himakshi project

8/9/2019 Himakshi Project

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A PROJECT REPORT

ON

STUDY OF COMPENSATION POLICY

IN

INDO ASIAN FUSE GEAR

(SONEPAT)

Submitted in partial fulfillment of the requirement for the award of

degree of BACHELOR OF BUSINESS ADMINISTRATION

SESSION 2010-2011

Under the guidance of: Submitted By:Mr. ANIL SRIVASTAV HEMAKSHI

Factory HR Manager B.B.A 3rd YEAR

IAFL Sonepat 5634

G.V.M. GIRLS COLLEGE, SONEPAT(Affiliated By M.D. University, Rohtak)


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DECLARATION

I Hemakshi, Roll No. (5634) B.B.A Final Year (5th Semester) ofG.V.M. Girls College

hereby declare that the project entitled COMPENSATION POLICY thisanalysis is an original work and the same has not been submitted to any other

institute for the award of degree.

Signature of the Candidate


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TABLE OF CONTENTS

S.NO. TOPICS

1 Acknowledgement

2 Executive Summary

3 Company Profile

4 Literature Reviews

5 Objectives of Study

6 Research Methodology

7 Introduction of the Study

8 Data Analysis and Interpretation

9 Conclusion

10 Recommendations

11 Limitations

12 Bibliography

13 Questionnaire


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ACKNOWLEDGEMENT

This project bears the impact of many persons and I have immense pleasure in

acknowledging the cooperation extended towards me by all of them during my training.

I am immensely indebted to Mr. Anil Srivastava, (HR Manager) IAFL Sonepat, for

his invaluable guidance, interest, constant encouragement and constructive criticism for

successful completion of this project.

I would be failing in my duty if I do not thank my faculty members for their constant

encouragement and inspiration.

I express my sincere thanks to my parents and siblings for their constant support

throughout my project.

HEMAKSHI

Roll no .5634


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COMPANY

PROFILE


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ABOUT INDO ASIAN

Indo Asian was formed in 1958 by a young group of technocrats indigenously

developed Indias first sheet steel enclosed rewirable switch at Jalandhar in

Punjab. This marked the birth of INDO ASIAN, which today has grown into a

multi product, multi Location Company specializing in manufacturing and

marketing a wide range of high-tech. electrical products used for distribution,

protection, control and conservation of electrical energy. The superior quality of

these products has earned them the respect of the Indian market and the world

over where they are popular under the brand names: Indo Asian industrial plugs &

sockets, stopshock RCCBs, Indo Asian HRC fuse links and Contactors & Relays.

The groups annual turnover, which grew from Rs. 10 million in 1986, to Rs. 900

million last year, is slated to reach Rs. 2500 million by the year 2007. Its modern

manufacturing units at Sonipat, Noida, Parwanoo, and Jalandhar, are being

further augmented. Once achieved, this would be largest production base in India

of the next generation of RCCBs, and Compact Fluorescent lamps and other high

technology, high quality electrical control and safety equipments.

At present the group comprises the following companies:-

1) INDO ASIAN FUSEGEAR LTD., MURTHAL

2) INDO ASIAN FUSEGEAR LTD., NOIDA

3) INDO ASIAN FUSEGEAR LTD., JALANDHAR

4) INDO ASIAN FUSEGEAR LTD., LIGHTING DIVN. HARIDWR.


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The registered office of the group is located in Okhla New Delhi.

Products manufactured by the INDO ASIAN are domestic products,

special application products, industrial products and lighting products:-

DOMESTIC PRODUCTS:-

MCBs RCCBs

DBs
http://www.indoasian.com/ListProduct.php?SubCatID=36http://www.indoasian.com/ListProduct.php?SubCatID=35http://www.indoasian.com/ListProduct.php?SubCatID=34


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SPDs FR PVC Wires

Wiring Accessories

SPECIAL APPLICATION PRODUCTS:-

Time Switches Plug and Socket

INDUS

TRIAL PRODUCTS:-
http://www.indoasian.com/ListProduct.php?SubCatID=37


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MCCBs Fuses

Cubical Switch
http://www.indoasian.com/ListProduct.php?SubCatID=41http://www.indoasian.com/ListProduct.php?SubCatID=44http://www.indoasian.com/ListProduct.php?SubCatID=43http://www.indoasian.com/ListProduct.php?SubCatID=42http://www.indoasian.com/ListProduct.php?SubCatID=41


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RewirableSwitches

Onload changeover Feeder Pillars

LIGHTING PRODUCTS:-
http://www.indoasian.com/ListProduct.php?SubCatID=46http://www.indoasian.com/ListProduct.php?SubCatID=45


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CFLs FTLs

Domestic Luminaries
http://www.indoasian.com/ListProduct.php?SubCatID=49http://www.indoasian.com/ListProduct.php?SubCatID=48http://www.indoasian.com/ListProduct.php?SubCatID=47


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VISION

Our vision enriching quality of life by ensuring safe, efficient and convenient use

of electricity has been our guiding force for development of new and better

products. The culture of innovation and constant change has played a key role in

our success.

COMMITEMENT

Our focus on energy management i.e. designing and building products that not

only protect and control but conserve and comprehensively manage mankinds

greatest asset i.e. electrical energy has enabled us to serve millions of our

customers both in India and abroad with world class products.

Today Indo Asian has emerged as a strong brand name and has proven track

record both in domestic and international markets. Our deep commitment to social

responsibility gives us much satisfaction as the fact that millions of customers in


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every corner of the world respect us, trust us and use our products for protection

of people, property and possessions.

MISSION

BETTER TECHNOLOGY

BETTER QUALITY

BETTER TOMORROW

VALUES OF INDO ASIAN

Quality and care are vital for customer satisfaction.

Empowered people are the most valuable assets for our organization.

Profitable growth is achieved through fostering mutually beneficial relations

with all.

A culture of innovation and constant change is essential for us to successed.


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SOME OF INDO ASIAN MAJOR CUSTOMERS IN INDIA

INCLUDES:-

Railway integral coach factory, Electricity Board, CPWD, PWD, NTPC, Indian

Oil Corporation Limited, Oil and natural gas commission, Reliance Industries

Ltd., Bluestar Ltd, M.R.F Ltd., Ashok Leyland Ltd., Bajaj Auto Ltd., Hindustan

Liver Ltd., Tata Honeywell Ltd.

CROSSING GLOBAL FRONTEIRS

Indo Asian products are well accepted in countries around the world, our regular

overseas market include Russia, Australia, Malaysia, Nepal, Srilanka, U.A.E.,

Iran, Syria, jorden, Angola, and Cyprus. Some of our valued major foreign

customers include public utilities in South Africa.

