TABLE OF CONTENTS INTRODUCTION TO NFL BATHINDA COMPENSATION MANAGEMENT OBJECTIVE OF THE STUDY RESEARCH METHODLOGY SCOPE OF THE STUDY DATA ANALAYSIS & INTERPRETATION CONCLUSION BIBLIOGRAPHY QUESTIONNAIRE
INTRODUCTION TO ORGANIZATION (NATIONAL FERTILIZERS LIMITED BATHINDA) N.F.L. Bathinda is a Semi-Government Industry. Its working area is about three or four kilometers. The N.F.L. Bathinda Plant was set up in August 1974. It is a fuel oil based plant. The Bathinda N.F.L. plant is implemented with help of “Toyo Engineering Corp. and Mitsuitoatse well known Japanese and Italian Companies”. Project cost of Bathinda unit is about Rs. 250 crores. After the independence, the company embarked upon a bright new era of hopes and aspiration. The task that lay a head was enormous and posed new challenges to human endeavor. But the new born country was determined to shape a bright future for self and lay strong foundation to build its dream on. This called for channelizing the National energies into cohesive industrial and agricultural forces. And thus were born the ‗temples‘ of modern India. The challenges of growth could only be met with enterprise and innovation and in agriculture the pace was set by the Green Revolution that cultivated into the country achieving self-sufficiency in food-grain. NFL‘s role in this miracle has been paramount .The rise in fertilizers consumption in India has been quite phenomenal during the past two and half decades. To meet the rise in consumption of fertilizers, creation of additional capacity was also planned. The changing concept of world-wide energy and the prices of oil in 1973 shot-up very high. Due to energy rises, India was facing great problem. Prices for oil shot up so high that India could not met its requirement with in the fixed budget and it couldn‘t offered high prices .So to overcome these problems, India was forced to broad base its nitrogenous production by adopting new and sophisticated technology. This technology was imported from countries like Japan. This technology could use cheaper sources of raw material which were not tried in the country yet.
It is in this context that National Fertilizers Limited(A Public Sector Undertaking was concerned to plan and implement two modern large capacity single stream nitrogenous fertilizer plants in the pre-dominant fertilizer consuming areas of Northern States of India to care to ever increasing demand for fertilizer in the region. A public sector undertaking National Fertilizers Limited was incorporated in 1974 with the prime objective of helping the country become self-reliant in food-grain. The company was formed and registered on August 23, 1974 to set up to two nitrogenous fertilizer plants each a capacity of 5.11 lakhs tones per annum of urea at Bathinda and Panipat. On organization of FCI-NFL, Nangal Unit of FCI as taken over by NFL on April 1, 1978. Later on a gas based Fertilizer plant was entrusted to NFL located at Vijaipur in GUNA district with an installed capacity of 726000 MT/year. Company is presently engaged in the expansion of Vijaipur plant for doubling its installed capacity from 3.34 lakh tones Nitrogen to 668 lakh tones. NFL has now redeemed its promise by a series of achievements, record capacity utilization in many plants exceeding annual targets; breakthrough in energy conservation leading to economic fertilizer production and innovative steps in safety, ecology and pollution control. Today NFL stands for hope, prosperity and growth. It has succeeded in enthusing its people with a sense of dynamics and pride. By developing a work culture where team spirit takes precedence personal factors. NFL is already geared to meet the challenge of the 21st Century. It is up grading the skill of its manpower, enlarging the data base and enhancing ecological standards to receive the future on its own teams.
The challenges of growth could only be met with enterprise and innovation and in agriculture the pace was set by the Green Revolution that cultivated into the country achieving self-sufficiency in food-grain. NFL‘s role in this miracle has been paramount .The rise in fertilizers consumption in India has been quite phenomenal during the past two and half decades. To meet the rise in consumption of fertilizers, creation of additional capacity was also planned. The changing concept of world-wide energy and the prices of oil in 1973 shot-up very high. Due to energy rises, India was facing great problem. Prices for oil shot up so high that India could not met its requirement with in the fixed budget and it couldn‘t offered high prices .So to overcome these problems, India was forced to broad base its nitrogenous production by adopting new and sophisticated technology. This technology was imported from countries like Japan. This technology could use cheaper sources of raw material which were not tried in the country yet. It is in this context that National Fertilizers Limited(A Public Sector Undertaking was concerned to plan and implement two modern large capacity single stream nitrogenous fertilizer plants in the pre-dominant fertilizer consuming areas of Northern States of India to care to ever increasing demand for fertilizer in the region. A public sector undertaking National Fertilizers Limited was incorporated in 1974 with the prime objective of helping the country become self-reliant in food-grain. The company was formed and registered on August 23, 1974 to set up to two nitrogenous fertilizer plants each a capacity of 5.11 lakhs tones per annum of urea at Bathinda and Panipat. On organization of FCI-NFL, Nangal Unit of FCI as taken over by NFL on April 1, 1978.
NFL SCHEDULE A & Mini Ratna Category 2004-2005 - I Company, is a market leader in the Fertilizer Industry in India with 17.0% share in Urea production during 2004-2005.
PERCENTAGE SHARE OF NFL IN UREA PRODUCTION IN THE COUNTRY (2004-2005)
NFL was incorporated on 23rd August 1974 with two manufacturing Units at Bathinda and Panipat. Subsequently, on the reorganization of Fertilizer group of Companies in 1978, the Nangal Unit of Fertilizer Corporation of India came under the NFL fold. The Company expanded its installed capacity in 1984 by installing and commissioning of its Vijaipur gas based Plant in Madhya Pradesh.
NFL Corporate office: Noida The Vijaipur Plant was a landmark achievement in project management in India. The plant was completed well within time and approved project cost. In recognition of this achievement, Govt. of India awarded the First Prize the project in Excellence in Project Management. Subsequently the Vijaipur plant doubled its capacity to 14.52 lakh MTs by commissioning Vijaipur Expansion Unit i.e. Vijaipur-II in 1997. The plant annual capacities have now been re-rated w.e.f. 1.4.2000 from 7.26 lakh MT of Urea to 8.64 lakh MT for Vijaipur-I & Vijaipur-II Plants each. Three of the Units are strategically located in the high consumption areas of Punjab and Haryana. The Company has an installed capacity of 35.49 lakh MTs of Nitrogenous Fertilizers and has recorded an annual sales turnover of Rs. 3,474 crores during 200405. The Company‘s strength lies in its sizeable presence, professional marketing and strong distribution network nationwide. NFL, a profitable public sector undertaking operates under the administrative control of Department of Fertilizers in the Ministry of Chemicals & Fertilizers. Kisan Urea and Kisan Khad NFL‘s popular brands are sold over a large marketing territory spanning the length and breadth of the country. The Company also
manufactures and markets Bio fertilizers and a wide range of industrial products like Methanol, Nitric Acid, Sulfur, Liquid Oxygen, Liquid Nitrogen etc. The Company has developed Neem coated Urea which on demonstration has improved the crop yield by 4-
5%. The Company is focusing its thrust to widen the marketing operations of Neem Coated Urea. NFL over the years has developed a team of dedicated professionals in the areas of production, maintenance, project management, safety and environment control. These professionals are sought after in the Industry both in India & abroad for their Specialized Services. NFL is known in the industry for its work culture, value added human resources, safety, environment, concern for ecology and its commitment to social upliftment. All NFL plants have been certified for ISO-9002 for conforming to international quality standards and International Environmental Standard i.e. ISO-14001. With the certification of Corporate Office/Marketing operations under ISO-9001: 2000, NFL has become the first Fertilizer Company in the country to have its total business covered under ISO-9001 Certification. The System of marketing of Urea has undergone a change w.e.f. 1.4.2003 when company has been allowed to market 25% of its produce outside ECA during Kharif 2003. This percentage of sale outside ECA was raised to 50% in Rabi 2003-04. The same portion prevails for 2004-05 and Kharif 2005. NFL enters into a Memorandum of Understanding (MoU) with the Government for each year under which the Government undertakes to assist NFL with regard to availability of inputs, obtaining ECA allocations commensurate with the availability of fertilizers from NFL plants etc. NFL on its part undertakes to adhere to its production and movement plans, achieve its ECA allocation and provide regular feedback to the Administrative department.
