A

TRAINING PROJECT REPORT

ON

ABSENTEESIM
OF
SUPERVISOR & NON-SUPERVISOR
LEVEL EMPLOYEES”.

SED
IN THE PARTIAL FULFILLMENT OF THE DEGREE
OF
MASTER OF BUSINESS ADMINISTRATION

Submitted To Kurukshetra University, Kurukshetra

(SESSION 2009-11)

SUBMITTED TO: SUBMITTED BY

Mrs. Tarun Sahni Surbhi Tyagi

MBA (Faculty) MBA (F)

University Roll No:

SHRI ATMANAND JAIN INSTITUTE OF MANAGEMENT & TECHNOLOGY

(AIMT)
 DECLARATION

I hereby declare that the research project titled “A STUDY ON ABSENTEESIM OF

SUPERVISOR & NON-SUPERVISOR LEVEL EMPLOYEES”.

This report is submitted in the partial fulfillment of the requirement for the degree of
Masters of Business Administration. This report is a bonafide research work carried out
by me. No part of this report has been submitted for the award or any other
diploma/degree/fellowship or any other similar title or prize. This report is based upon
my personal opinion. Hence, it cannot be referred to for official or legal purposes.

Surbhi Tyagi
 EXECUTIVE SUMMARY

Absenteeism is a habitual pattern of absence from a duty or obligation.

Traditionally, absenteeism has been viewed as an indicator of rich individual
performance, as well as a breach of an implicit contract between employee and employer;
it was seen as a management problem, and framed in economic or quasi-economic terms.
More recent scholarship seeks to understand absenteeism as an indicator of
psychological, medical, or social adjustment to work.

Hence ,to ensure that supervisors are comfortable and competent in their role of
managing absenteeism, they need to have the full support of senior management. All
parties must be aware of the aim of absence policies and procedures. Should there be
discrepancies between departments; a policy can lose its effectiveness.

This report is an attempt to check the Absenteeism level in the organization. The
report starts with Introduction of the Company, its achievements and then elaborates the
concept of Absenteeism; in SPRAY ENGINEERING DEVICES LTD, and data analysis
and interpretation on the basis of perception of employees.
 PREFACE

This Research is a part of my summer training. Without this my M.B.A is

incomplete. Summer training is an integral part of every M.B.A course. We can’t rely
merely upon theoretical knowledge. It is to be complemented by practical know how for
it to be fruitful. A positive and correct result of the classroom learning needs realities of
practical situation.

The training enables the management students to themselves see the working
conditions under which they have to work in the future. It gives them real feel of
corporate world, which helps them to better equip themselves with the required skills. I
got the opportunity to do the training at “SPRAY ENGINEERING DEVICES,
BADDI” and did a study on EMPLOYEE ABSENTEEISM survey. In particular I was
lucky enough to be part of study and I was assigned to do some research regarding the
reasons for absenteeism and helping in solving the problem of absenteeism and finding
out preferences and priorities of employees to adopt suitable strategies attract them to
work more and regularly. It has been a great learning experience for me.

The study would not have been possible without the unconditional guidance and
support of all the team embers of SED. I would like to thank all the members of the
company besides all others who have been helpful to me for completing the study.
 ACKNOWLEDGEMENT

I make an endeavor to express my gratitude and sincerely thank to Mrs. Tarun

Sahni , my faculty guide for her excellent guidance and support, which she has extended
to me throughout my project work.

I extend my profound gratitude to my honorable Director Sh. S C Aggarwal, for

his moral support encouragement during the entire course of the project work.

I express my sincere thanks to Mr. Ved Prakash, HR Manager and Mr. Jagdeep
Rana, HR Executive, SPRAY ENGINEERING DEVICES .LTD, for lending their
consent to undertake this project and for their guidance in doing this project.

I express my sincere & heartfelt thanks to the HR team of SPRAY

ENGINEERING DEVICES. LTD, for their valuable help during the course of my
summer project.

I finally thank the Almighty for bestowing me with the needed courage and
vigor in performing this task. I also thank all my friends, my well-wishers and all those
who had given me their support and encouragement in this regard
 GUIDE’S CERTIFICATE

This is to certify that Surbhi the student of Shri Atmanand Jain Institute Of
Management and Technology; Ambala City has successfully completed her training in
SPRAY ENGINEERING DEVICES LTD. at Baddi from 7th July to 5th August 2010.

(Tarun Sahni)
 TABLE OF CONTENTS

CHAPTER 1 INTRODUCTION
 ON GOING ACTIVITIES OF THE COMPANY
 STRATEGIC INTENT
 PRODUCTS

 TECHNOLOGY PROFILE
 SERVICES OFFERED BY SED
 OBJECTIVES OF SED

CHAPTER 2 INTRODUCTION OF ABSENTEEISM

CHAPTER 3 RESEARCH METHODOLOGY

CHAPTER 4 ANALYSIS AND INTERPRETATION

CHAPTER 5 CONCLUSION

SUGGESTIONS & RECOMMENDATIONS

QUESTIONNAIRES

BIBLIOGRAPHY

ANNEXURE
 INTRODUCTION

Absenteeism is a habitual pattern of absence from a duty or obligation.

Traditionally, absenteeism has been viewed as an indicator of rich individual
performance, as well as a breach of an implicit contract between employee and employer;
it was seen as a management problem, and framed in economic or quasi-economic terms.
More recent scholarship seeks to understand absenteeism as an indicator of
psychological, medical, or social adjustment to work.

To ensure that supervisors are comfortable and competent in their role of

managing absenteeism, they need to have the full support of senior management. All
parties must be aware of the aim of absence policies and procedures. Should there be
discrepancies between departments; a policy can lose its effectiveness.

Absenteeism is a habitual pattern of absence from a duty or obligation.

