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A STUDY ON EFFECTIVENESS OF EMPLOYEE STATE INSURANCE

ACTIVITIES AT GODREJ & BOYCE MFG. LTD, CHENNAI.

Submitted By

MS. R. SHUNMUGA PRIYA

(Reg. No. 1029233)

Of

Department of Management Studies

VELTECH MULTI TECH Dr.RANGARAJANDr.SAKUNTHALA

ENGINEERINGCOLLEGE

(ACCREDITED BY NBA & ISO 9001:2008 CERTIFIED INSTITUTION)

(Approved by AICTE, New Delhi & Affiliated to ANNA UNIVERSITY)

Avadi, Chennai-600 062

A PROJECT REPORT

Submitted To

Faculty of Management Studies

In Partial Fulfillment of the Requirement for the Award of the Degree of

MASTER OF BUSINESS ADMINISTRATION

ANNA UNIVERSITY OF TECHNOLOGY, CHENNAI 25

JUNE 2011


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TABLE OF CONTENTS

CHAPTER

NO

CONTENTS PAGE

NO

Abstract i

List of tables ii

List of charts iii

1

INTRODUCTION

1.1 Industry Profile 15

1.2 Company Profile 20

1.3 Product Profile 27

1.4 Objectives of the Study 32

1.5 Need of the Study 33

1.6 Scope for the study 341.7 Limitations 35

2LITERATURE SURVEY

2.1 Review of Literature 37

3

RESEARCH METHODOLOGY

3.1 Type of Project 42

3.2 Methods of data collection 45

3.3 Tools for Analysis 46

4

DATA ANALYSIS AND INTERPRETATION

4.1 Percentage Analysis 49

4.2 Chi square test 64

4.3 Weighted Average test 67

5

SUMMARY OF FINDINGS AND SUGGESTIONS

5.1 Summary of Findings 70

5.2 Suggestions & Recommendations 71

5.3 Conclusion 72

APPENDIXQuestionnaire 74

Bibliography 78


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ABSTRACT

A study on the effectiveness of Employees State Insurance Activities adopted

at GODREJ & BOYCE MFG. LTD has been undertaken to examine the various aspects ofEmployee State Insurance activities and its effectiveness to the employees. The study has

examined the awareness of employees about ESI benefits and the perception about ESI

scheme.

The study covers the period of 30 days and secondary data used in this study. Theprimary data collected from the respondents from 60 employees based on their experience in

the company. The sampling technique used in this study is convenience sampling which falls

under Non-probability sampling.

Data analysis has been done by percentage analysis and statistical tools such as Chi

square test and Weighted Average method to analyze and interpret the data. On the basis of thefindings of the study is deducted that employees are not very much aware of ESI scheme but

benefited through ESI benefits and also there is expectation of company initiative and

participation to improve the efficiency of providing ESI benefits.

i

LIST OF TABLES


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S. NO TITLE

PAGE

NO.

1 Table 4.1.1 Age classification of respondents 27

2 Table 4.1.2 Qualification of respondents 28

3 Table 4.1.3 Experience of respondents at GDREJ 29

4 Table 4.1.4 Awareness of employees about policies and

procedures

30

5 Table 4.1.5 Awareness of employees about ESI number 31

6 Table 4.1.6 Knowledge provided by the company about ESI 32

7 Table 4.1.7 Awareness of employees about ESI percentage 33

8 Table 4.1.8 Handover of ESI card and number without any delay 34

9 Table 4.1.9 Help provided by the ESI to employees and theirfamily

35

10 Table 4.1.10 Help provided by the ESI on time without delay 36

11 Table 4.1.11 Satisfaction with company participation and initiativeregarding ESI

37

12 Table 4.1.12 Satisfaction with local dispensary near to residenceand company

38

13 Table 4.1.13 Satisfaction of coverage of dependents 39

14 Table 4.1.14 Usefulness of ESI when unexpected things happen 40

15 Table 4.1.15Satisfaction of employees about ESI benefits 41

16 Table 4.2.1 Table of Expected frequencies

17 Table 4.3.1 Table of point weight benefits

i

LIST OF CHARTS

S. NO TITLE

PAGE

NO.

1 Chart 4.1.1Age classification of respondents 27


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2 Chart 4.1.2Qualification of respondents 28

3 Chart 4.1.3Experience of respondents at GDREJ 29

4 Chart 4.1.4 Awareness of employees about policies and procedures 30

5 Chart 4.1.5 Awareness of employees about ESI number 31

6 Chart 4.1.6 Knowledge provided by the company about ESI 32

7 Chart 4.1.7 Awareness of employees about ESI percentage 33

8 Chart 4.1.8 Handover of ESI card and number without any delay 34

9 Chart 4.1.9 Help provided by the ESI to employees and their family 35

10 Chart 4.1.10 Help provided by the ESI on time without delay 36

11 Chart 4.1.11 Satisfaction with company participation and initiative

regarding ESI

37

12 Chart 4.1.12 Satisfaction with local dispensary near to residence andcompany 38

13 Chart 4.1.13 Satisfaction of coverage of dependents 39

14 Chart 4.1.14 Usefulness of ESI when unexpected things happen 40

15 Chart 4.1.15Satisfaction of employees about ESI benefits 41

iii


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CHAPTER - 1

INTRODUCTION

HUMAN RESOURCE MANAGEMENT

Human resources are used to describe the individuals who make up the workforce of an

organisation, although it is applied in labour economics to, for example, business sectors oreven whole nations. Human resources is also the name of the function within an organisation

charged with the overall responsibility for implementing strategies and policies relating to the

management of individuals i.e., human resources. This function title is often abbreviated to theinitials HR.


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It is an science as well as an art It is interdisciplinary in nature It is relatively new

Objectives of HRM:

The following were the objectives of HRM

To make optimum utilisation of resources in the organisation To ensure that the organisation has the required number of staff To establish and maintain a sound organisation structure To reconcile personal and organisational goals To provide scope for the development of personnel To ensure that the employees have higher job satisfaction To provide scope for participation in decision making


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EMPLOYEES STATE INSURANCE

INTRODUCTION

Employees' State Insurance scheme is a self-financing social security and health

insurance scheme for Indian workers. For all regular employees earning less than ESICorporation, which oversees the provision of medical and other benefits to the employees,

through its large network of dispensaries and hospitals throughout India.

BENEFITS OF ESI

The employees registered under the scheme are entitled to medical treatment for

themselves and their dependants, unemployment cash benefit in certain contingencies

and maternity benefit in case of women employees. In case of employment-related disablement or death, there is provision for disablement benefit and a

family pension, respectively.

BENEFICIARIES OF ESI

ESI was started in India in 1948, initially for factory workers.[1]:1 It now provides social

security to employees from all industries, covering 12.5 million employees working with

about 400,000 employers. Total beneficiaries as of 2008-09 are above 50 million.[2]:13[3]

FACILITIES OF PROVIDING ESI

Outpatient medical facilities are available in 1398 ESI dispensaries, and through 1678

empanelled private medical practitioners. Inpatient care is available in 145 ESI Hospitalsand 42 Hospital annexes; a total of 19387 beds. In addition, several state government

hospitals also have beds for exclusive use of ESI Beneficiaries. Cash benefits can be

availed in any of 783 ESI centers located throughout India.[2]:13,16
http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-ccs-0http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-rep0809-1http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-rep0809-1http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-hindu-2http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-hindu-2http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-rep0809-1http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-rep0809-1http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-ccs-0http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-rep0809-1http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-hindu-2http://en.wikipedia.org/wiki/Employees'_State_Insurance#cite_note-rep0809-1


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Employee State Insurance Corporation, Delhi region

The scheme was implemented in Delhi on 24 February 1952. As on 31 March 2002 4.94

lac employees

and 5.65 lac insured persons are covered. The numbers of beneficiaries including insuredin Delhi are

21.95 lac. The scheme is administered through the regional office located at Delhi

Development

Authoritys Commercial-cum-office complex, Rajendra Bhawan, Rajendra Place, NewDelhi. The cash

benefits are disbursed through a network of 12 local offices. The medical care is

administered by the

corporation itself in the national capital territory of Delhi.

Employee State Insurance Act, [ESIC] 1948

The Employee State Insurance Act, [ESIC] 1948, is a piece of social welfare legislation

enacted primarily with the object of providing certain benefits to employees in case of

sickness, maternity and employment injury and also to make provision for certain othersmatters incidental thereto.

The Act in fact tries to attain the goal of socio-economic justice enshrined in the Directiveprinciples of state policy under part 4 of our constitution, in particular articles 41, 42 and

43 which enjoin the state to make effective provision for securing, the right to work, to

education and public assistance in cases of unemployment, old age, sickness anddisablement.


