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SUMMER TRAINING REPORT ON EMPLOYEE ENGAGEMENT AT TATA TELE SERVICES LTD. BHUBANESWAR Prepared By SIDDHARTH CHATTERJEE Regt No-MIMTS/10-12/05 Batch:2010-2012 UNDER THE GUIDANCE OF College Guide PROF.SARMISTHA MISHRA Company Guide: MS.PUSPANJALI KAR

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Page 1: api.ning.comapi.ning.com/.../SIDEMPLOYEEENGAGEMENT.docx · Web viewTata Teleservices Ltd., Bhubaneswar for giving me their active guidance, supervision and constant inspiration for

SUMMER TRAINING REPORTON

EMPLOYEE ENGAGEMENTAT

TATA TELE SERVICES LTD.BHUBANESWAR

Prepared BySIDDHARTH CHATTERJEE

Regt No-MIMTS/10-12/05Batch:2010-2012

UNDER THE GUIDANCE OF

College Guide PROF.SARMISTHA MISHRA

Company Guide: MS.PUSPANJALI KAR

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DECLARATION

I Siddharth Chatterjee a student of Mahendra Institute of Management and Technical Studies,BBSR , bearing Regt no-MIMTS/10-12/05 ,do hereby declare that this project report entitled “ Employee Engagement ” at TATA Teleservices is the outcome of my own work and University / Institute before.

I also declare that the data provided in this report are true and fair to the best of my knowledge and the interpretations and are based on my own understanding and judgment.

Date: Siddharth ChattrejeeMIMTS/10-12/05Place: BHUBANESWAR MIMTS

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ACKNOWLEDGEMENT

I feel it is a great privilege to acknowledge my sincere obligation and deepest gratitude to Mr. Shibashis Mishra (HR Head),Miss Puspanjali kar(Assistant Manager HR),Mr. Ayaskant Nanda (Assistant Manager HR), in Tata Teleservices Ltd., Bhubaneswar for giving me their active guidance, supervision and constant inspiration for successful preparation of this project.

I would also extend my thanks to my project guide Prof.Sarmistha Mishra who has given me enough flexibility to complete my project.

Siddharth Chatterjee Regt no-MIMTS/10-12/05

MIMTS,PITAPALI

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Index

CHAPTER PATICULARS PAGE No1. Introduction

Literature review Scope and Importance of the study Objectives of the study Methodology of the study Limitation of the study

6-13

2. Profile of the Organization Introduction TQMS TBEM JRD QV Awards Evaluation Process

14-40

3.Practices in the Organization

Techniques of retention in TTSL Employee Engagement Employee satisfaction factors Employee and motivational activity in TTSL Elements of the Employee Engagement Elements of the Employee engagement model [DARPAN] Recognition and Reward System People Touch – IT Enabled HR

41-47

4. Questionnaire 48-495. Analysis of Questionnaire 50-616. Findings 62-637. Suggestions 64-658. Conclusion 66-679. Bibliography 68-69

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INTRODUCTION

Literature review

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EMPLOYEE ENGAGEMENT

Employee Engagement at its best would imply heightened level of ownership where each employee wants to do whatever they can for the benefit of the internal and external customers ,and for the success of the organization as a whole.

We give a lot of importance to talent engagement because of correlations between employee engagement and desirable business outcomes such as retention of talent ,customer service ,individual performance ,team performance, business unit productivity ,and even enterprise –level financial performance.

In order to meet Employee Expectations and engage them on a continuous basis, some organisations have developed the Employee Engagement Model (EEM).

Attributes of Employee Engagement

There are the 10 most important attributes which lead to better employee engagement

1. Communicate: Project managers should clearly indicate their expectations from and about the employee. They should also provide feedback to the employees regarding their work and performance.

2. Career: Management should provide meaningful work to the employees along with career growth opportunities.

3. Confidence: Good managers should induce and boost confidence in an employee.

4. Control: Managers should let the employees utilize the control which they have on their job and career.

5. Clarity: Managers should have a clear vision of what job is to be done and how it is to be done. Also the managers should effectively communicate these visions and plans.

6. Collaborate: Good coordination and relationships should me maintained within a team. Managers should motivate their employees to work in and as a team. He should also take steps to cultivate trust among the team members.

7. Compliment: Give recognition to the employee for the job well done.

8. Connect: Managers should make their employees feel valuable and important. Show that you care.

9. Contribute: Give opportunities to employees to contribute in the management decision making process. Ask for suggestions, new ideas, and ways of improvement.

10. Credibility: Managers should set examples for the employee by imbibing and teach others to practice ethical standards and practices. He should maintain company’s reputation.

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Key Drivers of Employee Engagement

The key drivers of employee engagement are:

• Type of job: The job should be challenging enough to motivate the employee. The employee should be interested in his/her job.

• Relationship between employee and organizational performance: The employee should know how he and his work are contributing to the organization’s goals.

• Growth opportunities:

The employee should have ample opportunities for his career development and growth.

• Brand name: The employee should feel proud of being associated with the organization.

• Coworkers: The nature and type of co workers also influences the employee engagement level.

• Skills enhancement: Employee should get ample on-the-job opportunities to develop their skill set.

• Relationship with the boss: Employee should value his relationship with his boss.

All these factors when combined help in increasing employee engagement levels.

Measuring Employee Engagement

In order to increase employee retention, the organization should know how engaged their employee are. Here are a few questions which can be asked to the employees to measure employee engagement levels in the organization.

10 Questions to measure employee engagement

1. Does the employee know the organization’s expectations from him?2. Does the employee have all the resources (material, tools, information) to do his

work right?3. Does the employee find opportunities at work to do what he is best to do?4. Does the employee get any recognition, praise or acknowledgement for his work

in the last seven days?5. Does the supervisors or colleagues care about the employee as a person?6. Is the employee encouraged for his development at work? 7. Does employee’s opinion matters or counted?

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8. Does the employee feel that his work is important for the organization?9. Are your fellow employees doing quality work or are committed to do so?10.Does the employee have a best friend at work?

Increasing Employee Engagement

An organization’s productivity is measured not in terms of employee satisfaction but by employee engagement. Employees are said to be engaged when they show a positive attitude toward the organization and express a commitment to remain with the organization.

Organizations that believe in increasing employee engagement levels focus on:

1. Culture: It consists of a foundation of leadership, vision, values, effective communication, a strategic plan, and HR policies that are focused on the employee.

2. Continuous Reinforcement of People-Focused Policies: Continuous reinforcement exists when senior management provides staff with budgets and resources to accomplish their work, and empowers them.

3. Meaningful Metrics: They measure the factors that are essential to the organization’s performance. Because so much of the organization’s performance is dependent on people, such metrics will naturally drive the people-focus of the organization and lead to beneficial change.

4. Organizational Performance: It ultimately leads to high levels of trust, pride, satisfaction, success, and believe it or not, fun.

Increasing employee engagement

Provide variety: Tedious, repetitive tasks can cause burn out and boredom over time. If the job requires repetitive tasks, look for ways to introduce variety by rotating duties, areas of responsibility, delivery of service etc.

Conduct periodic meetings with employees to communicate good news, challenges and easy-to-understand company financial information. Managers and supervisors should be comfortable communicating with their staff, and able to give and receive constructive feedback.

Indulge in employee deployment if he feels he is not on the right job. Provide an open environment.

Communicate openly and clearly about what's expected of employees at every level - your vision, priorities, success measures, etc.

Get to know employees' interests, goals, stressors, etc. Show an interest in their well-being and do what it takes enable them to feel more fulfilled and better balanced in work and life.

Celebrate individual, team and organizational successes. Catch employees doing something right, and say "Thank you."

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Be consistent in your support for engagement initiatives. If you start one and then drop it, your efforts may backfire. There's a strong connection between employees' commitment to an initiative and management's commitment to supporting it.

Handling Non-Engaged Employees

Not all the employees are engaged in an organization. There are those who are not engaged and tend to concentrate on tasks other than the goals and outcomes they are expected to accomplish. Efforts are to be made to raise levels of engagement for those who fall in the not-engaged range.

These non engaged employees want themselves to be spoon fed in terms of work targets and are rarely seen to take initiatives. They focus on accomplishing a task rather than achieving an outcome. Managers tend to believe giving targets to employees keeps them engaged. In real terms, manager who provides only a task to an employee reinforces not-engaged behaviors and actually move away from engaging the heart, mind, and soul of that employee.

Actively disengaged employees aren't just unhappy at work. They spread their discontentment to every other employee and undermine the work of others. They are not just indifferent to company goals and mission but also express their mistrust and animosity. Employees who are not engaged tend to feel their contributions are being overlooked, and their potential is not being tapped. They often feel this way because they don't have productive relationships with their managers or with their coworkers.

