Employee Welfare at Tata Motors
Employee Welfare at Tata Motors
EMPLOYEE
WELFARE AT
TATA MOTORS LIMITED
Department of
Management
(2019-22)
CERTIFICATE BY THE GUIDE
Mr. S.V.N.ANJANEYULU , Faculty. This has not been submitted university or institution
original work carried out by me, under the guidance of Mr. Anjaneyulu . The report submitted by
me is a bonafied work carried by my own effort and it has not submitted to any other university or
DATE: (K.ABHIGNYA)
I express my profound thanks to our Principal, Mrs.Parveen, for extending all the
college facilities for the completion of the project.
I sincerely thank all the staff of the Department, for their timely suggestions, healthy
criticism and motivation during the course of my study. I would also like to thank my
friends for always being there to provide required help or support. With great respect and
affection, thank my parents who were the backbone behind my deeds.
Finally, I express my immense gratitude with pleasure to one and all who have
either directly or indirectly contributed to my need at right time for the development and
execution of project work.
KOTHAPALLY
ABHIGNYA
INDEX
CH.NO CONTENT PG. NO
LIST OF TABLES
LIST OF FIGURES
EXECUTIVE SUMMARY
1 CHAPTER – I 01-08
1.1 INTRODUCTION
1.2 NEED OF THE STUDY
1.3 SCOPE OF THE STUDY
1.4 OBJECTIVES OF THE STUDY
1.5 RESEARCH METHODOLOGY
LIST OF FIGURES
S. No FIGURE FIGURES PAGE NO
NO.
1 FIG 1 Employee sense of trust 14
2 FIG 2 Automobile sector 35
3 FIG 3 No. of Automobiles produced in India(in 35
millions)
4 FIG 4 No. of Automobiles sold in India(in 35
millions)
5 FIG 5 Segment-wise domestic market share in 36
FY19(%)
6 FIG 6 No. of Automobiles exported in India(in 36
millions)
7 FIG 7 Company Profile 39
8 FIG 8 Products Produced 46
9 FIG 9 Defence 47
10 FIG 4.1 Needed 56
11 FIG 4.2 Children education 57
12 FIG 4.3 Rate the welfare program 58
13 FIG 4.4 Methods used in organization 59
14 FIG 4.5 Organization should take up the programme 60
15 FIG 4.6 Overcome the stress 61
16 FIG 4.7 Increase welfare program 62
17 FIG 4.8 Welfare programs interface in work place 63
18 FIG 4.9 Recreational programs and events 64
19 FIG 4.10 Set up reasonable & attainable goals 65
20 FIG 4.11 Satisfied with job 66
67
21 Sub-ordinates satisfied with the
FIG 4.12
communication
22 FIG 4.13 Assistance for non-welfare problems 68
23 FIG 4.14 Enough skills to handle the responsible 69
24 FIG 4.15 Introduction of stress management 70
25 FIG 4.16 Physical working conditions 71
26 FIG 4.17 Work under many supervisors 72
27 FIG 4.18 Fear of survival 73
28 FIG 4.19 Working atmosphere is friendly 74
29 FIG 4.20 Good report with all superiors 75
30 FIG 4.21 Work distributed in fair manner 76
31 FIG 4.22 Job is secured 77
32 FIG 4.23 Discipline helps in individual development 78
EXECUTIVE SUMMARY
Welfare of employee and his family members is an effective advertising and also a method
of buying the gratitude and loyalty of employees. Employee welfare is a comprehensive
term including various services, benefits and facilities offered by the employer.
The basic purpose of labour welfare is to enrich the life of employees and keep them happy
and contented. Welfare facilities enable workers to have a richer and more satisfying life. It
raises the standard of living of workers by indirectly reducing the burden on their pocket.
Collective bargaining is closely related to social policy making to the extent that the
outcomes of the former inform and influence social policy agenda. It is widely held,
however, that trade unions in Central Eastern Europe (CEE) do not have a strong
bargaining position and thus exert little impact on policy decisions. This paper challenges
the view of CEE labour as a uniformly weak actor. It argues that CEE unions’ ability to
shape the bargaining agenda and social policies depends largely on the degree of
privatization, which overlaps with sectoral divisions. We find that unions in exposed
sectors are unable to oppose greater flexibility even when there are no considerable wage
gains, whereas workers in protected sectors manage to maintain their status and at times
even enhance their welfare, both in terms of higher wages and better working conditions.
CHAPTER-I
INTRODUCTION
1
INTRODUCTION
Welfare includes anything that is done for the comfort and improvement of employees and
is provided over and above the wages. Welfare helps in keeping the morale and motivation
of the employees high so as to retain the employees for longer duration. The welfare
measures need not be in monetary terms only but in any kind/forms. Employee welfare
includes monitoring of working conditions, creation of industrial harmony through
infrastructure for health, industrial relations and insurance against disease, accident and
unemployment for the workers and their families.
Labor welfare entails all those activities of employer which are directed towards providing
the employees with certain facilities and services in addition to wages or salaries.
Labor welfare has the following objectives:
● Labor welfare includes various facilities, services and amenities provided to workers
for improving their health, efficiency, economic betterment and social status.
● Welfare measures are in addition to regular wages and other economic benefits
available to workers due to legal provisions and collective bargaining
● Labor welfare schemes are flexible and ever-changing. New welfare measures are
added to the existing ones from time to time.
● Welfare measures may be introduced by the employers, government, employees or by
any social or charitable agency.
● The purpose of labor welfare is to bring about the development of the whole
personality of the workers to make a better workforce.
The very logic behind providing welfare schemes is to create efficient, healthy, loyal and
2
satisfied labor force for the organization. The purpose of providing such facilities is to make
their work life better and also to raise their standard of living. The important benefits of
welfare measures can be summarized as follows:
● They provide better physical and mental health to workers and thus promote a healthy
work environment
● Facilities like housing schemes, medical benefits, and education and recreation facilities
for workers’ families help in raising their standards of living. This makes workers to pay
more attention towards work and thus increases their productivity.
● Employers get stable labor force by providing welfare facilities. Workers take active
interest in their jobs and work with a feeling of involvement and participation.
● Employee welfare measures increase the productivity of organization and promote
healthy industrial relations thereby maintaining industrial peace.
● The social evils prevalent among the labors such as substance abuse, etc are reduced to a
greater extent by the welfare policies.
3
NEED OF THE STUDY:
A common place that we see the need to apply Relations and welfare is in the work
place. In the work force, we can see Relations play a key role in leadership success. A
person unable to grasp Relations and apply it, will not become or stay a leader. It is critical
that anyone seeking to lead or Relations understand "Howletts Hierarchy of Work
Motivators."
4
OBJECTIVES OF THE STUDY:
1. To know the present welfare activities in Tata Motors Limited.
2. To find out the satisfaction level of the employees by providing employee activities
(eg:feedback,surveys).
3. To suggest measures to improve the good work condition .
4. To analyze the effect of welfare measures in improving productivity of the employees.
5. To know how to reduce the employee problems like absenteeism and employee turnover.
6. To ascertain whether the welfare measures are being implemented effectively.
5
RESEARCH METHODOLOGY
The basic principle in the research has been adopted in the overall Methodology. The
following methodology has been used for meeting the requirements,
● Defining objectives
● Developing the information sources
● Collection o information
● Analysis of information
● Suggestion
The methodology followed for collection, analysis under interpretation of data in
explained below.
RESEARCH DESIGNS
There are generally three categories of research based on the type of information
required, they are
1. Exploratory research
2. Descriptive research
3. Casual research
The research category used in this project in descriptive research, which is focused
on the accurate description of the variable in the problem model. Consumer profile studies,
market potential studies, product usage studies, Attitude surveys, sales analysis, media
research and prove survey s are the,
Examples of this research, any source of information can be used in this study
although most studies of this nature rely heavily on secondary data sources and survey
research.
6
SAMPLE DESIGN
● Sampling unit: the study is directed towards the executive of managerial level.
● Sample size: sample size of 100 is taken in this study
DATAANALYSES
Simple analysis method is followed for analyzing the data pertaining to different
dimensions of employees. Simple statistical data like percentage are used in the
interpretation of data pertaining to the study. The results are illustrated by means of bar
charts.
7
LIMITATIONS OF THE STUDY:
There are certain limitations of the concept of empowerment. It may be cost
consuming in selecting personnel, training costs and labor costs may be high, it may result
in slower or inconsistent services and poor use of the technique of empowerment.
