SUMMER TRAINING PROJECT REPORT

ON
STUDY OF HUMAN RESOURCE DEPARTMENT OF
UPICA HANDLOOM LTD.
(A U.P. Govt. Undertaking Company)
SUBMITTED IN PARTIAL FULFILLMENT OF THE
REQUIREMENTS OF
BACHELOR OF BUSINESS ADMISNISTRATION(BBA)
OF
GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY
NEW DELHI
(2011-2014)

SUBMITTED TO:
Ms. Raghvir Kaur
(Associated professor)

SUBMITTED BY:
SHUBHAM
BBA-V-B (Morning)
Roll no - 10314201711

JAGANNATH INTERNATIONAL MANAGEMENT SCHOOL

VASANT KUNJ, NEW DELHI-110070

CERTIFICATE
This is to certify that the project work title STUDY OF HUMAN RESOURCE
DEPARTMENT OF UPICA HANDLOOM LTD. by SHUBHAM, ROLL NO.
10314201711 is an authentic work carried out by his under my guidance and
supervision in the Bachelor of Business Administration From GURU GOBIND
SINGH

INDRAPRASTHA

INTERNATIONAL

UNIVERSITY

MANANGEMENT

Through

SCHOOL

JAGANNATH
The

SUMMER

TRAINNING PROJECT REPORT submitted has been founded satisfactory for the
partial fulfillment of the degree of Bachelor Of Business Administration.

------------------------Ms. Raghvir Kaur

(PROJECT SUPERVISOR)

Acknowledgement
This report is an outstanding prospect to convey my gratefulness to those
many people whose timely help and guidance went a long way in finishing
this project work from commencement to achievement.
I would like to express my sincere thanks to Mr. D.K. Tyagi for giving me an
opportunity to explore the practical knowledge practiced by the company.
This project could not been completed without the able guidance and support
of Ms. Raghvir Kaur(assistant Professor) and the faculty members.
I am very glad to work with the organization as a trainee. I am grateful to HR
Department of UPICA HANDLOOM LTD. for helping me to get the
information and an invaluable experience.
Last but not the least would like to thank my friends, family members and all
those people who helped me for the completion and deeper understanding of
the concept of performance appraisal. Working on this project has proved to
be an enlightening experience for me.

SHUBHAM

Executive Summary
In todays rapidly changing business environment, organizations have to respond
quickly to requirements for people. The Financial market has been witnessing growth
which is manifold for last few years. Many private players have entered the economy
thereby increasing the level of competition. In the competitive scenario it has become a
challenge for each company to adopt practices that would help the organization stand
out in the market. The competitiveness of a company of an organization is measured
through the quality of products and services offered to customers that are unique from
others. Human Resource in this regard has become an important function in any
organization. All practices of marketing and finances can be easily emulated but the
capability, the skills and talent of a person cannot be emulated. Hence, it is important
to have a well-defined recruitment policy in place, which can be executed effectively
to get the best fits for the vacant positions. Selecting the wrong candidate or rejecting
the right candidate could turn out to be costly mistakes for the organization. Therefore
a recruitment practice in an organization must be effective and efficient in attracting
the best manpower.
The UPICA HANDLOOMS LTD story has been one of outstandin g
performance, recognition and of accolades over the years in textile
retailing industry. Uttar Pradesh Industrial Cooperative Association
Limited is an Uttar Pradesh Government undertaking company. It was
established in 1972 in Sarvodaya Nagar, Kanpur(U.P ) Although the UPICA
Handlooms ltd is most well known for its textile business and Handicrafts Products
which are available across 18 states of India and some European Countries. This
would have not been possible had the company not evolve effective and
intelligent marketing strategies.
The project report is an in -depth study that gives an insight on the
following areas. It throws light on functions of Human Resource
department, its Personn el Policies, Procedures and Programs which
provides background knowledge of the discipline of "Management of
4

HR". It gives a complete spectrum on working of human resource

department from recruitment and selection to all facilities which
provided by company to their employees.
The report discusses the topics bearing on the employment and
development of human resources. It lays emphasis upon HR planning,
recruitment and selection process, including induction, promotions and
demotions, transfer, absente eism, employee training and performance
appraisal. The report also dwells on the subjective area of human
relations with some stress on inter personal relations, disagreements,
grievance, which are inherent parts of this science of personnel
management. It relates to problems and solutions to the said areas. It
describes the levels of hierarchy in an organization and the various
levels of authority, which is a formal chart or structure that indicates the
chain of command and the titles that have been assign ed to the managers
and other personnel.
The research undertaken was based on secondary data which was present
in nature, wherein tools such as company History, magazines, internet
etc. were used. There were of course limitations, most of which beyond
the normal course of things, which might show up at various places in
the project.
The report on UPICA HANDLOOM LTD gives an insight on: Managing Business processes and integrating business functions.
Maintaining Personnel .
Facilities provided by company .
The conclusion talks about the earning experience from the whole
exercise undertaken. The analysis of the total situation takes place here .