Too often people have to work with others who have become actively disengaged. The way to get people to become a part of an organization is through relationships. Employees who feel disconnected emotionally from their coworkers and supervisor do not feel committed to their work. They hang back and do the minimum because they believe their contribution hardly counts. These employees lower the bar for themselves by doing the least amount of work necessary. Managers should try to interact with these non engaged employees so as to identify the improvement areas. Providing consistent and positive feedback to the subordinates can help in boosting the morale of non engaged employees. By exhibiting a caring nature, manager can show his employees of what importance they are to him. Managers can also help employees refocus on the demands of their roles and on the skills, knowledge, and talents they bring to their jobs. The manager who takes the proper time to have a dialogue about an employee's strengths and how these can make a difference creates essential ties that lead to employee commitment.

As employees increasingly work with each other to deliver commitments, the problems and tensions that are fostered by actively disengaged workers cause great damage to an organization's functioning. A good manager has to identify those who are

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disengaged and explore the reasons behind their discontentment to determine if coaching or other interventions are appropriate. In some cases, employees respond favorably to opportunities to reconnect and rekindle their interest and enthusiasm for their jobs. However there are some who thrive on the negativity and refuse to become part of any solution. If they repeatedly refuse opportunities to engage again, terminating their employment should be seriously considered in order to avoid further damage to staff morale and organizational progress.

Employee Scheduling

Higher employee retention rates call for innovative methods of managing workforce. Employees are leaving their workplaces at a faster pace because of which managers have to take corrective action to make employees stick to their organizations. One of the reasons why employees leave is low levels of work engagement among them. Poor scheduling of work may result in employees who either are overloaded with work or don’t have any work at all. For the purpose of engaging employees effectively, managers follow the workforce scheduling process.

Employee scheduling refers to the assignment of tasks between the employees. It is a difficult and a time consuming process. It involves producing detailed daily (or monthly) schedules for individual employees while taking the organization’s goal into consideration.

Managers often misuse workforce scheduling to refer to employee scheduling. Workforce scheduling is basically the short-term allocation of tasks in time. The people scheduled are assumed to be homogeneous in terms of their skills, that is, individual skills are not taken into account while scheduling employees. On the other hand, employee scheduling takes into account individual skills and distinguishes employees in terms of their skills and abilities.

How it is done

Following points are to be taken into account while scheduling employees:• Set of skills and the level of proficiency for each employee. This allows him/her to be assigned to simple tasks in a new skill, thus allowing a gradual development.

• Employees’ previous assignments so as to ensure that maximum work duration does not exceed in the current month or quarter.

• Skill and proficiency level required for each activity type.

• Company skills to develop, employees designated for training in these skills

• Scheduling history can also be used to produce schedules that are balanced with respect to values of counters.

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The companies create a scheduling model which is a detailed assignment of employees to activities or skills on each day of the week. The schedule must consider the different timely (daily or weekly) constraints on work and rest duration, total work duration and total work duration per skill. Since employee scheduling is a complex process, many software are available in market which make it an easy task like VasTech's integrated workforce management tools for scheduling. It focuses on workforce scheduling and self scheduling, credentialing and expiration notification, payroll, costing, and time and attendance systems.

Scope & Importance :-

This study related to the retention of employees was taken up at TATA TELE SERVICES LIMITED, BHUBANESWAR. This study is expected to help in motivating and make employees engaged by assigning work according to the ability and capacity of an employee and relating them to higher responsibilities by recognizing their developmental needs, satisfaction factors.

It aims at improving employee-employer relationship and makes employee committed towards organization for a longer period through mutual understanding, trust and transparency.

The study will help the organization to understand the commitment level of employee towards organizational goal and will fulfill their expectation by improving “Feel Good Factors” at working environment inside the organization.

Objectives Of the Study:-

In this project work, I have made an attempt to study the techniques used to retain and motivate employee at work in TTSL. The main objectives of the present study are stated below:

To critically assess the appropriateness of the existing systems and policies in concern to strength and weakness of company.

To assess the relative contribution of the employees in the form of commitment and involvement to accomplish organizational goal.

To highlight employees expectation against their job so that they will stay in company for longer time.

To examine the necessities for changes in the existing pattern of PMS system, R&R System, Training and Development Program, Engagement forum e.t.c.

To understand organization culture, corporate ethics and employees behavioral pattern.

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METHODOLOGY OF STUDY:-

The researcher adopted the descriptive research design method to do the survey at TTSL. A survey is conducted for obtaining the feedback of employees about the training and development program at TTSL. Descriptive research includes survey and fact finding enquiries of different kinds. The research used this research design to find out the respondents and attitude inside the organization, by the research the researcher can only give suggestions but implementing this suggestion depends upon the interest of the company.

SAMPLING TECHNIQUE:-

A questionnaire is prepared for doing the survey about analysis of training and development at TTSL.

Step-1 Define the population

Elements Employees of TTSL, sampling unit: Employees of TTSL

Step-2 Specify sampling

The executive and non executive employees of TTSL are taken as Sampling frame.

Step-3 Sampling design

It is the process of obtaining information about an entire population by Examination only a part of it.The item selected from the population is know as sample. Judgmental sampling,random sampling and convenience sampling are being used.

Step-4 Sample size

Sampling size is being taken as( including on-role and off-role)

SAMPLE SIZE:

The researcher is being done by taking the sample size of 50 executives.

This will represent the TTSL whole employees.

SAMPLEING DESCRIPTION:

In this research sample size is 50. It includes only executives.

DATA COLLECTION:

Data is being collected in the form of questionnaire.

INSTRUMENTATION TECHNIQUE:

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Based on descriptive design method for achieving the objective of the study the researcher adopted instrumental tool as the questionnaire.

COLLECTION OF DATA

Taking the help of the questionnaire I am able to collect information about the organization. At TTSL I collected information or data by interacting with the employees. The information required for our project was collected mainly from the primary sources and even from the secondary sources. The primary source consists of the data analyzed from the questionnaire and interaction with the user at that time only. And internet is as secondary source.

Here in this project the methods used by me for collecting information the plans are–

Primary Method

Secondary method

PRIMARY METHOD: It is the direct respondents to employees of collecting information. Primary data are generated in an investigation according to the needs of the problem in hand. Here I collected the information from distributing questionnaire to the people.

SECONDARY METHOD: This is the method, which is collected through some other external sources. Secondary data can be defined as the data collected by someone else for purposes other than solving the problem. In this method I have collected the information from internet.

LIMITATION OF THE STUDY:-This study was taken up through a set of Employee engagement forms, personal

interview and other secondary forms of data collection. Still few constraints were faced while carrying out the study. Some of them are as follows:

The study was to be conducted within a short period of eight weeks.

Secrecy and confidentiality of the organizational data were the hindrance for getting full information for carrying out the study.

Some of the employees took the survey very casually and didn’t respond to all questions.

Most of the employees did not agree for any interaction or personal interview, due to of their busy schedules.

Some employees who were dissatisfied with the system did not express their views on account of the fear of getting exposed to the higher authority.

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PROFILE OF THE ORGANISATION

Introduction:-

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Teleservices Limited spearheads the Tata Group’s presence in the telecom sector. The Tata Group had revenues of around US $75 billion in financial year 2008-09, and includes over 90 companies, over 350,000 employees worldwide and more than 3.5 million shareholder .Incorporated in 1996, Tata Teleservices Limited is the pioneer of the CDMA 1x technology platform in India. It has embarked on a growth path since the acquisition of Hughes Tele.com (India) Ltd [renamed Tata Teleservices (Maharashtra) Limited] by the Tata Group in 2002. It launched mobile operations in January 2005 under the brand Tata Indicom and today enjoys a pan-India presence through existing operations in all of India’s 22 telecom Circles. The company is also the market leader in the fixed wireless telephony market with its brand Walky. The company has recently introduced the brand Photon to provide a variety of options for wireless mobile broadband access. The company’s network has been rated as the ‘Least Congested’ in India for last five consecutive quarters by the Telecom Regulatory Authority of India through independent surveys.Tata Teleservices Limited now also has a presence in the GSM space, through its joint venture with NTT DOCOMO of Japan, and offers differentiated products and services under the TATA DOCOMO brand name. TATA DOCOMO arises out of the Tata Group’s strategic alliance with Japanese telecom major NTT DOCOMO in November 2008. TATA DOCOMO has received a pan-India license to operate GSM telecom services—and has also been allotted spectrum in 18 telecom Circles. The company has rolled out GSM services in 14 of India’s 22 telecom Circles in a quick span of under six months. The company plans to launch pan-India operations by the end of FY 2009-10.TATA DOCOMO marks a significant milestone in the Indian telecom landscape, and has already redefined the very face of telecoms in India, being the first to pioneer the per-second tariff option—part of its ‘Pay for What You Use’ pricing paradigm. Tokyo-based NTT DOCOMO is one of the world’s leading mobile operators—in the Japanese market, the company is the clear market leader, used by over 50 per cent of the country’s mobile phone users.Today, Tata Teleservices Limited, along with Tata Teleservices (Maharashtra) Limited, serves over 58 million customers in more than 410,000 towns and villages across the country, with a bouquet of telephony services encompassing mobile services, wireless desktop phones, public booth telephony, wireline services and enterprise solutions.

