INTRODUCTION

Collective bargaining is a process of negotiations between employers and a group of

employees aimed at reaching agreements that regulate working conditions. The interests of
the employees are commonly presented by representatives of a trade union to which the
employees belong. The collective agreements reached by these negotiations usually set out
wage scales, working hours, training, health and safety, overtime, grievance mechanisms,
and rights to participate in workplace or company affairs.

The union may negotiate with a single employer (who is typically representing a company's
shareholders) or may negotiate with a group of businesses, depending on the country, to
reach an industry wide agreement. A collective agreement functions as a labor contract
between an employer and one or more unions. Collective bargaining consists of the process
of negotiation between representatives of a union and employers (generally represented by
management, in some countries by anemployers' organization) in respect of the terms and
conditions of employment of employees, such as wages, hours of work, working conditions,
grievance- procedures, and about the rights and responsibilities of trade unions. The parties
often refer to the result of the negotiation as a collective bargaining agreement (CBA) or as
a collective employment agreement (CEA).

Good relations between the employer and employees are essential for the success of industry.
In order to maintain good relations, it is necessary that industrial disputes are settled quickly
and amicably. One of the efficient methods of resolving industrial disputes and deciding the
employment conditions is Collective Bargaining. Industrial disputes essentially refer to
differences or conflicts between employers and employees.
Collective Bargaining is a process in which the management and employee
representatives meet and negotiate the terms and conditions of employment for mutual
benefit. Collective bargaining involves discussion and negotiation between two groups as to
the terms and conditions of employment. It is termed Collective because both the employer’s
negotiators and the employees act as a group rather than individuals. It is known as
Bargaining because the method of reaching an agreement involves proposals and counter-
proposals, offers and counter offers. There should be no outsiders involved in the process of
collective bargaining.
According to Walton and McKersie the process of Collective Bargaining consists of four
types of activities:
1) Distributive Bargaining: It involves haggling over the distribution of surplus. Various
activities involved in this activity are wages, salaries, bonus and other financial issues. In this
activity, both the parties face a win/lose situation.
2) Integrative Bargaining: Also known as Interest-Based Bargaining, issues which are not
damaging to either party are discussed. It is a negotiation strategy in which both the parties
collaborate to find a win-win solution to their problems. This strategy focuses on developing
mutually beneficial agreements based on the interests of the disputants. Issues brought up
may be better job evaluation procedures, better performance appraisal methods or
training programmes etc.
3) Attitudinal structuring: Attitudinal structuring refers to efforts by negotiators to shape
their opponents' perceptions about the nature of the issues to be negotiated. By cultivating an
atmosphere of friendliness, mutual respect, trust, and cooperation, negotiators can encourage
their opponents to view issues largely in integrative terms and participate in joint problem
solving. This activity involves shaping and reshaping some perceptions like trust/distrust,
friendliness/hostility, co-operative/non-cooperative between the labour and management.
When there is a backlog of bitterness between both the parties, attitudinal structuring is
required to maintain smooth and harmonious industrial relations.
4) Intra-Organizational Bargaining: It is a type of manoeuvring to achieve consensus
among the workers and management. Even within the union there may be differences
between different groups as may be the case with the management. Intra-
organisational consensus is required for the smooth acceptance of the outcome of Collective
Bargaining.
NEED OF THE STUDY

Collective bargaining develops a sense of self respect and responsibility among the
employees. It increases the strength of the workforce, thereby, increasing their bargaining
capacity as a group. Collective bargaining increases the morale and productivity of
employees. It restricts management’s freedom for arbitrary action against the employees.
Moreover, unilateral actions by the employer are also discouraged. Effective collective
bargaining machinery strengthens the trade unions movement. The workers feel motivated
as they can approach the management on various matters and bargain for higher benefits.
It helps in securing a prompt and fair settlement of grievances. It provides a flexible means
for the adjustment of wages and employment conditions to economic and technological
changes in the industry, as a result of which the chances for conflicts are reduced.

OBJECTIVES OF COLLECTIVE BARGAINING:

1. To maintain cordial relations between the employer and employees.

2. To protect the interests of the workers through collective action and by
preventing unilateral actions from being taken by the employer.
3. To ensure the participation of trade unions in industry.
4. To avoid the need for government intervention as collective bargaining is a
voluntary collective process.
5. To promote Industrial democracy.
SCOPE OF THE STUDY

1. It is a group or collective action as opposed to individual action. It is initiated

through the representatives of the employees.
2. It is a flexible and dynamic process where-in no party adopts a rigid attitude.
3. It is a continuous process, which provides a mechanism for continuous
negotiations and discussions between management and the trade unions.
4. It is a voluntary process without any third-party intervention. Both workers
and management voluntarily participate in the negotiations, discuss and arrive at a
solution. That is why it is known as a bipartite process where workers’ representatives
and management get an opportunity for clear, face-to-face communication.
5. It ensures industrial democracy at the workplace; it is a self-run government in
action.
6. It is a two-way process. It is a mutual give and take rather than a take home
all method of arriving at a solution to a dispute.

RESEARCH METHODOLOGY

Research is a systematic method of finding solutions to problems. It is essentially an

investigation, a recording and an analysis of evidence for the purpose of gaining knowledge.
According to Clifford woody, “research comprises of defining and redefining problem,
formulating hypothesis or suggested solutions, collecting, organizing and evaluating data,
reaching conclusions, testing conclusions to determine whether they fit the formulated
hypothesis”1

Sampling Design

A sample design is a finite plan for obtaining a sample from a given population. Simple
random sampling is used for this study.
Universe

The universe chooses for the research study is the employees of Hyderabad Industries Ltd.

Sample Size

Number of the sampling units selected from the population is called the size of the sample.
Sample of 50 respondents were obtained from the population.

Sampling Procedure

The procedure adopted in the present study is probability sampling, which is also known as
chance sampling. Under this sampling design, every item of the frame has an equal chance of
inclusion in the sample.

Methods of Data Collection

The data’s were collected through Primary and secondary sources.

Primary Sources

Primary data are in the form of “raw material” to which statistical methods are applied for the
purpose of analysis and interpretations. The primary sources are discussion with employees,
data’s collected through questionnaire.

Secondary Sources

Secondary data’s are in the form of finished products as they have already been treated
statistically in some form or other.

The secondary data mainly consists of data and information collected from records, company
websites and also discussion with the management of the organization. Secondary data was
also collected from journals, magazines and books.
Nature of Research

Descriptive research, also known as statistical research, describes data and characteristics
about the population or phenomenon being studied. Descriptive research answers the
questions who, what, where, when and how. Although the data description is factual, accurate
and systematic, the research cannot describe what caused a situation. Thus, descriptive
research cannot be used to create a causal relationship, where one variable affects another. In
other words, descriptive research can be said to have a low requirement for internal validity.

Questionnaire

A well defined questionnaire that is used effectively can gather information on both overall
performance of the test system as well as information on specific components of the system.
A defeated questionnaire was carefully prepared and specially numbered. The questions were
arranged in proper order, in accordance with the relevance.

Nature of Questions Asked

The questionnaire consists of open ended, dichotomous, rating and ranking questions.

Pre-testing

A pre-testing of questionnaire was conducted with 10 questionnaires, which were distributed

and all of them were collected back as completed questionnaire. On the basis of doubts raised
by the respondents the questionnaire was redialed to its present form.

Sample

A finite subset of population, selected from it with the objective of investigating its properties
called a sample. A sample is a representative part of the population. A sample of 50
respondents in total has been randomly selected. The response to various elements under each
questions were totaled for the purpose of various statistical testing.

Presentation of Data

The data are presented through charts and tables.