Traditionally, absenteeism has been viewed as an indicator of rich individual
performance, as well as a breach of an implicit contract between employee and employer;
it was seen as a management problem, and framed in economic or quasi-economic terms.
More recent scholarship seeks to understand absenteeism as an indicator of
psychological, medical, or social adjustment to work.

To ensure that supervisors are comfortable and competent in their role of

managing absenteeism, they need to have the full support of senior management. All
parties must be aware of the aim of absence policies and procedures. Should there be
discrepancies between departments; a policy can lose its effectiveness.
 To provide more consistency, supervisors should be trained in their
responsibilities about managing absenteeism, advised how to conduct effective return-to-
work interviews, and educated in the use of disciplinary procedures when necessary.

For most companies, the responsibility for managing absenteeism has fallen
primarily on immediate supervisors. These supervisors are often the only people who are
aware that a certain employee is absent. They are in the best position to understand the
circumstances surrounding an individual’s absence and to notice a problem at an early
stage. Therefore, their active involvement in the company’s absence procedures is pivotal
to the overall effectiveness and future success of an absence policy or program.
 COMPANY’S PROFILE

Spray engineering devices limited (SED), flagship company of SED group,

headquarter at Mohali(Chandigarh),is an engineering company, specifically focused on
(re)designing & engineering of process & equipment along with their automation
ensuring highest energy efficiencies. We offer integrated, cost-effective EPC solutions
for Sugar & other process industries.

ON GOING ACTIVITIES OF THE COMPANY

 EPC solutions
 Process Redesigning & engineering
 Equipment (Re) designing & engineering
 Equipment manufacturing
 Industrial /Plant Automation
 Engineering & Consultancy services
 Sugar production, Co-generation of Power, Distillery (subsidiary JMSIL &
Bhogpur Co-op Sugar mills Ltd., BOOT basis.
 Research & development
VISION

Being the best in everything we touch and handle

MISSION

Continuously excel to achieve and maintain leadership position in

the chosen businesses; and delight all stakeholders by making
economic values in all corporate functions.

THEIR PEOPLE

At SED Group they are creating an environment where our

employees enjoy a greater degree of empowerment both individually
and in their work teams. Their employees are equipped with the
necessary tools, training and management backup for strong
performance and accountability, as well as in an environment of open
communication and involvement
 STRATEGIC INTENT

 We intend to significantly accelerate profitable growth. To do this well:

 Improve operational efficiencies of process industries, in particular sugar and

allied industries across the globe by leveraging technology.

 Be the preferred company to provide complete turnkey solutions EPC skills to

process industry across the globe.

 Provide customers with innovative engineering products within easy reach.

 Build a platform to enable spray engineering devices limited to become a global

engeering MNC

 Be a professionally managed employer of choice, attracting, developing &

retaining quality personnel.

 Be responsible corporate citizen with a commitment to environmental protection.

 PRODUCTS

• Mechanical Circulator

• Vacuum Batch Pan

• Cooling & Condensing System

• Boiling / Process House

• Jet Ejector

• Falling Film Evaporator

• Forced Circulation Evaporator

• Direct Contact Heater

• Molasses Conditioner

• Flash Cigar

• Melter

• Cane Mill Drive Mechanism

• Air Belt Conveyor (Aerobelts)

• Finned tube heaters / Radiators / Air heaters

• Flue Gas Heat Recovery

• System

• Biomass Gasifier

• Carousel Diffuser

• Translation Disclaimer
 TECHNOLOGY PROFILE

SED is a leader in equipment design, manufacturing and process redesigning for

energy (power & steam) saving with reference to highly energy intensive sugar , food and
other process industries. Our strong R & D team works constantly on improving and
simplifying technologies and keep pace with latest developments to provide innovative
and cost effective quality solutions.

Certifications SED is ISO 9001:2000 & ISO 14001:2004 company

% Steam % Power
YEAR WISE TECHNOLOGY GROWTH / PRODUCT LAUNCH savings * savings *
Spray Pond Nozzle with innovative redesigning &
1992 modification reducing friction losses. NA NA
Cooling & Condensing systems with Single Entry Jet
1995 Condenser - 15-20%
Fully automated Cooling & Condensing systems
Single Entry Jet Condenser with automated nozzle
2000 governing system. - 30-45%
2002 Direct Contact (DC) Heaters 3-5% -
Integrated energy efficient solutions with Condensate
Flash Cigar & Vacuum Batch Pan 4-5% -
2004 Molasses Conditioner 1% -
Sugar Melter 0.5-1% -
Flue Gas Heat Recovery System 2-2.5% -
2005 Batch Pan with Bottom mounted Mechanical Circulator 1-2% -
Spray Continuous pan ( SCP® ) & Falling Film
2006 Evaporator 5-9% -
Multi-Entry Jet Condenser NA NA
Cane / Bagasse Difusser - -
2007 Air Belt Conveyor - 25-30%
Air Pre Heater 1-1.5 % -
Green Field Project - Fully automated Boiling House
2008 EPC 30-32% -

SERVICES OFFERED BY SED

 We have an expertise in analysis and evaluation of process industry problems and
offer best possible solutions by providing Consultancy Services, Process Design and
Engineering, Equipment Design & Engineering, Equipment Manufacturing and
Procurement, Industrial / Plant Automation and Project Engineering & Management /
execution. So we not only design the energy efficient equipments with optimized design
but also provide complete EPC solution to industries where area of EPC projects can
diverge from plant improvements / modernization / expansions to new Plant Installations.
From initial planning to project closure, we encompass a complete set of skills to
complete your project beyond your expectations.
 Assessment of client requirements.
 Project study, analysis and feasibility check.
 Developing cost estimates.
 Identify the complete scope of work.
 Resolve the scope of work to discrete activities.
 Mass and Energy balance calculations of the process.
 Preparation of Process & Instrumentation Diagrams (P&IDs) and Process Flow
Diagrams (PFDs).
 Simulation and Optimization using software applications.
 Thermal designing and sizing of equipments.
 Generating instrument list and optimum instrument sizing.
 Resource Planning & Development.
 Project Management & Scheduling.
 Project team alignment.
 Monitoring & controlling of project using software applications.
 Erection, Commissioning and automation of Turnkey Projects.
 .

