“Effects of non implementation of HR Practices in an

organization”

Submitted by

Ms. Kalyani Raje

MHRDM - SemV Roll No. 73

Under the Guidance of

Name of the Guide: ‘Prof. L. I. Rebello’

In partial Fulfillment of

MHRDM course

University of Mumbai

( 2009-2012)

Prin.L.N.Welingkar Institute of Management Development & Research

Matunga, Mumbai – 400 019

CERTIFICATE FROM GUIDE

This is to certify that the project entitled “EFFECTS OF NON

IMPLEMENTATION OF HR PRACTICES IN AN ORGANIZATION”

is successfully done by Ms. Kalyani Raje during the Third year of her

course in partial fulfillment of the Master Degree in Management under

the University of Mumbai through the Prin.L. N. Welingkar Institute of

Management Development & Research, Matunga, Mumbai-400019.

This project represents the work done by Ms. Kalyani Raje

This project in general is done under my guidance.

Date : ______________ Signature of the Project Guide

Name of the Project Guide :

Address :

Tel.No./ Mobile No.:

Email ID :

ACKNOWLEDGEMENT

Apart from my efforts, the success of any project depends largely on the encouragement

and guidelines of many others. I take this opportunity to express my gratitude to the people

who have been instrumental in the successful completion of this project.

I would like to show my greatest appreciation to Prof. Rebello. I can’t say thank you

enough for his tremendous support and help. I feel motivated and encouraged every time I

attend his meeting. Without his encouragement and guidance this project would not have

materialized.

The guidance and support received from all the members, my colleagues, friends,

employees from different industries, who contributed and who are contributing to this

project, was vital for the success of the project. I am grateful for their constant support and

help

CONTENTSSr. No. Topics

1 Primary objective of the Project

1.1 Scope of the Project

2 Research Methodology

2.1 Universe

2.2 Sample of the Study

2.3 Tools of data collection

2.4 Limitations of the Study

3 Introduction to the Real Estate industry

4 Introduction to Shapoorji Pallonji & Co. Ltd.

4.1 Company Values

4.2 Mission Statement

4.3 Achieving the Mission

4.4 Quality Policy

4.5 Organization Chart

5 Introduction to HR Practices in an organization

5.1 HR and Performance Appraisal

5.2 HR and Training & Development

5.3 HR and Employee Engagement

6 Facts and Findings and Analysis & Interpretation

7 Conclusion

8 Annexure

9 Suggestions

10 Bibiliography

PRIMARY OBJECTIVE OF THE PROJECT

The main objective of the study, undertaken by the researcher for this project report is to

find out how proper implementation of HR Practices helps in increasing motivation level.

SCOPE OF THE PROJECT

By its very nature the scope of this project was very large. The project report made by the

researcher will mainly be helpful for the following:

A detailed analysis of HR Practices in Real Estate sector

Collection of data based on employee survey

Identifying major areas for improvement of HR Practices

Suggesting measures for improvement/ implementation of HR Practices

RESEARCH METHODOLOGY

UNIVERSE:

The universe comprises of Shapoorji Pallonji & Co. Ltd.

SAMPLE OF THE STUDY:

The sample size refers to the number of items to be selected from the universe to constitute

a sample. The sample size used for the study includes 30 employees from different

departments/functions and roles/positions of Shapoorji Pallonji & Co. Ltd.

Employees of Shapoorji Pallonji & Co. Ltd. were chosen for gaining a clear picture about

the HR Practices in the organization.

TOOLS OF DATA COLLECTION:

Primary data and secondary data has been used for the project.

Primary Data: Primary source is a term used in a number of disciplines to describe source material that is closest to the person, information, period, or idea being studied.

A primary source (also called original source or evidence) is an artifact, a document, a recording, or other source of information that was created at the time under study. It serves as an original source of information about the topic.

The primary data, which has been used to carry out this study, are as follows:

The Questionnaire

Questionnaire: A questionnaire is a research instrument consisting of a series of questions

and other prompts for the purpose of gathering information from respondents.

Secondary Data: Secondary data is data collected by someone other than the user.

Common sources of secondary data for social science include censuses, surveys,

organizational records and data collected through qualitative methodologies or qualitative

research.

Journals

Books

Websites

Observation records

Research related documents

LIMITATIONS

Like any other thing, this study also suffers from a few limitations, while conducting this

research, some are listed as below:

Considering the short time duration for the research, researcher could not make an in-

depth study of all HR practices.

