A PROJECT REPORT ON IMPLEMENTATION OF MOTIVATIONAL POLICIES IN TATA YAZAKI AUTOCO MP LTD. AT TATA YAZAKI AUTOCOMP LTD. WAGHOLI, PUNE.

IN PARTIAL FULFILLMENT OF POST GRADU ATE DIPLOMA IN CAREER STUDIES HUMAN RESOURCES SUBMITTED BY ASHOKKUMAR SHARMA INDIRA SCHOOL OF CAREER STUDIES, PUNE [2006-2008] 1

ACKNOWLEDGEMENT Presenting the project report on Implementation of Motivational Policies in TATA YAZAKI AUTOCOMP LTD. has not only called for an immense effort but also the atten tion and invaluable help from my peers, family, friends and colleagues who helpe d it materialize. I would like to thus extend my sincere thanks and gratitude to all those who have been directly or indirectly been involved for providing me w ith moral support needed to complete this project. I would like to acknowledge P rof. Chetan Wakalkar, Director Indira School of Career Studies, Pune and Prof. P . Divakaran, Executive Director (DeanAcademics)- Indira School of Career Studies , Pune for giving me the opportunity to undertake a fulltime project to suppleme nt my theory classes and Mrs. Harshali Murudkar - Internal Guide for constantly guiding me. The invaluable co-operation received from TATA YAZAKI AUTOCOMP LIMIT ED during the period of my project report. Thanks are due to Mr. Ravindra Chaudh ari (GM-HR), Mr. Satish Tonapi (Manager-Admin)-External Guide, Mr. Sourabh Kane (Dy. Manager-HR), whose trust has encouraged me to develop my ideas and understa nding and have kindly provided feedback. I wish to express my gratefulness to al l the staff of TATA YAZAKI AUTOCOMP LIMITED. for their needful help in various sta ges of my project. Finally, I like to thank my Family Members who have always be en my continuous source of inspiration and they have constantly supported and mo tivated me to complete my project. 2

TABLE OF CONTENTS SR. NO. TITLE Executive Summary Company Profile Introduction of topic Research Design an d Methodology Objective and Scope of Project Hypothesis of Project Project Desig n Source of Data Sampling Data Collection PAGE NO. 4-7 8-19 20-36 1 2 3 4 5 Graphical representation and Tabulation Data Interpretation Analysis 6 7 8 9 Recommendation Limitation Bibliography/References Annexure 3

Executive Summary 4

COMPANY PROFILE 8

TATA YAZAKI AUTOCOMP LTD. WAGHOLI PLANT 9

Tata Autocomp Systems Ltd. Tata Autocomp Systems Ltd. (TACO) was incorporated as a holding company in 1995, to realize the vision that India should modernise it s auto component industry to meet the state-of art technology requirements of th e global automakers who are coming to India. As a part of this goal, TACO aims t o offer world-class quality, cost and delivery (QCD) terms to its customers, in a wide range of components: offer design and engineering capabilities for compon ents as well as systems integration and undertake to manage complete supply chai n, on behalf of its customers. TACOs focus is on building skills. In years to com e, TACO expects to build the largest engineering reservoir in India, in their de sign and engineering offices world-wide, and learning on their current product e ngineering programs, our engineers are in the process of building world-class ca pabilities in designing, engineering, testing, benchmarking, and tool-making, wh ich would help us to offer complete engineering solutions to our customers in In dia and abroad. With its wide range ranging skills base, TACO expects to emerge as a one-stop shop, which can undertake to meet every requirement of the automak ers from engineering to manufacturing to outsourcing and assembly. Through partn ership and strategic alliance, with Indian and overseas autocomponent companies, TACO aspires to serve its customers to meet their requirements of components, s ystems, assemblies, even complete vehicles. Every product and service, TACO will build, will be global standards. TACO expects to sell its components and engine ering services and supply chain management capabilities to Indian as well as glo bal automakers, to meet their requirements. TACO is building partnerships with w orld leaders on a 50:50 equity-sharing basis. These joint ventures are setting u p world-class manufacturing facilities and establishing design and development r equirements of the existing and potential automakers for their global operations . 10

The Yazaki Group Yazaki Corporation manufacturers and markets a wide range of pr oducts including wire harness, instruments and components for automotive use, el ectrical power and transmission cable, fibre optic cable, solar energy systems, gas meters and air-conditioning systems. Yazaki gave the Japanese automotive ind ustry its first wire harness in 1929, and is today one of the worlds largest prod ucers, supplying harness to all leading Japanese and International automakers. T he continuous advances in electronics during the past decade have brought with t hem new standards of automotive performances, safety and comfort. In response, t he Yazaki Group has developed a long list of innovations, which reduce wire harn ess weight and girth, such as; thinner lighter wire featuring improved reliabili ty and performance, compact multifunctional junction blocks, connectors, switche s integrated moulds, hybrid integrated circuits, and electronic and multiplex sy stem. A corporation founded over half a century ago, the Yazaki Group is a multi -cultural organization with 130 manufacturing and sales operations in 30 countri es on four continents, employing over 93000 people, with annual sales of over 7. 6 billion US dollars. Partnership is the key TACO is building partnerships with world leaders on a 50:50 equity basis. These joint ventures are setting up world -class manufacturing facilities and establishing design and development capabili ties in India to meet the future product requirements of the existing and potent ial automakers for their global operations. Company Tata Johnson Controls Ltd. T ata Toyo Radiator Ltd. Tata AutoPlastics Ltd. Tata Ficosa Ltd. Tata Yazaki Autoc omp Ltd. T C Springs Pvt. Ltd. Partner Johnson Controls Inc. USA Toyo Radiator, Japan Sommer Allibert, France Ficosa, Spain Yazaki, Japan Chuo Spring Company Lt d. Product Area Seating Systems Engine Cooling Systems Plastics Interiors & Exte riors Mirrors & Cables Wiring Harness Coil & Parabolic Springs TATA YAZAKI AUTOCOMP LTD. 11

