A Project Report on Analysis of effect of Industrial relation on the quality of life of workmen PDF

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A Project Report on Analysis of effect of Industrial relation on the quality of life of workmen Undertaken at Heavy Engineering Corporation Limited, Ranchi Submitted in Partial fulfillment of the requirement for the award of the degree of Integrated Master of Business Administration to Birla Institu...

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A Project Report on

Analysis of effect of Industrial relation on the quality of life of workmen Undertaken at

Heavy Engineering Corporation Limited, Ranchi

Submitted in Partial fulfillment of the requirement for the award of the degree of Integrated Master of Business Administration to Birla Institute of Technology, Mesra, Ranchi Allahabad Campus

Under the guidance of Mr.Deepak Dubey Sr. Deputy General Manager HMBP,HEC LTD.

Submitted by Mrigank kumar Dutta IMBA-VI semester Enrollment No.-IMBA/3005/2011

Department of Management Birla Institute of Technology, Mesra, Ranchi Allahabad Campus 2014

Birla Institute of Technology, Mesra, Ranchi Allahabad Campus

DECLARATION I, Mrigank kumar Dutta, student of VI semester, studying at Birla Institute of Technology, Mesra, Ranchi Allahabad Campus hereby declare that the report of the project work entitled “Analysis of effect of industrial relation on quality of life workmen in HEC LTD.” submitted to Birla Institute of Technology, Mesra, Ranchi Allahabad Campus in partial fulfillment of the requirement for the award of the degree of Integrated Masters of Business Administration is the original work conducted by me.

I assert that the statement made and conclusions drawn are an outcome of the project work. No part of the report is plagiarized from other sources. All information included from other sources has been duly acknowledged. This summer training report is not being submitted to any other university for the award of any other Degree, Diploma, or Fellowship.

Date:-

Mrigank kumar Dutta (IMBA/3005/2011)

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Acknowledgement We are pleased to present the project report on “Analysis of effect of Industrial Relation on the Quality of Life of workmen in Hec Limited” in the printed form. We are grateful to Mr. Deepak Dubey, Senior Deputy General Manager, Personnel and Administration Department, HMBP, HEC Ltd. Ranchi, for his support, valuable suggestions, comments and guidance in completing the research study. I would also like to thank all workers and employees who had given their valuable time to us.

It is high privilege for me to express my deep sense of gratitude to all the faculty members who helped me in the completion of the project, especially my internal project guide Prof.Nidhi Tiwari who was always there at hour of need.

My special thanks to all other faculty member‟s, batchmates, & seniors of Birla Institute of Technology, Mesra(Ext. Centre-Allahabad) for helping me in the completion of the project and its report submission.

Mrigank kumar Dutta IMBA/3005/2011

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EXECUTIVE SUMMARY This is the internship report on the topic “Analysis of effect of industrial relation on quality of life of workmen at Hec Ltd.” based on the two months internship program that I have successfully completed in Hec Ltd. under Human resource division from 29/04/13 to 11/6/13 as a requirement of my Integrated Master of business administration program on department of management, Birla institute of Technology, Mesra, Allahabad campus. As being completely new to practical, corporate world setting, every hour setting spent in the HRD gave me some amount of experience all the time, all of which cannot be explained in the words. But nevertheless, they were all useful for my career. Heavy Engineering Corporation Limited is India‟s largest integrated engineering complex with all its four units namely-: 1. Foundry Forge plant (FFP) Manufacturer of heavy casting and forging for various equipment‟s related to steel plant, power, defence, Nuclear energy etc. 2. Heavy machines Building plants(HMBP) Design and manufacture equipment‟s and their components for steel plant, Mining, Power, cement, aluminum, space research etc. 3. Heavy machines tool plant(HMTP) Design and manufactures medium and heavy duty CNC & conventional machines tools. 4. Project division Concept to commissioning of turnkey projects related to bulk materials handling, cement plants and other sectors. The main objective of the study is to analyse the effect of industrial relation on the quality of life of workmen at Hec Ltd. and to investigate the level of satisfaction of the workers regarding industrial relation at Hec Ltd. For this purpose I had collected primary data by conducting survey in all shops (including workshop, welding shop, forging shop, tool shop etc) of Heavy machines building plant (HMBP/HEC) by preparing questionnaire. A period of two weeks was given to us for this purpose. Page 3