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The Employees State Insurance Act, 1948.

Introduction

The Employee State Insurance Act, [ESIC] 1948, is a piece of social welfare legislationenacted primarily with the object of providing certain benefits to employees in case of

sickness, maternity and employment injury and also to make provision for certain others

matters incidental thereto

The Beginning of the Act

The Employee State Insurance act was promulgated by the Parliament of India in the year1948. To begin with the ESIC scheme was initially launched on 2 February 1952 at just

two industrial centers in the country namely Kanpur and Delhi with a total coverage of

about 1.20 lac workers. There after the scheme was implemented in a phased manner

across the country with the active involvement of the state government.

Objectives of the Act

The main objective of the Act was to provide certain benefits to employees in case of

sickness, maternity & injured and providing other benefits in relation to the mainobjectives.

Nomination and Declaration Form:

Form 1 - Declaration and Nomination Form (New Joiner)

Those who are all joining in the establishment should be filled this form and it will submit

within 10 days


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Identity Card:

Temporary identity card (TIC) indicating the Insurance Number and family particularsalong with photograph affixed thereon will be issued to the employee immediately onsubmission of declaration form to Branch office to which the employer attached. The TIC

is valid for three months.

After three months, Permanent Identity Card (PIC) will be issued to the employee. If thePIC is not issued due to any reason after 3 months, TIC will be revalidated for another 3

months by Branch Manager.

TIC will entitle the insured person and family to avail medical facilities for three months or

till the extended period

Contribution for ESI:

Employee Contribution 1.75 % of Gross Salary.

Employer Contribution 4.75 % of Gross Salary.

Transfer:

When Employees are transfer from one Company to another company. To be change Sub-

Code number in PIC.

Authority for certifying eligibility of claimants:

The authority which is to certify the eligibility of claimants shall be the appropriate Local

office, in respect of sickness, maternity, temporary disablement and funeral benefits and the

appropriate Regional Office, in respect of permanent disablement and dependants benefits.

Wage Ceiling:

Wage ceiling for ESI coverage is Rs.15000/-.pm


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Benefits:

1. In the case of sickness benefit, not later than 5 days.

2. In the case of funeral expenses not later than 15 days.

3. In the case of the first payment in respect of maternity benefit, not later than 14days.

4. In the case of the first payment in respect of temporary disablement benefit, not

later than one month.5. In the case of first payment of permanent disablement benefit, not later than one

month.

6. In the case of first payment of Dependants benefit, not later than three months.

Benefits:

1. Sickness Benefit.2. Maternity Benefit.

3. Disablement Benefit.

4. Dependent Benefit.

1. Sickness Benefit:

The maximum duration of Sickness Benefit is 91 days in two consecutive benefit periods.

There is a waiting period of 2 days which is waived if the insured person is certified sick

within 15 days of the spell for which sickness benefit was last paid. The sickness benefitrate is roughly equivalent to 50% of the average daily wages of the insured person.

Extended Sickness Benefit

After exhausting the Sickness Benefit payable up to 91 days, an insured person if suffering

from Tuberculosis/Leprosy, mental and malignant diseases or any other specified long-termdisease, he is entitled to Extended Sickness Benefit at a higher cash benefit rate of about

70% of average daily wage for a period of two years.

Eligibility

To eligibility for sickness benefit, the contribution should have been paid or payable for 78days in the corresponding contribution period.


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Claim

An Insured Person to claim sickness benefit has to submit a Forms 12, 13 & 14 in

appropriate branch office. Sickness benefit can be made by the medical certificate issuedby the medical officer.

2. Maternity benefits (Sec 50):

Maternity benefit consists of periodical cash payments in case of confinement or

miscarriage or sickness arising out of pregnancy, confinement, premature birth of child or

miscarriage, to an insured woman as certified by a duly appointed medical officer or mid

wife.

Miscarriage

If contributions in respect of the insured woman were payable for not less than 70 days in

the two contribution periods immediately preceding the date of miscarriage, she will be

entitled to maternity benefit for all days on which she does not work for remuneration

during six weeks immediately following the date of miscarriage, at the maternity benefit

rate.

The period of 6 weeks for which maternity benefit is payable for miscarriage under the

above provision may be in one spell or more, but it must be within the range of 6 weeksfrom the date immediately following the date of miscarriage.

Duration

An insured woman is entitled to receive maternity benefit for confinement for a period of

12 weeks for all the days on which she does not work for remuneration.

An insured woman is entitled to maternity benefit for 12 consecutive weeks, providedfor

all the 84 days (12 weeks), she must not work for remuneration.

If she rejoins duty before the expiry of 12 weeks, maternity benefit must be stopped.However, if she again starts abstaining from work, maternity benefit can be resumed as a

fresh claim and paid for all the days falling within the range of 12 weeks.

No payment will be made for the days on which she worked for remuneration. But the said

days will be counted for the purpose of arriving at the total range of 84 days.


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Eligibility

For entitlement to maternity benefit, the insured woman should have contributed for not

less than seventy days in the immediately preceding two consecutive contribution

periods prior to actual or expected date of confinement as the case may be.

Hence, to be eligible to maternity benefit, a confinement should either actually occur or

should be expected to occur in a benefit period relative to the insured woman.

An insured woman who actually confines (or is expected to confine) on a date before the

start of her first benefit period, is not entitled to claim maternity benefit even though part of

the period of her maternity leave may fall within her first benefit period.

Conversely, if the insured woman's date of actual confinement (or expected confinement)falls within her first benefit period, she will be entitled to maternity benefit even if a part of

the period of her maternity leave may fall before the start of her first benefit period.

3. Disablement Benefit:

Two type of disablement benefit one is Temporary disablement benefit and another one ispermanent disablement benefit.

Temporary Disablement Benefit:

Temporary Disablement Benefit is payable to an employee who suffers from temporary

disability arising out of an employment injury or occupational disease for the period socertified by an Insurance Medical Officer / Practioner for which the insured person does

not work for wages.

Duration

Temporary disablement benefit is payable to insured person till his incapacity lasts or hisdisablement turns to permanent disablement. No benefit is payable at all if the temporary

disablement of the insured person lasts for only less than three days excluding the day of

accident. When a person sustains temporary disablement for not less than three days

excluding the day of accident, temporary disablement benefit is payable from the date of

commencement of temporary disablement. No absolute waiting days, as in the case of

sickness benefit are observed in the case of temporary disablement benefit.


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Eligibility:

There is no contributory condition attached to grant of temporary disablement benefit. The

mere factor for eligibility is that he should be an employee on the date of employment

injury. The insured person is eligible for TDB from the day one of his entering into the

insurable employment

The following are, however, the general conditions which should be satisfied by any person

claiming this benefit: -

The employment injury as defined underSection 2(8) should occur on or after the

appointed day. The injury should be sustained by an insured person while he is an "employee"

within the meaning ofSection 2(9).

Medical certificates to the effect that there is a condition requiring medical

treatment and rendering the employee, as a result of the injury, temporarily

incapable of work have to be furnished according to the provisions of the ESI

(General) Regulations.

The certificates should be furnished within the time limits laid down in Regulation

64.

The claim should be submitted on the appropriate form.

Permanent Disablement Benefit:

Permanent Disablement Benefit is paid to an insured person who suffers from permanent

disability as a result of an employment injury (including occupational disease), which

results in loss of earning capacity. . It is obligatory that an insured person must be anemployee under Section 2(9) of the ESI Act and also sustain employment injury.

Permanent Disablement Benefit has to be paid periodically to the insured person whose

permanent disablement has been assessed by the Medical Board. In order to assess the loss

of earning capacity sustained by the Insured Person due to employment injury the IP isrequired to be examined by the Medical Board.
http://esicoimbatore.org/info/employment_injury.htmhttp://esicoimbatore.org/info/def_yee.htmhttp://esicoimbatore.org/benefits/esic_tdb_eligibility.htm#%23http://esicoimbatore.org/benefits/esic_tdb_eligibility.htm#%23http://esicoimbatore.org/info/employment_injury.htmhttp://esicoimbatore.org/info/def_yee.htmhttp://esicoimbatore.org/benefits/esic_tdb_eligibility.htm#%23http://esicoimbatore.org/benefits/esic_tdb_eligibility.htm#%23


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4. Dependent Benefit:

Dependants' benefit consists of periodical payments to dependants of an insured person

who dies as a result of an employment injury sustained as an employee under the ESI Act.

