'Labour Absenteeism

ASHOK IRON WORKS
KARNATAKA LAW SOCIETY’S
INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH
BELGAUM.
(Approved by AICTE, New Delhi & Affiliated to K.U.D.)
MAJOR CONCURRENT PROJECT REPORT
ON
‘’LABOUR ABSENTEEISM”
AT
“ASHOK IRON WORKS”
Plant- II,
BELGAUM
SUBMITTED BY:
Ashwini. B. Javali
Reg. No:MBA08003013
INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 1

ASHOK IRON WORKS
KARNATAKA LAW SOCIETY’S
INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH
BELGAUM.
(Approved by AICTE, New Delhi & Affiliated to K.U.D.)
CERTIFICATE
This is to certify that Miss Ashwini. B. Javali has satisfactorily completed her major concurrent
project on “LABOUR ABSENTEEISM” at “Ashok Iron Works, Belgaum, in partial fulfillment of the
requirement for the award of Masters Degree in Business Administration from Karnataka University
Dharwad, during the academic year 2008- 2010.
INSTITUTE GUIDE DIRECTOR
Prof. Shashank. Hiremath Dr. A. B. Kalkundrikar

ASHOK IRON WORKS
ACKNOWLEDGEMENT
It gives me immense pleasure to present this project report on “LABOUR
ABSENTEEISM” in ASHOK IRON WORK, Belgaum.”
Firstly, I would like to convey my sincere gratitude to our Director
Dr.A.B.KALKUNDRIKAR for giving me an opportunity to undergo Major Concurrent
Project and study the practicality of business.
I would also like to thank Mr.Milind.Kulkarni, HR Manager for giving me
permission to do my project in the company and helping me during my working on the
project.
Mr.Milind. Kulkarni is the external guide, without whom I would have not been
able to complete my project. From the day one, he guided me and made available all
required information.
Lastly, I would like to take the pleasure of being grateful to my internal guide
Prof. Shashank. Hiremath who have constantly been there for me and have motivated
me to do my work with utmost sincerity and honesty.
And lastly I wish to extend my deepest sense of gratitude to my Family and Friends
and to all those who encouraged me to accomplishing this endeavour.

ASHOK IRON WORKS
DECLARATION
I Misss. Ashwini. B. Javali, of 4 th semester MBA, studying in Institute Of
Management Education And Research, Belgaum bearing the University Seat No.
MBA08003013, hereby declare that this project is genuine and original work of study
prepared by me. To the best of my knowledge and belief, the matter presented in the report
has not been copied from any report submitted to the Karnataka University, Dharwad to
get the award of MBA.
This project report is submitted to Karnataka University, in partial fulfilment of the
requirement for the award of Degree Master of Business Administration during the
academic year 2008--10
CONTENTS:-
 Executive Summary ..........................................................

ASHOK IRON WORKS
 Introduction to the study....................................................

 About the company ..........................................................
 Industry Profile
 Company profile
 Vision, Mission and Quality policy
 Organization chart ...........................................................
 Department Profiles..........................................................
 Purchase Department
 Stores Department
 Production Department
 Maintenance Department
 Accounts department
 Human Resource Department
 SWOT Analysis.........................................................
 ABSENTEEISM.........................................................
 Economic impact on absenteeism
 Features of absenteeism
 Measures to control absenteeism
 Absenteeism and Management
 Analysis and Interpretation.......................................
 Findings and Suggestions..........................................
 Conclusion.................................................................
 Questionnaire............................................................
 Bibliography..............................................................

ASHOK IRON WORKS

ASHOK IRON WORKS
EXECUTIVE SUMMARY
The project was undertaken in Ashok Iron Works Private Limited, Machhe Belgaum. The
study was made to know “The Absenteeism”.
The CEL was carried out at Ashok Iron Works Plant-II Pvt Ltd. It is one of the sister
concern/unit of Ashok Iron Group. Ashok Iron Group deals mainly in casting of large cylinder
head and blocs. The two main divisions in this group are foundry and machining division. The
castings manufactured at foundry are sent to machining division for machining and further
processing.
The Ashok Iron Group is unique among foundry line. It is recognized as class
organization not only in India but internationally too. It is bread giver for thousand of
workers/ employees in and around the Belgaum. People from West Bengal, Orissa, Uttar
Pradesh, Maharashtra, Tamilnadu, and Bihar come here in search of bread.
The CEL is a project dealing with organizational study and the Impact of Job
Satisfaction on Attrition Rate. It includes the profile of the company, its various departments,
Mission, Vision, HR, Manpower Planning, Organization Chart, Recruitment process of the
organization. The information was collected through company guide and other related
materials like company prospects, website of company etc.
The objective of the study was to study on the Absenteeism rate in the organization,
Method of collecting primary data was through questionnaire and personnel interview
and secondary data has been collected through internet, observation, company manuals etc.
For the purpose of the study 50 employees have been chosen as a sample size through
convenient sampling. Data collected was tabulated and simple percentage method was used to
derive conclusion.
Depending on this I have made my own suggestions and given own idea to improve
upon the present Absenteeism at Ashok Iron Works Pvt Ltd.

ASHOK IRON WORKS
INTRODUCTION TO THE STUDY
Title of the project: “ LABOUR ABSENTEEISM”
Employees’ presence at work place during scheduled time is highly essential for smooth
running of the production process in particular and the organization in general.
Types of Absenteeism:
1. Authorized absenteeism
2. Unauthorized absenteeism.
3. Willful absenteeism.
4. Caused by circumstances beyond one’s control.
OBJECTIVE
1. To study the level of absenteeism among the workers at AIW.
2. To identify the cause of absenteeism.
3. To determine the nature and magnitude of causes.
4. To identify and provide suitable measures to prevent frequency of absenteeism.
5. To suggest suitable measures for controlling absenteeism rate.
6. To analyze the importance of reducing absenteeism.
Scope of the study:

ASHOK IRON WORKS
Absenteeism is a serious problem for a management because it involves heavy

expenses.. A noticeable feature in the industrial life in India is the absenteeism. The research
work is to analyse the problem of absenteeism. This research work is done to analyse the
problem of absenteeism affecting the Ashok Iron Works. Absenteeism is the universal
phenomenon. The study reveals the level of absenteeism of influence of workers in production
process. Absenteeism is a yardstick to find out the employees attitude towards his work and
organization.
Statement of the Problem:
This particular topic is selected because the management of attendance is an important

aspect of supervision in the workplace and it is necessary for the smooth functioning of an
organization. Effective supervisory efforts in attendance management will affect a relatively
small percentage of workers but will generate substantial savings, increased morale and labour
productivity. This research proposes to explore the effects of Absenteeism on Labour
productivity.
Need For The Study:

To understand workers perception towards absenteeism.
To know the cause of absenteeism.

ASHOK IRON WORKS
INDUSTRY PROFILE:
THE INDIAN FOUNDRY INDUSTRY
The Indian foundry occupies a special place in shaping the country’s economy. India
is currently among the 10 largest producers of ferrous and non-ferrous castings and has over
6500 foundries in the small, medium and large scale sectors. Approximately 90% are in the
small scale. India exports annually above Rs.700/- corers worth of castings to countries like
U.S.A, UK, Cannada, Germany etc.
However there is a still lot need to be done. Even with these improvements, the export
of castings from India amounted to only one percent of the world requirement. Basic
technology has not gone much change but the emphasis has changed. The Foundry industry is
an important employment provider and provides direct employment to about half a million
people.
In the near future there will be scope for the Indian foundry industry to forge
Strategic alliances with their counterparts in the developed countries, which are on the
Verge of closure primarily due to three major reasons. Waste disposal and highly
Stringent pollution control regulations. High manpower costs and acute shortage of
Trained personnel to work in foundries.