In December 2008, Tata Teleservices Limited announced a unique reverse equity swap strategic agreement between its telecom tower subsidiary, Wireless TT Info-Services Limited, and Quippo Telecom Infrastructure Limited—with the combined entity kicking off operations in early 2009 with 18,000 towers, thereby becoming the largest independent entity in this space—and with the highest tenancy ratios in the industry. The WTTIL-Quippo combine is targeting over 50,000 towers by the end of FY 2010-11.

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Tata Teleservices Limited now also has a presence in the GSM space, through its joint venture with NTT DOCOMO of Japan, and offers differentiated products and services under the TATA DOCOMO brand name. TATA DOCOMO arises out of the Tata Group’s strategic alliance with Japanese telecom major NTT DOCOMO in November 2008. TATA DOCOMO has received a pan-India license to operate GSM telecom services—and has also been allotted spectrum in 18 telecom Circles. The company has rolled out GSM services in 14 of India’s 22 telecom Circles in a quick span of under six months. The company plans to launch pan-India operations by the end of FY 2009-10.TATA DOCOMO marks a significant milestone in the Indian telecom landscape, and has already redefined the very face of telecoms in India, being the first to pioneer the per-second tariff option—part of its ‘Pay for What You Use’ pricing paradigm. Tokyo-based NTT DOCOMO is one of the world’s leading mobile operators—in the Japanese market, the company is the clear market leader, used by over 50 per cent of the country’s mobile phone users.Today, Tata Teleservices Limited, along with Tata Teleservices (Maharashtra) Limited, serves over 58 million customers in more than 410,000 towns and villages across the country, with a bouquet of telephony services encompassing mobile services, wireless desktop phones, public booth telephony, wireline services and enterprise solutions.In December 2008, Tata Teleservices Limited announced a unique reverse equity swap strategic agreement between its telecom tower subsidiary, Wireless TT Info-Services Limited, and Quippo Telecom Infrastructure Limited—with the combined entity kicking off operations in early 2009 with 18,000 towers, thereby becoming the largest independent entity in this space—and with the highest tenancy ratios in the industry. The WTTIL-Quippo combine is targeting over 50,000 towers by the enTOP

The Tata group comprises over 90 operating companies in seven business sectors: communications and information technology, engineering, materials, services, energy, consumer products and chemicals. The group has operations in more than 80 countries across six continents, and its companies export products and services to 85 countries.

The total revenue of Tata companies, taken together, was $67.4 billion (around Rs319,534 crore) in 2009-10, with 57 per cent of this coming from business outside India. Tata companies employ around 395,000 people worldwide. The Tata name has been respected in India for 140 years for its adherence to strong values and business ethics.

Every Tata company or enterprise operates independently. Each of these companies has its own board of directors and shareholders, to whom it is answerable. There are 28 publicly listed Tata enterprises and they have a combined market capitalisation of about $104.85 billion (as on April 28, 2011), and a shareholder base of 3.5 million. The major Tata companies are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power, Tata Chemicals, Tata Global Beverages, Indian Hotels and Tata Communications.

Tata Steel became the tenth-largest steel maker in the world after it acquired Corus, later renamed Tata Steel Europe. Tata Motors is among the top five commercial vehicle

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manufacturers in the world and has recently acquired Jaguar and Land Rover. TCS is a leading global software company, with delivery centres in the US, UK, Hungary, Brazil, Uruguay and China, besides India. Tata Global Beverages is the second-largest player in tea in the world. Tata Chemicals is the world’s second largest manufacturer of soda ash and Tata Communications is one of the world’s largest wholesale voice carriers.

In tandem with the increasing international footprint of Tata companies, the Tata brand is also gaining international recognition. Brand Finance, a UK-based consultancy firm, recently valued the Tata brand at $11.22 billion and ranked it 65th among the world's Top 100 brands. BusinessWeek magazine ranked Tata 17th among the '50 Most Innovative Companies' list and the Reputation Institute, USA, in 2009 rated it 11th on its list of world's most reputable companies.

Founded by Jamsetji Tata in 1868, Tata’s early years were inspired by the spirit of nationalism. It pioneered several industries of national importance in India: steel, power, hospitality and airlines. In more recent times, its pioneering spirit has been showcased by companies such as TCS, India’s first software company, and Tata Motors, which made India’s first indigenously developed car, the Indica, in 1998 and recently unveiled the world’s lowest-cost car, the Tata Nano.

Tata companies have always believed in returning wealth to the society they serve. Two-thirds of the equity of Tata Sons, the Tata promoter company, is held by philanthropic trusts that have created national institutions for science and technology, medical research, social studies and the performing arts. The trusts also provide aid and assistance to non-government organisations working in the areas of education, healthcare and livelihoods. Tata companies also extend social welfare activities to communities around their industrial units. The combined development-related expenditure of the trusts and the companies amounts to around 4 per cent of the net profits of all the Tata companies taken together.

Going forward, Tata is focusing on new technologies and innovation to drive its business in India and internationally. The Nano car is one example, as is the Eka supercomputer (developed by another Tata company), which in 2008 was ranked the world’s fourth fastest. Anchored in India and wedded to traditional values and strong ethics, Tata companies are building multinational businesses that will achieve growth through excellence and innovation, while balancing the interests of shareholders, employees and civil society.

Purpose

At the Tata group we are committed to improving the quality of life of the communities we serve. We do this by striving for leadership and global competitiveness in the business sectors in which we operate.

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Our practice of returning to society what we earn evokes trust among consumers, employees, shareholders and the community. We are committed to protecting this heritage of leadership with trust through the manner in which we conduct our business.

Corevalues

Tata has always been values-driven. These values continue to direct the growth and business of Tata companies. The five core Tata values underpinning the way we do business are:

• Integrity: We must conduct our business fairly, with honesty and transparency. Everything we do must stand the test of public scrutiny.

• Understanding: We must be caring, show respect, compassion and humanity for our colleagues and customers around the world, and always work for the benefit of the communities we serve.

• Excellence: We must constantly strive to achieve the highest possible standards in our day-to-day work and in the quality of the goods and services we provide.

• Unity: We must work cohesively with our colleagues across the group and with our customers and partners around the world, building strong relationships based on tolerance, understanding and mutual cooperation.

• Responsibility: We must continue to be responsible, sensitive to the countries, communities and environments in which we work, always ensuring that what comes from the people goes back to the people many times over.

ManagementStructure

There are two decision-making bodies that define and direct the business endeavours of the Tata group. These are called the Group Executive Office and the Group Corporate Centre.

Group Executive Office

The Group Executive Office (GEO) defines and reviews the business activities of the Tata group and is involved in implementing programmes in corporate governance, human resources, the environment, etc. The chief objective of the GEO is to make the Tata group more synergistic; it does this by strengthening the relationship between the group and its companies.

The GEO creates a shared understanding of a Tata company's current activities, its strengths and its weaknesses. It then addresses the most strategic issues facing the company. Apart from this, the GEO has reviewed the group's business portfolio and clustered companies into seven business sectors. The GEO assesses what unique value a company adds to a particular business sector and, conversely, what unique value the group can bring to that company.

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Besides Chairman Ratan N Tata, the GEO comprises R Gopalakrishnan, Ishaat Hussain, Kishor Chaukar and Arunkumar Gandhi.

Group Corporate Centre

The Group Corporate Centre (GCC) is a forum at which broad policy issues relating to the growth of Tata companies are reviewed and the entry into new areas discussed. The GCC also plays a key role in protecting and promoting the Tata brand in India and across the globe.

The GCC also provides advisory services to Tata companies in the areas of Human Resources, Finance, Legal, and other functional areas as and when required.

Apart from this, the GCC from time to time, reviews Tata companies’ business portfolios across business sectors.

The GCC comprises Chairman Ratan N Tata, JJ Irani, RK Krishna Kumar, R Gopalakrishnan, Ishaat Hussain, Kishor Chaukar, and Arunkumar Gandhi.

National interest

The Tata group is committed to benefit the economic development of the countries in which it operates. No Tata company shall undertake any project or activity to the detriment of the wider interests of the communities in which it operates.

A Tata company’s management practices and business conduct shall benefit the country, localities and communities in which it operates, to the extent possible and affordable, and shall be in accordance with the laws of the land.