At the outset, Managers must also accept the fact that not all employees want to be
empowered. Many workers just work better in jobs that are clearly defined and closely
supervised. Once both employees and managers have received proper training, the next step
is go give employee’s control of the resources needed to make the improvements in their job
and work processes.
8
CHAPTER-II
REVIEW OF LITERATURE
9
LITERATURE REVIEW
1. Anand (2010) stated in his research work that employees of IT sector in Chennai district
are satisfied with the welfare measures provided by the company. But researcher
also suggested some recommendation pertaining to periodic audit of welfare programs by
management, personality & tress management etc. Modifications are requiring in the field
of safety consciousness, grievance handling& sexual harassment especially for women
employees.
2. Bosibori (2012) suggested that govt. through national police service in Kenya(KISII
central district ) should improve the provision of health services, welfare amenities& social
services provided to the police officers so has to improve service delivery & also
recommended that govt. should be well formulated policies on each areas of welfare
services in the national police service in KISII central district Chahal (2013) inferred from
her research work that some factors like working environment, performance appraisal
techniques , relationship other employees etc. are contributing towards job satisfaction in
bank employees, while job dissatisfaction caused by working hours(lack of training &
development) of frequent transfers of the employees . He suggested that employee welfare
measures/facilities of job security should be given at most importance so that the employee
turnover may be restricted.
3. Gurusamy (2012) asserted that there is no significant relationship between the sex of the
respondent& level of satisfaction on washing facilities in textile industry at Coimbatore
district. Also he stated that there is a positive relationship the income of the respondent&
the level of the satisfaction on canteen facilities.
4. Balaji (2013) explored the influence of rewards & welfare on job satisfaction &
productivity of both public & private sector employees in measure Industrial cities of
Tamilnadu. The working environment was faire in terms of office accommodation &
furniture, working material, health & safety facilities but on the other side he recommended
salary increment, allowances, bonus, fringe benefit &compensation on regular & specific
periods to keep their moral high & make them productive.
5. Bhati p. (2013) identified in her research work that the different provisions provided to
the employees under factories Act 1948 are showing positive relation with the employee’s
satisfaction. Company should know the requirement of employees in term of different non-
10
financial motivational tools. This study can be useful for identifying the factories which
needs to employee satisfaction & company can use those factors retention tool for retaining
employees in the organization.
6. Gope (2013 ) studied the employee per section on quality of work life in sugar mills of
Uttar Pradesh(UP) found that private sugar mill employees enjoys better QWL practices in
comparison to cooperative sector or employees. On lighting facilities (LF), safety measure
(SF), health facilities (HF), welfare facility (WF), etc. but cooperative sugar mill employees
enjoys better employee welfare facilities &supervisor interference (SI) to private sugar mill
employees. He suggested that to improve QWL is first to identify & then try to satisfy
employees important needs in through their experience in their working environment.
7. Hangarki (2014) revealed the relationship between employee satisfaction level & welfare
measures in selected national bank in Hyderabad Karnataka region. It is clear that welfare
facilitated employment by bank are not equally satisfactory to all employees. Most of the
employees are dissatisfied with the clarity and transparency in communication, training&
development, lunch rooms & rest rooms, health checkup camp etc. He recommended some
measures but separate lunch room & rest rooms are most important in those amenities because
employees are very inconvenient to have their lunch in front of the customer.
8. Bhagat (2015) revealed that cleanliness is the big issue in Nashik MIDC. She suggested
that cleanliness should be improved, clean & adequate latrines &urinals at the work place
improve indirect motivation to employees.
11
THEORETICAL FRAMEWORK
Welfare includes anything that is done for the comfort and improvement of employees and
is provided over and above the wages. Welfare helps in keeping the morale and motivation
of the employees high so as to retain the employees for longer duration. The welfare
measures need not be in monetary terms only but in any kind/forms. Employee welfare
includes monitoring of working conditions, creation of industrial harmony through
infrastructure for health, industrial relations and insurance against disease, accident and
unemployment for the workers and their families.
Labor welfare entails all those activities of employer which are directed towards
providing the employees with certain facilities and services in addition to wages or salaries.
● Labor welfare includes various facilities, services and amenities provided to workers for
improving their health, efficiency, economic betterment and social status.
● Welfare measures are in addition to regular wages and other economic benefits available
to workers due to legal provisions and collective bargaining
● Labor welfare schemes are flexible and ever-changing. New welfare measures are added to
the existing ones from time to time.
● Welfare measures may be introduced by the employers, government, employees or by any
social or charitable agency.
● The purpose of labor welfare is to bring about the development of the whole personality of
the workers to make a better workforce.
The very logic behind providing welfare schemes is to create efficient, healthy, loyal
and satisfied labor force for the organization. The purpose of providing such facilities is to
12
make their work life better and also to raise their standard of living. The important benefits
of welfare measures can be summarized as follows:
● They provide better physical and mental health to workers and thus promote a healthy work
environment
● Facilities like housing schemes, medical benefits, and education and recreation facilities for
workers’ families help in raising their standards of living. This makes workers to pay more
attention towards work and thus increases their productivity.
● Employers get stable labor force by providing welfare facilities. Workers take active
interest in their jobs and work with a feeling of involvement and participation.
● Employee welfare measures increase the productivity of organization and promote healthy
industrial relations thereby maintaining industrial peace.
● The social evils prevalent among the labors such as substance abuse, etc are reduced to a
greater extent by the welfare policies.
13
Employee Welfare Schemes
Organizations provide welfare facilities to their employees to keep their motivation
levels high. The employee welfare schemes can be classified into two categories viz.
statutory and non-statutory welfare schemes. The statutory schemes are those schemes that
are compulsory to provide by an organization as compliance to the laws governing
employee health and safety. These include provisions provided in industrial acts like
Factories Act 1948, Dock Workers Act (safety, health and welfare) 1986, Mines Act 1962.
The non statutory schemes differ from organization to organization and from industry to
industry.
1. Drinking Water: At all the working places safe hygienic drinking water should be
provided.
2. Facilities for sitting: In every organization, especially factories, suitable seating
arrangements are to be provided.
3. First aid appliances: First aid appliances are to be provided and should be readily
assessable so that in case of any minor accident initial medication can be provided to
the needed employee.
4. Latrines and Urinals: A sufficient number of latrines and urinals are to be provided
in the office and factory premises and are also to be maintained in a neat and clean
condition.
14
5. Canteen facilities: Cafeteria or canteens are to be provided by the employer so as to
provide hygienic and nutritious food to the employees.
6. Spittoons: In every work place, such as ware houses, store places, in the dock area
and office premises spittoons are to be provided in convenient places and same are to
be maintained in a hygienic condition.
7. Lighting: Proper and sufficient lights are to be provided for employees so that they
can work safely during the night shifts.
8. Washing places: Adequate washing places such as bathrooms, wash basins with tap
and tap on the stand pipe are provided in the port area in the vicinity of the work
places.
9. Changing rooms: Adequate changing rooms are to be provided for workers to
change their cloth in the factory area and office premises. Adequate lockers are also
provided to the workers to keep their clothes and belongings.
10. Rest rooms: Adequate numbers of restrooms are provided to the workers with
provisions of water supply, wash basins, toilets, bathrooms, etc.
Many non statutory welfare schemes may include the following schemes:
15
4. Harassment Policy: To protect an employee from harassments of any kind,
guidelines are provided for proper action and also for protecting the aggrieved
employee.
5. Maternity & Adoption Leave – Employees can avail maternity or adoption leaves.
Paternity leave policies have also been introduced by various companies.
6. Medi-claim Insurance Scheme: This insurance scheme provides adequate insurance
coverage of employees for expenses related to hospitalization due to illness, disease or
injury or pregnancy.
7. Employee Referral Scheme: In several companies employee referral scheme is
implemented to encourage employees to refer friends and relatives for employment in
the organization.
EMPLOYEE WELFARE
Employee welfare defines as "efforts to make life worth living for workmen".
These efforts have their origin either in some statute formed by the state or in some local
custom or in collective agreement or in the employer's own initiative.
● The service should satisfy real needs of the workers. This means that the manager
must first determine what the employee's real needs are with the active participation
of workers.
16
● The service should such as can be handled by cafeteria approach. Due to the
difference in Sex, age, marital status, number of children, type of job and the income
level of employees there are large differences in their choice of a particular benefit.
This is known as the cafeteria approach. Such an approach individualises the benefit
system though it may be difficult to operate and administer.