During the past two and half decades, there has been steady increase in fertilizers consumption and to meet this rise in consumption of fertilizers, it was required to create an additional capacity in order to meet the increasing needs. As oil and gas prices has been increasing day by day since 1973 which effected the whole Industrial sector worldwide led to the change in Energy concept in the whole world and so was India forced to increase its nitrogenous Production by switching to new improved Technology which could make use cheaper and economical source of raw material. The National Fertilizers Limited (Public Undertaking) was thought to plan two modern large capacity single steam nitrogenous fertilizers plant in order to meet the increasing demands. On 23rd August 1974, NFL was formed and registered to set up two modern large capacity Nitrogenous Fertilizers plants. NFL, Bathinda (Punjab) NFL, Panipat (Haryana) Each with the capacity of 5-11 lakh tones /annum.
As to set up any plant there are some essential conditions that support the existence and working of plants for years, so Bathinda was basically selected as one of the site of Fuel based plant as per consumption point of view since Punjab is mainly agriculture based state. NFL was incorporated on 23rd August 1974 in order to implement this project contract were entered into with M/s "TOYO Engineering Corporation" a well known Japanese Engg. Company and Engg. India Ltd (EIL), a public sector and Engg. Organization. This
contract becomes effective on September 26, 1974 with a guaranteed "Feed in" on the Bathinda Fertilizers project to implement within 36 months from the zero date. Due to the power requirements and some other factors, later on it was planned to set up its own power house known as Captive Power Plant (CPP) with 2 turbo generators of 15 MW each. National Fertilizers Limited (N.F.L.) is the largest manufacturer of nitrogenous fertilizers in the Northern India. It is presently operating four large fertilizers plants, two of which are located at Nangal and Bathinda in the Punjab State, one at Panipat in Haryana and one at Guna in M.P. While plants at Nangal, Bathinda and Panipat are fuel oil based, the one at Guna is gas-oil based. The overall installed capacity of NFL plants is 10.42 lakhs MT per annum. The old plant at Nangal was commissioned in 1961 followed by expansion, which was commissioned in 1978. Bathinda and Panipat plants were commissioned in 1979. Guna Plant, which is the latest plant of NFL, was commissioned in Dec 1978 and is now in full production.
PRODUCTS OF NFL
National Fertilizers is producing ―Kisan Urea, Kisan Khad and Ankur ‖ on commercial scale. NFL is also marketing number of Industrial products produced as By-Products during the formation of ―Kisan Urea, Kisan Khad and Ankur‖ in its plant itself. IMPLEMENTATION & PROJECT COST OF NFL BATHINDA UNIT As NFL, Bathinda unit was planned to complete in 36 months from the Zero date 26 Sep.1974, so contract for completing this task was given to the well known Japanese company ―Toyo Engineering Corporation limited‖ and Indian Consultancy Companies as well. The overall approval cost of Bathinda Unit was Rs. 240.47 Crores with a foreign exchange component, which was mainly from Japanese Yen. PRODUCTION PROCESS Ammonia is produced by the partial oxidation of heavy oil. Raw synthesis gas is produced in the Gasification section by the partial oxidation of the heavy oil. The raw synthesis gas produced in the Gasification section is further purified in Desulfurisation, CO-Shift Conversion and Decarbonisation sections. After final purification in the nitrogen wash unit, it is compressed to about 220 ATM pressure and is converted to ammonia using a special synthesis catalyst. In order to manufacture Urea, the following
procedure is used. In Titanium Lined Reactor, ammonia and carbon dioxide are mixed at about 240 atmospheric pressure. After decomposition and recovery steps, to ensure maximum product yield, the urea solution obtained is Concentrated, Crystallized, Centrifuged, Dried and Conveyed to the top of the prilling tower where it is melted in the melter and sprayed through the acoustic granulators to produce urea prills. By decomposition, unconverted carbonate solution is decomposed to recover ammonia, which along with the carbonate solution is recycled back to the urea reactor. PROCESS DESCRIPTION The main product of NFL, Bathinda Unit is Urea, which is a highly concentrated nitrogenous fertilizer. The raw materials required for manufacturing Urea are: (i) Liquid Ammonia (ii) Carbon Dioxide Gas Both the above raw materials are supplied by Ammonia Plant, which produces 900 MTPD of Ammonia and 27,500 NM3/llr of Carbon Dioxide Gas. The Ammonia Plant is designed by T.E.C., Japan and it is based upon partial oxidation of fuel oil as the basic raw material.
COMPENSATION MANAGEMENT Compensation is an integral part of human resource management which helps in motivating the employees and improving organizational effectiveness. Many of today's senior executives name pay-for-performance as the most critical tool in achieving the greatest financial results at their companies. But, implementing real, pay-for-performance is easier said than done. Success Factors makes it easy for you to quickly and easily implement a powerful pay-for-performance strategy. By rewarding great execution, you will better retain your top talent and drive organizational performance that exceeds all expectations. Plus, you'll enjoy clearer visibility into individual employee performance when it comes time to make critical compensation planning decisions. True pay-for-performance culture improves retention. Employees who outperform their peers will be rewarded appropriately, feel valued and happy— and more likely to stay with your company. Ongoing compliance. Design your compensation strategy with objective data and communicate it to managers to stay within allocated budgets and to employees to show the clear link between compensation and performance expectations. Budget optimization. Run "what-if" scenarios and instantly see how increasing merit pay to your best employees would impact your budget. Cost savings. Eliminate thousands of dollars from your expense column each year by making sure you're not overpaying low performers. Also, the easy-to-use automated system will save compensation managers time and money. Zero error system. Manage your compensation in a secure environment with streamlined workflows where your data is determined via calculation and eligibility engines—eliminating privacy breaches and human calculation errors.
Compensation Management is probably the least understood process accompanying flow cytometric analyses. Perhaps this is because it is often described with the linear algebra elements needed for its computation, and many of us have forgotten what linear algebra is, much less how to do it. However, proper Compensation Management is absolutely crucial for some aspects of flow cytometry, one of which is antigen density
misunderstood, and because there is so much incorrect mythology about it floating around, many laboratories do not set Compensation Management properly.
