Project Report On HINDALCO INDUSTRIES LTD, RENUKOOT - Monika

Determination of Service Indicators for Service Departments
SUBMITTED TO: SUBMITTED BY:

Mr. PUNEET TIWARI MONIKA SRIVASTAVA
MANAGER (PERSONNEL) PGDM-HR
HINDALCO INDUSTRIES LIMITED

PREFACE:
Human Resources play a vital role in shaping a healthy and growing
organization. Without doubt, human resources development has hence
been aptly described as the “soul” of a vibrant and dynamic organization.
The increasing complexity and problems of managing human resources
places heavy demands on ensuring equal emphasis on all the sub-systems
which play a crucial part in ensuring holistic development of the human
resources. Human Resources Management has gained immense
importance in today’s environment of global competition to meet future
challenges in the new millennium. In these days of rapid advancement in
Information Technology and Techno-Commercial aspects of business, it
would be eventually the “Man behind the Machine” who would determine
which way/ direction an organization goes.
Human Resources Development systems have an important task in
achieving the required dynamics to enable any organization to perform at
its peak. The right recruitment and selection to start with, progressive
training and development thereafter, and, a fair performance appraisal
system gives an impetus to professional and proficient management of HR.
There is yet another dimension of HRM which is directly related to, and falls
within the ambit of organizational development that deserves major
attention because the “character & culture” of an organization is formed by
HR of the organization and that will finally decide the future of the
organization.
After said all this, it is imperative to consolidate on the available human
potential and check HR wastages to ensure organizational effectiveness as
it has become a key to sustain excellence and achieve competitive
advantage over others.
This project study is on “DETERMINATION OF SERVICE INDICATORS FOR
SERVICE DEPARTMENTS” thus assumes an even greater relevance in the
existing changing business scenario especially so when there is a
paradigm shift in the Organizations’ approach towards Human Resources
Management in outlining specific roles. Without defining HR vision, roles &
objectives, an organization would jeopardize its growth and survival
therefore it is all the more necessary to indigenize the HR sub-systems for

ones own benefit after a close microscopic scrutiny.
It has been my best and sincere effort to collect information from as many
departments and sections as possible in the given time period, to maximize
the viability of the results. Though the time limit was short but I have tried
my level best to do justice. Any errors and omissions that might have
occurred are totally unintentional and unfortunate. I shall always be obliged
to everybody whoever put his/her valuable comments on this report.
INTRODUCTION
ADITYA BIRLA GROUP OVERVIEW
GENESIS:
Aditya Birla Group traces its origin back to the tiny village of Pilani in the
Rajasthan desert, where, late Shri Seth Shiv Narayan Birla started cotton-
trading operations in 1857. Then one visionary – the late Shri G.D Birla set
up India’s first integrated aluminium manufacturing unit at Renukoot, in
1962, backed by captive power plant at Renusagar in 1967.
It further evolved under the dynamic leadership of the late Shri Aditya
Vikram Birla – a prominent figure in the Indian industry, under whose
stewardship Hindalco attained its leadership position in aluminium. Today
our Group chairman, Dr. Kumar Manglam Birla has put together the
building blocks to make Indian business a global force.
INTRODUCTION:
The Aditya Birla Group is India’s first truly multinational corporation global in
vision, rooted in Indian values, A US $24 billion corporation with a market cap of
US $31.5 billion and in the league of Fortune 500, the Aditya Birla Group is
anchored by an extraordinary force of 100,000 employees, belonging to 25
different nationalities. In India, the Group has been adjudged “The Best Employer
in India and among the top 20 in Asia” by the Hewitt-Economic Times and Wall
Street Journal Study 2007. Over 50 per cent of its revenues flow from its
overseas operations.
The group’s products and services, offer distinctive consumer solutions. Its 66
state-of-the-art manufacturing units and sectoral service span throughout the
world.
Entry of Syt. Ghanshyam Das Birla

1916 - First taste of industrial management – take over of sick cotton mill
in Delhi.
1918 - First limited company – Birla Brothers Limited.
The real industrial thrust in 1919 with Birla Jute in Calcutta and 1921.
Jiyajeerao Cotton – Gwalior
Birla Jute was established in defiance of Scottish monopoly.
1923 - Purchase of Kesoram Cotton.
1926 - Orient Paper Mills.
1931-33 - Bharat Sugar, Upper Ganges Sugar, New Swadeshi Sugar, New
Delhi Sugar.
By 1947 - Assets wroth Rs. 25 crores in 20 companies.
Thereafter
1954 - Durgapur Iron & Steel
1957 - Gwalior Rayon, Nagda
1962 - Hindalco commencement of production
1966 - Take over of Indian Rayon
ADITYA BIRLA GROUP
A truly multinational Indian Group

The Aditya Birla Group was the first in Indian to venture overseas, by
starting a joint venture in Ethiopia. Thereafter, over the last quarter century,
this group has started 20 very successful and diversified ventures spread
through the Asian region. It has been declared by Euro money that this is
the only truly multinational group of India.
At present, the group has more than 50 manufacturing units, producing a diverse
range of products, financial service, trading and computer consultancy. It is also
expanding its activities in the field of telecom, oil refinery, power generation,
copper smelter etc.
Globally the Aditya Birla Group is:

• A metals powerhouse, among the world’s most cost-efficient aluminium
and copper producers. Hindalco-Novelis from its fold is a Fortune 500 company. It is the
largest aluminium rolling company. It is one of the three biggest producers of
primary aluminium in Asia, with the largest single location copper smelter.
• No.1 in viscose staple fibre

• The fourth largest producer of insulators
• The fourth largest producer of carbon black
• The 11th largest cement producer globally
• Among the world’s top 15 BPO companies and among India’s top three
• Among the best energy efficient fertilizer plants
In India:
• A premier branded garments player
• The second largest player in viscose filament yarn
• The second largest in the chlor-alkali sector
• Among the top five mobile telephony companies
• A leading player in life insurance and asset management
• Among the top three supermarket chains in the retail business
Rock solid in fundamentals, the Aditya Birla Group nurtures a culture

where success does not come in the way of the need to keep learning
afresh, to keep experimenting.
Beyond business – “Reaching Out”