HIGH QUALITY WIRINGHARNESS Tata Yazaki Autocomp Limited (TYA) is a leading Manuf acturer of Wiring Harnesses for the Automotive Industry. The Company has establi shed capabilities in Product Design, Development and Manufacturing and is highly respected by its Global Clientele for its reliability and timely delivery at hi ghly competitive costs. Tata Yazaki Autocomp Ltd. Is a 50:50 Joint Venture betwe en Tata Autocomp Systems Ltd. India and Yazaki Corporation Japan. It aims to bui ld world-class technology and facilities in Electrical Distribution System for the automotive industry. The plant complex is at Wagholi near Pune with state of ar t facilities. The land is of 46800 sq.m. and building of 20600 sqm. capacity to produce 5 lakh vehicle sets annually. Tata Yazaki plans to set up an engineering and design excellence center, which will use the latest design tools to compete , the world class manufacturing facility. The Tata Yazaki Edge Cost-effective Ma nufacturing Capabilities Wiring harnesses for a variety of Segments of the Autom obile Industry Design and Manufacturing Technologies from the World s largest pr oducer of Wiring Harnesses, Yazaki Corporation, Japan. Tata Yazaki can manufactu re Wiring Harnesses for various Segments of the automobile industry, including p assenger cars, commercial vehicles. It also supplies wiring harnesses for applic ations such as Air Bag Assemblies. The Product range also includes following: In tegrated modular wiring harnesses providing power to the vehicle. High-tension c ables capable of carrying heavy currents from the battery to other parts of the vehicle. These are exclusively used for petrol vehicles. Connectors and Terminal s that connect various sections and modules of the vehicle. The product range in cludes Specially Designed double locking, waterproof Connectors and Terminals. J unctions and fuse boxes for car safety and protection. Products Promoters and partners 12

Tata Autocomp Systems Ltd. Established by the Tata Group, which has several deca des of experience in the automotive industry, the TACO group of companies offers a range of products and services in the field of auto components to automotive vehicle manufacturers all over the world. TACO has three major businesses Manufa cturing, Engineering and Supply Chain Management. The Group comprises of the Hol ding Company, Tata Autocomp Systems Limited (TACO), its Joint Ventures with glob al auto component leaders and two Subsidiaries in the plastics and stampings pro duct. The TACO group, with its 13 Manufacturing plants, 3 Engineering Centers an d 3 Export-Oriented Units, is rapidly expanding its business with vehicle Manufa cturers and Tier-II suppliers to the Automotive Industry. Its current Original E quipment Manufacturers include Daimler Chrysler, Fiat, Ford, General da, Hyundai, Mahindra and Mahindra, Piaggio, Tata Motors, Toyota and Volvo. Yazaki, the World s largest producer of Wiring Harnesses, consists of 97 compani es involved in either of two industries: Automotive Components and Energy or Env ironment. A vertically integrated provider of complete Electrical Distribution S olutions to the Automotive Industry, Yazaki has spread across 37 countries throu gh business ties with major automakers worldwide. It now has more than 300 opera tions the World over. Through its full range of Design, Development and Manufact uring facilities - Plating, Copper Smelting and Drawing, Rubber and Plastic Comp ound Manufacturing, Tooling and Die Making, Testing, Computer Aided Design, Auto mated Manufacturing & Engineering - Yazaki manufactures all the components of th e Wiring Harness, Electrical Distribution System including Backward Integration: Cables 13

 Housings Connectors and Terminals Fuses and Relay Blocks Protector Retainers Gro mmets Tapes and tubes Customers Tata Yazaki has the necessary Supply-Chain and Logistics Capabilities to deliver to customers locations, In Time around the world. TYA provides Yazaki wi th a well-established base to service the requirements of Carmakers in Japan and Europe. The TYA is on the top-supplier lists of companies amongst many of the c lienteles some of the Major Clientele includes: Behr Escorts General Motors Hond a India Nissan Piaggio Tata Motors Toyota Customer testimonials 14

"Excellent Quality Systems" Tim Casey, Behr "Preferred Sourcing Base" R. Wasan, Ho nda Siel Cars "High Potential for Export" Victor Rosas, electrical commodity Dire ctor, General Motors "High Efficiency and Good Quality" Erich Woitsch, Behr "Best among Wiring Harness Manufacturers" P. M. Kamath, ADD division, Tata Motors Boar d of Directors Mr. D. S. Gupta Chairman Tata Autocomp Systems Ltd 1. Mr. Shinji Yazaki President Yazaki Corporation 3. Mr. Hirmatsu President Thai Arrow Product s Co. Ltd. 5. Mr. Ramkumar GM-Finance, Technology Tata Autocomp Systems Ltd. 2. Mr. T. Ikeda Production Operations DGM Yazaki Corporation Mr. Matsuda VP Operati ons Tata Yazaki Autocomp Ltd. Mr. Vishwanathan GM-MIS, Budget, Costing Tata Auto comp Systems Ltd. 4. 6.

CEO: Prashanth Nayak Education: BE (Electronics and Communication) from KREC, Surathk al and MBA from IIM, Calcutta Prashanth Nayak joined TACO in June 1996. He has b een part of the initial management team of TACO. He has nine years of experience in planning, projects, joint venture negotiations and human resources. Before j oining TACO, Mr. Nayak worked with Wipro Systems for one year. Major Changes in last 3 years Prashanth Nayak vertically) Plant expanded separately for Tata Mot rs. Change in leadership Mr. Pradeep Tewari to Mr. Expansion of organisation (ho rizontally as well as Set up of in house Learning Center Certified for Quality by TS 16949 Certified for Environment by ISO 14001 15

Future plans New Plant at Banglore New Plant at Jamshedpur New Plant at Singur V ision To be a globally competitive company providing electrical & electronic dis tribution systems solutions to automotive customers and to achieve a turnover of 200 mln. USD by 2010, and build profitability through backward integration. Mis sion Core Values Simplicity: -Doing a job in a simple and straightforward way. F rugality: -Being careful, thrifty and economical with money, time and resources. Integrity: -Meeting all commitments being honest and morally upright. Respect: - Consideration and regard for human beings, environment and infrastructure. Har mony:-Looking towards reaching a broad agreement on consensus on interests, opin ions and action plans whilst ensuring that it is inline with organisations objec tives. Quality Policy Be the First Choice of all Customers, Employees, Suppliers and Partners by Continual improvement of Quality Management Systems and Satisfy ing Customers Current and Future Needs. Quality Objectives Meeting Customers Ne on Time and in Full Improve Productivity continually Relentlessly focusing on t he best in class Quality, Cost, Delivery PERFORMANCE Upgrading and Building individual and team skills continually. Create Clean and Safe Environment 16