This study may be subject to personal biases of the employees while giving their

reactions about the HR Practices.

The data for evaluation of end results of non-implementation of some HR practices

were made available for only 30 employees.

INTRODUCTION TO THE INDIAN REAL ESTATE

INDUSTRY

With around 1.1 billion people, India is the second most populous country after China and it is expected to overtake it by 2030. Its economic transformation over the past decade has pushed up real GDP growth to an average of 6 per cent per annum since 1992.

India is emerging as an important business location, particularly in the services sector. Its favorable demographics and strong economic growth make the country an attractive place for property investors, given that demand for property is determined chiefly by business development and demographic trends.

Historically, the real estate sector in India was unorganized and characterized by various factors that impeded organized dealing, such as the absence of a centralized title registry providing title guarantee, lack of uniformity in local laws and their application, non-availability of bank financing, high interest rates and transfer taxes, and the lack of transparency in transaction values.

In recent years however, the real estate sector in India has exhibited a trend towards greater organization and transparency, accompanied by various regulatory reforms. These reforms include:

• Government of India support to the repeal of the Urban Land Ceiling Act, with nine state governments having already repealed the Act

• Modifications in the Rent Control Act to provide greater protection to homeowners wishing to rent out their properties

• Rationalization of property taxes in a number of states

• The proposed computerization of land records

The trend towards greater organization and transparency has contributed to the development of reliable indicators of value and the organized investment in the real estate sector by domestic and international financial institutions, and has also resulted in the greater availability of financing for real estate developers. Regulatory changes permitting foreign investment are expected to further increase investment in the Indian real estate sector. The nature of demand is also changing, with heightened consumer expectations that are influenced by higher disposable incomes, increased globalization and the introduction of new real estate products and services.

Demand Drivers :

These trends have benefited from the substantial recent growth in the Indian economy, which has stimulated demand for land and developed real estate across the real estate industry. Demand for residential, commercial and retail real estate is rising throughout India, accompanied by increased demand for hotel accommodation and improved infrastructure.

Additionally, the tax and other benefits applicable to Seas are expected to result in a new source of real estate demand.

Res i d e ntial Real E state D evelopment :

The growth in the residential real estate market in India has been largely driven by rising disposable incomes, a rapidly growing middle class, low interest rates, fiscal incentives on both interest and principal payments for housing loans, heightened customer expectations, as well as increased urbanization and growing number of nuclear families.

According to National Council of Applied Economic Research (NCAER), income classes with annual incomes between Rs. 2 million and Rs. 5 million per year, Rs. 5 million and Rs. 10 million per year, and in excess of Rs. 10 million per year are expected to increase in size by 23 per cent, 25 per cent and 28 per cent, respectively, from fiscal 2005 to fiscal 2011. These higher income households are expected to be the target customers for the luxury and super luxury residential developments.

The residential sector is expected to continue to demonstrate robust growth over the next five years, assisted by the rising penetration of housing finance and favorable tax incentives.

Com m ercial R e al Estate D ev elopment

The recent growth of the commercial real estate sector in India has been fuelled by increased revenues of companies in the services business, particularly in the IT and ITES sectors. Industry sources expect the IT and ITES sectors to continue to grow and generate additional employment, which they expect will result in increased demand for commercial space.

Within the IT and ITES sectors, the Indian off shoring operations of multinational companies are expected to increase demand for commercial space. The trend for these companies has been to set up world class business centers to house their growing work force. India continues to lead the AT Kearney Offshore Location Attractiveness Index by a significant margin.

Retail Real Estate Development

The organized retail segment in India is expected to grow at a rate of 25 per cent to 30 per cent over the next five fiscal years. The growth of organized retail is expected to be driven by demographic factors, increasing disposable incomes, changes in shopping habits, the entry of international retailers into the market and the growing number of retail malls.

The major organized retailers in India currently include Tata-Trent, Pantaloon, Shopper’s Stop and the RPG Group. While organized retail has so far been limited to larger cities in the country, retailers have announced major expansion plans in smaller cities and towns. The growth of organized retail in India will also be affected by the reported entry into the sector of major business groups such as Reliance, Bennett & Coleman, Hindustan Lever, Hero Group and Bharti. International retailers such as Metro, Shoprite, Lifestyle and Dairy Farm International have already commenced operations in the country.