HOW IMPORTANT IS PROPER COMPENSATION MANAGEMENT? If you got some or all of the questions in the quiz wrong, don't feel bad. You will be in the majority of FACS users. The first question that might come to mind is: "why, if so few people know how to properly compensate, have we been getting such good data from flow cytometry for so long?" The simple answer is that most of what we have been using flow to do for the past decade has not required absolutely correct Compensation Management. For just determining the frequencies of populations, exact Compensation Management is not necessary. This is because, for the most part, the subpopulations that we are interested in enumerating are easily distinguished on the basis of a bright reagent. Thus, a little inaccuracy in Compensation Management, leading to inaccurate placement of the negative population, will not affect the determination of the percentage of cells, since there is still a large valley between the positive and negative population. For instance, see the figures below. In this hypothetical example, as a continuation from the quiz, PBMC were stained with FITC CD3 and PE CD4 or with FITC CD3 and PE isotype control. The data for each of these two stains are displayed at different Compensation Management values (in pairs, below). You will note that at any Compensation Management value, from none (i.e., completely undercompensated) all the way to somewhat overcompensated, it is still easy to set a gate that will uniquely identify the CD4 T cells (CD3+ CD4+) in order to accurately determine their frequency. However, you will also note that the appropriate gate necessary to quantitate this population is not the quadrant that is set above the unstained cells, but rather it is the gate set on the cells stained with the isotype control and are positive for the FITC stain. This gate is shown in solid lines.
However, proper Compensation Management is absolutely necessary for proper antigen density measurements. Here, any uncorrected spillover will contribute artefactually to the measurement. Proper Compensation Management is also necessary when it is important to distinguish dim populations from negative populations: again, underCompensation Management will result in overestimating the frequency of the dim cells; overCompensation Management will result in underestimating the frequency. In general, accurate Compensation Management is also necessary when there are multiple fluors that spill over into a single channel--for subtle reasons beyond the scope of this discussion. MEASUREMENT ERROR IN COMPENSATION MANAGEMENT. Therefore, a properly compensated measurement of FITC fluorescence requires the measurement of the fluorescence in the FITC channel as well as a measurement in the PE channel. In our ideal world, every cell could be exactly compensated, since all of these fluorescence could be measured exactly; since the fractional spillover is the same for every cell, we would be able to compute the exact contribution of FITC into PE (and vice versa) and end up with "pure" measurements. Indeed, in the real world, the instrument can do quite an excellent job of Compensation Management. However, there is a relatively small error in the ability of the FACS to measure the fluorescence from any particular cell. And note, from the equations above, that the error in computing the true compensated fluorescence the error in the primary measurement PLUS the error in the other channel multiplied by the Compensation Management percentage. For very small Compensation Managements, only a small error is carried over; the larger the Compensation Management, the greater the increase in the error. This increased error especially affects cells that are dim in the compensated channel: primarily, because the process becomes one of trying to measure a small value above a large background (from spillover). Here, even small measurement errors in the determination of the fluorescence in the other channel will be significant with respect to the true signal we are trying to measure.
The fallout of this error is a broadening of the distribution of the compensated fluorescence (see example below): the error in the final measurement of a fluorescence is the sum of the errors in measuring both fluorescences. In a world of error-free measurements, Compensation Management would not increase the "width" (c.v.) of a population. This is because the amount of fluorescence in the PE channel that arises from the FITC CD3 could be exactly determined and exactly corrected. The width in the PE dimension of the compensated population would be the same as for the uncompensated sample (left panels). However, in the real world, the FITC measurement and PE measurements are made with some inaccuracy. Therefore, it is impossible to exactly determine the amount of signal in the PE channel that arises from the FITC CD3. Thus, the compensated sample will have a width in the PE dimension that is equal to the original width plus an amount related to the error of the measurement: i.e., it gets wider (right panels). Remember that a single compensated fluorescence value depends on (in this case) two measurements: thus, the error in the Compensation Management value will be the sum of the errors in both measurements.
Bottom line: error in Compensation Management computations. Because of the errors in measuring fluorescence, we cannot guarantee that every cell will be perfectly compensated--just like we couldn't guarantee that we could measure the exact fluorescence on every cell. However, we can guarantee that we can accurately compensate a large population of cells: i.e., on average, the cells will be properly compensated. Again, this is analogous to the fluorescence measurement: we can guarantee that we can accurately determine the average fluorescence for a large population of cellsp;even if statistical errors limit the accuracy of the individual cell measurements.
PRACTICAL COMPENSATION MANAGEMENT. How do we properly set Compensation Management? Proper Compensation Management occurs when, on average for a population, there is no contribution of FITC fluorescence in the PE channel (and so on for other combinations of fluorescent molecules). In this continuing example, this means that a population of cells stained with fluorescein (but not PE) should have the same median PE fluorescence as a population of cells that is unstained for fluorescein. The Compensation Management is increased until the center of the positively stained population lines up with the center of the negatively stained population. Because of the compounding measurement error, this means that some of the cells will be above a quadrant line set on the negatives! Indeed, note that if Compensation Management is set so that the positive population lines up underneath the quadrant line, then the cells are actually over-compensated: on average, most cells have too much signal subtracted, and the mean PE fluorescence of this population is less than that of the negative: less than autofluorescence. Obviously, this is incorrect. In flow cytometric analyses on logarithmic axes, the median is generally a much better estimate of central tendency than the mean. The mean can be significantly skewed higher by a few outliers. As well, we do not know the real fluorescence of an event appearing on the lower axis (it could be any value below the minimum); thus the mean will be artificially inflated by this as well. However, neither process significantly affects the accuracy of the median. Therefore, if possible, use the median fluorescence when doing Compensation Management: adjust Compensation Management until the median of the positives is equal to the median of the negatives (be sure to include all cells in a population in the analysis gates). Legend: Cells were stained with FITC CD3 and PE Isotype control. Correct Compensation Management occurs when, for a population of cells, there is no contribution of PE signal from the FITC signal. In other words, proper Compensation Management occurs when the FITC-positive cells have the same mean (or median) PE fluorescence as the FITC-negative cells (third panel in this series). The dashed boxes indicate the analysis gates used when the mean (or median) fluorescences were computed; the solid horizontal lines are drawn through the median of each population.
By now, you can probably ascertain why none of the examples in Figure 1B (in the quiz) can be identified as properly compensated. In order to determine the proper Compensation Management, the medians of the positive and negative population must be lined up. However, in Figure 1B, the negative population is "smushed" against the bottom axis. Hence the median fluorescence of this population cannot be determined (it is less than 0.1, but we do not know how much less than 0.1). Legend:: In this Figure, there is no Compensation Management being done. The representation of cell fluorescences on a log scale means that there is no position for true zero fluorescence (because the log of zero is minus infinity). Our four-decade view of the cells is simply a window onto the infinite range of possible values. As the PMT voltage for PE is lowered, the two populations of cells drop (and drop equal distances). On a six decade machine (left), the cells would always be onscale, and the centers of the populations could be aligned at any of these voltages. However, on a four decade machine, cells which fall outside of the window appear on the axis. This means that the true fluorescence of these cells is no longer known--it is impossible to know if the cell was at 0.02, 0.05, or 0.1. Therefore, the center of this population that is pinned to the axis becomes the axis value itself (0.1). The effect on Compensation Management is substantial. The two cell populations are separated by a factor of about 100 in the FITC channel, and about 20 in the PE channel: this means that proper Compensation Management will be 20%. But in the bottom right example, the separation between the mean of the negatives and the positives is only about 10-fold: leading to a Compensation Management setting of 10%, which is too low.