A value based, caring corporate citizen the Aditya Birla Group inherently
believes in the trusteeship concept of management. A part of the group’s
profits is ploughed back in to meaningful welfare driven initiative that make
a qualitative difference to the lives of marginalized people. These activities
are carried out under the aegis of the Aditya Birla Center for community
initiatives and Rural Development spearheaded by Mrs. Rajashree Birla.
Beyond business — the Aditya Birla Group is:

• • Working in 3,700 villages
• • Reaching out to seven million people annually through the Aditya Birla Centre for
Community Initiatives and Rural Development, spearheaded by Mrs. Rajashree
Birla
• • Focusing on: health care, education, sustainable livelihood, infrastructure and
espousing social causes
• • Running 41 schools and 18 hospitals
Transcending the conventional barriers of business to send out a message

that “We care”.
GROUP PHILOSOPHY
RESTS ON FOUR PILLARS:

 CUSTOMERIZE
 PEOPLE- IZE
 STRATEGIZE
 INSTITUTIONALIZE
GROUP VALUES
OUR VALUES ARE NON NEGOTIABLE, THEY ARE NEVER TO BE
JETTISONED, FOR US OUR VALUES ARE OUR WELLSPRING. THESE ARE:
 INTEGRITY
 COMMITMENT
 PASSION
 SEAMLESSNESS
SPEED
GROUP VISSION
“TO BECOME A PREMIUM CONGLOMERATE WITH CLEAR BUSSINESS
FOCUS AT EACH CORPORATE LEVEL”
GROUP MISSION
“TO DELIVER VALUE FOR OUR CUSTOMERS, SHAREHOLDERS,
EMPLOYEES AND SOCIETY AT LARGE”
Aditya Birla Management Corporation Ltd. (ABMCL)

In a strategic move to institutionalize its management process, the Aditya
Birla Group has set up Aditya Birla Management Corporation Limited
(ABMCL) It is headed by Board of Directors with Mr. Kumar Mangalam Birla
as a Chairman.
It is a Group’s apex decision making body and provides strategic direction
to group companies.
The Group has following Achievement to its credit
 The world’s no.1 in viscose staple fiber.

 The third largest producer of insulator.
 The world’s third largest producer of carbon black.
 The world’s eighth largest producer of cement and the largest in a single
geography.
 Asia’s largest integrated aluminum producer.
 A globally competitive, fast growing copper producer.
 India’s premier branded garments player.
 Among India’s most energy efficient private sector fertilizer plants.

 India’s second largest producer of viscose filament yarn.

 India’s second largest private sector insurance company.
 Among the world’s top 15 and India’s top three BPO companies.
 The group has also made successful forays into it and IT sector and has a
significant presence in the Financial Sector and telecommunications
sectors in tie-ups with giants like Sun Life insurance (Canada) and At &T
(USA) respectively.
HINDALCO INDUSTRY LTD

Hindalco Industries Limited, the metals flagship company of the Aditya
Birla Group, is an industry leader in aluminium and copper. A metals
powerhouse with a consolidated turnover of Rs.600, 128 million (US$ 15
billion), Hindalco is the world’s largest aluminium rolling company and one
of the biggest producers of primary aluminium in Asia. Its copper smelter is
the world’s largest custom smelter at a single location.
Established in 1958, Hindalco commissioned its aluminium facility at

Renukoot in Eastern U.P. in 1962. Later acquisitions and mergers, with
Indal, Birla Copper and the Nifty and Mt.Gordon copper mines in Australia,
strengthened the company’s position in value-added alumina, aluminium
and copper products, with vertical integration through access to captive
copper concentrates.
In 2007, the acquisition of Novelis Inc. a world leader in aluminium rolling

and can recycling marked a significant milestone in the history of the
aluminium industry in India. With Novelis under its fold Hindalco ranks
among the global top five aluminium majors, as an integrated producer with
low cost alumina and aluminium facilities combined with high-end rolling
capabilities and a global footprint in 12 countries outside India. Its
combined turnover of US$ 15 billion, places it in the Fortune 500 league.
RENUKOOT; SONEBHADRA; U.P.
COMPANY PROFILE
Hindalco Industries Ltd. is the Flagship Company of Aditya Birla Group.
The Aditya Birla Group is India’s second largest business house with a
turnover of Rs. 280 billion, and Assets are valued at over Rs. 265 billion.
The group has nearly 72000 employees in 18 countries.
Hindalco Industries Limited was incorporated in 1958 and commercial
production commenced in 1962. The Company was set up in technical
collaboration with Kaiser Aluminium & Chemicals Corporation, USA.
Hindalco is today one of India’s premium corporate, contributing
significantly to economic growth, generating employment and setting high
standards in respect of fulfilling of obligations to all stakeholders. The
Company prizes its ‘Human Capital’, and employees have been
reciprocating by turning in a sterling performance for the Company, year
after year. Hindalco has an enviable record of harmonious Industrial
Relations, with not a single man day lost since the past 30 years on
account of industrial strife. Company’s principal products comprise of
Aluminium Ingots, Aluminium Billets, Aluminium Wire Rods, Sheet
Products, Extrusions, Aluminium Foils and Aluminium Alloy Wheels. The
Company’s by products include Gallium Metal, Vanadium Sludge and
Aluminium Dross.
Hindalco Industries Limited, one of the major producer of Aluminium metal and
its semis in the country as well as a premier flagship company of A.V. Birla group
in the biggest industrial enterprise of Uttar Pradesh. It is a public limited
company in the private sector having about 39000 shareholders. It is the largest
integrated Aluminium plant in India with all its production facilities viz.
Alumina, Aluminium & Fabrication located at Renukoot near Rihand Dam in
Sonebhadra (Uttar Pradesh). Hindalco’s power division is situated at Renusagar
about 35 km from Renukoot. In September 1959, an industrial license was
granted by the Government for setting up an integrated Aluminium plant at
Renukoot, with an initial installed capacity of 20000 MT. The construction work
was completed with 18 months, a record for a major job of this kind.
The dream of the great visionary Syt. G.D. Birla to locate an Aluminium plant
near Rihand power house came true. The late Prime Minister Pt. Jawaharlal
Nehru, formally inaugurated the plant in January 1963. From the modest
beginning in 1962, Hindalco has now become an industrial giant with capacity to
produce 242000 MT of Aluminium per annum.
Renukoot a fast growing & thriving industrial township, which is now humming
with activities & providing all the basic amenities of modern life to the inhabitants.
From being one of the most backward areas of U.P., it has now carved a place
for itself on the industrial map of India as well as World. Lying in the foothills of
the Vindhya range, Renukoot is about 165 km from Varanasi and 154 km from
Mirzapur.
The expansion programme of plant from the initial capacity of 242000 MT took
place in the stages during the last thirty five years. Apart from catering to the
internal demand of Aluminium in the country, Hindalco is also exporting
Aluminium semis to various countries including U.S.A., Germany, Japan etc.
Renusagar power, a division of Hindalco is the major supplier of power to
Hindalco. The power generating capacity of Renusagar power division has
increased to 575 MW since last year. Now Renusagar is able to meet the full
requirement of Hindalco.
Hindalco is an ISO-9002 company since 1994. Recently in July 1998 it has