Hospitality Indus t ry

The hotel industry in India has grown as a result of a growing economy, increased business travel and tourism.

Further, investments in the premium segment of the hotel industry are expected to be between Rs. 20 billion and Rs. 23 billion in the aggregate over the next five years.

According to an industry report, the majority of segments in the Indian hotel industry have shown robust recent growth in room rates as well as occupancy rates. With increased demand and limited availability of quality accommodation, the average room rates in metropolitan markets have grown by approximately 50 per cent over the last two years, the exceptions being Bangalore, where the rates have more than doubled, and Kolkata, where they have risen only marginally notwithstanding strong growth in occupancy rates. The general increase in room rates and occupancy rates is expected to contribute significantly to the demand for new hotel developments.

Special Economic Zones (S E Z)

SEZs are specifically delineated duty free enclaves deemed to be foreign territories for purposes of Indian custom controls, duties and tariffs. There are three main types of SEZs: integrated SEZs, which may consist of a number of industries; services SEZs, which may operate across a range of defined services; and sector specific SEZs, which focus on one particular industry line. Regulatory approvals have been received for SEZs proposed to be developed by a number of developers. SEZs, by virtue of their size, are expected to be a significant new source of real estate demand.

Infrastructure Development Projects

Central and state governments in India are increasingly focused on infrastructure development. A significant portion of infrastructure development is expected to be undertaken through public-private partnerships, thereby increasing the flow of private capital into infrastructure projects. Key areas of infrastructure development include transport, power, telecommunications, ports, pipelines, sanitation, water supply and irrigation.

Applying this average to the biggest urban agglomeration areas in the country, it follows that in 2030 Mumbai will have a population of roughly 35 million and Kolkata and Delhi just under 30 million in 2030. This could still be considered a conservative estimate as it puts urbanisation in India then only at China’s level today. Assuming that the growth of India’s industrial activity and high-end services grow at an above-average pace, the rural exodus could speed up sharply, similar to the development in China.

There are two clear outcomes following from this. Firstly, India’s cities must gear up to a dramatic increase in size. Their infrastructure (schools, roads, airports, seaports etc.) and housing capacities will need to expand massively. Secondly, the accelerated rate in urbanization throws into particularly sharp focus the possibility that established centers

(i.e. Tier I cities) are already straining the limits of their capacities, leading to above average expansion in the second-tier cities.

The most important office locations are in the Central Business Districts (CBD). It has only been in the last few years, as space has become more limited in the CBDs and new higher quality offices with lower prices have been built in peripheral locations that demand has shifted from downtown areas out to the new locations called Secondary Business Districts (SBD). Most recently, additional development areas, with a mixture of office, retail and residential, have been built. Just like other global locations, the most important locational factors are the availability of staff, ease of access by car and public transport and regional growth potential. In Indian cities it is also important to access the technical infrastructure provision (e.g. electricity, telephones and water supply) to ensure that it meets requirements.

The most transparent and liquid office markets are that of Delhi, Mumbai and Bangalore. It is worth noting, however, the enormous potential of the growing markets in the Tier II and Tier III cities, such as Pune, Hyderabad or Chennai.

INTRODUCTION TO SHAPOORJI PALLONJI & CO. LTD.

140 years ago Mumbai was largely an uninhabited cluster of islands. To fulfill the water supply needs of the city a reservoir was built, in t he famous Malabar Hills. Not only did the reservoir sustain the needs of Mumbai for the next 100 years, it also witnessed the growth of Mumbai as the Commercial Capital of India.

The reservoir was built by a company called Littlewood Pallonji & Co., which today is Shapoorji Pallonji Co. & Ltd. one of the leading construction giants in India and abroad.

Over the next hundred years, the company’s expertise has been repeatedly showcased on projects which involved a major advance in construction technology or whose size was beyond the capacity of most others. Blessed with a rich legacy and heritage, it has marched into the new millennium with modern management skills, state-of-the-art technology and the ideals of innovation and customer satisfaction.

Over time, Shapoorji Pallonji has built diverse civil and structural engineering masterpieces like factories, nuclear research establishments, nuclear waste handling establishments, scientific and research establishments, stadia and auditoria, airports, hotels, hospitals, giant skyscrapers, housing complexes, townships, water treatment plants, roads, expressways, power plants and biotech facilities.