OJECTIVES OF SED
The objectives of SED are:

 To monitor whether it is successfully implemented in the market.

 Improve operational efficiencies of process industries, in particular sugar and
allied industries across the globe by leveraging technology.
 Be the preferred company to provide complete turnkey solutions and EPC skills to
process industry across the globe.
 Provide customers with innovative engineering products within easy reach.
 Build a platform to enable Spray Engineering Devices Limited to become a global
engineering MNC.
 Be a professionally managed employer of choice, attracting, developing and
retaining quality personnel.
 Be responsible corporate citizen with a commitment to environmental protection

CHAPTER - 2
  Review Of Literature

 Defining Absenteeism

 Types Of Absenteeism

 Calculation Of Absenteeism

 Causes Of Absenteeism

 Effects Of Absenteeism On Industrial Progress

 Analysis Of Causes

REVIEW OF LITERATURE

INTRODUCTION
 Absenteeism is one of the major human problems in industry which is undesirable
because of its costs and the operating problem that it causes. It is an industrial malady
which disturbs work schedules, imposes added supervisory workloads, causes
unnecessary overtime and results in over all increased labour cost, reduced efficiency of
the operations, as well as in low employee morale. With the massive investments, the
capital labour ratio goes up considerably, as absenteeism among workers leads to serious
operating problems and dislocation of work that heavily affects productivity. In fact its
consequences are alarming.

The problem needs to be dealt with effectively by the management. Attention to

this problem, so far has been rather cursory, mainly because of the availability of
abundant manpower in the country.

“DEFINING ABSENTEEISM”

Absenteeism in short can be defined as a failure to report to work.

 It is likely a symptom of low moral and declining productivity or little

involvement at work as demonstrated by the employees staying away from work.

 It refers to the failure on the part of employees to report to work through which
they are scheduled to work. In other words an unauthorized absence constitutes
absenteeism.

 It is referred to here in as failure of employees to report to work when they are

scheduled to work.
 An employee may stay away from work on ground of leave to which he is entitled, or
sickness or some accident or without any previous sanction of leave. Thus, absence
could be “authorized”, “ unauthorized”, willful or “caused by circumstances beyond ones
control.

PECULIAR FEATURES OF ABSENTEEISM

On the basis of studies undertaken certain observations may be made:

1. The rate of absenteeism is lowest on payday; it increases considerably on

the days following the payment of wages and bonus. The level of
absenteeism is comparatively high immediately after payday. When
worker either feel like having a good time or in some other cases return
home to their villages family and after a holiday, has also been found to be
higher than that on normal days.

2. Absenteeism is generally high workers below 25 years of

age and those above 40. “The younger employees are not regular and
punctual”. Presumably because of the employment of a large no. of new
comers among the younger age groups, while the older people are not able
to withstand the strenuous nature of the work.

3. The percentage of absenteeism is higher in the night shift than in the day
shift. This is so because workers in the night shift experience great
discomfort and uneasiness in the course of their work than they do during
day time.

4. Absenteeism in India is seasonal in character. It is the

highest during March-April-May, when land has to be prepared for
monsoon, sowing and also in harvest season (Sept-Oct) when the rate goes
as high as 40%.
 “TYPES OF ABSENTEEISM”

There are two types of absenteeism, each of which requires a different type of
approach-

1. INNOCENT ABSENTEEISM:

Innocent absenteeism refers to employees who are absent for reasons beyond
their control sickness and injury. Innocent absenteeism is not culpable i.e.
blameless. In a labor relations context this means that it cannot be remedied of or
treated by disciplinary measures.

2. CULPABLE ABSENTEEISM:

It refers to employees who are absent without authorization for reasons,

which are within their control. For instance, an employee who is on sick leave
even without being so and it can prove so; he/she is guilty of culpable
absenteeism. To be culpable is to be blameworthy. In labor relation context this
means that progressive action can be taken. For the large majority of employees,
absenteeism is legitimate, innocent absenteeism, which occurs infrequently.
Procedures for disciplinary action apply only to culpable absenteeism. Many
organizations rake the view that through the process of individual absentee
counseling and treatment, the majority of employees will overcome their
problems and return to an acceptable level of regular attendance.
“CALCULATION OF ABSENTEEISM”

The rate of absenteeism is expressed as the percentage of man-days lost through

absence to the total number of man days scheduled in a given period.

No. Of Employees Absent

Absenteeism% = ------------------------------------* 100
No. Of Employees Present

No. Of Employees Present = (Avg. No. of workers) *(No. of working days)

As we know, employees are the 21st century organization’s greatest assets.

Accountants are even adding human capital to the balance sheet. Absenteeism is a
universal problem in an industry. It becomes a problem when it exceeds 10% as it
disturbs the production schedules and creates many problems. Personnel Research studies
have further revealed that: -

 The days before and after a holiday are liable to higher rate of absenteeism.
 Employees who belong to local area are absent more often than outsiders.
 Bad weather increases rate of absenteeism, especially among employees who live
at distant places.
 Employees under the age of 25 years and above the age of 55 years are absent
more often than those in the age group of 26 to 55 years.
 Operative employees are absent more frequently than the supervisors and
managers.The higher the rate of pay and greater the length of services of the
employees, the fewer the absences.
CAUSES OF ABSENTEEISM

Absenteeism is probably a natural human reaction to the routine of modern industry.

There is maladjustment between man’s instincts and desires and regular working habits
that are imposed upon him by the factory life and to which he is not easily amenable.