also received the certification of ISO-14001 for environment maintenance
system. The company has been able to continuously enhance the quality
and range of the product and provide customer satisfaction.
In 1962 when production started, the company had on its roll about 900
staff and workmen and the present strength of employees is about 14000.
The office and works site is located at Renukoot and there are zonal offices
at Bangalore, Bombay, Delhi and Calcutta.
The company is managed by a Board of Director and other Senior Executives.
Management
Syt. Kumar Mangalam Birla - Chairman
Syt. Debu Bhatacharya - Managing Director
Hindalco today
Hindalco ranks as one of the largest Aluminium producer in India and

contributes about 35% of the total Aluminium production of the country. The
company’s fully integrated Aluminium operations consist of the mining of
Bauxite, conversion of Bauxite into Alumina, production of primary aluminium
from Alumina by electrolysis and production of properzi redraw rods, rolled
products and extrusions.
Capacities Present
Power 575 MW
Alumina 4,50,000 MT p.a.
Aluminium 2,42,000 MT p.a.
Rolled products 80,000 MT p.a.
Extrusions 15,000 MT p.a.
Wire rods 50,000 MT p.a.
Foils 5,000 MT p.a.
Co-generation 37 MW
Joint venture companies of Hindalco

1. Indo-Gulf Fertilisers & Chemical Corporation Limited
2. Bihar Caustic & Chemicals Limited
3. Tanfac Industries Limited
4. Mangalore Refinery & Petrochemicals Limited (MRPL)
5. Birla AT & T Communications Limited
6. Bina Power Supply Company Limited
7. Birla Global Finance Limited (BGFL)
8. Birla Capital International AMC Limited (BCIAMC)
9. Rajshree Polyfil Limited
HINDALCO’S VISION
To strengthen our position as a premium aluminium company, sustaining

domestic leadership and global competitiveness through innovation,
quality and value added growth.
HINDALCO’S MISSION
To relentlessly pursue the creation of superior shareholder value by
exceeding customer expectations profitably, unleashing employee potential
and being a responsible corporate citizen adhering to our values.
.
HINDALCO’S STRATEGY
EFFICIENCY FOCUS: To be one of the lowest cost producers globally.

EFFECTIVENESS FOCUS: To continue to remain the market leader
domestically.
GROWTH FOCUS: To purchase value adding growth opportunities in
aluminium.
HUMAN RESOURCE (HR)

Human Resources play a vital role in shaping a healthy and growing
organization. Without doubt, human resources development has hence
been aptly described as the “soul” of a vibrant and dynamic organization.
The increasing complexity and problems of managing human resources
places heavy demands on ensuring equal emphasis on all the sub-systems
which play a crucial part in ensuring holistic development of the human
resources. Human Resources Management has gained immense
importance in today’s environment of global competition to meet future
challenges in the new millennium. In these days of rapid advancement in
Information Technology and Techno-Commercial aspects of business, it
would be eventually the “Man behind the Machine” who would determine
which way / direction an organization goes.
Human Resources Development systems have an important task in
achieving the required dynamics to enable any organization to perform at
its peak. The right recruitment and selection to start with, progressive
training and development thereafter, and, a fair performance appraisal
system gives an impetus to professional and proficient management of HR.
There is yet another dimension of HRM which is directly related to, and falls
within the ambit of organizational development that deserves major
attention because the “character & culture” of an organization is formed by
HR of the organization and that will finally decide the future of the
organization.
After said all this, it is imperative to consolidate on the available human
potential and check HR wastages to ensure organizational effectiveness as
it has become a key to sustain excellence and achieve competitive
advantage over others. This project study on “DETEMINATION OF
SERVICE INDICATORS FOR SERVICE DEPARMENTSW” thus
assumes an even greater relevance in the existing changing business
scenario especially so when there is a paradigm shift in the Organizations’
approach towards Human Resources Management in outlining specific
roles. Without defining HR vision, roles & objectives, an organization would
jeopardize its growth and survival therefore it is all the more necessary to
indigenize the HR sub-systems for one’s own benefit after a close
microscopic scrutiny.
.
HINDALCO HR VISION, MISSION & OBJECTIVES
HR VISION
To provide an enabling environment where employee competencies are
nurtured and harnessed towards sustainable business growth and
leadership.
HR MISSION
To proactively assess and provide for the HR needs of the business and
customer for the attainment of organizational goals.
HR OBJECTIVES
• To collaborate with and support internal customer of HR in achieving business
objectives through HR services viz. effective manpower planning , ensuring
harmonious industrial relation etc.
• To review and redesign the structure of the organisation with the clarity of roles,
responsibilities and accountability for overall organizational effectiveness and
speeding response to emerging business challenges.
• To develop knowledge and skills of the employees and groom leaders with
functional and business competencies to meet future demands of the
organizational (viz. flexibility and change management).
• To benchmark best HR practices in order to enhance human resource
effectiveness.
• To enhance employee productivity through rationalization of jobs and manpower
optimization.
• To promote employee involvement in decision-making, team working, creativity
and empowerment.
• To institutionalize transparency by framing, updating and communicating systems
and processes.
• To maintain good liaison with government/ external agencies in order to better
serve the organizational cause.
• To provide a safe and healthy work environment and continuously benchmark and
upgrade the standards of safety and hygiene.
• To work towards improving the quality of work life of employees and the lives of
their families.
Organisation Chart of HRD Division
V.P. (HR)
Medical Head Head- School ( all