Environmental Policy We are committed to help creating a safe clean and green en vironment through Conservation of natural resources by optimal and judicial usage . Compliance with relevant Environmental Regulations. Continual improvement in E nvironmental Management System starting with ISO 14001 certification This policy will be made available for all the interested parties. Address of the Company Pune Factory Tata Yazaki Autocomp Ltd. Gat No. 93, Survey No. 166 High Cliff Ind ustrial Estate, Wagholi-Rahu Road, Kesnand, Pune-412207 Ph. No. 27005000 Fax No. 27050131 Banglore Branch Office Tata Yazaki Autocomp Ltd. Skip Commercial Compl ex 25/9, Museum Road, Banglore-560025 Ph. No. 080-22217348 Fax No. 080-22240322 17

Organization Chart CEO Mr. Prashant Nayak COO Mr. Gajindar Bains VP-Operations Mr. Matsuda S GM-Marketing Mr. Prashant Gadkar GM-HR Mr. Ravindra Choudhari GM-Finance Mr. Ravi Sharma Manager Quality system Mr. Mudikeri GM-SCM Mr S. Kalse GM- IT Mr. R. Mittal Factory Manager Mr. Watanabe H Manager Design Mr. Anand Biyani Sr. Manager-Marketing Mr. Doi Hiroshi Manager-IR Mr. Ghatwai Finance Mr. Anant Bhide Manager SCM Mr. Sundarshan Manager Prodn. Plang. and Maintenance Mr. Neeraj Sharma Manager-HR Vacant Manager-SCM Mr. Modi Manager QA Mr. Sanjay Kulkarni Manager-Admin Mr. Satish Tonapi Manager Prodn Engin Mr. Kiran Talele Special Manager PE and EOU Mr. Machide T. Prodn Manager Bangalore Mr. Soma Sekhar. 18

Organization Chart-HR GM-HR Mr. R. Choudhari Dy-GM-HR Vacant Manager-ERVacant EOU Dy-GM-ER Vacant Manager-ERVacant DTA-2 Manager ER Mr. Ghatwai(now common) Dy-GM-Admin Vacant Dy-GM-Admin -Bangalore Vacant Manager Admin/Hr Vacant Manager-HR Vacant Manager-Admin Mr. Tonapi Dy-Manager Mr. Sourabh Kane NA NA NA Medical Officer Vacant NA Member-Hr Vacant Member-ER Vacant Member-ER Vacant Member-ERVacant NA Member HR/Admin Vacant AssociateHR/Admin Benny PA Associate Member Bharti/Swati MemberTraining Sunita Naik Associate Training 6/8 Dy- Manager Training/OD Vacant Member-OD Vacant Associate-ER Mr. Gawade Associate-ER Mr. Belhekar Associate Member Satish/Raj Medical Staff Vacant NA NA Member ERVacant Alandi Plant AssociateAlandi Vacant Member-Safety Mr. Jangale Dy ManagerAdmin Mr. Shinde

Member Admin Vacant Associate-Admin 3/4 19

INTRODUCTIO N 20

What is Motivation? Motivation is the process that account for individuals intensity, direction and persistence of efforts towards attaining a goal. While general motivation is con cerned with efforts towards any goal. Motivation is a process that starts with a physiological or psychological deficiency or need that activates a behavior or a drive that is aimed at a goal or incentive. Process of Motivation 1. 2. 3. Needs: needs are created whenever there are physiological or psychological imbalances. Drives: drives or motives are set up to alleviate need s. Drives are action oriented and provide an energizing thrust towards reaching incentives. They are at the very heart of the motivational process. Incentives: at the end of the motivational cycle are the incentives. Defined as anything tha t will alleviate a need and reduce a drive. It creates physiological or psycholo gical balance. Framework of Motivation: 1. Identifying Needs 2. Search for ways to satisfy needs 6. Reassesses needs deficiencies Employee 5. Receive either rewards or Punishment 4. Performs 3. Engages in goal directed behavior 21

Theories of Motivation: Model Early Theories Contemporary Theories Content Theories Process Theories Scientific Management Human Relation Model Maslows Need Hierarchy Theory Hertzbergs Two Factor Theory Alderfs ERG Theory Achievement Motivation Theory Goal Setting Theory Vrooms Expectancy Theory Adamss Equity Theory Early Theories: 1. Scientific Management: Porters Performance Satisfaction Model F.W. Taylor thought that primary interest of the workers is economic gain in the form of wages. 2. Human Relation Model: Human relation researchers found that other than monetary there are other factor s to the motivation of employees like social contacts which the employee had at work places were also important and that the boredom and repetitiveness of task were themselves factor in reducing motivation. These researchers think that mana gers can motivate employees by acknowledging their social needs and by making th em feel useful and important. 22

23

Matching Content Theory: Need Hierarchy ERG Theory Two-Factors Theory Achievement Motivation Model Need For Achievement Growth Esteem Motivators Advancement Growth Achievement Self Actualizatio n Need For Power Social Relatedness Hygiene Job Security Salary Working Condition Existence Need For Aff iliation Security Physiological 24

Self actuali zation ( SELF ACTU ALIZ ATIO N (Persona l growth, realizatio n of potential (TITLES, STATUS ) ESTEEM SYMBOLS ETC.) SOCIAL (FORMAL/INFORMAL WORK GROUPS OR TEAMS) (SENIORITY PLAN, HEALTH INSURANCE ETC.) SAFETY BASIC / PHYSIOLOGICAL NEEDS (PAY) Maslows Need Hierarchy Theory 25

Maslows Need Hierarchy: Physiological Individual Organizational 1. Food 2. Clothing 3. Shelter Worker Staff/Managers 1. Daily Wages 2. Job Security 1. Quality Job Safety Individual Organizational 1. Own House 2. Safety Against theft 3. Insurance Worker Staff/Managers 1. Safe working condition 2. Wage increment 3. Unionization i. Salary increment ii. Pension Scheme iii. Group insurance iv. Provident Fund v . Gratuity vi. System of seniority 26

