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A Project Study Report On ASHOK LEYLAND LTD

Titled
EMPLOYEES EMPOWERMENT

Submitted in partial fulfillment for the Award of degree of Bachelor of Business Administration

SESSION (2012-2013)

SUBMITTED BY: Taufik BBA IVth Sem.

SUBMITTED TO:Mr. Pramod Gupta

ALWAR MANAGEMENT STUDIES,


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ALWAR (RAJ.)
PREFACE
The viewing of Human Resource or Personnel of an organization as an important economic resource is a recent development. HUMAN resource of an undertaking is defined as a collection of aptitude, skills, expertise, knowledge, attitude, efforts of wor1\O651kers, direct and indirect staff and executives. Human resource is considered to be the most valuable asset of any organization. The performance, success or failure of the organization is greatly influenced by the quality of this resource. The bird eye view of my project is that in this competitive market human resources are the major assets of an organization. Therefore ASHOK LEYLAND alwar, India really focuses to find out the effective sources of employee retention process. The researcher has done enough research on sources of Employee retention process of the company. The researcher has come up with certain recommendations that are to be adopted. I have tried to explain in detail the present level of Job satisfaction and effectiveness of training among the workers of the Ashok Leyland , Alwar Rajasthan. The strength of employee in Alwar office 125. I have also ried to recommend a few modifications, which might help management to tackle the various issue of dissatisfaction among the group. The effectiveness of training for job satisfaction for an employee is also discussed. The company genuinely was interested in making employees satisfied as it believe: Satisfied worker is a Productive Worker.

Practical exposure no doubt has contributed a significant amount of knowledge to me along with real life experience & was an ideal combination of acadmic knowledge & Practical experience. In preparing this report I have drawn knowledge and concepts from various books on the subject. Hence, I am directly indebted to those managers and employees whose works I have referred or used.

ACKNOWLEDGEMENT
I express my sincere thanks to my project guide, Mr. Pramod Gupta., for guiding me right forms the inception till the successful completion of the project. I sincerely acknowledge him/her/them for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support he/she/they had provided to me with all stages of this. I would also like to thank the supporting staff Mr. Ramesh yadav & department for their help and cooperation throughout our project.

TAUFIK BBA IVth Sem.

DECLARATION

I Taufik student of BBA of Alwar Management Studies, Alwar. Here by declare that all the information of welfare Activities in Ashok Leyland in this report is based on my experience and study during my research. I further declare that all the information and facts furnished in this project report are based on my intensive research and findings. They are first hand and original in nature.

DATE:

Taufik BBA IVth Sem.

EXECUTIVE SUMMARY
Ashok Leyland is the flagship of the Hinduja group and is the second largest manufacturer of commercial vehicles in India. The company was established as ASHOK MOTORS in 1948 and entered into collaboration with British Leyland in 1955 with current name as ASHOK LEYLAND. Employee retention is a process in which the employees are encouraged to remain with the organization for the maximum period of time or until the completion of the project. Employee retention is beneficial for the organization as well as the employee. Employee retention would require a lot of efforts, energy, and resources but the results are worth it. Compensation constitutes the largest part of the employee retention process. The employees always have high expectations regarding their compensation packages. Compensation packages vary from industry to industry. So an attractive compensation package plays a critical role in retaining the employees. Employee Empowerment if we elaborate the term giving powers to employee. Empower the employee for various tasks and activities of their job. To empower means to enable, to allow or to permit, and can be conceived as both self-initiated and initiated by others. Empowerment is the process of enabling employees to set their own work-related goals, make decisions and solve problems within their spheres of responsibility and authority. An important part of empowerment is the definition of spheres of responsibility and authority by management. Empowerment allows people, individually and in groups, to use their talents and knowledge to make decisions that affect their work. People are held accountable for the results produced by others, whose formal role gives them the right to command but who lack informal influence, access to resources, outside status, sponsorship, or mobility prospects, are rendered powerless in the organization. Empowerment is nor a programme. It is a culture change. Empowerment is the process of enabling or authorizing an individual to think, behave, and take action, and control work and decision-making in autonomous ways. It is the state of feeling self-empowered to take control of ones own destiny.

TABLE OF CONTENTS
Cover Page Preface Acknowledgement Declaration Executive summary CONTENTS Introduction to the industry Introduction to the organization Introduction to the topic Research methodology Data Analysis and interpretations Facts and findings SWOT analysis Conclusion Recommendations and suggestions Appendix Bibliography 7-8 9-30 31-48 49-53 54-65 66-67 68-69 70-71 72-74 75-77 78-79 1 2 3 4 5

INTRODUCTION OF THE INDUSTRY


Ashok Leyland is the flagship of the Hinduja group and is the second largest manufacturer of commercial vehicles in India. The company was established as ASHOK MOTORS in 1948 and entered into collaboration with British Leyland in 1955 with current name as ASHOK LEYLAND. The company has grown as a reputed manufacturer of quality automotive products ranging from light commercial vehicles to heavy duty vehicles and engines for automotive, industrial and marine applications. The products of the company are of proven design for durability and reliability and are hence very popular both in Indian and overseas markets. In recent years , the product range is upgraded to the latest technological developments in the World, for which the company has technical support from IVECO ( FIAT group ) , Italy for manufacture of IVECO Cargo range of vehicles ; HINO Motors Japan for manufacture of fuel efficient engines and ZF , Germany for manufacture of synchromesh gear boxes. The company has its corporate office registered at Chennai. The marketing headquarters at Chennai and sales and services network and spare parts warehouses are spread throughout India with regional sales offices, area offices and service centers located in all major cities and towns in the country. The products are also exported to overseas customers. The marketing personnel maintain constant interaction with customer for application development and feedback for continuous improvement of the product. The service function is carried out by qualified personnel, whose skills are continuously upgraded through training, to meet the servicing requirement of newer or improved products. The design function is carried out by product development division operating through 3 centers viz. product development Encore for engineering services engine R& D; technical center , vellivoyalchowadi for design of vehicles and aggregates , prototype development, vehicle and component testing , R& D engines, Hour for design and development of engines.

MANUFACTURING PLANTS:Ashok Leyland presently has six manufacturing plant in India. 1. Encore plant ( mother plant) near Chennai 2. Hosur- 1 3. Hosur-2 ( along with a press shop near Bangluru) 4. Bhandara ( assembly plant) 5. Alwar ( assembly plant) One new upcoming plant is coming which is in Pant nagar (Uttaranchal). The total covered space at these six plant exceeds 1. 2. Srilanka & Dubai (UAE) 4, 50,000 sqm and together employ over 11,000 personnel. Two new upcoming plants are also being established outside our country are:-

For over five decades, Ashok Leyland has been a major presence in India's commercial vehicle industry with a tradition of technological leadership, achieved through tie-ups with international technology leaders and through vigorous in-house R&D. This has enabled the Company to set a tradition of introducing technologies and product ideas that have gone on to become industry norms. Ashok Leyland is the flagship of the Hinduja Group, the transnational conglomerate with business interests in Automotive, Energy & Chemicals, Media & Entertainment, Banking & Finance, IT & ITES, and Real Estate, employing over 30,000 people.

INTRODUCTION TO THE ORGANIZATION


COMPANY PROFILE
Ashok Leyland is the flagship of the Hinduja group and is the second largest manufacturer of commercial vehicles in India. The company was established as ASHOK MOTORS in 1948 and entered into collaboration with British Leyland in 1955 with current name as ASHOK LEYLAND. The company has grown as a reputed manufacturer of quality automotive products ranging from light commercial vehicles to heavy duty vehicles and engines for automotive, industrial and marine applications. The products of the company are of proven design for durability and reliability and are hence very popular both in Indian and overseas markets. In recent years , the product range is upgraded to the latest technological developments in the World, for which the company has technical support from IVECO ( FIAT group ) , Italy for manufacture of IVECO Cargo range of vehicles ; HINO Motors Japan for manufacture of fuel efficient engines and ZF , Germany for manufacture of synchromesh gear boxes. The company has its corporate office registered at Chennai. The marketing headquarters at Chennai and sales and services network and spare parts warehouses are spread throughout India with regional sales offices, area offices and service centers located in all major cities and towns in the country. The products are also exported to overseas customers. The marketing personnel maintain constant interaction with customer for application development and feedback for continuous improvement of the product. The service function is carried out by qualified personnel, whose skills are continuously upgraded through training, to meet the servicing requirement of newer or improved products. The design function is carried out by product development division operating through 3 centers viz. product development Encore for engineering services engine R& D; technical center , vellivoyalchowadi for design of vehicles and aggregates , prototype development, vehicle and component testing , R& D engines, Hour for design and development of engines.