COMPONENTS OF COMPENSATION SYSTEM Compensation systems are designed keeping in minds the strategic goals and business objectives. Compensation system is designed on the basis of certain factors after analyzing the job work and responsibilities. Components of a compensation system are as follows:
TYPES OF COMPENSATION Compensation provided to employees can direct in the form of monetary benefits and/or indirect in the form of non-monetary benefits known as perks, time off, etc. Compensation does not include only salary but it is the sum total of all rewards and allowances provided to the employees in return for their services. If the compensation offered is effectively managed, it contributes to high organizational productivity. Compensation is the combination of monetary and other benefits provided to an employee in return for their time and skill. The field of compensation management provides management with the ideal combination of the different remuneration types. The purpose of this type of program is to retain and motivate good employees. There are two different types of compensation management: Direct Compensation Indirect Compensation
Direct compensation is typically comprised of salary payments and health benefits. The creation of salary ranges and pay scales for different positions within the company are the central responsibility of compensation management staff. The evaluation of the employee and employer portions of benefit costs is an important part of a compensation package. Effective compensation plans are routinely compared with other firms in the same industry or against published benchmarks. Although some jobs are unique within a specific firm, the vast majority of positions can be compared to similar jobs in other firms or industries. Direct compensation that is in line with industry standards provides employees with the assurance of fair compensation. This process helps the employer avoid the costly loss of trained staff to a competitor. Indirect compensation focuses on the personal motivations of each person to work. Although salary is important, people are most productive in jobs where they share the company‘s values and priorities. Common types of indirect compensation include free staff development courses, subsidized day care, opportunity for promotion or transfer within the company, public recognition, ability to effect change in the workplace and service to others. An effective compensation package has a combination of direct and indirect compensation. Compensation management programs often include a salary range for each position, with incremental increases and annual reviews. During these review sessions both type of compensation management are addressed and presented to the employee as part of the total package.
DIRECT COMPENSATION House Rent Allowance Organizations either provide accommodations to its employees who are from different state or country or they provide house rent allowances to its employees. This is done to provide them social security and motivate them to work. Conveyance Organizations provide for cab facilities to their employees. Few organizations also provide vehicles and petrol allowances to their employees to motivate them.
Leave Travel Allowance These allowances are provided to retain the best talent in the organization. The employees are given allowances to visit any place they wish with their families. The allowances are scaled as per the position of employee in the organization.
Medical Reimbursement Organizations also look after the health conditions of their employees. The employees are provided with medi-claims for them and their family members. These medi-claims include health-insurances and treatment bills reimbursements.
Bonus Bonus is paid to the employees during festive seasons to motivate them and provide them the social security. The bonus amount usually amounts to one month‘s salary of the employee.
Special Allowance Special allowance such as overtime, mobile allowances, meals, commissions, travel expenses, reduced interest loans; insurance, club memberships, etc are provided to employees to provide them social security and motivate them which improve the organizational productivity.
INDIRECT COMPENSATION Overtime Policy Employees should be provided with the adequate allowances and facilities during their overtime, if they happened to do so, such as transport facilities, overtime pay, etc.
Hospitalization The employees should be provided allowances to get their regular check-ups, say at an interval of one year. Even their dependents should be eligible for the medi-claims that provide them emotional and social security.
Insurance Organizations also provide for accidental insurance and life insurance for employees.
This gives them the emotional security and they feel themselves valued in the organization.
Leave Travel The employees are provided with leaves and travel allowances to go for holiday with their families. Some organizations arrange for a tour for the employees of the organization. This is usually done to make the employees stress free.
Retirement Benefits Organizations provide for pension plans and other benefits for their employees which benefits them after they retire from the organization at the prescribed age.
Holiday Homes Organizations provide for holiday homes and guest house for their employees at different locations. These holiday homes are usually located in hill station and other most wanted holiday spots. The organizations make sure that the employees do not face any kind of difficulties during their stay in the guest house.
Flexible Timings Organizations provide for flexible timings to the employees who cannot come to work during normal shifts due to their personal problems and valid reasons.
NEED OF COMPENSATION MANAGEMENT
A good compensation package is important to motivate the employees to increase the organizational productivity.
Unless compensation is provided no one will come and work for the organization. Thus, compensation helps in running an organization effectively and accomplishing its goals.
Salary is just a part of the compensation system, the employees have other psychological and self-actualization needs to fulfill. Thus, compensation serves the purpose.
The most competitive compensation will help the organization to attract and sustain the best talent. The compensation package should be as per industry standards.
Money has only one colour, but human perception of its value and mental satisfaction varies depending on how it's received. The 'amount' received may have different
`value' for different individuals and hence a different impact.
Synergy has a unique approach to compensation structuring for global organisations and its key-professionals. Our keen understanding of multi-national, multi-location issues and environmental factors enables us to advise on expatriate compensation & relocation with equal ease.
We begin at the top, understand concerns of both, employers and employees, survey the environment and competition, to develop Compensation Structures and link these with performance, where needed.
Synergy conducts commissioned studies of Compensation levels and practices across industries and locations. Our analysis and reports are extensively quoted in the business media and closely followed by HR fraternity.
Synergy tracks the trends and helps organisations benchmark compensation and benefits and develop alternative structures and schemes. We analyze and advise on the issues of salary, compensation and benefits in all their multi-hued manifestations.
We also assist with position-profiling and benchmarking of positions across industries. We believe that it is rarely the amount alone that determines compensation's absolute value and impact!
STRATEGIC COMPENSATION Strategic compensation is determining and providing the compensation packages to the employees that are aligned with the business goals and objectives. In today‘s competitive scenario organizations have to take special measures regarding compensation of the employees so that the organizations retain the valuable employees. The compensation systems have changed from traditional ones to strategic compensation systems. SCP is a complete, single resource for total compensation plan design and program management support. The firm works with clients across all major industries to:
strategies, values and operating priorities.
longer-term incentives--which support their program philosophies.
implement and support the operating plans, as needed.
SCP maintains a comprehensive data base of current pay level and practice information to provide clients with relevant industry and local market benchmarks for structuring base pay ranges and defining total cash compensation opportunities. Additionally, through
strategic partnerships with experts in employee benefits, it also helps clients to integrate health & welfare and fringe benefit provisions into logical, consistent total compensation programs for their employees.
COMPENSATION AND BENEFITS Your compensation and benefits Our compensation and benefits programs give you every incentive to excel. By rewarding your individual achievements and team contribution, we sustain and enhance our entrepreneurial, performance-oriented culture. We also encourage you in maintaining a good work-life balance, as this is important for the sustainability of your career success and the achievement of our business goals. Compensation philosophy UBS‘s compensation policy is designed to help us to attract, retain and motivate talented individuals who can enable us to achieve our goals. We believe compensation should provide incentives that foster our entrepreneurial and performance-oriented culture and support our integrated business strategy. We follow four guiding principles:
Compensation elements Your base salary recognizes the experience, skills and knowledge that you bring to your role. We determine your salary level based on your rank or functional role, level of responsibility, individual skills and competencies and the wider market environment. Annual incentive awards (bonuses) reflect the performance of the firm and its various businesses as well as your individual contribution. As incentive awards are discretionary, they can be highly variable from year to year. In addition to your annual incentive, you may be granted UBS equity awards. Certain conditions apply. Most employees can take part in the Equity Plus plan, through which you can buy UBS shares at fair market value and receive one free notional share for every three shares purchased (a 3:1 share match). Benefits vary substantially from location to location, in line with local market practice. Through this balanced approach, we ensure that you can realize the full value of your contribution to our shared success. HOW IS COMPENSATION USED? Compensation is a tool used by management for a variety of purposes to further the existance of the company. Compensation may be adjusted according the the business needs, goals, and available resources. Compensation may be used to:
recruit and retain qualified employees. increase or maintain morale/satisfaction. reward and encourage peak performance. achieve internal and external equity. reduce turnover and encourage company loyalty. modify (through negotiations) practices of unions.
