0

A STUDY ON HRD IN NLC LTD, NEYVELI

Synopsis of the thesis submitted in partial fulfilment of the requirements

for the award of the degree of Doctor of Philosophy in Commerce

By
R. SURESH

Under the guidance of

Dr. S.M. CHOCKALINGAM
Professor of Commerce
Directorate of Distance Education
Annamalai University

DEPARTMENT OF COMMERCE

ANNAMALAI UNIVERSITY
 1

ANNAMALAINAGAR - 608 002.

OCTOBER 2004
 2

INTRODUCTION

The success of any organisation is decided by the team of its

human resource, their calibre and attitude to succeed and perform. The

quality and quantity of human resource are both a cause and

consequence of the economic development of a nation. It would not be an

exaggeration if we call human resources the back -bone of economy. No

longer human resources is just one of the resources in industry and

business. Of all other resources, the human resource is the most

significant self-propulant and the only active factor of production. All

other factors like money, materials and machinery etc., remain inactive

unless there are competent human resource to utilise them for producing

goods and service by way of developing, utilising, commanding and

controlling. In the past human resource was treated as a commodity

exchanged for wages. It was considered as cogs in the machine. It is

hired and fired at will. Large scale unemployment and availability of

human resource in plenty in developing nations made employers devote

less attention to human resource. Today there is a linkage between

human resource and performance of the organisation in terms of

productivity and production. Every organisation will grow and derive

in the present day environment with the help of its Human Resource

Development (HRD).
 3

STATEMENT OF PROBLEM

As we have moved in the twenty first century, the world is

becoming global market place for all the companies. The post

liberalization economic scenario has brought new challenges of corporate

restructuring for the Indian companies. The impact of these changes is

experienced by all sectors of the industries across the century. It is more

evident in public sector like NLC Ltd,. In the changing society human

resource development is a process, which is a must for maintaining a

valuable and knowledgeable work force in order to achieve competitive

advantage. Ogunu (2002) suggested that capital (or) other economic

factors like land, labour and entrepreneur are not much important than

the managerial talents. Line and HRD managers are the key stones is

any progress of the industry. So an organization should train their

managers and enrich them in changing technical skills and knowledge

from time to time to emphasis this idea. Hence the researcher has

selected this area of study.

REVIEW OF LITERATURE

Giannationio and Hurley (2002) have presented a study on

executives insights into HR practices. Over 1100 human resource (HR)

executives responded to a survey concerning their perceptions of the HR

issues their companies are facing, the role of HR in their organizations,

 4

the skills HR employees should possess, and the substantive HR

knowledge that graduates of HR programs should be able to

demonstrate. Results suggest the most important issue facing HR

executives today is managing change. Executives felt that it has been

extremely important for HR professionals to be able to create a

recruitment program in today’s labour market. The result of this research

provides several implications for the design and the delivery of HR

educational programs.

Human resource development climate facilitates the employees in

acquiring capabilities required to perform various functions associated

within their present or future expected roles and developing their

capabilities for organisational development have been suggested by

Sharad Kumar and Sabita Patnaik (2002). The performance of the roles

depends upon the individual perception regarding the effectiveness of

performing the role (role efficacy) and various organisational factors.

Better HRD climate and higher role efficacy leads in developing a

positive attitude towards work which further leads to a better job

satisfaction. The management is interested in understanding the factors,

which affect the functioning of the organisation. Sharad Kumar and

Sabita Patnaik made an attempt to analyse and determine the

relationship between HRD climate, job satisfaction, attitude towards

 5

work and role efficacy of teachers of Jawahar Navodaya Vidyalayas

(JNVs). The questionnaires relating to HRD climate, attitude towards

work, job satisfaction and role efficacy has been administered to them.

The findings indicate that in all cases, the relationship is positive and

some cases, it is high which shows that HRD climate has a definite

impact on job satisfaction, attitude towards work and role efficacy which

in turn gives impetus to the overall functioning of the institution.

Punia (2002) has conducted a survey on Training needs

identification in Indian organisations. The questionnaire contains various

groups of statements as job satisfaction, Organisational climate,

Empowerment, work planning, leadership & Team building,

communicating and effectiveness of existing training programmes. The

objectives of this study are to determine the training need for individuals,

for staff, for supervisors, for executives for group and organisational. As

per the results of the study through the nature of training needs of

employees is almost similar yet the content required and the way of

disseminating may vary as per the cadres of the employees. Moreover the

training needs of staff are more of technical nature and those of

supervisors and executives are behavioural ones.

Panchalan (2003) has aimed to evaluate effectiveness of executive

training programmes of NLC Limited, a public sector undertaking, seven

 6

major factors such as objectives and relevance; Programme contents,

method of presentation, Instructional materials, facilities, Trainer as a

facilitator of learning and transfer of learning, are adopted for evaluating

15 executive training programmes by contacting 15 respondents from

each training programme. Random sampling technique was adopted for

selection of programmes and respondents. The results of the study

showed that the training programmes of the respondents organisation

are effective.