TABLE OF CONTENTS

CHAPTER
S. NO.
1

INTRODUCTION

RESEARCH METHODOLOGY

COMPANY PROFILE

HUMAN RESOURCE POLICIES

SWOT ANALYSIS

LIMITATIONS

CONCLUSION

PAGE
NO.

8
RECOMMENDATIONS
9
BIBLIOGRAPHY

CHAPTER-1
INTRODUCTION

INTRODUCTION
The Textile industry in India traditionally, after agriculture, is the only industry that
has generated huge employment for both skilled and unskilled labor in textiles. The
textile industry continues to be the second largest employment generating sector in
India. Today's markets are c hanging at an incredible pace. In addition to
Globalization and Technological changes, there is a power shift from
Manufacturers to giant retailers, a rapid growth and acceptance to store
Brands,

new

retail

forms,

growing

consumer

prices

and

value

sensitivity, a diminishing role for mass marketing and advertising, and a

disconcerting erosion of brand loyalty.
People are an organisation's most important asset. The Importance of
personnel management is being increasingly realized in organizations. In
most organizations the problem of getting competent and relevant
persons, retaining them, keeping up their motivation and morale, and
helping them to both continuously grow and contribute their best to the
organisation,

are

now

viewed

as

the

most

critical

problems .

Organizations have realised that human resource are most valuable than
other resources, and that their proper management can tremendously
help the organizations to maximise the utilization of other resources.
The marketing challenges for the industry are over these issues:
Competition, Liberal Govt. Policy, Investment potential, Distribution
Strength and Procurement efficiencies.
Human Resources Development (HRD) of UPICA Handlooms Ltd as a theory is a
framework for the expansion of human capital within an organization through the
development of both the organization and the individual to achieve performance
improvement. It provides the better working environment to all its employees from
level 1 to level 6. It gives confidence to all personnel for achieving organizational
goals as well as personal goals and self esteem which lead to self satisfaction. It also
provide regular increment and appraisal to all personnel.
8

The Problem : Examine the field of HR, in the Textile Retailing

Industry the sample being U PICA HANDLOOM.

The Objective : To understand the HR Policies, Recruitment and selection

process and all facilities to employees at UTTAR PRADESH INDUSTRIAL
COOPERATIVE ASSOCIATION LIMITED. The organization stated that the HR
Policies has been a key part of the management process for the effective utilization of
human resource. The company aims to fulfill the following objectives through its HR
Policies:

Ensure a high degree of selectivity in recruitment so as to secure super

achievers and nurture them to excel in their performance.
Impart such induction, orientation and training as to match the individual to the
task and inculcate a high sense of organizational loyalty.
Provide facilities for all round of growth of individual by training in and
outside the organization, reorientation, lateral mobility and self-development
through self-motivation.
Build teams and foster team-work as the primary instrument in all activities.
Recognize worthy contributions in time and appropriately, so as to maintain a
high level of employee motivation and morale. Appraisals and promotions shall
be ethical and impartial.
Implement equitable, scientific and objective system of rewards, incentives and
control.
Contribute towards health and welfare of employees.

CHAPTER-2
RESEARCH
METHODOLOGY

10

Research methodology
Data Source
1. Primary Data- In depth conversation with the placement agency and employees.
2. Secondary Data
In depth conversation with the placement agency.
Study of HR department Policies at UPICA Handloom Ltd. by the
manual provided by the HR department.
Web sites
Journals
Magazines
Books.
HYPOTHESIS OF PROJECT
Assumptions: Some hypotheses were made before the start of the
project, most of which came out to be true, and some were rejected
because the truth differed. These were:
Decline in profit margins
The retailing revolution is coming, with big groups entering the
field
At entry level selection is made through tests and interviews. As
seniority levels grow, there are multip le interviews.
Recruitment is done through placing ads, through placement
agencies, personal referrals.
Depending upon the requirements of the job a person suitable for
the job and who is adequately experienced, is chosen.
Training is given priority to imp rove performance abilities.
All employees are appraised periodically on their performance
through an appraisal system that involves bosses, peers, and
subordinates.
All have a formal organization structure with defined hierarchies.
The various HR Policies in Deepak Nitrite Ltd. makes the employees
enthusiastic towards work.