● The employer should not assume a benevolent posture.
● The cost of the service should be calculate and its financing established on a sound
basis.
● There should be periodical assessment or evaluation of the service and necessary
timely on the basis of feedback.
Accidents are the consequence of two basic factors: technical and human. Technical
factors include all engineering deficiencies, related to plant, tools material and general work
environment. Thus, for example, improper lighting, inadequate ventilation, poor machine
guarding and careless housekeeping are some hazards which may cause accidents. Human
factors include all unsafe acts on the part of employees. An unsafe act is usually the result
of carelessness.
Young and new employees, because of their difficulty in adjusting to the work situation and
to life in general, also have many more accidents than do old and nature workers.
The Phenomenon of Accident Proneness. Some persons believe wrongly in the theory
that certain individuals are accident prone, that is , they have some personality trait as
opposed to some characteristic of the environment which predisposes them to have more
accidents than others in work condition where the risk of hazards is equal to all.
17
Components of a Safety Service
Among the many components of a safety service the following have proved effective when
applied in combination:
In big organizations, the appointment of a safety officer to head the safety department is a
must. In small organizations, the personnel manager may look after the functions of this
department. The head of the safety department, who is usually a staff man, is granted power
to inspect the plant for unsafe condition, to promote sound safety practices (through posters
an d safety campaigns), to make safety rules, and to report violations to the plant manager.
● Support by line management
The head of the safety department, whether enjoying a staff or a functional position, by
himself, cannot make a plan safe. His appointment lulls line management into assuming that
all its safety problems have been solved.
● Elimination of hazards
Although complete elimation of all hazards is virtually an impossibility but following steps
can be taken to help reduce them:
● Placement
A poorly placed employee is more apt to incur injury than a properly placed employee.
Employees should be placed on jobs only after carefully estimating and considering the job
requirements with those which the individual apparently possesses.
● Personal protective equipment
Endless variety of personal safety equipment is available now a days which can be used to
prevent inju
● Safeguarding machinery
Guards must be securely fixed to all powerdriven machinery.
● Materials handling
18
Though often ignored, the careless handling of heavy and inflammable materials is an
important source of several injuries and fire.
● Hand tools
Minor injuries often result from improperly using a good tool or using a poorly designed
tool. Therefore, close supervision and instruction should be given to the employees on the
proper tool to use an the proper use of the tool.
● Safety inspection
An inspection by a trained individual or a committee to detect evidence of possible safety
hazards (such as poor lighting, slippery floors, unguarded machines, faulty electrical
installations, poor work methods and disregard of safety rules) is a very effective device to
promote safety.
Health Services
The prevention of accident constitutes only on segment of the function of employee
maintenance. Another equally important segment is the employee's general health, both
physical and mental.
● Preventive
● Curative, the former consists of
● pre-employment and periodic medical examination,
● removal or reduction of health hazards to the maximum extent possible,
● Surveillance over certain classes of workers such as women, young persons and
persons exposed to special risks.
Counseling Services
An employee very often comes across problems which have emotional content. For
example, he may be nearing retirement and feeling insecure or he may be getting
promotion
19
and feeling hesitant to shoulder increased responsibility or he may be worried due to some
family problem.
Employee Welfare in India
The chapter on the Directive Principles of State Policy in our Constitution expresses
the need for labour welfare thus:
● The State shall strive to promote the welfare of the people by securing and protecting as
effectively as it may a social order in which justice, social, economic and political, shall
inform all the institutions of the national life.
● The State shall, in particular, direct its policy towards securing:
● That the citizens, men and women equally, have the right to an adequate means of
livelihood;
● That the ownership and control of the material resources are so distributed as to
subserve the common good.
o The State shall make provision for securing just and humane conditions of work and
for maternity relief.
Health of Employees
● Cleanliness. Every factory shall be kept clean by daily sweeping or washing the floors
and work rooms and by using disinfectant where necessary.
● Disposal of wastes and effluents. Effective arrangements shall be made for the disposal
of wastes and for making them innocuous.
● Ventilation and temperature. Effective arrangements shall be made for ventilation and
temperature so as to provide comfort to the workers and prevent injury to their health.
● Dust and fume. Effective measures shall be taken to prevent the inhalation and
accumulation of dust and fumes or other impurities at the work place.
● Artificial humidification. The State Government shall make rules prescribing standard
of humidification and methods to be adopted for this purpose.
● Overcrowding. There shall be in every work room of a factory in existence on the date
of commencement of this act at least 9.9cubic meters and of a factory built after the
commencement of this act at least 4.2 cubic meters of space for every employee.
● Lighting. The State Government may prescribe standards of sufficient and suitable
lighting.
● Drinking Water. There shall be effective arrangement for wholesome drinking water for
workers at convenient points.
● Latrines and urinals. There shall be sufficient number of latrines and urinals, clean,
well-ventilated, conveniently situated and built according to prescribed standards
separately for male and female workers.
● Spittoons. There shall be sufficient number of spittoons placed at convenient places in
the factory.
Safety of Employees
21
● Work on or near machinery in motion. Lubrication or other adjusting operation on a
moving machinery shall be done only by a specially trained adult male worker.
● Employment of young persons on dangerous machines. No young person shall be
allowed to work on any dangerous machine (so prescribed by the state government)
unless he is sufficiently trained or is working under the supervision of
knowledgeable person.
● Device for cutting off power. Suitable device for cutting of power in emergencies
shall be provided.
● Hoists and lifts. These shall be made of good material and strength, thoroughly
examined at least once in every six months and suitably protected to prevent any
person or thing from being trapped.
Welfare of Employees
Chapter V of the factories Act contains provisions about the welfare of employees.
These are as follows:
● There shall be separate and adequately screened washing facilities for the use of
male and female employees.
● There shall be suitable places provided for clothing not worn during working hours
and for the dying of wet clothing.
● There shall be suitable arrangement for all workers to sit for taking rest if they are
obliged to work in a standing position.
● There shall be provided the required number of first-aid boxes or cupboard (at the
rate of one for every 150 workers) equipped with the prescribed contents readily
available during the working hours of the factory.
● The State Government may make rules requiring that in any specified factory
employing more than 250 employees a canteen shall be provided and maintained by
the occupier for the use of the employee.
● There shall be provided sufficiently lighted and ventilated lunch room if the number
of employees ordinarily employed is more than 150.
22
No child who has not completed his fourteenth year shall be required or allowed to
work in any factory.
● The manager of the factory has obtained a certificate of fitness granted to such
young
● While at work, such child or adolescent carries a token giving reference to such
certificate.
Welfare Funds
In order to provide welfare facilities to the workers employed in mica, iron, ore,
manganese ore and chrome ore, limestone and dolomite mines and in the beedi industry, the
welfare funds have been established to supplement the efforts of the employers and the State
Government under respective enactments.
The welfare measures financed out of the funds relate to development of medical
facilities, housing, supply of drinking water, support for education of dependents and
recreation, etc.
Voluntary Benefits
23
It is the duty of the Chief inspector of factories (who generally works under the
administrative control of the labour commissioner in each state) to ensure enforcement of
various provisions of Factories Act i8n respect of safety, heath and welfare of workers.
24
● Employers should play a more concerted role in safety and accident prevention
programme and in arousing safety consciousness.
● Safety should become a habit with the employers and workers instead of remaining a
mere ritual as at present.
● Unions should take at least as much interest in safety promotion as they take in
claims for higher wages.
SOCIAL SECURITY
The connotation of the term "Social Security" varies form country to country with
different political ideologies. In socialist countries, the avowed goal is complete protection
to every citizen form the cradle to the grave.
There are some components of Social Security:
● Medical care
● Sickness benefit
● Unemployment benefit
● Old-age benefit
● Employment injury benefit
● Family benefit
● Maternity benefit
● Invalidity benefit and
● Survivor's benefit
a. Coverage. This Act covers all workers employed in factories, mines, plantations,
transport undertakings, construction works, railways, ships, circus and other hazardous
occupations specified in schedule II of the Act.
The Act empowers the State Government to extend the coverage of the Act by
adding any hazardous occupation to the list of such occupations is schedule II.
26
5. Dependant's Benefit. If an insured person meets with an accident in the course of his
employment an dies as a result thereof, his dependants, i.e. his widow, legitimate or adopted
sons and legitimate unmarried daughters get this benefit.
The committee on the status of women in India 1974 has, there fore, recommended the
following changes in the Act:
● The administration of the fund should follow the pattern already established by the
ESIC.