ORGANISATION PROFILE R J Shahaney, Chairman Board of Directors


R J Shahaney, Chairman D G Hinduja, Vice Chairman (Alternate: Y M Kale) D J Balaji Rao P N Ghatalia S Raha S Shroff A K Das (Alternate: P Banerjee) S R Krishnaswamy F Sahami A Spare

Chief Operating Officer


V K Dasari

Chief Financial Officer


K Sridharan

Executive Directors
J N Amrolia N Basavanahalli A R Chandrasekharan R Malhan S Nagarajan B M Udayashankar S Balasubramanian A Bhat A K Jain N Mohanakrishnan M Natraj

Executive Director and Company Secretary


N Sundararajan

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Certification and Awards obtained

ISO 9002: 1987 ISO 9001: 1994

1993 1994

Ennore & Hosur unit -1 Ennore, Hosur unit- 1 & 2, Bhandara, Alwar & Corporate function Ennore, Hosur unit- 1& 2/CPPS, Bhandara, Alwar & Corporate function Ennore, Hosur unit- 1& 2, Bhandara, Alwar & Corporate function Ennore Ennore , Hosur unit-1 & 2 & CPPS Ennore , Hosur unit -1 & 2 & CPPS , Alwar & Bhandara Information security management system for Ennore data center Ennore, Hosur unit-1 & 2/ CPPS, Bhandara, Alwar & Corporate function

QS 9000: 1998

1998

ISO 9001: 2000

2003

ISO 14001: 1996 ISO 14001: 1996 ISO 14001: 1996

2001 2002 2003

BS 7799-2: 2002

2005

ISO/ TS- 16949-2002

2006

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PRODUCTS
From 18-seater mini-buses used by schools and corporate to 82-seater double-decker buses, from 7.5 tone to 49 tone in haulage vehicles, from numerous special vehicle applications to diesel engines for industrial, marine and genset applications, Ashok Leyland offers a wide range of products. Through timely innovations, the Company has created new product and application segments, thereby 12

expanding the market. From eggs to steel, from flowers to cars... what doesnt move on Ashok Leyland vehicles? Ashok Leyland have made and sold products like roadways buses, CNG buses, defense trucks, double-decker buses, vestibule buses, luxury buses, rear engine buses, school buses tipper, and dumper, vehicle for fire-brigade. Mostly AL produces the chassis of vehicles which gives flexibility for the customer that he can make the body of his own choice and requirement. Some of the products are made with body by the company. The bus running at Delhi Lahore route is also made by AL. Apart from these AL makes the engines also, which are being used for gensets /generator, marine and industrial applications. AL makes three kinds of engines-AL engine, hino-engine, and iveco engine. Mostly hino-engines are being used. The products are listed below: School bus stag (ICV) Bus (MDV)- Viking cheetah, Viking super, falcon Double-decker Vestibule bus Rear-engine bus-panther, cruiser, enviro Luxury bus luxura,foton CNG bus Viking , Viking super, lynx,4.2&4.9 Multi-axle vehicle Haulage-comet, comet gold, bison, tusker super Tipper Dumper Tractor- comet, tusker turbo, beaver, hippo, rhino, 4018,4921 LCV/ICV-cargo 759,cargo 909 100.12 Water tender-16KL

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4 X 2 Haulage Model

4 X 2 and Multi-axle Tipper

Multi-axle Vehicles

Viking BS - II

12 M Bus - BS II

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Panther BS - II

Double Decker

Viking SLF BS-III

Cheetah BS - II

Cheetah BS-III

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COMPANY POLICIES

QUALITY POLICY

Ashok Leyland is committed to achieve customer satisfaction by anticipating and delivering superior value to the customer in relation to their own business through the products and services offered by the company and to comply with statutory requirement. Towards this the quality policy of Ashok Leyland is to make continuous improvements in the processes that constitute the quality management system to make them more robust ant to enhance their effectiveness and efficiency in achieving stated objective leading to:-

Superior products manufactured by the company as also services offered by the company. Maximum use of employees potential to contribute to quality and environment, by progressive up gradation of their knowledge and skills as appropriate to their functions. Seamless involvement from vendors and dealers in the mission of the company to address customer changing needs and protection of the environment. It is mandatory on the part of every employee of Ashok Leyland to understand, implement and maintain the quality policy of the company .

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ENVIRONMENT POLICY

Any type of activity that is performed or any type of product that is manufactured had an effect on the surrounding or environment.

At Ashok Leyland are committed to preserving the environmental through a comprehensive environmental policy and productive approach in planning and executing our manufacturing and service activities.

We are concerned about the earth our children will inherit thats why we make sure our vehicles consume less fuel and pollute less. This concern is reflected in the manufacturing systems, the various processes energy conservation measure and conscious greening indicate of the company. A system is employed to control or minimize the adverse impact on the environment is environmental management system (EMS).

Objective of Ashok Leyland Environmental policy are: To adhere to all applicable environment legislation and regulations To adopt pollution preventive techniques in design and manufacturing of our products. To conserve all such resources such as power, water, oil, gas, optimizes their usage through scientific methods. To provide a clean working environment to our employees, contractors and neighbors. Commit to comply with all relevant legal and other requirements. Continuously strive to minimize waste generation by all possible ways and to reuse and recycle the same through a time bound action plan 17 compressed air etc. &

Things done to protect the environment and achieve the goal of the policy: Conserving natural resources like wood , coal , petroleum products Avoiding wastage water at plant area Switching off the idle engine, motors, pump & lights Avoiding spilling oil , grease, paints on the floor Do not through oil into drain By planting many trees inside the company area Recently planting plants on 5 June 2008(world environment day)

5-S HOUSE KEEPING


1. SEIRI (Clearing Up) 2. SECTION (Arraying) Arrange necessary items in good order so that they can be easily picked for use. A place for everything & everything in its place 3. SEISO (Cleaning) Clean the workplace completely so that there is no dust on the floor machines and equipments. 4. SEIKETSU (Standardising Cleanliness) Maintain high standards of housekeeping and workplace organization at all times. 5. SHITSUKE (Training Discipline) Train people to always follow good housekeeping disciplines.

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SAFETY AND HEALTH POLICY


Intension & commitment of the top management Ashok Leyland affirms that all its employees irrespective of the rank need to be safe guarded against any person injuries or damage to the properties during working period. That the management recognises the principle that accident prevention contributes in the long run progress and development of the organisation. Ashok Leyland is committed to: Implementing all practical safety measures like safe working and environmental condition. Carrying out a systematic critical appraisal of all potential hazards involving personal, plant services and operating methods. Following strictly safety rules and regulations incorporated in the factories act and rules. Maintaining safe and healthy working environment at all working places conductive to the success of the management safety programs in the long run. Implementing safe and health education programmes for employee with specific emphasis on creating safety and health awareness. Welcoming useful and constructive suggestions and ideas in regard to safety and health.

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MISSION GEMBA
ENHANCING EMPLOYEES FOR WORLD CLASS GLOBALISED PERFORMANCE VISION:Achieving leadership in the domestic commercial vehicle markets and a significant presence in the world markets and a significant presence in the world market by 2014 through transport solutions by enhancing the employ for their excellent work to promote them to do their best for the goal of organization.

Its a playful part of the company. It is totally based on the potential of the employee how can they do more, higher productivity can be generated and how efficiently their jobs do. If any employee renders his service for a new invention or a way by which the production, quality standards or any other standards can grow rapidly. Then the employee is awarded by senior officers or respective head of mission gemba. The main emphasis is on the increase of the potential of the employee. Motivate them through learnings; self respect, honesty, hard work, etc... Have to become the essential part of an employee working in the organization

It creates a positive psychological effect in the mind of employee. If he perform just different job, respective with a aspect of development of the company, he is being awarded and the same employee works with a difference in the company with more advantageous style.

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It gives a friendly and competitive environment which helps employee and the organization to achieve their ambitions. GEMBA is a Japanese word which means SHOP FLOOR. It provides quality assurance, fastest delivery and least cost to customers by

Offering appropriate products and services. Adopting lean manufacturing systems & practices through employee empowerment and participation. Bench marking products, process and people against best in the industry In processing of this plan everyday all permanent workers, engineers, managers amount up on the GEMBA floor and discuss their problems and solutions with each other.