Bovara Pvt. Ltd. Australia persuasion listriknagra (PNL), Jakarta, Indonesia,

public utilities board Singapore. Ceylon Electricity Board srilanka, Rahad

corporation khartourn, Sudan. Ministry of Electricity and water Dubai, Dubai

Electricity company Dubai. Water and Electricity company Abu Dhabi, ministry

of Electricity and water Doha, ministry of electricity and water Muscat Oman,

Jordanian Electric power supply company Amman..


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GROUPS FOREIGN COLLABORATION

The groups pursuit of excellence is backed by extensive in-house R&D technical

and commercial collaboration with world leaders such as:-

1) HEINRICH KOPP AG, GERMANY

2) DOEPKE & CO. AG, GERMANY

3) MENNEKES ELECTRO TECHNIC. GMBH & CO., GERMANY

4) KLOCKNER MOELLER CMBH, GERMANY

5) TECHNOELECTRIC, SVI OF ITALY

With over 150 highly qualified manages and 550 strong work force of quality conscious

superbly trained personnel, Indo Asian is all set of scales new heights of growth,

excellence and worldwide acceptance.


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QUALITY-CENTERS AROUND THE CUSTOMERS

The name "Indo Asian" is today synonymous with high quality in the field of

electrical distribution and protection equipment in India, Asia as well as other developed

countries.

Quality of our products and processes is, in fact, checked by impartial bodies which is

now a variety of Indo Asian products are ASTA tested and their manufacturing plants

have won ISO 9001 certification from BVQ1, UK. In fact, Indo Asian Fuse gear

Ltd.Was the first Indian manufacturer of electrical safety equipment, to be awared ISO

9001 certification under the upgraded 1994 guidelines.

At Indo Asian, we recognize that Quality holds the greatest insurance to our

Customer. Especially, when one manufacturer's product looks no different from anothers!

Which is why,

in spite of certifications and recognitions , we have put in place Quality

Management Cycle that works right around, from materials procurement to

product application; with everything revolving around the customer's needs,

customer's preferences and his objectives.


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Ultimately, how well our products safeguard human lives and property, is our

primary concern.

REVIEW

OF

EXISTING


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LITERATURE

To research any problem, it is necessary to review the existing literature. Various studies

relating to different aspects of recruitment have been conducted in the past. A brief

review of some of the major studies in recent years is given below.

R.S. Diwivedi (1998)1 concluded that Motivation is a major determinants of

productivity. Motivation refers to inter striving conditions called wishes, desires, drives,

etc. There is three kinds of motives: psychological, socio-psychological and general.

There exists diverse view relating to motivation. Theories of motivation are classified as

contents and process oriented. The content theory tell what motivates people but

indicates people very little about how motivation is expressed. The process theories

interpret the underlying process of motivation and indicates how to motivate people.

Moorhead Griffin (2002)2 explains the equity theory of motivation assumes that

people want to be treated fairly. It hypothesizes that people compare their own input-to-

outcome ratio in the organization to the ratio of a comparison other. If they feel their

treatment has been inequitable, they take steps to reduce the inequity. Expectancy theory

is based on the assumption that people are motivated to work toward a goal if they want it

and think they have a reasonable chance of achieving it.


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Archna Tyagi (2002)3 sys that motivation is the extent to which persistent effort

is directed toward a goal. Intrinsic motivation stems from the direct relation ship between

the worker and the task and is usually self-applied. Extrinsic motivation stems from the

environment surrounding the task and is applied by others.

Fred Luthans (1997)4 explains Motivation is probably more closely associated

with micro prospective of organization behavior than in any other topic. A

comprehensive understanding of motivation includes the need-drive incentive

sequence, or cycle. The basic process involves needs, which set drives in motion to

accomplish incentives. The drives or motives may be classified into primary, general, and

secondary categories. The primary motives are unlearned and psychologically based. The

general motives are also learned but are not psychologically based. Secondary motives

are learned and are most relevant to the study of organization behavior.

Jerald Greenberg Robert A. Baron (2002)5 Defines motivation is concerned

with the set of processes that arouse, direct and maintain behavior toward a goal. It is not

equitant to job performance, but it is not of several determinants in job performance.

Todays work ethic motivates people to seek interesting and challenging jobs instead of

simply money.


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Stephen P. Robbins (2001)6 explains Motivation is a general inspirational

process which gets the members of the team to pull their weight effectively, to give their

loyalty to the group, to carryout properly the tasks that they accepted and generally to

play an effective part in the job tat group has undertaken. Motivation means a process of

stimulating people to action to accomplish desired goals.

Paul Mersey (1997)

7

defines motivation as the driving force within the individual

that peoples him or her towards a behavior or action. Motivation is a psychological

concept that generates with in an individual. It is an inner feeling which energies a person

to work more. Management tries to utilize all the sources of production in a best possible

manner. This can be achieved only when employees cooperate in this task. Efforts should

be made to motivate employees for contributing their maximum.


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INTRODUCTION

TO

THE


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PROJECT


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CONCEPTUALIZATIONCompensation becomes the weak link during uncertainty or downturns. Salary levels

have been taken to unrealistic level. Today the ratio of 1.5:1.0 can be seen between salary

levels for similar positions between IT and non-IT sectors. This has resulted in lowwithstanding capacity of companies. And hence downsizing, which surfaced engineering

industry after a couple of decades, is widespread in the IT industry in less than a decade.

It is time to re-look at this factor. Fixed and variable pay should be clearly defined.Emphasis should be laid on other benefits and social security and welfare schemes for

employee retention rather than only increasing cash component. Companies need to work

towards employability as a retention tool rather than salary.

Benefits could be categorized into salary (fixed and variable), asset building, long termsecurity, medical needs, social / family needs, education / learning of employee and

family, long term association and specific superior performance awards.

Wage bill should be considered as an important element to be monitored in terms of

percentage of revenue and profits, which is for revenue generating employees andrevenue spending employees.

Thus compensation package and welfare schemes are one of the significant tools in

employee retention and motivation.


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OBJECTIVES OF THE STUDYPrimary Objective:

To know the benefits and welfare schemes included in the compensation policyat INDO ASIAN Securities Ltd. and to measure the satisfaction level of the

employees getting these benefits.

Secondary Objectives:

As the project basically deals with human resource so the objective of the study

is to know different dimensions of HRD. These are as follows:

o Understanding the task and responsibilities of the employees in

the HR department.

o Understanding the role played by the benefits and incentives in

retaining the employees.

o To know the functions of HRD.

o How to ask for long term commitments from the employees by

giving them exclusive benefits.


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INTRODUCTION WHAT IS COMPENSATION?

COMPENSATION:

Compensation is the process of providing adequate, equitable and fair

remuneration to the employees. It includes job evaluation, wage and salary

administration, incentives, bonus, fringe benefits, social security measures etc.