● For casual labour a minimum of 3 months of service should be considered as
qualification service for this benefit.
● This will provide greater incentive to women workers to participate in trade union
activities.
27
of 15 days' wages based on the rate of wages last drawn by the employee for every complete
year of service or part thereof in excess of six months. But the amount of gratuity payable
to an employee shall not exceed Rs. 3.5 lakh.
4. Source of Funds. Under the Act gratuity is payable entirely by the Employer. For this
purpose is required either (i) to obtain insurance with the Life Insurance Corporation, or (ii)
to establish a gratuity fund. Thus it is his liability to pay the premium in the first case to
make the contribution in the second case.
28
CHAPTER-III
INDUSTRY
PROFILE
&
COMPANY
PROFILE
29
3.1 INDUSTRY PROFILE
INTRODUCTION
The automobile industry in India is world’s fourth largest, with the country currently
being the world's fourth largest manufacturer of cars and seventh largest manufacturer of
commercial vehicles in 2018. Indian automotive industry (including component
manufacturing) is expected to reach Rs 16.16-18.18 trillion (US$ 251.4-282.8 billion) by
2026. Two-wheelers dominate the industry and made up 81 per cent share in the domestic
automobile sales in FY19. Overall, Domestic automobiles sales increased at 6.71 per cent
CAGR between FY13-18 with 26.27 million vehicles being sold in FY19. Indian automobile
industry has received Foreign Direct Investment (FDI) worth Rs 1,49,424 crore (US$ 22.35
billion) between April 2000 and June 2019. Five per cent of total FDI inflows to India from
April 2000 to June 2019 went into the automobiles sector.
Domestic automobile production increased at 6.96 per cent CAGR between FY13-19 with
30.92 million vehicles manufactured in the country in FY19.
In FY19, commercial vehicles recorded the fastest pace of growth in domestic sales at 17.55
per cent year-on-year, followed by three-wheelers at 10.27 per cent year-on-year.
The passenger vehicle sales in India crossed the 3.37 million units in FY19 and is further
expected increase to 10 million units by FY20. Production of passenger vehicles rose 2.8 per
cent.
The government aims to develop India as a global manufacturing as well as a research and
development (R&D) hub. It has set up National Automotive Testing and R&D Infrastructure
Project (NATRiP) centres as well as a National Automotive Board to act as facilitator
between the government and the industry. Under (NATRIP), five testing and research centres
30
have been established in the country since 2015. NATRIP’s proposal for “Grant-In-Aid for
test facility infrastructure for Electric Vehicle (EV) performance Certification from NATRIP
Implementation Society” under FAME Scheme which had been approved by Project
Implementation and Sanctioning Committee (PISC) on 3rd January 2019.
The Indian government has also set up an ambitious target of having only electric vehicles
being sold in the country. Indian auto industry is expected to see 8-12 per cent increase in its
hiring during FY19. The Ministry of Heavy Industries, Government of India has shortlisted
11 cities in the country for introduction of electric vehicles (EVs) in their public transport
systems under the FAME (Faster Adoption and Manufacturing of (Hybrid) and Electric
Vehicles in India) scheme. The first phase of the scheme has been extended to March 2019
while In February 2019, the Government of India approved the FAME-II scheme with a fund
requirement of Rs 10,000 crore (US$ 1.39 billion) for FY20-22. Number of vehicles
supported under FAME scheme has increased to 192,451 units in March 2018 from
5,197units in June 2015. On July 29, 2019, Inter-ministerial panel has sanctioned 5,645
electric buses for 65 cities.
Overall automobile exports reached 4.63 million vehicles in FY19, implying a CAGR of 8.11
per cent between FY13-19. Automobile exports grew 14.50 per cent in FY19. It is expected
to grow at a CAGR of 3.05 per cent during 2016-2026.
Domestic two-wheeler industry is expected to grow at 8-10 per cent during FY19. Also,
Luxury car market in India is expected to grow at a 25 per cent CAGR till 2020. The
Government of India expects automobile sector to attract US$ 8-10 billion in local and
foreign investments by 2023. India will be part of Global Automotive Triumvirate - the
global Big 3 in coming 20 years and will also exceed the Indian automotive sales from US
market by mid 2030s.
The Indian auto industry became the 4th largest in the world with sales increasing 9.5
per cent year-on-year to 4.02 million units (excluding two wheelers) in 2017. It was the 7th
largest manufacturer of commercial vehicles in 2018.
The Two Wheelers segment dominates the market in terms of volume owing to a growing
middle class and a young population. Moreover, the growing interest of the companies in
exploring the rural markets further aided the growth of the sector.
31
India is also a prominent auto exporter and has strong export growth expectations for the near
future. Automobile exports grew 14.5 per cent during FY 2019. It is expected to grow at a
CAGR of 3.05 per cent during 2016-2026. In addition, several initiatives by the Government
of India and the major automobile players in the Indian market are expected to make India a
leader in the two-wheeler and four wheeler market in the world by 2020.
Market Size
Overall domestic automobiles sales increased at 6.71 per cent CAGR between FY13-19 with
26.27 million vehicles getting sold in FY19 .Domestic automobile production increased at
6.96 per cent CAGR between FY13-19 with 30.92 million vehicles manufactured in the
country in FY19
In FY19, year-on-year growth in domestic sales among all the categories was recorded in
commercial vehicles at 17.55 per cent followed by 10.27 per cent year-on-year growth in the
sales of three-wheelers.
Premium motorbike sales in India crossed one million units in FY18. During January-
September 2018, BMW registered a growth of 11 per cent year-on-year in its sales in India at
7,915 units. Mercedes Benz ranked first in sales satisfaction in the luxury vehicles segment
according to J D Power 2018 India sales satisfaction index (luxury).
Sales of electric two-wheelers are estimated to have crossed 55,000 vehicles in 2017-18.
Investments
In order to keep up with the growing demand, several auto makers have started investing
heavily in various segments of the industry during the last few months. The industry has
attracted Foreign Direct Investment (FDI) worth US$ 21.38 billion during the period April
2000 to March 2019, according to data released by Department for Promotion of Industry and
Internal Trade (DPIIT).
Some of the recent/planned investments and developments in the automobile sector in India
are as follows:
● Ashok Leyland has planned a capital expenditure of Rs 1,000 crore (US$ 155.20
million) to launch 20-25 new models across various commercial vehicle categories in
2018-19.
32
● Hyundai is planning to invest US$ 1 billion in India by 2020. SAIC Motor has also
announced to invest US$ 310 million in India.
● Mercedes Benz has increased the manufacturing capacity of its Chakan Plant to
20,000 units per year, highest for any luxury car manufacturing in India.
● As of October 2018, Honda Motors Company is planning to set up its third factory in
India for launching hybrid and electric vehicles with the cost of Rs 9,200 crore (US$
1.31 billion), its largest investment in India so far.
● In November 2018, Mahindra Electric Mobility opened its electric technology
manufacturing hub in Bangalore with an investment of Rs 100 crore (US$ 14.25
million) which will increase its annual manufacturing capacity to 25,000 units.
Government Initiatives
The Government of India encourages foreign investment in the automobile sector and allows
100 per cent FDI under the automatic route.
● The government aims to develop India as a global manufacturing centre and an R&D
hub.
● Under NATRiP, the Government of India is planning to set up R&D centres at a total
cost of US$ 388.5 million to enable the industry to be on par with global standards
● The Ministry of Heavy Industries, Government of India has shortlisted 11 cities in the
country for introduction of electric vehicles (EVs) in their public transport systems
under the FAME (Faster Adoption and Manufacturing of (Hybrid) and Electric
Vehicles in India) scheme. The government will also set up incubation centre for start-
ups working in electric vehicles space.
● In February 2019, the Government of India approved the FAME-II scheme with a fund
requirement of Rs 10,000 crore (US$ 1.39 billion) for FY20-22.
Achievements
Following are the achievements of the government in the past four years:
● Number of vehicles supported under FAME scheme increased from 5,197 in June 2015
33
to 192,451 in March 2018. During 2017-18, 47,912 two-wheelers, 2,202 three-
wheelers, 185 four-wheelers and 10 light commercial vehicles were supported under
FAME scheme.