services Head, HRD Head E.R Security & Safety principles)
T.A
Services directly or indirectly end to Customer Satisfaction. Satisfaction is

a emotional response to his or her prior experience with and expectations
with the benefits provided by the services of service department of the
organisation. It is believed that satisfaction will influence future. Customers
can experience satisfaction with;
• Organisation’s services, overall
• Specific performance aspects of organisation’s services
• Organisation’s conduct of transaction (delivery of services, repair visits,
complaint handling, etc...)
• The kind of relations between employees and the organisation.
Services can be explained with the help of a following cycle
IMPROVEED
EMPLOYEE
SATISFACTION
SATISFIED
CUSTOMERS
LOWER
LOWER
EMPLOYEE CUSTOMER
TURNOVER CHURN
HIGHER
PROFIT
MARGIN
IMPROVEED
EMPLOYEE
SATISFACTION
SATISFIED
CUSTOMERS
LOWER
LOWER
EMPLOYEE CUSTOMER
TURNOVER CHURN
HIGHER
PROFIT
MARGIN
Following model presents the interrelation between customer satisfaction and

Loyalty interrelates. This model advises that loyalty to be more of an
emotional bond, while satisfaction deals more with functional performance.
Emotional Bonds
Perceived
Caring
Trust & Confidence

Customer
Brand Loyalty
awareness Product
Satisfaction Perceived Caring
Brand
Image Perceived Knowledge
Channel
Assets Accessibility &
responsiveness
The management shall review the organisation’s quality management

system, at planned Intervals, to ensure its continuing suitability, adequacy
and effectiveness .this review shall include assessing opportunities for
improvement and the need for changes to the quality policies and quality
objectives.
The input of management reviews shall include information on:

• Results of audit
• Customer feedback
• Process performance
• Changes that could affect the quality management system
• Recommendations for improvement
The main objective of the measurement of performance of the Quality

Management System. The organisation shall monitor information relating to
customer perception as to whether on the organisation has met customer
requirements.
Considering Hindalco industries limited, Renukoot, emphasises on the

benefits of customer satisfaction. The service departments of Hindalco
are :
• Recruitment/ Personnel
• IT
• Building Maintenance
• Accounts
• Town Admin, Security and Camp Office
RESEARCH METHODOLOGY:
SAMPLE: ENTIRE HEADS OF SERVICE DEPARTMENTS

TYPE OF RESEARCH: DESCRIPTIVE RESERCH
METHODS: QUESTIONNAIRE AND INTERVIEW METHOD
FINDINGS AND ANALYSIS
RECRUITMENT AND SELECTION

At the time of vacancy, it is mandatory to inform about the vacancy in the
Employment Exchange.
As per the management policy, the company will attempt to fill all
vacancies, except at entry levels, from within Hindalco to the extent
possible. To ensure this, filling up of all vacancies will be done through the
HR Department.
RECRUITMENT
The procedure detailed below is applicable for filling vacancies in all
sanctioned positions of Hindalco. It, however does not deal with campus
recruitment of GETs and MTs which is detailed separately along with
details of the training schemes. Whole process of recruitment generally
takes 90 days but in case of urgent requirement, it must be completed
earlier..
Sources
The following sources shall be used to identify prima facie suitable
candidates for every vacancy:
1. From within i.e. through transfers and promotions of existing employees.
2. Internal databank of applications maintained by HRD.
3. Through Poornata (ABG Portal).
4. Advertising in national/local press.
5. Through an executive selection agency.
FLOWCHART
Vacancy released by Department

Head and approved by the Functional
head.
Approved by HR Head, consult the

Personnel section for various
alternatives
HR Department along with the

Department Head fills the position
internally, if possible, on the basis of
Performance Appraisal.
Then inform the Recruitment Section for

releasing the vacancy on Poornata (Portal
of ABG Ltd) for both internal and external
candidates. From releasing vacancy to
forwarding information to recruitment
section it takes 4-5 days.
Then within 15-20 days the vacancy will be

displayed on both intranet (for internal
group) and internet (for External group).
Application of all interested candidates, whatever is their

source, shall be screened by HRD using detailed job
description and specification as the basis. A shortlist of
all prima facie suitable candidates who should be called
for interviews should be prepared within 4-5 days
After that a Telephonic round of interview will be

arranged within 7 days as per the suitability of
candidate and concerned Department Head.
After that, the date of Personal Interview is fixed as per

suitability of all short listed candidates and Interview
Board Members. It generally takes 20 days.
The final approval is given by the Unit Head and the

candidate is medically examined, if the candidate is
found to be fit, then the offer letter is issued to the
selected candidate.
Once the candidate accepts the offer letter, the date of

joining is decided with the mutual consent of the
candidate and management. On his arrival the joining
formalities are taken care of.
INFORMATION TECHNOLOGY
For ensuring Quality, Service and Information Security, IT Department has
established ITMS based on PDCA model and with the help of integration of
ISO9001:2000 (Quality Management ), BS 15000 (IT Service Management)
and ISO -27001 (Information Security Management). Hindalco IT Department
is World’s 1st integrated implementation of 3rd International IT Standards ,
which is certified by DNV in Dec 2005. Our main objective is to implement
the best practices and continuously improve upon it.
The DR solution setup at Renusagar ensure Business application
availability in case of disaster , which is an on-line true replica of Database
server at Renukoot, results to zero data loss by implementation of State-of-
the-art “Metro Mirror Technology.
Information Security Prerequisites

The deployment and use of information system in the Group are governed
by the Information Security Policy of the Group. Upon joining Aditya Birla
Group, employees are required to sign “Information System Acceptable
Use Agreement” before they can access any of the Group’s Information
System.
Access to Information System

Employees will be granted access to Information System based on
business needs. Users will be assigned a unique identification code (User
ID) and password to enable them to gain access to Information System. The
IT department regularly monitors and audits the usage of Information
System.
IT department generally provide services to the employee in the form of
following:
• Setup i.e. Change Calls
• Bug i.e. Incident Calls
• Information i.e. Information Calls
For solving the employee’s problem/complaint IT Department has software
called Calls Management System (CMS).
The IT Department has signed two agreements:

• Service Level Agreement (SLA)
• Operation Level Agreement (OLA)
SERVICE LEVEL AGREEMENT (SLA) - This agreement is signed between IT

Department and other Departments that the complaints will be solved
within the specified period.
OPERATION LEVEL AGREEMENT (SLA) - This agreement is signed
internally among employees of IT Department that the particular complaint
will be solved within specified period.
FLOWCHART
Calls registered by the

employees through online
requisition form.
Calls assigned to the

respective task (team),
whether the calls is of
network related, hardware
related etc.
Calls are then solved as per

the Service Level Agreement
(SLA).
Calls end when the

employees again check the
system and their problem are
resolved.
BUILDING DEPARTMENT
Building Department looks after Colony Maintenance. It includes more than
8000 quarters. Building department has the following functions:
 Construction
 Routine Maintenance
 Development
CONSTRUCTION
Construction include jobs like

The job of construction does not exactly deal with the services that are
rendered to the employees.
MAINTENANCE
Accepts the complaint through:

 Online
 Telephone
 Writing
DEVELOPMENT WORKS
Major maintenance problems are considered as Development Works.
Their job is being identified into following categories:

 Painting
 Carpentry
 Fabrication
 Plumbing
 Massionary
MAINTENANCE
Complaints
Through:
Online
Writing
Telephone
Identification of
job:-
Painting
Carpentry
Fabrication
Plumbing
Massionary
Execution
Regular Job Needs approval (extra

job)
For comfort or quality of
Necessity of occupant life. It depends on:-
Their rights of being Necessity
Company policy
occupant Budget
ACCOUNTS DEPARTMENT
Every organization has some objectives and whether these are achieved or
not is also monitored. It is possible when all the transaction evaluated in
terms of money and is recorded in a meaningful manner. The process of
keeping these records is called “Accounting” and the department that does
it is called as “Accounts Department”.
The main task of the accounts department is to advise management on the
financial matters and maintain accounts prescribed under the companies
act. A necessary part of this function is proper accounting of income and
expenses and assets and liabilities. There are many function in the
Accounts department i.e. Accounting, Audit, Taxation, PF, Banking,
Insurance, Fixed Assets, Cash Receipts Payments, Budgeting etc.
The Accounts Department performs their function in the form of service to
the employees in the following manners:
1. Gratuity
2. Super Annuation
3. Reimbursement of Bills
4. Insurance
5. Provident Fund
6. Ex-Gratia Payment
GRATUITY
All confirmed employees of Hindalco automatically become members of the

Gratuity Scheme.
The amount of Gratuity is as per the rules and regulation of Hindalco
employees Gratuity trust will be entitled to only those who have completed
their 5 years of service.
If the employee is transferred within the ABG, the amount payable as per
norms of Birla Management Centre.
Acc. to Gratuity Act,

Years On the rules of Gratuity -
Up to 5 yrs Nil
5 to 10 years 18 days per year.
10-15 years 21 days per year.
Above 15 years 26 days (i.e.1 month) per year.
Maximum Gratuity is of 600 days i.e. 23 months 2 days. Every year 240 days
of working should be there.
(DAYS WORK+ PAID LEAVE+ PAID CASUAL LEAVE+PAID SICK
LEAVE=240 DAYS)
Rules are same in case of resign. Above rules are applicable for
supervisory cadre employees.
Gratuity payable for management cadre employees:

YEARS On the basis
Up to 5 yrs Nil
5-10 yrs 18 days
10-15 yrs 21 days
15& above 30 days.
In case of resign the gratuity will be payable @ 15 days per year.
Forms to be filled by candidates are of following categories:

Categories Applied by :
Form I Candidate
Form J Nominee
Form K, form L Legal authorised person
Formula :
(No. of days *no of yrs)/26=no. of months and no. of years are calculated.
Salary/26*180days=gratuity
PROCESS
HR DEPARTMENT
(RETIREMENT FORM)
On issuing a retirement letter the form of
Gratuity is attached.
WELFARE DEPARTMENT
When the employee brings the filled form,
Welfare dept sends a requisition for collecting
the Personal Folder for checking the complete
personal data of employee.
TIME & PAYROLL OFFICE

Once the Employee submits the duly completed
Gratuity form the Time and Payroll Office all the
cheque of dues are handed over to the concerned
employee by respective sections.
Hindalco( trustee)
Claim form is prepared. And checking of papers.
FUND MANAGER
Verification of filled forms and transfers the funds
from LIC Varanasi to the Accounts dept
(Hindalco).
(trustee)
Trust receives cheque from fund manager and
make the payment to employees( retire/resign,
transfer etc)
Payment made to the employee after getting fund
from LIC Varanasi.
ACCOUNTS DEPARTMENT
Accounting, payments, auditing, minutes, reports,
meetings.
Super Annuation
SUPER ANNUATION
Super Annuation is also known as Hindalco Super Annuation scheme.

It covers all Assistant Managers and above. Super Annuation scheme is the
benefit provided to the employees by the company in four different
beneficial manners which are:
• To get the whole amount at the time of retirement, he can withdraw 1/3rd of the
amount at any time and the rest is given as pension.
• To withdraw 1/3rd of the amount at any time and the rest is given as pension.
• Newly employees covered under super Annuation, amount to be paid as super
Annuation allowance.
• Its upto the employee, if he wants to become member of Hindalco super
Annuation scheme instead super Annuation allowance.
These options are provided in accordance with the choices of employees.