Some of the leading factors may be discussed as below:

1) Maladjustment with Factory Conditions

As the worker continues to live in the city, the urban life becomes distasteful and
miserable to him because of insanitary conditions prevailing there. They are subject to
strict discipline and are ordered by complete strangers to do the things which they cannot
understand. This discipline produces a heavy strain on their body as well as mind, causes
them serious distress and impairs efficiency.

2) Social and Religious Ceremonies

Social and religious functions divert workers from work to social obligations. In
a large number of cases the proportion of absenteeism due to sickness, accident or
religious ceremonies is more than due to any other reason.

3) Unsatisfactory Housing Conditions

Workers also experience housing difficulties. Around 95% of the housing
occupied by industrial workers in India is unsatisfactory for healthful habitations. This
leads to loss the interest in work.
 4) Industrial Fatigue
Low wages compel a workers to seek some part time job, bringing him side
income. But this often results in constant fatigue which compel him to remain absent for
the next day and if fatigue affects him seriously, absenteeism may be continuous for long.

5) Absence of Adequate Welfare Facilities

In several cases, particularly in medium and small size units, the standards are
distinctly poor. The studies made by some states in respect of different components of
welfare and these include sanitation, washing facilities, first aid appliances, ambulance
rooms, drinking water, canteens, shelters, rest rooms and crèches strengthen the general
impression that compliance with statutory welfare provisions in half –hearted and
inadequate”. Tired with the absence of basic facilities, the worker seeks solace in
migrating to his rural home.

6) Indebtedness of the workers

All those workers who undergo financial hardships usually borrow money lenders
at interest rate which are very high. To avoid the moneylenders they usually absent
themselves from work because they are unable to return the money in stipulated time.

7) Inadequate Leave Facilities

Negligence on the part of the employer to provide adequate leave facilities the
workers fall back on E.S.I leave. Under the E.S.I. scheme they are entitled to 56 days
leave in a year on half pay. Instead of going without pay the workers avail of the E.S.I.
facility
 8) Other Factors
These include:
• dissatisfaction with supervisors;
• boredom with repetitive work
frustration with job,
• poorly defined responsibilities,
• poor wages,
• insufficient transport facilities to and from the residence to the work place; and
• lack of recreational facilities.

EFFECTS OF ABSENTEEISM ON INDUSTRIAL PROGRESS

“Levels of absenteeism beyond the normal range in any organization have a direct
impact on that organization effectiveness and efficiency.”

It is obviously difficult for an organization to operate smoothly and to achieve

its goals if its employees fail to report to their jobs. The work plans is disrupted and
often-important decisions are delayed. In organization that relies heavily on assembly-
line production, absenteeism can be more than a disruption: it can result in the drastic
decline in the output and in some cases it can bring about a complete shutdown of the
production. But levels of absenteeism beyond the normal range in any organization have
a direct impact on its efficiency.

Apart from the above viewed fact the most important problem faced is related
with that of the cost of absenteeism! Many organizations set aside approximately 3% of
budget for absenteeism. This makes an average of about 8 days a year per employee. If
absenteeism is above your budgeted figure or certain employee exceed the average in
your organization then this indicates that you have an absenteeism problem. However,
even if absenteeism is below it a focused effort will likely yield improved attendance.
The cost of absenteeism leads to: -

Decrease in productivity-
1. Employees may be carrying an extra workload or supporting new staff.
2. Employees may be requires to attain and orientate new or replacement workers.
3. Staff morals and employee service may suffer.

Financial cost-
1. Payment of overtime may result.
2. Cost of self-insured income protection plans must be borne plus the ways cost
replacement employees.

Administrative cost-Staff time is required to secure replacement employees.

 ANALYSIS OF CAUSES

1) FAMILY ORIENTED & RESPONSIBILITES

It was observed that about 40% case absenteeism is family oriented and more
responsibilities of workers. It increases in harvesting season.

2) SOCIAL CEREMONIES

In 20 % cases it was found that social and religious functions divert

worker from work.

3) HOUSING FACIL ITY

In about 30% cases, the workers remain absent because there is no housing
facilities and the workers stay alone and great distance from factory.

4) SICKNESS AND ACCIDENT

In 20% case the workers remain absent due to ill health and disease
and in 15% cases workers remain absent due to accident.

5) TRANSPORTATION

Most of the workers have to travel long distance to reach the work
place. Most of the workers are not satisfied with transport facilities.

6) WELFARE FACILITES
In 13% cases, the workers are not satisfied with welfare facilities.

7) WORKING CONDITIONS

In 21% cases, the workers feel that there is not good working condition,
because they work in standing position which causes to remain absence for
relaxation.

8) MANAGEMENT SYSTEM

Near about 34% people are dissatisfied with management system because they
feel that their work is not being recognised and promotions are biased.
Let’s have a tabular evaluation of the: -
Observable Behavior pattern indicating possible alcohol related problems

STAGE ABSENTEEISM GENERAL BEHAVIOUR JOB

PREFERENCE
I STAGE Tardiness, quits early Complaints from fellow Misses deadlines,
(Early) (Absenteeism from employees for not doing commits error
situations) his/her share. Overreaction (Frequently low job
“I drink to relieve tension” complains of not feeling profile)
well, makes untrue
statement

II STAGE Frequent days off for vague
(Middle) or implausible reasons.
“I feel guilty about
sneaking drinks” I have
tremors.
Marked changes,
undependable statements,
avoid money from fellow
employees, exaggerate
work, and accompanies
frequent hospitalization.
Criticism from boss,
general deterioration
cant concentrate,
occasional loss of
memory, minor
injuries on the job
(repeatedly),
warning from the
boss.

III STAGE Frequent days off, several
(Late middle) days at a time, does not
return from lunch.
“I don’t feel like eating”
“ Don’t want to talk about
it”
“I like to drink alone”
Aggressive and belligerent Far below
behavior domestic expectations
problems interfere with Punishable
work, financial difficulties disciplinary actions.
(garnishments and so on),
and more frequent
hospitalization,
Resignation! Does not
want to discuss problems.
Problems with the law
community.