● Under National Automotive Testing And R&D Infrastructure Project (NATRIP),
following testing and research centres have been established in the country since 2015
● International Centre for Automotive Technology (ICAT), Manesar
● National Institute for Automotive Inspection, Maintenance & Training (NIAIMT),
Silchar
● National Automotive Testing Tracks (NATRAX), Indore
● Automotive Research Association of India (ARAI), Pune
● Global Automotive Research Centre (GARC), Chennai
● SAMARTH Udyog – Industry 4.0 centres: ‘Demo cum experience’ centres are being
set up in the country for promoting smart and advanced manufacturing helping SMEs
to implement Industry 4.0 (automation and data exchange in manufacturing
technology).
Road Ahead
The automobile industry is supported by various factors such as availability of skilled labour
at low cost, robust R&D centres and low cost steel production. The industry also provides
great opportunities for investment and direct and indirect employment to skilled and
unskilled labour.
Before 1982
● Closed market
● 5 players
● Long waiting periods & outdated models
● Seller’s market
1983-1992
34
● Indian government & Suzuki formed Maruti Udyog and commenced production in
1983
● Component manufacturers entered the market via JV
● Buyer’s market
1992-2007
2015 Onwards
MARKET OVERVIEW
35
36
The automotive manufacturing industry comprises the production of commercial vehicles,
passenger cars, three & two-wheelers.
● India became the fourth largest auto market in 2018 with sales increasing 8.3 per
cent year-on-year to 3.99 million units.
● Overall domestic automobiles sales increased at 6.71 per cent CAGR between FY13-
19 with 26.27 million vehicles getting sold in FY19.
● Domestic automobile production increased at 6.96 per cent CAGR between FY13-19
with 30.92 million vehicles manufactured in the country in FY19.
● In FY19, commercial vehicles recorded the fastest pace of growth in domestic sales at
17.55 per cent year-on-year, followed by three-wheelers at 10.27 per cent year-
on-year.
● Two-wheelers and passenger vehicles dominate the domestic Indian auto market.
Passenger car sales are dominated by small and mid-size cars.
● Two-wheelers and passenger cars accounted for 81 per cent and 13 per cent of over
2.97 million vehicles sold in FY19, respectively.
● Overall automobile exports reached 4.63 million vehicles in FY19, implying a CAGR
of 8.11 per cent between FY13-19. Two-wheelers made up 70.9 per cent of the
exported vehicles, followed by passenger vehicles at 14.6 per cent, three-wheelers
at
12.3 per cent and commercial vehicles at 2.2 per cent.
● Overall automobile exports increased by 14.50 per cent year-on-year in FY19
37
KEY PLAYERS
: Each segment in the Indian automobiles sector has few established key players which hold major
portion of the market
Passenger vehicles
● Market leader in the passenger vehicles segment and held around 50 per cent market
share in the segment in FY18. The company recorded its highest ever sales of
1,779,574 units during 2017-18, a year-on-year increase of 13.4 per cent.
● BS VI compliant Maruti Suzuki “Wagon R” and “Swift Petrol” launched in June
2019 and Maruti Suzuki has became the first carmaker to introduce BS VI compliant
cars in India before the deadline of April 1, 2020. During June 2019, Maruti Suzuki
witnessed 17.2 per cent decline in sales
38
Commercial vehicles
● Market leader in the commercial vehicles segment held 44 per cent market share in
FY18. Company’s commercial vehicles sales increased 26 per cent year-on-year to
39,859 units in August 2018.
● Commercial and Passenger vehicles for FY19, stood at 678,486 units.
● Since last 6 months, only 1 unit of “Tata Nano” has been sold and the company had
not produced even a single units of Tata Nano since Jan 2019.
● By FY20, second Electric Car will be introduced by Tata Motors.
● As of January 2019, Tata to soon unveil the electric car based on its newly developed
Alpha Platform as a longterm plan for sustainable mobility.
Two-wheelers
● Hero MotoCorp and Honda are the top two players in the two-wheelers segment,
with market share of 37.67 per cent and 30.9 per cent, respectively in Q1 FY19.
● Bajaj Auto recorded domestic motorcycle sale of 1.57 million units in December
2018, up by 39 per cent over December 2017.
● Honda Cars India had a cumulative growth of 3.7 per cent year-on-year by selling
134,797 units during AprilDecember 2018.
Three wheelers
● Bajaj Auto is a leader in three wheelers with 58.15 per cent market share in FY18.
● Piaggio Vehicles is the second leader in three wheelers with 24.05 per cent market
share in FY18.
39
COMPANY PROFILE
Tata Motors Group (Tata Motors) is a $45 billion organisation. It is a leading global
automobile manufacturing company. Its diverse portfolio includes an extensive range of cars,
sports utility vehicles, trucks, buses and defence vehicles. Tata Motors is India’s largest and
the only original equipment manufacturer (OEM) offering extensive range of integrated,
smart and e-mobility solutions.
Part of the USD100 billion Tata group founded by Jamsetji Tata in 1868, Tata Motors is
among the world’s leading manufacturers of automobiles. We believe in ‘Connecting
aspirations’, by offering innovative mobility solutions that are in line with customers'
aspirations. We are India's largest automobile manufacturer, and we continue to take the lead
in shaping the Indian commercial vehicle landscape, with the introduction of leading-edge
powertrains and electric solutions packaged for power performances and user comfort at the
lowest life-cycle costs. Our new passenger cars and utility vehicles are based on Impact
Design and offer a superior blend of performance, driveability and connectivity.
Our focus on connecting aspirations and our pipeline of tech-enabled products keeps us at the
forefront of the market. We have identified six key mobility drivers that will lead us into the
future – modular architecture, complexity reduction in manufacturing, connected &
autonomous vehicles, clean drivelines, shared mobility, and low total cost of ownership. Our
sub-brand TAMO is an incubating centre of innovation that will spark new mobility solutions
through new technologies, business models and partnerships.
40
MISSION
VISION
VALUES
● Integrity
● Teamwork
● Accountability
● Customer focus
● Excellence
● Speed
BOARD OF DIRECTORS
Mr. N Chandrasekaran
41
Mr. Vinesh K Jairath
Non-Executive Director
Mr. O P
Bhatt
42
Mr. Guenter Butschek
AWARDS
2020
● CV parts entry “DigiVOR” received three awards in rapid succession – TML
Innovista Award, Golden Peacock Award and World Innovation Congress Award. It
also made it to the final round of the Tata Group Innovista competition
● Our CV Teams won 2 silver and 3 bronze awards. The P&BPE LCA team secured the
1st position by winning the Platinum Award in the OEM category at CII’s
Digitalisation, Robotics & Automation Industry 4.0
● Our Jamshedpur and Dharwad teams won the Bronze Trophy in the OEM Category at
the Confederation of Indian Industry National Competition on Digitalisation,
Robotics and Automation – Industry 4.0. for implementing LCA & DRA Industry 4.0
● The Jamshedpur team won 2 awards under Operational and Production & 1 award
under the Repairing and Maintenance category at 20th CII National Supervisory Skill
Competition
43
● Engineering Research Centre, Pune won the Golden Peacock Eco-Innovation Award
2020 for Enhanced TCO School Bus – City Ride 4 SPVR BS4. Our winning model is
the Best in class Fuel Economy, Improved NVH – Cost Of Ownership – Safety.
● Sanand Plant won the Golden Peacock Environment and Management Award 2020
for their efforts in sustainability and environment management
● Our Jamshedpur Plant was recognised as ‘The Super Shopfloor of the Year’. Both
Dharwad &Sanand Plant won ‘Excellence in Covid-19 Innovation’ award, and Pune
CVBU won the ‘Machining Excellence’ Award
2019
● Felicitated for initiating the drive of Clean Energy in India at the EV Tech India 2019
– ‘CEO Leadership Meet and Felicitation Event’ in Bangalore
● Pantnagar, Lucknow and Sanand teams from Executive and Non-Executive categories
collectively bagged 111 awards in the 21st All India Creativity Summit by INSSAN
at NIC Delhi
● Recognized as a Pitch Top 50 Brand 2019, an annual initiative by Exchange4Media
group
● Pratap B., Vice President- Global Design received the Design Icon award for
Transportation Design at the Hyderabad Design Week
● Acknowledged as the “Emerging Industry Leader” at the 25th JRD QV award
function honouring JRD Tata’s 115th Birth Anniversary
● Listed again in the Top 10 Companies in the Indian Corporate Governance Scorecard
by BSE Limited, the International Finance Corporation and the Institutional Investor
Advisory Services (IiAS), with the financial support of the Government of Japan
● Awarded with Best Design, Facebook People’s Choice Best Pavilion and Best CV
Pavilion by CNB Auto Expo Excellence Awards at Auto Expo 2020
● Girish Wagh, President, CVBU, Tata Motors, won “CV Man of the Year“ – Apollo
CV Awards 2020
● ERC Project was selected as one of the Most Innovative Projects by the Jury of
GreenCo Assessors as well as one of the 3 Most Useful Projects by the participants at
the CII Environmental Best Practices Awards
2018
● No Awards
44
2017
● For the year 2016, Tata Motors has been presented with India Risk Management
Award (IRMA) – Supply Chain Risk Management Award, recognising the initiative
to build a comprehensive framework to mitigate macro level company-wide risks
including enterprise risk management initiatives taken.