Social Individual Organizational 1. Love and Belongingness 2. Family and friends 3. Social Groups Worker Staff/Managers 1. Unions 2. Mutual respect 1. Work Group 2. Peer Acceptance 3. Group Membership 4. Professional Friendship 5. Compatible Workgroup Self Esteem Individual Organizational 1. 2. 3. 4. 5. Independence and Freedom Confidence Desire to competence Adequacy status 6. Repu tation Promotion Worker Staff/Managers i. Recognition ii. Seniority iii. Self Respect 1. 2. Reward 3. Appreciation 4. Attention 27

Self Actualization Individual Organizational 1. Becoming everything that is One capable of being. Worker Staff/Managers 1. Desire for excellence 2. Managing a unit Successfully. ERG Theory: 1. Existence: The basic physiological needs and protection from physical danger 2. Relatedness: Social and affiliation needs and the need for respect and positi ve regard from others. 3. Growth: The need to develop and realize ones potential. Motivation-Hygiene Theory: Motivation: 1. 2. 3. 4. 5. 6. 7. Achievement Recognition of achievement work itself responsi bility Advancement Growth Salary 28

Hygiene: 1. 2. 3. 4. 5. 6. 7. Company Policy and administration Supervision interpersonal relation Working conditions Salary Status Security Achievement Motivation Theory: 1. Need for Achievement: i. Give employees periodic feedback on performance. ii. Provide good models of a chievement iii. Arrange tasks so that employees call pursue moderate challenges and responsibilities. iv. Employee should be able to control their own destiny a nd imagination. They should be trained, however, to think realistically and posi tively about how they will accomplish goals. 2. Need for Power: The employee exhibiting the need for power derives satisfaction from the ability to control the others. Satisfaction is derived from being in position to influe nce and control. 3. Need for Affiliation: Interpersonal relationship between the people and recognized by people as part o f group. 29

Process Theories: Expectancy Theory: Second Level Outcome Second Level Outcome Second Level Outcome Second Level Outc ome Second Level Outcome Second Level Outcome E P First Level Outcome P O Efforts Expectancy Instrumentality Performa nce First Level Outcome E= Effort P= Performance O= Outcome First Level Outcome Second Level Outcome: These are reward (positive or negative) they include Pay raise Promotion Peer ac ceptance Job security Recognition Rewards Demotion Transfers Monetary punishment s etc 30

MOTIVATION = VALENCE X EXPECTANCY X INSTRUMENTALITY THE THREE FACTORS :1. Valanc e REFERS TO THE STRENGTH OF A PERSONS PREFERENCE FOR RECEIVING A REWARD. ITS VALUE M AY RANGE FROM MINUS ONE (-1) TO ONE (1). STRONG AVIODENCE STRONG PREFERENCE INDIFFERENCE -1 0 +1 2. EXPECTANCY IS THE STRENGTH OF BELIEF THAT ONES WORK RELATED EFFORT WILL RESULT IN COMPLETION OF A TASK. IT IS THE PROBABILITY OF A CONNECTION BETWEEN EFFORT AND PERFORMANCE . ITS VALUE MAY RANGE FROM ZERO (0) TO ONE (1). Low Probability High Probability 0 +1 31

3. INSTRUMENTALITY: REPRESENTS THE EMPLOYEES BELIEF THAT A REWARD WILL BE RECEIVED ONCE A TASK IS COM PLETED. HERE THE EMPLOYEE ASSUMES THAT THE ORGANISATION VALUES HIS PERFORMANCE A ND WILL ADMINISTERS REWARDS ON A CONTINGENT BASIS. ITS VALUE MAY RANGE FROM ZERO (0) TO ONE (1). Low Probability High Probability 0 +1 Equity Theory: This theory is based on the assumption that individuals are motivated by their d esire to be equitably treated in their work relationship. When employees work fo r an organization, they basically exchange their services for pay and other bene fits. The equity theory proposes that individuals attempt to reduce any inequity they may feel as a result of this exchange relationship. Four important factors are: 1. 2. 3. 4. person comparison others inputs outputs Porters Model: 1. 2. 3. Predictors of efforts predictors of performance predictors of satisfact ion 32

Goal-Setting Theory: Process: Desire to meet the Goal Goal Goal Commitment Task Performance Meeting the Goal Self-Efficiency Beliefs The success of goal setting in motivating employee depends on establishing goals that have the appropriate attributes or characteristics. Goal should be SMART S - Specific M- Measurable A- Attainable R- Realistic T- Time bound 33

Linking Management by objectives and goal setting theory Overall organizational Objective XYZ COMPANY Divisional Objectives Consumer Products Division Industrial Products Division Departmental Objectives Production Sales Customer Service Marketing Research Development Individual Objectives Individual Employees 34

Motivational Practices: Rewards Others Job Design QWL Motivational Practices Behavior Modification Problem Employees Goal Setting Empowerment Types of Organizational Reward: Organizational Reward Job Status Membership and Seniority Task Performanc e Competenc y 35

Membership and Security Based Rewards: In this the employees who are seniors receives more benefit than his or her juni or employees Advancement Promotion Pay raise Retirement benefit Prerequisite Thi s type of rewards does not directly motivate job performance. These rewards redu ce turnover but may fail to motivate achievers to perform better. Job Status-based Rewards: Job Based Pay and Skill Based Pay: Factors Pay Structure Employees Focus Employees Focus Procedures Required Advantageous D isadvantageous Job Based Based on job performance Job carries wage; employees link to job Job promotion t o earn better pay Assess job content; value job Pay based on value of work perfo rmed Potential personal bureaucracy; inflexibility Skill Based Skill duced Based on ability to perform Employees carries wages; Employees linked to Skills Acquisition to earn better pay Assess Skills; Value Skills Flexibility; re workforce Potential personal bureaucracy; cost controls

Competency based reward: When rewards are linked to competencies what emerges is the skill based pay. In the skill based pay, employees are paid on the basis of number of jobs they are capable of discharging or on the depth of their knowledge. The purpose of this s ystem is to motivate employees to acquire additional skills so that they become useful to the organization. 36