A Tata company, in the course of its business activities, shall respect the culture, customs and traditions of each country and region in which it operates. It shall conform to trade procedures, including licensing, documentation and other necessary formalities, as applicable.

Clause:2

Financial reporting and records

A Tata company shall prepare and maintain its accounts fairly and accurately and in accordance with the accounting and financial reporting standards which represent the generally accepted guidelines, principles, standards, laws and regulations of the country in which the company conducts its business affairs.

Internal accounting and audit procedures shall reflect, fairly and accurately, all of the company’s business transactions and disposition of assets, and shall have internal controls to

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provide assurance to the company’s board and shareholders that the transactions are accurate and legitimate. All required information shall be accessible to company auditors and other authorised parties and government agencies.There shall be no willful omissions of any company transactions from the books and records, no advance-income recognition and no hidden bank account and funds.

Any willful, material misrepresentation of and / or misinformation on the financial accounts and reports shall be regarded as a violation of the Code, apart from inviting appropriate civil or criminal action under the relevant laws. No employee shall make, authorise, abet or collude in an improper payment, unlawful commission or bribing.

Clause:3

Competition

A Tata company shall fully support the development and operation of competitive open markets and shall promote the liberalisation of trade and investment in each country and market in which it operates. Specifically, no Tata company or employee shall engage in restrictive trade practices, abuse of market dominance or similar unfair trade activities.

A Tata company or employee shall market the company’s products and services on their own merits and shall not make unfair and misleading statements about competitors’ products and services. Any collection of competitive information shall be made only in the normal course of business and shall be obtained only through legally permitted sources and means.

Clause:4

Equal opportunities employer

A Tata company shall provide equal opportunities to all its employees and all qualified applicants for employment without regard to their race, caste, religion, colour, ancestry, marital status, gender, sexual orientation, age, nationality, ethnic origin or disability.

Human resource policies shall promote diversity and equality in the workplace, as well as compliance with all local labour laws, while encouraging the adoption of international best practices.

Employees of a Tata company shall be treated with dignity and in accordance with the Tata policy of maintaining a work environment free of all forms of harassment, whether physical, verbal or psychological. Employee policies and practices shall be administered in a manner consistent with applicable laws and other provisions of this Code, respect for the right to

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privacy and the right to be heard, and that in all matters equal opportunity is provided to those eligible and decisions are based on merit.

Clause:5

Gifts and donations

A Tata company and its employees shall neither receive nor offer or make, directly or indirectly, any illegal payments, remuneration, gifts, donations or comparable benefits that are intended, or perceived, to obtain uncompetitive favours for the conduct of its business. The company shall cooperate with governmental authorities in efforts to eliminate all forms of bribery, fraud and corruption.

However, a Tata company and its employees may, with full disclosure, accept and offer nominal gifts, provided such gifts are customarily given and / or are of a commemorative nature. Each company shall have a policy to clarify its rules and regulations on gifts and entertainment, to be used for the guidance of its employees.

Clause:6

Government agencies

A Tata company and its employees shall not, unless mandated under applicable laws, offer or give any company funds or property as donation to any government agency or its representative, directly or through intermediaries, in order to obtain any favourable performance of official duties. A Tata company shall comply with government procurement regulations and shall be transparent in all its dealings with government agencies.

Clause:7

Political non-alignment

A Tata company shall be committed to and support the constitution and governance systems of the country in which it operates.

A Tata company shall not support any specific political party or candidate for political office. The company’s conduct shall preclude any activity that could be interpreted as mutual dependence / favour with any political body or person, and shall not offer or give any company funds or property as donations to any political party, candidate or campaign.

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Clause:8

Health, safety and environment

A Tata company shall strive to provide a safe, healthy, clean and ergonomic working environment for its people. It shall prevent the wasteful use of natural resources and be committed to improving the environment, particularly with regard to the emission of greenhouse gases, and shall endeavour to offset the effect of climate change in all spheres of its activities.

A Tata company, in the process of production and sale of its products and services, shall strive for economic, social and environmental sustainability.

Clause:9

Quality of products and services

A Tata company shall be committed to supply goods and services of world class quality standards, backed by after-sales services consistent with the requirements of its

customers, while striving for their total satisfaction.

The quality standards of the company’s goods and services shall meet applicable national and international standards.

A Tata company shall display adequate health and safety labels, caveats and other necessary information on its product packaging.

Clause:10

Corporate citizenship

A Tata company shall be committed to good corporate citizenship, not only in the compliance of all relevant laws and regulations but also by actively assisting in the improvement of quality of life of the people in the communities in which it operates. The company shall encourage volunteering by its employees and collaboration with community groups.

Tata companies are also encouraged to develop systematic processes and conduct management reviews, as stated in the Tata ‘corporate sustainability protocol’, from time to time so as to set strategic direction for social development activity.

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The company shall not treat these activities as optional, but should strive to incorporate them as an integral part of its business plan.

Clause:11

Cooperation of Tata companies

A Tata company shall cooperate with other Tata companies including applicable joint ventures, by sharing knowledge and physical, human and management resources, and by making efforts to resolve disputes amicably, as long as this does not adversely affect its business interests and shareholder value.

In the procurement of products and services, a Tata company shall give preference to other Tata companies, as long as they can provide these on competitive terms relative to third parties.

Clause:12

Public representation of the company and the group

The Tata group honours the information requirements of the public and its stakeholders. In all its public appearances, with respect to disclosing company and business information to constituencies such as the media, the financial community, employees, shareholders, franchisees, dealers, distributors and importers, a Tata company or the Tata group shall be represented only by specifically authorised directors and employees. It shall be the sole responsibility of these authorised representatives to disclose information about the company or the group.

Clause:13

Third party representation

Parties which have business dealings with the Tata group but are not members of the group, such as consultants, agents, sales representatives, distributors, channel partners, contractors and suppliers, shall not be authorized to represent a Tata company without

the written permission of the Tata company, and / or if their business conduct and ethics are known to be inconsistent with the Code.

Third parties and their employees are expected to abide by the Code in their interaction with, and on behalf of, a Tata company. Tata companies are encouraged to sign a non-disclosure

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agreement with third parties to support confidentiality of information.

Clause:14

Use of the Tata brand

The use of the Tata name and trademark shall be governed by manuals, codes and agreements to be issued by Tata Sons. The use of the Tata brand is defined in and regulated by the Tata Brand Equity and Business Promotion agreement. No third party or joint venture shall use the Tata brand to further its interests without specific authorisation.

Clause:15

Group policies

A Tata company shall recommend to its board of directors the adoption of policies and guidelines periodically formulated by Tata Sons.

Clause:16

Shareholders

A Tata company shall be committed to enhancing shareholder value and complying with all regulations and laws that govern shareholder rights.The board of directors of a Tata company shall duly and fairly inform its shareholders about all relevant aspects of the company’s business, and disclose such information in accordance with relevant regulations and agreements.

Clause:17

Ethical conduct

Every employee of a Tata company, including full-time directors and the chief executive, shall exhibit culturally appropriate deportment in the countries they operate in, and deal on behalf of the company with professionalism, honesty and integrity, while conforming to high moral and ethical standards. Such conduct shall be fair and transparent and be perceived to be so by third parties.

Every employee of a Tata company shall preserve the human rights of every individual and the community, and shall strive to honour commitments.

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Every employee shall be responsible for the implementation of and compliance with the Code in his / her environment. Failure to adhere to the Code could attract severe consequences, including termination of employment.

Clause:18

Regulatory compliance

Employees of a Tata company, in their business conduct, shall comply with all applicable laws and regulations, in letter and spirit, in all the territories in which they operate. If the ethical and professional standards of applicable laws and regulations are below that of the Code, then the standards of the Code shall prevail.

Directors of a Tata company shall comply with applicable laws and regulations of all the relevant regulatory and other authorities. As good governance practice they shall safeguard the confidentiality of all information received by them by virtue of their position.

Clause:19

Concurrent employment

Consistent with applicable laws, an employee of a Tata company shall not, without the requisite, officially written approval of the company, accept employment or a position of responsibility (such as a consultant or a director) with any other company, nor provide freelance services to anyone, with or without remuneration. In the case of a full-time director or the chief executive, such approval must be obtained from the board of directors of the company.

Clause:20

Conflict of interest

An employee or director of a Tata company shall always act in the interest of the company, and ensure that any business or personal association which he / she may have does not involve a conflict of interest with the operations of the company and his / her role therein. An employee, including the executive director (other than independent director) of a Tata company, shall not accept a position of responsibility in any other non-Tata company or not-for-profit organisation without specific sanction.

The above shall not apply to (whether for remuneration or otherwise):

a) Nominations to the boards of Tata companies, joint ventures or associate companies.