Monthly pension is decided by the LIC rules on the age basis. The interest rate
every year declared by LIC as per fund of Trust.
Super Annuation is calculated through the following process:-

Nomination FORM of new employeeTHROUGH

HR
Nomination form is provided by the HR dept within a
day and further filled copy of this form is received by
the HR Deptt. from the employee.
CALCULATION OF CONTRIBUTION/payments and fund transfer to

other companies BY ACCOUNTS DEPARTMENT
15% of the basic salary is contributed by the company and it is

calculated within a day. Along with a claim form for payment to
employees.
LIC (VARANASI)
Claim form of employees is forwarded to LIC for final
payments and it takes approx one month from the date of
sending the proposal.
After claims amount received from LIC, payment through
the Accounts Deptt. is made to the employees.
Reimbursement of Bills
HR GUIDELINES
As per the company guidelines.
BILLS RECEIVED
Bills like Travel, Medical, Transport, Insurance,
Telephone and car operating etc are accepted by the Billing
Section of the Accounts Department.
CHECKING OF BILLS
Then the bills are checked by the billing section within 1-2
days.
APPROVAL
Then it is approved by trustee within 1-2 days.
PAYMENT MADE
Cheque is issued and payment is made to employee.
INSURANCE
INSURANCE
Group Personal Workmen

Insurance Compensation Policy
Group Personal Insurance

It covers accidental injuries occurs 24 hours all over India. It doesn’t cover
sickness. It is not a compulsory policy, rather a beneficial policy given by
the company to the employees. It is given to both staff and workers.
• Staff- Sum insured is the 50 times of the salary
• Workers- Sum insured is fixed i.e. Rs. 1 lac .
Workmen Compensation Policy

It is a legal compulsory policy. It covers accidental injuries is caused to the
workmen by accident arising out of and in the course of his employment .
Sum insured depends on the worker’s salary and it is only for workers.
Both the policies compensate only the leave period of the employee not the
treatment amount.
FLOWCHART
GENERAL PERSONAL INSURANCE

Injury happened to the

employee
SAFETY DEPARTMENT
When injury happened employee gives

intimation i.e. date, time and place of the
injury in the written form to the safety
department.
GENERAL INSURANCE SECTION
Safety Department then passes that intimation to

the General Insurance Section of the Accounts
Department within a weak after given by employee.
INSURANCE COMPANY
After the General Insurance Section that intimation is

forwarded to the insurance company for registration within 2-3
days after getting it. Settlement period is 1-3 months between
Hindalco and Insurance Company.
SAFETY DEPARTMENT
After fitness, employee required to submit the

documents like treatment paper, fitness certificate, X-
ray, salary slip of injured month, claim form and medical
report to the Safety Department.
Then Safety Department forwarded these entire

documents to the General Insurance section in the 2-3
days after getting it from the employees. General
Insurance Section calculates the claim of the employee.
INSURANCE COMPANY
General Insurance Section passes these papers to the

Insurance Company within 3-4 days after getting it from
Safety Department. Insurance company then settle the
claim.
SAFETY DEPARTMENT
Receives the list of settled claim. All the amount of claim of

every employee is submitted to the Workmen Compensation
A/C. Cheque is issued in the name of the Hindalco by the
Insurance Company and submitted in the Workmen
Compensation A/c from where employee can withdraw.
WORKMEN COMPENSATION POLICY
Injury happened to the worker
SAFETY DEPARTMENT
When injury happened worker gives intimation

i.e. date, time and place of the injury in the
written form to the safety department of their
department
Safety Department then passes that intimation to

the General Insurance Section of the Accounts
Department within a weak after given by worker.
INSURANCE COMPANY
After the General Insurance Section that intimation is

forwarded to the insurance company for registration within 2-3
days after getting it. Settlement period is 1-3 months between
Hindalco and Insurance Company.
SAFETY DEPARTMENT
After fitness, worker required to submit the documents

like treatment paper, fitness certificate, X-ray, salary slip
of injured month, claim form and medical report to the
Safety Department.
Then Safety Department forwarded these entire

documents to the General Insurance section in the 2-3
days after getting it from the employees. General
Insurance Section calculates the claim of the worker.
INSURANCE COMPANY
General Insurance Section passes these papers to the

Insurance Company within 3-4 days after getting it from
Safety Department. Insurance company then settle the
claim.
SAFETY DEPARTMENT
Receives the list of settled claim. All the amount of claim

of every employee is submitted to the Workmen
Compensation A/C. Cheque is issued in the name of the
Hindalco by the Insurance Company and submitted in the
Workmen Compensation A/c from where worker can
withdraw.
Provident Fund
The company has a contributory provident fund scheme covering all
employees. This is administered by a trust named Hindalco Employees
Provident Fund Institution. The contribution of both employees and
employers is 12% of salary and wages of the employees. The P.F institution
of the company has been exempted under the employee’s provident
scheme. Under the said scheme, employees are also covered in the
“pension scheme” in accordance with the employee pension scheme.
Provident Fund has two major functions as the service to the employees:-
• Loan Payment
• Final Settlement
LOAN PAYMENT
There are two types of loans

1. Refundable loan
2. Non-Refundable loan
REFUNDABLE LOAN can be taken again after 6 months of completion of

earlier loan. However, trustees have power to deviate and to sanction loan
before the completion of the 6 months. It is paid at the 9.5% interest rate.
NON-REFUNDABLE LOAN can be attained during service and maximum for
36 months’ salary and wages. These loans are generally taken for personal
reasons and can be taken at any time except non-refundable loan where the
eligibility for applying is not less than 5 yrs membership.
LOAN PAYMENT
APPLICATION FOR LOAN

Candidate applies for loan through
application.
CHECKING OF APPLICATION
Application are being checked that whether
previous loan is due or not and it is done twice
in a weak i.e. Wednesday and Saturday
CHECKING OF ACCOUNTS
Then that application will be forwarded to the
accounts department for checking of advances,
loans and dues within a day.
SORTING
After getting back it from the Accounts department on
the same day, the first time loan application is sorted
out from the outstanding dues. Then deposit slip is
taken for the outstanding ones and takes the
approval by the trustee. It is done twice in a week i.e.
Wednesday & Saturday.
Then that application along with deposit slip if any, is
given to the dealing person (The person whosoever is
looking for that department) on the same day.
LOAN SANCTION LIST

After all checking has been done, and then the
next day the generation of loan sanction list will
take place. The list contains the details like
employee code, employee name, reason of
loan, amount etc.
APPROVAL
After that the list is being approved by the
Trustee/Secretary on the same day.
BANK ADVICE
Then the list is forwarded to the bank and
advices to credit the account of concerned
employees with the particular amount and
debit the Hindalco Employee Provident Fund
Institute account.
FINAL SETTLEMENT
FORM FROM HR
Employee get the form from HR and make checking of filled
form from Time office, and to their parent Department and then
the PF section fills the employee code for the requisition.
DETAILS
After entering emp. code, employee has to fill the details about
date of leaving the organisation and the reason
VERIFICATION
Verification of the employee is then done by HRD and Time &
Payroll and is done within a week.
GENERATION & CHECK IN