JOB EVALUATION:

It is the process of determining relative worth of jobs.

Select suitable job evaluation techniques

Classify jobs into various categories

Determining relative value of jobs in various categories

WAGES AND SALARY ADMINISTRATION:

This is a process of developing and operating a suitable wage and salaryprograms. It covers:

Conducting wage and salary survey

Determining wage and salary rates based on various factors

Administering wage and salary programs

Evaluating its effectiveness

INCENTIVES:

It is the process of formulating, administering and reviewing the schemes of

financial incentives in addition to regular payment of wages and salary. It

includes;

Formulating incentive payment schemes


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Helping functional managers on the operation.

Review them periodically to evaluate effectiveness.

BONUS:

It includes payment of statutory bonus according to the Payment of Bonus

Act, 1965, and its latest amendments.

In India the employees drawing above certain compensation are not covered

under the Bonus Act. However, the employer pays them suitable lump sum

variable amount depending upon their level in the organization which is called

Exgratia. This is not compulsory on the part of the employer but acts as an

incentive to the employee.

FRINGE BENEFITS:

These are the various benefits at the fringe of the wage. Management provides

these benefits to motivate the employees and to meet their lifes contingencies.

These benefits include:

Disablement benefit

Housing facilities

Educational facilities to employees and their children Canteen facilities

Recreational facilities

Conveyance facilities

Credit facilities

Legal clinic

Medical, maternity and welfare facilities

Company stores

SOCIAL SECURITY MEASURES:

Management provides social security to their employees in addition to the

fringe benefits. These measures includes:

Workmens compensation to those workers (or their dependents) whole

involve in accidents


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Maternity benefits to women employees

Sickness benefits and medical benefits

Disablement benefits/allowance

Dependent benefits

Retirement benefits like provident fund, pension, gratuity etc.

BENEFITS

Benefits are part of the compensation

When thinking about a job, considering the salary and the benefits offered by

an employer is important. Many benefits play a critical role in the lives of

employees and their families by assisting in health needs, future financial

security, needed absence from work, and more. Benefits may include programs

like paid time off, medical insurance, dental insurance, disability, life

insurance, retirement benefits, family leave, education and training programs,bonuses, commission and stock options.

How employee benefit programs vary:

Employee benefits are based on full time vs. part time employment. Part

time employees are rarely offered benefits. This trend is changing,

however as more part time employees have access to better benefit

packages through their employees. There may be some differences in

benefits due to the type of job held such as with clerical, administrative

or production worker. The number of employees in a firm plays an important role as to which

benefit programs are offered. Small size companies generally offer fewer

official benefit programs. Large size companies usually offer a wide

range of benefits.

There may be some variation in benefits offered depending upon the

industry an individual is researching.

Below is the list of different types of benefits employers may offer theiremployees:


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Paid time off:-

Employees earn paid time off while they work. Paid time off includes vacation

leave, holidays, sick leave, and in some cases, time off for military leave,

funerals and jury duty.

Health insurance:-

It covers the care that doctors and nurses provide. This may or may not include

dental and optical coverage.

Disability insurance:

When a person is unable to perform their job because of illness or inquiry,

short-term and long-term disability insurance can provide financial support.

Life and accidental death and dismemberment insurance:

Life, accidental death and dismemberment insurance can provide financial

support to yourself and/or your family in cases when unexpected occurs.

Retirement benefits:

Retirement benefits are resources set aside for years later in life, when people

will spend less time in the workforce or have ended their career.

Family benefits:

Law requires firms to provide unpaid time off to their employees for family-

related reasons. This includes maternity leave, paternity leave, and

dependent/elder care.

Education and training:

Some firms offer education and training opportunities for their employees.

Bonuses:

Some employers offer bonuses to employees in order to fill vacant positions in

their business. Some employers give bonus to an employee who recommends

an applicant that they hire. Other bonuses are given by employers to entice an

individual to accept employment or to retain an employee already working at a

business.


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Unique benefits:

Unique benefits can vary depending upon the nature of the work. Examples of

unique benefits are cars, cell phones, laptops, cafeteria plans, product or service

discounts, telecommuting options, job sharing, credit unions, uniforms, child

care, nap rooms and nursing facilities.

The key is: Listen closely. Get in the candidates skin. Why aperson left a job or jobs tells you more about them than almostany other piece of data. Jack Welch


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RESEARCH METHODOLOGY

The data pertaining to the present study of scope of human resource department

was conducted in INDO ASIAN SECURITIES LTD. in the month of June

and July 2007. The main objective of the study was to know the compensation

package and welfare schemes provided .

RESEARCH:

It refers to a search for knowledge.

SAMPLING:

SAMPLE

100 respondents were chosen as sample in order to gather information from

these respondents.

Since the universe is large it was not feasible to conduct census survey within

the limited time period. Moreover there was a secrecy issue and lack of

enthusiasm for on the part of the employees. Therefore simple random

sampling method was used in order to get the necessary information from the

employees of the company. The researcher has to carry out the research as per

the convenience of the people


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DATA COLLECTION METHOD

Data may be defined as the facts presented to the researcher from the studys

environment.

Data collection was done in two ways:

PRIMARY DATA: Primary data was collected through questionnaires that

were filled by the employees of INDO ASIAN LTD.

SECONDARY DATA: Secondary data was collected through companys

manual, journals and websites.


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THE COMPENSATION POLICY

COMPENSATION PACKAGE IN INDO ASIAN

The compensation package comprises three broad groups viz. :

Monthly emoluments

Annual benefits/ reimbursements

Retiral benefits

The applicability, amount and mode of payment is as per the grade.

BASIC SALARY

Basic salary is taken as a base for the calculation of-

HRA or Company Leased Accommodation rent- limit.

Amount of Domiciliary Medical expenses. Leave Travel Assistance.

Bonus

Provident Fund and Pension under Employees pension scheme.

Superannuation

Gratuity amount

HOUSE RENT ALLOWANCE

1. An employee can opt either for HRA or Company leased

accommodation. If he opts for Company leased accommodation, HRA isnot payable.

2. The rent receipt has to be submitted to the concerned finance

department.


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COMPANY LEASED ACCOMMODATION:

1. Employees may opt for HRA or company leased accommodation. In

event of an employee opting for company leased accommodation, HRA

will be withdrawn. Corporate Law Department is responsible for

coordinating all leased matters.

2. Limits have been specified for rent, security deposits and advance. In the

event of the rent exceeding the permissible limits, recovery will be made

from the monthly salary of the employee.

3. The responsibility of identifying accommodation lies with the employee.

Corporate Law/ designated person, at locations other than Faridabad and

Delhi, will assist him by introducing authorized brokers to him.