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b) Memberships / positions of responsibility in educational / professional bodies, wherein such association will benefit the employee / Tata company.

c) Nominations / memberships in government committees / bodies or organisations.

d) Exceptional circumstances, as determined by the competent authority.

Competent authority, in the case of all employees, shall be the chief executive, who in turn shall report such exceptional cases to the board of directors on a quarterly basis. In case of the chief executive and executive directors, the Group Corporate Centre shall be the competent authority.

An employee or a director of a Tata company shall not engage in any business, relationship or activity which might conflict with the interest of his / her company or the Tata group. A conflict of interest, actual or potential, may arise where, directly or indirectly…

a) An employee of a Tata company engages in a business, relationship or activity with anyone who is party to a transaction with his / her company.

b) An employee is in a position to derive an improper benefit, personally or to any of his / her relatives, by making or influencing decisions relating to any transaction.

c) An independent judgement of the company’s or group’s best interest cannot be exercised.

The main areas of such actual or potential conflicts of interest shall include the following:

a) An employee or a full-time director of a Tata company conducting business on behalf of his / her company or being in a position to influence a decision with regard to his / her company’s business with a supplier or customer where his / her relative is a principal officer or representative, resulting in a benefit to him / her or his / her relative.

b) Award of benefits such as increase in salary or other remuneration, posting, promotion or recruitment of a relative of an employee of a Tata company, where such an individual is in a position to influence decisions with regard to such benefits.

c) The interest of the company or the group can be compromised or defeated.

Notwithstanding such or any other instance of conflict of interest that exist due to historical reasons, adequate and full disclosure by interested employees shall be made to the company’s management. It is also incumbent upon every employee to make a full disclosure of any interest which the employee or the employee’s immediate family, including parents, spouse and children, may have in a family business or a company or firm that is a competitor, supplier, customer or distributor of or has other business dealings with his / her company.

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Upon a decision being taken in the matter, the employee concerned shall be required to take necessary action, as advised, to resolve / avoid the conflict.

If an employee fails to make the required disclosure and the management of its own accord becomes aware of an instance of conflict of interest that ought to have been disclosed by the employee, the management shall take a serious view of the matter and consider suitable disciplinary action against the employee.

Clause:21

Securities transactions and confidential information

An employee of a Tata company and his / her immediate family shall not derive any benefit or counsel, or assist others to derive any benefit, from access to and possession of information about the company or group or its clients or suppliers that is not in the public domain and, thus, constitutes unpublished, price-sensitive insider information.

An employee of a Tata company shall not use or proliferate information that is not available to the investing public, and which therefore constitutes insider information, for making or giving advice on investment decisions about the securities of the respective Tata company, group, client or supplier on which such insider information has been obtained.

Such insider information might include (without limitation) the following:

• Acquisition and divestiture of businesses or business units.

• Financial information such as profits, earnings and dividends.

• Announcement of new product introductions or developments.

• Asset revaluations.

• Investment decisions / plans.

• Restructuring plans.

• Major supply and delivery agreements.

• Raising of finances.

An employee of a Tata company shall also respect and observe the confidentiality of information pertaining to other companies, their patents, intellectual property rights, trademarks and inventions; and strictly observe a practice of non-disclosure.

Clause:22

Protecting company assets

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The assets of a Tata company shall not be misused; they shall be employed primarily and judiciously for the purpose of conducting the business for which they are duly authorised. These include tangible assets such as equipment and machinery, systems, facilities, materials and resources, as well as intangible assets such as information technology and systems, proprietary information, intellectual property, and relationships with customers and suppliers.

Clause:23

Citizenship

The involvement of a Tata employee in civic or public affairs shall be with express approval from the chief executive of his / her company, subject to this involvement having no adverse impact on the business affairs of the company or the Tata group.

Clause:24

Integrity of data furnished

Every employee of a Tata company shall ensure, at all times, the integrity of data or information furnished by him/her to the company. He/she shall be entirely responsible in ensuring that the confidentiality of all data is retained and in no circumstance transferred to any outside person/party in the course of normal operations without express guidelines from or, the approval of the management.

Clause:25

Reporting concerns

Every employee of a Tata company shall promptly report to the management, and / or third-party ethics helpline, when she / he becomes aware of any actual or possible violation of the Code or an event of misconduct, act of misdemeanour or act not in the company’s interest. Such reporting shall be made available to suppliers and partners, too.

Any Tata employee can choose to make a protected disclosure under the whistleblower policy of the company, providing for reporting to the chairperson of the audit committee or the board of directors or specified authority. Such a protected disclosure shall be forwarded, when there is reasonable evidence to conclude that a violation is possible or has taken place, with a covering letter, which shall bear the identity of the whistleblower.

The company shall ensure protection to the whistleblower and any attempts to intimidate him / her would be treated as a violation of the Code.

This version of the TCOC supersedes all earlier versions and associated documents and

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stands effective from October 1, 2008.

The quality movement in the Tata group is defined by a framework known as the Tata Business Excellence Model (TBEM), which has been adapted from the renowned Malcolm Baldrige archetype. The model works under the aegis of Tata Quality Management Services (TQMS), an in-house organisation mandated to help different Tata companies achieve their business objectives through specific processes. These processes which have come to characterise the Tata way of enhancing and conducting its business endeavors essentially relate to two factors: business excellence and business ethics.

TQMS plays the role of supporter and facilitator in the journey that Tata enterprises undertake to reach the peaks of business eminence while, at the same time, adhering to the highest ethical standards. There are, primarily, two tools that define the pathways and scope of this journey. The first of these is TBEM and the other is the Tata Code of Conduct.

While quality has always been one of the cornerstones of the Tata way of business, the need to introduce a formal system that calibrated how different group companies were faring on this scale began being felt in the early 1990s. That led to the institution, in 1995, of the JRD Quality Value Awards, the forerunner to TBEM. Named after JRD Tata, the late chairman of the group and a crusader for the cause of business excellence in Tata companies, the awards have now been incorporated in TBEM.

There is a formal arrangement that governs the relationship between individual Tata companies and the superstructure that is the Tata group. In order to use the Tata nomenclature, a group company has to sign a contract called the Brand Equity and Business Promotion (BEBP) Agreement. This places an obligation on the company signing on to adopt TBEM as a means to attaining business leadership.

TQMS

TQMS helps Tata companies gain insights on their strengths and their opportunities for improvement. This is managed through an annual process of 'applications and assessments'. Each company writes an application wherein it describes, in the context of the TBEM matrix, what it does and how it does it. This submission is then gauged by trained assessors, who study the application, visit the company and interact with its people. The assessors map out the strengths and improvement opportunities existing in the company before providing their feedback to its leadership team.

TQMS trains and certifies assessors, who are selected from across the group, and it designs and administers an assessment apparatus that helps them evaluate different Tata companies. The point person in each company is the 'corporate quality head', nominated by the CEO as the

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business excellence process owner. Typically, each company has a network of business excellence people from a variety of functions and locations.

The commitment a company makes when it signs the BEBP contract compels it to attain explicit business excellence scores over specific time periods. A result-driven scoring mechanism enables the company to track its progress over time, and ensure that it keeps improving. There is also an annually administered, group-wide recognition system for companies that exceed a certain score, thereby reflecting excellence, industry leadership and consistent improvement.

Implicit in the TQMS approach is the belief that its wide-ranging methodology will enable Tata companies to become exemplars — on business as well as ethical parameters — in their respective spheres.

TBEM

The TBEM methodology has been moulded to deliver strategic direction and drive business improvement. It contains elements that enable companies following its directives to capture the best of global business processes and practices. The model has retained its relevance thanks to the dynamism built into its core. This translates into an ability to evolve and stay in step with ever-changing business performance parameters.

The TBEM matrix is used for the organisational self-assessment of Tata companies, recognition and awards, and for providing feedback to applicants. In addition, TBEM plays three important supportive roles in strengthening the competitiveness of Tata companies:

• It helps improve business excellence practices, capabilities and results.

• It facilitates communication and sharing of best practices among Tata companies.

• It serves as a working tool for understanding and managing performance, for providing planning guidance, and for identifying learning opportunities.

The TBEM methodology comprises a set of questions that applicant Tata companies have to answer. Its main objectives are to enhance value to customers and contribute to marketplace success; maximise enterprise-wide effectiveness and capabilities; and deliver organisational and personal learning. The methodology is built on the following set of interrelated core values and concepts: visionary leadership; customer-driven excellence; organisational and personal learning; valuing of employees and partners; agility; future focus; managing for innovation; management by fact; social responsibility; results and value creation; and systems perspective.

The core values and concepts of TBEM are embodied in seven categories: leadership; strategic planning; customer and market focus; measurement, analysis and knowledge management;

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human resource focus; process management; and business results. The TBEM system focuses on certain key areas of business performance: customer-focused results; product and service results; financial and market results; human resource results; organisational effectiveness results; governance and social responsibility results.