LIMITATION OF THE STUDY

1. Collective bargaining leads to industrial peace in the country

2. It results in establishment of a harmonious industrial climate which supports
which helps the pace of a nation’s efforts towards economic and social
development since the obstacles to such a development can be reduced
considerably.
3. The discrimination and exploitation of workers is constantly being checked.
4. It provides a method or the regulation of the conditions of employment of those
who are directly concerned about them.
 CHAPTER-II

REVIEW OF LITERATURE
1.1 Collective Bargaining: Collective bargaining is defined by Pyners (2008) as a process in
which representatives of the employers and representatives of the trade union negotiate the
rights of the employees and conditions under which the labor should be employed. Sims
(2007) further adds that employees unite together to form a union and select a representative
who negotiate with a representative from the employers’ and discuss about rules, wages,
hours, benefits and working conditions of the workplace. They bring forward their demands
and the employers’ negotiate until both parties come to common terms (Sharma, 2009). The
terms on which both parties agreed is put on a contract and signed. This contract is called the
collective bargaining agreement (CBA) which is also known as collective consent. It is
legally binding and applies to all workers of the organisation, regardless of their participation
in the bargaining process (Wood, 2009). According to An and Isaacs (2010) the Shenzen
subsidiary of Foxconn, the electronics manufacturing giant entered into collective its first
collective bargaining agreement on the 26th of December 2009, which ensured that all
employees would receive a 3% wage raise if they meet certain performance requirement (Ex-
1).

1.2 Collective Bargaining Issues:

According to Dessler and Varkkey (2009) various issues can be addressed during the
negotiations between the employers and the representatives of the trade unions. The labor law
has categorized all these issues into three types, which are mandatory, permissible and illegal.
DelPo and Guerin (2009) suggest that the mandatory issues are the ones which are legal are
subject to bargaining if either party demands it. These issues have to be negotiated as it is
legally binding. These issues are mostly related to wages and benefits. In Shanahan v Unite
the union [2009] an employer was found guilty of violating the CBA due to the fact that he
did not consult the union before making some employees redundant as the issue was
considered to be a mandatory issue (EmployeeCasesUpdate, 2010) (Ex -2). Permissible
issues are the ones which are not mandatory or illegal and the bargaining of these issues are
voluntary and there are no obligations. Neither party can coerce the other to negotiate over
these issues. An example of this issue may be the product prices for employees (Shilling,
2009). In Todd v Strain and Others [2009] an employer alleged of not following the terms of
the CBA because he did not carry out the employee representative election was found
innocent as the issue was a permissible issues (EmployeeCasesUpdate, 2010) (Ex -3). The
illegal issues are the ones which are not legal and would require either to party to commit an
illegal activity, such as giving more priority to union members during recruitment. These
issues are not subject to bargain and either party can easily refuse (Jackson, Schuler and
Werner, 2008). In Brownbill and others v St Helens and Knowsley Hospital NHS Trust
[2010] an employee was alleged paying the females employees lesser than the male
employees (EmployeeCasesUpdate, 2010) (Ex -4). Further in Hammonds LLP and others v
Mwitta [2010] the employer was alleged of providing less work to employees based on racial
grounds (EmployeeCasesUpdate, 2010) (Ex -5). All the other issues which are classified
under mandatory, permissible and illegal are listed in Appendix A.

1.3 Types of Collective Bargaining:

National/Sectoral Multiple
Collective
Union Bargaining Employer

Fig.1 Centralised Collective Bargaining

Centralised Collective Bargaining: According to Caisley (2007) centralised collective

bargaining usually occurs when employers from a sector collaborate together and bargain
with one or more unions who represent the employees of those employers. However, it can
also occur between a group of companies or at the national or regional level of a company.
Phelan (2009) suggests that Sweden has centralised collective bargaining, due to the national
SAF-LO agreement negotiated between the Swedish employers’ confederation (SAF) and the
Swedish trade union confederation (LO) which stated wages and working conditions of
employees (Ex-6). The cost and benefits of centralised collective bargaining are mentioned in
Appendix B.

Independent Collective Single

Union Bargaining Employer

Fig.2) Decentralised Collective Bargaining

Decentralised Collective Bargaining: Berg, Ernst and Auer (2006) suggests that
decentralised collective bargaining occurs when the collective bargaining shifts from
centralised collective bargaining to plant or local level collective bargaining which Beadwell,
Holden and Claydon (2004) defines as the collective bargaining for a specific site within the
corporate structure affecting only the employees of that site. Australia has decentralised
collective bargaining in the automobile industry due the variation in wages and terms of
employment in different companies (Blanpain, 2010) (Ex-7). The externalities related to
decentralised wage settings are mentioned in Appendix C. The significance of different level
of collective bargaining across the world is mentioned in Appendix D.

1.4 Benefits of Collective Bargaining:

Better Productivity: Dessler and Varkkey (2009) suggest that during the course of the
collective bargaining process employees bring up all the aspects which they consider as
detrimental to their jobs. All their wants are brought forward to the employers who negotiate
and come to a mutual agreement. This helps the employees by ensuring them stability and
certainty which increases the level of their job satisfaction (Khan and Soverall, 20007). Once
the employees are ensured with job security, they try to sustain their existence in that
organisation and hence they focus on being more productive (Howell, 2007). Tesco, the
world’s fourth-largest retailer in the world, provides their employees with a living wage, job
security and freedom of association and they continue to sustain their position due to the
productivity of their employees (BBC NEWS, 2006) (Ex -8).

Improved Morale and Employee Participation: Employee morale is defined by Bowles

and Cooper (2009) as the overall perception, attitude, confidence and satisfaction of an
employee towards his/her job. Employees have a positive morale when they are happy about
the working conditions and vice versa. According to Finbow (2006) in order to improve
employee morale, the employers provide the employees with the utmost benefits and respect.
However, collective bargaining helps an employee to achieve all the benefits and rights that
they deserve and hence they have a sense of security about their jobs, which in turn, allows
them to have positive employee morale. Dessler and Varkkey (2009) further adds that
employees participate in the collective bargaining process which gives them a collective
voice which is very effective as employers are obliged to hear and solve any problems
brought up by the union, if they are legal. The Transport Security Administration had very
low employee morale due to the fact that the workforce faced unfavorable working
conditions for a very long time (FederalDaily, 2010) (Ex -9).
Better control for managers due to employee involvement: Bohlander and Snell (2009)
suggest that all labor contracts include management rights which mention that the employers
have the rights to manage, direct and control its business. Hence the employers retain the
control and management of the business. The typical items mentioned in a labor contract are
mentioned in Appendix G. lAccording to Condrey (2010) the involvement of the employees
during the collective bargaining process increases their motivation due to participation. This
helps the employers to have a better relationship with the employees as they can understand
the employees better and they can also consult with the representative of the union and also
discuss their problems as well (Rose, 2008). The managers also have a better grip at
management due to the fact that the union leader has the responsibility of smooth running of
operations, after the demand of the union is fulfilled. The management can also take help
from the union leader in order to control unrest in the working environment due to the fact
that the union leader has been selected by the employees and hence the leader has a certain
degree of control on the other union members as well (Mathis and Jackson, 2007). The
management of PSA Peugeot Citroen the world’s second largest car maker includes a training
facility in the collective bargaining agreement to enhance the skills of the workers
(Eurofound, 2010) (Ex -10). The management of Barclays PLC, a British multinational
financial services firm, informs and consults with the union before any operational changes;
this helps the workers to be prepared for change ahead of time (Barclays, 2010) (Ex -11).

1.5 Pitfalls of collective bargaining:

Narlikar (2010) suggest that bargaining deadlocks occur when the negotiations between the
employers and employees remain still due to the lack of compromise by either party. The
bargaining should always be “done in good faith”, which Dessler and Varkkey (2009) refer as
the intention of both parties to negotiate and come to common terms. However when a
deadlock is not resolved it creates a dispute between the employer and the employees which
leads to lockouts or strikes (Mathis and Jackson, 2007). Lockouts occur when the
management shuts down the operations of the company which prevents union members to
work. This mainly occurs when the employer is not satisfied by the activities of the trade
union and protests against it (Blanpain, 2010). According to Lamont (2009) Graziano
Transmission India carried out a lockout after the CEO of the company was murdered by
some workers (Ex -12). Strikes occur when the union members refuse to work in order to
protest against any sort of activity which they consider as injustice. The union members
picket or hold placards and signs, which indicate their problems, outside the location of the
business. This is usually done to put pressure on the employer to agree to the terms of the
union members (Daniel and Mcllroy, 2009).