Clause (6A) of Section 2 of the ESI Act says that a "dependant" means any of the relatives

of a deceased insured person, namely

a widow, a minor legitimate or adopted son, an unmarried legitimate or adopted

daughter or widowed mother

a legitimate or adopted son or daughter who has attained the age of eighteen years

and is infirm (if wholly dependent on the earnings of the insured person at the timeof his death)

a parent other than a widowed mother, if wholly or in part dependent on the

earnings of the insured person at the time of his death

a minor illegitimate son, an unmarried illegitimate daughter or a daughter legitimate

or adopted or illegitimate, if married and a minor or if widowed and a minor,

a minor brother or an unmarried sister or a widowed sister, if a minor,

a widowed daughter-in-law,

a minor child of a predeceased son,

a minor child of predeceased daughter where no parent of the child is alive, or

A paternal grand parent if no parent of the insured person is alive.

A claim for dependants' benefit may be submitted to the concerned Branch Office by eachdependant or jointly by all or by some of the dependants in Form18. Also the claim may

be made by the legal representative of a beneficiary or in case of a minor, by his guardian.

It must be attested by any of the competent authorities mentioned on the form and be

supported by documents for evidence.
http://esicoimbatore.org/forms/esic_form18.pdfhttp://esicoimbatore.org/forms/esic_form18.pdfhttp://esicoimbatore.org/benefits/esic_dependant_autho.htmhttp://esicoimbatore.org/benefits/esic_dependant_autho.htmhttp://esicoimbatore.org/benefits/esic_dependant_autho.htmhttp://esicoimbatore.org/forms/esic_form18.pdfhttp://esicoimbatore.org/benefits/esic_dependant_autho.htm


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Funeral Expenses:

Insured person has died, towards the expenditure on the funeral of the insured

person. At the time submit Form 25 (Reg. 76-A) to local office claim of the amount of

Rs.2500/- from the local office.

Standard Benefit Rate:

Average daily wages are Standard benefit rate (in Rs)

1. Below Rs.28Rs. 14 or full average daily wage

whichever is less

2. Rs.28 and above but below Rs. 32 16

3. Rs.32 and above but below Rs.36 18








11. Rs.76and above but below Rs.80 40




















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34. Rs.300 and above but below Rs. 310 15535. Rs.310 and above but below Rs. 320 160







42. Rs.380 and above 195

Other benefits

a. Vocational rehabilitationIn case of disabled insured persons under 45 years of age with 40% or more disablement.

b. Free supply ofphysical aids and appliances such as crutches, wheelchairs, spectaclesand other

such physical aids.

c. Preventive health cares services such as immunization, family welfare services,

HIV/AIDS

detection, treatment etc.

d. Medical bonus Rs250 is paid to an insured woman or in respect of the wife of an insured

person in

case she does not avail hospital facilities of the scheme for child delivery.17

1.1 INDUSTRY PROFILE


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INTRODUCTION

The Engineering sector is the largest in the overall industrial sectors in India. It is a

diverse industry with a number of segments, and can be broadly categorized into twosegments, namely,

Heavy engineering Light engineering

The engineering sector is relatively less fragmented at the top, as the competencies requiredare high, while it is highly fragmented at the lower end (e.g. unbranded transformers for the

retail segment) and is dominated by smaller players. The purpose of industrial engineering

is human effort engineering and systems efficiency engineering (Narayana Rao).

Heavy engineering

The engineering industry in India manufactures a wide range of products, with heavy

engineering goods accounting for bulk of the production. Most of the leading players areengaged in the production of heavy engineering goods and mainly produces high-value

products using high-end technology. Requirement of high level of capital investment poses

as a major entry barrier. Consequently, the small and unorganized firms have a small

market presence.

Light Engineering

The light engineering goods segment, on the other hand, uses medium to low-endtechnology. Entry barrier is low on account of the comparatively lower requirement of

capital and technology. This segment is characterized by the dominance of small and

unorganized players which manufacture low-value added products. However, there are fewmedium and large scale firms which manufacture high-value added products. This segment

is also characterized by small capacities and high level of competition among the players.

Parts of engineering industry with their respective functions


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Engineering industry comprises of chemical, civil, electrical, aeronautical industrial and

mechanical engineering divisions.

Civil engineering division basically concerned with the activities like planning,

construction, designing or manufacturing of structures.

The chemical industry is concerned with engineering industry like construction, designand operation of plants and machinery of chemical products like drugs, synthetic rubber

etc.

Electrical engineering primarily deals with all engineering activities like manufacturing of

devices for generation of electricity or designing devices for transmission of electricity.

This electrical engineering division is also concerned with the designing and manufacturing

of electronic devices including computers and it's accessories.

The mechanical engineering division specifically deals with designing and manufacturing

of power plants, engines or related devices and the industrial engineering is principally

concerned with the processing of production like laying out plants etc.

Engineering industry also comprise of fields like Aeronautical engineering, where

engineers supervise designing of aircraft, missiles etc.

Opportunities in engineering industry

The Engineering industry has an enormous potential of creating new jobs within the

industry. The job categories are primarily based on designing, manufacturing, installing,

repairing, packaging or selling engineering products. The other employment areas includeconstruction, building, mining, etc.

Engineering Industry in India


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Engineering Industries hold a significant position in Indian markets. Reasonably vast

ranges of engineering goods are produced in India targeted for both national andinternational markets.

1. Engineering industries are some of the most important industries of India after

Cotton Industry and Iron and Steel Industry.

2. India has taken a considerable leap in the manufacture of a variety of machinery

and equipment since the independence of the country.

3. Engineering industries produces the basic raw materials like foundry-grade ironspecial steels and alloys for further fabrication into a wide range of machine tools,

equipment and machinery

At a certain point India was wholly dependent on other countries for all kinds of refined

goods. Then the country started manufacturing articles in its own land. Even for this Indiahad to import the total machinery from overseas. But now, the situation has altered

extensively. The country now manufactures the entire machinery for textile, sugar, paper,

tea, cement, mining and petrochemical plants. The heavy engineering plant at Ranchihas

been designing and manufacturing enormous machines required for iron and steel industry.Reasonably vast ranges of engineering goods are produced not only for domestic but for

international market also.

Goods manufactured by the engineering industries of India are exported by other countries.

The major production of this industry includes machine tools that form the basis for themanufacture of industrial machinery, automobiles, defence equipment, railway engines and

electrical machinery. In India, the modern machine tool manufacturing factories started

after independence.

First large scale modern industry was established by the Government of India at

Bangalore. However, to some extent, India is not yet self sufficient in machine tools.Bangalore is the leading machine tools manufacturing centers in the country followed by

other centers like Kolkata, Mumbai. Ludhiana and Ranchi.

KEY ROLES OF ENGINEERING IN OTHER INDUSTIRES


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Heavy Industry

Electrical Industry

Machine Tools Industry

Mining Equipments

Heavy Electrical Industry

Petroleum Industry

Sugar Industry

Early Origins of Engineering

Even though there are centuries-old examples of early engineering practice and

accomplishments, such as the Pyramids, the Great Wall of China, and the Roman

construction projects, it was not until the eighteenth century that the first engineeringschools appeared in France.

The need for greater efficiency in the design and analysis of bridges, roads, and buildingsresulted in principles of early engineering concerned primarily with these topics being

taught first in military academies (military engineering). The application of these principles

to nonmilitary or civilian endeavors led to the term civil engineering. Interrelatedadvancements in the fields of physics and mathematics laid the groundwork for thedevelopment and application of mechanical principles.The need for improvements in the

design and analysis of materials and devices such as pumps and engines resulted in the

emergence ofmechanical engineering as a distinct field in the early nineteenth century.Similar circumstances, albeit for different technologies, can be ascribed to the emergence

and development ofelectrical engineeringand chemical engineering.

As has been the case with all these fields, industrialengineering alsodeveloped initially

from empirical evidence and understanding and then from research to develop a more

scientific base.

Empirical Roots and Early Thinkers


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The empirical roots of the profession date back to the Industrial Revolution, which began in

England during the mid-eighteenth century.

The concept of a production system, which lies at the core of modern industrial engineering

practice and research, had its genesis in the factories created as a result of innovations in

industrial revolution.

An early contributor to concepts that eventually became associated with industrialengineering was Charles Babbage. The findings that he made as a result of visits to

factories in England and the United States in the early 1800s were documented in his book

entitled On the Economy ofMachinery and Manufacturers.

Pioneers of Industrial Engineering

Frederick W. Taylor, the person who was given the honor being name founder of industrialengineering orFather ofIndustrial engineering.

Frederick Taylor,Frank Gilbreth and Harrington Emerson have to be given the principalcredit for giving birth to industrial engineering discipline. Taylor and Gilbreth worked in

the area of human effort engineering that promotes efficiency in production systems.

Emerson specifically worked on the efficiency dimension of systems.