After verification, Ledger is generated and is checked manually
in an hour.
FINAL SETTLEMENT
Generation of final settlement of voucher and final settlement is
done simultaneously.
PAYMENT
Cheque is generated and payment is made to the employee
on seeing the punch card and witness for identification.
EX-GRATIA
Ex-gratia is provided to the employees in three manners:

• Employees getting salary above 10,000 including DA
• Long service ex-gratia
• Management consideration
EMPLOYEES GETTING SALARY ABOVE 10,000+DA

In this, whatever may be the salary of the employees, but Rs.3500 as
monthly payment and ex-gratia is calculated on it only i.e. 20% of Rs.3500.
LONG SERVICE EX-GRATIA

Those employees whose service period is more than 25 years will get ex-
gratia in the following manner – after every two years, in block half month
salary will be given as ex-gratia payment.
Those employees whose service period is more than 37 years will get ex-
gratia in the following manner- on the last drawn salary including DA whole
amount of salary will be given as ex-gratia.
MANAGEMENT CONSIDERATION
In case of pre-retirement, management considers a sort of financial help to
the employees. It is approved by VP-HR.
TOWN ADMIN, SECURITY AND CAMP OFFICE

TOWN ADMIN SECURITY
Conservancy
Temples & Transport Gardening Guest Intelligenc

religious House e
functions
TOWN ADMIN
The Town Admin Section of HR Department performs following
functions for Hindalco employees at Renukoot .
These are:-
1. Administration of Town – Social issues, religious functions , ie maintaining
town discipline responsible for 9000 employees and their families
2. conservancy
3. Temples-religious functions
CONSERVANCY
Its role is to maintain high quality of sanitary and hygiene in three
townships,admin colony,plant colony and plant2 colony National Highway
from Hindalco plant to railway station, Rly station.
SECURITY
The main role of security is security of plant and 3 townships at Renukoot
besides following functions are also part of the main functions of town
admin and security which are :
1. Transport
2. Gardening
3. Guest House
4. Intelligence
TRANSPORT
Transport section has to perform the following roles:

• Make arrangement of safe transport to our employees and guests at lowest cost.
• Operate arrangement of safe and economical School buses for the employee’s
children.
GARDENING
The following are the roles of the Garden section of Town Admin:
• To protect and maintain the environment of Plant and Colony.
• Create comfortable work ambiance for the employees.
• Provide flowers to the employees whenever they need (e.g. marriages).
TRANSPORT FLOWCHART
Online Requisition
Specify the model, time which
depends on requirement of the
employees.
OFFICIAL PURPOSE
PERSONAL PURPOSE
Compulsory to provide
(within an hour, inform Depends on availability.
the concerned (Customer calls for
employee) confirmation within 8 hrs.)
Vehicle provided
SECURITY
The following flowchart shows the security system for visitors.

The following security steps are taken for

visitor’s entry:
Gate pass
Photographs
Biometric systems
Confirmation with the host
CCTVs
Issue Visitors Pass to the visitors, visitor

visits the respective destination and take the
host’s signature on gate pass for
verification.
After visiting the respective destination,

returns to gate and gate pass are being
surrendered after checking it.
After verification, the visitors are allowed to

go out of the premises.
CAMP OFFICE
Camp office of HR Department has the following function:
1. Allotment of Houses to the employees.
2. Allotment of Welfare Centre (for marriages).
3. To give the notice to the employees to vacant the house.
4. To maintain the furniture in the employee’s houses.

5. Furniture issue indenting.
6. Issue of soft furnishing for functions (marriages).
FLOWCHART
Allotment process
All employees are

divided into 46 days
Each Department has

seniority defined on the
parameter like, date of
joining, date of grade, date
of birth, date of last
promotion and of previous
promotion.
Availability of houses is
displayed on Oracle system
Employees select a house

On the basis of his
seniority level.
Camp office allots the

desired house.
RESULTS:
• Determined service indicators for service departments.

• Prepared questionnaires for service departments.
CONCLUSION
In our project” Determination of Service Indicators for Service Departments”,
We have finalised the service indicators for all the service departments of
Hindalco Industries limited.
Today is the buyers market. In the world of globalisation, by ensuring
merely the customer satisfaction, the organisation can survive but it cannot
flourish and compete with the competitors. For that, it is important to move
from customer satisfaction to customer delight and ultimately to customer
obsession, only then
the organisation can rule the market. There are both external and internal
customers whose attitudes, opinions and behaviour affect the
organisation’s day-to-day success:
External customers- external customers exist outside the organisation.
This type that comes to mind are “end-use” customers, the ones who use
or consume the product or services of the organisation for their own
purposes or production.
Internal customers- employees of the organisation for whom the service
departments provide product, services or servicing.
Stakeholders- are those whose interests are linked with the organisation. It
includes employees, stockholders, community leaders .
If the internal customers are satisfied, then only it is possible to attract and retain
the external customers.
Service indicators are basically framed to ensure the satisfaction of internal

customers and developing the culture where the organisation can ensure
the best
Quality of services provided by the service departments to the employees.

This will not only give rise to a healthy work culture in the organisation but
will also ensure the increase in productivity.
Some of the advantages of ensuring the quality of service are:
1. This will help in providing the reliable service by the service departments to the
employees dependably and accurately.
2. This will inculcate the feeling of responsiveness and willingness to help employees
and provide best services to them.
3. This will give assurance to the employees by the service departments in following
manners:
• Competency: possessing the required skills and knowledge.
• Courtesy: politeness, respect, consideration, and friendliness with the
employees.
• Credibility: trustworthiness, believlity, and honesty of the service
departments.
• Security: freedom from danger, risk and doubt.
4. This will give the knowledge about expectations of the employees to the service
departments in:
• Accessibility: the manner the service departments approach their customers.
• Communication skills: keeping employees informed in language they can
understand and listening to their response and questions.
• Understanding the customers: taking the effort to get to know the employees
and their particular needs.
LIMITATIONS:
 Based on certain organisation’s restrictions, certain data cannot be revealed to

general mass.
 Limited time period.
ANNEXURE
ACCOUNTS
S.No If No,
Statement YES NO
. Comments
Accounts department is able to provide the gratuity cheque within 20
1
days of receipt of advice from Time Office.
Accounts department activate the facility of Super Annuation fund

after 45days of getting salary details from payroll office?
My Medical bills get cleared within 15 days of receipt of submitting

3
the bill?
My Travelling bills get cleared within 15 days of receipt of submitting
4
the bill?
P.F section is able to do the final settlement of your account within 4

5
days of getting application?
The time period of 15 days after intimation of providing Group

6
Personal Insurance is appropriate according to you?
Loan payment happens 7 days of submitting the application by P.F

7
section?
TOWN ADMIN & CAMP OFFICE

S.NO Statement Comments
1 The colonies are properly cleaned by Conservancy Unit.