Name of Strike Reason

Economic Strike When parties fail to come to a collective
bargaining agreement
Unfair Labor Practice Strike When the union member s feels that the
employers’ actions are illegal and they refuse
to work
Jurisdictional Strike When one union’s members walk out to force
the employer to assign work to them instead
of to another union
Wildcat Strike When the employees violate the no-strike
clause in the CBA and the strike is held
without the approval of the trade union
Sympathy Strike When one union expresses support for
another union which is in a dispute
Table.1) Types of Strikes (Source: Mathis and Jackson, 2007)

There are five types of strikes which are represented in table.1. Rainsford (2010) states that
many Spanish air traffic controllers demonstrated a wildcat strike due to the fact that they had
to work longer hours than their other European counterparts (Ex -13). Lockouts and strikes
both hamper the company, because sometimes these prolong for days or even weeks, for
which the company fails to operate and incur losses during the period of strikes or lockouts,
due to lack of production (Caisley, 2007). According to Mathis and Jackson (2007) due to a
17 day strike at General Motors, a multinational automaker, the company incurred losses
around $ 1 billion (Ex -14). The workers on the other hand, stop working but have the fear
that the company might go bankrupt during the strikes due to lack of production and they
might lose their jobs permanently as well. Hence the workers sometimes agree to the
employers demands after a while as well.
2.0 Literature Review

2.1 Role of trade unions

According to Howell (2007) trade unions play a vital role in harnessing a smooth and healthy
relationship between the employees and the employer. The trade unions assist in effective
communication between the management and the workers. They make sure that the
differences in perceptions do not turn into disputes and hence a peaceful relationship prevails
between the workers and the employers. The process of unionization is shown in Appendix
F. Shelley and Calveley (2007) further suggest that they also motivate discipline among the
workers, settle disputes rationally and help workers adjust in difficult circumstances. A
dispute between the American consumer products company Proctor and Gamble, and few
workers in Peru regarding some fundamental working rights was settled by the trade union
through arbitration (Icem, 2008) (Ex -15). The main function of the trade union is to
represent the employees at work. However they play other roles as well which are:

Negotiating collective agreements: Phelan (2009) suggest that the trade unions have the
responsibility of negotiating the wages, rules, working conditions and timing of their jobs,
with their employers. This is one of the main objective for which trade unions were formed.
All the employees gather into a single backbone known as the trade union and collectively
negotiate the terms and conditions under which they believe they should work in. The
Employee representative of the union of Nokia, a multinational In Malta, HSBC, a global
financial services company, introduced the first performance based pay remuneration system
after negotiating with the unions (Eurofound.com) (Ex -16).

Representing workers at disciplinary and grievance hearing: According to Zhu (2008)

one of the rights of the employees are that they can be accompanied by a co-worker or a
union official at a disciplinary or grievance hearing. The workers prefer to choose the union
representative who is also a co-worker. This gives the workers a form of support during the
disciplinary or grievance hearings. In Reddy v Bedford and Luton Partnersip NHS Trust
[2010] the employees represented a collective grievance through the trade union
representative (EmployeeCasesUpdate, 2010) (Ex -17). The steps of the grievance procedure
are shown in Appendix H.
2.2 Trade unions and the role of management:

Fig.3 Communication between workers and management [ IMAGE URL:

http://www.emeraldinsight.com/content_images/fig/0190280104001.png]

According to Singh (2008) the management has the duty to inform and consult with the
trade union about collective redundancies, transfer of business ownership, training, new
pension schemes, implementation of new technology or health and safety. The organisation
might implement new technology, such as robotics, which reduces labor force. Pichrt and
Stefko (2010) the union leader would consult with the management about the outcome of any
change and would also recommend the way through which the situation may be handled. The
management may also implement retirement benefits, work incentives or policies which
would be communicated to the workers through the trade union (Kester and Britwum, 2007).
In Austria, the management of G4S, a global security service provider, included a basic
training in the collective bargaining agreement after negotiating with the union (Link, 2008)
(Ex -18).
2.3 The two faces of Unionism:

Bennett and Kaufman (2007) suggest that the theory, principles and the systems of forming a
labor union is known as unionism. The formation of a union and the principles or theories
applied behind the formation and the sentiments of attachments to the union may also be a
form of unionism. There are two faces of unionism according to the theory of Freeman and
Medoff (1984) are the monopoly face and the collective voice/institutional response face. The
monopoly face is the monopoly power of the unions, which refers to the fact that due to the
dependence of the employers on the workers, the workers have the ability to put pressure on
the employer and raise wages above competitive levels, by refusing to work if the suggested
wages aren’t provided to them (Bridegam, 2009). The monopoly face of unions can be seen
amongst the workers of General Motors (GM), who bargained a rule which allowed some
workers to leave with a full-day’s pay after half day’s work (Mathis and Jackson, 2007) (Ex -
19). According to a survey by Amicus (BBC NEWS, 2010) the monopoly face of unionism
can be seen in the aerospace, shipbuilding and motor vehicle industry in the UK (Ex -20).
The collective voice/institutional response face unionism refers to the process in which the
union consults with the employer about their problems and demands and do not threaten the
employer but tries to come to an agreement where both parties are satisfied (Fine, 2006). The
employee representative, of the union of Nokia, a multinational communications corporation,
meets the management twice a year to negotiate issues which affect the employees (Nokia,
2010) (Ex -21). In contrast to the monopolistic face which reflects the judgmental face of
unionism the collective voice/institutional response face of unionism focuses more on solving
the problem rather than running away from it (Mallin, 2009). In contemporary business both
the faces of unionism is perceived by management as something positive as both can be taken
care of through collective bargaining in good faith. Further details are mentioned in Appendix
E.
3.0 Collective Bargaining and Organisational Strategy:

There are various strategies mentioned by various authors but the generic competitive
strategies mentioned by Strickland and Thompson (2003) is the low cost provider,
differentiation and focus on a niche strategy. According to Torrington, Hall and Taylor
(2008) the collective bargaining process has a huge impact on the strategies followed by an
organisation. The organisations which follow the low cost strategy will always try to keep the
wages low. Monsoon Accerorize, a UK based design-led retailer, pays negotiates low wages
with their trade union in the third world countries (Chamberlain, 2010) (Ex -22). Ayling
(2008) further adds that Gap, Inc, an American clothing and accessories retailer also pays low
wages to their employees (Ex -23). The differentiation strategy followers will always try to
implement new technologies and processes in order to differentiate their products or services
for which the new technologies will lead towards redundancies if the technologies are labor
saving technologies. Caterpillar Inc., the largest manufacturer of mining and construction
equipment of the world follows a differentiation strategy and hence employs robotics for
which it made the jobs of 20,000 employees redundant (McIntyre, 2009) (Ex -24).
Volkswagen, a German car manufacturer also cut down 800 employees in their plant in
Mexico after the implementation of robotics and due to a fall in sales (BBC NEWS, 2010)
(Ex -25). Watson (2006) suggests that due to these factors the employees working for the
organisation that follows low cost strategies will always ask for higher wages and the
employees of organisations which follow differentiation strategies will always look for better
redundancy schemes. When Unilever, a British-Dutch multinational corporation, announced
the closure of three factories the labor union demanded a redundancy package and
responsibility of the corporation to find them new jobs (M&C, 2007) (Ex -26). The
organisations will have to establish low wages in order to follow the low cost provider
strategy and they are unable to do so they would have to change their strategy (Antoni and
Baeten, 2007). According to BBC NEWS (2010) Nike,Inc the world’s largest sportswear and
accessories supplier pay very low wages in their plant in Vietnam, and the employees
bargained that they wanted 20% raise in pay (Ex -27). The organisations which try to stay
firm on their strategies they follow Employment-At-Will (EAW) which is a common doctrine
that states that employers have the right to hire, fire, promote or demote any employee that
they choose, unless there is a law or contract to the contrary (DelPo and Guerin, 2009). A
sample employment at will statement is shown in Appendix I.
4.0 Collective Bargaining and the strength of management authority (Justification of
Position):

