proposal
70% disagreed with the above proposal
Interpretation:
A few Number of Employees is saying that they feel to do your duty out of your
commitment to job because of the fear of survival

4. Do you feel that working atmosphere is friendly in nature at your work place?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

PARTICULARS RESPONDENTS
AGREE 80
DISAGREE 20

44
 AGREE TO SOME EXTENT 0
CAN’T SAY 0

Analysis
80% agreed with the above proposal
20% disagreed with the above proposal
Interpretation:
More number of Number of Employees is saying that there working atmosphere is
friendly in nature at your work place

5. Do you feel that you are having a good rapport with all your peers and
superiors?

A) Very good B) Average C) Below Average D) Low

PARTICULARS RESPONDENTS
VERY GOOD 50
AVERAGE 30
BELOW AVERAGE 20

45
 LOW 0

Analysis
50 % agreed with the above proposal
30% disagreed with the above proposal
20% May or may not
Interpretation:
More number of Number of Employees is saying that feel that you are having a good
rapport with all your peers and superiors

6. Does In your department work is distributed in a fair manner?

A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 60
NO 30
SOME TIME 20
CAN’T SAY 10

46
 Analysis
60 % agreed with the above proposal
30% disagreed with the above proposal
20% May or may not
10% Can’t Say
Interpretation:
More number of Number of Employees is saying that the department work is distributed
in a fair manner

7. Do you feel that your job is secured?

A) Yes B) No C) Doubtful D) can’t say

PARTICULARS RESPONDENTS
YES 75
NO 15
DOUBTFUL 10
CAN’T SAY 0

47
 Analysis
75 % agreed with the above proposal
15% disagreed with the above proposal
10% May or may not
Interpretation:
More number of Number of Employees is saying that their job is secured.

8. Do you feel Discipline helps in individual development?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

PARTICULARS RESPONDENTS
AGREE 75
DISAGREE 15
AGREE TO SOME EXTENT 10
CAN’T SAY 0

48
 Analysis
75 % agreed with the above proposal
15% disagreed with the above proposal
10% May or may not
Interpretation:
More number of Number of Employees is saying that Discipline helps in individual
development

9. “In the present competitive business scenario there is no external motivation (i.e
Discipline point of view) required, one has to be on his own”. Do you agree?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

PARTICULARS RESPONDENTS
AGREE 60
DISAGREE 30
AGREE TO SOME EXTENT 10
CAN’T SAY 0

49
Analysis
60% Are Agreed with the above Proposal
30% Are Disagreed With the above Proposal
10% Are may or may not
Interpretation:
More number of Number of Employees is saying that they do not need external
motivation for them.

10. “Technology and better work environment leads to more productivity” Do you
agree?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

PARTICULARS RESPONDENTS
AGREE 60
DISAGREE 20
AGREE TO SOME EXTENT 15
CAN’T SAY 5

50
 Analysis
60 % agreed with the above proposal
20% disagreed with the above proposal
15% May or may not
05% Can’t Say
Interpretation:
More number of Number of Employees is saying that Technology and better work
environment leads to more productivity

11. Have you been informed about the objectives of your organization?

A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 80
NO 10
SOME TIME 10
CAN’T SAY 0

51
 Analysis
80 % agreed with the above proposal
10% disagreed with the above proposal
10% May or may not
Interpretation:
More number of Number of Employees is saying that they have been informed about the
objectives of your organization

12. Whether you are given any incentives / appreciation / rewards by the company
will you do more at your work?

A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 80
NO 10
SOME TIME 10
CAN’T SAY 0

52
Analysis
80% are agreed with the above proposal
10% are disagreed with the above proposal
10% are agreed with some extent.
Interpretation:
More number of Number of Employees is saying that they are giving incentives /
appreciation / rewards by the company will do more at your work

13. Whether the Discipline is the main motivating factor to you?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

PARTICULARS RESPONDENTS
AGREE 70
DISAGREE 10
AGREE TO SOME EXTENT 20
CAN’T SAY 0

53
Analysis
70% are agreed to the above proposal
10% are disagreed to the above proposal
20% are agreed to some extent
Interpretation:
More number of Number of Employees is saying that the Discipline is the main
motivating factor to Employees.