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COMPANY PROFILE:
Ashok Iron Works Plant II Profile:
Name Of The Company: Ashok Iron Works Pvt Ltd: Plant II
Founded : 1991
Address : Ashoka Iron Work Pvt.Ltd.
Plant-II, Machhe Industrial Estate
Machhe , Belgaum.
Capital( Rs) : 22.21 crores
Total Area : 18600 sq mtr
Business Type : Manufacture, Exporter
Chairman : Shri Ashok.S Humbarwadi
MD & CEO : Shri V.P Hanji
Directors : Shri N.V Bhonsale
Shri A.B.Kanguri
Shri Jayant A. Humbarwadi
Shri Sadanand D Humbarwadi
Shri Sachin V.Hanji
Shri J.M Nagraj
Vice President &
Director : Shri Shivkumar D. Humbarwadi
Shri V.S Katkar
Executive Director : Shri G Ramiah
Monthly production

ASHOK IRON WORKS
Capacity : 45000
Staff : 20
Workers : 140
Bankers : State Bank Of India
Website : www.AshokIronWorks.co.in
VISION, MISSION & QUALITY POLICY

VISION:
We are committed to serve the interest of all our stakeholders by being
and maintaining our position at the top in India and be one of the best in the global scenario of
foundry business with an exceptional moral and business ethics.
MISSION:
To develop expertise in technology of machining of various

components to support the foundry business and be able to be a global supplier of finished
components.
QUALITY POLICY:
To aim at our customer delight by exceeding his expectations through

an exceptional blend of quality – cost – delivery of our products and services that we provide.
QUALITY OBJECTIVES:
1. To remain customer focused by providing the desired Quality, Cost and Delivery
through manufacturing excellency.
2. To adopt continuous improvement in all organizations activities to meet dynamic
requirement of customers.

ASHOK IRON WORKS
3. To involve and empower all employees across the organization to achieve total
quality.
TOTAL PRODUCTIVITY MANAGEMENT POLICY:
Ashok Iron Group endeavor’s to achieve customer delight, market leadership and prosperity
of all stake holders by:
• Adopting TPM process of all levels and function through total employee involvement.
• Achieving zero breakdowns, zero accidents and zero defects.
• Reducing cost by minimizing losses and maximizing OEE [over all equipment
effectiveness]
• Creating a safe healthy and careful work place.
ACHIEVEMENTS AND AWARDS:
ASHOK IRON WORKS PVT LTD:
1. One of the few QS-9000 certified foundries in India certified by TUV.

2. Certified by Cummins, USA in 1995 for supply in “Ship to Use Condition”.
3. Certified by Lloyds Register of Shopping, London in 1995.
4. Registered as world source for Cummins Engine Co. USA.
5. TS- 16949 certified, 2002
PLANT II:
ASHOK IRON WORKS
1. Bureau Vertilas Quality International (BVQC)

Certified QMS on 16th April 1996 for adopting Quality Standard (QS).
2. State Bank India Award for “Project Uptech Quality Support Scheme -1997”.
3. Cummins India Limited Award for “Best Performance in New Product Development”-
1994.
4. Cummins India Limited Award for “Outstanding Performance in Responsiveness”- 2004.
ORGANISATIONAL CHART
CHAIRMAN
EXECUTIVE DIRECTOR
DIRECTOR
VICE PRESIDENT
Maintenance Head Unit Head G M Technical
Finance Dept Head Production InCh HOD HR HOD Purchase
HOD
Sr.Manager
Partne Design Asst Asst.
Asst. Asst.
rship .
Sr.Officer
Super Engin
visor eer
Asst. Cashier
Workers
HOD
HOD QA
Maintenance

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Supervisor Engineer
Supervisor Engineer
Workers Workers
DEPARTMENTAL PROFILES
PURCHASE DEPARTMENT:-
Purchase department is concerned with the planning and providing materials and
services conforming to the specified requirements and store and preserve materials till they
are issued for use. The main function is “to procure right items for right source at a right price
with right quality”. The purchase department consists of four persons. One is the purchase
manager, the other three persons work under him.
The production department sends the requisition of materials to the Stores department
which in-turn sends in a document called indent. After receiving the indent the purchase
manager has to check (scrutinize) the indent by verification of quality, deliver date and that
has be approved from the DM/UNIT HEAD. Purchase Manager must know about the vendor
(address, his background). Planning is done before 25 th of the month of purchasing raw
materials. Raw materials is purchased according to the requirements of customers. General
Manager takes care of strategic sources. Supply chain is maintained unit-wise.
Following points are considered during purchase in the purchase dept.
 Assessment
 Selection
 Negotiation

ASHOK IRON WORKS
 Payment of terms
 Release of purchase order
 Material flow up
 Receipt of Indent
 Verification of Indent
 Product Verification
 Supplier search and selection
Major Raw materials purchased:
 Pig Iron
 S.P Scrap
 Copper Scrap
 Ferro Chromium
 Ferro Molybdenum
 Ferro Silicon
 Ferro Titanium
 Graphite Fine
 Iron Sulphide
 Super Seed Extra
PURCHASE DEPARTMENT
UNIT HEAD
ASHOK IRON WORKS
UNIT HEAD
HOD Commercial
Section In-charge
Purchase
Stores
Assistant
Purchase
Stores
STORES DEPARTMENT
Stores department is considered to be the ware house of the organization. The ABC analysis
technique of inventory management is being adopted at the organization. Inventory is maintained on
material consumption value.
Inventory under ABC analysis is maintained under the following ratio,
1. A-10% [High Consumption Value Material]

2. B-15% [Moderate consumption Value Material]
3. C-75% [Low Consumption Value Material]
Daily average material consumption in the organization is about 5-10 lakhs. Each
material stored in stores is coded under alfha-numeric coding. Material, big or small; costly or cheap
,each one is given a specific code for easy identification and access.
RESPONSIBILITIES OF STORES DEPARTMENT

ASHOK IRON WORKS
• Inventory control
• Maintaining stock
• Verification
• Issue of material to production department
• Maintaining stock level
• Stores department mainly functions on getting the purchase order
BASIC FUNCTIONS OF STORES DEPARTMENT

• INWARD:
They see that the material which they receive from their supplier is according
to the order placed by the purchase department. They verify the quality and quantity of
the received material.
If it is chemical it is sent to laboratory for inspection. The material which takes
long time for inspection will be kept under their custody under a tag till it is inspected,
latter if the inspected material is according to the placed order then the material will be
accepted or it will be rejected.
• OUTWARD
 Issues of material to concerned department
 Sales to outside party
 Rejected material is sent back to the supplier
 If the stored material is destroyed, then it is sold as scrap
DOCUMENTS MAINTAINED
• Goods received inward note (GRN)
• Delivery note
GRN CONSISTS OF
o Name of the supplier,

ASHOK IRON WORKS
o Chalkan number,
o Quality of material,
o Quantity of material,
o Sign of the supplier
PRODUCTION DEPARTMENT
The production department of the Plant-II of the Ashok Iron Group is under the control of the
General Manager.The production process starts with the drying of the sand. After drying It is
transferred to the first process of production.
The production schedule is prepared manually on month basis. In AIW Plant-II only the
casting are prepared & forwarded to m/c unit of group for further process
The production department is divided into various separate departments. Each department
consists of H.O.D & his supporting staff.
The following are the various sections of the production depatrment at AIW Plant-II:
1. Core Shop.
2. Block Molding.