Recruitment and retention of qualified employees is a common goal shared by many employers. To some extent, the availability and cost of qualified applicants for open positions is determined by market factors beyond the control of the employer. While an employer may set compensation levels for new hires and advertize those salary ranges, it does so in the context of other employers seeking to hire from the same applicant pool. Morale and job satisfaction are affected by compensation. Often there is a balance (equity) that must be reached between the monetary value the employer is willing to pay and the sentiments of worth felt be the employee. In an attempt to save money, employers may opt to freeze salaries or salary levels at the expence of satisfaction and morale. Conversely, an employer wishing to reduce employee turnover may seek to increase salaries and salary levels. Compensation may also be used as a reward for exceptional job performance. Examples of such plans include: bonuses, commissions, stock, profit sharing, gain sharing. What are the components of a compensation system? Compensation will be perceived by employees as fair if based on systematic components. Various compensation systems have developed to determine the value of positions. These systems utilize many similar components including job descriptions, salary ranges/structures, and written procedures. The components of a compensation system include:
Job Descriptions A critical component of both compensation and selection systems, job descriptions define in writing the responsibilities, requirements, functions, duties, location, environment, conditions, and other aspects of jobs. Descriptions may be developed for jobs individually or for entire job families.
Job Analysis The process of analyzing jobs from which job descriptions are developed. Job analysis techniques include the use of interviews, questionnaires, and observation.
Job Evaluation A system for comparing jobs for the purpose of determining appropriate compensation levels for individual jobs or job elements. There are four main techniques:
o o o o
Ranking Classification Factor Comparison, and Point Method.
Pay Structures Useful for standardizing compensation practices. Most pay structures include several grades with each grade containing a minimum salary/wage and either step increments or grade range. Step increments are common with union positions where the pay for each job is pre-determined through collective bargaining.
Salary Surveys Collections of salary and market data. May include average salaries, inflation indicators, cost of living indicators, salary budget averages. Companies may purchase results of surveys conducted by survey vendors or may conduct their own salary surveys. When purchasing the results of salary surveys conducted by other vendors, note that surveys may be conducted within a specific industry or across industries as well as within one geographical region or across different geographical regions. Know which industry or geographic location the salary results pertain to before comparing the results to your company.
Policies and Regulations
What are different types of compensation? Different types of compensation include:
COMPENSATION PLANS Develop a program outline.
Set an objective for the program. Establish target dates for implementation and completion. Determine a budget.
Designate an individual to oversee designing the compensation program.
Determine whether this position will be permanent or temporary. Determine who will oversee the program once it is established. Determine the cost of going outside versus looking inside. Determine the cost of a consultant's review.
Develop a compensation philosophy.
Form a compensation committee (presumably consisting of officers or at least including one officer of the company).
Decide what, if any, differences should exist in pay structures for executives, professional employees, sales employees, and so on (e.g., hourly versus salaried rates, incentive-based versus noncontingent pay).
Determine whether the company should set salaries at, above, or below market. Decide the extent to which employee benefits should replace or supplement cash compensation.
Conduct a job analysis of all positions.
Conduct a general task analysis by major departments. What tasks must be accomplished by whom?
Get input from senior vice presidents of marketing, finance, sales, administration, production, and other appropriate departments to determine the organizational structure and primary functions of each.
Interview department managers and key employees, as necessary, to determine their specific job functions.
Decide which job classifications should be exempt and which should be nonexempt. Develop model job descriptions for exempt and nonexempt positions and distribute the models to incumbents for review and comment; adjust job descriptions if necessary.
Develop a final draft of job descriptions. Meet with department managers, as necessary, to review job descriptions. Finalize and document all job descriptions.
Rank the jobs within each senior vice president's and manager's department, and then rank jobs between and among departments.
Verify ranking by comparing it to industry market data concerning the ranking, and adjust if necessary.
Prepare a matrix organizational review. On the basis of required tasks and forecasted business plans, develop a matrix of jobs crossing lines and departments.
Compare the matrix with data from both the company structure and the industrywide market.
Prepare flow charts of all ranks for each department for ease of interpretation and assessment.
Present data and charts to the compensation committee for review and adjustment.
Establish the number of levels - senior, junior, intermediate, and beginner - for each job family and assign a grade to each level.
Determine the number of pay grades, or monetary range of a position at a particular level, within each department.
Establish grade pricing and salary range.
Establish benchmark (key) jobs. Review the market price of benchmark jobs within the industry. Establish a trend line in accordance with company philosophy (i.e., where the company wants to be in relation to salary ranges in the industry).
Determine the difference between each salary step. Determine a minimum and a maximum percent spread. Slot the remaining jobs. Review job descriptions. Verify the purpose, necessity, or other reasons for maintaining a position. Meet with the compensation committee for review, adjustments, and approval.
Develop a salary administration policy.
Develop and document the general company policy. Develop and document specific policies for selected groups. Develop and document a strategy for merit raises and other pay increases, such as cost-of-living adjustments, bonuses, annual reviews, and promotions.
Develop and document procedures to justify the policy (e.g., performance appraisal forms, a merit raise schedule).
Meet with the compensation committee for review, adjustments, and approval.
Obtain top executives' approval of the basic salary program.
Develop and present cost impact studies that project the expense of bringing the present staff up to the proposed levels.
Present data to the compensation committee for review, adjustment, and approval. Present data to the executive operating committee (senior managers and officers) for review and approval.
Communicate the final program to employees and managers.
Present the plan to the compensation committee for feedback, adjustments, review, and approval.
Make a presentation to executive staff managers for approval or change, and incorporate necessary changes.
Develop a plan for communicating the new program to employees, using slide shows or movies, literature, handouts, etc.
Make presentations to managers and employees. Implement the program. Design and develop detailed systems, procedures, and forms. Work with HR information systems staff to establish effective implementation procedures, to develop appropriate data input forms, and to create effective monitoring reports for senior managers.
Have the necessary forms printed. Develop and determine format specifications for all reports. Execute test runs on the human resources information system. Execute the program.
Monitor the program.
Monitor feedback from managers. Make changes where necessary. Find flaws or problems in the program and adjust or modify where necessary.