Every day for their improvement suggestion every guy is awarded marks according to the performance and after a period the highest scorer is awarded the GEMBA mission award.

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LOCATION

Alwar is a strategic town in Rajasthan Midway between Delhi and Jaipur. Part of National Capital Region (NCR). 170 kms from Delhi and 150 kms from Jaipur. Alwar unit is situated at Matsya Industrial Area (M.I.A.), which is 18 km away from the city on old Alwar-Delhi road

PLANT DETAILS
The plant was inaugurated on 22-8-1982. The total land area is 352.09 acres. Fenced area is 161.52 acres

SHOPS
There are three shops 140*1000=140000 sq.mt each 22

Shop 1 Shop 2 Shop 3 -

Assembly activity Material Storage (proposed line) RSO yard & refurnishing work

TRAINING CENTRE
The Alwar training center has been recognized equivalent to Industrial Training Institute (I.T.I.) by the government of Rajasthan. The unit has got a training center for the purpose of imparting training to its employees.

ASHOK LEYLAND ALWAR


Alwar is a strategic town in Rajasthan midway between Delhi and Jaipur is located with national capital region. As a part of expansion programme alwar unit was added to the family of ASHOK LEYLAND & started its operation in 1982 & has completed its 25 years successfully. It is basically an assembly plant where the chassis is assembled. Ashok Leyland, Alwar is worlds largest CNG Vehicle producing plant; CNG is used as an alternate fuel to diesel and is very less polluting. The pollution of CNG vehicle is less than ever Euro-4 vehicle which is known for its lesser pollution vehicle.\ The total covered area of Alwar plant is 352 acres and the fencing is done in around 161 acres of area. The plant comprises of 8 shops called shop-1, shop-2 & shop-5. the plant has three gates one is main gate, one for entering the goods carrier, third for the products going out of the plant for sale. There is an administrative office one P & A department block, a medical centre, a canteen, a newspaper reading room library, a training centre & system department, regional sale office yard & construction is going on for new stores.

WORK SHOP
There are four shops in the plant:23

SHOP-1:- chassis assembly takes place in a line by odd assembly method & the PDI (Pre Delivery Inspection) is carried painting of chassis is done. SHOP-2:- chassis assembly takes place on conveyor line in 20 stages. SHOP-4:- It is used as store and RSO re-furbishing work. SHOP-7:- PDI & GR & D work is carried out.

VISION
The vision of Ashok Leyland is to be among the top Indian corporation acknowledged nationally and internationally for: Excellence in quality of its product Excellence in customer focus and service.

MISSION
Be a leader in the business of commercial vehicles excelling in technology quality value to customer fully supported by customer service of the highest order & meeting nationally and international environment and safety standards.

EMPLOYEES
We consider our employees as our most valuable assets and are committed to provide full encouragement and support to them to enhance their potential and contribution to the company businesses.

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A BRIEF OF DEPARTMENTS
PERSONNEL & ADMINISTRATION DEPARTMENT
Personal department has a very significant role in any organization. Here it is headed by Mr. Ramesh yadav. This department has to perform a number of functions: Providing manpower as per production plan Calling application, application blank, conducting tests/ interviews, short listing applicants, sending appointment letters, joining formalities Issue of circulars / notices Transfer, promotion , relieving letters Arranging induction programme Disciplinary actions as per standing orders, ID act, conciliation proceeding

To arrange & attend meeting with union, conciliation meeting in labour department To attend & follow up all court cases relating to P& A. Grievance procedure attending every grievances to srt it out at initial stage Maintaining a vigil on movement of union/workmen Maintaining a high morale of employees Lessoning with government department concerning P& A 25

Correspondence with corporate personnel, insurance & other department.

ADMINSTRATION: Arranging measurement of uniform & distribution Issue of tea mugs on quarterly basis For executives processing of major medical claim, LTA, minor medical ETC Mail dispatch through franking machine/ courier Horticulture activity Transport Communication system Purchase of soaps every month &distributed to workmen

CORRESPONDANCE: Monthly report to corporate personnel, insurance accident reports to factories inspector and ESI department Quarterly report to EMP exchange Half yearly report o factory inspector Renewal of license- factories, DD units Correspondence with corporate personnel on policy matters any clarification 26

Correspondence for approval with MM Correspondence for approval diwali sweets, gifts

MEDICAL CENTRE: Up keeping the medical centre Providing medicines Tetvec injections/ medicines to all employees -6 month basis Doctor appointment & relating correspondence

VEHICLES: Up keeping jeep , ambulance, fire tenders, arranging repairs, providing transport to all

CANTEEN: A watch on activities on canteen on daily basis, arranging repairs , equipments, canteen contractor, ensuring hygienic condition in canteen attending to complaints

SECURITY: A watch on security Correspondence with security agency 27

Renewal of security contract- al relating action like ADVT, Inviting quotation, interviewers, spot inspection Correspondence on security lapses , theft cases

HRD/ TRAINING: EMS work ( environment management system) Identifying training needs Selecting training programme Notice for training programme Nominating participants Attendance , feed back, evaluation of all training programme Analyzing all data regarding activity like Bench Marketing, targets customer satisfaction reports, graphs.

PRODUCTION DEPARTMENT:This department handles all the plant work for production. This department is responsible for all teh production and its process going at assembly line and also the PDI (Pre Delivery Inspection). They deal with all the workers to get the work output from them for production. They decide which model is to be assembled according to the availability of material and demand of production. 28

QUALITY CONTROL DEPARTMENT


Aiming the target of zero defects in their product this department has to play a very challenging role. Attainment of prestigious quality certificate such as QS 9000 as Ashok Leyland has the landmark of being the first auto industry in India to receive this honour. So to keep the real value responsibility of this department becomes tougher. So personnel of this department has to keep a sharp eye on every activity so that a minute kind of defect must not be allowed with their product. The QC department of Ashok Leyland, Alwar is running under wise guidance of Mr. Vinay Bhargava along with cooperation of Mr. Rajendra Yadav & Vinay Gupta. Currently nine personnel are deployed under this department and QC department work is distributed among three sections: first one is GR&D, LINE and the last one is PDI. This department is responsible for the quality of products and parts whatever they sell or purchase. The quality checking is done in three processes which are given as follows: Incoming material inspection In-process inspection Final inspection There is a GR & D (Goods receipt and dispatch) section which receives good and QC department inspect them and ensure the quality as per the recommended standards and then send them to store. For in-process inspection they use one chassis-card in which the worker check whether all things has been done which he had to do and then do signature in the card. This is known as self-certification. When the chassis become off-track to the assembly line then the chassis goes for a road-test. The defects and shortcoming in the chassis are noted such as noise, smoke, driving control etc. Then an

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inspection of chassis takes place at PDI and then all the defects are noted and are rectified. After that the chassis is passed to sales department by QC department.

1. PDI (PRE DELIVERY INSPECTION):It under comes the quality department but it has much utility that it has an important role in the production. The vehicle coming from assembly line is not perfect in quality. It has many defects. So the chassis is inspected, faults are arrested in this section and all the defects and faults are noted. The chassis comes into PDI section after road-testing. Then all the defects and faults found in the chassis are rectified using necessary tools and items. Then the chassis is painted in the paint booth and if there is any dent on the chassis FES, then it is removed and finally passed to sales department. The chassis passed from PDI is fault free and perfect in quality. Painting of the chassis is also done under this department.

GR&D (Goods Receive and Dispatch) This department is provided or giving their services when the goods are received in the plant as a material from outside and when it dispatch outside the plant.

2. UNIT PLANNING DEPARTMENT:This department basically does the planning work. They are given the project of some new units to be prepared in the plant for which they plan the appropriate place installation of the new unit the approximate duration of completion of project cost estimation and benefits of the installation of new

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unit. Presently they are taking care of new rear axle assembly conveyor line project being installed in shop-2 paint booth for body painting of futon bus in shop-5.

PURCHASE DEPARTMENT:Raw material is very important for the production. All the raw material is purchased by purchase department from various dealers and companies. They decide which material should from which company. They also look at the cost of material to be purchased and the transportation charges. It is better if the material is coming from a place near to the plant because the transportation cost will be reduced. They also decided the firm to sell the scrap items of iron, wood etc. The tender will be given to whoever will pay more. They also hire the contractors from the market by tendering to manage much work in plants like material unloading, transportation construction.