OBJECTIVES OF THE STUDY

HRD practices, HRD climate, HRD competencies and HRD training

effectiveness are the core determinants of HRD. Experts like T.V Rao and

E. Abraham have evolved these four instruments for HRD. These HRD

instruments subjected to an intensive analysis with reference to line

managers and HRD managers of NLC. Therefore these HRD instruments

constitute the central theme of the study. Accordingly the following

objectives are framed.

1) To study the existing HRD -practices in NLC

2) To study the HRD -climate prevailing in NLC

3) To study the HRD competencies of line and HRD - managers in NLC.

4) To study the HRD - training effectiveness in NLC

5) To summarise the findings of the study with suggestions.

 7

HYPOTHESES

The following hypotheses were formulated for the present research:

1. Respondents differ in their opinion about Human Resources

Development Practice on the basis of their demographic variables.

2. Respondents differ in their opinion about Human Resources

Development Climate on the basis of their demographic variables.

3. Respondents do not differ in their opinion about Human Resources

Development Competency on the basis of their demographic

variables.

4. Respondents do not differ in their opinion about human resources

development effectiveness on the basis of their demographic

variables.

5. Line and HRD Managers do not differ in their perception about

overall human resources development on the basis of their

demographic variables.

6. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of gender.

7. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of age.

8. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of marital status.

 8

9. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of educational

qualifications.

10. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of designation.

11. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of income.

12. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of experience.

13. Respondents do not differ in their opinion about the overall HRD

activities in the public sector on the basis of number of training

programs attended.

14. There is a relationship between HRD practice and HRD climate

among the respondents.

15. There is a relationship between HRD practice and HRD competency

among the respondents.

16. There is a relationship between HRD practice and HRD training

effectiveness among the respondents.

17. There is a relationship between HRD climate and HRD competency

among the respondents.

18. There is a relationship between HRD climate and HRD training

effectiveness among the respondents.

 9

19. There is a relationship between HRD competency and HRD training

effectiveness among the respondents.

RATIONALE OF THE STUDY

The quality of the human resource in an organization is considered

the most important factor that determines the success of the

organisation. It is true that an expenditure on education, training and

development of human resource is not primarily consumption but an

investment which increases productivity and productive capacity of

labour when HRD is effective, its consequences produce many special

advantages for the organisation, managers (Line & HRD), and its

employees it is obivious from this statement that for an organization to

perform efficiently, the human resource must be developed as to be able

to perform their tasks effectively.

METHODOLOGY

Sampling

This is an empirical study using primary data collected from a

random sample of 400 line and HRD managers working in a public

sector organisation (NLC Limited) in Tamilnadu.

 10

Measures

HRD Practice, HRD Climate, HRD Competencies and HRD training

effectiveness questionnaires and Personal Data Sheet were used to

collect data from the sample respondents.

Frame work of analysis

Statistical measures such as Mean, SD, SE M, t-tests, Analysis of

Variance, Chi-square test, Inter Correlations, Factor Analysis and

Stepwise Multiple Regressions were used to interpret the obtained data.

DELIMITATION

A random sample of 400 line and HRD managers of one

organization has been studied, using questionnaires, for only four

variables.

LIMITATION

The mangers included into the sample were not so free and frank

in furnishing their information for fear of the management despite

assurance of confidentiality and academic utility of the data.

FINDINGS

In the present study it is found that, among the eight variables,

under the age variable the 50 years and above category managers have

secured highest (mean = 574.5) where as the below 40 years age category
 11

managers have secured the least (mean = 511). The gender, marital

status, designation and training variables have influenced the overall

HRD activities to some extent in the NLC Ltd Neyveli. Where as the

variables such as experience, age, educational qualification and income

have influenced the overall HRD activities to a greater extent in the NLC

Ltd Neyveli.

The common factors among eight variables included in this study.

Principal component factoring method with variance rotation has been

used for factor extraction. A two factors solution has been derived using

a score test. These two factors are described as “HRD factors”. This

model has a strong statistical support and the Kaiser-Maya-Olkin (KMO)

test of sampling adequacy concurs that the sample taken to process the

factor analysis is statistically sufficient (KMO value = 0.97523)

CHAPTER SCHEME

The first chapter deals with the objectives and hypotheses of the

study.

Review of literature is the subject matter of the second chapter.

Research tools, data collection, data processing and selected

aspects of methodology are the contents of third chapter.

The fourth chapter deals with the theoretical background on

human resource development.

 12

Inferential analysis of HRD in NLC is discussed in the fifth chapter.

The sixth chapter covers the quantitative analysis of HRD in NLC.

Summary of findings and the conclusion of the research study are

given in the last chapter.

CONCLUSION

Liberalisation, Privatisation and Globalisation (LPG) is a great

challenge to many of the Indian organisations. We can improve efficient

organisation into excellent organisation only through Human Resource

Development. The excellent organisation can do wonders in the

competitive market. The recent researches have been shown that

widespread layoffs, re-structuring and re-organisations resulting from

competitive pressure leave many employees disillusioned, feeling less job

security, displaying less organisational loyalty and placing less faith in

their employer promises and commitments to them. It is the sole

responsibility of the organisation to build commitment among employees.

The committed employees will develop the climate in their organisation.

The present study shows, HRD- practice is good NLC. It shows positive

correlation with HRD climate, HRD- competencies and HRD- training

effectiveness.