When the Sultan of Oman decided to build a palace around his throne, he placed his trust in Shapoorji Pallonji.

Shapoorji Pallonji & Co. Ltd. is just one of the jewels in the SP Group's crown. It synergises well with other group companies to be able to execute turnkey projects swiftly and efficiently. These include SP Fabricators, AFCONS, Forbes, Sterling and Wilson, SP Construction Materials Group, SP Real Estate and Samalpatti Power Company Private Limited. Together, this conglomerate continues to strive towards safety, quality and commitment virtues.

Shapoorji Pallonji has emerged as one of the most quality and safety conscious construction companies. With over 3000 dedicated and qualified engineers employed by the

organization, it's not hard to imagine why Shapoorji Pallonji is:

The oldest Indian construction company with a legacy of more than 140 years.

The first Indian construction company to enter the Middle East in the 1970’s.

The first Indian construction company to have earned the ISO 9001 Certification across all projects.

The first Indian company to construct two, sixty-storey residential towers in the heart of Mumbai.

Today, as Shapoorji Pallonji moves towards a new chapter of progress, it will continue to undertake and accomplish projects that will stand as proud testimony to their times.

Corporate Values

A. Core Values

Trust and reliability Nurture people Adaptive and agile

B. Work Values

Quality Safety Innovation

C. Service Values

Relationship with stakeholders Synergy to enhance group value Environment and social responsibility

Mission Statement

“Shapoorji Pallonji & Company Co. Ltd. will be the company of first choice in the construction industry. We shall be driven by our commitment to customer satisfaction.”

Achieving this Mission

The fact that the large number of exacting clients repeatedly seek out Shapoorji Pallonji every time a major construction need arises, is proof of quality and customer satisfaction. Tata Motors, TISCO, Tata Consultancy Services, Birla, Skoda, Volvo, Coca Cola, Wipro, ICICI, Reserve Bank of India, IBM, Dell, LG, Bank of India, The American Business Schools are just few of its repeat clients.

Quality Policy

We are committed to meet the expectations of our customers, through our well-designed and established service delivery system, that is sensitive and accommodative to continuous technology up gradation and value analysis. We shall continuously strive to improve the effectiveness of our quality system.

About SP Group

About a century and a half ago, a giant water reservoir was built on the famous Malabar Hills, in an Indian city then named Bombay – by a company called Littlewood Pallonji & Company.

Over time, that company has grown to become the Shapoorji Pallonji Group of Companies, evolving into a massive conglomerate, with a global footprint, spanning verticals like construction, real estate, infrastructure and water. Shapoorji Pallonji is the name behind some of the most iconic buildings and structures that dot the architectural landscape of India. The creme de la creme of manufacturing, services and other industries have reposed their faith in Shapoorji Pallonji to deliver world-class quality consistently and unfailingly.

The Shapoorji Pallonji Group is a dynamic enterprise which draws vital support from its various individual entities to be able to execute turnkey projects, swiftly and efficiently. Along with the flagship company Shapoorji Pallonji & Company Limited (specializing in Construction, Design & Build and EPC), the other luminaries who give the SP Group its tremendous strength and capability are:

SP Real Estate Development of Luxury Apartments, IT / ITeS SEZs, Affordable Housing, Retail, Hospitality, Commercial, Leasing and Consulting

SP Infrastructure Ports, Power Plants, Highways, Tollways

SP RoadsJammu Udhampur Highway …

SP Fabricators

Engineered Facades, Cladding, Architectural Coatings

SP Construction Materials Pre-Engineered Buildings, Interiors, Access

Flooring

Afcons Infrastructure Marine Works, Roads, Bridges, Tunnels, Pipelines, Specialist Foundation Works – Piling, Drilling, Grouting

Eureka Forbes Air and Water Purifiers, Security Systems

Forbes & Company Engineering (Precision Tools, Steam Turbines and Blowers), Shipping (Container Transportation, NVO Container Carrier), Logistics (sea and air freight, customs clearance, bonding, Warehousing and multi-modal transportation), Transaction Management & Business Automation (Currency Counting machines, Rural ATMs, Electronic Stamping and Electronic Franking Networks)

Sterling & Wilson Mechanical Engineering & Plumbing Services, HVAC, Firefighting, DG Sets and Panels Manufacturing Transmission Lines

Samalpatti Power

Power generation ( a diesel-fired plant )