EDUCATION ALLOWANCE:

1. Managers receive this allowance as per limits specified.

2. For claiming tax exemptions as per rules, requisite proof/receipts have to

be submitted to the concerned finance department.

GAS/ WATER/ ELECTRICITY EXPENSES REIMBURESEMENTS:

1. The entitlement is for DGMs and above and is based on the grade of the

employee.

2. The employee is required to submit bills at the end of the month to the

concerned Finance Department, for claiming reimbursement.

MEDICAL REIMBURSEMENT/ BENEFITS:

1. Medical expenses claims are reimbursed (w.e.f the date of joining), upto

one months basic salary in a financial year, even during the period of

probation. Income Tax will be applicable to reimbursement in excess of

Rs. 15000/- per annum.


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2. Medical expenses can be accumulated upto a block of 3 years and

medical expenses of one block period cannot be carried forward to

another block period.

3. The employee is required to submit bills along with the details, to the

concerned Accounts Department for claiming reimbursement.

LEAVE TRAVEL ASSISTANCE:

1. LTA is applicable for travel to any place in India by the employee and

his/her family as per declaration with the Personnel Department. Family

includes spouse, dependent children/parents/brothers/sisters as per

declaration with the Personnel Department.2. The entitlement per annum (w.e.f. date of joining but on completion of

one year of services inclusive of probation period) is one and a half

months Basic Salary, subject to minimum of Rs.3900/-.

3. Amount of LTA payable will be based on the applicable BASIC

SALARY at the time of claim. While claiming LTA for the first time ,

the prorated LTA due in the financial year in which the employee has

joined can be claimed with the LTA of the financial year in which it is

being availed.

4. Claims are to be submitted, in the prescribed form, to the concernedAccounts Department after verification by the concerned

Personnel/Time Office, that the mandatory leave was actually taken.

Employees are required to avail of earned leave of a minimum of 5 days

for claiming LTA.

5. LTA, can be accumulated upto 2 years entitlement.

6. Journey for availing LTA can be performed by air (economy class) on

the national carrier, by the shortest route. Reimbursement for travel by

any other mode of transport will be restricted to an amount not

exceeding the air conditioned first class rail fare by the shortest route. If

the journey is performed by a mode of public transport to a place notconnected by rail, the tax exemption is the first class or deluxe class fare

for the mode of transport.

SOFT FURNISHING/ HOUSE MAINTENANCE:


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RESIDENTIAL TELEPHONE

1. This facility is need-based for employees and is related to their job/

function. The employee may contact his Administration Department for

details.2. Eligible managers are entitled to reimbursement of their personal

telephone expenses only subject to approval from their Business/

Corporate Head. Companys telephone at the residence is provided to

Chief Managers and above, subject to availability of telephones with the

respective telephone exchanges.

INSURANCE SCHEMES AND DEATH BENEFITS:

Following are the insurance schemes for managerial cadre.

a)Medical insurance hospitalisation scheme:

Coverage:

All managers, their spouse, dependent children and financially dependent

parents are covered under this scheme. Premium foe self, spouse and children ispaid by the company and premium for dependent parents is recovered from the

salary of the employee in case he/ she has opted for coverage of parents also

under the scheme.

CATEGORY BENEFITS

MINOR AILMENTS (Rs. p.a. per

member)

MAJOR AILMENTS(Rs. p.a. per

member)A 1,00,000 3,00,000

B 80,000 2,50,000


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TRAINING AND DEVELOPMENT

Internal Training Programmes:

Regular Training programmes are conducted by the HRD Department to hone

the skills of employees to enable them to perform better in their jobs.

External Training Programmes:

The objective of nominating employees to external training programmes is to

whet specialized skills and knowledge when such skills and knowledge cannot

be imparted through in-house programmes, but are required by the job-holdercurrently or in future.

To maximise the benefit of such exposure, after attending the programmes the employeeis supposed to submit a report to the Division Head, with a copy to Corporate HRD.

Self Study Scheme:

This scheme is aimed at enabling the managerial employees to enhance their

knowledge, competence and skills so as to perform their roles more effectively.

Eligibility:

1. All Managerial Employees who have obtained minimum 50% marks in

Diploma/Graduate/Post Graduate course in Arts, Science, Commerce,

Engineering and Medicine are eligible.

2. An employee should have put in at least 2 years of service with the

Group Companies, and should have at least 5 years of service before

superannuation.

3. All categories of Trainees such as MTs, GETs, System Trainees, In-Plant Trainees, Special Trainees etc., are excluded from this scheme.


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LEAVES

General Rules:

1) There are three types of leaves which are given in a calendar year:

Earned Leave (EL)

Casual Leave (CL)

Sick Leave (SL)

2) More than one type of leave (SL, CL, EL) cannot be combined in

one day.

3) Employees joining during the course of the year, can avail CL and

SL on pro-rata basis. EL accrues only in January of the next year to

the extent of pro-rata calculation of number of Els in the year of

joining.

4) Application/availment of any leave more than due will result in

leave-without-pay.

5) Leave entitlement, extent of accumulation and encashment for

employees is as follows:

o CASUAL LEAVE - 7 working days

o SICK LEAVE 7 calendar days

o EARNED LEAVE 30 calendar days

6. Wherever a holiday/off day falls between two days of leave which is

calculated on calendar days basis, the holiday/off day will also be

counted as leave. This will however not apply to CLs as it is calculated

on the basis of working days.


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7. Sanction of EL at least 15 days before availing it is necessary. CL should

normally be pre- sanctioned.

8. Leaves can be combined in the following manner subject to approval by

the Head of Department.

TYPE OF LEAVE CAN BE PREFIXED WITH CAN BE SUFFIXED WITH

CL SL -------

SL EL EL and CL

EL SL SL

Casual Leave:

1. Casual Leave is intended for urgent work or unforeseen circumstances.

2. Minimum casual leave that can be availed at a stretch at any time is 3

days.

3. CL is credited to the employees leave account at the beginning of the

year.

Sick Leave:

1. Application of sick leave for more than 2 days must be supported by a

medical certificate issued by Registered Doctor.

2. Sick leave is credited to the employees leave account at the beginning

of the year.

Earned Leave:

1. ELs can be availed subject to minimum of 3 days at a time and can be

availed up to a maximum of three times in a year.

2. EL can be taken for less than three days if SL & CL have exhausted.


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3. For any period when an employee is on leave-without-pay, leave is not

earned, and hence proportionate deduction in the number of ELs to be

credited will be made.

4. Minimum of 10 days EL has to be availed by an employee every year,

otherwise the same shall lapse at the end of the year.