Performance based pay: Organizational Rewards: Stock options Profit sharing(ex: ESOPS) Team Rewards: Gain sharing Special bonus Individual Rewards: Piece rate Commissions Merit pay Bonuses Non Monetary Motivation: ESOPS Recognition Fringe benefits Rewards (ex: trophy) Giving extra power Partie s Putting name on dart board as a employee of the month or year Providing things like T-shirt, watch etc with reason written on it for giving this reward. Dinne r parties for group performance Transportation facility Personal holidays Step r eward Promotions Free purchase vouchers Club membership Formation of informal gr oup in organization which make some events in organization and giving membership of different activity group Sending mails and gifts on birthdays, marriage anni versaries etc. Festival gift vouchers Etc. 37

Research Design and Methodology 38

Objective & Scope 39

Objective of Project: To introduce and implement a new motivational program in T ATA YAZAKI AUTOCOMP LTD. for the staff level employees. This will lead to retain them, to get better performance out of them and to make them feel important for the organization. Objectives of the Study: To study the current motivational le vel of the employees. To design a new motivational scheme for the employees in T YA. To implement the motivational scheme. Scope: Motivation is becoming more and more important. It is not only important for the employee as an individual but also the performance of the employee. If employee is motivated his creativity an d his performance will increase drastically and his performance will always be o utstanding. But to keep the employees motivated at different levels is becoming a challenge for the organizations and the HR people. The employee motivation inc reases the performance of the employee as well as helps them to retain in the or ganization. As per REED CONSULTANCIES one survey, 3/4th of the employees leave th e organization in less than three years. So we can say that motivation is becomi ng the burning issue in the organizations. 40

Hypothesis 41

Hypothesis: Motivation has a positive impact on the employees performance and the employee retention. 42

Research Design 43

Locale of Study: The project study is mainly about to design and implement the m otivational programs for the employees in TATA YAZAKI AUTOCOMP LTD. The study is conducted in the Wagholi plant of TATA YAZAKI AUTOCOMP LTD. The study is being made to increase the motivational level of the employees. Sample Size: Total sam ple of 37 employees being selected on the following way. HODs and Managers = 17 S taff employees = 20 Sampling Design: Stratified random sample of 37 were selecte d for the study. All the HODs were included in the sample. Other than that some managers, deputy managers and staff employees were selected. This selection was done on a random basis with consideration of different departments and designati ons of the employees. Data Collection Method: As the study is made to design and then implementing the motivational policy, there is no secondary data available . So the study is based upon the primary data only. The data is been collected t hrough questionnaire. Different types of questionnaire were used for HODs and ma nagers; and the staff employees. Data Analysis: After the collection of the data, the analysis is done with the M icrosoft Excel package. Then the bar graphs and the pie charts were used. 44

Graphical representation and Tabulation 45

Questionnaire for the HODs/Managers Q.1 Since how long you are working in this or ganization? Less than one One to three Three to five More than five 6% 6% 31% Les s than 1 1 to 3 3 to 5 more than 5 57% Q.2 According to you, why people join this organization? Because of growth opportuni ty Because of Brand name Good working conditions Because they do not get job at any other place 46

None of above any other (Specify) ___________ Grow th Opportunities 0% 11% 26% Brand Name w orking condition Not getting job a t any other place Any other 63% Q.3 What do you think about Companys current HR policies? Excellent Very good Good Av erage 0% 44% 13% Excellent Very good good 43% Averange Q.4 As a Department head/Manager which of the following factors motivates you? Subor dinates performance Work completed on time Employees taking and understanding re sponsibility You want to perform on your own 47

Any other (Specify) Subordinates performance 9% 20% employees taking and understanding responsibilit y 17% 31% w ant to perform on your ow n any other 23% w ork completed on time Q.5 According to you what motivates an employee in general, in your department and i n this organization rank them. (From 1 to 11) General Achievement __ Recognition __ Responsibility __ Incentives __ Growth __ Perks __ Gifts __ Bonus __ Fringe benefits __ Cash benefits __ Appreciation in public __ Fear __ Depart. __ __ __ __ __ __ __ __ __ __ __ __ Organization __ __ __ __ __ __ __ __ __ __ __ __ General: 1. 2. 3. 4. Growth Achievement Recognition Responsibility Department: 1. Growth 2. Recognition 3. Responsibility 4. Achievement 48

Organization: 1. Responsibility 2. Growth 3. Recognition 4. Achievement Q.6 Listed below are internal motivator which cause a person to act in a certain way . Which one or more would you regards as an internal motivator for employees? Ye s No Uncertain Recognition Promotion Achievement Opportunities and challenges of work Position of authority Interesting Job Profile Recognition of team/Group Positive interper sonal relationship Other (specify)_______ 49

Positive interpersonal relationship Recognition of team/ group Intresting job pr ofile Position of Authority Opportunities and Challenges of Work Achivement Prom otion Recognition 0% 20% 40% 60% 80% 100% Yes No Uncertain Q.7 External motivators are the factors which motivate an employee but they are not related to his job. Listed below are some external motivators which cause a pers on to act in a certain way. Which one or more would you regards as an external m otivator for employees? Seldom Sometime Often Always Never Personal need Personal value Personal attitude Personal interest Work secu rity Variety of skills to do different jobs Opportunity to complete task Working independently External Feedback on performance Any other (Specify)_____ 50

e rn l fe d a o p rfo a ce ly o p rtu ity toco p teta iffe n b wo se rity rk cu rso a V lu e nl a e P rso 8% 0 9% 0 10 0%

xte a e b ck n e rm n wo in po n m le sk v ria o sk tod P rso a in re e n l te st P a n e e nl ed 0 % 1% 0 2% 0

in e e d n rk g d p n e t d re t jo s a ty f ills o rso a a d e n l ttitu e P 3% 0 4% 0 5% 0 6% 0 7% 0

Nvr ee S ld m e o S m tim s o e e O n fte A a lw ys Q.8 Which type of incentive motivates employees in the organization? Monetary Non- m onetary Both 1% 3 0 % M n to o e ry n n m n to o - o e ry b th o 8% 7 Q.9 Which type should be implemented? Monetary Non- monetary Both Any other (Specify ) ________ 51