FINANCE DEPARTMENT:This department takes care of all financial things of the plant. It keeps record of all the salaries and all allowances of the employees, the money spent on purchasing the things for the plant, the money earned by the sale of products and other financial activities. It also monitors the attendance of the employees by an electronic card punching attendance system. All the employees are provided with an electronic card which is punched in the card punching machine at the time of entering the plant .

SALES AND MARKETING DEPARTMENT:Products are made in the plant and they need to be sold to the customers. This department takes care of all the marketing activities. After the product is passed from QC department, sales and marketing activities. After the product is passed from QC department, sales and marketing department keeps all 31

the products at R.S.O. (Regional Sales Office). With safety the vehicle is kept in the R.S.O. after fitting the heat guards, warning triangles, RUPD (Rear Under Protection Device) and Canopy as per the government rule. Then at demand and requirement the products are sent to the dealers. They look at the demand of product in the market and the customers feedback about the product. They also provide the training for servicing of the product. They send their report that in what amount has demand to production department so that they can decide the amount of production that they can.

TOPIC DESCRIPTION
Empowerment has been described as a venue to enable employees make decisions (Bowen & Lawler, 1992) and as a personal experience where individuals take responsibility for their own actions (Pastor, 1996). The first definition puts the onus on management, and the second emphasizes the importance of the individual for successful application of empowerment. According to Michelle Kaminski, empowerment is defined as a developmental process that promotes an active approach to problem solving, increased political understanding and an increased ability to exercise control in the environment. Employee Empowerment is the process of enabling or authorizing an individual to think, behaves, take action, and control work and decision making in autonomous ways. It is the state of feeling self-empowered to take control of one's own destiny. When thinking about 32

empowerment in human relations terms, try to avoid thinking of it as something that one individual does for another. This is one of the problems organizations have experienced with the concept of empowerment. People think that someone, usually the manager, has to bestow empowerment on the people who report to him. Consequently, the reporting staff members wait for the bestowing of empowerment, and the manager asks why people won't act in empowered ways. This led to a general unhappiness, mostly undeserved, with the concept of empowerment in many organizations. The organization has the responsibility to create a work environment which helps foster the ability and desire of employees to act in empowered ways. The work organization has the responsibility to remove barriers that limit the ability of staff to act in empowered ways. As people develop through the stages of empowerment, they become more able to analyze issues in context and apply their skills to successfully resolve them. Whereas, earlier research focused on empowerment as a set of management practices to delegate authority (discretionary empowerment), recent research has centered on psychological empowerment, focusing on employee experience. Numerous studies have shown that empowerment increases job satisfaction and reduces role stress . Singh (1993) found that customercontact employees experienced less role ambiguity when their discretionary powers increased. The authors stated that empowerment was highly crucial in situations where customer needs are highly variable, in order to enable employees to customize service delivery. Empowerment also increased the scope and opportunity for customization of service products in comparison to manufactured products. The purpose of this research is to examine the employee empowerment in the workplace. In an attempt to more specifically address this issue, I intend to do this research by narrowing down the study and focus on the relationship between employee empowerment and intent to turnover in a smaller set among engineering employees. 33

To investigate the multidimensional nature of the empowerment construct and to distinguish validity and reliability of its basic dimensions principal component, survey method is suggested for the purpose of this research. Analyzing the data collected will help in examining the relationship between empowerment, power distance, intent to leave and ultimately job satisfaction in the organization.-? The concept of employee empowerment has been associated with the participation of employees in the decision-making process in organisations. A number of approaches and articles have recently been written to expand and better the concept. Employee empowerment is a strategy that gives an ordinary employee an opportunity to have say in, and contribute to both the internal and external affairs of the organisation. In order for the strategy to be successful, the company executive should also take on the responsibility of ensuring that employees and other stakeholders are committed to the process of empowerment. This report investigates the manner in which employee empowerment could be used as a tool or aid to assist organisations in making better use of employees' thinking skills. The investigation looks into the process that should be followed in the implementation of an employee empowerment strategy. Furthermore, the model investigates affirmative action as a tool that could assist managers and organisations to better understand the concept. The report will also highlight the critical success factors that are important in striving to employee empowerment in an organisation. It will also investigate other available tools that can be used in a successful strategy. The issue of black economic empowerment also pops up as a tool that could empower employees in the process. Lastly, the report recommends guidelines that organisations could follow to succeed. The findings of the study have concluded that employee empowerment could be a powerful tool and is essential for employee development. This model tries to integrate the situational leadership model of Ken Blanchard, Carlos and Randolph with Yen-Yun Lin's conceptual model. The model of 34

Blanchard, Carlos & Randolph looks at the stages that management or organisations should go through before and when engaging in an empowerment strategy. The model follows the situational leadership concept or approach. On the other hand the Yen-Yun Lin model looks into the four key dimensions that are critical in an empowerment strategy, namely empowering leadership, empowering culture, empowering management practices and empowering teams. The model tries to integrate the four dimensions and show the role that they play in the employee empowerment model. The tools developed in this model are a combination of a number of possible tools that could be used in the empowerment process, which I developed. The last part of the model attempts to indicate the beneficiaries of the process and the benefits that could be derived from empowerment. It further looks into how these benefits could impact on the organisation as a whole and their relationship to the process and the key dimensions.

Employee empowerment programs have been widely adopted in the public sector as a way to improve organizational performance. Empowered employees improve performance largely by finding innovative ways of correcting errors in service delivery and redesigning work processes. Failure to encourage innovation can seriously undermine the effectiveness of empowerment programs. Based on Bowen and Lawlers conceptualization of employee empowerment as a multifaceted management approach, this study explores how different empowerment practices can be used to encourage US federal government employees to seek out new and better ways of doing things. The empirical results show that while employee empowerment as an overall approach can increase encouragement to innovate, empowerment practices have divergent effects, and some may even discourage innovation.

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LITERATURE REVIEW Definitions of Empowerment


Every organization that is involved in the empowering employees defines empowerment according to its usefulness and scope in practice. Even though it is difficult to assign an exact definition to the term empowerment, four general definitions are listed below: Empowerment means giving people their head, not just relieving them of minor bureaucrat impedimentaIt means top management explaining and delegating more swhile commanding less (Rock, 1994). Empowerment is the process of enhancing feelings of self-efficiency among organizational members through the identification of conditions that foster powerlessness and through their removal by formal organizational practices and informal techniques of providing effective information (Conger & Kanungo, 1988). 36

According to Hummuda and Dulaimi (1997), Conger and Kanungos definition of empowerment is a comprehensive description of empowerment emphasizing various aspects, including: Empowerment as a quality achiever as well as a motivator Empowerment as an organizational process, a whole restructuring The involvement of every member in the organization; as an individual or self managed team Powerlessness in organizations as a barrier to the adoption of empowerment Formal and informal practices and techniques to implement empowerment

The Theory of Empowerment


The idea of employee empowerment is a concept that is fairly unused when compared with the size of the employee population. Also, empowerment can easily be misconstrued, depending on an organizations use of the principle. Employee empowerment is closely related to employee involvement, a concept that is easily understood and more uniform throughout organizations. Employee involvement has been defined as a participative process to use the entire capacity of workers, designated to encourage employee commitment to organizational success.

Models of Employee Involvement


Model primarily deals with decision making. Decision making can either be of a participative nature or of a delegative nature. Employee participation can be defined as joint decision making between superior and subordinates. Delegation is the process whereby the manager transfers decision 37

making autonomy to a subordinate. Employees can either have partial control (participation) or complete control. Defined participative decision making as a situation in which decisions as to activities are arrived at by the very persons who are to execute those decisions. His models effectiveness was dependent upon several factors, including the personalities and attitudes of those involved; the extent, importance, and visibility of the issues; and the value of the participation process (Lowin, 1968). Model focused on the psychological target of the employee involvement. There are four general types of involvement, including goal setting, decision making, problem solving, and change. Saskin contended that the various types of involvement can produce psychological and cognitive effects such as psychological ownership, development of shared norms and values, and information flow.

WHY EMPLOYEE EMPOWERMENT FAILS Empowerment is a panacea for many organization ills when empowerment is implemented with care. People in organizations say they want empowerment and often, they mean it. Managers say they want employee empowerment and often, they mean it, too. Organizations that are committed to the ongoing growth of their employees recognize employee empowerment as one of their most important strategic methods to motivate employees. Employee empowerment is also a key strategy to enable people who have the need, the answers, and the knowledge, to make decisions about how to best serve customers.