5. EL is credited at the beginning of the following year. Once the

accumulated EL is or is in excess of 30 days, the credit for further EL in

a calendar year will be restricted to 20 days (and not for 30 days) in case

the 10 days EL is not actually availed in that calendar year.

6. For encashment of EL, only Basic Salary, Special Allowance is taken

into account. The amount is taxable as per rules.

Study Leave:

1. All confirmed employees below 5o yrs. of age, who have completed 3

yrs. of regular service, are eligible.

2. Leave is granted up to a maximum of 12 months in the entire service of

the employee. It can be divided at the most into two occasions subject to

the maximum limit.

3. Leave is without pay, allowances and benefits. It can however, be

prefixed by EL lying to the credit of the employee.

4. Request for leave should be submitted to Division/ Department Head

along with admission notification and other details of the course to be

pursued.

5. Sanction of leave is discretionary. Leave is allowed only for professional

courses beneficial to the company.

Maternity Leave

1. Eligibility :All women employees who have worked for a minimum of

80 days in the twelve months prior to the delivery.

2. Duration :

12 weeks in case of delivery.

6 weeks in case of miscarriage from the date of

miscarriage.


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Additional 1 month for sickness arising out of pregnancy,

premature delivery or miscarriage, medical termination of

pregnancy.

3. The period pf leave is with full salary and can be combined with EL or

SL due as per the rules of EL/ SL. Additionally, a Maternity MedicalBonus of Rs. 250/- is also payable.

Leave Without Pay

1) Leave-without-pay is the leave applied and granted but not due as per

rules and/ or leave balance of the employee.

2) Miscombination of leaves violating the combination rules will also

result in leave-without-pay.

LOAN SCHEMES

The following loan assistance schemes are operated by INDO ASIAN

Employees Welfare Ltd.

Car Loan:

o Eligibility : Assistant Managers and above with 3 years confirmed

service.

o Interest : 6% p.a. flat.

o Recovery Period : if new car- 5 years, if old car- 3 yrs.

o 2nd loan : if new car- 2yrs after clearing 1st loan., if old

car-

1 yr after clearing 1st loan.

Two Wheeler Loan:

o Eligibility: All categories of employees with 5 yrs confirmed

service.


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Utility Loans:

o Eligibility : All categories of employees with 5 yrs confirmed

service.o Interest : 6% p. a. flat.

o Recovery Period : 3 yrs.

o 2nd loan : waiting period 2 years after clearing 1st loan and

employees services are for more than 10 yrs.

o 3rd loan : waiting period 2 years after clearing 2nd loan and

employee services are for more than 20 yrs.

House Loan:

o Eligibility : minimum 5 yrs. continuous service in the

Company/Group Company

o Object: For construction of house/ purchase of constructed house/

flat

o Amount of loan : Discretion on a case-to-case basis subject to 85%

of the cost

o Interest rate : @ 8.5% on reducing balance

o Repayment terms: a) 12 months moratorium on Interest and

Principal repayment.

b) repayment within 60 to 120 months or

retirement age whichever is earlier.

SCHOLARSHIP SCHEMES

1. The professional/ academic study scholarship schemes are operated by

INDO ASIAN Employee Welfare Ltd..

2. The scheme is applicable to employees upto managerial grade, who have

five years of confirmed service; and their dependent children.


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3. Application from employees/ dependent children muct be submitted

within a month of commencement of the course, in the prescribed form

and carry the approval of the Division/ Department Head.

The scholarship value for different courses at a University or at any other

institution recognised by the Central/ State Government are as follows:

COURSE OF STUDY MONTHLY SCHOLARSHIP VALUE

(Rs/Mnth)

(to be released half yearly)

RESIDENT NON-

RESIDENT

1. Post graduate/ Graduate level course in

Engineering

Modern Medicine (MBBS, BDS,BHMS/DHMS,

BIMS )

Management(MBA), Computer Science/MCA Architecture, Textile/ Industrial Design

Law, MSW, Bachelor/ Masters in Education, Public

Administration, Journalism, Advertising, Industrial/

Public Relations

Hotel Management

700

700

700

400

250

250

250

150


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400

150

2. Diploma Level Course in

Management

Engineering

Nursing, Physiotherapy, Nutrition

300

150

3. Correspondence Course in

CA, CFA, ICWA

Company Secretary

AMIE

General Management from AIMA for 3 years.

Rs. 4800/-

a) Rs. 2400

after passing

intermediateexam.

b) Rs. 2400

after passing

final exam.

Rs. 3000/-

a) Rs. 1500

after passing

intermediateexam.

b) Rs. 1500 on

completion of

course.

Rs. 3000/-

a) Rs. 1500

after passing


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M.B.A. from Open University ( 4 modules).

part A.

B) Rs. 1500

after passing

part B.

Rs. 3000/-

a) Rs. 1000

after passing

first year.

b) Rs. 1000

after passingsecond year.

c) Rs 1000 after

passing thirdyear.

Rs. 7200/-

Rs. 1800 foreach moduleafter passing.

Scholarship Support For Academic Studies By Children Of Employees

1. Through this policy INDO ASIAN aims to recognise the performance

and subsidise the cost of education of children of all regular employees

who have completed a minimum 3 years regular service with INDO

ASIAN Group of companies.

2. Applications must be submitted on the prescribed forms ( available with

Personnel Department) once a year, supported by results of the annual


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school/ college examination and documentary evidence of admission to

next level of selected course of study.

Merit Scholarship

Covers school/ college education specifically from Class XI to University level

and prescribes higher performance standards for the beneficiaries at Board/

Universities Examination. The scholarship amounts are as follows:

SCHOLARSHIP PAYABLE PERCENTAGE AT PREVIOUS SCHOLARSHIP

FOR STUDY IN CLASS(ES) ANNUAL EXAM AMOUNT(Rs p.a.)

1) XI and XII 70% 2050/-

2) Graduation

B.Sc. (Hons/General)

B.A. (Hons/pass)

B.Com. (Hons/pass)

70%

65%

65%

2650/-

2650/-

2650/-

3)Post Graduation

M.Sc.

M.Com./M.A.

70%

65%

2800/-

2800/-

RETIREMENT SCHEMES

1. Employees will retire on attaining the age of 58 years unless otherwise

specifically stated.


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2. The normal date of retirement will be the last day of the Calendar month

during which the employee complete their retirement age (as per clause

1 above).

Provident Fund Scheme:

1. Employees are enrolled as members of the Provident Fund Scheme either with

Regional PF Commissioner or the Companys PROVIDENT FUND TRUST from

their date of joining.