RESEARCH APPROACH AND METHODS The study was guided by the questionnaire containing the following main question: 1.) State of Industrial relation at Hec LTD. 2.) Level of satisfaction of workers & employees from pay rate and promotional standards at Hec Ltd. 3.) Is collective bargaining effective in solving a conflict and reaching to a mutual agreement. The survey selects a total of 100 samples from all shops of Heavy Machines building plant(HYMBP), Hec Ltd. I had usedsimple random sampling technique for approaching the respondent. Since many semi-skilled workers were not well educated so I had personally assisted them in filling up the questionnaire. After the survey analysis it is found that majority of workers (74%) are satisfied with the industrial relation and have a good positive industrial relation, while 16% said it is very satisfactory and 10 % said it is average so it can be conclude that there is a positive state of industrial relation at Hec Ltd. Moreover it is found that, very rarely disputes occur at shops of Heavy Machines Building Plant(HMBP) between workers, as 56% of workers have responded that there is no negative impact of industrial relation on their quality of life & most of the workers have responded that they had a good state of personal growth after joining Hec Ltd. Hence we can conclude that Industrial relation have a positive effect on the quality of life of workmen at Hec Ltd.

Further in order to improve Industrial Relation there should be certain and regular meeting between workers and management  Work place meetings  Better communication between higher officials and workers  Regular visit to the shops by higher officials  There should be direct feedback of problem faced at work placed

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In order to improve Industrial Relation payment of salary and wages should be done on time. Technology should be upgraded, New machines should be installed. Trainee should be upgraded to permanent instead of recruiting new ones because trainees have better know how of machines and their operations, their pros and cons. The welfare facilities like toilet, drinking water, hygienic working condition, maintenance of quarters should be improved, better medical facility should be provided. Motivational sessions should be conducted at shop floor level and efforts of the workers should be appreciated in terms of rewards, incentives etc. in order to improve to improve the Industrial Relation at Hec Ltd. The Report ends with conclusion and Recommendation based on the survey findings.

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CONTENTS EXECUTIVE SUMMARY .......................................................................................................... 3 CHAPTER-I: INTRODUCTION ................................................................................................ 7 1.1 COMPANY PROFILE ....................................................................................................... 7 1.2 BREIF HISTORY OF HEC LTD. .................................................................................... 7 1.3 HEC LTD.'S PLANTS ........................................................................................................ 9 1.4 VISION OF THE COMPANY ......................................................................................... 13 1.5 MISSION OF THE COMPANY ...................................................................................... 13 1.6 OBJECTIVES OF THE COMPANY ............................................................................. 13 1.7 MAJOR CUSTOMERS .................................................................................................... 14 1.8 MAJOR ACHIVEMENTS OF HEC LTD. .................................................................... 17 1.9 CORPORATE SOCIAL RESPONSIBILITY ................................................................ 18 CHAPTER-II:INDUSTRIAL RELATION AND QUALITY OF LIFE................................ 22 2.1 INDUSTRIAL RELATION AND QUALITY OF LIFE ............................................. 22 CHAPTER III:RESEARCH DESIGN ..................................................................................... 24 3.1 RESEARCH PROBLEM ............................................................................................... 24 3.2 OBJECTIVE OF THE STUDY ...................................................................................... 25 3.3 SCOPE OF THE STUDY ................................................................................................. 26 3.4 RESEARCH METHODOLOGY .................................................................................... 27 3.5 SAMPLE SIZE .................................................................................................................. 27 3.6 SAMPLING METHOD .................................................................................................... 27 CHAPTER IV: DATA ANALYSIS AND FINDING ............................................................... 28 CHAPTER-V: CONCLUSIONS ............................................................................................... 47 CHAPTER-VI: LIMITATIONS ............................................................................................... 48 CHAPTER-VII: SUGGESTIONS............................................................................................. 49 BIBLIOGRAPHY ....................................................................................................................... 50 ANNEXURE: QUESTIONNAIRE............................................................................................ 51