After review of the literature mentioned above it can be seen that the management authority
is strengthened by the process of collective bargaining. Many authors have argued that
collective bargaining makes the employer vulnerable to the employees, but the clause in all
labor contracts which mentions that the employer has the control of the business makes the
employees vulnerable to the employers (Mathis and Jackson, 2007). Strikes are what the
employers fear as it incurs losses which might make the company go bankrupt, however the
way the strike is handled by the management makes it stronger. Caterpillar, Inc. hired
replacement workers during a wildcat strike by the United Auto Workers (UAW) and no
losses were incurred to the company (Mathis and Jackson, 2007) (Ex -28). The collective
bargaining process strengthens the management authority because once the CBA has been
established the employers and employee both have to follow it and hence the relationship
between the management and the workers become healthy due to the fact that they both have
agreed to each other’s terms (Mondy and Mondy, 2009). Bharti Airtel, an Indian
telecommunication company negotiates its performance management system with the union
during the collective bargaining process which helps the management to enhance the
performance of the employees (Skyline, 2010) (Ex -29). The management can also take help
from the union and discuss about new changes and solutions of problems which may arise
due to any changes. The pension plan of the workers of the United Parcel Service (UPS) a
package delivering company, was a union-run pension plan which helped the company set up
a pension plan of their own (Mathis and Jackson, 2007) (Ex -30). The employees help the
organisation to make more profits, because it benefits the workers as well. The employer and
management always have a strong authority due to the fact that if the organisation becomes
bankrupt it harms the workers the most, due to the fact that they become unemployed
(Dessler and Varkkey, 2009). The workers may ask for benefits, higher wages and flexibility
but if it harms the organisation the employer refuses and after some time the workers start
working in the same conditions again (Sims, 2007). According to NCPP (2010) Marks and
Spencer, a British retailer involves its union in the decision making process and take ideas
from them about innovation (Ex -31). The strength of management increase due to the fact
that the union leader is also part of the management as it is the duty of the union leader to
communicate with the union and inform them about any new issues beforehand and let the
management know about the feedback of the workers ( Noe, Noe, Hollenback, Gerhart and
Wright, 2009).
 CHAPTER-III

INDUSTRY PROFILE

&

COMPANY PROFILE
Introduction

The automobile industry is one of India’s most vibrant and growing industries. This industry accounts
for 22 per cent of the country's manufacturing gross domestic product (GDP). The auto sector is one
of the biggest job creators, both directly and indirectly. It is estimated that every job created in an auto
company leads to three to five indirect ancillary jobs.

India's domestic market and its growth potential have been a big attraction for many global
automakers. India is presently the world's third largest exporter of two-wheelers after China and
Japan. According to a report by Standard Chartered Bank, India is likely to overtake Thailand in
global auto-export market share by the year 2020.

The next few years are projected to show solid but cautious growth due to improved affordability,
rising incomes and untapped markets. With the government’s backing, and trends in the international
scenario such as the decline in prices of natural rubber, the Indian automobile industry is slated to
witness some major growth.

Market size

The cumulative foreign direct investment (FDI) inflows into the Indian automobile industry during the
period April 2000 – August 2014 was recorded at US$ 10,119.68 million, as per data by Department
of Industrial Policy and Promotion (DIPP).

Data from industry body Society of Indian Automobile Manufacturers (SIAM) showed that 137,873
passenger cars were sold in July 2014 compared to 131,257 units during the corresponding month of
2013. Among the auto makers, Maruti Suzuki, Hyundai Motor India and Honda Cars India emerged
the top three gainers with sales growth of 15.45 per cent, 12 per cent and 11 per cent, respectively.

The three-wheeler segment posted a 24 per cent growth to 51,461 units on the back of increased
demands from the urban market. Total sales across different vehicle segments grew 12 per cent year
on year (y-o-y) to 1,586,123 units.

Scooter sales have jumped by 29 per cent in the ongoing fiscal, and now form 27 per cent of the total
two-wheeler market from just 8 per cent a decade back. The ever-rising demand for scooters, which
has far outstripped supply has prompted Honda to set up its first dedicated scooter plant in
Ahmedabad.

Tractor sales in the country is expected to grow at a compound annual growth rate (CAGR) of 8–9 per
cent in the next five years making India a high-potential market for many international brands.

Investments
To match production with demand, many auto makers have started to invest heavily in various
segments in the industry in the last few months. Some of the major investments and developments in
the automobile sector in India are as follows:

 Ashok Leyland plans to invest Rs 450–500 crore (US$ 73.54–81.71 million) in India, by way
of capital expenditure (capex) and investment during FY15. The company is required to
manage Rs 6,000 crore (US$ 980.56 million) of assets in seven locations across the world, for
which maintenance capex is needed.

 Honda Motors plans to set up the world's largest scooter plant in Gujarat to roll out 1.2
million units annually and achieve leadership position in the Indian two-wheeler market. The
company plans to spend around Rs 1,100 crore (US$ 179.76 million) on the new plant in
Ahmedabad, and expand its range with a few more offerings.

 Yamaha Motor Co has restructured its business in India. Now, Yamaha Motor India (YMI)
will take care of its India operations. “The restructuring is part of Yamaha’s mid-term plan
aimed at improving organisational efficiency,” as per Mr Hiroyuki Suzuki, Chief Executive
and Managing Director. YMI would be responsible for corporate planning and strategy,
business planning and business expansion, quality control, and regional control of Yamaha
India Business.

 Tata Motors plans to use the 'hub-and-spoke' model in which India will be the key
manufacturing base while it will have mini-hubs in overseas markets. The company also plans
to set up mini hubs in potential markets like Africa, Middle-East and South East Asia.

 Hero Cycles through its unit OPM Global has acquired a majority stake in German bicycle
company Mitteldeutsche Fahrradwerke AG (MIFA) for €15 million (US$ 19.11 million). The
company plans to invest an additional €4 million (US$ 5.09 million) as capital expenses in
restructuring the acquired company.

Government Initiatives

The Government of India encourages foreign investment in the automobile sector and allows 100 per
cent FDI under the automatic route. To boost manufacturing, the government had lowered excise duty
on small cars, motorcycles, scooters and commercial vehicles to eight per cent from 12 per cent, on
sports utility vehicles to 24 per cent from 30 per cent, on mid-segment cars to 20 per cent from 24 per
cent and on large-segment cars to 24 per cent from 27 per cent.
The government’s decision to resolve VAT disputes has also resulted in the top Indian auto makers
namely, Volkswagen, Bajaj Auto, Mahindra & Mahindra and Tata Motors announcing an investment
of around Rs 11,500 crore (US$ 1.87 billion) in Maharashtra.

The Automobile Mission Plan for the period 2006–2016, designed by the government is aimed at
accelerating and sustaining growth in this sector. Also, the well-established Regulatory Framework
under the Ministry of Shipping, Road Transport and Highways, plays a part in providing a boost to
this sector.

The Government of India-appointed SIAM and Automotive Components Manufacturers Association

(ACMA) are responsible in working for the development of the Indian automobile industry.

Road Ahead

The future of the auto industry depends on the positive sentiments and the demand for vehicles in the
market. With the festival season coming up, the Indian auto sector will see a rise in demand which is
expected to bring in major growth. An auto dealer survey by firm UBS suggested that the Indian auto
industry, riding on trends like the upcoming festival season and decline in fuel price, will observe a 12
per cent y-o-y growth in FY15.

Also, keeping up with international trends, there is expected to be a surge in the number of hybrid
vehicles in the Indian auto sector in the years to come.
The growth story for the Indian automobile industry in 2014 rode on the two-wheeler segment and not
on passenger cars or commercial vehicles, as high interest rates and a stuttering manufacturing
industry kept a check on demand.

The year also saw Competition Commission of India (CCI) levying a penalty of Rs.2,544.65 crore
($415) on 14 car makers for their restrictive trade practices by preventing independent repairers
coming into the market. Some of the leading car makers also had to recall some models over defective
components.

When other segments like passenger cars and commercial vehicles logged negative growth, the two-
wheeler makers registered around 13 percent growth between January and October. Riding on the
two-wheeler sector's growth, the automotive industry grew 9.8 percent by volume year-on-year (YoY)
between January and October.

"The two-wheeler segment is the only one that has clocked positive growth at 12.9 percent YoY
(year-on-year) to reach sales of nearly 13.5 million units by October. This can be attributed to the low
cost of two wheelers

in India," Vijay Kakade, vice president for automotive and transportation practice at Frost & Sullivan,
told IANS.