PROVIDENT FUND SALARY = BASIC SALARY + SPECIAL

ALLOWANCE

2. Employees must nominate the person(s) eligible to receive the PF accumulations.

If a member has a family at the time of making a nomination, the nomination shall

be in favour of one or more persons belonging to his family. Any nominationmade in favour of a person not belonging to his family shall be invalid. If at the

time of making the nomination the employees did not have a family, and later on

he acquires a family, the earlier nomination becomes invalid. In absence of anynomination, the person(s) eligible to receive the PF accumulations will be

determined as stipulated in the PF Act/ Scheme

3. The Company and the employee contribute 12% of the employees provident fund

salary as Provident Fund. The employee may contribute a higher percentage butwithout a matching contribution by the Company. The accumulation lying to the

credit of a member are:

EMPLOYEES CONTRIBUTION+COMPANYS

CONTRIBUTION+INTEREST

The interest rate is declared by the PF authorities from time to time.

Presently the rate of interest is 12% on a monthly running balance on

PF accumulations.

4. The employee can withdraw the accumulations lying to his credit on:

o Retirement, both normal and voluntary

o Retirement, due to permanent incapacitation.

o Migration from India for permanent settlement abroad.

o 60 days from the date of cessation of service, provided you do

not take up employment in an establishment covered by PF Act.

o In case of self employment (after 60 days from the date of


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of pensionable service, two years will be added as bonus years in the pensionable

service.

7. Eligible Service is the aggregate of Past Service (i.e. period of service before16.11.95 in which contribution is made towards Family Pension Scheme) and

Actual Service (i.e. of service after 16.11.95).

Benefits Under The Employees Pension Scheme:

1. The benefits available under the scheme are :

a. Monthly self pension payable to employee:

Short service pension: where service is more than 10 years but less

than 20 years at any age.

Retirement pension: where service is more than 20 years and age isless than 58 years.

Superannuation pension: where service is more than 20 years ageis 52 years.

Disablement pension.

b. Monthly widow pension payable to eligible widow.

c. Monthly dependent pension payable to children/ orphans

2. Summary of benefits:

. NEW ENTRANTS EXISTING

MEMBERS

A RETURN OFCONTRIBUTION

Cessation service:

Less than-10days

Age any age

Refund of contribution with interest@ 2% below Employees Provident

Fund Rate. The employee will have

option not to take such refund andremain in the scheme until 58 years of

age, when he/she will be covered for

widow/children/orphans benefitsduring this period of deferment.

Same benefits together withpast service benefit due to

membership of Employees

Family Pension Schemebeing TABLE A multiplied

with TABLE B factor for the

period between 16.11.95 anddate of exit.

B MONTHLY SELF

PENSION

Superannuation/

Retirement/ Short

Service Pension:

1/70x Pensionable salary x

Pensionable service, payable from ageof 58 years.

Same benefit + past service

pension due to membershipof Employees Pension

Scheme being monthly

pension varying between 85to 170 multiplied by TABLE

B factor for period between

16.11.95 and date ofattaining of 58 years of age


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subject to special provision

as given below:

3. Special Provision:

Age as at

16.11.95

Type of pension Minimum

pension

Minimum

pension

including past

service benefitif past service is

24 years

In case past service is less

than 24 years, the pension

payable and past service

benefit taken together shallbe proportionately less,

subject to minimum of


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retired on the date of exit or Rs. 250/- per month or the amount indicated in Table C,

whichever is more.

c.) If a member dies after commencement of payment of monthly members pension, thepension shall be payable to legal widow/widower equal to 50% of the monthly members

pension payable to the member on the date of death subject to a minimum of Rs. 250/-per month.

Childrens Pension

Monthly childrens pension of each child shall be 25% of the amount admissible to thewidow/widower of the deceased member as monthly widow pension subject to minimum

of Rs.115/- per month for each child. Monthly childrens pension shall be payable uptothe age of 25 years of the child and shall be payable to maximum two children at a time

and will run from the eldest to the youngest child in that order.

Orphan Pension

If the deceased is not survived by any widow, but is survived by children failing withinthe definition of family; or if the widow pension is not payable, the children shall be

entitled to a monthly orphan pension equal to 75% of the amount of the monthly widow

pension subject to a minimum monthly orphan pension of Rs.170/- per month for eachorphan. In the event of death or remarriage of the widow/widower after sanctioning

widow/widower pension, the children shall be entitled, in lieu of monthly children

pension, to orphan pension from the date of death/remarriage of widow/widower.

The monthly orphan pension shall be admissible to a maximum of two orphans at a time

and shall run in order from the eldest to the youngest orphan.

Option For Commutation:

A member eligible to pension may, in lieu of pension normally admissible under monthly

members pension, opt to commute upto a maximum of one-third of his/her pension so asto receive hundred times the monthly pension so commuted as commuted value of

pension. Balance pension will be paid on monthly basis as per option for return of capital.


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Option For Return Of Capital:

A member eligible to pension may, in lieu of pension normally admissibleunder monthly members pension subject to commutation of pension, if any,

under option for commutation, opt to draw for reduced pension and avail of

return of capital under any one of the three alternatives given below:

ALTERNATIVES REVISED

PENSIONPAYABLE

AMOUNT PAYABLE AS

RETURN OF CAPITAL

1) Revised pension during lifetime

of member with return of capital onhis/her death.

90% of original

monthly pension.

100 times the original monthly

pension on death of member tothe nominee.

2) Revised pension during the

lifetime of member, further reduced

pension during lifetime of the widowpr her remarriage whichever is

earlier and return of capital on

widows death/remarriage.

90% of original

monthly pension to

the member. Onhis/her death 80% of

the original monthly

pension to the widow.

90 times the original monthly

pension on death or widow

remarriage to the nominee.

3)Pension for a fixed period of 20years not withstanding whether the

member lives for that period or not.

87.5% of the originalmonthly pension for a

fixed period of 20

years.

100 times the original monthlypension at the end of 20 years

from the date of

commencement of pension tothe member if he/she is alive,

otherwise to his/her nominee.

The Employees Pension Scheme is operated by the Regional Provident FundCommissioner for all members including those covered by the Companys Provident

Fund Trust.

GROUP INSURANCE SCHEME AND DEATH BENEFIT SCHEME


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1) The Employees Deposit Linked Insurance Scheme is part of the Provident

Fund Act. The company has obtained exemption from the statutory

scheme and in lieu of EDLI has instituted the Group Insurance Scheme.

2) This scheme is applicable to all employees covered under the Provident

Fund Scheme.

3) Employees are eligible for benefits under the Group Insurance Scheme

from their date of joining Provident Fund.

4) In case of death of an employee while in service, Rs. 37,000/- is paid to

the nominee(s)/dependents as specified by the nominations made for the

purpose of receiving Provident Fund accumulations.

5) In addition, the company has taken another policy under Death Benefit

Scheme, from which the following amounts are also paid to the nominee

In case of death of an employee while in service.