16% 11% 5% Monetory non- monetory both Any other 68% Q.10 Which one or more of the leadership style of manager will work or not work in this organization? Leadership style Will work Autocrat Democrat Laissez-faire (Who allow the things to happen, not try to control them) Transformational Part icipative Any Other(Specify)__________ Will not work Any other Participative Transformational Laissez-fair Democrat Autocrat 0% 20% 4 0% 60% 80% 100% Will work Will not work Q.11 What is an average age of your department people? (Excluding You) 18-25 25-35 35 -50 Above 50 52

19% 0% 6% 18-25 25-35 35-50 above 50 75% Q.12 Which age group mainly goes for monetary benefits? 18-25 25-35 35-50 50 and abov e 11% 0% 28% 18-25 25-35 35-50 above 50 61% Q.13 Which age group mainly goes for non monetary benefits? 18-25 25-35 35-50 50 and above 53

12% 47% 6% 18-25 25-35 35-50 above 50 35% Q.14 How do you keep your department people motivated? By having dialogs By rewa rds Appreciation None of above any other (Specify) __________ 6% 31% By Having dialoge By rew ards 38% 25% by appreciation none of the above Q.15 Which of the following factors act as a motivator? Rate them on the scale of 1-5 Aspects Work culture Working conditions Job security Seniors Working environmen t Ratings 54

Subordinates Fear Performance Aspect/Ratings Work culture Working conditions Job security Seniors Working environment Subordinates Fear Performance 1 2 3 4 5 Ra tings Given by HODs/Managers 0 1 4 6 6 1 2 2 5 7 7 4 3 2 1 1 4 2 6 4 1 2 2 5 7 4 3 6 3 1 9 3 4 1 0 0 0 3 4 10 Q.16 Is performance appraisal a right tool to motivate employees? Yes No Sometim es 38% Yes no sometimes 49% 13% Q.17 If answer to above question is yes then how much is the effect of the performanc e appraisal on the motivation? 0-25% 25-50% 50-75% 55

75-100% 17% 25% 0-25% 25-50% 50-75% 25% 33% 75-100% Q.18 Is the same appraisal policy applied for all who are performing the kind of task with the same efficiency? Yes No same 27% yes no 73% Q.19 How would you describe the work in your department? Monotonous With variety in work High pressure work Challenging 56

Lot of traveling 4% 22% 15% Monotonous With Variaty in w ork High pressure w ork 26% Challanging lot of trev elling 33% Q.20 On which basis would you like your department people to get rewards or reco gnition? Individual performance Group performance People involved in doing some particular work (Team work) Organizational reward 8% 23% 38% Individual performance Group performance Team w ork Organisational re w ard 31% Q.21 How do you grade your department people?

Highly Motivated Motivated Somewhat motivated 57

Less Motivated De-motivated 13% 6% 6% Highly Motivated Motivated Sometimes motivated 19% 56% Less Motivated Demotivated Q.22 Do you discuss your department people about there performance? Yes No Somet imes 0% 6% yes no sometimes 94% Questionnaire for the Staff-Employees Q.1 From how many years you are working wi th this organization? Less than one 58

One to two Two to Three More than Three 37% 26% Less than one One to tw o Tw o to Three 11% More than Three 26% Q.2 What is your current gross salary per month? Less than 5000 5000 to 10000 10000 to 15000 More than 15000 0% 16% Less than 5000 5000-10000 10000-15000 More than 15000 63% 21% Q.3 As TYA is having a worker oriented approach, do you feel that there are adequate staff friendly policies? Yes 59

No Cant say 25% Yes No 55% 20% Cant Say Q.4 What do you feel about the work in your Department? Monotonous Challenging Comfo rtable Confusing/ Always fire fighting 22% 4% Monotonous Challaning 44% Comfortable Confusing/ Alw ays Fire Fighting 30% Q.5 Do you feel money is the only motivating factor? Yes 60

No Not for all 5% 42% Yes No 53% Not for All Q.6 How much increment in salary Motivates you? 0-25% 25-50% 50-75% 75-100% 11% 16% 21% 0-25% 25-50% 50-75% 75-100% 52% Q.7 Does your superior keep you adequately motivated? If yes how? 61

Yes / No / Sometimes ( Tick one ) 37% 42% Yes No Sometimes 21% Q.8 When your motivational levels are low what would you like to do? Talk with collo gues or seniors Take a leave Still you try to work because you have deadlines Yo u handover work to someone else Quit/ Change the job Any other (Specify) _______ ___ Tak w ith collogues/seniors Take a leave 35% Still try to w ork because of deadl ines you handover w ork to someone else 9% quit/change the job any other 0% 13% 0% 43% Q.9 After achieving your set target, how do you get motivated? 62

Monetary benefits Recognized in public Reward Setting higher targets 23% 39% Monetary benefits Recognized in public Rew ard 15% 23% Setting higher ta rget Q.10 Do you think an addition of any of the following benefits will lead to more motivation of employee? Individual reward Group reward Organizational reward An y facility/ concession/privilege other than what you are getting (Specify) _____ ________ Individual rew ard 5% 10% Group rew ard 24% 61% Organizational rew ard Any facility, previllage, concession other than w hat you are getting 63

Q.11 How do you keep yourself stress free from your regular work? By joining Hobby cl ub Meet regularly with your friends Playing games Weekend parties Entertainments (like: movies/ theater) Any other (specify) ______________ 15% 15% 15% By joining hobby club Meet regularly w ith friends Playing games Weekend Parties 32% Entertainment Any other 8% 15% Q.12 Do you feel stress free environment leads to motivation at work place? Yes No 5% Yes No 95% 64

Q.13 On Maslows need hierarchy theory what do you think your need is? Need for belonging ness Need for affiliation Need for social needs Need for self-esteem Need for se lf actualization 5% 38% 5% 26% Need For Belongingness Need for Affiliation Need for Social Needs Need for Self Esteem 26% Need for Self Actualisation Q.14 Does Job enrichment, job rotation and job specification are the motivating tools for the employees? Yes No Cant say Sometimes Yes 47% 53% 0% No Cant say Sometimes 65