ASHOK IRON WORKS
3. Block Core Setting.

4. Melting.
5. Knock Out.
6. Fettling.
7. Final Inspection.
8. Pattern Shop.
9. Laboratory.
1. CORE SHOP:
In production department the production starts with Core Shop. Core is used to leave
the hollow cavity to casting, cores are made up of sand, resin, catalyst, mainly silica sand is used,
there are 2 types of core making process
• Cold box
• No bake
Bounded sand mixture is filled in core box and is heated at required temperature. When the core
gets cold, the core box is opened. Then the proper size and type is checked. Then dressing is done
to give correct shape, then the core is painted. When the paint is dried the core is sent for
inspection & further sent for next process.
2. BLOCK MOULDING:
Moulds are prepared with the help of pattern, mould box, reclaimed sand. The mould
gives the outer surface to casting.
In this process, empty boxes are loaded on the transfer car with the help of an overhead crane.
Then the boxes will be loaded on empty patterns. The compaction table the riser ring will be done
in 60 MT continues mixers and then cycled on. Then the mould will proceed onto a roller unit.
Mould will be stripped and proceed to conveyor belt.
3. BLOCK CORE SETTING:

ASHOK IRON WORKS
When the mould box is ready then the core are set in the mould according to the drawing.
After core is set, the top & bottom box are closed & ready for coring. In this process there is
production of top & bottom boxes.
4. MELTING:
The raw materials such as big iron, steel scrap, boring etc. are melted to a temperature of
14000 Celsius to get melted; this molten metal is poured into moulds. Here, castings are given the
required shape..
5. KNOCK OUT:
After the castings cool down, which may take 24 hours to 28 hours, they are knocked out
from the mould box through rigorous vibrations. After this the casting is sent to the fettling
department.
6. FETTLING:
In fettling department the extra flashes, fins, sands, & extra materials are removed with the
help of grinders & short blasting. Inspection is undertaken to check the critical areas of castings
and damages if any by conducting the following tests.
 DP (Di Pertrent): To test the cracks in the casting

 Stress Relieving Furnace: To check uniform stress in castings.
The castings are painted and passed onto Final Inspection Department.
7. FINAL INSPECTION:
In Final inspection the castings are inspected for defects such as low holes, cracks, sand
drop etc. This department undertakes number of tests and inspections to look out for any variations
in castings. If fault is re-workable, it is reworked; otherwise it is rejected as scrap.

ASHOK IRON WORKS
8. PATTERN SHOP
If any existing mould is defective & needs any alteration ,or if any costumer requires a
new pattern or modification in an existing pattern, all these problems are solved here. The pattern
shop receives the design from the costumer, then the analyzing is undertaken & the same is
forwarded to pattern maker vendor.
9.LABORATORY:
Laboratory is the most important and essential part of manufacturing process of casting.
There are three different stages, they are:
• Incoming Testing.
• In Process Testing.
• Final testing.
• Incoming Testing:
In this stage the incoming raw materials used in various processes are first tested for
its quality and composition and if satisfied they are accepted.
• In-Process Testing:
In this stage the composition of sands at various process used in core shop, moulds,
shells etc are tested.
• Final Testing:
In this stage the hardness of a casting is tested to check its strength & sustaining
capacity. The physical and chemical properties of the casting are also tested

ASHOK IRON WORKS
PRODUCT PROFILE
1. CYLINDER BLOCK:
‘v’ type cylinder block net weight-1805 kg’s these are the products which are
mainly used in the diesel engine industries. And all types of inline and 'V' type blocks up to
3000 Kgs. per piece, raw or machined.

ASHOK IRON WORKS
2. CYLINDER HEADS:
Assembled single bore cylinder heads weighing 130 kg’s this is also used in the diesel engine
industries. All types, single cylinder up to 6 cylinder, from 15 Kgs per Piece to 130 Kgs per
Piece, multicored, raw or machined.
Apart from these gear boxes and gear cases are also produced in the plant-II.
MAINTENANCE DEPARTMENT
The responsibility of this department is to look after the various workshops, machines
& tools used in those departments.
Maintenance objectives:
“To reduce breakdown percentage through effective and planned maintenance”.

ASHOK IRON WORKS
PLANT
Department (HOD)
Section Incharge Building Maintenance
Electrical Mechanical Staff
Staff/ Trainee
Books / Registrars Maintained.

The department HOD maintains the following books or registers in the department:
• Daily Performance Register.
• Down time memo Book.
• Holding Preventive Plan.

• Training Register.
• Productive Maintenance Book.
• Problem Directory.
• Work Done Register.
• Breakdown register
ACCOUNTS DEPARTMENT:
All financial affairs related to the company are dealt with through this department. The
company maintains de-materialized form of accounting system.
The following is the departmental chart of AIW Plant II’s Finance and
Accounts department:

ASHOK IRON WORKS
Executive Director
Asst. General Manager

Finance
Sr. Manager Dy. Manager

Finance Finance
Functions of Accounts Department:
 Arranging Funds
 Accounting
 Proper Allocation of Funds
 Complying with all statutory responsibility such as tax, excise tax, Income tax.
 Maintaining and controlling the expenditure
 Preparing of cash budget
 Preparing Annual report
 Maintaining books of accounts
 Preparing and issuing cheques and drafts
 Preparing profit and loss
 Administration responsibilities such as MIS, Monthly profit and loss account, cash
flow and fund flow statements, operative performance report, final accounts.
HUMAN RESOURCES DEPARTMENT
The Human Resources Department plays an important role in the organization. This
department has acquired more importance in recent times. This department looks after the various
activities concerned with recruiting, selection, training, appraisal, labour welfare, transfer, termination
etc. This department takes care of all the activities related to laborers’ and employee satisfaction.

ASHOK IRON WORKS
The following is the departmental chart of AIW Plant II’s Human Resources department:
EXECUTIVE DIRECTOR
PRESIDENT
Sr General Manager
HRD
Assistant:
Personnel
Welfare
FUNCTIONS OF HR DEPARTMENT:
1. Man power planning
2. Recruitment and selection.
3. Identity training needs for employee.
4. Performance appraisal.
5. Salary and Wage administration
6. Welfare Measures.
7. Payment of Gratuity.
8. Increment/incentives.
9. Preparation of attendance sheet.
1. Man power planning
The main activity of HRD department is the planning of manpower. Depending on the
production of products, manpower planning is done by HRD. Presently, the plant has 200 employees
including staff. They have a basic salary of Rs146/- per day. It is the joint responsibility of HOD’s and

ASHOK IRON WORKS
the HRD department to prepare manpower plan in conformity with production norms. This shall be
approved by the senior director in-charge of the unit.
2. Recruitment and Selection
Recruitment is the process of searching for prospective employees and stimulating and
encouraging them to apply for jobs in the organization. There are two types of recruitment process;
internal recruitment and external recruitment. Internal sources of recruitment include promotions,
transfer & redeployment of existing employees. External sources include advertisements, employment
exchange, newspapers, reference etc.
3. Identify training needs for employees
The HRD identifies training needs for employees by receiving response from the main
supervisor of every department of production and based on this certain steps are taken by the HRD.
4. Performance Appraisal System
The process is done to know the effectiveness of employee on the job and awareness
towards his strength and weakness in respect of role in the organization. The objective is to improve
relationship between appraiser and appraisee through performance dialogue. At AIW Plant II,
performance appraisal is done on an yearly basis for permanent employees only.
5. Salary and wage Administration
Salaries of the employees are given on 7 th of the every month & overtime incentive is
given on the 22nd of every month. For contract labourers Rs 146/- per day is given. This salary is
divided into three categories namely basic is Rs 106, production is Rs 25 and for attendance is Rs 15.