He said the light commercial vehicle (LCV) segment has been the worst hit, with sales reducing to
approximately 330,000 units -- an 18.9 percent YoY fall over 2013.

"The passenger car, medium and heavy commercial vehicle segments contracted by 0.8 and 6.5
percent respectively during the period, compared to 2013. The reduction in sales can be attributed to
the slowdown and the high interest rates set by the RBI (Reserve Bank of India) reducing the
availability of finance options to the public," Kakade added.

"These segments have shown positive signs over the past few months, which is expected to lead to
growth in the next year."

"The year 2014 has been a year of stagnation, which is a positive sign as the decline has stopped. The
industry has shown signs of growth, albeit slower than expected, over the past few months," Kakade
remarked.
P. Balendran, vice president, General Motors India, had similar views to share with IANS: "Of late,
we have seen some movements in new entries driven by novelty factors and some select
manufacturers have been getting the benefits too."
He said the market has not shown any movement forward, despite the excise duty reduction, while the
customer sentiment has not picked up due to sticky interest rates, which remain at high levels.
"Although fuel prices have started coming down significantly, the enquiry levels at showrooms have
come down and conversions are not taking place at all. The sales of diesel vehicles are also tapering
off because of the narrowing price gap vis-a-vis petrol," Balendran added.
Expecting the government to continue with a lower excise duty regime for small/mid-sized/big cars
and sports utility vehicles (SUV) till March 2015, Balendran said the rates should be continued till the
Goods and Services Tax ( GST) is introduced -- aiding the turnaround of the auto sector.

Terming 2014 a mixed bag for the automobile industry, Sumit Sawhney, chief executive and
managing director of Renault India, told that while there has been a sea change in the consumer
sentiment with a gradually improving economic climate in the country, the optimism has still to
translate into sustained sales growth.

"The industry is looking forward to the budget for pro-business policies to reignite the automobile
industry in India."

Highlights of India's automobile industry 2014:

* Overall growth was 9.8 percent by volume year-on-year (YoY) between January and October.
* Two-wheeler sector grew 12.9 percemt
* Passenger car, medium and heavy commercial vehicle segments contracted by 0.8 and 6.5 till
October
* LCV segment worst hit, with sales falling 18.9 percent YoY fall over 2013 till October
* Excise duty reduction on automobiles
* Competition Commission of India (CCI) fines 14 car-makers Rs.2,544.65 crore for restrictive trade
practices.

Auto manufacturers have been trying to cope with economical rough patch in last two years. Trying to
boost sales and implementing cost effective schemes just wasn’t enough. They also had to cut many
of their employees loose to stay somewhat balanced, in some cases. On a fashionable note, senior
employees were asked to take voluntary retirement (not sure what ‘voluntary’ is doing in that
sentence).
Tata Motors apart from giving customers attractive offers, gave 600 of their employees early
retirement offers, last month. Ashok Leyland too offered 500 of their employees with irresistible
retirement schemes, last year (pun intended).

Sales of Cars, SUVs, Vans, pick-ups, and entire commercial vehicle segment went south, with
passenger vehicle market encountering first decline in the decade. But what saved the overall scenario
was the two-wheeler market. It took 7.31% hike with motorcycle sales going 3.91% up and scooter
sales riding 23% north. Export sales figures also contributed to somewhat saving the year with rise of
7.21%.

The downtrend left auto manufacturers with piled up inventory and stagnation. The interim budget
announced in February, gave a minor boost as all vehicles prices were reduced marginally, but it
hasn’t exactly helped boost sales yet. Automakers are expecting aid from the government’s new
budget by way of further tax cuts.

Sales figures of March 2014 shows 12.83% overall growth also by means of increased two-wheeler
sales. Commercial Vehicles have further dipped compared to March 2013 and passenger cars
stagnating below the graph. However, overall production has increased by 9.95% comparing March
figures of both years, suggesting auto makers’ confidence in ongoing fiscal to make better.

Launch of new A segment compact cars by various auto majors seems to be helpful in this economy,
for customers as well as value chain entities. Maruti Suzuki finished top on podium with 42% share in
overall car sales, followed by Hyundai with 15% share.

Society of Indian Automobile Manufacturers (SIAM) expects a 6% growth over in the fiscal 2014-15,
with boost in manufacturing sector, new investment and fresh capacities in the industry. Vikram
Kirloskar, president of SIAM says, “Whichever government comes in…I am looking for stability in
excise duty and some reduction in taxes. We are an over-taxed industry.”
COMPANY PROFILE
HISTORY:

The Company is an authorized Dealer of Hyundai Motors India Limited (HMIL) for sale of
its entire range of motor vehicles. It is also authorized to service & repair of all Hyundai cars and also
deals in spare parts of Hyundai cars.

Lakshmi Hyundai was established in the year 1998 in Himayathnagar with the launch of
Hyundai’s first car in India- the evergreen SANTRO. The entire business is managed under the able
leadership and guidance of the managing Director Shri K.Rama Mohana Rao.

Soon after the Himayathnagar showroom, came up the ‘state-of-art service facilities at
Kukatpally, Banjarahills and L.B.Nagar. These service centers are well equipped to cater to the needs
of valued customers. The management left no stone unturned to review, research and implement the
latest of technologies and methodologies to improve on the sales, service on the customer satisfaction.
Continuous up gradation of the facilities at the sales and service outlets and adding to the service
agenda each time, add been sales graph go high by the year.

AWARDS:

 Hyundai EON Won the 'Saloon Car of the Year' Award at 'Bloomberg UTV Auto Car India
2014'
 Hyundai Elantra Won the 'Car of the Year' Award at 'Car India & Bike India Awards 2013'
 Hyundai Elantra Won the 'Best Design and Styling' Award at 'Bloomberg UTV Auto Car
India 2013'
 Hyundai Elantra Won the 'Saloon Car of the Year' Award at 'Bloomberg UTV Auto Car India
2013'
 Hyundai Elantra Won the 'Executive Car of the Year' Award at 'Car India & Bike India
Awards 2013'
 Hyundai Elantra Won the 'Design of the Year' Award at 'Car India & Bike India Awards
2013'
 Hyundai Elantra Won the 'Car of the Year' Award at 'CNBC TV18 Overdrive Awards 2013'
 Hyundai Elantra Won the 'Executive Sedan of the Year' Award at 'CNBC TV18 Overdrive
Awards 2013'
 Hyundai Elantra won the 'Design of the Year' award at 'NDTV Car & Bike Awards 2013'
 Hyundai Sonata won the 'Full Size Sedan of the Year' award at 'NDTV Car & Bike Awards
2013'
  Hyundai Elantra won the 'Mid Size Sedan of the Year' award at 'NDTV Car & Bike Awards
2013'
 Hyundai Elantra won the 'CNB Viewers' Choice Car of the Year' award at 'NDTV Car & Bike
Awards 2013'
 Hyundai Elantra won the 'Saloon Car of the year 2012' by BBC Top Gear Magazine Awards
2012
 Verna gets the 'Sedan Of The Year 2011' Golden Steering Award
 HMIL gets the 'Automotive Company Of the Year 2011' Golden Steering Award
 Eon gets the 'Entry-Level Hatchback Of The Year' at ET Zigwheels Awards 2011
 HMIL gets the 'Best Car Manufacturer 2012' award by Motor Vikatan magazine

The awards received for “ Best in sales ” in south region, “Best in finance ”, “Top performer ” in
2005 and their technicians being awarded with a Gold Medal for standing No.1 in the world at World
skill Olympics held at Korea-stand testimony to the recognition that received at the global level.

According to the popular belief, a customer walking into LAKSHMI HYUNDAI is treated like an
asset. His/her needs are assessed in the first stage and the customer is educated subsequently about the
product line, service range, allied services, etc., ample information and time is given to the
prospective buyer to make up his/her mind on which car to buy.