Q.15 Do you feel that to keep the employee motivated each department head should disc uss with him/her, individuals/employees future plans and past performances? Yes No Not necessary Important tasks only 0% 5% Yes No Not Necessary 95% Important Tasks Only Q.16 How would you prefer to set your career planning? By organization By yourse lf Both 21% By Organisation 11% 68% By Yourself Both 66

Q.17 Do you feel career planning is one of the tools for employee retention and motivation? Yes No Cant say 16% 5% Yes No Cant say 79% Q.18 Which of the following factors should be considered in the career planning? Rank them Educational qualification Total experience of employee Employees exper ience in organization KSAs (Knowledge, Skill, Ability) Product related knowledge Interest/ Enthusiasm of employees Any other (Specify) __________ __ __ __ __ __ __ __ As per the employees in the organization by and large all the think which are pr ovided here should be taken in consideration but what they feel more important i s the knowledge, skill, ability(KSAs) to which 17 employees rank as a most prefer able and second preference of approximately all the employees is Employees experi ence in the organization. 67

Q.19 Do you participate in decision making process about your work? Never Seldom Whenever asked for Always 0% 5% Never Seldom 53% 42% Whenever Ask for Alw ays Q.20 How would you describe the following when you are at work? (Please tick.) Very G ood Good Fair Poor Very poor Energy levels Mood Concentration Stress levels 68

Very P oor P oor E nergy level Fair Good Very good 0% 20% 40% 60% 80% 100% M ood C oncentration Stress Level Q.21 Does employee participation in decision making motivates an employee? Yes No Can t say 21% 0% Yes N o C Say ant 79% Q.22 Conducive (likely) work environment that will promote motivation of employe es in the workplace should be Physical acceptance Safe Satisfying social needs Emphas izing respect and trust Allowing free communication Accepting diverse opinion An y Other (Specify) __________________ Yes No 69

An O e y th r Acce tin D rse O tio p g ive p n A win F e C m u ica n llo g re o m n tio Epa m h sisin R sp ct A d T st g e e n ru S tisfyin S cia N e s a g o l ed S fe a P ysica A p n h l cce ta ce 0 % 2% 0 4% 0 6% 0 8% 0 10 0% Ye s N o Q.23 How does decision making contribute to motivation? Employee Belongingness E mployee Satisfaction Transparency - make you feel secured None of the above Any Other (Specify) _______ 4% 0% 32% 32% Belongingness Satisfaction Transferancy None Of above Any other 32 % 70

Analysis 71

As above data show that the people in the organization wants not only monetary b ut they also wants the non-monetary benefits in the way of recognition in public and other rewards. In all it is the mix pool of all the views of HODs, managers and staff employees where overall view is that people at different level always requires the different kind of rewards which prove the MASLOWs NEED HIERARCHY THEO RY very right at organizational level. The response of all the people in organiza tion towards this program is very positive and they all have given some good vie ws and also they have provided with good quality response which is very helpful during making the motivational policy and implementation phase of the program. 72

73

Suggestions Program recommended: 1. Program for individual employees: As MRM is held every m onth, each department head should keep a watch on each and every employee and wh oever performs best in that month in his department. HOD should give his name to the CEO/COO. After each and every department gives their employees name, HR dep artment will organize one monthly program. In which all those people whom CEO/CO O will also consider as the best performer for the month should be given some in centives like Movie tickets, gifts, shopping vouchers, dinner parties, paid trip s, outings etc. If any employee gets this reward continuously for three months w ill get some amount as bonus for his outstanding performance during that quarter . If management found that the person is performing above average for more than six months in that condition he will be eligible for increment or promotion. 74

If management found the name given by HOD is not performed well or decision of H OD is biased in that condition management can take other peoples views and take the decision on that basis or can do the double filter system for the purpose of removing the chances of biased decision. Every month the list of best performer s will be put on notice board. Every months rewards should be given by CEO/COO in presence of all the HODs and staff. 2. Responsibility : As people feel that the y can do better if they given opportunities and they like to take the decisions and responsibility so if instead of HODs taking all the decisions himself he can give the rights to the people and also make them responsible sometimes people do nt like to take responsibility in some cases in that kind of condition management can give them chance as high risk responsibility high rewards and for low level responsibility very low rewards. 3. Reverse mentoring: In this the decisions ar e taken by the HODs but they must be views coming from staff people and on that b asis on all peoples idea they can take any once idea which HOD found suitable. T he suitable idea which is get selected is rewarded in monthly meetings. 75

Limitation As a time for project is of only two months because of which it is not possible to see the effect of the motivational policy and response of the employees. Beca use of some IR issues it is not possible to take the views from the workers and make the program for the workers. Because of time constraint it is not possible to take the big sample of the employees to do the survey and take their views. 76

77

Bibliography/R eferences 5. K. Aswathappa Organisational Behavior Himalaya Publishing House Girgaon, Mumbai 6th revised and enlarged Edition, 2005. 6. Gary Dessler Human Resource Managemen t 7. TACO HR Manual 8. www.google.com 9. www.tacogroup.com 78

10. www.yahoo.com 79

Annexure 5. Questionnaire for HODs 6. Questionnaire for staff employees 80

Questionnaire for the HODs/Managers: Q.1 Since how long you are working in this organization? Less than one One to th ree Three to five 81

More than five Q.2 According to you, why people join this organization? Because of growth opportunity Because of Brand name Good working conditions Because they do not get job at any other place None of above any other (Specify) ___________ Q.3 What do you think about Companys current HR policies? Excellent Very good Go od Average Q.4 As a Department head/Manager which of the following factors motiv ates you? Subordinates performance Work completed on time Employees taking and u nderstanding responsibility You want to perform on your own Any other (Specify) Q.5 According to you what motivates an employee in general, in your department and i n this organization rank them. (From 1 to 11) Achievement Recognition Responsibi lity Incentives General __ __ __ __ 82 Depart. __ __ __ __ Organization __ __ __ __

Growth Perks Gifts Bonus Fringe benefits Cash benefits Appreciation in public Fe ar Q.6 __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ __ Listed below are internal motivator which cause a person to act in a certain way . Which one or more would you regards as an internal motivator for employees? Ye s No Uncertain Recognition Promotion Achievement Opportunities and challenges of work Position of authority Interesting Job Profile Recognition of team/Group Positive interper sonal relationship Other (specify)_______ External motivators are the factors which motivate an employee but they are not related to his job. Listed below are some external motivators which cause a pers on to act in a certain way. Which one or more would you regards as an external m otivator for employees? Never Seldom Sometime Often Always Personal need Persona l value Personal attitude Personal interest Q.7 83