If employee empowerment is such a great tool and strategy for accomplishing work, customer service, and employee motivation, how come employee empowerment is so rarely implemented effectively? Here are some of the reasons why employee empowerment fails. 38

Managers pay lip service to employee empowerment, but do not really believe in its power. As with all management and business buzz words, employee empowerment can seem like a good thing to do. After all, well-respected management books recommend that you empower employees. When you empower employees, they grow their skills and your organization benefits from their empowerment. Employees know when you are serious about employee empowerment and when you understand and walk your talk. Half-hearted or unbelievable employee empowerment efforts will fail.

Managers dont really understand what employee empowerment means. They have a vague notion that employee empowerment means you start a few teams that address workplace employee morale or safety issues. You ask people what they think about something at a meeting. You allow employees to help plan the company picnic. Wrong. Employee empowerment is a philosophy or strategy that enables people to make decisions about their job.

Managers fail to establish boundaries for employee empowerment. In your absence, what decisions can be made by staff members? What decisions can employees make day-by-day that they do not need to have permission or oversight to make? These boundaries must be defined or employee empowerment efforts fail. Managers have defined the decision making authority and boundaries with staff, but then micromanage the work of employees. This is usually because managers dont trust staff to make good decisions. Staff members know this and either it craftily make decisions on their own and hide their results or they come to you for everything because they dont know what they really can control. 39

Wrong conception of employees on the authority you have delegated your employees to make a decision. You can help staff make good decisions by coaching, training, and providing necessary information. You can even model good decision making, But, what you cannot do, unless a serious complication will result, is undermine or change the decision you had empowered a staff person to make. Teach the employee to make a better decision next time. But dont undermine their faith in their personal competence and in your trust, support, and approbation. You discourage employee empowerment for the future. Managers need to provide growth and challenge opportunities and goals that employees can aim for and achieve. Failure to provide a strategic framework, in which decisions have a compass and success measurements, imperils the opportunity for empowered behavior. Employees need direction to know how to practice empowerment. If managers fail to provide the information and access to information, training, and learning opportunities needed for staff to make good decisions, dont complain when employee empowerment efforts fall short. The organization has the responsibility to create a work environment that helps foster the ability and desire of employees to act in empowered ways.

Information is the key to successful employee empowerment.

"Employee empowerment" is a term that is used to express the ways in which non-managerial staff members can make decisions without consulting their bosses or managers. These decisions can be small or large, depending upon the degree of power with which the company wishes to invest employees. Employee empowerment can begin with training and converting a whole company to

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an empowerment model. Conversely, it might merely mean giving employees the ability to make some decisions on their own.

Happier Employees

The thinking behind employee empowerment is that it gives power to individuals and thus makes for happier employees. By being able to make choices and participate on a more responsible level, employees become more invested in their company. They often view themselves as representatives of the company. When employees feel as though they have choice and can make direct decisions, this often leads to a greater feeling of self-worth. In a model where power is closely tied to sense of self, having some power is a valuable thing. An employee who does not feel constantly watched and criticized is more likely to consider work to be a positive environment instead of a negative one.

Open-Minded Managers

For employee empowerment to work successfully, the management team must be truly committed to allowing employees to make decisions. Managers might want to define the scope of decisions that their employees can make. Building decision-making teams is often one of the models used in employee empowerment, because it allows for managers and workers to contribute ideas toward directing the company. Autocratic managers tend not to be able to utilize employee empowerment. These types of managers, who are often called micromanagers, tend to oversee all aspects of their employees' work and usually will not give up control. A manager who is dedicated toemployee empowerment must be willing to give up control of some aspects of the business. 41

Suggestions Encouraged

One easy way for managers to begin empowering their employees is to install suggestion boxes, in workers can place suggestions without fear of punishment or retribution. Simply placing a suggestion box somewhere is only the first step, however. Managers must be willing to read and consider the suggestions. They might provide a forum where questions or suggestions receive a response, such as a weekly or monthly newsletter. In addition, managers can hold meetings where suggestions are addressed.

Responses Necessary

At least some suggestions have to be approved for employees to feel that they are having some effect on their company. Failure to approve or implement any suggestions reinforces that all the power belongs to the managers and not the workers. Employee empowerment of any form can work only when managers are willing to be open to new ideas and strategies. If no such willingness exists, the employees are likely to know that they have not been empowered at all.

Challenges of Employee Empowerment


Employee empowerment is the process of allowing employees to make their own decisions and getting employees involved in helping to make decisions that affect the entire company. The upside to empowerment is that you get an employee population that is involved intimately in the success of the company. However, there are many challenges associated with employee empowerment as well.

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Message Disconnect According to the Dawn Media Group, while empowering a workforce encourages employees to think on their own, it can create chaos by developing different messages from various employees. What may work for one employee may not be effective for another, and rather than creating a cohesive company message, you wind up with fragments of individual messages. This can become challenging in the area of customer service, for example, when one representative may handle a similar situation differently from her counterpart within the company. When two customers with the same issue get two different resolutions, this can lead to a disconnect between the company and the customer.

Insufficient Training When managers are taken out of the day-to-day decision-making process for empowered employees, it becomes necessary to increase the amount of training for employees to help strengthen each individual's skill set. A lack of training in an empowered environment can create situations in which employees are working on intuition rather than following company policy. As a result, customers can wind up with incompatible solutions or insufficient information in answer to a question.

Reluctant Managers According to employment expert Dr. Rick Johnson, writing on Evan Carmichael's marketing website, the challenges in some empowered environments can come from the managers. Some managers may not feel that their employees are competent enough to handle an empowered environment, and those managers will still maintain an employee-manager business model that can interfere with implementing the employee empowerment model. In this situation, it helps if managers 43

work closely with their employees and gain the confidence in their employees necessary to allow the empowerment model to take hold.

Breakdown of Organizational Structure As employees gain more confidence in an empowered environment, they begin to feel they can take on more crucial decisions. Managers need to create clear guidelines for empowerment, or they risk the possibility that the hierarchy within the organizational structure will break down, making it difficult for them to maintain control over their employees.

Principle of Employee Empowerment & Its Advantages


The principle of employee empowerment pertains to management allowing employees to make decisions that affect their jobs rather than having to clear everything with managers, according to the article. Two of the key elements of employee empowerment are an efficient hiring system and constant training. There are several advantages to employee empowerment, ranging from monetary savings to better work relationships. Cost Savings Employees who perform their tasks on a daily basis have an intimate understanding of how their jobs are done. According to Chapter by empowering employees to determine their own work methods, companies can benefit from the years of experience each employee has. By allowing employees to suggest and make procedural changes that make their jobs more efficient, companies benefit by saving money.

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Morale Employees who are empowered in their jobs feel a stronger sense of responsibility concerning productivity. Putting employees in charge of their own results has a positive effect on morale. Empowered employees know that their ideas matter to the success of the company, so they tend to take a greater interest in creating a more efficient and profitable company. Higher morale means that employees take less scheduled time off and productivity increases. This all has a positive effect on the company bottom line.

Management-Employee Relationship Employee empowerment can help strengthen the relationships between managers and employees, according to the article titled & published on the Thinking Managers website. Managers are seen as coaches and professionals with a direct interest in the success of their employees as opposed to those that dictate policy and give commands. Managers learn to rely on empowered employees, and employees learn to use their managers as resources for getting jobs done. Direct Accountability Empowering employees to make their own decisions means that employees have direct accountability for their jobs. This is advantageous for companies, because instead of harnessing managers with the responsibility for all decisions, employees pick up some of the decision-making slack. Thus, it is easier to pinpoint the exact sources of issues. Companies can offer specific employees training and any other information needed to correct errors as opposed to spending time and money training entire departments