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1.2 COMPANY PROFILE

GODREJ GROUP

The Godrej Group is one of the respected business houses of India. The group has diverse

business interests ranging from engineering to personal care products. Companies

operating under the Godrej Group are involved in a host of businesses - from locks and

safes to typewriters and word processors, from refrigerators and furniture to machine toolsand process equipment, from engineering workstations to cosmetics and detergents, from

edible oils and chemicals to agro products. Godrej Group is also well-known for its

philosophy and initiation of labour reforms.

The Godrej Group was established in 1897. Its founder, Ardeshir Godrej, was a staunch

nationalist and believed that India cannot win freedom unless it is economically self-reliant. Beginning with security equipment and soaps, the group diversified into a wide

variety of consumer goods and services

GODREJ GROUP COMPANIES

Godrej & Boyce Mfg. Co. Ltd

Godrej Consumer Products Ltd (GCPL

Godrej Industries Ltd

Geometric Software Solutions

Godrej Infotech

Godrej Agrovet

Godrej Sara Lee

Godrej Efacec

Godrej Properties and Investments Limited (G.P.I.L)

Major Achievements of Godrej Group:

In 1897, Godrej Introduced the first lock with lever technology in India. In 1902, Godrej made the first Indian safe.

In 1955, Godrej produced India's first indigenous typewriter

In 1989, Godrej became the first company to introduce PUF ( Polyurethane Foam)

Introduced India's first and only 100% CFC, HCFC, HFC free refrigerators


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GODREJ & BOYCE LTD

Godrej & Boyce ltd Company, an industrial company is the Flagship of Godrej Group andone of the largest privately held Industrial Corporations. It has manufacturing facilities in

all over India and Overseas. Annual turnover of the company is Rs.2218 Crores. It has 24

Branches & 43 Showrooms all over India and a family of 8,900 employees. Most

businesses are ISO9001, ISO14001 & OHSAS 18000 certified and Land area in Vikhroli 3200 acres

STRENGTHS

Strong Brand NameQuality

Good Reputation among customers

Service ManagementSupply Chain Management

Exclusive access to high grade Natural resources

Favorable access to distribution networksManagement

Employee

Innovative aspects

Financial reservesMarket leader

WEAKNESSESCost of product

Marketing

Employee Turnover ratioCentralization

OPPORTUNITIES

Industry of lifestyle trends

Competitors vulnerabilitiesMarket development

Technology development and developmentGlobal influences

New markets

Niches target marketBusiness product development

Information and research


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THREATS

Competitors intentionMarket demand

New Technologies, Services, Ideas

Obstacles faced

Loss of key staffSeasonality

Countrys economy

SUGGESTION

In Godrej & Boyce mfg. co ltd all work are centralized at H.O. so there is delay happened

in term of delivery of product.

In Godrej & Boyce mfg. co ltd I had observed that there is noDress code so mostly their

approach is informal and not in showing unity.

There is no certain fixed commission for dealer it is fluctuating.

Also there is no any specialized marketing department so they can not easily get

information about competitor, their strategies, market research, and product awareness.

Another I had seen that there is more employee turn over ratio compares to other

organization and it is break their link of selling.

Products which organization selling has too high cost with respect to competitors very fewindustries are showing interest in it.

ERP Software used by organization BAAN is not giving best result compare to SAP


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Godrej Storage Solutions Group

Godrej Storage Solutions Group one of the divisions of Godrej and Boyce Mfg. Co. Ltd.,

which is a 110 year old Rs.4000+ Crore business house, with interests varying from Locks,appliances to Storage & Warehousing equipments. 14 branches at major cities across thecountry, with a presence in overseas market. Market Leader with over 60 % Market share

in India

Turnover

65 Crores in 2004 -05

80 Crores in 2005 -06

112 Crores in 2007 -08

150 Crores in 2008-09

200 Crores in 2010.

Goods manufactured

Complete range of Storage Solutions/ Industrial Racks for storage needs Pallet Racking,

Mobile system, Heavy Duty, Mezzanine, Mutiflex, work Shop Equipment etc., Basically

horizontal and vertical steel structure which would consitute complete range of Industrialracking and sheveling solutions.

Customers from various sectors like

Pharma Automobile

Record Management

Retailing

Textile and

Other industry Segment


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Strength

1. Expertise gained over 50+ years of experience

2. World class manufacturing capabilities

3. Highly qualified design teams with up-to-date technology and project evolution skills

4. Over 5000 installations in the country - the largest in the country

5. India's largest network of Dealers and Branches.

HISTORY OF GODREJ

Established in 1897, the Godrej group has grown in India from the days of the charkha to

nights at the call centers. Our founder, Ardeshir Godrej, lawyer-turned-locksmith, was apersistent inventor and a strong visionary who could see the spark in the future. His

inventions, manufactured by his brother Pirojsha Godrej, were the foundation of todays

Godrej empire. One of Indias most trusted brand, Godrej enjoys the patronage and trust ofaround 500 million Indians every single day. Our customers mean the world to us. We are

happy only when we see a delighted customer smile.

With 7 major companies with interests in real estate, FMCG, industrial engineering,

appliances, furniture, security and agri care to name a few our turnover crosses 3.3billion dollars. You think of Godrej as such an integral part of India like the bhangara or

the kurta that you may be surprised to know that 25% of our business is done overseas.Our presence in more than 60 countries ensures that our customers are at home with Godrej

no matter where they go. With brands you can believe in, service excellence you can count

on and the promise of brighter living for every customer, Godrej knows what makes Indiatick today.

Today, we are at a point in Godrejs history when ouramazing past is meeting up with its spectacular future head on. Godrej is learning and

relishing being young again.


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EVOLUTION OF COMPANY

1897 - Godrej & Boyce Mfg. Co. Ltd was established

1918 - Godrej Soaps Limited was incorporated

1971- Godrej Agrovet Limited began as an Animal Feeds division of Godrej Soaps

1974 - Veg oils division in Wadala, Mumbai was acquired

1990 - Godrej Properties Limited, another subsidiary, was established

1991 - Foods business started

1991 - Godrej Agrovet Limited was incorporated

1994 - Transelektra Domestic Products was acquired

1995 - Transelektra forged a strategic alliance with Sara Lee USA

1999 - Transelektra was named Godrej Sara Lee Limited

2001 - Godrej Consumer Products was formed as a result of the demerger of Godrej Soaps

Limited. Godrej Soaps was renamed Godrej Industries Limited

2002 - Godrej Tea Limited was set up

2003 - We entered the BPO solutions and services space with Godrej Global SolutionsLimited


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2004 - Godrej HiCare Limited was set up to provide a Safe Healthy Environment to

customers by providing professional pest management services

2006 - The foods business was merged with Godrej Tea and Godrej Tea was renamed

Godrej Beverages & Foods Limited

2007 - Godrej Beverages & Foods Limited formed a JV with The Hershey Company ofNorth America and the company was renamed Godrej Hershey Foods & Beverages

Limited

2008 - Godrej relaunched itself with new colourful logo and a fresh identity music

1.3 PRODUCT PROFILE


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OFFICE AND CONSUMER PRODUCT GROUPS

1. INTERIO DIVISION

2. SECURITY EQUIPMENT DIVISION

3. LOCKS DIVISION

4. PRIMA DIVISION

5. STORAGE SOLUTIONS DIVISION

6. RETAILING DIVISION

1. Interio group

Home furniture

Office furniture

Marine solutions

Lab solutions

2. Security Equipment Division

Fire Doors

Godrej entranza Doors

Physical Security Products

Electronic Security Systems

Currency Handling System

3. Locks division

Padlocks

Furniture locks

Cylinder locks

Rim locks

Door locks

Ultra locks

Mortise locks

Multi point& electronic locks


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4. Prima division

Fax machines

Digital cameras

Conferencing Solutions

Multimedia projectors Video conferencing

5. Storage Solutions Group

Warehouse solutions

Shop floor solutions

Consultancy solutions

Document & record management solutions

6. Retailing

Lifespace is a One stop shop with a personal touch

43 exclusive stores across 19 citie

These stores sell a wide range of Godrej products catering to the needs of every

home and office.

Products displayed include:

Furniture

Refrigerators

Air Conditioners

Washing Machines

Security products

Locks & new dcor products


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Reactor Internals

High Pressure Vessels

Trays & Tower Internals

USLD / DHDS Reactors

High Pressure Thick walled reactor

Distillation / Fractionating Columns / Towers

High Pressure Shell & Tube Type heat Exchangers

Precision Engineering Systems

Inspection Bay

FM Bridge & Carriage

Drive Mechanism

Standpipe & Thimble Assembly

Fuel Transfer Shuttle Transport

Shuttle Transfer Station Assembly

Precision Components & Systems

Manufacturing & Supply of Sub-Assemblies to MRO segment.