Generally
IV STAGE Prolonged unpredictable Drinking on the job incompetent faces
(Approachin absence (probably) completely termination or
g terminal “My job interferes with my undependable, repeated hospitalization.
stage) drinking” hospitalization, serious
financial problems, serious
family problems, divorce
etc.
 “HOW ABSENTEEISM CAN BE CONTROLLED”

The definition of absenteeism, factors affecting and its causes are quite clear.
What is not so clear is how to take affirmative actions to control it. Traditional methods
of absenteeism control based only on disciplinary procedures have proven to be
ineffective. It is almost impossible to create a fair disciplinary action because even well
run disciplinary systems, which treat which treat similar actions in consistently similar
ways are seen as unfair. The reason for this is discipline alone usually identifies the root
cause of absenteeism. Every employee who takes time off in defiance of company
regulations has reasons, right or wrong which justify to themselves the legitimacy of their
actions. Unless the management attendance programme identifies and addresses the cause
of employees’ absenteeism it will be ineffective and unfair. Now, if absenteeism is to be
controlled the physical and physical and emotional needs of employees must be
addressed.

The purpose of attendance management is to develop a willingness on the part of

all our to attend work regularly and to assist them in motivating their co-workers to
attend work regularly. Now, this can be done by-

• Addressing the physical and emotional needs of our employees.

• Communicating the attendance goals of the organization so employees can
understand and identify with them.
• Dealing with cases of excessive employees absenteeism effectively and fairly
so deterrence can occur.

Successful administration of an attendance management program requires

managers and supervisors to be aware of and create work environment in which the
following can be actualized :
  The greater the extent to which individuals identify their goals with the goals
of the organization the greater their motivation to be regular in attendance.
 The more people find their jobs meaningful to them, the greater their
motivation to be regular in attendance.
 As employees workload increases due to the absence of a co-worker, peer
pressure is exerted on the absent co=worker to attend work regularly.
 The more people like working for the organization the higher their motivation
to attend regularly. Recognition of good employee attendance helps improve
attendance.
 Employees will have a lower absence ratio if they fail they fail face to discuss
their on the job problems with their supervisors.
 Employees with a low absence ratio have attitudes of complaisance and ‘team
spirit’.
 Low absence ratio employee is more satisfied.

Like employees turnover, there is avoidable and unavoidable absenteeism.

Absenteeism is unavoidable when the employee himself falls sick, his dependants at
home suddenly become unwell or there is an accident inside the plant. Unavoidable
absenteeism is accepted by managers and is even sanctioned by labor laws. For
insistence, one day of leave with wages for every 20 days of service is allowed by the
factories act, 1948.

Avoidable absenteeism arises because of night shift, opportunities for

moonlighting and earning extra income ineptness, lack of job security, job satisfaction
and unfriendly supervision. This absenteeism needs intervening by the management.
Managers should take steps to remove causes of absenteeism. On the positive side,
managers must create a work environment which will make the employees realize that it
make sense to work in the factory rather than stay at home and waste their time.
Moreover, the management must have a safety plan, implement it and evaluate its
effectiveness.
“EXAMPLES SHOWING ABSENTEEISM RATE IN CONTEXT OF

VARIOUS INDUSTRIES”

Absenteeism is computed and is expressed in terms of percentages. Table below shows

absenteeism rate in selected industries: -

TABLE: - ABSENTEEISM IN SELECTED INDUSTRIES

INDUSTRIES 1971 1976 1981 1983 1986 1987

COTTON
19.3 20.1 21.8 22.9 18.3 19.2
TEXTILES

11.0 14.9 15.9 16.8 13.9 15.6

IRON & STEEL

CEMENT
13.1 13.1 10.8 12.2 12.4 12.2

MATCH MAKING
14.7 14.1 16.6 19.3 19.0 23.1

TELEGRAPH 16.2 14.7 15.8 17.9 20.2 17.7

WORKSHOP

“IS ABSENTEEISM REALLY BAD?”

 Although most absenteeism has a negative impact on the organization, we can
conceive of situations in which the organization may benefit by an employee’s
voluntarily choosing not to come to work. For instance, illness, fatigue or excess stress
can significantly decrease an employee’s productivity. In jobs in which an employee
needs to be alert it may well be better for the organization if the employees does not
report to work rather than show up and perform poorly. The cost of an accident in such
jobs could be prohibitive.

Even in the management jobs, where mistakes are less spectacular, performance
may be improved. When managers are absent themselves from jobs rather than make a
poor decision under stress. But these examples are clearly a typical for the most past, we
can assume that organization benefits when employee absenteeism is low!!
 CHAPTER – 3

OBJECTIVE OF THE STUDY

RESEARCH METHODLOGY

OBJECTIVE OF THE STUDY

 The project apart from a brief overall review of the organization studies the level
of absenteeism rate in the organization, referring the general staff of both the managerial
and non-managerial level of employees. The main issue of concern was related with the
employee’s presence rate and how often they find themselves failing in reporting to work,
at the same time analyzing different causes and other incentives regarding salaries and
welfare packages offered to them as well as judging the satisfaction level with their
compensation package, which surely creates a reason for determining their dedication
towards the work.
This project has also been undertaken to gather the details of employees turn over
as well as examining the general trend within an organization enabling to find an exact
reason behind the increasing absenteeism rate in the organization.

Hence, the major objectives of this study were: -

• To identify the major causes of the absenteeism at Spray Engineering
Devices Ltd.
•To Asses the after effects of absenteeism in Spray Engineering Devices Ltd.
•To measure the level of interest and involvement towards their job and
working – condition / Environment

The project is based on my experience and frequent interaction with the

employees in Spray Engineering Devices Ltd.