6 Ways to Empower Employees

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Team members are well-trained, and 88 percent of them are full-time employees. Happy team members create happy customers, and happy customers create happy investors.... Make sure the people you work with are able to self-actualize themselves to the greatest degree possible so they can advance, make more money, learn and grow on the job. Employees vote every three years on benefits they want. The benefits that they think are most important that fit within the budget weve established are the benefits that well have for the next three years.... The team members are the best judges of what benefits they would most like to have. New hires require a two-thirds vote from their team to stay. How can a team have true accountability if they cant select or have a final say of who gets to be on the team? I really believe that empowerment requires having the team have veto power over new hires for the team to have psychological ownership over their workplace. Regional managers design brand-new stores instead of borrowing blueprints from corporate. As much as possible, we decentralize back to the regions and the stores. They have a real sense of psychological ownership. Its their store. Its their region. We are allowing individual innovation and creativity to bubble up from the store level, and then the good ideas that get created get copied by other stores. Individual stores determine what items are stocked, based on local tastes and goods. To fulfill our mission, our purpose and create value for our stakeholders, we are pretty decentralized. We are organized into 11 geographical regions, and the regions are fairly autonomous. Employees determine how to spend their paid time off and their stores emergency fund. If someone gets sick, a lot of times team members will donate hours from their own benefit banks [paid leave] so that person will be taken care of while they are ill and recuperating. 46

Benefits of Empowerment
Empowerment purpose was primarily to enable and authorize employees to make products and services as good as possible. The obvious benefit was an increase in quality along with a reduction in warranty costs. Other benefits of empowerment also evolved into obvious excuses for implementation of the principle. According to experts R. Ripley and M. Ripley (1992) and Spatz (2000) empowerment will: Increase motivation to reduce mistakes and have individuals take more responsibility for their own actions Increase the opportunity for creativity and innovation Assist the continuous improvement of processes, products, and services Improve customer satisfaction by having the employee closest to the customer make rapid, relevant decisions increase employee loyalty, while at the same time reducing turnover, absenteeism, and illness Increase productivity by increasing employee pride, selfrespect, and selfworth Use peer pressure and selfmanaging team methods for employee control and productivity relieve middle and upper management from being the control dogs and from doing lower level tasks, thereby allowing more time for strategic planning and achieving a greater market share and customer satisfaction Increase the bottom line by such methods as reducing waste and building quality, while meeting customer requirements 47

Increase upper managements time for development of the top line (sales and revenue) Reduce the excessive need for quality assurance personnel, lawyers, and historian accountants

Maintain and increase competitiveness Achieve longterm competitiveness with an ever increasing market share Increase trust and cooperation with management Increase communication among employees and divisions Reduce project completion time overruns

Empowerment has numerous benefits that are applicable to almost any aspect of an organization. Some can easily be identified and listed as noted; others are more obscure.

Empowerment Misconceptions
The benefits of employee empowerment can be easily recognized by management, but they can also be easily misconstrued. Two of the most common misconceptions are that managements role will be diminished and that management will be eliminated when employees are given more power. 1. Diminished role of management

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Many managers fear that through the empowerment of employees, the role of managers will diminish until the managerial position will become obsolete. One manager even went so far as to say, Employee empowerment is really part of a master plot designed by front line employees to take over Americas corporations. 1. More power to employee

Some owners believe that by empowering employees, the eventual result will be an organization full of empowered employees with no organizational control (Hammuda et al., 1997). The empowerment of employees can occur in ways that may not require giving the employees more power. The feeling of employee empowerment can be improved by listening and being more responsive to employee comments, providing necessary training, encouragement by management and fellow employees, providing employees withthe necessary resources to do their jobs, allowing access to relevant information and matching employees to their tasks according to training and experience. Empowerment Limitations Like most initiatives in organizations, to be effective, practical, and achievable, empowerment and quality must start at the top (R. Ripley & M. Ripley, 1992). Believe it or not, empowerment changes an organizations model, whether it be a restructuring or change in job responsibilities. Thus, upper management must be an active factor in implementing empowerment. Studies Relating to Employee Empowerment Research done in England by John P. Carlos, a Phoenixbased management and employeetraining consultant and coauthor of the book Empowerment Takes More Than a Minute, revealed the emphasis that English business people put on confidentiality. To share information was seen as unnecessary. 49

RESEARCH METHODOLOGY
Research is the systematic design, collection, analysis and reporting of data and findings are relevant to a specific organization situation. The main objective of the research is to find out the truth, which is hidden and has not been discovered yet. Research replaces intuitive business decision by more logical and scientific decisions. Research methodology is a way to systematically solve the research problem. It may be understood as a study of how research is done scientifically. Through research methodology we study the 50

various steps that are generally adopted by researcher I studying his research problem along with the logic behind them. The researcher should not only know the various approaches/ techniques available for particular research techniques, but they also need to know which of these methods are relevant and which are not.

TITLE OF THE STUDY:


EMPLOYEE EMPOWERMET

COLLECTION OF DATA
1. Primary Data: questionnaire I filled up the questionnaire by 50 respondents out of 85 managerial staff including hr manager, marketing manager, production manager, & other employee. 2. Secondary Data: Sources for collecting the secondary data are as follows Company website Past records

OBJECTIVES OF THE STUDY:


TO know the Employee Retention process of ASHOK LEYLAND India. Analyzing the different major sources of retention. To know how HR department works in ASHOK LEYLAND COMPANY at Alwar plant. To find out the Employee Retention in Ashok Leyland. To find out the effectiveness of its Employee Retention in Ashok Leyland. To develop suggestion for effective Employee Retention in Ashok Leyland. To find out the effectiveness of the methods of Employee Retention in Ashok Leyland. To find out weather the employees are satisfied with their job in Ashok Leyland. 51

To find out the company policy regarding Retention.

TYPES OF RESEARCH:
Research is a careful investigation or enguiring specially through search of new facts in any branch of knowledge. Reasearch methodology is a way to systematically solve the research problem generally adopted by a researcher in studying his research problerm along with the logic behind them. There are mainly three types of research designExploratory Descriptive Casual This is an exploratory research. Exploratory research is done when we are not aware of the problem clearly. Find it out, and suggest possible solution. This research required exploring into many aspects of the performance of the employees in the organization after training them and finding out the effectiveness of the training.

SAMPLE SIZE AND METHOD OF SELECTING SAMPLE:


SAMPLING SAMPLE: - A sample is a part of the total population. It can be an individual element or a group of elements selected from the population. Although it is a subset, it is representative of the population and suitable for research in term of cost, convenience and time. The sample group can be selected based on a probability or a non-probability approach. A sample usually consists of various units of the population. The size of sample is sample is represented by n. 52

SAMPLE SIZE: For this management thesis I have taken sample size n as 100. Sampling is the act, process, or technique of selecting a representative part of a population for the purpose of determining the characteristics of the whole population. In other words, the process of selecting a sample from a population Using special technique is called sampling.

SCOPES OF THE STUDY


Due to lack of sufficient knowledge, I had to make a number of assumptions for the sake of a useful & reasonably accurate project in the field of Job satisfaction. While I believe that al such assumption were justice and have put in all possible efforts to reduce assumptions to a minimum by procuring the facts all techniques from wherever they were available some assumptions and limitations remain to keep every thing honest. I would like to list them here: The permanent employees have been considering for this study. Only the employees who have completed their one-year completed year of service have been considered for this study.

LIMITATIONS OF THE STUDY


This project is limited to one plant of Ashok Leyland alwar, which is based in Alwar (Rajasthan). Some data was confidential and not disclosed as per the companys policy. Time limitation was the major factor for the study. The study on Employee empowerment has been done in limited period of two months duration. Bias of the respondents

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NEED OF THE STUDY


The need of Empowerment is not giving people power but letting that power out. People already have plenty of power in the wealth of their knowledge and motivation to do their jobs magnificently. Empowerment is a topdown value driven issue. Employee empowerment is a process whereby: 0 A culture of empowerment is developed.

1 Information In the form of a shared vision, clear goals, boundaries for decision making, and the results of efforts and their impact on the whole is shared. 2 Competency In the form of training and experience is developed. 3 Resources or the competency to obtain them when needed to be effective in their jobs, are provided. 4 Support in the form of mentoring, cultural support and encouragement of risk taking is provided 5 Team building and developing human capacity.

SCOPE OF THE STUDY


This project is all about determining and evaluating the level of employee empowerment in ASHOK LEYLAND. With the objective in mind certain questionnaire were prepared and presented to the employees for ascertaining few suggestions from them. Such suggestions are presented to the company in order to overcome their drawbacks and pit falls. The study attempts to measure only the effectiveness of human resource departments activities and duties, which is specially designed for employees. The study will emphasis to review the effectiveness of human resource activities in the organization. CHAPTERISATION: The present study on EMPLOYEE EMPOWERMENT is reported through three chapter.

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The 1st chapter deals with introduction, objective of the study, scope of the study, methodology, sampling data, limitation of the study and literature review. The 2nd chapter enclosed with data analysis and interpretation. The 3rd chapter enclosed with summary, findings and conclusion.