Dish Antenna Systems for Remote Sensing & Satellite Tracking.

Ready-to-use Assemblies/Sub-Assemblies required by Aircraft, Launch Vehicles and

Satellite industries.

Manufacturing of Valves, Regulators and Actuators for Aircraft / Launch Vehicles /

Satellite Industries

Materials Handling Equipment Division

Tyre Handlers Access Equipment

All Terrain Trucks

Warehousing Products

HUBTECH Side loaders

Counter Balanced Trucks

Attachments & Accessories

Tennant Cleaning Equipment


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Allied Businesses

Construction

Electrical & Electronics

Construction

Business offerings

Ready Mix Concrete

Leasing of Existing Property

Environment Management Projects

Property Development & Project Management

Electrical & Electronic Services

Services Offerings

Provide all types of engineering services in the areas of:

Power Distribution Solutions Electronics Technology Solutions

Compressed air management solutions

Electrical Contracts

SUPPORT SERVICES

Corporate Finance

Personnel & Administration

Corporate Legal

Corporate Procurement


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1.4 OBJECTIVES OF THE STUDY

A study on effectiveness of Employee State Insurance activities

at GODREJ & BOYCE MFG CO LTD

PRIMARY OBJECTIVE

To study the effectiveness of ESI activities at GODREJ & BOYCE MFG COLTD.

SECONDARY OBJECTIVE

To know the awareness of ESI among the employees at GODREJ

To identify the functioning of ESI activities at GODREJ

To analyze the employees satisfaction level

To give suggestions for improving employee satisfaction through ESIactivities.


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1.5 NEED OF THE STUDY

Employee satisfaction is the key factor in organization development.

Employee State Insurance activities are the significant factor for employees satisfaction.Since it is necessary to know the awareness of employees about ESI benefits and its

undertakings in Godrej & Boyce co. ltd. There is a need to identify the place wherecompanys participation needed effectively to make employees to know about procedureand benefits. And also to know the employees perception regarding ESI activities adopted

at Godrej ltd. So it is necessary to conduct research in ESI activities to identify how

efficient and effectively it is followed.

1.6 SCOPE OF THE STUDY


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Godrej is the reputed company established in 1897 and there are 200 employees in it. And

through the study about ESI activities adopted at Godrej one can know the awareness ofemployees about ESI benefits. The research will be a platform for the future researches to

learn in depth about ESI activities.


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CHAPTER - 2

LITERATURE SURVEY


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2.1 REVIEW OF LITERATURE

DEFINITIONS

The term 'Employee' is defined underSection 2(9) as follows:

Any person employed for wages in or in connection with work of a factory or

establishment to which the Act applies.

In order to qualify to be an employee, under ESI Act, a person should belong to any of the

categories:

Those who are directly employed for wages by the Principal Employer within the

premises or outside in connection with work of the factory or establishment.

Those employed for wages by or through an immediate employer in the premises of

the factory or establishment in connection with the work thereof.

Those employed for wages by or through an immediate employer in connection

with the factory or establishment outside the premises of such factory or

establishment under the supervision and control of the Principal Employer or his

agent.

Employees whose services are temporarily lent or let on hire to the Principal

Employer by an immediate employer under a contract of service (employees of

Security Contractors, Labour Contractors, House keeping contractors etc., come

under this category).

Employees employed directly by the Principal Employer in any part, department,

branch situated in the same station or else where, in connection with administration

of the factory or establishment for purchase of raw materials, sale or distribution of

the products of the factory etc.

(4) "contribution" means the sum of money payable to the Corporation by the principalemployer in respect of an employee and includes any amount payable by or on behalf of

the employee in accordance with the provisions of this Act;


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(6A) "dependant" means any of the following relatives of a deceased insured person,namely :-

(i) a widow, a minor legitimate or adopted son, an unmarried legitimate or adopted5daughter;

6(ia) a widowed mother;

(ii) if wholly dependent on the earnings of the insured person at the time of his death, alegitimate or adopted son or daughter who has attained the age of eighteen years and is

infirm;

(iii) if wholly or in part dependent on the earnings of the insured person at the time of hisdeath, -

(a) a parent other than a widowed mother,

(b) a minor illegitimate son, an unmarried illegitimate daughter or a daughter legitimate or

adopted or illegitimate if married and a minor or if widowed and a minor,

(c) a minor brother or an unmarried sister or a widowed sister if a minor,

(d) a widowed daughter-in-law,

(e) a minor child of a pre-deceased son,

(f) a minor child of a pre-deceased daughter where no parent of the child is alive, or

(g) a paternal grand-parent if no parent of the insured person is alive;

7(8) "employment injury" means a personal injury to an employee caused byaccident or an occupational disease arising out of and in the course of his employment,

being an insurable employment, whether the accident occurs or the occupational disease is

contracted within or outside the territorial limits of India;

13(11) "family" means all or any of the following relatives of an insured person,namely :- (i) a spouse;

(ii) a minor legitimate or adopted child dependent upon the insured person;


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(iii) a child who is wholly dependent on the earnings of the insured person and who is (a)

receiving education, till he or she attains the age of twenty-one years, (b) an unmarried

daughter;

(iv) a child who is infirm by reason of any physical or mental abnormality or injury and is

wholly dependent on the earnings of the insured person, so long as the infirmity continues;

(v) dependent parents;

(12) "factory" means any premises including the precincts thereof

(a) whereon ten or more persons are employed or were employed for wages on any day of

the preceding twelve months, and in any part of which a manufacturing process is being

carried on with the aid of power or is ordinarily so carried on, or

(b) whereon twenty or more persons are employed or were employed for wages on any day

of the preceding twelve months, and in any part of which a manufacturing process is being

carried on without the aid of power or is ordinarily so carried on, but does not include amine subject to the operation of the Mines Act, 1952 (35 of 1952) or a railway running

shed;

(14) "insured person" means a person who is or was an employee in respect of whomcontributions are or were payable under this Act and who is, by reason thereof, entitled toany of the benefits provided by this Act;

15

(15A) "permanent partial disablement" means such disablement of a permanentnature, as reduces the earning capacity of an employee in every employment which he wascapable of undertaking at the time of the accident resulting in the disablement : Providedthat every injury specified in Part II of the Second Schedule shall be deemed to result in

permanent partial disablement.

(15B) "permanent total disablement" means such disablement of a permanentnature as incapacitates an employee for all work which he was capable of performing at the

time of the accident resulting in such disablement :

Provided that permanent total disablement shall be deemed to result from every injuryspecified in Part I of the Second Schedule or from any combination of injuries specified inPart II thereof where the aggregate percentage of the loss of earning capacity, as specified

in the said Part II against those injuries, amounts to one hundred per cent or more.

20) "sickness" means a condition which requires medical treatment and attendance andnecessitates abstention from work on medical grounds;


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(21) temporary disablement means a condition resulting from an employmentinjury which requires medical treatment and renders an employee, as a result of such

injury, temporarily incapable of21[doing the work which he was doing prior to or at thetime of the injury];

(22) wages means all remuneration paid or payable in cash to an employee, if theterms of the contract of employment, express or implied, were fulfilled and includes 22[anypayment to an employee in respect of any period of authorised leave, lock-out, strike whichis not illegal or lay-off and] other additional remuneration, if any, 23[paid at intervals not

exceeding two months], but does not include

(b) any travelling allowance or the value of any traveling concession;

(c) any sum paid to the person employed to defray special expenses entailed on him by the

nature of his employment; or

(d) any gratuity payable on discharge.

24(23) "wage period"in relation to an employee means the period in respect of whichwages are ordinarily payable to him whether in terms of the contract of employment,

express or implied or otherwise;


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CHAPTER-3

RESEARCH METHODOLOGY

3.1 TYPE OF PROJECT


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DESCRIPTIVE RESEARCH

Descriptive research has been adapted to this research. Descriptive research includes

survey and fact-finding enquiries of different kinds. The major purpose of descriptiveresearch is description of the state of affairs, as it exists at present.

Descriptive research studies are those studies, which are concern with describing thecharacteristic of a particular individual or of a group. In descriptive studies, the researcher

must be able to define clearly, what he wants to measure and must find adequate methods

for measuring it along with clear cut definition of population he wants to study.

The design in such study must be rigid and not flexible and must focus attention on the

following: Formulating the objective of the study. Designing the methods of data collection. Selecting the sample.

Collecting the data. Processing and analyzing the data. Reporting the findings.

TYPES OF DESCRIPTIVE RESEARCH

1. Experimental research

Experimental research is commonly used in sciences such as sociology and psychology,

physics, chemistry, biology and medicine etc. It is a collection ofresearch designs whichuse manipulation and controlled testing to understand causal processes. Generally, one or

more variables are manipulated to determine their effect on an independent variable.