Totally focused customer centric approach, unparalleled service motto, top-end facilities, bouquet
of allied services, solid after sales backup, quality assurance, unconditional warranty promise and
desire to excel through service are some of the threads which blend in effectively to give birth to the
fabric called LAKSHMI HYUNDAI LAKSHMI HYUNDAI’s success is just beginning and more to
expect spectacular chapters in the preamble “Winning Edges”.
LAKSHMI HYUNDAI MAN POWER:

Department Own Contract Total

Sales 57 0 57

Service 126 49 175

Spaces 15 0 15

Finance & 98 0 98
HR/Administration

Total 296 49 345

RECRUITMENT PROCESS AT LAKSHMI HYUNDAI:

The recruitment process involves both internal and external methods. Internal methods namely
are employee referrals, promotions, inter company transfers.

Employee referrals;

This is the most common method of recruitment used by the organization. Last year the organization
recruited 16 employees by employee referrals.

Promotions

Posts falling vacant due to be filled will be notified within the division/office, giving educational
qualifications and experience laid down for the post and the extent to which these will be relaxed for
promotion and inviting applications from eligible employees in lower group, who have rendered the
requisite qualifying service and who have requisite higher post.

External methods of recruitment followed by the organization are employment exchange, paper
advertisements and campus recruitment. .

Employment Exchange: All vacancies are to be notified to the Local Employment Exchange. If
employment exchanges are unable to sponsor the suitable candidates with in the prescribed time
limits, the vacancies may be advertised in the press on a local/regional advertisement the vacancies
may be advertised on India Basis. A minimum of two weeks notice is to given to the Local
Employment Exchange for sponsoring suitable candidates.
Paper advertisements:

Of the external methods this method is mostly adopted by the organization. This method of
recruitment involves advertising the requirements of personnel in two of the leading newspapers one
being in English language and other being in regional language. For recruitments in Hyderabad,
Eenadu and Deccan Chronicle are the two leading newspapers that the requirement of personnel is
advertised.

SELECTION PROCESS AT LAKSHMI HYUNDAI:

After the recruitment process next step is the selection process in employing a suitable candidate into
the organization. At Hindustan Aeronautics Limited the selection process mainly includes
test/interviews. If a candidate passes through the different rounds of interviews/test then he is
employed into the organization. The Personnel Department of each division or the corporate office
will screen the applications received and categorize them to those that satisfy prescribed minimum
educational qualification and experience and those do not .

Personal Manager Interview:

This is the first round of interview for the candidate. The Personal manager checks the knowledge of
the candidate in the applied field along with his positive attitude, communication skills and so on. On
personal dissatisfaction the manager can call the candidate for another round of interview. He
prepares an evaluation report on the candidates' performance in the interview.

Board Directors Interview:

After the personal manager interview, the next in line is the Board Directors Interview. There are 4
directors who take the seat of interviewer. Questions about family background, health details,
academic performance and activities, likes and dislikes, attitudes and capabilities etc. are all
questioned. The interview conducted by the Board directors can take any shape from stress interview
to formal or informal interview depending on the kind of department they are being recruited for. All
the directors prepare an evaluation report individually on the candidates performance in relation to
personality, intelligence, attitudes, skills and knowledge and so on. .
Verification of Date of Birth, Character and Antecedents

The secondary school certificate is the accepted document required for verification of date of birth.
However, if this document is not available, the candidate should produce a RESUME. In that he/she
mention all study details of them.

APPOINTMENT OF SELECTED CANIDIDATES

Candidates who are selected for appointment to post will be issued with a letter proposing to offer

the post or offering the post. If they accept appointment offer they are to be reply in the form.

SALES TEAM PERFORMANCE BONUS POINTS

Universal Factors Sub-Factors No. of Points Total points

Job Knowledge & Product Information 100

Judgment

Communication Skills 75

GDMS Up gradation 100

350
Accessories Selling Skills 25

Finance Dealing Skills 50

Sales Personality Presentation Skills 50

Confidence Level 50

Voice & Body Culture 100 300

Appearance 50

Selling Skills 50

Code Of Conduct Time Management 50

 Obeying Orders 100

Alertness 75 350

Company Dress 50

Attendance Record 75

Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company
(HMC), South Korea and is the largest passenger car exporter and the second largest car manufacturer
in India. HMIL presently markets 6 models of passenger cars across segments. The A2 segment
includes the Santro, i10 and the i20, the A3 segment includes the Accent and the Verna, the A5
segment includes the Sonata Transform and the SUV segment includes the Santa Fe.

HMIL’s fully integrated state-of-the-art manufacturing plant near Chennai boasts of the most
advanced production, quality and testing capabilities in the country. To cater to rising demand, HMIL
commissioned its second plant in February 2008, which produces an additional 300,000 units per
annum, raising HMIL’s total production capacity to 600,000 units per annum.

In continuation with its commitment to providing Indian customers with cutting-edge global
technology, HMIL has set up a modern multi-million dollar research and development facility in the
cyber city of Hyderabad. It aims to become a centre of excellence for automobile engineering and
ensure quick turnaround time to changing consumer needs.

As HMC’s global export hub for compact cars, HMIL is the first automotive company in India to
achieve the export of 10 lakh cars in just over a decade. HMIL currently exports cars to more than 110
countries across EU, Africa, Middle East, Latin America, Asia and Australia. It has been the number
one exporter of passenger car of the country for the sixth year in a row.

To support its growth and expansion plans, HMIL currently has a 315 strong dealer network and 640
strong service points across India, which will see further expansion in 2010.

Mr. Han Woo Park joined Hyundai Motor Company in Seoul, South Korea, in 1982 in the finance
department and ever since he has been involved with costing, auditing and the financial operations of
the company.
He joined Hyundai Motor India Limited in 2003 as the Chief Financial Officer and since then he has
played a pivotal role in HMIL as he was involved in all aspects of the company in his capacity as a
CFO.

Mr. Park has a vast experience and understanding of Hyundai Motor India Ltd and the Indian culture
and has successfully led his team for the last seven years. Mr. Park holds a degree in Business
Administration from the University of Dankook in Seoul, South Korea.

Prior to his becoming the Managing Director of HMIL he held the position of CFO and Senior
Executive Director. Mr Park lives in Chennai with his wife. He has two children, a son and a
daughter. The son is studying at University of Texas, Austin and the daughter is studying at SUNY
Buffalo. Mr Park was born in South Korea on January 29, 1958.

Hyundai Motor India Engineering (HMIE) is a fully owned subsidiary of Hyundai Motor Company,
South Korea, which has set up the R&D Centre in Hyderabad. HMIE is a centre with one of the most
advanced research and development facilities which focuses on state of the art product and design
engineering and rigorous quality enhancement. The new R&D Centre at Hyderabad in India is
Hyundai Motor Company’s fourth overseas R&D centre.

Set up with an investment of Rs. 184 crores, the new 200,000 square-foot facility R&D Centre, is
aimed at further accelerating local content development and enable Hyundai to respond even more
quickly to changing customer needs across the world. The R&D Centre will further facilitate the
development of India as Hyundai’s global hub for manufacturing and engineering of small cars. The
new R&D Centre in Hyderabad will support all back-end operations like computer aided engineering
(CAE), computer aided design (CAD) and help the R & D work taking place across Hyundai’s car
line-up. The R&D Centre will help in developing vehicles which includes their styling, design
engineering and vehicle test & evaluation. The R&D Centre will play a pivotal role for cars
manufactured in India inorder to satisfy the specific needs of the Indian customers.

Hyundai Motor Company’s other overseas R&D centres are located in the United States, Germany,
Japan & Korea.

Management Philosophy With the spirit of creative challenge, we will strive to create a more
affluent lifestyle for humanity, and contribute to the harmony and co-prosperity with shareholders,
customers, employees and other stakeholders in the automobile industry.

The spirit of creative challenge has been a driving force in leading HMC to where it is today.
It is the permanent key factor for HMC to actively respond to change in the management system and
seek creative and self–innovative system. With the spirit of creative challenge, we create profits, the
primary objective of a private enterprise. Furthermore, we take responsibility for the environment and
society we belong to, and offer sustainable mobility in order to implement our corporate philosophy
and provide benefits to all stakeholders including shareholders, customers, executives, employees,
suppliers, and communities. Vision We announced "Innovation for Customers" as our mid–to
long–term vision with five core strategies: global orientation, respect for human values, customer
satisfaction, technology innovation, and cultural creation. We desire to create an automobile culture of
putting customer first via developing human–centered and environment–friendly technological

innovation. Management Policy Based

on a respect for human dignity, we make efforts to meet the expectations of all stakeholders including
customers and business partners by building a constructive relationship amongst management, labor,
executives and employees. Also, we focus on communicating our corporate values both internally and
externally, and gaining confidence from all stakeholders.