ORGANIZATION CHART

INTRODUCTION TO HR PRACTICES IN AN ORGANIZATION

Human Resources (HR) is an essential component of successful start ups and businesses. HR practices have the capacity to align with business objectives and to positively impact employee satisfaction and, ultimately, their work capacity. "An increasing body of work contains the argument that the use of High Performance Work Practices, including comprehensive employee recruitment and selection procedures, incentive compensation and performance management systems, and extensive employee involvement and training, can improve the knowledge, skills and abilities of a firm's current and potential employees, increase their motivation, reduce shirking and enhance retention of quality employees". It can be concluded from this statement that appropriate HR practices do have positive effects, such as increased knowledge, skills and abilities that would lead to increased productivity.

Additionally, HR has the capacity to augment the overall company performance. The last quote demonstrates how HR practices contribute to increased employee performance and, as a result, how proper HR practices can also lead to increased business and financial performance. Companies are always looking to take advantage of the latest innovations in technology and by implementing strategic HR from the beginning, start ups can gain a competitive edge through small business innovation. "In both, largely theoretical literature and the emerging conventional wisdom among human resource professionals there is a growing consensus that organizational human resource policies can, if properly configured, provide a direct and economically significant contribution to firm performance." While this statement is theoretical, the only reason it hasn't been proved with concrete data is because the effects of HR practices are often very difficult to measure. One thing is certain, recruitment is a central HR practice and recruiting and retaining the best employees is sure to have a positive effect on overall employee performance, as well as the company's financial performance. Consider the emphasis that start up companies like Facebook, JetBlue Airways and many other companies put on recruiting and retaining the right employees from the beginning. It is obvious that this HR strategy is crucial to a successful business. Skilled and motivated people are central to the operations of any company that wishes to flourish in the new age." This statement further states the importance of HR practices, especially recruiting, retaining and maintaining employee engagement.

In the top firms, there is an apparent link between HR and organization strategy. This link, known as -"Strategic HR," states that everything in a company communicates, including compensation, benefits, recruitment, and policies. HR makes sure that all of these different areas link back to the overall values of the company and the business strategy. Getting the right employees on-board, training them, and guiding them on a career path to success is central to strategic HR. "In short, people are the key strategic resource, and strategy must be built on human-resource foundation."

Training and development are other HR practices that tie closely to the organizational strategy. Most start ups aspire to grow and to have sustained success through generations. A large part of creating and maintaining this success is due to developing employees into the future leaders of the business. Several influential experts describe the value of the employees by stating, "Access to machinery and equipment is not what differentiates companies from one another. The ability to use it effectively does. A company that lost all of its equipment, but kept the skills and knowledge of its workforce could be back in business relatively quickly. A company that has lost its workforce, while keeping its equipment, will never recover."

In conclusion, the prior examples clearly define the key objectives of HR and demonstrate that there is a defined method behind everything that HR does. "A major barrier to success in today's environment is the managers' outdated comprehension of strategy: "At the heart of the problem is a failure to recognize that although the past three decades have brought dramatic changes in both external strategic imperative and internal strategic imperative, many companies continue to have outmoded strategic perspectives." Entrepreneurs that implement proper HR practices when starting their business will likely gain a competitive edge over their competitors.

HR and Performance Appraisal

A performance appraisal, employee appraisal, performance review, or (career) development discussion is a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost, and time) typically by the corresponding manager or supervisor. A performance appraisal is a part of guiding and managing career development. It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization. Performance appraisal is an analysis of an employee's recent successes and failures, personal strengths and weaknesses, and suitability for promotion or further training. It is also the judgement of an employee's performance in a job based on considerations other than productivity alone.

Generally, the aims of a performance appraisal are to:

Give employees feedback on performance Identify employee training needs

Document criteria used to allocate organizational rewards

Form a basis for personnel decisions: salary increases, promotions, disciplinary actions, bonuses, etc.

Provide the opportunity for organizational diagnosis and development

Facilitate communication between employee and employer

Validate selection techniques and human resource policies to meet federal Equal Employment Opportunity requirements.

To improve performance through counseling, coaching and development.

A common approach to assessing performance is to use a numerical or scalar rating system whereby managers are asked to score an individual against a number of objectives/attributes. In some companies, employees receive assessments from their manager, peers, subordinates, and customers, while also performing a self assessment. This is known as a 360-degree appraisal and forms good communication patterns.