JRD QV Award

Jehangir Ratanji Dadabhoy Tata, or JRD, as he was popularly known in business circles, guided the destiny of India’s largest business house for well over half a century. Over the years that he was at the helm of affairs of the group, JRD Tata helped establish many new enterprises.

He was always conscious about the importance of quality, and ensured that this quality consciousness prevailed in all the organisations that belonged to the Tata group. He was proud that the companies within the group were known, domestically and internationally, for the quality of their products and services.

As a tribute to his quest for perfection in every sphere of activity, the JRD Tata Quality Value Award was instituted in his memory.

The JRD QV Award is modelled on the lines of the Malcolm Baldrige National Quality Award, integrating beneficial attributes from other national quality awards. The award recognises a company within the Tata group, which excels in quality management and has achieved the highest levels of quality.

This is an annual award presented to the winning company on the 29th day of July, the birth anniversary of Mr JRD Tata.

The objectives of the award are:

• This award is given to group companies in order to create awareness on the importance of the value of quality and the need for total customer satisfaction in all areas of operations within the Tata group companies.

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• To achieve and sustain continuous excellence and consequently leadership in the marketplace through perfection and the achievement of quality which will be recognised as being the best and ahead of competition.

Evaluation process

Tata companies participate in a bi-annual process of external assessments. The idea is to subject them to an assessment, based on the excellence parameters embedded in the Tata Business Excellence Model (TBEM).

Each company writes an application in which it describes what job it does and how it does the job in the context of the criteria set by TBEM. This application is then "assessed" by trained TBEM assessors who study the document, visit the company and interact with its people, draw out the strengths and the improvement opportunities, and then provide feedback to the leadership team. An in-built scoring mechanism enables the company to track its progress over time, and ensure that it keeps improving.

Criteria for recognition:

* JRD QV Award: 600+ for the first time

* Leadership in Excellence: 700+ for the first time

* Sustained Excellence: 3 successive improvements beyond 600

* Active Promotion: 500 to 600 for the first time

* Serious Adoption: 450 to 500 for the first time

* High Delta: High improvement in one year min 75 for 500-

* High Delta 500+: High improvement in one year min 50

* High Delta 600+: High improvement in one year min 25

technology and communications: The Tata group has well-established enterprises in the fields of software and other information systems, telecommunications and industrial automation.

COMPANIES IN THIS SECTOR Tata Technologies

--communications--

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Engineering products and services: The Tata group has a robust presence in engineering, with operations in automobiles and auto components and a variety of other engineering products and services.

COMPANIES IN THIS SECTOR

Materials: The Tata group is among the global leaders in this business sector, with operations in steel and composites.

COMPANIES IN THIS SECTOR

Services: The Tata group has widespread interests in the hospitality business, as also in insurance, realty and financial and other services.

COMPANIES IN THIS SECTOR

Energy: The Tata group is a significant player in power generation and is also involved in the oil and gas segment.

COMPANIES IN THIS SECTOR

Consumer products: The Tata group has a strong and longstanding business in watches and jewellery, and a growing presence in the retail industry.

COMPANIES IN THIS SECTOR

Chemicals: The Tata group is one of the largest producers of soda ash in the world. Additionally, it has interests in fertilisers and in the pharmaceuticals business.

COMPANIES IN THIS SECTOR

MUMBAI: Telecom services provider Tata Teleservices (Maharashtra) (TTML) said on Tuesday it swung to profit in the year ended March 31, boosted by a one-time gain from sale of

--automotive--

--engineering--

--metals--

--composites--

--hotels, property development--

--f inancial services--

--other services--

-- energy --

Westland

-- chemicals --

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investment in its tower unit. The firm, which provides wireless services under the Tata Indicom and Tata DoCoMo brands, posted a standalone net profit of 499 million rupees on net sales of 22.5 billion rupees. It had a net loss of nearly 3 billion rupees in FY10. It made a profit of 8.3 billion rupees from sale of long-term investment in 21st

Century Infra Tele Ltd in the quarter ended June to Viom Networks Ltd, it said in a statement to the National Stock Exchange. TTML, which has a subscriber base of 16.9 million, paid a licence fee of 12.6 billion rupees for 3G spectrum in Maharashtra circle, which was capitalised during the June quarter , it added.

Financial highlights

INRUSD

Year 2009-10(Rs crore)

2008-09(Rs crore) % change

Total revenue 319,534 325,334 -1.8

Sales 311,129 321,850 -3.3

Total assets 250,180 237,248 5.5

International revenues 181,860 210,736 -13.7

Profit After Tax 8,240 8,163 0.9

Net forex earnings -757 -193 -

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Year 2009-10(US $ billion)

2008-09(US $ billion) % change

Total revenue 67.4 70.9 -4.9

Sales 65.6 70.1 -6.4

Total assets 52.8 51.7 2.1

International revenues 38.4 45.9 -13.7

Profit After Tax 1.74 1.78 -2.2

Net forex earnings -0.16 -0.04 -

Financial year is April-March

Exchange rate: USD=Rs47.41 for 2009-10 and USD=Rs45.92 for 2008-09

Revenue figures for group companies are consolidated and net of excise duty

(wherever applicable)

Group's capital market performance

Shares of the Tata group companies have been among the star performers on the Indian stock market over the last three years. Trends in the group's total market capitalisation along with aggregate market capitalisation of Bombay Stock Exchange are provided below.

2007(Rs crore)(End March)

2008(Rs crore)(End March)

2009(Rs crore)(End March)

2010(Rs crore)(As on Apr 28 2011)

Tata group 230,620($52.9 bn)

237,961($59.0 bn)

124,977($24.5

465,857($104.85bn)

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bn)

BSE 3,555,973($815.8 bn)

5,138,015($1273.0 bn)

3,086,076($605.7bn)

7,033,269($1,583bn)

With the listing of TCS on August 25, 2004, the total market capitalisation of the group's 27 listed companies crossed the Rs100,000 crore mark and the group acquired the distinction of having the highest market capitalisation among all business houses in the country, both in the public and private sectors.

Tata group accounts for 6.3 per cent of the total market capitalisation of BSE.

Tata group companies have contributed significantly to the spread of equity cult in the country. They enjoy the trust of over 3.5 million investors

Figures within the bracket are in US $ billion.

Sector-wise human resources profile

Sectors 2009-10*% share

Materials 81,779 21

Engineering 73,671 19

Energy 7,825 2

Consumer goods 13,866 3

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Chemicals 6,035 2

Communications and information systems 189,158 48

Services 24,183 6

Total 396,517 100.0

* Employee break-up excludes Corus and hence the figures do not add up to the total.

Employment profile

Personnel 2008-09*

White-collar employees 261,388

Engineers 133,308

Postgraduates 33,980

MBAs 10,456

Others 83,644

Blue-collar employees 101,651

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Total employment 363,039

* Employee break-up excludes Corus and hence the figures do not add up to the total.

Social welfare and environment-related projects

Year

2009-10(US$ million)

Social welfare projects 29.0

Environmental projects 23.3

Others 2.7

Total 55.0

Contribution to the exchequer — 2008-09

INRUSD

Tata group companies(Rs crore)

Governmentfinances(Rs crore)

% shareof Tatas

Corporate tax 5,625 255,076 2.2

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Excise# 5,956 147,961 4.0

Customs 2,095 84,477 2.5

Sales tax 6,543 225,009 2.9

Others 1,911 66,521 2.9

Total 22,130 779,044 2.8

The chart below illustrates how Tata companies in each of these sectors contribute, in percentage terms, to the overall financial makeup of the group. The table that follows shows the group's sector-wise financial performance.

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(Click on the pie chart to view sectoral information for 2009-10) Tata group figures (Rs

million)

Year Total turnover

Sales turnover

Value of assets

Gross block Exports

2009-10

3,195,339 3,111,290 2,501,786 2,922,475 31,721

2008-09

3,253,340 3,218,490 2,372,470 2,612,760 339,870

2007-08

2,515,430 2,474,156 1,772,931 1,935,072 252,801

2006-07

1,299,940 1,283,770 1,135,730 866,127 236,350

2005-06 9,67,230 9,47,140 7,97,660 6,81,690 2,36,43

0

2004-05 7,99,130 7,82,750 6,80,180 6,00,290 2,05,87

0

2003-04 6,54,240 6,14,340 5,50,630 4,58,840 1,41,36

0

2002- 5,42,270 5,21,337 5,09,270 4,34,809 1,30,76

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03 4

2001-02 4,94,568 4,79,999 4,91,622 4,03,647 1,25,73

8

PRACTICES IN THE ORGANICSATION

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EMPLOYEE ENGAGEMENT

Employee Engagement at its best would imply heightened level of ownership where each employee wants to do whatever they can for the benefit of the internal and external customers ,and for the success of the organization as a whole.