14. Do you feel that Discipline is more important that financial growth?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

PARTICULARS RESPONDENTS
AGREE 60
DISAGREE 30
AGREE TO SOME EXTENT 10
CAN’T SAY 0

54
Analysis
60% are agree with the above proposal
30% are disagree with the above proposal
10% are agreed to some extent
Interpretation:
More number of Number of Employees is saying that the Discipline is more important
that financial growth

15. Whether your work is scheduled by yourself Discipline?

A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 20
NO 70
SOME TIME 10
CAN’T SAY 0

55
Analysis
20%of employee said “yes” for above proposal
70% of employee said “no” for above proposal
10% are neutral
Interpretation:
More number of Number of Employees is saying that work is scheduled by Employee
Discipline

16. Are you willing to take additional responsibilities?

A) Yes B) No C) Some time D) Can’t say

PARTICULARS RESPONDENTS
YES 60
NO 20
SOME TIME 20
CAN’T SAY 0

56
Analysis
60 % of employee said “yes” for above proposal
20% of employee said “no” for above proposal
20% are neutral
Interpretation:
More number of Number of Employees is saying that they are willing to take additional
responsibilities in the organization

57
Chapter-5

Findings
Suggestions
And
Conclusions

58
5.1. FINDINGS

In the above perspective, the present chapter makes an attempt to draw some
conclusions. It should be confessed here that the investigator is conscious of the
limitations of the study and the conclusion drawn on the basis of the sample from a
single unit cannot be generalized about the entire manufacturing sector.

The study examines the readiness for employee empowerment in six aspects, namely
effective Communication, Value of people, Clarity, Concept about power, Information
and Learning.
A perusal of data pertaining to combination makes us to conclude that the Executives
have agreed to the effective down ward communication flow, which is a prerequisite for
empowerment.
With regard to value of people, the analysis leads to the conclusion that the Executives
give a reasonable value to the Human Resources in the Organization. However, in
respect of concept about power, they are somewhat agreed to share the power.
As far as information sharing with lower rungs is concerned, they are very positive.
One significant conclusion with regards to learning opportunities, which is a basic for
empowerment, is that the executives are favorable and feel that sufficient learning
opportunities should be there for the rank & file.
As far as clarity is concerned, the executives are somewhat agreed i.e., neutral. The
aspect wise percentage analysis leads to the conclusion that the organization is
somewhat ready for employee empowerment because the majority of the Executives in
almost all aspects are concentrated in somewhat ready group

59
5.2. SUGGESTIONS

The conclusions so far drawn from the study tempts to offer the following suggestions
for making the organization ready for empowerment. The conclusions drawn above
convince anybody to identify the following areas to chart out training programs for the
executives to make them completely ready for empowerment

1. A general training program covering the importance of and need for employee
empowerment in the light of global competition is to be designed in brainstorming
session involving internal and external experts.

2. The present study identifies the following areas in which training is to be

undertaken.

 A training program may be undertaken for Executives in general and to Senior

Executives in particular to convince and make them accept the empowerment
concept.

 Executives working in technical areas to be trained effectively in the areas of their

role and interpersonal dependence and relations to make empowerment more
fruitful.

 A training program may be undertaken about "Shared Leadership" which brings

high morale and high productivity and makes the empowerment a success.

3. The subordinate staff who is going to be empowered must be ready to take up this
responsibility. A study is to be conducted among the subordinate staff to find out
their readiness to discharge the new roles under this empowerment program. This
helps in identifying the training areas, to make the subordinate staff completely
ready for undertaking empowerment.