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Basic + Production + Attendance = 146
6. Welfare Measures:
• Restrooms
• Drinking water
• Medical facility
• Leave facility
7. Payment of gratuity:
As regards gratuity, for every 1 year of service, 15 days average basic pay would be
paid to workers provided they have rendered service of not less than 5 years.
Gratuity = (BS + DA * Years of Service * Days) / 15
8. Attendance Sheet:
Daily attendance sheet is prepared to know the attendance of the employees to check rates of
absenteeism & to implement counter measures to curb such occurrences
CUSTOMERS’ PROFILE
1. Cummins India limited.

2. Mahindra and Mahindra ltd.

ASHOK IRON WORKS
3. Ashok Leyland pvt ltd

4. TAFE
5. Simpson & Co. Ltd
6. Larson & Tubro Ltd
7. Lister Petter India Ltd
8. Escorts Ltd.
9. Addison & Company Ltd.
10. Diesel Locomotive Works Ltd. (DLW)
11. SAME Tractors
12. Bitzer International
13. Atlas Copco Ltd.
COMPETITORS’ PROFILE
1. Ennore Foundry Ltd, Chennai.
2. Neco casting Ltd., Andhra Pradesh.
3. Melcast Pvt Ltd. Gudur- Andhra Pradesh
4. Laxmi Metal Works, Coimbatore
5. KFIL- Hospet
6. Ghatage Patil Industries Ltd. – Kolhapur.
7. Saroj Iron Works – Kolhapur.
SWOT ANALYSIS
S O
W T
ASHOK IRON WORKS
Internal
S: Things the company does well
W: Things the company does not do well.
External O: Conditions in the external department that favor their strengths.
T: Conditions in the external environment that does not favor areas of
Strengths or weaknesses.
A SWOT analysis summarizes the key issues from the business environment
and the strategic capability of an organization that are most likely to impact on strategy
development. SWOT analysis is a tool for auditing the organization and its environment.
It is the first stage of planning and helps marketers to focus on key issues.
COMPANY SWOT ANALYSIS

STRENGTHS:

ASHOK IRON WORKS
1. Large number of orders

2. International demand for the products
3. High quality castings
4. Low Cost of production [economies of scale]
5. Efficient manpower
6. Good infrastructure facilities
7. Good financial condition
8. TS certification
WEAKNESSES:
1. Transportation costs
2. Excess tax regimes
3. Rejection due to defective or minor loop holes
4. Absenteeism/ Turnover of workers
OPPORTUNITIES:
1. Increasing demand orders

2. Permanent and new customers
THREATS:
1. Risk of obsolescence of technology used.

2. Environmental policy and restrictions.
3. Cheaper castings from competitors.
5S TECHNIQUE

ASHOK IRON WORKS
“5S” is a technique used in the organ to increase total productivity. ‘5S’ are the few
Japanese term which means:
SEIRT
SHITSUKE SEITON
SEISO SEIKETSU
SEIRT: (Sorting out):

 Look around your work area and ask your self “is it really necessary for the items to be
there”?
 Separate OK, Re-workable and reject items.
 Rework the rework able item and dispose of the rejected items.
SEITON (Systematic Arrangement):

Item must be placed in prefixed location so that are easily accessibly and can be easily
made sure that item can be lamely identified by labeling them properly.
SEISO (Spic and Span):

It means lemming the workplace and all the machinery by our selves.

ASHOK IRON WORKS
SEIKETSU (Serene Atmosphere)

Even a clean work place with proper selection and proper arrangement will soon become
dirty, if shorting out, systematic arrangement and spic and span are not continuously repeated.
Let us keep our area heat and clean, including one’s uniform also, through which we will
achieve to have serene atmosphere.
SHITSKE (Stick to self discipline):

Everyone should be discipline to follow strictly the rules and maintain standards while
working for e.g.: timing to follow prescribed operation standard safety measure.
Benefits of 5-S :-
• Continuity in work and hence reduce defects improve quality and productivity of the
work in all sphere.
• Individual in the work, which results in less or no accident, will practice safety and
proper maintenance.
• Helps in using machinery and tools safety.
• Smooth working is possible and low losses and hence increases efficiency and
productivity.

ASHOK IRON WORKS
How to achieve 5-S?

To achieve 5-S, every employee should observe around his work
Place and should ensure whether,
• Useless or unnecessary materials are not there at workplace.

• All materials are kept at there respective place.
• Everyone should be attentive and follow the rules and regulations. All employees
should work according to the set procedure or given instruction.
Observe at your workplace:

Observe the following whether,
• Any unworkable material is there?
• Materials used at workplace are there or not?
• Proper timetable is followed?
• Work is done according to the said procedure?
Let’s adopt 5’S and kick of the bad habits and improve the quality of work and remain the
maintain the class and quality of production.
Safety measures and policies:
Safety Measures:
The organization deal with foundry business and risk involved in working is very high. There
are possibilities of accidents right from minor to major. That is the reason why organization should
take proper measure of safety at workplace and off place too the below mention points are safety
concern of the organization.
 Identifying the unsafe condition or unsafe act through:

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• Monthly safety audit report.
• Monthly safety committee meeting discussion.
• Reports by employees
 The safety and health policy is introduced for providing good and safe environment
 Work permit system is been implemented while working at height/at Fragile Roof.
 Fire extinguishers are installed and Maintained at prominent places.
 All gangways are kept free from materials
 All machines are provided with safety guards.
 First Aid boxes are provided at each unit
 Ambulance van is directly available for taking injured to hospital.
Safety Policy:
 Health and safety of employees whether at workshop, office or site, are matters of
interest concern to the management.
 Management believes that human value involved is of great importance, wherever else
may be the compulsion of business and manufacturing
 Safety and health operating procedures also have way for reduced cost and higher
productivity
 Safety rank top on the priority list along with quality and production
 Healthy employees are real assets of the organization
 All accident and damages shall be prevented.

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The company is committed to
1. Ensure the plant, equipment machinery: process and system of work are safe, hazard
free and without risk of health.
2. Ensure availability of information ,instruction, training and supervision
3. Believe that, no job is so important as to overlook health and safety.
4. Believe that co-operation of the employees in observance of safety policy will provide
safe working condition and ensue accident safe and quality performance.
5. Provide regular health check-up to maintain the health status of the employees
6. Held accountable all skiff for the safety of their employees
7. To conduct safety inspection and safety audit periodically.
Company expect from employees:
1. To observe and adopt the safety rules.
2. To use all safety appliance, equipment and devices properly.
3. To follow the operation procedure.
4. To keep the workplace clean
5. To comply with the instruction competent authority.
6. To integrate safety in the job
7. To care for personal hygiene
8. Disseminate safety knowledge among colleagues
9. Draw the attention of right officer on any safe activity, procedure and condition.
10. Help to create safe working condition for others.