GRATUITY

The gratuity scheme is operated by the Companys Group Gratuity Fund Trust.

1) Gratuity is payable to all employees who have been in the continuous

Service of the company for a minimum period of 5 years. However, in case of death orincapacitation during the service, no minimum qualifying period is required. The period

of continuous service includes any period of service interrupted by sickness, accident,

leave, layoff, strike, lockout or cessation of work not due to nay fault of the employee.

Period of apprenticeship training is not included.

2) Gratuity is payable on separation from the company on account of:

Retirement normal or voluntary.

Resignation.

Incapacitation during the service rendering the employee incapable of continuingin service.

Death during the service.


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Retrenchment

Termination/dismissal

3) a. The amount of gratuity payable is

(Basic salary+ Special Allowance) x 15x number of years of service

26

b. In case of death of an employee the amount of Gratuity paid to the

nominees are as follows:

LENGTH OF ELIGIBLE SERVICE IN

YEARS

AMOUNT OF GRATUITY

Not more than 5 5 months Basic salary and SpecialAllowance

More than 5 but less than 10 10 months Basic salary and Special

Allowance

More than 10 but less than 20 15 months Basic salary and SpecialAllowance

More than 20 1.5 times gratuity as calculated in 3a. above

4) Employee must nominate the person(s) eligible to receive Gratuity. Gratuity is payable

to the employee or his/her nominee(s). Nominees shall be deemed to consist of the

following in the order specified:

Spouse

Children- married/ unmarried

Dependent parents

The widow and children of predeceased son

5) Gratuity can be forfeited if:

Service is terminated for any act of willful omission or negligence causing

damage or loss to or destruction of property belonging to the Company to theextent of the loss.


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Partially or wholly if service is terminated on account of riotous or disorderly

conduct or any other act of violence.

Partially or wholly if service is terminated for an offense involving moralturpitude in the course of employment.

6) As per Income Tax Act, 1961; Gratuity upto a limit of Rs. 250000 is exempted fromIncome Tax, subject to other conditions specified in the Act.

SUPERANNUATION SCHEME

The Superannuation Scheme is operated by the Companys Senior and Supervisory StaffSuperannuation Trust. The Trust buys annuities from LIC for payment of pension at the

time of commencement of payment of pension.

Applicability:

The scheme is applicable on certain terms and conditions to the employees belonging tothe cadre of JM and above. The salient features of the scheme are:

All employees on confirmation are enrolled as members.

The company contributes to the Trust as per rules to secure banafits provided in

the rules.

The eligibility criteria for receipt of pension, is as follows:

a) If retired on normal retirement date: Every member

b) If retired before normal retirement date

i) For members enrolled under the scheme on or before

30.11.80 : years of continuous membership of the scheme

ii) For members enrolled under the scheme on 01.12.80:

40 years of age and 12 years of continued service.

c) On death/ permanent incapacitation of the member:

every member

The quantum of pension is based on:

a. Pensionable salaryb. Pensionable service

c. Pension factor

Benefits


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a) Member pension ( payable for 15 years certain & life thereafter) :

Applicable if a retires on normal retirement date, and is calculated as

under

NORMAL RETIREMENT PENSION = PENSIONABLE SALARY XPENSIONALBLE SERVICE X PENSION FACTOR

Minimum Pension: Minimum pension is applicable only to the memberswho are admitted to the Scheme on or before 30.11.80

b) If a member takes premature retirement and fulfills the eligibility criteriafor receipt of pension ( payable for 15 years certain & life thereafter):

The pension shall be calculated as a) above and shall be payable either on:

(i) On normal retirement date: Full pension as calculated in a) above

(ii) From the date of premature retirement: Pension as calculated in 5a) above

reduced by the discounting factor.

c) On death/ permanent incapacitation of member while in service (payable for 15

years certain & life thereafter):

Amount of pension in such cases shall be calculated as:

Last drawn Basic Salary X Pensionable Service + 50% of remaining service upto the date

of normal retirement X Pension Factor

The options available for receipt of pension are as follows:

Pension payable assured for fifteen years certain and life thereafter.

Commute one third of the value of the annuity and receive two third of the normal

pension for 15 years certain and life thereafter.

Reduced pension payable for life with return of capital (plus any terminal bonus if

declared by LIC) to the nominee. This option can be exercised with or without

commutation of annuity.


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DATA

ANALYSIS

AND

INTERPRETATION


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DATA ANALYSIS AND INTERPRETATIONSWOTANALYSIS is a tool for auditing an organization and its environment.

STRENGTHS

Effective communication between the top level and the lower level management

in INDO ASIAN.

Good public image of the company that has helped the company to get hold of themarket.

Experienced and dedicated workforce strives towards achieving the common

organizational goal.

Ability of the employees to work overtime as and when required. Hiring trainers from within the company, this has proved to be cost effective

strategy on the part of top-level management.

Multi skilled workers at the lower level in order to carry out manufacturing

process effectively.

High satisfaction level of the employees enabling them to contribute their

maximum towards the organization.

WEAKNESSES

Lack of internal motivation among the workers in the organization.

No cash money given to the lower level management for their extraordinarycontribution towards the company.

Unable to retain the employees due to lack of new welfare schemes.

There is lack of promotional activities as far as the financial services of the

company are concerned.

Inability of the company to access new markets so as to earn profits.

There is lack of coordination between various departments which sometimes

causes hindrance in the smooth sailing of the functions of the organization.

Lack of enthusiasm among the employees to undergo training and developmentprogrammes apart from their job, which is an obstacle in their overall

development.

Lock of discipline regarding punctuality at the workplace.

OPPORTUNITIES

Growth of insurance market brings ample opportunities for INDO ASIAN

financial services to grow as an individual business.


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Due to the globalization the new markets have emerged and there is an

opportunity for the company to tap these markets.

To hire trainers from outside the company who train the employees withoutcharging anything. This will help the organization to reduce the total amount

spent on welfare of the employee.

To venture in diversified business such as from manufacturing agri machinery toproviding financial services will help the company to attain good reputation in the

market.

The concept of outsourcing provides ample opportunity to the company to explorenew markets and reach inaccessible markets.

THREATS

Emerging competitors is a great threat for the company in order to maintain its

market share along with its sales. Availability of cheaper technologies poses a big threat for the organization.

Changing political environment of the company poses a great threat on the

financial resources of the company.

Growth of urbanization has lead to decline in the selling of its major product

which is a serious matter for INDO ASIAN. Therefore to continue its sales it has

to take some extra measures

PESTE ANALYSIS

It is the technique of analysis in which a thing is analysed on the basis of five aspects

namely political, economical, social, technological and educational.

Political Analysis:

It refers to the level of politics and biasness which affect an organizational environment,specially the human resource department.