● We are pleased to share that Tata Motors, Pantnagar has received the Golden Peacock
Environment Management Award (GPEMA) in Automobile sector (India), second
time in a row.
● Tata Motors ranked amongst top 25 best companies to work for – Business Today
survey 2016.
2015
45
● Excellent-Category-Award-at-National-Convention-Chapter-teamq
● Excellent Category Award at National Convention Chapter to Team Quale from
ERC Proto Planning &Manufaturing Group
● Tata Motors won Make in India award at T3 Awards for Make in India category
● Tata Motors made it to the ET best brands list for ET best brands 2016
● Tata Motors won 1st position at NDTV Car & Bike Awards for Best pavillion at the
Autoexpo ERC-Purchase-Team
● ERC Purchase Team – 1st Prize in in Productivity Case Study Contest organized by
IIIE in Medium Scale Corporate category
● IIIE-in-Large-Scale-Corporate
● Low Cost Automation Team – 3rd Prize in Productivity Case Study Contest
organized by IIIE in Large Scale Corporate category
● 3rd Prize – Excellence in Suggestion Scheme Category: Auto Industry group at 26th
National Convention of INSSAN
● Excellent-Category-Award-at-National-Convention-Chapter
● Excellent Category Award at National Convention Chapter to Team Lakshya from
ERC Proto Planning &Manufaturing Group
● Excellent-Category-Award-at-National-Convention-Chapter-teamq
● Excellent Category Award at National Convention Chapter to Team Quale from
ERC Proto Planning &Manufaturing Group
● Project ‘Sankalp’ in Supply Chain Category Awarded at PERP 2015
● Golden Peacock Award 2015
● INSSAN – Merit Award
● IMTMA- ACE Micromatic Productivity Championship Awards 2015, Gurgaon
● CII Gujarat State Level: Best Kaizen Competition 2015, Vadodara
● INSSAN 17th National Creativity Summit-2015, New Delhi – Won 5 Awards
● CII Regional Work Skills Competition – 24 awards, Northern Confederation of Indian
Industries
● 26th INSSAN National Convention 2016
● “PARIVARTAN” (PE Shop) & “WARRIOR” (TCF Line 2) won PAR
EXCELLENCE Award (National Convention on Quality concepts-2015)
● 26th QCFI competition, NAVODAYA (Trim Line 1) received Gold Award for
Excellent Presentation in VRCCQC – 2015
46
● 28th CII QC Competition Preliminary 2015-16, PASSION (Trim Line 3)
● 28th CII Quality Circle Preliminaries Competition 2015-16, DIKSHA (BIW)
● 17th (INSSAN) National Suggestion Summit 2015 – 26 winners
● 17th INSSAN NIC National Creativity Summit – Rajeev Kumar Singh (Excellence
Award), R R Khan (Par Excellence Award), Anoop Kumar Srivastava (Excellence
Award), Akash Sharma (Par Excellence Award), Akansha Verma (Distinguish
Award), Satyendra Singh (Distinguish Award), Jayhind Singh (Merit Award)
● Internal Quality Circle Competition 2015, Teams Champs (Trim Line 3), passion
(Trim Line 3) and Daksha (Trim Line 2) on July 24, 2015
● 27th CII National Finals won by CHAMPS (Trim Line 3), 2nd runner up on May 5,
2015
● Accolades for Tata Motors at the “Chapter Convention on Quality Circles”
● Jamshedpur Plant receives an Environmental Award
● Accolades at the 28th CII Regional Work-Skill Competition & 15th National
Supervisory Skill Competition
● Recognition for Jamshedpur Plant at ‘Compliance Champion Award, 2015’
● Accolades received at 27th CII National Work skill competition by Jamshedpur Plant
● ‘Best Corporate Award’ for Jamshedpur Plant
● Glories galore for Jamshedpur Plant at 26th National Convention of INSSAN
PRODUCTS
HATCHBACK
SEDANS
47
UTILITY VEHICLES
Buses CARGO
48
49
3. PASSENGER TRANSPORTATION
4.DEFENCE
The Tata Group's history with the Defence sector goes back to the 1940s when the Group
supplied armoured steel to support the World War II effort. The Tata Group also developed a
Wheeled Armoured Carrier - Indian Pattern or ACV-IP, better known as the 'Tatanagar'.
From India’s independence in 1947 till 2005, the group has contributed to serving India's
defence needs in the mobility segment through Tata Motors.
Tata Motors foray into Combat VehiclesIn recent years, Tata Motors has made a strategic
shift from the Logistic vehicles space to the Combat vehicle space by focusing on
development of contemporary state-of-the-art combat vehicle platforms (Tracked &
Wheeled); with the dual purpose of empowering India's Defence Forces with breakthrough
technologies and increasing the nation’s self-reliance in this critical area. The idea is to
ensure high mobility, fire power and protection to the forces for their various missions
by
50
developing world-class armored fighting vehicles.Tata Motors is the first private sector OEM
in India which has developed WhAP (Wheeled Armored Amphibious Platform), an Infantry
Combat Vehicle, designed for optimised survivability, all-terrain performance and increased
lethality jointly with the Indian Defence Research and Development
Organisation(DRDO).Tata Motors has also developed the Light Armored Multi-role Vehicle
(LAMV), a reconnaissance vehicle that combines vital operational prerequisites of mobility,
protection and firepower in association with the Ordnance Factory Board.Further through its
fully owned subsidiaries - TAL Manufacturing Solutions (TAL), Jaguar Land Rover (JLR)
and Tata Technologies Ltd (TTL), Tata Motors has evolved to become a formidable force
operating in the Defence Sector.
Tata Motors in DefenceWith a wide range of products operating across the entire military
spectrum – from Logistics to front-line Combat, Tata Motors today is the largest private
sector mobility player in the Defence space in India. Our mobility solutions portfolio has
grown from strength to strength to include all classes of vehicles - from light to heavy and
across the entire Defence, Paramilitary and Police mobility segment.Tata Motors has
supplied over 100,000+ vehicles to various Paramilitary & State Police forces and is the
only OEM having the widest range of vehicles available in over 10 DGS&D Rate Contracts.
Tata Motors is proud of its association with the Paramilitary & Police forces and keeps
continually improving & innovating products that cater to the forces specific mission
requirements.In addition to being a leading supplier of mobility solutions to the Indian
Army, Navy, Air Force and various Paramilitary forces, the company also exports its range
of specialized Defence vehicles to SAARC, ASEAN, African nations and the UN
peacekeeping forces in conflict zones in Africa.
51
SWOT ANALYSIS:
The SWOT of TATA Motors will elaborate on the strengths & weakness of and the
opportunities & threats for one of the biggest automobile companies in India.
TATA Motors is one of the oldest multinational companies of India, founded in the year of
1945. It was previously known by the name TELCO. TATA Motors is the worlds fifth-
largest automobile manufacturing company. The founder and chairman of TATA are Ratan
Tata, and the headquarters is in Mumbai, India. In its diversified portfolio, it has many
types of products. The products include trucks, passenger cars, vans, buses, coaches, and
military vehicles, construction equipment.
Stabilized Earning: It has been earning stabilized profit. Tata has a good management
policy. It can be noticed when they acquire new companies. One study showed that Tata
will only purchase those companies which have the same management system. They follow
this policy only because they have confidence over their management policies.
Recognized Brand: TATA is a well-known brand in the home country, and in the
neighbour country like Pakistan, Bangladesh etc. One of its most recognized brands is
Jaguar Land Rover PLC, among others.
Number of Employees: It has a large number of employees. Under Tata group, more than
660,800 employees are working. And 66000 people are working in the automobile company
as of 2016.