DATA ANALYSIS AND INTERPRETATION


1. PERCEPTION TOWARDS EMPLOYEE EMPOWERMENT

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INFERENCE: From the above table it is clear that 32% of the respondents are highly satisfied towards employee empowerment, followed in organization 52% of the respondents who satisfied, 13% of the respondents are satisfied nor dissatisfied, 3% of the respondents are dissatisfied. 2. EMPLOYEE EMPOWERMENT PROGRAM PROVIDED BY THE

ORGANISATION

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INFERENCE: From the above table it is clear that 10% of the respondents are highly satisfied towards employee empowerment program provided by the organization, followed by 65% of the respondents who satisfied, 18% of the respondents are satisfied nor dissatisfied, 7% of the respondents are dissatisfied.

3. SATISFACTION MANAGEMENT

LEVEL FOR

QUALITY

CIRCLE IN PARTICIPATIVE

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INFERENCE: From the above table it is clear that 33% of the respondents are highly satisfied towards the above statement provided for participative management, followed by 44% of the respondents who satisfied and 23% of the respondents are satisfied nor dissatisfied.

4. SATISFACTION LEVEL FOR COLLECTIVE BARGAINING IN PARTICIPATIVE MANAGEMENT

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INFERENCE: From the above table it is clear that 29% of the respondents are highly satisfied towards the above statement provided for participative management, followed by 38% of the respondents who satisfied and 33% of the respondents are satisfied nor dissatisfied.

5. SATISFACTION LEVEL FOR JOB ENRICHMENT IN PARTICIPATIVE MANAGEMENT 59

INFERENCE: From the above table it is clear that 31% of the respondents are highly satisfied towards the above statement provided for participative management, followed by 46% of the respondents who satisfied and 23% of the respondents are satisfied nor dissatisfied. 6. SATISFACTION LEVEL FOR SOCIAL DECISIONS IN PARTICIPATIVE MANAGEMENT

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INFERENCE: From the above table it is clear that 33% of the respondents are highly satisfied towards the above statement provided for participative management, followed by 41% of the respondents who satisfied and 26% of the respondents are satisfied nor dissatisfied.

7. EMPLOYEE EMPOWERMENT INCREASE EMPLOYEE MOTIVATION

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INFERENCE: From the above table it is clear that 45% of the respondents have strongly agreed that it increases employee motivation, followed by 39% of the respondents who agreed, 16% of the respondents are partially agreed.

8. EMPLOYEE INVOLEMENT DERIVES THE ABILITY & AUTHORITY TO DO THEIR WORK 62

INFERENCE: From the above table it is clear that 48% of the respondents have strongly agreed that employee involvement derives the ability & authority to their work, followed by 37% of the respondents who agreed, 8% of the respondents are partially agreed and 7% of the respondents are disagreed.

9. EMPLOYEE EMPOWERMENT INCREASE EMPLOYEE MORALE

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INFERENCE: From the above table it is clear that 27% of the respondents have strongly agreed that it increases employee morale, followed by 48% of the respondents who agreed, 18% of the respondents are partially agreed and 7% of the respondents are dis agreed.

10. COMPANY ALLOW THE EMPLOYEE IN THE DECISION MAKING PROCESS 64

INFERENCE: From the above table it is clear that 48% of the respondents have agreed that company allow the employee in the decision making process, followed by 33% of the respondents who partially agreed, 19% of the respondents are disagreed.

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11. EMPOWERMENT TEAM SHARED WITH MANAGEMENT IN DECISION MAKING

INFERENCE: From the above table it is clear that 11% of the respondents have strongly agreed that it increases employee motivation, followed by 54% of the respondents who agreed, 14% of the respondents are partially agreed and 21% of the respondents are disagreed.

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12. ORGANISATION ENCOURAGE EMPLOYEES TO TRY OUT NEW IDEA

INFERENCE : It is been found that the 75% of respondents said that organization encourages employees to try out with new ideas and 25% of respondents not accepted the above statement.

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FACTS AND FINDINGS


32% of the respondents are highly satisfied towards employee empowerment, followed in organization and 52% of the respondents are satisfied towards employee empowerment. 45% of the respondents have strongly agreed that it increases employee motivation and 39% of the respondents are agreed. By using chi-square there is a relationship between employee empowerment and employee morale. 18% of the respondents have strongly agreed that company allow the employee to observe peers performed successfully on their job and 47% of the respondents are agreed. 20% of the respondents have strongly agreed that it reduces the stress & anxiety of the employees and 62% of the respondents are agreed. By using chi-square there is a relationship between employee involvement and productivity. 48% of the respondents have agreed that company allow the employee in the decision making process and 33% of the respondents are partially agreed. 18% of the respondents said that they always allow to share power with subordinate, followed by 26% of the respondents who often they allow and 56% of the respondents sometimes they allow. By using correlation we found that there is a relation between employee empowerment and employee participation. 16% of the respondents have strongly agreed that employee should be trained to participate more effectively and 64% of the respondents are agreed. 68

17% of the respondents have strongly agreed that empowered employees are energetic & passionate, followed by 58% of the respondents who agreed.

27% of the respondents have strongly agreed that empowerment benefits both the workers & the organization, followed by 54% of the respondents who agreed.

75% of respondents said that organization encourages employees to try out with new ideas and 25% of respondents not accepted the above statement.

Training & Development has supported a lot Employee Retention & various plan & procedure ASHOK LEYLAND Ltd. All Employee are happily working there so the attrition rate is 1% & retention rate is 99%. This is very high.

The motivational techniques & many reward procedure is continuously growing there. In ASHOK LEYLAND working pattern is very good & effective so No. of employee or executives dont want leave the job.

The whole Alwar plant every employee is Growing &contributing company growth also.

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SWOT ANALYSIS
A detailed performance analysis sets the stage for conducting a SWOT analysis. SWOT analysis is an abbreviation for strength, weakness; opportunities, and threats, SWOT analysis is an important tool for auditing the overall strategic positions of a business and its environment. Once key strategic issues have been identified, they feed into business objectives, particularly marketing objectives. SWOT analysis can be used in conjunction with other tools for audit and analysis. Strength and weakness are internal factors. Strength could be a firms specialist marketing expertise. A weakness could be the lack of anew product. Opportunities and threats are external factors. An opportunity could be a developing distribution channel such as the internet, or changing consumer lifestyle that potentially increase demand for a companys products. A threat could be a new competitor in an important existing market or a technological change that makes existing products potentially obsolete. The external factor, environment be it the macro environment, customer or competitor groups, is contently in a state of flux. A change by itself is neither an opportunity nor a threat. It only becomes so, in relation to an organization strength or weakness. What may represent an opportunity for a particular firm? May infact pose a serious threat to the survival of yet another firm in the industry. For instance deregulation of the telecom industry was an opportunity for private sector firms, which had the monetary and managerial resources to leverage this opportunity. Existing public sector units saw this threat, as it meant the end of their protected monopolies. SWOT analysis can be very subjective--- two people rarely come-up with the same version of a SWOT analysis even when given the same information about the same business and its environment. Accordingly, SWOT analysis is best used as a guide and not a prescription. Adding and weighing criteria to each factor increase the validity of the analysis.

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STRENGTH
Experienced work force100% Licenses renewed Compliance made Effective Licensing Safety Consciousness Wide network Committed work force Meant for the masses Availability of top R & D pessonnel

WEAKNESSES
Employees turn over Low capacity utilization Unorganized labour contractors Lack of HR development

OPPORTUNITIES
New product development & Better manpower utilization Benchmarking HR practices Sharing HR practices with other Locations Introduction of new HR initiatives Buoyant economy

THREATS
Surrounded by sick industries Closures of about 60% of surrounding industries Labour cases 71

Recession Political instability

CONCLUSION
In the definition, 'empowerment' isn't just a matter of delegating job authority to the job-holders. It means that 'everyone can take action to enhance his or her work, either in personal or organizational terms'. Instead of the traditional bureaucracy, with its emphasis on control, standardization and obedience, empowerment can only thrive in the liberated surround of innovation, flexibility, commitment, zero defects and continuous improvement.

The opportunity of studying the employee empowerment in ASHOK LEYLAND gave me a conclusion that most of the respondents are satisfied and they are not highly satisfied and some of them are even not satisfied by the performance of the human resource department and their activities. I strongly feel and hope that little suggestions and recommendations given as outcome of the study may be used for further improving and rectifying the problem in the employee empowerment.