The experimental method

It is a systematic and scientific approach to research in which the researcher manipulates

one or more variables, and controls and measures any change in other variables.

Experimental Research is often used where: There is time priority in a causal relationship (cause precedes effect) There is consistency in a causal relationship (a cause will always lead to the same

effect) The magnitude of the correlation is great.

2. Survey method
http://www.experiment-resources.com/research-designs.htmlhttp://www.experiment-resources.com/what-is-the-scientific-method.htmlhttp://www.experiment-resources.com/research-designs.htmlhttp://www.experiment-resources.com/what-is-the-scientific-method.html


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The survey is a non-experimental, descriptive research method. Surveys can be useful

when a researcher wants to collect data on phenomena that cannot be directly observed

(such as opinions on library services). Surveys are used extensively in library andinformation science to assess attitudes and characteristics of a wide range of subjects, from

the quality of user-system interfaces to library user reading habits.omn

Types of SurveysData are usually collected through the use of questionnaires, although sometimesresearchers directly interview subjects. Surveys can use qualitative or quantitative

measures.

There are two basic types of surveys: cross-sectional surveys and longitudinal surveys.

Cross-Sectional Surveys

Cross-sectional surveys are used to gather information on a population at a single point intime which is not gathered data over a period of time.

Longitudinal Surveys

Longitudinal surveys gather data over a period of time. The researcher may then analyze

changes in the population and attempt to describe and/or explain them.

TELEPHONIC INTERVIEW

This is basically a type of direct interview and but there is no scope for physical presence

of both the parties to the interview. Such interviews are used when the informant and the

interviewer are geographically separated.

TARGET RESPONDENTS

Sample

A sample is a finite part of a statistical population whose properties are studied to gaininformation about the whole. When dealing with people, it can be defined as a set of

respondents (people) selected from a larger population for the purpose of a survey.

A population is a group of individuals persons, objects, or items from which samples aretaken for measurement. Sample size of the project is going to be 60 for the project.

Sampling


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Sampling is the act, process, or technique of selecting a suitable sample, or a representative

part of a population for the purpose of determining parameters or characteristics of the

whole population.

Purpose of sampling

To draw conclusions about populations from samples, we must use inferential statisticswhich enables us to determine a populations characteristics by directly observing only a

portion (or sample) of the population. We obtain a sample rather than a complete

enumeration (a census) of the population for many reasons. Obviously, it is cheaper to

observe a part rather than the whole, but we should prepare ourselves to cope with thedangers of using samples. In this tutorial, we will investigate various kinds of sampling

procedures. Some are better than others but all may yield samples that are inaccurate and

unreliable. We will learn how to minimize these dangers, but some potential error is theprice we must pay for the convenience and savings the samples provide.

PROPOSED SAMPLING METHOD

SAMPLING PROCEDURE

Convenience sampling:

Convenience sampling method, which falls under Non-probability sampling method, has

been adopted for the study and the sample size is 60.

As its name implies convenience sampling refers to the collection of information from

members of the population who are conveniently available to provide it. The respondentsare met as per their convenience and the responses are collected. For an example, Pepsi

Challenge contest ,with the purpose of determining whether people prefer one product to

another, might be held at a shopping mall visited by many shoppers those inclined to test

might form the sample for the study of how many people prefer Pepsi over Coke or productX to product Y. Such a sample is a convenience sampling

3.2 METHODS OF DATA COLLECTION


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While deciding about method of data collection to be used for the study, the researcher

should keep in mind two types of data.

Primary data Secondary data

Primary Data:

The primary data are those, which are collected afresh and for the first time and thus

happen to be original in character.

Secondary data:The secondary data, on the either hand are those which have already been collected by

someone else and which have been already passed through the statistical process.

Collection of primary data

There are several methods of collecting primary data in descriptive research but for this

project primary data is going to be collected through questionnaire

Collection of data through questionnaire

This method of data collection is quite popular. In this method a set or a series of questions

in logical order is asked to the respondents and the researcher collects the desired

information. The questions may be asked verbally or in writing and the responses may beeither form and it is mainly constructed for the purpose of mailing.

Questionnaires need to be carefully developed, tested and debugged before they areadministered on a large scale.

Collection of secondary dataSecondary data are generally published sources which have been collected originally for

some other purpose. Such sources are internal company records, reports and journals,

records, advertising media and library.

3.3 TOOLS FOR ANALYSIS


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The data collected was tabulated and analyzed with the help of percentage

analysis, Correlation analysis and Chi-Square test. This is used to frame a list of

findings which is useful to give suggestions.

3.3.1 PERCENTAGE ANALYSIS

It is the proportion of the respondent to one criterion when compared to the

total respondents.

No. of respondents to a variable

_______________________________ * 100

Total no. of respondents

3.3.2 Chi-square test

A chi-square test (also chi-squared or 2 test) is any statistical hypothesis

test in which the sampling distribution of the test statistic is a chi-square

distribution when the null hypothesis is true, or any in which this is

asymptotically true, meaning that the sampling distribution (if the null hypothesis

is true) can be made to approximate a chi-square distribution as closely asdesired by making the sample size large enough.

It is an important non-parametric test and as such no rigid assumptions are

necessary in respect of the type of population. We require only degree of

freedom (implicitly of course the size of the sample) for using this test. As

parametric test chi-square can be used (I) as a test of goodness of fit and (II) as a

test of independence.

As a test of goodness of fit: enables to know how well does the assumed

theoretical distribution fit to the observed data.

As a test of independence: enables us to explain whether or not two

attributes are associated.

The value of the test-statistic is

Where


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X2 = the test statistic that asymptotically approaches a 2 distribution.

Oi = an observed frequency;

Ei = an expected (theoretical) frequency, asserted by the null hypothesis;

n = the number of possible outcomes of each event.

3.3.3 WIEGHTED AVERAGE METHOD

The average of a quantity is calculated after summing up all the value of that

quantity and then dividing it by the total number. A weighted average is calculated bytaking into consideration, additional conditions associated with each of the values for the

data. That is, some values are multiplied by an extra multiplicative factor as they occur

more often. Unlike an average value, in which all the values of a quantity contributeequally, in a weighted average, they contribute unequally. Some values of the particular

quantity contribute more than others and that is why it is called a weighted average.

Weighted average calculation is an important tool in descriptive statistics and mathematics.

If all quantities are weighted equally or contribute equally, while calculating the weightedaverage, it is equal to the arithmetic mean. It comes in handy when you have to combine

the averages of two different sets of values and get an overall average value.


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CHAPTER-4

DATA ANALYSIS AND INTERPRETATION

4.1 PERCENTAGE ANALYSIS

TABLE NO: 4.1.1 AGE CLASSIFICATION

SL. NO AGE FREQUENCY PERCENTAGE

1 18-25 20 33%


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2 26-35 16 27%

3 36-45 10 17%

4 46-50 8 13%

5 ABOVE 50 6 10%

6 TOTAL 60 100%

CHART NO: 4.1.1 AGE OF RESPONDENTS

20

16

10

8

6

33%

27%

17%

13%

10%

0 5 10 15 20 25

18-25

26-35

36-45

46-50

ABOVE 50

RESPONDENTS PERCENTAGE

Z

INFERENCE: It is inferred that 33% of respondents are from the age group of 18-25 years,

27% are from 26-35 years, 17% of respondents are from the group of 36-45 years, 13% are

from 46-50 years and 10% are above 50.

TABLE NO : 4.1.2 QUALIFICATION OF EMPLOYEES


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CHART NO: 4. 1.2 QUALIFICATION OF EMPLOYEES

INFERENCE: It is inferred that 37% of respondents are ITI/Diploma holders, 28% of

respondents are HSC, 20% are SSLC, 10% are fall under other categories, 5% ofrespondents are below SSLC.

TABLE NO: 4.1.3 EXPERIENCE OF RESPONDENTS AT GODREJ

SL. NO QUALIFICATION FREQUENCY PERCENTAGE

1 BELOW SSLC 3 5%

2 SSLC 12 20%

3 HSC 17 28%

4 ITI/DIPLOMA 22 37%

5 OTHERS 6 10%

6 TOTAL 60 100%

QUALIFICATION OF EMPLOYEES

60%

28%

10%

5%

37%

20%

BELOW SSLC

SSLC

HSC

ITI/DIPLOMA

OTHERS

TOTAL


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SL. NO EXPERIENCE FREQUENCY PERCENTAGE

1 3-6 months 37 62%

2 7-12 months 3 5%

3 1-1.5 yrs 13 22%

4 ABOVE 1.5 yrs 7 11%

5 TOTAL 60 100

CHART NO: 4.1.3 CLASSIFICATION BY EXPERIENCE

62%

5%

22%

11%

0

5

10

15

20

25

30

35

40

3-6 months 7-12 months 1-1.5 yrs ABOVE 1.5

yrs

Series1

INFERENCE: It is inferred that 62% of respondents are having 3-6 months of experience,

22% are having 1-1.5 years experience, 11% are having above 1.5 years of experience, and

only 5% are having 7-12 months of experience.