WORKERS' COMPENSATION Workers' compensation (colloquially known as workers' comp or workman's comp in North America and compo in Australia) is a form of insurance that provides compensation medical care for employees who are injured in the course of employment, in exchange for mandatory relinquishment of the employee's right to sue his or her employer for the tort of negligence. The tradeoff between assured, limited coverage and lack of recourse outside the worker compensation system is known as "the compensation bargain." While plans differ between jurisdictions, provision can be made for weekly payments in place of wages (functioning in this case as a form of disability insurance), compensation for economic loss (past and future), reimbursement or payment of medical and like expenses (functioning in this case as a form of health insurance), and benefits payable to the dependants of workers killed during employment (functioning in this case as a form of life insurance). General damages for pain and suffering, and punitive damages for employer negligence, are generally not available in worker compensation plans. Employees' compensation laws are usually a feature of highly developed industrial societies, implemented after long and hard-fought struggles by trade unions. Supporters of such programs believe they improve working conditions and provide an economic safety net for employees. Conversely, these programs are often criticised for removing or restricting workers' common-law rights (such as suit in tort for negligence) in order to reduce governments' or insurance companies' financial liability. These laws were first enacted in Europe and Oceania, with the United States following shortly thereafter. Compensation before statutory law Before the statutory establishment of workers' compensation, employees who were injured on the job were only able to pursue their employer through civil or tort law. In the United Kingdom, the legal view of employment as a master-servant relationship required employees to prove employer malice or negligence, a high burden for employees to meet. Although employers' liability was unlimited, courts usually ruled in favor of employers, paying little attention to the full losses experienced by workers, including medical costs, lost wages, and loss of future earning capacity.
Statutory compensation law Statutory compensation law provides advantages to employees and employers. A schedule is drawn out to state the amount and forms of compensation to which an employee is entitled, if he/she has sustained the stipulated kinds of injuries. Employers can buy insurance against such occurrences. However, the specific form of the statutory compensation scheme may provide detriments. Statutes often award a set amount based on the types of injury. These payments are based on the ability of the worker to find employment in a partial capacity: a worker who has lost an arm can still find work as a proportion of a fully-able person. This does not account for the difficulty in finding work suiting disability. When employers are required to put injured staff on "light-duties" the employer may simply state that no light duty work exists, and sack the worker as unable to fulfill specified duties. When new forms of workplace injury are discovered, for instance: stress, repetitive strain injury, silicosis; the law often lags behind actual injury and offers no suitable compensation, forcing the employer and employee back to the courts (although in common-law jurisdictions these are usually one-off instances). Finally, caps on the value of disabilities may not reflect the total cost of providing for a disabled worker. The government may legislate the value of total spinal incapacity at far below the amount required to keep a worker in reasonable living conditions for the remainder of his life. A related issue is that the same physical loss can have a markedly different impact on the earning capacity of individuals in different professions. For instance, the loss of a finger could have a moderate impact on a banker's ability to do his or her job, but the same injury would totally ruin a pianist. Workers' compensation cost containment Many things can be done to reduce the cost of workers' compensation. While many business owners and managers initially think "workers' compensation is the cost of doing business," this is not really true and there are many controls that can be put in place inside a company to make sure an employer pays only for legitimate injuries, from the time an employee is medically unable to return to any productive task at the workplace. This field of risk management is a specialized niche called "post loss cost containment," "injury management cost reduction," and several other names. The specialty centers
around actions an employer can do to "manage" the processes in the workplace immediately after an injury occurs. There are four stages to the workers' compensation cost containment process including: assessment & recommendations, design & development, implementation and rollout. Cost drivers The areas generally considered to be key cost drivers are:
building management commitment, working with the insurance company & insurance adjusters, implementing an effective return to work & transitional duty program, coordinating medical care, medical cost management, recognizing fraud and abuse, self-interested defense counsel improving communication with employees, and training supervisors.
Employers should use a "holistic" approach to workers' compensation cost containment by looking at the total problem, rather than focusing only on one area such as reducing medical bills. By taking a "can do" approach, employers focus on controlling procedures within their control rather than the many things they cannot control. For example, employers cannot quickly or easily change the workers' compensation laws or eliminate plaintiff's lawyers or the legal system, items that are frequently mentioned as "causes" of high workers' compensation costs; however, an employer can implement a "post-injury response procedure" in their own workplace specifying what an employee must do if injured. Employers must "take charge" of those things within their control. Employers should also do after-action reviews (AARs) when an individual claimant's case has cost an extraordinary amount or resulted in extensive litigation to try and determine what went wrong. Often the biggest driver in costs is a failure to recognize a meritorious claim quickly. Delayed treatment can result in a need for much more extensive treatment and/or
the futility of all efforts at healing and eventual return to competitive employment. An injured worker's sense of having been the victim of an unjust litigation process can also lead to increased rates of consequential depression and other mental health conditions which create a complicating "overlay" to an initial physical injury. In the United States, there has developed a relatively small industry of cost control consultants who review Workers' Compensation insurance premium charges for employers in order to find and correct overcharges caused by technical errors by insurers. These consultants are known as Workers Compensation Third Party Administrators. Part of their function typically is to review classification codes, payroll audits, and experience modification factor calculations. These consultants reduce Workers' Compensation costs by correcting errors in insurance premium calculations, rather than by reducing claims costs. Policies Having consistent policies and forms helps the employer remain in control of the process. Even very small companies should have a tight post-injury procedure to help management control the post-injury process. The overall goal is for 95% of injured employees to return to work within 1–4 days after the injury unless they are medically unable to perform any productive role for the employer. The time out of work should be proportionate to the length of the disability. The Average Cost Per Employee in 2009, according to the 2009 RIMS Benchmarking Survey is $721 for all employers combined. Some documents and policies to use are:
Transitional Duty Policy Work Ability Form Transitional Assignment Form Post Injury Procedure Worst-to-Best Benchmark Performance List Employee Brochure Introduction Letter to Employees Employee Acknowledgement Form Physician Telephone Contact Questionnaire
Supervisors Guide to Workers' Compensation General Manager Best Practices
VOLUNTARY BENEFITS Benefits are also given voluntarily to workers by some progressive employers. These include loans for purchasing houses and for educating children, leave travel concession, fair price shops for essential commodities and loans to buy personal conveyance. Machinery Connected with Employee Welfare Work
Chief inspector of Factories
It is the duty of the Chief inspector of factories (who generally works under the administrative control of the labour commissioner in each state) to ensure enforcement of various provisions of Factories Act i8n respect of safety, heath and welfare of workers.
Central Labour Institute
The institute was set up in Bombay in 1966 to facilitate the proper implementation of the Factories Act, 1948; to provide a centre of information for inspectors, employers, workers and others concerned with the well being of industrial labour and to stimulate interest in the application of the principles of industrial safety, health and welfare.
National Safety Council
The National Safety Council was wet up on 4th March, 1966 in Bombay at the initiative of the Union Ministry of Labour and Rehabilitation, Government of India, as an autonomous national body with the objective of generating developing and sustaining an movement of safety awareness at the national level.
Director General of Mines Safety
The Director General of Mines Safety enforces the Mines Act, 1952. He inspects electrical installation and machinery provided in the mines and determines the thickness of barriers of 2 adjacent mines in order to prevent spread of fire and danger of inundation.
Appraisal of Welfare Services 1. One of the main obstacles in the effective enforcement of the welfare provisions of the Factories Act has been the quantitative and qualitative inadequacy of the inspection staff. 2. at present, a labour welfare officer is not able to enforce laws independently because he has to work under the pressure of management. 3. Women workers do not make use of the crèche facilities either because they are dissuaded by the management to bring their children with them or because they have to face transport difficulties.
National Commission on Employee Recommendations 1. The statutory provisions on safety are adequate for the time being effective enforcement is the current need. 2. Every fatal accident should thoroughly be enquired into and given wide publicity among workers. 3. Employers should play a more concerted role in safety and accident prevention programme and in arousing safety consciousness. 4. Safety should become a habit with the employers and workers instead of remaining a mere ritual as at present. 5. Unions should take at least as much interest in safety promotion as they take in claims for higher wages.