In INDO ASIAN Ltd. no biasness was seen as the system is completely transparent. Also

there was a change in salary structure due to new minimum salary standards set by the

government.

Economical Analysis:

In INDO ASIAN Ltd. 8% 9% of the total turnover is given to the HR department out ofwhich 2.3% in spent on benefit and welfare schemes. Similarly each department is

provided with a share to carry out its function smoothly.


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It has adopted many cost effective strategies in order to reduce the overall running cost of

the company.

Social Analysis

It aims at improving the standards of living of the employees by providing them extrabenefits apart from the salary. Also society is benefited from its cheap and good qualityproducts.

It also caters to the medical needs of the society as it has its own hospitals that are INDO

ASIAN Heart Institute and Research Center and INDO ASIAN Hospital and research

center.

Technological Analysis

Modern and updated technology is used in order to compete with other brands available

in the market.

Moreover the facility of internet and intranet is available for the coordination among the

departments for the smooth functioning of business.

Market watch, real time market movements software attached to various stock

exchanges.

.

Educational Analysis

Regular training and development sessions are carried out so as to enhance the

knowledge and skills of the employees and workers respectively. It has resulted ineffective and efficient production. Training is basically carried out in three ways.

Internal Training Programmes:

External Training Programmes:

Self Study Scheme:


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QUESTIONNAIRE ANALYSIS

Reasons for joining VISCO Group

Interpretation:

The above data shows that the reason for joining INDO ASIAN was the compensation

package and welfare schemes for majority of the employees. It throws light on the fact

that people give maximum weightage to the benefits given to the employees while

selecting the job for themselves.

Awareness regarding welfare schemes


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Interpretation

100% of the employees were aware of the welfare schemes which show that there is a

smooth communication between the different levels of management. It also conveys to us

at every individual is considered important no matter to which level he belongs to as hes

given complete information about the company.

Importance of the compensation package and welfare schemes

Interpretation:

Most of the employees at managerial level are of the view that benefits play a significant

role in retaining the employees and the workers. One of their primary reasons for joining

INDO ASIAN was the benefits included in Compensation Package and Welfare

Schemes. This is also a major reason for employee turnover.

Analysis of satisfaction level of the employees


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Interpretation:

The above data depicts that the satisfaction of the employees results in high level of

efficiency benefiting both the company and the employees. It also highlights the missionof the business which is to serve both its customers and its employees in an equal

manner.

Where the company stands on the scale of providing benefits

Interpretation:

Majority of the employees place their company in an excellent position regarding the

benefits which shows their dedication and commitment towards the company. Also itdepicts that the top level management is concerned about the benefits not only at strategic

level but also at grass root level

Which areas of compensation do you think the company should pay

more attention to


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Interpretation:

The data shows that the employees are quite satisfied regarding the medical insurance

and retirement benefits given to them. The company should lay more emphasis on the

recreational; facilities inside the company itself. This can include games, seperate

recreational room where the employees could relax during the breaks from their hectic

schedule.

Which of these qualities best describe your trainer

Interpretation:

Training and development is provided to the employees for their overall development.

The data depicts that 42% of the trainers have full knowledge of their subjects while only

28% of them are open to suggestions. Therefore while appointing a trainer all the factors

should be kept in mind so as to satisfy the trainees.

There are some limitations also, which I have faced during the preparation of this projectreport. Some of the limitations are as under: -

Data Secrecy by the Company: - From the companies point of view there

are some things that they dont disclose to everybody. As there are someconfidential matters that should not be leaked out.

Low Communication With Senior People : - As company people have to do

their own work too, along with providing training to people like us. So, there

remains a communication gap with the senior executives as well.

Lesser Time :- We too have less time to understand all the working of thecompany, employees dont pay much attention because their own work load.


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Companies should start looking at benefits, social security and welfare schemes

for employee retention rather than only increasing the monetary part of

compensation.

Other Benefits:

Various other benefits and welfare schemes that can be added in the companyinclude:

Instead of privately owned canteens subsidized canteens should be operated.

There should be some welfare schemes for the family members of employees.

Entertainment allowance should be part of the benefits given to the employees.

Presently the working days in the company is 6 days a week which should be

reduced to five days to distress the employees for better productivity.

Benefits should be directly proportional to the performance and not to the post.

The training and development program should not be only limited to the workers

but should also be given to the employees at various level for the individual andorganizational welfare.

People with different skills should be constituted as a group and instead of

individual benefits group benefit schemes should be introduced to propel the spirit

of team work.

Along with superior performance awards, the concept of specific performanceawards should be included in order to achieve company specific goals.

Loosing job is a big fear for an employee as well as for his family. The welfare

package should include the job security element for the desired outcome.

Training not only should include skill enhancement but also to improve the

overall personality of the trainee.


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CONCLUSIONAn organization is a complex system of people each operating with their own beliefs but

for a common purpose. Compensation Policy and welfare schemes have come up to be

considered as a management discipline, especially since the birth of the concept of thesimultaneous development of individual and organization. An increasing number of

people asserted that because businesses were making a profit from primarily using our

country's human resources, these businesses owed to the people of the country.

In organizations managers face difficult and exciting challenges today. A global

economy in which world-class quality is the ticket to success, increased diversity in the

work force, calls for more attention towards satisfying this diversified work force in order

to retain them. As trustees of societys precious human, material, financial, andinformational resources, managers hold the key to a better world.

When I embarked on the project to study compensation package and welfare schemes, Igained valuable learning experience to find out how well this is integrated in theorganization. Managing people and their needs in the workplace holds tremendous

benefit for leaders and managers, benefits both moral and practical. This is particularly

true today when it is critical to understand and manage highly diverse needs and wants in

the competitive environment.

QUESTIONNAIRE:

1. What was your reason for joining VISCO Group?

Unemployed and needed a job

Referred by a friend

Compensation package and welfare schemes

2. Are you aware of the compensation package and welfare schemes provided in

the company?

Yes No

3. Do you think benefits are important for employee satisfaction?

Very important

Important

Not at all important


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4. Are you satisfied with the welfare schemes provided in your company?

Very satisfied

Satisfied

Not at all satisfied

5. Where do you rate the company on the scale of providing benefits?

Excellent

Good

Fair

6. Which areas of compensation do you think the company should pay more

attention to?

Medical Insurance

Retirement Program

Loan Schemes

Recreational Facilities

7. Which of the jobs are you engaged in?

Field Job

Office Job

8. Which of these qualities best describe your trainer?

Had knowledge of the subject

Was open to suggestions

Recognized employee contribution

9. What could be your reason for leaving VISCO Group? (52,10,21,17)

Higher Pay

Compensation Package and Welfare Schemes

Better job opportunities


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himakshi project

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