60
5.4. CONCLUSIONS

In the above perspective, the present chapter makes an attempt to draw some
conclusions. It should be confessed here that the investigator is conscious of the
limitations of the study and the conclusion drawn on the basis of the sample from a
single unit cannot be generalized about the entire manufacturing sector.

The study examines the readiness for employee empowerment in six aspects, namely
effective Communication, Value of people, Clarity, Concept about power, Information
and Learning.
A perusal of data pertaining to combination makes us to conclude that the Executives
have agreed to the effective down ward communication flow, which is a prerequisite for
empowerment.
With regard to value of people, the analysis leads to the conclusion that the Executives
give a reasonable value to the Human Resources in the Organization. However, in
respect of concept about power, they are somewhat agreed to share the power.
As far as information sharing with lower rungs is concerned, they are very positive.
One significant conclusion with regards to learning opportunities, which is a basic for
empowerment, is that the executives are favorable and feel that sufficient learning
opportunities should be there for the rank & file.
As far as clarity is concerned, the executives are somewhat agreed i.e., neutral. The
aspect wise percentage analysis leads to the conclusion that the organization is
somewhat ready for employee empowerment because the majority of the Executives in
almost all aspects are concentrated in somewhat ready group

61
BIBLIOGRAPHY

1) P. Subba Rao, Personneland Human Resources Management, Himalaya

Publishing House, 2001.

2) Biswajet Patnayak, Human Resources management, Pentice-Hall Of India-2002.

3) Arun Monappa, Mirza. S. Saiyadain, Personnel Management, Tata Mc Graw-Hill

Publishing Company Ltd, 1998.

4) Annual Reports and Magazines of ultra tech cements.

5) William. B. Werther, Jr. Keith Davis, Human Resources And Personnel,1999

6) Management, Tata Mc Graw –Hill Publishing Company Ltd, 1998.

7) C.R.Kothari, Research Methodology, Vikas Publishing House,2000

8) K. Aswathappa, Human Resource & Personnel Management. The Mc Graw-Hill

companies, 2004.

Websites
www.brint.com/km
www.gartner.com
www.themanagementor.com
www.google.com
www.hr.com
www.heritagefoods.com

62
 QUESTIONNAIRE

1. Is the physical working conditions are taken care by superiors?

A) Yes B) No C) Some time D) Can’t say

2. Are you accustomed work under many supervisors for the same nature of work?

A) Yes B) No C) Some time D) Can’t say

3. Do you feel you do your duty out of your commitment to job or because of the fear of
survival?
A) Yes B) No C) Some

4.Do you feel that working atmosphere is friendly in nature at your work place?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

5. Do you feel that you are having a good report with all your peers and superiors?

A) Very good B) Average C) Average D) Low

6. In your department work is distributed in a fair manner?

A) Yes B) No C) Some time D) Can’t say

7.Do you feel that your job is secured?

A) Yes B) No C) Doubtful D) can’t say

8. Do you feel Discipline helps in individual development?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

63
9. “In the present competitive business scenario there is no external motivation (i.e.
Discipline) required, one has to be on his own”. Do you agree?

A) Agree B) Disagree C) Agree to some extent D) Cant say

10.“Technology and better work environment leads to more productivity” Do you

agree?

A) Agree B) Disagree C) Agree to some extent D) Cant say

11. Have you been informed about the objectives of your organization?

A) Yes B) No C) Some time D) Can’t say

12. Have you been informed about the objectives of your department?

A) Yes B) No C) Some time D) Can’t say

13. Whether you are given any incentives / appreciation / rewards / Discipline by the
company, will you do more at your work?

A) Yes B) No C) Some time D) Can’t say

14. Whether the Discipline is the main motivating factor to you?

A) Agree B) Disagree C) Agree to some extent D) Cant say

15. You feel that Discipline is more important that financial growth?

A) Agree B) Disagree C) Agree to some extent D) Can’t say

16. Are you willing to take additional responsibilities?

A) Yes B) No C) Some time D) Can’t say

64