SOCIAL SECURITY The connotation of the term ―Social Security‖ varies form country to country with different political ideologies. In socialist countries, the avowed goal is complete protection to every citizen form the cradle to the grave. There are some components of Social Security:
Medical care Sickness benefit Unemployment benefit
Old-age benefit Employment injury benefit Family benefit Maternity benefit Invalidity benefit and Survivor‘s benefit
Social Security in India At present both types of social security schemes are in vogue in our country. Among the social assistance schemes are the most important. The social insurance method, which has gained much wider acceptance than the social assistance method, consists of the following enactments. Employees’ State Insurance Act, 1948 1. Other than seasonal factories, run with power and employing 20 or more workers. 2. Administration. The Act is administered by the ESI corporation, an autonomous body consisting of representatives of the Central and State Governments, employers, employees, medical profession and parliament. 3. Benefits. The Act, which provides for a system of compulsory insurance, is a landmark in the history of social security legislation in India. 1. Medical Benefit. An insured person or (where medical benefit bas been extended to his family) a member of his family who requires medical treatment is entitled to receive medical benefit free of charge. 2. Sickness Benefit. An insured person, when he is sick, is also entitled to get sickness benefit at the standard benefit rate corresponding to his average daily wage. 3. An insured woman is entitled to receive maternity benefit (which is twice the sickness benefit rate) for all days on which she does not work for remaining during a period of 12 weeks of which not more than 6 weeks shall precede the expected date of confinement.
4. The Act makes a three-fold classification of injuries in the same way as is done in the workmen‘s compensation Act. 5. Dependant’s Benefit. If an insured person meets with an accident in the course of his employment an dies as a result thereof, his dependants, i.e. his widow, legitimate or adopted sons and legitimate unmarried daughters get this benefit.
The Maternity Benefit Act, 1961 Maternity benefit is one of the important benefits provided under the Employees State Insurance Act, 1948. Another important legislation in this respect is the Maternity Benefit Act, 1961. The Act covers only those persons who are not covered by the Employees State Insurance Act. The Act entitles a woman employee to claim maternity leave from her employer if she has actually worked for a period of at least 160 days in the 12 months immediately proceeding the day of her expected delivery. The committee on the status of women in India 1974 has, therefore, recommended the following changes in the Act: 1. The administration of the fund should follow the pattern already established by the ESIC. 2. For casual labour a minimum of 3 months of service should be considered as qualification service for this benefit. 3. This will provide greater incentive to women workers to participate in trade union activities.
The Payment of Gratuity Act, 1972 1. Coverage. The Act applies to every factory, mine, oilfield, plantation, port and Railway Company and to every shop or establishment in which 10 or more persons are employed, or were employed, on any day of the preceding 12 months. 2. Administration. The Act is administered by a controlling authority appointed by the appropriate Government.
3. Benefits. Under the Act gratuity is payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years. The completion of continuous service of five years is, however, not necessary where the termination of the employment is due to death or disablement Gratuity is payable at the rate of 15 days‘ wages based on the rate of wages last drawn by the employee for every complete year of service or part thereof in excess of six months. But the amount of gratuity payable to an employee shall not exceed Rs. 3.5 lakh. 4. Source of Funds. Under the Act gratuity is payable entirely by the Employer. For this purpose is required either (i) to obtain insurance with the Life Insurance Corporation, or (ii) to establish a gratuity fund. Thus it is his liability to pay the premium in the first case to make the contribution in the second case.
Work Environment It is generally assumed or implied a part of the contract of employment that an employer will provide a safe working environment, and the health and safety legislation seeks to ensure that this is the case. But physical safety is only one aspect of the working environment, and consideration should be given to other aspects such as the encouragement of team spirit, mutual respect and open lines of communication. A particularly difficult area that may require special attention is the development of positive relationships between volunteers, permanent employees and casual employees. The provision of counselling support may be helpful in some situations. Stress caused by the working circumstances is becoming a common issue, and the welfare of the employee should include prevention or reduction of potential stress. Health and safety policies would also address this issue.
Personnel Development Strategy A good employer must fulfill a number of roles in respect of employees, over and above obligations that are discussed elsewhere. An important one is the motivation of all staff, whatever their basis of employment, to carry out their responsibilities to a high
standard and to stay with the organisation. A Personnel Development Policy is helpful as it sets out what incentives, rewards and support the organisation can offer. While pay is one of these, others include recognition and promotion, increased responsibility and involvement, and training opportunities. The Appraisals System is key to implementing the policy, though it can be introduced without a policy.
Appraisal Systems Appraisals provide an opportunity to give feedback to employees on their performance and consider how the organisation can better support and motivate the employee to develop within the organisation. In summary an appraisal system usually includes: Clarification as to who will carry out the Appraisal – usually a senior manager or a member of the management committee. A one to one meeting between the employee and the appraiser, planned and notified in advance. bout the purpose and format of the appraisal before the meeting, including a copy of the appraisal form(s) Joint evaluation of the employee‘s performance against objectives as set out in the job description (or developed at the last appraisal meeting). nsideration of training needs.
Training Training needs depend on the nature of the organisation and what it does, and it is worth taking the time to think through a training plan which links training to both the needs of the individual and the needs of the organisation. Such a plan should set out why training is necessary, what types are a priority and who will benefit (in terms of content), how individual training needs will be determined, and who will have access to training opportunities (again ensuring that equal opportunities issues are addressed). Training can be organised in many different ways, and in summary include:
Induction An induction session is initial training, so should include equalities policies, health and safety issues and procedures and basic information about the job and the employment environment.
Focused more on the job than on the individual, this form of training allows experience to be gained under supervision and in many cases is more appropriate than lectures/reading etc. Includes apprenticeships, demonstrations and shadowing colleagues.
Generally training provided by the organisation within the organisation. Useful for developing a common understanding of organisational objectives, policies (such as equalities, harassment), and procedures. In house resources can be used, or someone with particular skills can be brought in to assist. Can take many forms from group lunch sessions to formal seminars and speakers.
Comprises conferences, visits, short and long courses and qualifications provided by parties outside the organisation. This is generally more expensive because of transport and expenses on top of fees. It may have the advantage of providing training which is impossible to arrange in house, as well as providing an outside perspective on issues and possibly a wider context or knowledge base.
Investors in People This is a national initiative that encourages and recognises high standard in the area of human resource management, with an emphasis on employee involvement in setting objectives and development of people to meet objectives. It may be useful for larger community enterprises and other organisations that are particularly focused on becoming ‗good employers‘.
OBJECTIVE OF THE STUDY The main objective of the research is to study the attitude of the employees towards their position in organization and if they are found resistant to suggest measures to overcome the same. Below are some secondary objectives to fulfill the main objective: 1. To study the various acts and schemes under Compensation Management System. 2. To study the facilities given to the employees of the organization. 3. To study the satisfaction level of the employees towards Compensation Management System.
RESEARCH METHODLOGY Research in common parlance refers to a research for knowledge. It is also defined as a scientific and systematic search for pertinent information collection on a specific topic. In fact it is an art of scientific investigation. Research is not only concerned to the decision of the fact but also building up to date knowledge and to discover the new facts involved through the process of dynamic change in the society.