The bird eye view of my project is that in this competitive market human resources are the major assets of an organization. Therefore, ASHOK LEYLAND alwar, India really focuses to find out the effective sources of employee retention. The researcher has done enough research on sources of employee retention of the company. The researcher has come up with certain recommendations that are to be adopted, which on implementation would be beneficial for the company in long run. There are certain inferences what was found through the project in the company and are given below-

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ASHOK LEYLAND alwar is using different sources of retention.

ASHOK LEYLAND alwar, India prefers to use placement agencies as a method of retention. Employee also joining the company mainly company reputation.

ASHOK LEYLAND alwar, India retain the employees on monthly and yearly basis as well as occasionally because when company feels shortage of manpower in the lower level

management, at that junction it retains the candidates on monthly basis where as shortage of manpower in middle level management at that point of time retention is done but this situation comes occasionally.

Theoretically,The employees always have high expectations regarding their compensation packages. As soon as they feel dissatisfied with the current employer or the job, they switch over to the next job. Employee are totally different. Employee Retention involves taking measures to encourage employees to remain in the organization for the maximum period of time.

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RECOMMENDATION AND SUGGESTIONS


Recommendation:
On the basis of the research work there are several points, which came as a conclusion and according to that there are some points which are pointed out as recommendations, and if company follows these points then company can effectively recruit and select the candidates and increase the retention of the employees. These points are given as follows:1. The Company at present is mostly utilizing the source of recruitment by employee referrals and placement agencies. If the company goes for other effective sources of retention like job rotation etc., it can get some effective and efficient candidates for retention. 2. Company should decrease the complexity of the retention procedure for employees while hiring the candidates for judging their competencies. 3. For selecting the candidates, company should go for some new technical and creative tests as a compulsory test apart from the aptitude and trade test for the employees. 4. At present the probation period in ASHOK LEYLAND, ALWAR is up to six months. It is advisable for the company that people at the different post should be given different probation period. 5. should go for some new technical and creative tests as a compulsory test apart from the aptitude and trade test for the employees.

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6. At present the probation period in ASHOK LEYLAND, ALWAR is up to six months. It is advisable for the company that people at the different post should be given different probation period.

Suggestions:
When asked about why employees leave, low salary comes out to be a common excuse. However, research has shown that people join companies, but leave because of what their managers do or dont do. It is seen that managers who respect and value employees competency, pay attention to their aspirations, assure challenging work, value the quality of work life and provided chances for learning have loyal and engaged employees. Therefore, managers and team leaders play an active and vital role in employee retention Managers and team leaders can reduce the attrition levels considerably by creating a motivating team culture and improving the relationships with team members. This can be done in a following way: Creating a Motivating Environment: Team leaders who create motivating environments are likely to keep their team members together for a longer period of time. Motivation does not necessarily have to come through fun events such as parties, celebrations, team outings etc. They can also come through serious events e.g. arranging a talk by the VP of Quality on career opportunities in the field of quality. Employees who look forward to these events and are likely to remain more engaged. Standing up for the Team: Team leaders are closest to their team members. While they need to ensure smooth functioning of their teams by implementing management decisions, they also need to educate their managers about the realities on the ground. When agents see the team leader standing up for them, they will have one more reason to stay in the team. Providing coaching: Everyone wants to be successful in his or her current job. However, not everyone knows how. Therefore, one of the key responsibilities will be providing coaching that is intended to improve the performance of employees. Managers often tend to escape this role by 75

just coaching their employees. However, coaching is followed by monitoring performance and providing feedback on the same. Delegation: Many team leaders and managers feel that they are the only people who can do a particular task or job. Therefore, they do not delegate their jobs as much as they should. Delegation is a great way to develop competencies.

Extra Responsibility: Giving extra responsibility to employees is another way to get them engaged with the company. However, just giving the extra responsibility does not help. The manager must spend good time teaching the employees of how to manage responsibilities given to them so that they dont feel over burdened. Focus on future career: Employees are always concerned about their future career.

Training program are conducted but its not effective because they are not implementing it. If they implemented, only then the program will effective.

After the training program the organization should take effort to test whether the training program is effective or not, if they test it will useful for future implementation.

Managers should share the power with the subordinate in the order for decision making.

The training should be provided with all the relevant information and the best possible tools, fully involved in key decision and they must reward.

Management should take the account of sub-ordinates suggestions.

They should communicate often to the sub-ordinates and it should an routine task.

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Management can provide stress oriented training programmes in order to reduce the stress and increases the job satisfaction.

APPENDIX
Questionnaire
PERSONNAL INFORMATION NAME (Optional): DESIGNATION: AGE: EXPERIENCE: GENDER: o Male o Female 1) What is your perception towards employee empowerment in your organization? a) Highly Satisfied e) Highly Dissatisfied 2) Are you satisfied with your employee empowerment program provided by your organization? a) Highly Satisfied e) Highly Dissatisfied b) Satisfied c) Satisfied nor Dissatisfied d) Dissatisfied b) Satisfied c) Satisfied nor Dissatisfied d) Dissatisfied

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3) Satisfaction level for method of participative management

4) Do you agree employee empowerment increases employee motivation? 5) Do you agree the employee involvement derives the ability and authority to do their work? a) SA b) A c) PA d) DA

6) Do you agree employee empowerment increases employee morale? a) SA b)A c) PA d) DA

7) Whether your company allows the employee to observe peers who have already performed successfully on their job. a) SA b) A c) PA d) DA

8) Do you agree that the employees empowerment reduces the stress and anxiety of the employees? 78

a) SA b) A

c) PA d) DA

9) Do you agree employee involvement towards their job, will improve their performance a) SA b) A c) PA d) DA

10) Whether your company allow the employee to take part in the decision making process. a) SA b) A c) PA d) DA

11) Whether your manager shares power with subordinates. a) Always allow b) Often they allow c) Sometimes allow d) Never allows

12) Employee empowerment serves as foundation for employees participation in management a) SA b) A c) PA d) DA

13) Empowerment team are also given right to share with management in decision making a) SA b) A c) PA d) DA

14) Employees should be imparted necessary training and coaching to enable them to participate more effectively a) SA b) A c) PA d) DA

15) Do you agree that empowered employees are energetic and passionate? a) SA b) A c) PA d) DA

16) Do you agree empowerment will give benefits for both the works and the organization? a) SA b) A c) PA d) DA

17) Did your organization encourage employees to try out new ideas and new method of decision making? a) Yes b) No 18) Give your suggestion to improve employee empowerment program in your organization?

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BIBLIOGRAPHY
Conger, J.A. & Kanungo, R.N. (1988). The empowerment process: integrating theory and practice. Academy of Management Review, 1988, vol 13, 471-482. Hammuda, I., & Dulaimi, M.F. (1997). The theory and application of empowerment in construction: A comparative study of the different approaches to empowerment in construction, service and manufacturing industries. International Journal of Project Management, 1997, vol 15, 289-296. Klose, A. (1993). Breaking the chains: The empowerment of employees, how to evaluate, monitor, and improve employee empowerment level. Continental, Lincoln, NE, 1993. Lawler, E. & Mohrman, S.A. (1989). With help, all managers can practice high-involvement management. Personnel, 1989, vol 66, 26-31. Leana, C. R. (1987). Power relinquishment versus powersharing: Theoretical clarification and empirical comparison of delegation and participation. Journal of AppliedPsychology, 1987, vol 72, 228-233. Lowin, A. (1968). Participative decision making: A model, literature critique, and perceptions for research. Organisational Behaviour and Human Performance, 1968, Vol 3, 68-106. Rock, Stuart. (1994, February). What does empowerment mean? Director, February 80

1994, 3. Saskin, M. (1976). Changing towards participative management approaches: A model and methods. Academy of Management Review, 1976, vol 1, 75-86. Schrecengost, L. (1996). Local professor writes of employee empowerment [Electronic version]. Baltimore Business Journal. Vol. 14, No. 13. Spatz, David. (2000). Teambuilding in construction. Practice Periodical on Structural Design and Construction, 2000, Vol 5, 93105. Books: Gupta,C.B., Human Resource management. Prasad, L.M., Organizational behaviour. Rao, V.S.P., HRM. Ghosh B.N., Scientific Method & Social Research, New Delhi.

Manuals: HRD MANUAL

Websites: www.google.com www.hrfactor.com www.hrguide.com www.hrtrends.com www.ashokleyland.com

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