Mid-and Long-term Strategies We developed five mid–and long–term strategies: global

management, higher brand values, business innovation, environmental management, and
strengthening product competitiveness. Especially, we selected environmental management as one of
our strategies to meet the needs of our stakeholders and the society we belong to. We also intend to
promote sustainability development and preservation of the environment.
MOST LIKED SMALL CAR IS SANTROXING
New Arrivals

EON

Santro Xing


i10

i20

Accent

Fluidic Verna

The All New Sonata


 CHAPTER-IV

DATA ANALYSIS AND INTERPRETATION

 A Case Study on Employee Engagement in Q- ACD & Central Garage Department of KARVY
STOCK BROKING in Hyderabad Division.

Employee Profile.

1. Age group 25-35 36-45 46-55 56-above

No:of respondent 20 35 30 15

2. Qualification non- metric metric intermediate graduate

No:of respondent 35 35 25 15

3. Designation operator auto-electrician overman/ general

Supervisor majdoor/

Explosive

Carrier

Greaser

Helper
 “TABULATION and INTERPRETATION”

1.Employee Profile.

15%
20%

25-35 years
36-45 years
46-55 years
56-above
30%

35%

% of respondent.

 About 20% of employees comes under 25-35 years of age group, Where as 35%
comes under 36-45 years of category, 30% under 46-55 years category,& 15% comes
under 56 & above.
 Qualification

5%

25% 35%
non metric
metric
intermediate
graduate

35%

 In this 35% of employees are non- metric, 35% have done only metric, where as 25%
are intermediate, and only 15 % are graduate ..
 Designation

30% operator
35%
auto- electrician

overman/supervisor

explosive carrier/general
majdoor/greaser helper

10%
25%

 30% of employees are operator, where as only 10% are auto electrician, 25% are over
man and supervisor and 35% includes explosive carrier, general majdoor, and greaser
helper.
 Years of experience.

TABLE:4.1

S.NO FACTORS Total %

1 0-5 years 5 5
2 6-10 years 10 10
3 11-15 years 15 15
4 >15 years 20 20

GRAPH:4.1

RESPONDENTS
0

25 25
YES
NO
SOME TIME
CAN’T SAY

50

Interpretation:
From the graph shows that 5% of respondents says that they have an 0-5 years Experience in that

organisation, 10%of respondents says that they have an6-10 Years of experience in the

organisation,15% of respondents says that they have an 11-15 years experience in their

organisation.20%.15 years above.

motivational factors. TABLE:4.2

FACTORS Total Percentage (%)

Job security 20 20

Promotion 10 10

Career Development 15 15
Welfare measures 5 5

TOTAL 50 50

GRAPH:4.2

Interpretation:
From the above graph shows that 20% of respondents feels that they have an job Security in that

organisation,10% of respondents feels that the organisation has To be providing the good career

opportunity from then 15% of respondents feels That they

have an availability of welfare facilities in that organisation 5% of Respondents feels that they have

an good promotion opportunity will be provided By the organisation from them.

Employees at work place.

TABLE:4.3

S.NO FACTORS Total %

1 Highly satisfied 25 25
2 Satisfied 15 15
3 Average 6 6
4 Dis satisfied 4 4
TOTAL 50 50

GRAPH:4.3

Interpretation:
From the above graph 25% of respondents says that they an highly satisfied in
their work place,15% of respondents says that they have an satisfied in their
work place
,6% of respondents says that they have not satisfied in their work place.
Effectiveness of employee participation in decision

making. TABLE:4.4

S.NO FACTORS Total %

1 Highly satisfied 22 22
2 Satisfied 14 14
3 Average 8 8
4 Dis satisfied 6 6
TOTAL 50 50

GRAPH:4.4

Interpretation:
From the above graph 22% of respondents are dis satisfied the participation of
decision making in their organisation,14% of respondents are average,8% of
respondents are highly satisfied the participation of decision making in their
organisation,6% of respondents are satisfied.
Role of hr in the organization.

TABLE:4.5

S.NO FACTORS Total %

1 Highly satisfied 30 30
2 Satisfied 10 10
3 Average 8 8
4 Dis satisfied 2 2
TOTAL 50 50

GRAPH:4.5

Interpretation:
From the above graph 30% of respondents says that they are satisfied the HR

place And important role in their organisation, 10% of respondents says that

they are Highly satisfied.

List of approaches to motivate

TABLE:4.6

FACTORS TOTAL PERCENTAGE (%)

AWARDS 20 20

REWARDS 10 10

RECOGNITION 6 6

PROMOTIONAL CHANNELS 4 4

TOTAL 50 50

GRAPH:4.6

Interpretation:
From the above graph 20% of respondents are satisfied that the organisation
has to be identify the performance of an employee by providing the
awards,10%of respondents are in that organisation has to be identify the
performance of an employee by providing there awards.
Motivational challenges of

employee. TABLE:4.7

FACTORS Total Percentage

Personal issues 2 2

Educational back ground 10 10

Competition among trade unions 25 25

Reluctance again administration 5 5

Bias in management decisions 8 8

TOTAL 50 50

GRAPH:.4.7

Interpretation:
From the above graph 25% of respondents are competition among the trade
unions will give the challenge of employee motivation, 10% of respondents are
educational back ground, 8%of respondents are bias in management decisions
Obstacles in employee

performance TABLE:4.8

FACTORS Total Percentage (%)

Stagnation, lethargy, growth 6 6

prospects

Lack of motivation and recognition 10 10

Decision taken by top authorities 20 20

Miscellaneous 14 14

TOTAL 50 50

GRAPH:4.8

Interpretation:
From the above graph 20% of respondents that centralisation process highly
involved in the employee performance,10% of respondents lack of
motivation and recognition,14% of respondents are miscellaneous.
Employee awareness of motivation and empowerment.

TABLE:4.9

Response/category Total Percentage(%)

Yes 25 25

Very little 20 20

No knowledge 5 5

TOTAL 50 50

GRAPH:4.9

Interpretation:
From the above graph 25% of respondents are agreed that they have an
awareness of motivation and empowerment taken place in their organisation
Employee recognition from superior.

TABLE:4.10

S.NO FACTORS Total %

1 Highly satisfied 20 20
2 Satisfied 10 10
3 Average 12 12
4 Dis satisfied 8 8
TOTAL 50 50

GRAPH:4.10

Interpretation:
From the above graph 10% of respondents are satisfied the superior has to be
recognised their performance in the organisation,20% of respondents are highly
satisfied.
Job satisfaction of employee.

TABLE:4.11

S.NO FACTORS Total %

1 Highly satisfied 12 12
2 Satisfied 20 20
3 Average 15 15
4 Dis satisfied 3 3
TOTAL 50 50

GRAPH:4.11

Interpretation:
.From the above graph 20% of employees are satisfied the organisation has to be

Providing the good peaceful environment situation from them,12% of

employees are highly satisfied.
Employees need to be remind that their jobs are dependent on the
company’s ability to compete effectively

TABLE:4.12

FACTORS No, OF RESPONDENTS PERCENTAGES (%)

Strongly agree 25 25

Agree 15 15

Disagree 8 8

Strongly disagree 2 2

Total 50 50

GRAPH:4.12

Interpretation:
From the above graph 25% of respondents are strongly agreed that employees need

To be remind that their jobs are dependent on the company ability to compete
effectively.
Supervisors should give a good deal of attention of the physical working
conditions of their employees

TABLE:4.13

FACTORS No, OF RESPONDENTS PERCENTAGES (%)

Strongly agree 30 30

Agree 12 12

Disagree 6 6

Strongly disagree 2 2

Total 50 50

GRAPH:4.13

Interpretation:
From the above graph 30% of respondents are strongly agreed that the
superiors are directly involved in the physical working conditions of their
employees,12% of respondents are agree,6% of respondents are dis agree,2%
are strongly dis agree.
Special wage hike should be given to employees who perform their jobs very
well

TABLE:4.14

FACTORS NO,OF RESPONDENTS PERCENTAGES (%)

Strongly agree 28 28

Agree 12 12

Disagree 8 8

Strongly disagree 2 2

Total 50 50

GRAPH:4.14

Interpretation:
From the above graph28% of respondents are strongly agreed that the
organisation has to be identify the employee performance by providing the
special wage hikes,12% of
Respondents are agree, and 8% of the respondents are not agree.
How is an individual recognition for attaining standard performance in
your organisation?