We give a lot of importance to talent engagement because of correlations between employee engagement and desirable business outcomes such as retention of talent ,customer service ,individual performance ,team performance, business unit productivity ,and even enterprise –level financial performance.

In order to meet Employee Expectations and engage them on a continuous basis, TTSL has developed the Employee Engagement Model (EEM) which comprises of two types of factors :

Employee Satisfaction Factors:-

Short-term requirements of an employee arising immediately after his/her joining TTSL .

Employee Engagement Factors:

Requirements of the employee in his long term association with TTSL some of the inputs for these factors are:

1 .Forums such as Town halls(Quaterly/ Monthly Employee communication Meet.

2.Voice of Employee (VOE-Skip Level meetings)

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3.PMS Feedback

4.Exit Interview Analysis

5.LIC

6.E-Pulse

7.Management Reviews and Workshops

ENGAGEMENT AND MOTIVATIONAL ACTIVITY IN TTSL:-

Coffee with coo-

COO meets the group of employees at the respective location to gauge their aspiration and review feedback.

Lunch with MD/Phone your MD/MD Online-

MD connects with a group of employees at different location to gauge their feelings and elicit feedback through various communication media.

Voice of Employee-

Employees to interact and skip their level manager ,this is a platform to voice his/her specific concern.

Town hall-

Interactive forum in which MD address the work force in organizational decisions and updates the current market scenario.

Sprinkles –

It plays an important role in building the connection between various circles/corporate by regular feature on initiative like CSR, Affirmative action’s, Employee Engagement and Fun at work taken at a circle level.

Weavers-

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Sports and recreation activities ,career counseling ,various cultural activities for employees and their families ,corporate sustainability initiative takes place under WEAVER for bringing higher employee engagement.

HR Connect-

The Hr Newsletter HR connect is published on a quarterly basis and aims at building awareness and recognizing recent HR initiatives .

HR Helpline-

Online system for addressing grievances/concern of employees.

Exit Analysis-

This is an important source of information to assess and work on the areas of improvement to enhance employee engagement levels . It include feedback elicited from all exiting employees.

Elements of the Employee Engagement Model(DARPAN)

Alignment – Sharing and Communication

*Purpose of the company*Senior Leadership as a Role Model*Sharing of Company’s Plans and Targets*Business Results shared

Assignment –Creating Self worth*Effective & Right Role *Stretched Targets*Providing Resources*Regular Feedback on Performance Progress3

Engagement :Gain commitment *Good Work Environment *Hygiene Factors*Work-Life Balance*Fairness

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Empowerment –Capacity building*Clear Responsibility &Autonomy*Views considered at workplace*Learning & Development *Opportunity to Innovate

Pride –Shared convictions*Ethical Company *Caring Organization*Feeling Proud of Organization*Sharing Conviction in Living the Brand

RECOGNITION AND REWARD SYSTEM- Performance Awards:

Spotlight awards-To recognize job well done where the employee has stretched himself in own work area or has gone beyond the normal call of duty , a certificate of appreciation and a token is presented.

Star of the Month Award – To recognize significant contribution made in meeting the unit’s BU operating plans a certificate of appreciation and a gift voucher worth Rs.1,000/- is presented.

Superstar Award- To recognize Exceptional contribution made to enhance BU/function performance in the Unit or Exceptional customer service provided which has been acknowledged by the external or innovation which impacts the unit level Bu/function significantly customers, a scroll of Appreciation and a gift Voucher/Gift worth of Rs.2,000/- (Rupees Two Thousand Only)per team member limited to a maximum of Rs.20,000/-(Rupees Twenty Thousand Only)for a team is presented in the Town Hall held after end of the quarter and finalization of the award nominations.

Maestro- To recognize Exceptional performance vis-à-vis KRAs and Personal effectiveness factors ,Gift Voucher worth Rs.15,000/-(Rupees fifteen thousand only)per person or equivalent value in the form of a domestic trip is presented.

Hall of Fame-To recognize measurable non targeted revenues/cost savings during the financial year ,a Scroll of Honor and a trophy is presented. Further ,an overseas trip for self and spouse within a cost limit of a Rs.50,000 /-(Rupees fifty thousand only)or gift voucher of equivalent value per person and a team award (maximum 10 team members per team)of a value of not more than Rs. 500,000(Rupees five lacs only)is also given.

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Premier League award –National BU/Function Recognition:-To recognize Consistent exceptional performance ,Pioneering spirit demonstrated such as innovations, first to the market initiative , entrepreneurship that has positively impacted the business /function which is not a part of the KRAs; Demonstrated behavior resulting into a positive change in the image of the company in the market,a certificate of honor and a plaque/Memento is presented.

Customer first Award –To recognize & reward employees who have created “Customer Delight ” , certificates of appreciation / gift vouchers are presented.

Values Awards:

Crisp Super Star Award – To recognize significant contributions made by an employee demonstrating “CRISP” attributes , certificates of appreciation,gift vouchers are presented.

Valuable award- To acknowledge & recognize company’s core values demonstrated by employees in the official Work-life ,an Appreciation letter /Gift Vouchers up toRs.2,000/- based on the merit of the case are presented

Service Awards: Long service awards – To acknowledge & recognize long service of Employees in the

organization , a memento with a certificate recognizing long service is presented. This is done quarterly .Value of the memento would be as follow:

Period Value (Rs) 5 Years 5000/- 10 Years 10,000/- 15 Years 15,000/- 20 Years 20,000/-

PEOPLE TOUCH-IT ENABLED HR- People touch portal has been developed with an objective of reaching out to every employee any time, any where this tool will act as an HR Help Desk and result in saving precious time and quicker resolution of issues.

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Using this portal, employee has to raise a dossier for his/her Query/Concern/Issues which will be directed to the Concerned buddy who in turn will resolve the same with in defined SLAs and escalation matrix. Main Features of People Touch include Queries/Concerns/Issues relating to:

HR Policies HR Operations issue Learning and Development My Comp Re Comp Talent Acquisition Employee Engagement HR Initiatives Talent Management Performance Management System Any other people related matter.

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Questionnaires

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Employee engagement questionnaire

NAME: BU/ FUNCTION:Level: Tenure in TTSL:

1 Is there a fair flow of communication among employees

Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

2I always feel that communication forum helps me Strongly

DisagreeDisagree

Somewhat Agree

Agree

Strongly Agree

3 I know what is expected of me at work Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

4 I have all the materials and equipment need to do my work right

Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

5 I have always received recognition or priase for doing good work

Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

6 I feel open forums help me to sort out my grievances

Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

7 At work my opinions count Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

8 I get enough scope for learning and self development

Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

9 I feel proud to be introduced as a TTSLite Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

10 TTSL is an enthical company to work for Strongly Disagree

Disagree

Somewhat Agree

Agree

Strongly Agree

11Out of all stated activities which one you like the most

Suggestion (If any)

ongl

- Sprinkles - UDAAN -Coffee with coo -HR Connect to solve -Voice of Employee -HR out reach program -employee communication meet -Town hall -Phone your with MD

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Suggestions (if any)

Signature:

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ANALYSIS

1. Is there a fair flow of communication among employees?

Options Number of respondents Percentage1-Strongly Disagree 0 0%2-Disagree 0 0%3- Somewhat agree 2 4%4-Agree 15 30%5 -Strongly Agree 33 66%

Its been found from the above analysis that ,the organization is having a sound flow of communication among employees which facilitates the existing employees to pass on their views and new ideas .Which leads to the better transparency and productivity.

4%

30%

66%

Number of respondents

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

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2-I always feel that communication forum helps me

Options Number of respondents Percentage1-Strongly Disagree 1 2%2-Disagree 0 0%3- Somewhat agree 6 12%4-Agree 14 28%5 -Strongly Agree 29 58%

16

1429

Its been found from the above analysis that, around 86% of employees are well satisfied with the concept of communication forums . A communication forum brings together the organization’s concerned with the needs of people with speech, language and communication needs. Specifically when employees are from different parts of the world it becomes necessary to communicate with one international language which can only be put in practices through forums like these. Its indeed doing a great job to keep employees together.

3-I know what is expected of me at work

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Options Number of respondents Percentage1-Strongly Disagree 0 02-Disagree 0 0%3- Somewhat agree 4 8%4-Agree 20 40%5 -Strongly Agree 26 52%

4

2026

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Its been found from the above analysis that, 92% of employees knows their role in the organization very well .Its a part of the line managers and higher authorities to clear up the objective of the individuals working under them so that their would be no ambiguity in the work each one and all would be doing.This can only lead one individual to grow so will the organization.