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CHAPTER-I: INTRODUCTION 1.1 COMPANY PROFILE Heavy Engineering Corporation Ltd. (HEC),Situated in Ranchi and is one of the largest Integrated Engineering Complex in India, manufactures and supplies capital equipment & machineries and renders project execution services required for core sector industries. It has complete manufacturing set up starting from castings & forgings, fabrication, machining, assembly and testing – all located at one location(Ranchi) backed by a strong design, engineering and technology team. It has contributed in the indigenization and expansion of Steel Plants and modernization of coal sector. It has saved valuable foreign exchange for the country as most of the products manufactured by it are import substitute in nature. HEC has special focus in the following sectors: • Space • Steel • Mining • Power & Energy • Railways Application • Defense 1.2 BREIF HISTORY OF HEC LTD. Independent India under the leadership of Pandit Jawaharlal Nehru adopted central economic planning for the industrialisation of the country. Heavy Engineering Corporation (HEC) is one of the ambitious Industrial Projects for Infrastructure development of the Country that Pandit Jawaharlal Nehru termed „The Temple of Modern India‟. Steel plays a vital role in building country‟s infrastructure. Enhancement of steel production capability was given priority and it was envisaged that HEC will manufacture steel plant equipment and machineries that will add steel producing capability to the country. The company was incorporated on 31, December 1958 and on 15, November 1963 Pandit Jawaharlal Nehru ,the first prime minister of India, dedicated HEC to the nation. HEC Ltd. is a Public Sector Undertaking, under Ministry of Heavy Industry, Government of India, is a leading organization in India. Page 7

HEC was incorporated on 31.12.1958 under the Companies Act, 1956. The company started production in the year 1964. It was established under the Ministry of Industry with the primary objective of achieving self-sufficiency and selfreliance in the field of design and manufacture of equipment and machinery for core sector, especially steel industries. It was visualized at that time that one steel plant of one million ton capacity will be added every year in India, which however, did not materialize. Consequently the demand for steel making machinery was never as high as it was expected. Hence HEC diversified its area of operation in other core sectors like mining, railways, defence etc. Currently, the company is engaged in the manufacture and supply of capital equipment, machine tools and spares needed for the core sector industries namely; steel, coal, cement, power, defence, aluminum, ship building and railways etc. The head office and three plants of the company are situated in Ranchi, the capital of the newly formed state Jharkhand. The company has its offices in New Delhi and Kolkatta. Capital Base: The authorised capital of the company is Rs. 500 crores and the paid up capital is Rs.453.24 crores. Existing Plant Facilities, Products and Past Collaborations: The company was set up with the capability to manufacture steel plant equipment that can enhance the steel producing capacity by one million tones per annum. The company has three manufacturing units and one consultancy Project division viz.

(i) Foundry Forge Plant (FFP) (ii) Heavy Machine Building Plant (HMBP) (iii) Heavy Machine Tool Plant (HMTP) (iv) Project Division (TKP)

The installed capacity of the plant units is as follows:(i) FFP: 44000 T of casting and forgings (ii) HMBP: 40,000 T of equipment and structures Page 8

(iii) HMTP: 120 nos. of machine tools.

Details of facilities available, the products and the past collaborators of the plant are as follows:1.3 HEC Ltd.'S PLANTS It consists of four units:

I.)

Foundry Forge Plant (FFP)

Manufacturer of heavy castings and forgings for various equipment related to Steel Plant, Power, Defense, Nuclear energy etc. The plant has floor area of 13,16,930 sq. m and 76000 tonnes of equipment installed. The plant was established in collaboration with SKODAEXPORT of erstwhile CSSR and equipped with facilities for melting, heavy and medium casting, all types of forging and machining. Some of the major facilities installed in the plant are as follows:        

Induction furnaces of capacity 0.5 t, 2t and 3t. Arc furnaces of capacity 5t, 10t, 20t and 60t. Vacuum arc degassing furnace of capacity 60t. Hydraulic forge presses of capacity 6000t, 2650t, 1650t and 1000t. 3t hammer, a series of small free forgings hammers and die forging presses. Various ranges of machine tools including one lathe of 53m bed length. Low frequency induction hardening machine for CRM rolls (25 mm depth). Centrifugal casting facility for slender bushes (350 mm dia and 1m long). Horizontal and vertical mist quenching equipment for quality heat treatment, producer gas & oxygen plant. The plant has also acquired technical know-how from the following agencies:-

 M/s Hitachi of Japan for updating forgings and forged roll technology.  M/s Creusot Loire of France for manufacture of diesel locomotive crankshafts.  M/s National Forge of USA for nitriding and machining of diesel locomotive crankshafts. Page 9

It manufacturers the following products:-

 Medium and heavy castings/forgings for coal, defence, railway power and other engineering sector - iron castings weighing upto 100t, steel castings weighing upto 90t, non-ferrous castings weighing upto 1t and forgings weighing upto 20t.  Rolls for hot rolling mill and cold rolling mill of steel plant.  Crankshafts for railways.  Rolling mills, slabbing mills, blooming mills, SG iron rolls etc. In addition this plant has also developed the following critical products: Armour plate forging for defence.  Turret castings for defence.  Propeller shafts for Navy.