YES NO
2 I am aware of the cleaniness schedule of my colony area.
YES PERSONNEL & RECRUITMENT
NO
3 I am satisfied by the housing allotment procedure.
Strongly agree
S.NO Statements Agree Neither Disagree
YES Strongly If
NO Disagree
NO,Comments
4 The parks and garden are maintained properly and the services
Theoffered
processbyofthe Garden unit
is are satisfactory.
1 Recruitment fair and transparent.
Strongly agree Agree Neither Disagree Strongly Disagree
2 Recruitment section supplies the Quality Manpower.
5 The services provided by the Transport department are
satisfactory.
3 Recruitment section supplies the Manpower on time .
6 Transport
Dealing department
with the customerscollects feedbackmanner
is in discipline after completion
by the of
journey.
4 department.
YES NO
Joining
7 Theformalities is done of
online requisition satisfactorily
allotment ofand timelyisby
houses the
effective.
5 department.
YES program conducted by the department
Induction NO is
6 fruitful.
8 Feedback is obtained by Town Admin on the services provided.
YES NO
Camp office provides timely and quality service in employees function(ex:- marriages
9 etc..)
YES NO
10 The allotment of houses if fair and known to to me
BUILDING & COLONY MAINTENANCE

1 Complaint is attented within a day of posting.
YES NO
2 Building department serves quality service of maintenance within a day of
posting your complaint.
YES NO
3 Building department is able to resolve the maintenance problem within a day of

launching the complaint
Strongly agree Agree Neither Disagree Strongly
Disagree
4 Building department is rendered within specified days.
YES NO
5 The services offered by the Building department are satisfactory.

6 The services offered by the Building department are fast.
7 The services offered by the Building department isReliable/Quality.
8 The online complaint process is effective.
YES NO
9 Feedback is obtained by Building Maintenance on the services provided
YES NO
INFORMATION TECHNOLOGY

1 Calls are attended within a day of posting.
YES NO
2 The online registration of calls is effective.

YES NO
3 Change Calls (Set-Up Calls) are repaired within specified time.
YES NO
4 Incident Calls are resloved on specified time.

YES NO
5 Information are provided as and when required.

YES NO
6 System are developed as requirements and also for improvement.
7 Department is efficient in maintaining ISO Standards.

8 Feedback is obtained by IT Department on the services provided.
SECURITY
Any outside person is allowed to come inside the Plant only after approval of
1 concerned authority.
2 In case of emergency Security persons responds quickly.
3 Quality of service provided is good.
4 General attitude/ behaviour of Security persons are good.

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Determination of Service Indicators for Service Departments

SUBMITTED TO: SUBMITTED BY:

HINDALCO INDUSTRIES LIMITED

therefore it is all the more necessary to indigenize the HR sub-systems for

Entry of Syt. Ghanshyam Das Birla

1926 - Orient Paper Mills.

1957 - Gwalior Rayon, Nagda

1962 - Hindalco commencement of production

1966 - Take over of Indian Rayon

ADITYA BIRLA GROUP

A truly multinational Indian Group

Globally the Aditya Birla Group is:

• No.1 in viscose staple fibre

• The second largest player in viscose filament yarn

• The second largest in the chlor-alkali sector

• Among the top five mobile telephony companies

• A leading player in life insurance and asset management

• Among the top three supermarket chains in the retail business

Rock solid in fundamentals, the Aditya Birla Group nurtures a culture

Beyond business – “Reaching Out”

Beyond business — the Aditya Birla Group is:

• • Running 41 schools and 18 hospitals

Transcending the conventional barriers of business to send out a message

RESTS ON FOUR PILLARS:

Aditya Birla Management Corporation Ltd. (ABMCL)

 The world’s no.1 in viscose staple fiber.

 Among India’s most energy efficient private sector fertilizer plants.

 India’s second largest producer of viscose filament yarn.

HINDALCO INDUSTRY LTD

Established in 1958, Hindalco commissioned its aluminium facility at

In 2007, the acquisition of Novelis Inc. a world leader in aluminium rolling

HINDALCO INDUSTRIES LIMITED

RENUKOOT; SONEBHADRA; U.P.

Hindalco is an ISO-9002 company since 1994. Recently in July 1998 it has

Hindalco ranks as one of the largest Aluminium producer in India and

Joint venture companies of Hindalco

To strengthen our position as a premium aluminium company, sustaining

EFFICIENCY FOCUS: To be one of the lowest cost producers globally.

HUMAN RESOURCE (HR)

HINDALCO HR VISION, MISSION & OBJECTIVES

HINDALCO INDUSTRIES LIMITED

Organisation Chart of HRD Division

Medical Head Head- School ( all

Services directly or indirectly end to Customer Satisfaction. Satisfaction is

Services can be explained with the help of a following cycle

Following model presents the interrelation between customer satisfaction and

Trust & Confidence

The management shall review the organisation’s quality management

The input of management reviews shall include information on:

The main objective of the measurement of performance of the Quality

Considering Hindalco industries limited, Renukoot, emphasises on the

SAMPLE: ENTIRE HEADS OF SERVICE DEPARTMENTS

FINDINGS AND ANALYSIS

RECRUITMENT AND SELECTION

Vacancy released by Department

Approved by HR Head, consult the

HR Department along with the

Then inform the Recruitment Section for

Then within 15-20 days the vacancy will be

Application of all interested candidates, whatever is their

After that a Telephonic round of interview will be

After that, the date of Personal Interview is fixed as per

The final approval is given by the Unit Head and the