4-I have all the sources need to do my work right.

1-Strongly Disagree 0 0%2-Disagree 0 0%3- Somewhat agree 25 50%4-Agree 11 22%5 -Strongly Agree 14 28%

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25

11

14

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Its been found from the above analysis that,major percentage of employees (50%) are not totally satisfied with the amenities and instruments they get to accomplish their task.This is where the organisation need to focus on .Retaining talents can’t be done without providing them the facilities and satisfying them.So the organization need to put some brain behind this .

5-I have always received recognition or praise for doing good work.

1-Strongly Disagree 0 0%2-Disagree 0 0%3- Somewhat agree 18 36%4-Agree 17 34%5 -Strongly Agree 15 30%

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1817

0.3

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Rewarding employees not only retain talents but also attracts talent. Its as we all know motivates employess.This is where the organization is really setting milestone.Human need is unlimited keeping that in mind the orgsnisation is putting its heart-out to keep the employees satisfied in terms of proving them reward and recognition (monetary and non monetary benefits)

6-I feel open forums help me to sort out my grievances.

1-Strongly Disagree 0 0%2-Disagree 1 2%3- Somewhat agree 5 10%4-Agree 20 40%5 -Strongly Agree 24 48%

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15

20

24

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Its been found from the above analysis that, around 88% of employees are satisfied with the grievance policy adopted by the organization in sorting out their problems. Understanding grievance procedure is one of the major parts of HR department in an organization. Which leads an organization to get new thoughts and ideas from its existing employees through grievances analyzing process. Leaving out this always lead to dissatisfaction of employees. Through the study it is clear, organization is moving towards excellence by solving problems.

7-At work, my opinions count

1-Strongly Disagree 0 0%2-Disagree 2 4%3- Somewhat agree 7 14%4-Agree 24 48%5 -Strongly Agree 17 34%

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2

7

24

17

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Opinions always give new way of doing things. In an organization the opinions and views plays a vital role in terms of perfection and better productivity. Realistic opinions which benefits the organization is hard to come by. It always associate with qualification and designation of an employee. Accepting all opinions may not be a wise thing to do for an organization as there are lots of constraints involved. The organization is really doing good to accept the productive opinions of employees.

8-I get enough scope for learning and self development

1-Strongly Disagree 4 8%2-Disagree 0 0%3- Somewhat agree 6 12%4-Agree 15 30%5 -Strongly Agree 25 50%

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4

6

15

25

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Training and development of one individual employee not only gives him/her growth but also it benefits the organization in the long run. Knowledge has to improve with time, keeping that in mind from above analysis it could be really figured out that TTSL has put its best foot forward to enhance it’s employee’s knowledge.

9-I feel proud to be introduced as a TTSLite

1-Strongly Disagree 3 6%2-Disagree 0 0%3- Somewhat agree 0 0%4-Agree 9 18%5 -Strongly Agree 38 76%

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3

9

38

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Feeling proud for an organization is not artificial. It takes in to account the satisfaction of an employee. It’s been found from the above analysis that, major percentage of employees feel proud to be introduced as a TTSLite. This shows the organization has given utmost satisfaction to it’s employees.

10-TTSL is an ethical company to work for

1-Strongly Disagree 2 4%2-Disagree 0 0%3- Somewhat agree 0 0%4-Agree 6 12%5 -Strongly Agree 42 84%

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2

6

42

1-Strongly Disagree2-Disagree3- Somewhat agree4-Agree5 -Strongly Agree

Ethics reflect the philosophy of business which includes the fundamental purpose of an organization without breaking anyone’s trust. Only making profit cannot earn goodwill for an organization in the market. Being a corporate giant TTSL has certain responsibilities towards the society as it evolves from there and ends there. It’s been found from the above study that, TTSL has taken up the responsibility and doing its bit to remain ethical.

11-Out of all stated activities which one you like the most

Udaan 27 54%Sprinkles 10 20%Voice of employee 13 26%Town hall 3 6%Coffee With COO 7 14%Phone With MD 1 2%HR Connect to solve 5 10%

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HR out reach program 5 10%

Udaan

Sprinkles

Voice of employee

Town hall

Coffee With COO

Phone With MD

HR Connect to solve

HR out reach program

0 5 10 15 20 25 30

Series3Series2Series1

UDAAN is the Circle news letter published by the CSD Dept in collaboration with HR dept. of the organization. The above study says that employees have appreciated the effort of conveying the new HR policies adopted by the organization to them. This also leads to the conclusion, that employees not always need monetary benefits they also want to be enlighten with knowledge.

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FINDINGS

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IT has been found that TTSL is having the attrition ratio of 91% that also means that the HR policies followed by the Organization is been well approved by its all employees and they are well satisfied with it

The engagement policy is sublime and company truly puts all its employees at the right place because of which there is no confusion and over lap of work . The employees are given autonomy and flexibility to accomplish their work .

Employees are proud to be introduced as TTSLites and its an ethical company to work for. They also get enough scope to enhance their talent and knowledge through some online training and class room classes .

Strong monitoring systems help employees to get out of their deficiencies which comes out during their work. Those marked employees are sent for training on several issues

The Circle newsletter “UDAAN” has got the maximum appreciation among all other activities which also proves that employees are having an urge to know more about the HR policies which are implemented and they also show faith on it.

The Engagement and daily activities are taken place by both the Admin and HR dept and with collaboration with weaver team which works as the stress releaser .People do find time to relax themselves with in their working hour by making self engaged playing carom and watching Tv inside .

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SUGGESTIONS

After going through systems in TTSL and analyzing my study as well as incorporating the views of the respondents through exit interview analysis, I came across a lot of issues where I believe there are scopes for improvements. If TTSL Top management

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will pay attention to all these then we may shot out some problem of attrition of talents. Some of the key suggestions are mentioned below:

Inter – functional cooperation should be given more emphasis. 360 degree feedback should be included. Reward in form of abroad trip may be considered. Attention to physical working condition of field workers. Some time stress Reliever should be provided to employees.

concept of Eustress can be done by showing some audio visuals on stress management. Stress managemnet can be given a specific identity in the organization. Develop mobile application on employee engagement so that field employees will be

motivated too.

Improvement in functional learning process. Resources provided which is required to do the task should be proper. Coordination among team mates need to improve(Team Dynamics). Swearing filthy slangs should not be used by boss.(not by all) Clarity in role should be there. Salary Rationalization of deserving employees. Developmental plan for employees completing 2-3 years. Regular feedback regarding employee aspiration. Job Content should be properly explained by supervisor. Handholding and counseling by superior. Leadership skills can be induced by proper training of Supervisors. Immediate decision on relocation.(personal issue) Employees should be given proper information about investment plans. Compensation and benefit package need to develop. Diversity at work place need to be managed to make a mixture of gender,

cultural background, ages, lifestyle among staff to respond to business more rapidly.

Suggestion Box System should be there. Provision for staff quarters should be there. More engagement activity and entertainment event should be conducted. There should be more exit survey to know the proper reason why people are

leaving TTSL and why the employee churn is high. TTSL Bhubaneswar should gear up it’s motion towards corporate social

responsibility as well as give importance to throw some light on its employees regarding Disaster Management..

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CONCLUSION

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Employees are the most valuable asset of the any organization. It is the duty of the Organization to keep them satisfied so that they will continue their job for a longer period of time. An organizational goal can be achieved only when the employees put their best efforts. But this will be less effective if the employees will leave the job and the attrition rate is high.

After an in-depth study of entire process in TTSL I found many employee engagement techniques has taken place but there are some “soft issues” which HR should take care of.This project is just a part of what TTSL should do and factor on which it has to work on. In this competitive environment it is high time for TTSL to increase its pace, grab the best talent and foremost thing to retain them for long time.

TTSL has to be a “TALENT MAGNET” organization keeping in mind all key factors require to satisfy ,motivate, engage and to retain the best brain hired .It takes more than a generous benefit package, competitive salaries with scope for work-life balance to attract and terrain talented employees. It takes addressing the fundamental need people have for pride, meaning &purpose , appreciation, opportunity to learn and grow and respect .Leaders in talent Magnet organizations realize this and continuously strive to address these needs. By listening to the customer and employees they go for self examination, and then they are able to create an organization that is Magnet for great employees by retaining them. So TTSL is now wheeling forward to get the best in the course of time by providing the ways to improve the loopholes/lack nesses. It has been a great opportunity for me to do my summer internship in TTSL(TATA DOCOMO).It also gave me a great exposure to the corporate culture and work environment . I also got exposure in HR practices and policies followed in TTSL. It was a great experience to work as a trainee in accompany like TTSL.

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BIBILOGRAPHY

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Eprocess.tatatel.co.in Telespace.co.in(HR policies) Econnect.tatatel.co.in www.citehr.com