UNIVERSE OF THE STUDY For this research project the universe of study has been confined to NFL Bathinda.
RESEARCH DESIGN Under this project the research design is descriptive in nature. Study is a part of conclusive research design under which we make a design, which would provide us some relevant result in regard to question or the problem At hand. In our research statistical are used to a large number of responders. The emphasis of this project is to “Compensation Management System”.
DESIGN OF QUESTIONNAIRES Information was received from the respondents through questionnaires containing structured as well as un-structured questions. Initially a try-out was prepared which was pre-tested on a small sample of respondents to identify problems if any. Relevant changes were made in the questionnaire before it was finalized. Questionnaires was developed and used for the collection of the data for the subjects in the feedback process.
DESIGN OF THE STUDY A survey was conducted to collect data from HR professionals as well as the executives or other employees which are part of the part of the organization.
SAMPLE SIZE The sample size is restricted to 30 respondent of NFL Bathinda.
SAMPLING PROCEDURE The sample was randomly selected and also used convenient sampling.
SOURCE OF DATA The major part of the study was done through personal visits to Managers and Executives of leading Companies, also through the emails, and online interaction. Help of various books and websites on the internet were also taken. To make the research complete it is very important to have the necessary and useful data sometimes data can be available readily in one form. The other and sometimes they have to be collected. Both primary and secondary data are used in this study. (1) Primary Data (i) The date collected through the questionnaires filled in by the Senior Officers, Managers, Executives and staff of HR department. (ii) The information generated while personally interacting with Senior Officers, Managers, Executives and staff of HR department. (2) Secondary Data (i) (ii) Detailed study of the existing books, magazines and Journals. Websites and material available on Internet with regard to area of study.
SCOPE OF THE STUDY The scope of the present research is confined to the study of resistance among employees of the NFL Bathinda to achieve the objective. The study looks into all aspects with regard to the resistance of human resource department towards implication of information technology. The study is limited in terms of Geographical areas of NFL Bathinda. The study mainly concentrated in checking the satisfaction level of employees towards their job.
DATA ANALAYSIS & INTERPRETATION All data collected are summarized in the graphs and textual compilation, which help in proper interpretation of the problem. Any study, however, comprehensive, always has some limitations. In most cases, this study revolves around the perception and attitudes of the people about a system and the people involved are senior management, middle management and the HR professional. Thus the responses are effected by the persons own psyche and thinking. Limitation also arises under the circumstances when respondent is unwilling to reveal certain information. The main contribution from the study is in the field of developing the most important resources of the organization i.e. Human Resources.
Years of service with the company. 0 – 5 years 5 – 10 years 10 – 15 years More than 15 years 7 7 9 7
0 – 5 years 5 – 10 years 10 – 15 years More than 15 years
From the above table we conclude that 31% employees are working in this organization from last 10 – 15 years whereas 23% employees are working are lying remaining categories.
This organization is a pretty good place to work. Yes No Can‘t Say 17 7 6
Yes No Can’t Say 58% 23%
From the above table it is clear that 58% employees are satisfied with this organization, 23% employees are not satisfied whereas 19% employees can‘t say anything about this.
Are you satisfied with your current position Yes No Can‘t Say 21 4 5
Yes No Can’t Say
From the above table it is clear that 69% employees are satisfied with their current position, 12% employees are not satisfied whereas 19% employees can‘t say anything about this.
Your workload is challenging & involves lot of burden. Yes No Can‘t Say 7 19 4
From the above table it is clear that 55% employees says that their workload is not challenging or not making burden on them, 24% employees are workload is too much whereas 12% employees can‘t say anything about this.
Are you satisfied with the working environment of the organization? Yes No Can‘t Say 24 4 2
From the above table it is clear that 81% employees are satisfied with the working environment of the organization, 12% employees are not satisfied whereas 7% employees can‘t say anything about this.
Are your seniors corporates you regarding the problems facing towards work Yes No Can‘t Say 26 2 2
From the above table it is clear that 87% employees are agreed with that their seniors are timely helped them in the work, 7% employees are not agreed with that whereas 6% employees can‘t say anything about this.
Does organization pays you sufficient salary as per your workload. Yes No Can‘t Say 26 3 1
From the above table it is clear that 88% employees are agreed with that their salary packages is sufficient as per their capability, 9% employees are not agreed with that whereas 3% employees can‘t say anything about this.
Are department personnel professionally and technically competent? Yes No Can‘t Say 20 6 4
From the above table it is clear that 66% employees are agreed with that their department personnel are competent, 13% employees are not agreed with that whereas 21% employees can‘t say anything about this.
Are you satisfied with performance appraisal system of the organization Yes No Can‘t Say 5 22 3
From the above table it is clear that only 12% employees are satisfied with the performance appraisal system of the organization, 75% employees are not satisfied with this system whereas 13% employees can‘t say anything about this.
Can you have discussed your job related problems with your seniors any time? Yes No Can‘t Say 24 2 4
From the above table it is clear that 81% employees are agreed that they can share their problem with seniors anytime, 7% employees are not agreed with that whereas 12% employees can‘t say anything about this.
Do your seniors listen your problems carefully and take necessary step to find out solution? Yes No Can‘t Say 27 2 1
From the above table it is clear that 93% employees are agreed that seniors listen their problems seriously, 6% employees are not agreed with that whereas 1% employees can‘t say anything about this.
Do you think that by educating the employees, change can effect your position Yes No Can‘t Say 11 5 14
From the above table it is clear that 36% employees are agreed with that the higher educated employees effect their positions, 17% employees are not agreed with that whereas 47% employees can‘t say anything about this.
Do you believe that any sort of change in organization can give a threat to your job? Yes No Can‘t Say 1 25 4
From the above table it is clear that only 3% employees are agreed with that upgradation will effect their position, 85% employees are not agreed with that whereas 12% employees can‘t say anything about this.
Does the organization have a clear policy regarding employee benefits? Yes No Can‘t Say 23 4 3
From the above table it is clear that only 79% employees are agreed with that organization have cleared their policy regarding benefits, 12% employees are not agreed that whereas 9% employees can‘t say anything about this.
Do you believe that there is a participation of management & employees in solving problem? Yes No Can‘t Say 27 2 1
From the above table it is clear that only 93% employees are believed that participation of management & employees are solving, 6% employees are not believed that whereas 1% employees can‘t say anything about this.
CONCLUSION The survey was carried through a questionnaire and the questions were. Formed kept in mind the aspects of perception most important is positioning. Question preparation is prove to researcher‘s bias a well. The finding of the survey may not be representative of the market as it is limited in scope. The Sample of the project is 30 respondents. The retailers are selected at random without any consideration. The project has been based on the information provided to me by the retailers and all the analysis and interpretation has been done on its basis. So if the retailers provided any wrong information to me I do not owe any responsibility for that. Time was a very limiting factor because of the very limited respondent were contracted.
BIBLIOGRAPHY Books 1. Aswathappa, K. Human Resource and Personnel Management. New Delhi: Tata McGraw Hill Publishing Company Limited, Pp. 224-228. 2. Bernardin, H.John. Human Resource Management-an experimental
approach. New Delhi: Tata McGraw Hill Publishing Company Limited. Pp. 156-157. 3. Bolar, Malathi. Performance Appraisal, Readings, Case Studies and A Survey of Practices. New Delhi: Vikas Publishing House Pvt. Ltd. Pp.6 -17.