RESEARCH METHODOLOGY
 Research in common parlance refers to a search for knowledge. One can also define
research as a scientific and systematic search for pertinent information on a specific topic.
In fact, research is an art of scientific investigation. It is the pursuit of truth with the help
of studies, observation, comparison and experiment. In short the search for knowledge
through objective and systematic method of finding solution to a problem is research.

According to Clifford Woody, “Research comprises defining and redefining problems,

formulating hypothesis or suggested solutions, collecting, organizing and evaluating data,
making deductions and reaching conclusions to determine whether they fit the
formulating hypothesis”.

 RESEARCH DESIGN
The research design is purely the framework or plans for a study that guides the
collection and analysis of data. It is a blue print that is followed in completing a
study. It may be a worthwhile to mention here that a research design is essentially
the framework for the study.

TYPES OF RESEARCH DESIGN

Research design is mainly of three types: -
1. Exploratory research
2. Descriptive research
3. Experimental research

EXPLORATORY RESEARCH: - It is often the initial step in the series of studies

designed to supply information for decision-making. The main purpose of this research is
for formulating the problem for more precise investigation or of developing a working
hypothesis from an operational point of view. The major emphasis in such studies is on
the discovery of ideas and insights.
DESCRIPTIVE RESEARCH: - It includes surveys and fact-finding enquiries. The
descriptive research is typically concerned with determining the frequencies with which
something occurs or determining the degree to which variables is associated. It is guided
by an initial hypothesis.

EXPERIMENTAL RESEARCH: - In this some variables are manipulated to observe

their effect on other variables. Experimentation is defined as a process where events
occur in a setting at the discretion of the experiment and controls are used to identify the
source of variants in the subject. Thus they are those where the researcher tests the
hypothesis of the causal relationship between variables.

The method of the research used here is DESCRIPTIVE.

Descriptive research includes surveys and fact finding enquiries of different

kinds. It is used to portray accurately the characteristics of a particular individual,
situation or a group. This research include survey and fact finding enquiries of different
kind. Basic purpose of this type of research is that it describes the state of affairs in
current scenario. It is being generally used in social science and business research. This
study is also termed as “ex post facto” Main characteristic of method are that research has
no control over the variables he can only report what happening.

Here in descriptive research we have prepared questionnaire and done surveys of

different individuals

The research methodology adopted for the project can be stated as follows –
 • An extensive study of the topic through various sources like internet, books
and work done on some topics
• A questionnaire was prepared to analyze the level of absenteeism in SED.
• Collection of questionnaire took place after a couple of weeks to analyze
data.
• All the responses were studied and certain findings and recommendation
were given.
• A detail and systematic report was prepared.

 SAMPLING DESIGN
Sampling is used to collect primary data when the source of data is far too many
to be exhausting handled. Sampling is the integral part of data collection
process. The way of selecting a sample is known as sample design.

DATA COLLECTION METHOD

The work does not end by framing is design, it is necessary to acquire the various
details. The collected information is aimed at getting a truthful & clear result. The results
can be further analyzed to get the necessary inputs and is a tough task to undertake.
Hence the selection of best possible method for collecting data becomes very vital for this
type of study.

Data is basically collected in two methods. They are classified in to two ways
1. Primary data
2. Secondary data
Primary Data

The primary data are those, which are collected afresh and for the first time, and
thus happen to be original in character.

There are different methods available in collection of primary data.

• Observation
• Personal interview
• Questionnaire
• Telephone enquiry
• Feedback form

Secondary Data:

Secondary data means, data that are already available that is they refer to
the data which have already been collected and analyzed by someone else and which
have already been passed through the statistical process. Secondary data may either be
published data or unpublished data and can be gathered through :

 Internet,
 Books,
 Magazines,
 Manuals,
 Journals etc.
 Here in my research I have used both the primary as well as secondary data for
research topic. Primary data that I have used is the structured questionnaire.

I have designed a structured questionnaire as they are simple to administer and

relatively inexpensive to analyze Provision of alternative replies, helps to understand the
meaning of questions clearly questions. The data was collected by conducting personal
interview of respondents with the help of questionnaire.

Along with the primary data obtained through use of questionnaire. I have used
secondary data from various sources like financial websites, newspapers, journals etc

Sample Size
The sample size for this study is taken as 100.

Sample Area
SPRAY ENGINEERING DEVICES. LTD
UNIT-2 (BADDI)

Tool used for analysis

Percentage Analysis

 Percentage Analysis
The percentage refers to a special kind of ratio. Percentage is used in making
comparison between two or more series of data. Percentage is used to describe
relationship.

o Percentage (%) = No. of Respondents * 100 / Total Respondents.

 CHAPTER - 4

Analysis & Interpretation

 ANALYSIS AND INTERPRETATION

The data after collection has to be processed and analyzed in accordance with the
outline laid down for the purpose at the time of developing the research plan. This is
essential for a specific study and for ensuring that we have all relevant data for many
contemplated comparisons and analysis. Technically processing implies editing, coding,
classification and tabulation of collected data. So that they are unable to analyze. There
are many steps involved in processing and analyses of data. These are as follows:

 Totaling of all the survey conducted for temporary, permanent and staff
employee separately.
 Calculating the number of employees giving the same answers for the
question having different options available for questions (Separately for
temporaries, permanents and staff)
 Calculating the percentage of each question having different answers
provided by different employees.
 Now prepare the pie chart for these questions for the all questions included
in survey having dichotomous as well as multiple choice questions
separately(for temporaries, permanents and staff)
 QUESTIONNAIRE ANALYSIS

Q 1) What is the Educational Qualification of the Employees?

NO. OF
EDUCATION EMPLOYEES PERCENTAGE
10th 7 7%
12th 18 18%
Diploma 15 15%
UG 20 20%
PG 40 40%

1
TOTAL 100 00%

INFERENCE

As from the pie, it is depicted that the majority of the employees of company are post
graduate. i.e.40% .
Q 2) What are the Number Of Dependents In The Family?