The most popular methods used in the performance appraisal process include the following:

Management by objectives 360-degree appraisal

Behavioral observation scale

Behaviorally anchored rating scales

HR and Training and Development

In the field of human resource management, training and development is the field which is concerned with organizational activity aimed at bettering the performance of individuals and groups in organizational settings. It has been known by several names, including employee development, human resource development, and learning and development.

Training and development encompasses three main activities: training, education, and development.

Training : This activity is both focused upon, and evaluated against, the job that an individual currently holds.

Education : This activity focuses upon the jobs that an individual may potentially hold in the future, and is evaluated against those jobs.

Development : This activity focuses upon the activities that the organization employing the individual, or that the individual is part of, may partake in the future, and is almost impossible to evaluate.

Talent development, part of human resource development, is the process of changing an organization, its employees, its stakeholders, and groups of people within it, using planned and unplanned learning, in order to achieve and maintain a competitive advantage for the organization.

While talent development is reserved for the top management it is becoming increasingly clear that career development is necessary for the retention of any employee, no matter what their level in the company. Research has shown that some type of career path is necessary for job satisfaction and hence job retention. Perhaps organizations need to include this area in their overview of employee satisfaction.

The term talent development is becoming increasingly popular in several organizations, as companies are now moving from the traditional term training and development. Talent development encompasses a variety of components such as training, career development, career management, and organizational development, and training and development. It is expected that during the 21st century more companies will begin to use more integrated terms such as talent development.

HR and Employee Engagement

Employee engagement, also called worker engagement, is a business management concept. An "engaged employee" is one who is fully involved in, and enthusiastic about their work, and thus will act in a way that furthers their organization's interests. "Employee Engagement is a measurable degree of an employee's positive or negative emotional attachment to their job, colleagues and organization which profoundly influences their willingness to learn and perform at work". Thus engagement is distinctively different from employee satisfaction, motivation and organizational culture.

Employee Engagement is the extent to which employee commitment, both emotional and intellectual, exists relative to accomplishing the work, mission, and vision of the organization. Engagement can be seen as a heightened level of ownership where each employee wants to do whatever they can for the benefit of their internal and external customers, and for the success of the organization as a whole.

Engaged employees care about the future of the company and are willing to invest discretionary effort. Engaged employees feel a strong emotional bond to the organization that employs them, which results in higher retention levels and productivity levels and lower absenteeism. When reliably measured, positive employee engagement can be causally related or correlated to specific positive business outcomes by workgroup.

FACTS AND FINDINGS

AND

ANALYSIS & INTERPRETATION

An analysis of non – implementation of HR practices with the help of Questionnaire

The data collected for the research was primary data based on the questionnaire adopted

for the purpose of the research. The response of the employees has to be recorded in a

descriptive manner as they happen to be unique. The data dealt with the analysis of

different HR practices show that most of the employees are satisfied with the current

working condition of the organization, the work environment is centralized, regular

performance review is conducted and there is a need for a structured orientation program

for the employees. The data in the charts are supplemented by questionnaires that have

been included in the annexure.

The analysis shows that 73% of employees are satisfied with the working condition of the environment.

The analysis shows that 50% of employees feel that management always goes out of their way to make sure employees enjoy their work. However, 30% feel that it is sometimes that management makes that effort.

13% of employees feel that management rarely goes out of its way and 7% feels that management never goes out of their way.

The company provides a lot of scope for innovation as 67% of employees feel that they are encouraged to try mew methods and ideas.

The analysis shows that even though there is a lot of scope for innovation the work environment is still centralized as the subordinates require prior approval from their supervisors.

60% of the employees feel that the communication is not effective with regards to their future work prospects, success and failure of the company.

The employees feel that the appraisal system should be made more interactive and

inputs should be taken at the time of self appraisal. 73% of employees feel that they

would like to give their opinions and suggestions to improve their performance.

The analysis shows that 77% of employees are not satisfied with the Rewards and Recognition program of the company and only 23% are satisfied with it.

The analysis reveals that 80% of the employees feel that the Rewards and Recognition in the organization is not fair.

The analysis shows that 63% of employees feel that the organization is not successful in distinguishing the employees with weak performance from the employees with good performance.

The analysis shows that regular performance review is being conducted for 67% of the employees.