TABLE NO: 4.1.4 AWARENESS OF POLICIES AND PROCEDURES

SL. NO OPINION FREQUENCY PERCENTAGE


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1 Strongly Agree 25 41%

2 Agree 16 27%

3 Neither Agree nor Disagree 7 12%

4 Disagree 10 17%

5 Strongly Disagree 2 3%

6 Total 60 100%

CHART NO: 4.1.4 AWARENESS ABOUT POLICIES AND PROCEDURES

NO OF RESPONDENTS

41%

27%

12%

17%

3%

Strongly Agree

Agree

Neither Agree nor Disagree

Disagree

Strongly Disagree

INFERENCE: It is inferred that 41% of respondents are strongly agree that they aware of

policies and procedures, 27% are agree with the statement, 17% are disagree with this, 12%

are neither agree nor disagree with this and 3% of respondents are strongly disagree with

the statement.

TABLE NO: 4.1. 5 AWARENESS ABOUT ESI NUMBER

SL. NO AWARE FREQUENCY PERCENTAGE


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1 YES 19 32%

2 NO 41 68%

3 Total 60 100%

CHART NO: 4.1.5 AWARENESS OF ESI NUMBER

NO OF RESPONDENTS

68%

32%

100%

YES

NO

Total

INFERENCE: It is inferred that 32% of respondents are having awareness about ESInumber and 68% are not aware of ESI number.

TABLE NO: 4.1.6 COMPANY PROVIDING KNOWLEDGE ABOUT ESI




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2 Agree 14 23%


4 Disagree 24 40%


6 Total 60 100

CHART NO: 4.1.6 COMPANY PROVIDING KNOWLEDGE ABOUT ESI

4

14

15

24

3

7%

23%

25%

40%

5%

0 5 10 15 20 25 30

Strongly Agree

Agree

Neither A gree nor

Disagree

Disagree

Strongly Disagree

PERCENTAGE

NO OF RESPONDENT

INFERENCE: It is inferred that 40% of respondents are disagree that the company is

providing knowledge about ESI, 25% are neither agree nor disagree with this, 23% agree

with the statement, 7% only strongly agree with this, and 5% of respondents are strongly

disagree with the statement.

TABLE NO: 4.1.7 AWARENESS ABOUT ESI PERCENTAGE

SL. NO AWARE FREQUENCY PERCENTAGE

1 YES 51 85%


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2 NO 9 15%

3 Total 60 100

CHART NO: 4.1.7 AWARENESS ABOUT ESI PERCENTAGE

51

9

85% 15%

0

10

20

30

40

50

60

NO OF RESPONDENTS PERCENTAGE

YES

NO

INFERENCE: It is inferred that 85% of the respondents not aware that certain percentage

of amount is claimed from their salary and only 15% are aware of it.

TABLE NO: 4.1.8 HANDOVER OF ESI CARD AND NUMBER WITHOUT ANY

DELAY




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2 Agree 17 28%


4 Disagree 5 8%


6 Total 60 100

CHART NO: 4.1.8 HANDOVER OF ESI CARD AND NUMBER WITHOUT ANY

DELAY

25

42%

17

28%

10

17%

5

8%

3

5%

0

5

10

15

20

25

Strongly

Agree

Agree Neither

Agree nor

Disagree

Disagree Strongly

Disagree

NO OF RESPONDENTS

PERCENTAGE

INFERENCE: It is inferred that 42% of respondents are strongly agree that handover of

ESI card and number is done without any delay, 28% are agree with the statement, 17% areneither agree nor disagree with this 8% disagree with this and 5% of respondents are

strongly disagree with the statement

TABLE NO: 4.1.9 ESI PROVIDING HELP TO YOU & YOUR FAMILY


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CHART NO: 4.1.9 ESI PROVIDING HELP TO YOU & YOUR FAMILY

NO OF RESPONDENTS

0%

4%

10%33%

53%

100%

Strongly Agree

Agree

Neither Agree nor Disagree

Disagree

Strongly Disagree

Total

INFERENCE: It is inferred that 53% of respondents are strongly agree that ESI isproviding help to them & their family, 33% are agree with the statement, 10% are neitheragree nor disagree with this 4% are disagree with this and no respondents are strongly

disagree with the statement.

TABLE NO: 4.1.10 GETTING HELP FROM ESI ON TIME WITHOUT DELAY



2 Agree 20 33%


4 Disagree 2 4%

5 Strongly Disagree 0 0

6 Total 60 100


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2 Agree 15 25%


4 Disagree 20 33%


6 Total 60 100

CHART NO: 4.1.10 GETTING HELP FROM ESI ON TIME WITHOUT DELAY

3 5%

15

25%

14

23%

20

33%8

14%

60

100%

0

10

20

30

40

50

60

70

80

90

100

Strongly

Agree

Neither

Agree nor

Disagree

Strongly

Disagree

NO OF RESPONDENTS

PERCENTAGE

INFERENCE: It is inferred that 33% of respondents are disagree that they are getting help

from ESI without any delay, 25% are agree with the statement, 23% are neither agree nor

disagree with this, 14% are strongly disagree with this and 5% of respondents are stronglyagree with the statement.

TABLE NO: 4.1.11 SATISFACTION WITH COMPANY INITIATIVE AND

PARTICIPATION REGARDING ESI


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SL. NO SATISFACTION LEVEL FREQUENCY PERCENTAGE

1 Highly Satisfied 8 13%

2 Satisfied 12 20%

3 Neither Satisfied nor Dissatisfied 15 35%

4 Dissatisfied 20 34%

5 Highly Dissatisfied 5 8%

6 Total 60 100

CHART NO: 4.1.11 SATISFACTION WITH COMPANY INITIATIVE AND

PARTICIPATION REGARDING ESI

INFERENCE: It is inferred that 35% of respondents are neither satisfied nor dissatisfied

with company initiative and participation regarding ESI, 34% are dissatisfied with the

statement, 20% are satisfied, 13% are highly satisfied with the statement and 8% are highly

dissatisfied with this.

TABLE NO: 4.1.12 SATISFACTION WITH LOCAL DISPENSARY NEAR TO

RESIDENCE AND COMPANY

NO OF RESPONDENTS

13%

20%

35%

34%

8%Highly Satisfied

Satisfied

Neither Satisfied norDissatisfied

Dissatisfied

Highly Dissatisfied


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CHART NO: 4.1.12 SATISFACTION WITH LOCAL DISPENSARY NEAR TO

RESIDENCE AND COMPANY

37%

27%

25%

6%5%

Highly Satisfied

Satisfied

Neither Satisfied nor

Dissatisfied

Dissatisfied

Highly Dissatisfied

INFERENCE: It is inferred that 37% of respondents are highly satisfied with local

dispensary near to residence and company, 27% are satisfied with the statement, 25% areneither satisfied nor dissatisfied with this, 6% are dissatisfied with the statement and 5%

are highly dissatisfied with this.

TABLE NO: 4.1.13 SATISFACTION WITH COVERAGE OF DEPENDENTS



2 Satisfied 16 27%


4 Dissatisfied 4 6%


6 Total 60 100



2 Satisfied 26 43%


4 Dissatisfied 13 22%


6 Total 60 100


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CHART NO: 4.1.14 USEFULNESS OF ESI WHEN UNEXPECTED THINGS

HAPPEN

18

30%

19

32%

13

22%

6

10%

46%

0

5

10

15

20

25

30

35

Strongly

Agree

Neither

Agree nor

Disagree

Strongly

Disagree

NO OF RESPONDENTS

PERCENTAGE

INFERENCE: It is inferred that 32% of respondents are agree that ESI is useful when

unexpected things happen, 30% are strongly agree with the statement, 22% are neither

agree nor disagree with this, 10% disagree with this and 6% of respondents are stronglydisagree with the statement

TABLE NO: 4.1.15 SATISFACTION ABOUT ESI BENEFITS


1 Highly Satisfied 13 22

2 Satisfied 24 40

3 Neither Satisfied nor Dissatisfied 12 20

4 Dissatisfied 6 10

5 Highly Dissatisfied 5 8

6 Total 60 100

CHART NO: 4.1.15 SATISFACTION ABOUT ESI BENEFITS


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13

24

12

6 5

22

40

20

108

0

10

20

30

40

50

60

70

Highly

Satisfied

Neither

Satisfied

nor

Dissatisfied

Highly

Dissatisfied

PERCENTAGE

NO OF RESPONDENTS

INFERENCE: It is inferred that 40% of respondents are satisfied with the benefits of ESI,

22% highly satisfied with the statement, 20% are neither satisfied nor dissatisfied with this

and 10% are dissatisfied with this and 8% are highly dissatisfied with the statement.