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11. To report all type of accident.
Health:
 Provide the facilities like drinking water, urinals and toilets, and maintain them properly
 Proper ventilation
 Maintaining cleanness inside and surrounding of the shop.
Recruitment/Selection
 Existing HRD data bank.

 Within the group companies
 Consultant/ placement agencies
 Through personal contact
If suitable candidate are not available through above sources, then through, advertisement in news
papers. According to the provision of employment exchange ad the HRD department will notify the
same to the concern employment exchange.
Recruitment procedure:
A. Experienced candidates:
For experienced candidates, the salary fixation and other parts for each position
shall be as per pay scale however, individual fixation shall be made depending upon his
qualification, experience, job requirements etc.
B. Fresh candidates:
BE/Diploma/Graduation/PG:

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1. The period of training for fresh candidate will be one year
2. Stipend during the training period will be as per the company policy
3. The successful candidates as per regularization criteria will be observed in regular

scale/grade.
C. Workmen:
1. For fresh candidates, the training shall be 18 months
2. Stipend during the training period is as per the company policy.
3. Subsequently additional benefits as decided by the management will be exdended during

the course of training period .
4.Once the training period is completed successfully the tranee shall be observed in the
workmen category as per minimum wages Act.
Pay and Allowances:
 Classification of employees is as per the policy of the company. The compensation

package for each scale also provided accordingly.
 The employee placed in the scale based on the experience, qualification, nature of
work etc. Depending upon this basic are fixed with respective scales.
Attendance Policy
Attendance allowance of Rs 15/- per day payable based on minimum attendance during
the month i.e. working days minus 3days, however for new joined workers no deduction will
be made for first the month .The deduction will be affected from second month onwards. And
the worker becomes eligible for incentive only if he is present for 23days. The attendance is
recorded through a system called punching card system where in the worker should punch the

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card as he entre the company premises and when he leave the premises. And only the
permanent workers have the benefit of privilege leaves i.e. 1 PL in every 23 days.
ABSENTEEISM
Employee’s presence at work place during the scheduled time is highly essential for the
Smooth running of the production process in particular and the organization in general.
Despite the significance of their presence, employee sometime fails to report at the work place
during the scheduled time, which is known as ‘absenteeism’.Labour Bureau,Simla,defined
the term ‘absenteeism’ as “the failure of the worker to report for work when he is scheduled
to work.” Labour Bureau also states that “absenteeism is the total man-shift lost because of
Absence as a percentage of the total number of man-shifts scheduled to work.”
The impact of absenteeism on the organization:
Absenteeism is a substantial problem that costs businesses enormously. When an employee is
Routinely away from work, it has a detrimental effect on your organization. Some of the ways you
Are impacted are:
1. Lower productivity (by nature of the absence), resulting in lost revenue or lower profits
2. Higher costs, as a result of possible overtime pay for other employees on shift
3. Overworked employees, who may be stretched too thin when picking up the slack of an
Absent colleague. This lowers their own efficiency and productivity.

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4. Lower staff morale, as team members begin to resent those who are away or
management for not doing anything about it. This in turn is a key factor in overall
disengagement and is likely to prompt additional absenteeism.
THE ECONOMIC IMPACT OF ABSENTEEISM
Gauging precisely the cost impact of absenteeism is difficult.
Following effects of high levels of absenteeism

— Increased manpower complement to meet staffing needs.
— Loss of revenues from not meeting project schedules.
— Administrative cost to recruit, process and train new employees.
— Lost efficiency in work crews with new or inexperienced members.
— Underutilization of capital investments (tools, equipment).
— Interruption of work flow and task accomplishment.
— Misallocation of skills and talents of employees.
— Increased demand for administrative time and resources for planning and
Rescheduling.
— Increased overtime and employee fatigue.
— Lower morale.
There are various reasons for Employees to remain absent from work are –
 Serious accidents and illness.
 Low morale.
 Poor working conditions.

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 Boredom on the job.

 Lack of job satisfaction.
 Inadequate leadership and poor supervision.
 Personal problems (financial, marital, substance abuse, child care etc).
 Poor physical fitness.
 Inadequate nutrition.
 Favoritism done by the supervisors leading to alienation of workmen.
 The existence of income protection plans (collective agreement).
 Provisions which continue income during periods of illness or accident.
 Stress and Workload.
 Employee discontent with a collective bargaining process and/or its results.
 A failure to respect individuals and be concerned with their needs.
 A failure of teamwork, leading to feelings of alienation or even bullying.
 Over supervision, leading to stress or the feeling of not being trusted.
 Inappropriate tasks, leading to stress as workers are unable to complete their tasks
satisfactorily.
 Pay rates that the employees feel are too low for their skills.
Absenteeism is calculated using the formula:-
Absenteeism Rate = Number of man days lost through absence 100
Number of men days schedule to work
OR
Absenteeism is calculated using the formula:-

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Absenteeism Rate = Number of lost working days due to absence / (Number of employees) x
(Number of Workdays) x 100
Many organizations set aside approximately 3% of budget for absenteeism. This

makes an average of about eight (8) days a year per employee.
If absenteeism is above the budgeted figure or certain employees exceed the average in
the organization then this could indicate that there is an absenteeism problem. However, even
if absenteeism is below budgeted or average days per year a problem may still exist for
individual employees or for individual departments. A focused effort will likely yield
improved attendance.
An absence from the workplace refers to time a team member is not on the job during
scheduled working hours, except for a granted leave of absence or holiday time.
Indeed, as prevention is better than cure, where such a problem occurs, it is always important
to review recruitment procedures to identify how such individuals came to be employed in the
first place.
For any business owner or manager, to cure excessive absenteeism, it is essential to

find and then eliminate the causes of discontent among team members.

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If they find their supervisor or job unpleasant - really unpleasant - they look for
legitimate excuses to stay home and find them with things such as upset stomachs or splitting
headaches.
Any effective absentee control program has to locate the causes of discontent and
modify those causes or eliminate them entirely. In other words, if we deal with the real
reasons team members stay home it can become unnecessary for them to stay away.
The following leave category hierarchy summaries the relationship between various types
of absence.
Absence from work
Unplanned absences Planned absences
Industrial Health Special leave Recreational Study Long

disputes Incapacity leave service
Leave
Family- Community
Work related Sick leave
bereavement Military

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Short term Long term Medical retirement
The Cost of Absenteeism
The cost of absenteeism is greater than the direct payment of wages and benefits paid
durance the absence. Organizations must also consider the indirect cost of staffing,
scheduling, re-training, lost productivity, diminished moral, turnover, opportunity cost. The
indirect costs often exceed the direct cost of absenteeism.
For a firm the costs of absenteeism can be very high:
 Lost production as the worker is unable to catch up with the wok that was missed.
 It maybe necessary to offer extra overtime in order to complete an order on time. This
will increase the costs of the firm and lower their overall profits unless they can raise
the price to compensate.
 If workers sense that there is a trend of absenteeism, they will tend to take more days
off themselves, this will lead to the problem snowballing.
Decrease in Productivity
 Employees may be carrying an extra workload or supporting new or replacement staff.

 Employees may be required to train and orientate new or replacement workers.
 Staff morale and employee service may suffer.
The main direct impacts of absenteeism on productivity are:
 Time spent by crew members (others) waiting for replacements.

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 Time spent moving replacements to and from other work locations.