No. of Dependents No. of Emp. Percentage

1 25 5%
2 40 10%
3 20 20%
4 10 10%
5 5 55%
Total 100 100%

60% 55%
% of respondents

50%
1
40% 2
30% 3
20%
20% 4
10% 10% 5
10% 5%
0%
1 2 3 4 5
No of Dependents

INFERENCE

The maximun number respondents (i.e., 55%) at SED have 5 dependents and 20% have
3 dependents in their family..
Q 3) What is the distance B/w your house and factory in KM

Kms Traveled
by employee No. of emp. Percentage
01 – 20 60 60%
21- 30 20 20%
31 – 40 12 12%
41 – 50 8 8%
Total 100 100%
 70%
60%
60%

% of employees
50% 01 – 20
40% 21- 30
30% 31 - 40
20%
20% 12% 41 - 50
8%
10%
0%
01 – 20 21- 30 31 - 40 41 - 50
Kms travelled

INFERENCE

The above study shows that the maximum number of employees (60%) travel 1-20 km to arrive
to the company i.e. they are residing near to their working place.

Q 4) Are you satisfied with your job?

Answers Yes No
%age of employees 63% 37%
 %age of employees

37%
Yes
No
63%

INFERENCE

The study shows that 37% of the employees are not satisfied and thus the company has to make
efforts to satisfy them.

Q 5) What are the utmost reasons of remaining Absent in the organization?

Health $ Family Personal

Answers Sickness Problems Problems Others
%age of 41% 30% 26% 3%
 employees

INFERENCE

The study shows that maximum number of employees are absent mostly due to health and
sickness. i.e 41% whereas 3 % are absent because of reasons like social commitments , sudden
events.

Q 6) Have you ever shown absence during your duration?

 Answers Rarely Sometimes Always Never
No of
employees 7 58 35 0

No of employees

0 7

35
Rarely
Sometimes
Always
Never
58

Inference:
The above study shows that 35 % of the employees are those who report their superiors about the
absence to the duty.

Q 7 ) In case of emergencies do you inform your supervisor by phone?

 Answers Yes No
%age of employees 99% 1%

INFERENCE
The above study shows that 99 % of employees inform their supervisor by phone while only 1 %
of employees do not inform.
Q 8) Are your talents and abilities fully utilized in your job?

Answers Yes No Some What

%age of employees 65% 31% 4%

INFERENCE

It has been concluded from the study that 65 % of the employees agree that their talents
are fully utilized in the organization whereas 31% are not.
9) How is the surrounding you are working in?

Very
Answers Good Good Satisfactory Poor
%age
Employees 35 45 15 5

%age Employees

5
15

35
Very Good
Good
Satisfactory
Poor

45

INFERENCE:
Out of 100 respondents 45 % of the respondents consider the surroundings as
good.
10) Do you receive benefits for overtime job?

Answers Yes No
%age of
employees 14% 86%

INFERENCE

The study shows that majority (86 %) of employees do not receive benefits from overtime job
which is the main reason of employees absenteeism.

`
 11) Do you feel boredom with the assigned duty.

Frequency Respondents Percentage

Rarely 10 10%
Sometimes 10 10%
Always 5 5%
Never 75 75%
Total 100 100

INFERENCE
The table shows that 10% of the respondents felt boredom at work rarely, 10% felt
sometimes, 5% felt always and 75% felt never, it seems that the majority employees are
interested in the work.
12) According to you, how absenteeism can be controlled?

Participatio Congenial
Anwers n Incentives Environment Others
%age of
respondents 35 40 15 10

%age of respondents

10

15 35
Participation
Incentives
Congenial Environment
Others

40

INFERENCE:
This is clear from the above pie that absenteeism can be controlled by providing
more incentives to the employees, whereas 10% of employees feel it can be
through giving them breaks, arranging trips etc.
Q 13) How much does the work suffer when you are absent?

ANSWERS
% OF
EMPLOYEES
A LOT 85%
SOME 5%
A LITTLE 7%
NOT AT ALL 3%

% OF EMPLOYEES

3%
7%
5%

A LOT
SOME
A LITTLE
NOT AT ALL

85%

INFERENCE
It has been concluded from the above figure that 85 % of the employees are those who think that
their work suffer a lot by absenteeism.
Q 14) How is your relationship with your superior?

Answers Very good Good Satisfactory Poor

%age of
respondents 40 35 20 5

%age of respondents

20
40 Very good
Good
Satisfactory
Poor

35

INFERENCE:

This has been clear from the above pie that 40% of the employees have good
relationship with the superiors.
Q 15) Seminars and workshops on absenteeism are informative & useful.

Response Respondents Percentage

Strongly agree 60 60%
Agree 30 30%
Disagree 5 5%
Strongly disagree 5 5%
Total 100 100

INFERENCE

The table shows that 60% of respondents strongly agree that training programme on
absenteeism has a good effect. 30% feels it as satisfactory by agreeing to it. 5% does not
agree with it and the rest i.e. 5% feel that it has no effect.
 CHAPTER – 4

LIMITATIONS OF THE STUDY

FINDINGS
CONCLUSIONS
SUGGESTIONS & RECOMMENDATIONS
 LIMITATIONS OF STUDY

Limitations of the study are all those which a student has to face while completing
such project. As nothing is perfect except the efforts. This study too has its limitations
that limit the applicability and validity of study. The limitations that limit the
effectiveness of research are like :

 Time- Foremost of all the constraints was the limited time. The time to do the
research was limited so present study is the results of whatever efforts I could put
in within time limit.

 Limited validity- The business environment factor and variables underlying the
study belongs to a very dynamic category. As the only thing that is constant
exchange so the study can be obsolete as soon as a major change in environment
taken place.

 Lack of knowledge on the part of employees.

 Managerial staff was quite busy in their work, so due to their tight schedule of
work, I was not in a position to discuss some important aspects in detail.