II.)

Heavy Machine Building Plant (HMBP)

The plant was established in collaboration with ROMASEXPORT of erstwhile USSR and equipped with facilities for machining, gear cutting, heavy structurals and heat treatment. The plant comprises the following shops: Heavy Machine Shop  Medium and small machine shop  Reduction gear shop  Block of coke oven shop  Heat treatment and forging shop  Tools shop  Repair shop  Structural fabrication shop. Some of the major facilities installed in the plant are as follows:     

Giant lathe (SOB:4 m, CD:20m) CNC vertical turning and boring machine (job dia, 14m, job weight 250t) CNC plano milling machine (job size 3.5mx7mx2.5m,job weight 120t). CNC Horizontal boring machine (200 mm spindle dia x 18 m col.travel) CNC flame cutting machine (Max job size 25mx6.2m upto 500 mm thick). Gear cutting machine (max job dia 5m, max. module 40mm hobbing). Page 10

 The plant has also acquired technical know-how from the following agencies: M/s Schloemann Siemag (SMS) of Germany for Continuous Casting Plants.  M/s Lurgi GmbH of Germany for Sinter Plants.  M/s MANN of Germany for special purpose cranes.  M/s Bucyrus-erie of USA for 10 cu.m. excavators.  M/s Ransom and Rapier of UK for walking draglines.  M/s GHH Sterkrade of Germany for Mine winders and vertical transportation system.  M/s Orenstein and Koppel (O&K) AG of Germany for Hydraulic excavators. The plant designs and manufactures equipment and spares for the following: Steel plants.  Coal/mining equipment viz. 5 and 10 cu.m. rope shovels, hydraulic shovels, draglines, crushers and grinders, material handling equipment etc.  Aluminium, power, defence, space research and atomic energy etc.

It has also a design and technology wing manned with trained and experienced engineers. Some of the major equipment successfully designed by HMBP are as follows: Steel Plant Equipment       

Sinter plant equipment (75 sq.m. to 312 sq.m.) Coke Oven batteries (4.3 m to 7 m tall ovens). Blast furnace (1033 cu.m. to 3200 cu.M) Steel melting shop equipment (100t to 300t LD converter) Continuous casting plant (for slabs/blooms/billets) Rolling mill equipment including 3600 mm plate mill EOT crane (up to 450t capacity).

Mining Equipment

 Draglines upto 24 cu.m. Capacity and 96m boom.  Electric rope shovels (5/10/12.5 cu.m. capacity). Page 11

 Primary gyratory, secondary and tertiary cone crushers and double toggle jaw crushers of various sizes.  Mine winders upto drum dia 4.6m  Folding cum-vertical repositioning platform for India Space Research Organisation (ISRO)

III.) HEAVY MACHINE TOOLS PLANT (HMTP) The plant was established in collaboration with SKODA of erstwhile, CSSR and equipped with facilities for manufacturing heavy machine tools-both conventional and CNC version. It has also design and R&D wing manned with trained and experienced engineers. The plant is equipped with CNC machine tools, conventional machine tools, induction hardening equipment etc. Subsequently, the plant has also acquired technical know-how from the following agencies: M/s HERCULES of Germany for roll grinding machines  M/s HEGENSCHEIDT of Germany for railway lathes  M/s O-M of Japan for vertical borers.  M/s BOEHRINGER of Germany for plano-milling machines The plant designs and manufactures equipment and spares for the following:-

 Special purpose railway machine tools  CNC & Conventional machine tools in the medium and heavy rang for core sectors and defence like vertical turning and boring machine, roll turning lathe, roll grinding machine, deep hole boring machine, planer, planomilling machine etc. It also has also a fully equipped development wing and design section with CAD center, prototype assembling and testing facilities and manned with qualified and experienced engineers. HMTP has successfully indigenized the design ...