 Lost time by supervisory personnel in reassignment of work activities and locating
replacements.
Financial Costs
 Payment of overtime may result.

 Cost of self-insured income protection plans must be borne plus the wage costs of
replacement employees.
 Premium costs may rise for insured plans.
Administrative Costs
 Staff time is required to secure replacement employees or to re-assign the remaining

employees.
 Staff time is required to maintain and control absenteeism.
Impact of absenteeism at workplace.
 Affects employee morale – additional stress may be placed on employees who must
act as replacements or assume additional tasks.
 Causes disruption in the workplace.
 May create a perception of unfairness.
 Affects the “team”.
 May be the expression of other problems.

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Trends in Absenteeism
Recent surveys indicate the following trends in absenteeism.
 The higher the rate of pay and the greater the length of service of the employee, the
greater the absences.
 As an organization grows, there is a tendency towards higher rates of absenteeism.
 Women are absent more frequently than men.
 Single employees are absent more frequently than married employees.
 Younger employees are absent more frequently than older employees but the latter are
absent for longer periods of time.
 Unionized organizations have higher absenteeism rates than non-union organizations.
Features of Absenteeism
o The rate of absenteeism is the lowest on pay day, it increases considerably on

the days following the payment of wages and bonus.
o Absenteeism is generally high among the workers below 25 years of age and
those above 40 year of age.
o The rate of absenteeism varies from department to department within an
organization. Generally, it is high in the production department.
o Absenteeism in traditional industries is seasonal in character
Causes of Absenteeism
Absenteeism can be the result of either or both of two interdependent dynamics:

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Organizational Factors
Individual Behaviors.
1. Organizational Factors:
Many factors that contribute to staff absence are beyond an employer's direct control.
Therefore, it is vital that employers do everything within their power to positively influence
their staff towards 'anti-absenteeism'. Organizational absenteeism factors can be either direct
or indirect.
The following list is not exhaustive, but attempts to highlight the most
obvious/prevalent factors:
Direct:
a) No clear policies for absence management
b) Absenteeism monitoring is the responsibility of line management only
c) Higher sick leave entitlements than average
d) Lack of supportive work-life programs
e) An ageing workforce (with increasing health issues)
f) A prevailing view that employees are 'entitled' to take unused sick leave
Indirect:
a) Fear of layoff/high staff turnover (i.e. staff actively looking for employment
elsewhere)
b) Job dissatisfaction (e.g. Low chance of advancement or promotion)
c) Office politics/competition/staff conflicts
d) Excessive time required away from family
e) Excessive workload (especially if perceived as unfair or irrelevant)
f) Personal problems outside of the workplace.
1. Individual Behaviors:

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It is true that some absenteeism is due to staff actively abusing sick-leave benefits. However a
deeper analysis would show that their absenteeism was as a result of either one or a
combination of
Factors listed below, in varying degrees of intensity:
a) Illness.
b) Stress
c) Depression.
d) Alcohol.
MEASURES TO CONTROL ABSENTEEISM:-
An employer has to introduce suitable measures for reducing labour absenteeism to the
lowest level though it is not possible to remove it completely. Such measures should be
related to the important causes responsible for high rate of absenteeism. The possible
measures which an employer can adopt are as follows:
1. Proper Selection: Right type of people should be employed for various jobs. While
assigning work to the employees, their aptitudes and interests should be dully
considered. This will make them feel interested in their jobs.

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2. Proper Orientation: The new employee should be inducted in such a way that their
critical attitude is reduced as quickly as possible to avoid absenteeism from their
source.
3. Better Working Condition:- Workers some times remain absent due to hard nature of
jobs and bad working conditions. An employer can provide proper working conditions
so that workers may not have industrial fatigue.
4. Provision For Transport And Housing Facilities:- Workers sometimes remain

absent due to housing, transport and other difficulties. It is possible for the employers
to provide free or concessional transport facilities to workers from their residence to
the factory. This will ensure regular attendance of workers.
5. Incentive Bonus To Regular Employees: - Cash prizes may be given to those who
are regular throughout the year. Regularity in attendance should be taken into
consideration while giving promotions. Such positive measures encourage workers to
be regular in their attendance.
6. Disciplinary Action: - Strict action should be taken against who have the habit of
taking leave without proper sanction. Before taking any disciplinary action against the
chronic offenders, their name should be adequately published in the organization. If
the needs arises, the chronic offenders may be disciplined by layoffs, discharges and
denial of promotion and other privileges.
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7. Prevention Of Accidents: - Industrial accidents and even the fear of industrial may
increase absenteeism. The management should take adequate safety measures to
minimize industrial accidents in the workshop.
8. Effective Supervision:- Absenteeism can be reduced to great extent by effective

supervision. Supervisors and foremen should be given adequate training to deal with
various problems of workers. Absenteeism will be at a low level if the supervisors are
able to win the confident of the workers
9. Employee Counseling:- Absenteeism is essentially related to individual behavior and

can be better tackled through guidance and counseling. Workers should be given
proper education and orientation as regards absenteeism and their ill effects on them.
They should be encouraged to be regular through proper information, education and
guidance. Habitual absentees should be called by the personal counselors to impress
upon the seriousness of their absence and the need to be regular.
Absenteeism And Management:-
When the workers are absent from work, it leads to the loss in man hours schedule which has
direct influence on the production and productivity.
Absenteeism
Loss in productivity
Effective of productivity Increase in idle time
Decrease in supply
Decrease in profit Increase in fixed cost

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Decrease in the number
of customers
Lowering survival standard
of living
ABSENTEEISM AND WORKERS:-
Absenteeism
Decrease in wages
Indebtedness

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Decrease in standard of life
Low morale
Analysis And Interpretation
I. Absenteeism due to personal reason.
1. Size of the family:

S.No Size No. of Resonpondents Percentage
1 2 0 0
2 2-4 26 52
3 4-6 20 40

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4 >6 4 8
Total 50 100
Interpretation:-
The above table states that 52% of the rspondents have a family size of 2
to 4 members due to the income level.40% of the respondents have a family size of 4 to 6
members and 8% of them have the family size of more than 6 members.
2. How far is your place of stay from work place?
S.No Kms No. of Respondents Percentage
1 within 1 km 6 12
2 within 5 kms 4 8
3 within 10 kms 36 72
4 more than 10 kms 4 8
TOTAL 50 100

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Interpretation:-
The above table states that 12% of the workers stay within 1 km. 2% of the
works stay within 5 kms from the place of work. 72% of the respondents stay within 10 km so
that they can avoid absenteeism.
3. Are the above tow questions the reason for becoming absent?
S.No No. of Respondents Percentage
YES 2 4
NO 48 96
TOTAL 50 100

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YES
Interpretation:-
The above table states that 4% of the respondents becom absent because
the place of work is away from more than 10 kms and 96% of the respondents states, that is
not the reason for their absenteeism.
II.Absenteeism due to motivation:
4.What are your habits?
Habits No. Of Respondents Percentage
Smoking 10 20
Drinking 0 0

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Gambling 0 0
Others 4 8
None 36 72
Total 50 100
Intrepretation:-
This table states that 20% of the workers have the habit of smoking.
None of the workers have the habit on gambling and drinking and 72% of the respondents
don’t have any habits as they are councious of their health.
5 . Are you satisfied with the remuneration that you are pain in this company?
Satisfaction Respondents Percentage
YES 16 32
NO 34 68