TABLE:4.15

FACTORS NO, OF RESPONDENTS PERCENTAGES (%)

Strongly agree 23 23

Agree 17 17

Disagree 7 7

Strongly disagree 3 3

Total 50 50

GRAPH:4.15

Interpretation:
From the above graph 23% of respondents are strongly agree ,17% of the
respondents are agree and it is an individual recognition for attaining standard
performance in your organisation.
The company retirement benefits and stock programs are important
factors on their jobs:

TABLE:4.16

FACTORS NO,OF RESPONDENTS PERCENTAGES (%)

Strongly agree 26 26

Agree 14 14

Disagree 6 6

Strongly disagree 4 4

Total 50 50

GRAPH:4.16

Interpretation ,
From the above graph 26% of the respondents are strongly agreed that the

organisation Has to be provided the retirement benefits and stock program from

them.
Almost every job can be made most stimulating and

challenging TABLE:4.17

FACTORS NO,OF RESPONDENTS PERCENTAGES (%)

Strongly agree 32 32

Agree 8 8

Disagree 7 7

Strongly disagree 3 3

Total 50 50

GRAPH:4.17

Interpretation:
From the above graph 32% of the respondents are strongly agreed that every
job in the organisation can be most stimulate and challenge them, 8% of the
respondents are agree.7% of the respondents are not agree.
Management could show more than interest in the employees by
sponsoring social events after hours

TABLE:4.18

FACTORS NO,OF RESPONDENTS PERCENTAGES (%)

Strongly agree 15 30

Agree 25 40

Disagree 3 22

Strongly disagree 2 8

Total 50 100

GRAPH:4.18

Interpretation:
From the above graph 25% of the respondents are agreed that the organisation
has to be create the interest of employees by sponsoring social events after hours.
If your job includes interacting with customers, how it will affect the
following

TABLE:4.19

FACTORS NO, OF RESPONDENTS PERCENTAGES (%)

WILL INCREASE 28 28

WILL DECREASE 18 18

WILL HAVE NO EFFECT 4 4

Total 50 50

GRAPH:4.19

Interpretation:
From the above graph 28% of the respondents are agreed they have an good
interest interacting with the customers.
 CHAPTER-V
FINDINGS
SUGGESTIONS:
CONCLUSION
 FINDINGS

 Job security is the highest motivation factor than any other.

 The perception of the employee is high towards the aim of the
organization i.e. Transportation
 There is high involvement of the employee in the organization.
 There is low participation of employees in decision making.
 There is equal participation in work.
 Awards and rewards are the high rated approaches that which
motivates employees.
 Lack of motivation and recognition, decision taken by top
authorities are obstacles that stop employees performing to the best.
 Employee’s awareness of motivation and empowerment is very low.
 SUGGESTIONS:

 Employees should be identified by their better performance and

should give some type of incentives, promotions etc. So that
employee will be boosted up and will work better.
 Promotions should be given to the basis of performance only.
 The Management creates a challenging work (or) new
assignment (or) opportunity to develop the innovative idea of
employee.
 The motivation review discussion should be practiced well to
encourage the open communication between both the appraiser
and appraise.
 The management should study motivation theories for better motivation.
 CONCLUSION

While much of international and comparative research so far has made extensive use of
qualitative data obtained through case studies, there are very few examples of comparative
research based on company and establishment surveys. Whitfield et al. (1998: 193ff.) make
the case for survey based comparisons by arguing that case studies could be complemented
by such survey based research. They suggest that comparing establishment surveys, if they
have common questions and comparable sample populations, may lead to useful results in an
informed international comparative analysis at the micro level, but they also warn that certain
problems of incompatibility may occur.

In this paper we have tried to identify major determinants of collective bargaining structure
by comparing the results of two nationally representative establishment surveys for Britain
and Germany. As the institutional framework in both countries differs and as the British data
refer to establishments with 10 or more employees whereas the much larger German data set
covers all establishments with at least one employee, our analyses need to be interpreted with
a pinch of salt. We also experienced a potential problem of question incompatibility
concerning the dependent variable because the British data focus on pay determination,
whereas the German data do not refer to a particular governance issue. Since also in Germany
pay determination is the major issue in collective bargaining and can be said to determine the
choice of governance structure, and since the dependent variable chosen is very broad, we
think that incompatibility is not a serious problem of the present study. All in all, we feel that
the data sets used and developed possess the characteristic of reasonably close comparability.
Questionnaire

Name:
1. Age: 20-30 30-40 40-50 Above 50
2. Gender: Femal MALE

3. Designation: Executive supervisor manager

4. Department: operation HR marketing finance

5. Years of experience ( )

A) 0-5 years b) 6-10 years

c) 11-15 years d) >15 years

6. Following are the list of motivational factors ( )

a) Job security b) promotion

c) Career development d) welfare measures

7. Employee at work place ( )

a) Highly satisfied b) satisfied

c) Average d) dis satisfied

8. Effectiveness of employee participation in decision making ( )

a) Highly satisfied b) satisfied

c) Average d)dis satisfied

9. Role of HR in their organisation ( )

 a) Highly satisfied b) satisfied

c) Average d) dis satisfied

10. List of approaches to motivate ( )

a) Awards b) rewards

c) Recognition d) promotional channels

11. Motivational challenges of employee ( )

a) Personal issues b) educational background

c) Competition among trade unions

d) Reluctance against administration

e) Bias in management decisions

12. Obstacles in employee performance

a)stagnation ,lethargy ,growth prospects

b) Lack of motivation and recognition

c) Decision taken by top authority

d) Miscellaneous

13. Employee awareness of motivational and empowerment ( )

A) yes b)very little c)no knowledge

14. Employee recognition from superior ( )

a) Highly satisfied b) satisfied

c) Average d) dis satisfied

15. Job satisfaction of employees ( )

a) Highly satisfied b) satisfied

c) Average d) dis satisfied

16. E

mployee need to be remind that their jobs are dependent on the

company ability To complete effectiveness ( )

a) Strongly agree b) agree

c) Dis agrees d) strongly dis agrees

17. Supervisors should give a good deal of attention of the physical

working conditions

Of their employees ( )

a) Strongly agree b) agree

c) Dis agree d) strongly dis agree

18. Special wage hike should be given to employee who perform their jobs

Very well ( )

a) Strongly agree b) agree

c) Dis agree d) strongly disagree

 19.How is an individual recognition for attaining standard performance in

Your organisation ( )

a) Strongly agree b) agree

c) Dis agree d) strongly dis agree

20. The company retirement benefits and stock programs and important

Factors on their jobs ( )

a) Strongly agree b) agree

c) Dis agree d) strongly dis agree

21. Almost every job can be made most stimulating and challenging (
)

a) Strongly agree b) agree

c) Dis agree d) strongly dis agree

22. Management could show more than interest in the employees by

sponsoring Social events after hours ( )

a) Strongly agree b) agree

c) Dis agree d) strongly dis agree

23. If your job includes interacting with customer, how affect the following ( )

A) Will increase b) will decrease

c) Will have no effect

 BIBLIOGRAPHY

SL. BOOKS AUTHOR EDITION PUBLICATIONS

NO NAME

1 Human Himalaya publishing

resource P.SUBBA RAO 3rd Edition house
management &
industrial
management
2 Human GARY DESSLER Pearson/ prentice hall
resource 10th
management Edition
3 Tmh
Human K.ASWATHAPPA 3rd Edition
resource
management &
personal
management
4 Research New age International (p)
methodology KOTHARI 2nd Edition Ltd.
NEW DELHI

WEB SITES
www.hyundai.com

www.hr.com

www.wikipedia.com