Work security Variety of skills to do different jobs Opportunity to complete tas k Working independently External Feedback on performance Any other (Specify)____ _ Q.8 Which type of incentive motivates employees in the organization? Monetary Non- monetary Both Q.9 Which type should be implemented? Monetary Non- monetary Both Any other (Specify) ________ Q.10 Which one or more of the leadership style of manager will work or not work in this organization? Leadership style Will wo rk Will not work Autocrat Democrat Laissez-faire (Who allow the things to happen , not try to control them) Transformational Participative Any Other(Specify)____ ______ Q.11 What is an average age of your department people? (Excluding You) 18 -25 25-35 35-50 Above 50 84

Q.12 Which age group mainly goes for monetary benefits? 18-25 25-35 35-50 50 and abov e Q.13 Which age group mainly goes for non monetary benefits? 18-25 25-35 35-50 50 and above Q.14 How do you keep your department people motivated? By having dialogs By rewa rds Appreciation None of above any other (Specify) __________ Q.15 Which of the following factors act as a motivator? Rate them on the scale of 1-5 Aspects Rati ngs Work culture Working conditions Job security Seniors Working environment Sub ordinates Fear Performance Q.16 Is performance appraisal a right tool to motivate employees? Yes No Sometim es 85

Q.17 If answer to above question is yes then how much is the effect of the performanc e appraisal on the motivation? 0-25% 25-50% 50-75% 75-100% Q.18 Is the same appraisal policy applied for all who are performing the same ki nd of task with the same efficiency? Yes No Q.19 How would you describe the work in your department? Monotonous With variety in work High pressure work Challeng ing Lot of traveling Q.20 On which basis would you like your department people t o get rewards or recognition? Individual performance Group performance People in volved in doing some particular work (Team work) Organizational reward Q.21 How do you grade your department people?

Highly Motivated 86

Motivated Somewhat motivated Less Motivated De-motivated Q.22 Do you discuss your department people about there performance? Yes No Somet imes Q.23 Do you have any other comment or suggestion? If you have any idea to m otivate the people through different ways, please let us know. _________________ ____________________________________ ___________________________________________ __________ _____________________________________________________ _______________ ______________ Thank you for filling in this questionnaire Your input will help us to make the motivational program. Questionnaire for the Staff employees: Q.1 From how many years you are working with this organization? 87

Less than one One to two Two to Three More than Three Q.2 What is your current g ross salary per month? Less than 5000 5000 to 10000 10000 to 15000 More than 150 00 Q.3 As TYA is having a worker oriented approach, do you feel that there are a dequate staff friendly policies? Yes No Cant say Q.4 What do you feel about the w ork in your Department? Monotonous Challenging Comfortable Confusing/ Always fir e fighting Q.5 Do you feel money is the only motivating factor? Yes No Not for a ll Q.6 How much increment in salary Motivates you? 88

0-25% 25-50% 50-75% 75-100% Q.7 Does your superior keep you adequately motivated ? If yes how? Yes / No / Sometimes ( Tick one ) How _____________________________________________________ ______________________ _______________________________ ___________________________________ Q.8 When you r motivational levels are low what would you like to do? Talk with collogues or seniors Take a leave Still you try to work because you have deadlines You handov er work to someone else Quit/ Change the job Any other (Specify) __________ Q.9 After achieving your set target, how do you get motivated? Monetary benefits Rec ognized in public Reward Setting higher targets 89

Q.10 Do you think an addition of any of the following benefits will lead to more motivation of employee? Individual reward Group reward Organizational reward An y facility/ concession/privilege other than what you are getting (Specify) _____ ________ Q.11 How do you keep yourself stress free from your regular work? By jo ining Hobby club Meet regularly with your friends Playing games Weekend parties Entertainments (like: movies/ theater) Any other (specify) ______________ Q.12 D o you feel stress free environment leads to motivation at work place? Yes No How ? _____________________________________________________ ________________________ _____________________________ __________________________________________________ ___ _____________________________ Q.13 On Maslows need hierarchy theory what do you think your need is? Need for belongingness Need for affiliation Need for social needs Need for self-esteem 90

Need for self actualization Q.14 Does Job enrichment, job rotation and job speci fication are the motivating tools for the employees? Yes No Cant say Sometimes Q .15 Do you feel that to keep the employee motivated each department head should discuss with him/her, individuals/employees future plans and past performances? Ye s No Not necessary Important tasks only Q.16 How would you prefer to set your ca reer planning? By organization By yourself Both Q.17 Do you feel career planning is one of the tools for employee retention and motivation? Yes No Cant say Q.18 Which of the following factors should be considered in the career planning? Ran k them Educational qualification Total experience of employee Employees experienc e in organization KSAs (Knowledge, Skill, Ability) Product related knowledge 91 _ _ __ __ __ __

Interest/ Enthusiasm of employees Any other (Specify) __________ __ __ Q.19 Do you participate in decision making process about your work? Never Seldom Whenever asked for Always Q.20 How would you describe the following when you ar e at work? (Please tick.) Very Good Energy levels Mood Concentration Stress leve ls Good Fair Poor Very poor Q.21 Does employee participation in decision making motivates an employee? Yes No Can t say Q.22 Conducive (likely) work environment that will promote motivation of employe es in the workplace should be Yes Physical acceptance Safe Satisfying social needs Em phasizing respect and trust Allowing free communication No 92

Accepting diverse opinion Any Other (Specify) __________________ Q.23 How does d ecision making contribute to motivation? Employee Belongingness Employee Satisfa ction Transparency - make you feel secured None of the above Any Other (Specify) _______ Q.24 Do you have any other comment or suggestion? If you have any idea to motivate the people through different ways, please let us know. _____________ ________________________________________ _______________________________________ ______________ _____________________________________________________ ___________ __________________________________________ _____________________________________ ________________ _____________________________________________________ _________ __ Thank you for filling in this questionnaire Your input will help us to make t he motivational program. 93