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TOTAL 50 100
Intepretation:-
The above grahp states that 32% of the respondents are satisfied with the
remuneration pain to them. 68% of the respondents are not satisfied with the remuneration
paid to them by the company because the salary paid to them is too less as per the work they
do.
6 . What is your savings?
Savings Respondents Percentage

4000-3000 0 0

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3000-2000 2 4
2000-1000 14 28
Less than 500 34 68
Total 50 100
Interpretation:-
The above table states that 4% of the respondents savings is 2000 – 3000.
28% of the respondents state that their savings is around1000-2000 and 68% of the
respondents states that their savings is less than 500 per month due to the size of the family
and hike in the daily needs .
7. Are you given a chance to participate in the discussion and are your ideas been
implemented?
Particulars No.of Respondents Percentage
YES 50 100

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NO 0 0
Total 50 100
Interpretation:-
The above table states that 100% of the respondents says that they give a chance to
participate in the discussion and the ideas are also been implemented.
8. Do you feel proud of being associated with the company?
Particulars No. of Respondents Percentage
YES 50 100

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NO 0 0
Total 50 100
Interpretation:-
The above table reveals that 100% of the respondents feel proud of
being associated with the AIW because of the friendly environment and the trust they keep on
the workers.
9. What motives you to work hard and be the part of the company’s growth?
Particulars No. of Respondents Particulars
Monetary Benefit 0 0

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Work Recognition 2 4
Trust 28 56
Promotion 0 0
Friendly Environment 20 40
Total 50 100
Interpretation:-
The above table reveals that 4 % of the respondents are motive by
work recognition and to be the part of company’s growth.56 % of the respondents gets
motivated by the trust .40% the respondents feel to be the part of this company’s
growth because of the friendly environment.
III .Absenteeism Due To Work Related Problems:
10. How is your relationship with your superior?
Particulars No .of Respondents Percentage
Very Good 22 44

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Good 26 52
Ok 2 4
Not Good 0 0
Total 50 100
Interpretation:-
The above table states that 44% of the respondents say their relation
with their superiors is very good.52% of the respondents say their relationship with
their superiors is good due to the cooperation and coordination and 4% say it’s OK.
11. Are you satisfied with the job that you are doing?
YES 50 100

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NO 0 0
Total 50 100
Interpretation:-
The above table reveals that 100% of the respondents are satisfied with
the job that they are doing as they are assigned to the work that is suitable for them.
12. Are the required facilities provided to you at the work place?
Particulars No. Of Respondents Particulars
YES 50 100

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NO 0 0
Total 50 100
Interpretation:-
The above table states that full 100% facilities are provided at
the work place.
13. Are you happy with working time?
Particulars No. of Respondents Particulars

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YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The above table states that 100% of the respondents are happy with
their working time.
14. Do you feel high work load at the company?

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YES 30 60
NO 20 40
Total 50 100
INTERPRETATION:-
The above table states that 60% of the respondents feels heavy work
load at the company and 40% of the respondents do not feel much heavy work load. Hence we
can clearly states that the work handeled by these workers at a foundry are labour intensive
and hard to work.
15. Reasons for becoming absent

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Health Problem 24 48
Family Problem 26 52
Work load 0 0
Superiors Behavior 0 0
Dis- satisfaction in work 0 0
Late Reports 0 0
Total 50 100
INTERPRETATION:
The above table reveals that 48% of the respondents feel that
health problem is the reason which leads the co workers to absenteeism and 52% of
the respondents finds family problem as a main reason for the absenteeism among
their co workers in the organization.

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16. Does your superior give you full knowledge about the work?
YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The table revels that 100% of the respondents are highly satisfied
with the helping tendency by providing the co workers with the ful knowledge and hence this
proves that the labourers have good relation with their co workers and are dependent on each
other for their work. This also shows us that the labourers are happy with their work
environment at AIW.

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17. Are you happy with the leave rules?
YES 50 100
NO 0 0
Total 50 100
INTREPRETATION:
The above table reveals that 100% of the respondents are happy
with the leave rules.

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18. Do your superiors show full trust in you and in your work?
YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The table states that 100% of the respondents agree that their superiors show full trust
in them and in the work as the workers do their job regularly and on time.

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19. Does the company go for personal counseling?
YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:-
The above table reveals that 100% of the respondents are
satisfied with the personal counsilng in the organization and solve their personal
problems and also take personal care of the labourers .

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20. Are your grievances been attented?
YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The above table states that 100% of the respondents are satisfied that
their grievances are been attended timely.

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21. Do you bring into the notice of the superior about the mistake that you do?

YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The above table reveals that 100% of the respondents bring into
the notice of the superior about the mistakes they do.

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22. Do you feel absenteeism is causing problems to the company and you?

YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The above table reveals that 100% of the respondents are aware
that absenteeism will cause a problem to the company,s production and even to the
labourers.

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23. Due to long absenteeism, you may loose your job. Are you aware of it?
YES 50 100
NO 0 0
Total 50 100
INTERPRETATION:
The above table reveals that 100% of the respondents are aware that
they loose the job if their absenteeism is of longer time or duration.

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Findings and Suggestions:

Findings:-
1. 8% of the workers agree that his house is away from the company as many of the
workers are from out state and yearly they take one month leave to visit their
native.
2. 20% of the workers are habituated of smoking and none of the workers have the
habit of gambling and drinking. 8% of the respondents have the habit of
consuming tobacco.72% of the workers do not have any habits.
3. 68% of the respondents are not satisfied with the remuneration paid by the
company.
4. 68% of the respondents say there are no savings left with them. The savings are
less than Rs 500 monthly.
5. 100% of the respondents are satisfied because they get chance to contribute and
participate in the discussion and share their ideas and also implement them.
6. 100% of the respondents feel proud to be associated with the AIW.
7. 56% of the respondents get motivated in doing work by the way of trust.
8. 52% of the workers say their relationship with the superiors is good i.e., with
cooperation and coordination .
9. 100% of the workers are happy with the job that they are doing.
10. Safety measures and equipments are provided to the workers at the work place.
11. 100% of the respondents are happy with their working time.
12. 60% of the respondents feel their work is heavy loaded.
13. 52% of the workers absenteeism is due to family problem and 48% of
absenteeism is due to the health problem of the workers.
14. Workers are happy with the helping tendency and providing full knowledge about
the work.

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Suggestions:
1. There must be some activities conducted to the workers so that they are
motivated to do their job interestingly and avoid their laziness.
2. Care must be taken while recruiting the new workers.
3. Most of the workers remain absent due to family problems. Family

problems are not left at home when employees come to work; this affects
the workers to a great extent. Hence workers assistance programme should
be introduced in the organization, where employees are counselled with
their personal problem.
4. Stress management/meditation sessions should be conducted, especially

meditation/yoga sessions to be conducted at the start of the shift ,as it is an
foundry and there is lot of dust, noise and stress by meditation/yoga there
will be peace of mind , can maintain good health and will be fresh and
energetic for the day.
5. According to the observation the workers do not wear masks even though
they have been provided with the mask, ensure that they wear it
compulsorily as they enter the foundry to avoid health issues due to the
dust.
6. Establish a clear policy of firing chronic absentees, and communicate this

to all workers when they are hired.
7. Make each worker aware that they are a valued member of the "team", that
they play an important role in your organization and that their attendance is
critical.
8. Awards to each individual after periods of perfect attendance so that entire

crew can develop peer pressure to improve attendance and also the

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department with perfect attendance should be awarded which can motivate

other departments.
9. Organizations must keep in mind that their workers are motivated with the
desire to perform well and reduce absenteeism in order to enrich the
productivity.
10. Many workers agreed that the work load is more and there is too much of
work for one person to do by which the workers get exhausted , so the
management should try to recruit some more workers to subdivide the extra
work and supervisor should equally distribute the work according to skills
of the workers.
11. As the present attendance allowance is 15/- ,the management can increase
the attendance allowances which can motivate the workers to be present or
else he will not receive the allowance incase if he is absent for more than
3days. If the attendance allowance is been increase than the salary also will
be increased as the attendance allowance is included in the salary of the
workers.