52
2. The Weaknesses of Tata Motors
Indifferent to Changes: Automobile industry is a very competitive industry. Every
company in this industry remain competitive as most of the automobile companies are very
old and experienced in this business. They offer a new model and tech-savvy cars. But Tata
Motors is indifferent in this case. Its large model base is old.
Global Presence: Automobile industry is not limited to the local market. If it is limited to a
specific area, then it’s a strong barrier to the growth as other foreign companies may enter
the same market. Tata remained silent in achieving global market shares. It has not
penetrated in many international markets until now.
Weak Marketing Policy: Strong marketing policy is the strength of a company. It is the
way a company can know the demands of their customers and produce the products
accordingly. Also, it helps the company to communicate with consumers and inform about
the value they are planning to deliver. The TATA does not have strong marketing policy to
promote its product world-wide.
Narrow Domestic Market: As Tata did not enter too many global markets, it developed its
business in the local market. But only the local market is not enough for a company like
Tata motors.
Opportunities for Merger and Acquisitions: Merger and acquisition is a pretty common
tradition in the automobile industry. Tata has a long experience as it is one of the oldest
companies in India. As it has grown bigger, it has grabbed the capabilities for acquisitions.
Also, it has its own proved management policies that may help to manage newly acquired
companies.
53
Increasing Purchase Power of Indian People: The sales of a product largely depends on
the price of the products. If prices are reasonable, a company can easily develop tech-savvy
modern cars and meet the sale target. as the people of India are earning more than before,
they are having more purchase power.
Expanding Auto Market: The world is becoming modernized. People are being dependent
on transportation facilities heavily. It will increase the sales of motor vehicles. As Tata still
has the opportunities to enter a different foreign market, it has a great expansion
opportunity.
Market competition: The automobile market is so much competition. These companies are
frequently offering newly developed cars which have fuel efficiency, modern models,
technologies, and environmental friendliness. TATA has many strong competitors in this
sector. So, it has to remain cautious and become more competitive.
Increasing Production Cost: In this modern era, competition has increased. As a result, the
production cost is more than before as the company has to be more competitive for offering
innovative products.
Bottom Line
Tata Motors has more strengths than weaknesses. It is a locally organized company means
most of its business operations are in the local market. It should develop new strengths and
utilize its future opportunities to grow it further.
54
CHAPTER-IV
DATA
ANALYSIS
&
INTREPRETATIO
N
55
Data analysis has been done by arranging the data in a simple table form and
percentages are calculated. The quantitative data has been represented by drawing out the
charts where ever necessary.
1. EMPLOYEE WELFARE IS NEEDED IN A
COMPANY TABLE – 4.1
Particular No. of Respondents Percentages
Agree 48 48%
Strongly agree 28 28%
Neutral 14 14%
Disagree 8 8%
Strongly Disagree 2 2%
Total 100 100
GRAPH 4.1
NEEDED IN COMPANY
INTERPRETATION:
In the above table of Employee Welfare. of the employees Agree, a quarter of the
employees strongly agree, 48% quarter of them are neutral 14%, and remaining few
disagree 8% and strongly disagree 2%.
INFERENCES:
48% of employees are agreed for employee welfare needed in a company.
56
2. ORGANIZATION EDUCATIONAL ASSISTANCE PROVIDED
FOR CHILDREN’S EDUCATION
TABLE - 4.2
GRAPH 4.2
CHILDRENS EDUCATION
INTERPRETATION:
In the above table quarter of people Agree, nearly of them strongly agree 42%, of
them are neutral 16%, remaining few disagree 6%and strongly disagree. 4%
INFERENCES:
42% of employees are strongly agreed for children education.
57
GETTING IN THE ORGANIZATION
GRAPH 4.3
INTERPRETATION:
In the above table on Welfare program all of them rate ok to Canteen Subsidy
100%, rate to Festival Allowance65%, of them rate to Night Shift Allowance65%, three
58
quarters of them rate to Heat Treatment Allowance75%, less than quarter rate to Rest
Room Facility15%, very few rate to shift timings 10%, more than half rate to Safety
practices, almost all rate to death in harness, all of them rate to HRA, half of them rate to
Uniform Allowance.
INFERENCE :from the above table employees are aware of weflare program in organisa
4. METHODS USED IN YOUR ORGANIZATION IN ORDER TO HELP THE
STAFF IN MANAGING AS WELFARE
a) Rest room
b) Yoga and Meditation
c) Physical Exercise and indoor games
d) Music
e) None of the above
TABLE 4.4
GRAPH 4.4
METHODS
59
INTERPRETATION:
In the above table nearly half people choose Rest room 45%, quarter people choose Yoga
and Meditation14%, less than quarter people choose Physical Exercise and indoor games
20%, quarter people choose Music,20% only 1% person choose nothing.
INFERENCE :45% of employees are aware of methods used in the organization.
5. ORGANIZATION SHOULD TAKE UP THE PROGRAMMERS FOR WELFARE
PROGRAMS
TABLE - 4.5
GRAPH 4.5
WELFARE
PROGRAME
INTERPRETATION:
60
In the above table quarter people agree, 24% more than quarter people strongly agree 32%,
61
quarter people are neutral 15%, quarter people disagree 21%, very few people strongly
disagree. 8%.
INFERENCES
Organization should take up the programs are strongly agreed by 32% of employees.
6. WHEN YOU FEEL STRESS, WHO WILL HELP YOU TO OVERCOME THE
STRESS
a) Management
b) Family
c) Friends
d) Colleagues
e) None of the above
TABLE 4.6
Particulars Response (No of persons)
Percentage
Management 13 13%
Family 45 45%
Friends 10 10%
Colleagues 25 25%
None of the above 7 7%
TOTAL 100 100%
GRAPH 4.6
OVERCOME THE
STRESS
62
INTERPRETATION:
In the above table less than quarter people choose Management 13%, nearly half people
choose Family 45%, people choose Friends 10%, quarter people choose colleagues25%, and
a very few people choose nothing.7%
INFERENCES
According to 45% of employees ,family will help to overcome stress.
7. TO INCREASE THE WELFARE PROGRAMS
TABLE- 4.7
WELFARE
PROGRAME
63
INTERPRETATION:
In the above table quarter Agree 28%, above quarter strongly agree 35%, quarter are
Neutral,21% quarter Disagree, 14% very few strongly disagree.2%
INFERENCE
35% of employees are strongly agreed to increase the welfare program.
8. WELFARE PROGRAMS INTERFACE IN YOUR WORK LIFE
TABLE- 4.8
WORKLIFE
64
INTERPRETATION:
In the above table more than quarter people Agree 38%, more than quarter Strongly agree
27%, less than quarter are Neutral 19%, less than quarter Disagree 12%, very few strongly
Disagree.4%
INFERENCE
38% of employees are agreed for interface in work life.
TABLE- 4.9
65
GRAPH 4.9
WORKPLACE
INTERPRETATION:
In the above table less than quarter people Agree14% nearly quarter people Strongly agree
21%, nearly quarter are Neutra24%l, more than Disagree,32% very few Strongly disagree.
9%
INFERENCE
32% of employees are not aware of any recreational programs at work place.
10. SETUP REASONABLE AND ATTAINABLE GOALS WHEN YOU HAVE A
LARGE PROJECT TO COMPUTER
TABLE- 4.10
GRAPH 4.10
66
REASONABLE AND ATTAINABLE GOALS
INTERPRETATION:
In the above table more than quarter Agree,38% above quarter people Strongly agree32%,
less than quarter people are Neutral19%, less no of people Disagree,8% very few people
Strongly disagree.3%
INFERENCE
38% of employees setup reasonable goals when they have large projects.
TABLE- 4.11
67
INTERPRETATION:
In theabove table above quarter Agree 30%, above quarter Strongly agree,35% very few
people are Neutral,8% less than quareter Disagree18%, very few people Strongly
disagree.9%
INFERENCE
35% of employees satisfied with job at work environment.
TABLE 4.12
Agree 40 40%
Neutral 12 12%
Disagree 10 10%
Strongly disagree 6 6%
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GRAPH 4.12
INTERPRETATION:
In the above table 95 persons rate Good, 5 persons rate Bad and no one rate Poor.
INFERENCE
40% of employees are satisfied with the sub-ordinates.
TABLE- 4.13
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NON WELFARE PROBLEMS
INTERPRETATION
In the above table quarter people Agree24%, less than quarter Strongly agre19%, more than
quarter are Neutra29%l, quarter people Disagree 23%, very few people Strongly
disagree.5%
INFERENCE
29% remained neutral on providing assistance for non welfare problems.