4.2 CHI SQUARE TEST

Chi square test between age and satisfaction level about ESI benefits.

H0 : There is no association between age and satisfaction level about ESI benefits

H1 : There is association between age and satisfaction level about ESI benefits

Table of observed frequencies


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Age / Level of

Satisfaction

Highly satisfied Satisfied Neither nor Dissatisfie

d

Highly

dissatisfi

ed

To

l

18-25 yrs 4 8 5 2 1 20

26-35 yrs 4 7 3 1 1 16

36-45 yrs 2 4 2 1 1 10

46-50 yrs 2 3 1 1 1 8

ABOVE 50 yrs 1 2 1 1 1 6

TOTAL 13 24 12 6 5 60

Table no: 4.2.1 of expected frequencies

O E O-E (O-E)^2

(O-

E)^2/E

4 4.3 -0.3 0.09 0.021

8 8 0 0 0

5 4 1 1 0.25

2 2 0 0 0

1 1.6 -0.6 0.36 0.225

4 3.5 0.5 0.25 0.0714

7 6.4 0.6 0.36 0.0562

3 3.2 -0.2 0.04 0.0125

1 1.6 -0.6 0.36 0.225


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1 1.3 -0.3 0.09 0.069

2 2.17 -0.17 0.0289 0.0133

4 4 0 0 0

2 2 0 0 0

1 1 0 0 0

1 0.83 0.17 0.0289 0.03482 1.73 0.27 0.0729 0.0421

3 3.2 -0.2 0.04 0.0125

1 1.6 -0.6 0.36 0.225

1 0.8 0.2 0.04 0.05

1 0.67 0.33 0.1089 0.1625

1 1.3 -0.3 0.09 0.069

2 2.4 -0.4 0.16 0.67

1 1.2 -0.2 0.04 0.033

1 0.6 0.4 0.16 0.261 0.5 0.5 0.25 0.5

3.0023

Degrees of freedom= (C-1)(R-1)

= (5-1)* (5-1)

= 4*4

= 16

Assume Level of significance as 5%

0.05, d.o.f, 2 = 5.991

RESULT

Calculated value= 3.0023 < Table value=5.991


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Hence Accept Ho.

CONCLUSION

There is no association between age and satisfaction level about ESI benefits.

4.3Weighted average method

The respondents are asked to rate the benefits required for an employee according to their

preference. The measures are calculated below:

No factors 1 2 3 4 5 TOTAL

1 Quality of Treatment 12 9 15 18 18 60

2 Accessibility 6 18 21 15 12 60

3 Leave payment 3 30 24 6 9 60

4 Coverage of dependents 18 15 9 24 6 60

5 Adequate time limit for recovery. 6 21 18 15 12 60

TOTAL 45 93 87 78 57 360


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Source: primary data:

Table no 4.3.1

Point weight benefits 5 4 3 2 1

S. No BENEFITS 5 4 3 2 1 Total Avg R

1 Quality of Treatment 120 60 24 14 6 224 3.73

2 Accessibility75 40 60 16 7 198 3.3

3 Leave payment 160 68 18 8 1 255 4.25

4 Coverage of dependents80 112 24 6 5 227 3.78

5 Adequate time limit for

recovery. 60 88 24 6 15 193 3.22

Table no 4.3.2

S. No BENEFITS Rank

1 Leave payment 1

2 Coverage of dependents 2

3 Quality of Treatment 3

4 Accessibility 4

5 Adequate time limit for recovery. 5

Inference:

From the above calculation; Leave payment are the most important weighted factorpreferred by the employees


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CHAPTER -5

SUMMARY OF FINDINGS AND SUGGESTIONS


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5.1 SUMMARY OF FINDINGS

1. Majority of the respondents are from the age group of 18-25 and10% are above 50

years.

2. 37% of the respondents are ITI/Diploma holders, 28% of respondents are HSC and5% are below SSLC

3. 62% of the respondents are having 3-6months of experience, 22% are having 1-1.5

years experience and only 5% are having 7-12 months of experience

4. 41% of respondents are strongly agree that they aware of policies and procedures

and 3% of respondents are strongly disagree with the statement

5. 68% of respondents are not aware of ESI number and 32% of respondents are

having awareness about ESI number

6. 40% of respondents are disagree that the company is providing knowledge aboutESI, 23% agree with the statement and 5% of respondents are strongly disagree

with this.

7. It is noted that 85% of the respondents not aware that certain percentage of amount

which is claimed from their salary and only 15% are aware of it

8. 42% of respondents are strongly agree that handover of ESI card and number is

done without any delay and 8% disagree with this


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9. 53% of respondents are strongly agree that ESI is providing help to them & their

family, this 4% are disagree with this and no respondents are strongly disagree withthe statement.

10. Only 5% of respondents are strongly agree that they are getting help from ESIwithout any delay and 33% of respondents are disagree with this statement.

11. Few respondents are highly dissatisfied with company initiative and participationregarding ESI which is only 8%, , 20% are satisfied and 13% are highly satisfied

with the statement

12. It is noted that 43% of respondents are satisfied with the coverage of dependents,13% are highly satisfied with the statement and 6% are highly dissatisfied with the

statement.

13. Majority of the respondents are satisfied with the benefits of ESI which is 40%,

22% highly satisfied with the statement and and 8% are highly dissatisfied with the

statement.

5.2 SUGGESTIONS AND RECOMMENDATIONS

1. It is suggested that Godrej should improve its activities regarding ESI like proper

guidance to get ESI registration

2. Company should support the employees to get benefits from ESI without any delay

3. Company should bring awareness to the employees by providing knowledge

regarding ESI benefits

4. Proper knowledge regarding ESI policies and procedures should be given to the

employees

5. At the time of any inconvenience to the employees to claim amount from ESIcompany should instruct them with proper formalities.

6. Company should fully indulge and participate them in the activities of ESI

7. Company should provide knowledge about the ESI percentage of amount which is

claimed from their salary


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5.3 CONCLUSION

The study about effectiveness of ESI activities adopted at Godrej & Boyce Mfg.

co. Ltd was very significant and informative to the company as it helps to know about the

awareness and satisfaction level of employees regarding ESI benefits and activities.

Majority of the employees are satisfied with the ESI benefits which is above 60%. This

shows ESI benefits and activities are correctly going to the employees.

But the employees are expecting more companys participation and initiativeregarding the ESI activities. And many of the employees are not aware of ESI policies and

procedures that should be provided by the company.

On the overall view of the study company is providing help and instructions to

the employees for getting the benefits from ESI but the employees want more companys

involvement to get awareness about ESI scheme.


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APPENDIX


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QUESTIONNAIRE

1. Name

2. Id no.

3. Age group(completed years):

a) 18-25 years b) 26-35 years c) 36-45 years

d) 46-50 years e) Above 50 years

4. Qualification:

a) Below SSLC b) SSLC c) HSC

d) ITI/Diploma e) Others

5. Experience in the organization:

a) 3-6 months b) 6-12 months c) 1-1.5 years


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d) above 1.5 years

6. I am aware of ESI policies and procedures?

a) Strongly Agree b) Agree

c) Neither Agree nor disagreed) Disagree e) strongly disagree

7. Are you aware of your ESI number?

a) Yes b) No

8. Does the company provide you with the necessary knowledge about ESI.

a) Strongly Agree b) Agree

c) Neither Agree nor disagreed) Disagree e) strongly disagree

9. Are you aware that certain percentage of your basic pay is added to your ESI account?

a) Yes b) No

10. I want the company to handover ESI card & number without delay

a) Strongly Agree b) Agreec) Neither Agree nor disagree

d) Disagree e) strongly disagree

11. Does ESI provide help to you and your family?

a) Strongly Agree b) Agreec) Neither Agree nor disagree


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d) Disagree e) strongly disagree

12. Are you getting help from ESI on time without any delay?

a) Strongly Agree b) Agreec) Neither Agree nor disagreed) Disagree e) strongly disagree

13. How do you feel about the company initiative and participation regarding ESI?

a) Highly satisfied b) Satisfied

c) Neither satisfied nor dissatisfiedd) Dissatisfied e) highly dissatisfied

14. Are you satisfied with local dispensary near to your residence and company.

a) Strongly Agre

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