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CONCLUSI
Absenteeism has become a major problem in most of the Indian industries. Today while
talking about the future course of action Indian industries will have to take into consideration
that to get competitive edge over this rivals, they have to sustain five things.
They are:-
1. Increased productivity.
2. Improver quality.
3. Innovation in the market.
4. A deep understanding of a customer needs.
5. Delivery of world class service and activities.
Absenteeism can be reduced to a great extent if the management takes initiative in

making the workers feel responsible towards their job. Though their main focus is
behind the punctual employee is their financial motive. A deep sense of loyalty can be
achieved from the workers.

ASHOK IRON WORKS
Management theory provides scientific technique to deal with various problems.

Absenteeism is the universal problem and every organization should strive to tackle
the problem for future development.
QUESTIONNAIRE
Absenteeism Questionnaire
For AIW Plant-II
Your Information:
Name:
Address:
Gender:
Age:
Department:
Designation:
Years of service:
PLEASE TICK THE APPROPRIATE ONE FOR EACH QUESTION THAT

COMES CLOSEST TO REFLECTING YOUR OPINION ABOUT IT
I. Absenteeism due to personal reasons:

1. Size of the family:

ASHOK IRON WORKS
a) 2 [ ] c) 2 – 4 [ ]
b) 4 – 6 [ ] d) >6 [ ]
2. How far is your place of stay from work place?
a) Within 1 km [ ] c) within 5kms [ ]
b) Within 10 kms [ ] d) more than 10 kms [ ]
3. Is this the reason for becoming absent?
a) YES [ ] b) NO [ ]
II. Absenteeism Due To Motivation:

4. What are your habits?
a) Smoking [ ] c) Gambling [ ]
b) Drinking [ ] d) Others [ ]
5. Are you satisfied with the remuneration that you are paid in this company?
a) YES [ ] b) NO [ ]
6. What is your saving?
7. Are you given a chance to participate in the discussion and are your ideas been
Implemented?
a) YES [ ] b) NO [ ]
8. Do you feel proud of being associated with the company?
a) YES [ ] b) NO [ ]
9. What motives you to work hard and be the part of the company growth?
a) Monetary benefit [ ] c) Work recognition [ ]
b) Trust [ ] d) Promotion [ ]
e) Friendly environment [ ]
III. Absenteeism due to work related problems:

ASHOK IRON WORKS
10. How is your relationship with your superior?
a) Very good [ ] c) Good [ ]
b) Ok [ ] d) Not good [ ]
11. Are you satisfied with the job that you are doing
a) YES [ ] b) NO [ ]
12. Are the required facilities provided to you at the work place?
a) YES [ ] b) NO [ ]
13. Are you happy with working time?
a) YES [ ] b) NO [ ]
14. Do you feel high work load at the company?
a) YES [ ] b) NO [ ]
15. Reasons for becoming absent
a) Health problem [ ] b) Family problem [ ]
b) Work load [ ] d)Superiors behavior [ ]
e) Dis-satisfaction in work [ ] f) Late reporting [ ]
16. Does your superior give you full knowledge about the work?
a) YES [ ] b) NO [ ]
IV. Absenteeism Due To Other Problem:
17. Are you happy with the leave rules?
a) YES [ ] b) NO [ ]
18. Do your superiors show full trust in you and in your work?
a. YES [ ] b) NO [ ]

ASHOK IRON WORKS
19. Does the company goes for personal counseling?
a) YES [ ] b) NO [ ]
20. Are your grievances been attended?
a) YES [ ] b) NO [ ]
21. Do you bring into the notice of the superior about the mistakes that you do?
a) YES [ ] b) NO [ ]
22. Do you feel absenteeism is causing problems to the company and you?
a) YES [ ] b) NO [ ]
23. Due to long absenteeism, you may loose your job. Are you aware of it?
a) YES [ ] b) NO [ ]
THANK YOU

ASHOK IRON WORKS
BIBLIOGRAPHY
 www.ashokironworks.com
 Company reports
 www.citehr.com

'Labour Absenteeism

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ASHOK IRON WORKS

KARNATAKA LAW SOCIETY’S

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH

(Approved by AICTE, New Delhi & Affiliated to K.U.D.)

MAJOR CONCURRENT PROJECT REPORT

“ASHOK IRON WORKS”

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 1

KARNATAKA LAW SOCIETY’S

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH

(Approved by AICTE, New Delhi & Affiliated to K.U.D.)

INSTITUTE GUIDE DIRECTOR

Prof. Shashank. Hiremath Dr. A. B. Kalkundrikar

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 2

It gives me immense pleasure to present this project report on “LABOUR

ABSENTEEISM” in ASHOK IRON WORK, Belgaum.”

Firstly, I would like to convey my sincere gratitude to our Director

Dr.A.B.KALKUNDRIKAR for giving me an opportunity to undergo Major Concurrent

Project and study the practicality of business.

I would also like to thank Mr.Milind.Kulkarni, HR Manager for giving me

permission to do my project in the company and helping me during my working on the

me to do my work with utmost sincerity and honesty.

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 3

I Misss. Ashwini. B. Javali, of 4 th semester MBA, studying in Institute Of

get the award of MBA.

This project report is submitted to Karnataka University, in partial fulfilment of the

academic year 2008--10

 Executive Summary ..........................................................

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 4

 Introduction to the study....................................................

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 5

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 6

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 7

INTRODUCTION TO THE STUDY

Title of the project: “ LABOUR ABSENTEEISM”

running of the production process in particular and the organization in general.

4. Caused by circumstances beyond one’s control.

1. To study the level of absenteeism among the workers at AIW.

2. To identify the cause of absenteeism.

3. To determine the nature and magnitude of causes.

4. To identify and provide suitable measures to prevent frequency of absenteeism.

5. To suggest suitable measures for controlling absenteeism rate.

6. To analyze the importance of reducing absenteeism.

Scope of the study:

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 8

Absenteeism is a serious problem for a management because it involves heavy

Statement of the Problem:

This particular topic is selected because the management of attendance is an important

Need For The Study:

To know the cause of absenteeism.

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 9

INSTITUTE OF MANAGEMENT EDUCATION AND RESEARCH, BELGAUM Page 10

Name Of The Company: Ashok Iron Works Pvt Ltd: Plant II

Address : Ashoka Iron Work Pvt.Ltd.

Plant-II, Machhe Industrial Estate

Capital( Rs) : 22.21 crores

Total Area : 18600 sq mtr

Business Type : Manufacture, Exporter

Chairman : Shri Ashok.S Humbarwadi

MD & CEO : Shri V.P Hanji

Directors : Shri N.V Bhonsale

Shri Sadanand D Humbarwadi

Shri Sachin V.Hanji

Shri J.M Nagraj