FINDINGS
 The research started considering the increase of Absenteeism rate in SED. The
rate of Absenteeism is calculated from the Primary & secondary data and the factor for
the increase is the rate of Absenteeism are collected through questionnaire and the
followings results are arrived through the statistical analysis of data.

1. The study shows that majority of respondents agree that working environment is
very good.
2. It has been made clear that there are many reasons that are responsible for
absenteeism. These are :
 Emergencies
 Personal sickness.
 Functions.
 Family sickness
3. Employees are aware of the fact that their absenteeism has a great impact on the
organization
4. The basic reason for the employees absenteeism is lack of incentives.
5. Most of the employees facing personal problem it is also reason for absenteeism.
6. Some of them absent because of Boredom in doing assigned job.
7. Majority of the employees does not have good terms with their superiors.
8. The various training programmes and seminars like:
“POSITIVE WORK CULTURE AND “IMPROVEMENT OF
PRODUCTIVITY”.
“QUALITY OF LIFE-QUALITY OF WORK TIME
MANAGEMENT”.
These are being conducted by the mgt regularly in order to improve the
individuality of the workers and to bring up good result in production.
Through these training programmes many worker have changed their life
style and improved their attendance.

SUGGESTIONS AND RECOMMENTATION

 The study of the absenteeism at all though the analysis of various primary and
secondary data the following suggestions and arrived. :

1. Many of the employees are not in good relations with the superiors , so efforts
should be made to develop cordial relations.
2. Selecting the workers by testing them thoroughly regarding their aspirations,
value system, and sense of responsibility.
3. The management must consider the factors like employees welfare facility and
leave facility.
4. The work can be made more interesting by arranging workshops and seminars.
5. As more employees are taken leave more then EL & CL, so any counseling can be
given to reduce the absenteeism among the employees.
6. The wages provided by the company are not satisfactory to the employees,
therefore the company can taken steps to increase the wages or the incentives
provided.
7. The company can establish clear policy of absenteeism and communicate this
to all employees when they are hired.
8. The company can provide extra incentives to the employees who are regular to
work in order to motivate them towards their job.
9. For learning and development, more training programs should be imparted so that
the employees may get aware of the latest technologies like Training
management, stress management, motivational management.
CHAPTER – 5

CONCLUSIONS

CONCLUSIONS
IN CASE OF NON SUPERVISORS:

Main reason for absenteeism is health & sickness and family problems. Out of total
percentage of absenteeism, percentage due to health & sickness is quite high. Temporary
associates take less holiday because they want to become permanent.

IN CASE OF SUPERVISORS :

Main reasons for absenteeism are work overload and conflicting demand. Here
absenteeism is mainly occurring due to not completing their work on target time and they
used to do that work by taking holidays

According to the project study the reasons for absenteeism fall into two broad
categories;

 Controllable
• Excessive work

 Uncontrollable

• Travel distance from the residence to the job

• Overtime availability on the job
• Personal and family sickness

The company present absenteeism is not in satisfactory level, if this situation

increases it may cause very drastic situation so the absenteeism have to be reduced step
by step. The company must have to focus mainly on the work environment of the
employees.
BIBLIOGRAPHY
 BIBLIOGRAPHY

• Naresh Malhotra (2001) “Marketing-Research” 3rd edition.

• Janice Jones, Flinders University of South Australia, Australia: Training and
Development, and Business Growth: A Study of Australian Manufacturing
Small–Medium Sized Enterprises.
• Paul Lewis, William J. Rothwell, Linda Miller, Aahad Osman-Gani: International
Journal of Training and Development
• www.spray engineering.com
• Company’s Reports and manuals
• Attendance register of SED.
ANNEXURES
 QUESTIONAIRRE

A study of Absenteeism of workers in spray engineering devices ltd, baddi

Name _________________
Age in years _____________
Marital status _____________

1) Educational Qualification
a) 10th ( ) b)12th ( ) c) Diploma ( ) d) UG ()
e) PG ( )

2)What are the Number of Dependents in the Family?

a) 1 ( ) b) 2 ( ) c) 3 ( ) d) 4 ( ) e) 5 ( )

3) What is the distance B/w your house factory in KM

a) 01-20 ( ) b) 21-30 ( )
c) 31 – 40 ( ) d) 41-50 ( )

4) Are you satisfied with your job?

a) Yes ( ) b) No ( )

5) What are the utmost reasons of remaining absent in the organization?

a)Health $ Sickness ( ) b)Family Problems ( )
c)Personal Problems ( ) d)Others ( )

6) Have you ever shown absence during your duration?

a)Rarely ( ) b)Sometimes ( )
c)Always ( ) d)Never ( )

7) In case of emergencies do you inform your supervisor by phone?

a)Yes - ( ) b) No ( )

8)Are your talents and abilities fully utilized in your job?

a)Yes ( ) b)No ( )
c) Some What ( )
 9)How is the surrounding you are working in?
a)Very Good ( ) b)Good ( )
c)Satisfactory ( ) d)Poor ( )

10)Do you receive benefits for overtime job?

a)Yes b) No

11)Do the Employees Feel boredom with the assigned duty

a)Rarely ( ) b) Sometimes ( )
c)Always ( ) d) Never ( )

12()According to you, how absenteeism can be controlled?

a)Participtaion ( ) b)Incentives ( )
c)Congenial Enviroment ( ) d)Others ( )

13)How much does the work suffer when you are absent?
a)A Lot ( ) b)Some ( )
c)A Little ( ) d)Not At All ( )

14) How is your relationship with your superior?

a)Very good ( ) b)Good ( )
c)Satisfactory ( ) d)Poor ( )

15) Do you feel that the seminars and workshops on absenteeism are informative & useful?
a)Strongly agree ( ) b) Agree ( )
c)Disagree ( ) d) Strongly disagree ( )