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GRAPH 4.14
SKILLS TO
HANDLE
INTERPRETATION:
In the above table above quarter Agree38%, nearly half people Strongly agree42%, few
people are Neutral8%, few people Disagree10%, very few Strongly disagree.2%
INFERENCE
42% are skilled to handle the responsibilities assigned to their role.
TABLE- 4.15
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STRESS MANAGEMENT
INTERPRETATION:
In the above table nearly half of the people Agree,42% more than quarter people Strongly
agree,38% less than quarter people are Neutra8%l, less than quarter people Disagree9%,
very few Strongly disagree.3%
INFERENCE
From the above stress management is necessary for 42% of employees.
Employee Benefits
16. PHYSICAL WORKING CONDITIONS ARE TAKEN CARE BY SUPERIORS
TABLE- 4.16
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PHYSICAL WORKING CONDITION
INTERPRETATION:
In the above table half of the people Agree52%, half of the people Strongly agree48% and
no one is Neutral0%, Disagree0% and strongly disagree0%.
INFERENCE
52% of employees are agreed for physical working conditions are taken by superiors.
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NATURE OF WORK
INTERPRETATION:
In the above table more than half of the people Agree28%, above half of the people
Strongly agree35%, less than quarter people are Neutral16%, nearly quarter disagree21%,
no one Strongly disagree.0%
INFERENCE
35% are strongly agreed to work under many supervisors.
FEAR OF SURVIVAL
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INTERPRETATION:
In the above table less than quarter people Agree 18/%, less than quarter people Strongly
agree13%, a quarter are Neutral,25% more than quarter Disagree32%, less than quarter
Strongly disagree.12%
INFERENCE
32% of employees disagreed for the fear of survival.
FRIENDLY IN
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NATURE
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INTERPRETATION:
In the above table nearly half of them Agree 43%, less than quarter of them Strongly
agree,12% quarter of them are Neutral,26% less than quarter of them Disagree15%, very
few Strongly disagree.4%
INFERENCE
Working atmosphere should be friendly in nature for 43% of employees.
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INTERPRETATION:
In the above table less than quarter Agree, 22%less than quarter Strongly agree,18%
quarter are Neutral,25% quarter Disagree24%, less than quarter Strongly disagree.11%
INFERENCE
25% remained neutral on maintaining rapport with their peers and superiors.
FAIR
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MANNER
80
INTERPRETATION:
In the above table more than quarter Agree36% less than quarter Strongly agree19%,
less than quarter are Neutral22%, less than quarter Disagree21%, very few Strongly
disagree.2%
INFERENCE
38% are agreed for distribution of work in fair manner.
JOB
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SECURED
82
INTERPRETATION:
In the above table above quarter Agree32%, more than quarter Strongly agree29%, less than
quarter are Neutral,21% less than quarter Disagree16%, very few Strongly disagree2%.
INFERENCE
32% of employees feel that their job is secured.
TABLE- 4.23
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GRAPH 4.23
INDIVIDUAL DEVELOPMENT
INTERPRETATION:
In the above table less than quarter Agree18%, less than quarter Strongly agree13%,
quarter are Neutral25%, above quarter Disagree32%, less than quarter Strongly
disagree.12%
INFERENCE
32% disagree for discipline helps in individual development.
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CHAPTER-V
FINDINGS
SUGGESSION
S
CONCLUSION
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FINDINGS
1. 48% of employees are agreed for employee welfare needed in a company. Very
few are strongly disagreed.
2. From the above analysis we came to know that organization provides educational
assistance for children education.
3. Many of the employees are aware of welfare program when they are getting in
organization.
4. The employees are aware of the methods used in their organization in order to help
the staff in managing as welfare.
5. 32% of employees strongly agreed that the organization should take up the
programs for welfare program.
6. Many employees respondent as family is the best way to overcome the stress.
7. Most of the employees are strongly agreed to increase the welfare program in the
organization.
8. From the analysis 38% of the employees agreed for welfare program interface in
there work life.some are neutral and very few are disagreed.
9. Most of the employees are unaware of the recreational programs/events at their work
place.
10. The employees setup reasonable and attainable goal to achieve profits,when they
have large project to computer.
11. Satisfaction level of the employees is high with the job at work environment.
12. The employees are satisfied with the sub-ordinates by communicating with each
other.
13. 29% remained neutral of the assistance provided by the organization for non-
welfare related problems.
14. Enough skills are required for employees to handle the responsibilities assigned for
their role.
15. It is mandatory for organization to provide stress management and preventive
actions for employees.
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16. The survey reveals that the physical working conditions should take care by the
superiors.
17. Most of the employees accustomed to work under many supervisors for the same
nature of work. None of them are disagreed.
18. 32% of employees are disagreed for their commitment to job because of the fear of
survival. Most of them are neutral and few of them are agreed.
19. In the organization, working atmosphere should be friendly in nature at work
place,most of the employees are agreed to this.
20. Good rapport with all your peers and superiors is necessary but employees are
remain neutral to maintain rapport.
21. Distribution of department work in a fair manner is mandatory, most of the
employees agreed to this.
22. From the above analysis we came to know that most of the employees are agreed
that they feel their job is secured
23. 32% of employees are disagreed for discipline helps in the individual development.
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SUGGESTIONS
The conclusions so far drawn from the study tempts to offer the following
suggestions for making the organization ready for empowerment. The conclusions drawn
above convince any body to identify the following areas to chart out training programs for
the executives to make them completely ready for empowerment
1. A general training program covering the importance of and need for employee
empowerment in the light of global competition is to be designed in brainstorming
session involving internal and external experts.
6. The subordinate staff who is going to be empowered must be ready to take up this
responsibility. A study is to be conducted among the subordinate staff to find out
their readiness to discharge the new roles under this empowerment program. This
helps in identifying the training areas, to make the subordinate staff completely
ready for undertaking empowerment.
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CONCLUSION
In the above perspective, the present chapter makes an attempt to draw some conclusions. It
should be confessed here that the investigator is conscious of the limitations of the study
and the conclusion drawn on the basis of the sample from a single unit cannot be
generalized about the entire manufacturing sector.
With regard to value of people, the analysis leads to the conclusion that the Executives
give a reasonable value to the Human Resources in the Organization. However, in respect of
concept about power, they are somewhat agreed to share the power. As far as information
sharing with lower rungs is concerned, they are very positive.
As far as clarity is concerned, the executives are somewhat agreed i.e., neutral. The aspect
wise percentage analysis leads to the conclusion that the organization is somewhat ready for
employee empowerment because the majority of the Executives in almost all aspects are
concentrated in somewhat ready group
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APPENDIX
QUESTIONNAIRE
CONSOLIDATED ANALYSIS
MAPPING OBJECTIVES
90
QUESTIONNAIRE
5)Is it necessary that the organization should take up the programmers for welfare
programs?
6) When You Feel stress, who will help you to overcome the stress?
10) Do you setup reasonable and attainable goals when you have a large project to
computer?
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a) Agree b) Strongly agree c) Disagree d) Strongly disagree ( )
11) Are you satisfied with the job at the work environment?
12) Are the sub-ordinates satisfied with the communication between you and them?
a) Agree b) Strongly agree c) Disagree d) Strongly disagree
13) Does organization provides you any assistance for non welfare related problems?a) Agree b) Strongly
agree c) Disagree d) Strongly disagree ( )
14) Do you feel you have enough skills to handle the responsibilities assigned to your role?
15) Do you feel introduction of stress management and its preventive actions in every
organization mandatory?
17) Are you accustomed to work under many supervisors for the same nature of work?
18) Do you feel to do your duty out of your commitment to job because of the fear of
survival?
19) Do you feel that working atmosphere is friendly in nature at your work place?
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20. Do you feel that you are having a good rapport with all your peers and superiors?
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MAPPING OBJECTIVES
Objective No 1 Analysis To Know The Present Welfare Activates In Tata Motors Ltd
6 Problems
1 To Setup Reasonable And Attainable Goals When You Have Large Project
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Do You Feel To Do Your Duty Out Your Commitment Because Of Fear Of
2 Servivor
1 When You Feel Stress Who Will Help You To Over Come Stress
6 Do Feel That Your Are Having Good Rapport With All Your Supirior
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BIBLIOGRAPHY
JOURNALS
● Economic discussions
● Cario University
Websites:
1. http://www.themanagementor.com
2. http://www.tatamotors.com
3. http//www.hr.com
4. http:// www.autoindia.com
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