A Study on Employee Shortage in Manufacturing Sector of Diamond Industry in Surat city

Submitted To:
Dr. Manisha Panwala Dr. Manish Sidhpuria

Submitted By:
Sumit Agarwal (01) Sachin Ghodadara (19) Brijesh Kakadiya (24)

MBA SEM:II (FT) 2011-2013

CHAPTER NO : 1 Introduction

Overview of Industry
8 out of 10 diamonds manufactured in the world is from Surat. The diamond manufacturing industry will be worth $32 billion by the end of 2012. The local industry that employs about 5 lakh workers is facing shortage of manpower.

Defining Employee Shortage

According to The Labour Market Research Unit (LMRU)

It is sometimes used to refer to a shortfall in the total number of individuals in the labour force, and sometimes denotes the possible mismatch between workers and jobs in the economy. According to Microeconomic Theory If the quantity of labour desired by firms exceeds the amount workers offer at the prevailing price, there is a shortage of labour or employee in the market.

CHAPTER: 2 REVIEW OF LITTRETURE

Review of Literature
The relevant literature lists several major implications of

skills shortages.
These consequences include the production of lower

quantity output (see Mason, Van Ark and Wagner 1996).

lower productivity and under utilization of machinery (see

Haskel and Martin 1996),

Continue.
higher wages and the economy settling into a low-skill

equilibrium (see, for example, Snower, 1996 and Haskel and Holt, 1999).

The issue of labour and skill shortages has been

receiving considerable attention for much of the last two or three years. Despite the discussion and policy activity, the nature of shortages remains poorly defined.

CHAPTER: 3 THEORITICAL FRAMEWORKS

 In theoretical framework we have mention in brief about our research problem title. Here we have to study why there is a shortage of employee in the manufacturing sector of diamond industry.

CHAPTER: 4 RESREARCH METHODOLOGIES

General Problem Statement

Availability of employees at right time is an important matter for any organization. In this study main focus is on why there is a shortage of employee in organization.

Research Objective
To study the factors which has a direct effect on

employee at work place in Diamond Manufacturing industry.

To know the HRD practices followed by diamond

manufacturing units.
To provide suggestions to the organization how to

reduce the employee shortage in the organization.

Research Questions
Is Low wages influence employee shortage in

Diamond Manufacturing industry?

Is Lack of Job Security influence employee shortage

in Diamond Manufacturing industry?

Is less incentives influence employee shortage in

Diamond Manufacturing industry?

 Is Social issue problems influence employee shortage in Diamond Manufacturing industry? Is lack of proper working conditions influence employee shortage in Diamond Manufacturing industry? What are the perceptions of employees towards the factors of HRD practices adopted in Diamond

Manufacturing industry?

Operational Definition of Employee Shortage

Employee Shortage means Non availability of

employee at work place at a right time due to some problems which they (employee) faced.

Here problems may be in different forms like

employees are not satisfied with their job, their wages,

their job working conditions or it may be social problems.

Variables under study

Wages

Incentives
Social issues Staff training

Career planning
Working conditions Education Job stress Recognition Work experiences

 Types of research :

Descriptive type research

Data collection plan:

Personal interview method Sampling plan: 1. We have undertaken 50 respondents 2. Snowball technique of sampling was taken. 3. We had taken both type past employees and present employees.

 Instrument design:

Likert scale measuring technique.

Data Analysis plan:

1. Type
2. Tool 3. Test

Hypothesis
Ho: There is no significant difference between Low wages and employee shortage in Diamond Manufacturing

industry. Ho: There is no significant difference between incentives and employee shortage in Diamond Manufacturing industry. Ho: There is no significant difference between social issue problems and employee shortage in Diamond Manufacturing industry. Ho: There is no significant difference between lack of proper working conditions and employee shortage in Diamond Manufacturing industry.

 Ho: There is no significant difference between education and employee shortage in Diamond Manufacturing industry. Ho: There is no significant difference between experience and employee shortage in Diamond Manufacturing industry. Ho: There is no significant difference between training and employee shortage in Diamond Manufacturing industry.

 Ho: There is no significant difference between lack of recognition and employee shortage in Diamond Manufacturing industry. Ho: There is no significant difference between career planning and employee shortage in Diamond

Manufacturing industry.
Ho: There is no significant difference between lack of

proper working conditions and employee shortage in Diamond Manufacturing industry.

Benefits of the study

It helps to the management in knowing the factors

which affects to the employee absence or shortage.

It helps to the management in analyzing the HRD

practices applied by the organizations.

It helps to the management in knowing the satisfaction

of employee towards the HRD practices provided by the organization

Scope of the study

It is basically done in manufacturing area of diamond

industry. One can do same type of study in textile, and other type of manufacturing sector.
One can do for different sample size and at different time. The variable used in our study may apply to many industries so that it can be taken as their bases for decision making.

Limitations of the study

There is no professionalism work involve in this project. Because of lack of experience, some mistake may be here and our experience is less as compare to preparation of project on such comprehensive topic

. We have only taken 50 respondents.

As we have used SPSS software it may happen that some managerial discrepancies may be there.

CHAPTER: 5 DATA ANALYSIS

SPSS DATA ANALYSIS.pdf

Findings
Satisfactory variables by employees:

Wages, incentives, education, work

experience,
Dissatisfactory Variables:

Social issue problems, working conditions, training, employee welfare, career planning.
In our study we found that, HRD practices was followed by approximately 45%.

Suggestions
We may provide suggestions in following areas:
Working conditions:

Social issue problems

Training Employee welfare

Career planning