The analysis shows that 80% of employees believe that irregular performance review decreases their motivation level

87% of the employees are satisfied with the pay for performance policy

The analysis reveals that the employee relations in the organization is very effective as 80% employees are satisfied with the assistance provided to them in case there is any personal issue that impacts their performance

The analysis reveals that there is no induction program in the company.

The analysis reveals that 93% of the employees feel that a structured program would have helped them with a better insight about the organization. However, 7 % of employees feel that it would have not made any difference.

The analysis shows that company pays a lot of attention on Training & Development as 73% agree that employees are encouraged to take up training.

The analysis shows that supervisors are regularly sent for training programs.

The analysis shows that 57% of employees are not up to date about the compensation package of peers in the industry. 20% feel that they are paid fairly and 23% are dissatisfied with their remuneration when compared to peer group.

67% of employees are dissatisfied with their compensation and feels that there is

disparity among the peer group within the organization.

CONCLUSION

To conclude, data highlights certain strengths and weaknesses of the non – implementation

of HR Practices at Shapoorji Pallonji & Co. Ltd. Some of the major strengths and

weaknesses are listed below:

STRENGTHS:

Management goes out of their way to let employees enjoy their work.

Employees are encouraged to try innovative methods and ideas.

The performance of employees is regularly evaluated.

The organization has a strong pay for performance policy.

The organization extends help to employees in case personal issues adversely

impact their work performance.

Superiors of the organization receive regular training.

WEAKNESSES:

The communication channel of the organization is weak

The Rewards and Recognition program is not just.

There is no induction program in the organization.

Employees are not satisfied with their compensation when compared to peer group

within the organization.

STRENGTHS SHOULD BE SUSTAINED AND WEAKNESSES TO BE MINIMISED

ANNEXURE

FEEDBACK FORM

Name:

Organization Name:

Designation:

Department:

Date of joining:

Work Culture & Work Environment

1. Are you satisfied with current working condition of your organization?

Yes No

2. Do you feel that management goes out of their way to make sure that employees

enjoy their work?

Always Sometimes Rarely Never

3. Are the employees encouraged to try new methods and ideas?

Yes No

4. Do you need to take approval from your supervisor to try new methods or ideas?

Yes No

5. Does company periodically communicate to the employee, issues related to

future work prospects, success and failure of the company?

Yes No

6. Are you encouraged to give your opinion or suggestion on how your performance

can be improved?

Yes No

Rewards and Recognition

7. Are you satisfied with the Rewards and recognition program of the company?

Yes No

8. Do you feel that the Rewards and Recognition given to the employees justify

their contribution?

Yes No

Performance Appraisal

9. Is the organization successful in distinguishing the employees with weak

performance from the employees with good performance?

Yes No

10. Is your performance evaluated on a regular basis?

Yes No

If the answer to question 10 is No, the answer question no. 11

11. Does it decrease your motivation level?

Yes No

12. Do you have a pay for performance policy that rewards good performing employees?

Yes No

Employee Relations

13. Is there a policy for assisting employees on personal issues that may affect

their performance?

Yes No

Training & Development

14. Does the organization have a new employee orientation program?

Yes No

If the answer to Question No. 14 is No, then answer Question No. 15

15. Would a structured orientation program help you to gain better understanding

about the organization?

Yes No

16. Are unskilled employees in your organization encouraged for the training?

Yes No

17. Do supervisors in your organization have regular training?

Yes No

Compensation

18. Are you paid fairly in comparison to your peer group in different companies

of the same sector?

Yes No Can't say

19. Are you paid fairly in comparison to your peer group within the organization?

Yes No Can't say

SUGGESTIONS

Company should work towards establishing better communication channels. They should adopt methods such as more frequent discussion between senior and subordinate. They should also aim towards establishing a Town Hall meet to address their employees.

Company should design a structured induction program which will acquaint the employees about the nature of business as well as different verticals of the organization.

Proper Grading should be done for salaries so that parity can be maintained and the same should be communicated to the employees with help of compensation policy.

Rewards and Recognition should be streamlined.

BIBLIOGRAPHYBooks

1. Teresa Brannick and William K Roche.- Business Research Method

2. C.K. Kothari- Research Methodology –Methods & Techniques – 2th Edition

3. Human Resource and Personnel Management –Aswathappa- 4th Edition

Websites

1. http://www.shapoorji.in/2. http://en.wikipedia.org/wiki/Performance_appraisal