11

CHAPTER-3
COMPANY PROFILE

12

COMPANY PROFILE
Uttar Pradesh Industrial Cooperative Association Limited abbreviated UPICA, is
a Uttar Pradesh Govt. undertaking company which has headquarter in Sarvodaya
Nagar, Kanpur, Uttar Pradesh. It was established in April 1972 in Kanpur, Uttar
Pradesh by ex. Chief Minister Kamlapati Tripathi. Company started their business
with the investment of Rs. 5 lakhs at early stage, and after some time it expands its
business all over the India. In 2012, UPICA employed 1850 people all over India. It
has about 350 retailing outlets across 18 states in India.
UPICA Ltd. Deals with different kinds of textile products in Indian Markets. It works
like other retailing merchants. It firstly purchases the goods from manufacturer or
other whole sellers and then sells the products and make margins from that. It deals
with all handloom products like bedsheets, bedcovers, sarees, durait, ladies kurtas,
formals suitings and shirtings, towels and other handicrafts items.
With a strong focus on customer satisfaction, the company has set up Custom
Delivering services to meet specific needs of end users. Our capabilities extend to the
delivery of high-value, special Handicrafts products either based on our own end
products or developed especially for our customers.
Every Regional Manager has one zone which has 5-10 outlets. The Regional Manager
keeps focusing on Purchasing the goods at minimum cost and sales Manager
concentrating on Increasing the sales in each outlet. After liberalization and
globalization, the company keeps on facing its competitors. Earlier it was purchasing
the products and sells directly to consumers. But after liberalization and globalization,
competition increases with huge demand in markets. The other manufactures or
multinationals came to India sells their products directly to consumers at low prices.
So from here it decrease its customers and markets.

13

VISION & MISSION

The purpose of all human activity is to make life better. UPICA Handloom believes in
improving life through innovative science. Through innovations, we constantly
endeavor to bring better products and processes that bring greater value to society.

Vision
We are a role model enterprise, respected globally for excellence in
quality and innovation
We enhance stakeholder value while adhering to the code of
responsible care and ethical values.
We are an employer of choice and preferred business partner
worldwide
VALUE

STATEMENT

Integrity

We are open, ethical, transparent & uncomprising in our work.

Decisiveness

Set a goal, analyze the facts and work on alternatives and

conclude

Team Spirit

them in fixed time frame.

We encourage group interaction and working together. United

and collective drive achieves the desired goal.

Commitment

We keep all promises made within and outside the company.

Caring

We are concerned for our environment, society and employees

and work for their betterment.

Excellence

We are a role model and benchmark company for our products,

services and business processes.

Customer
Orientation

Customer is uppermost in our mind. We work to exceed his

expectations

14

Companys top management

Mr. Mahesh Kumar Yadav

President

Senior Managing
Directors

Mrs. Anita Verma

Mr. Baidnath Mishra

Mr. Chandra Shekhar

Mr. Ajay Yadav

Directors

Senior Managing
Officers

Mr. D.K. Tyagi

Mr. Anit Tripathi

Mr. K.K Shrivastav

15

Mr. Mahesh Kumar Yadav

Mr. Ajay Yadav

Mrs. Anita Verma

Mr. D.K. Tyagi

16

Guiding Principles
Honor the language and spirit of the law of every nation and undertake open
and fair corporate activities to be a good corporate citizen of the world.
Respect the culture and customs of every nation and contribute to economic and
social development through corporate activities in the communities.
Dedicate ourselves to providing clean and safe products and to enhancing the
quality of life everywhere through all our activities
Foster a corporate culture that enhances individual creativity and teamwork
value, while honoring mutual trust and respect between labor and management.
Work with business partners in research and creation to achieve stable, longterm growth and mutual benefits, while keeping ourselves open to new
partnerships.

UPICA PERCEPTS
Be contributive to the development and welfare of the country by working
together, regardless of position, in faithfully fulfilling your duties.
Be at the vanguard of the times through endless creativity, inquisitiveness and
pursuit of improvement
Be practical and avoid frivolity
Be kind and generous; strive to create a warm, homelike atmosphere
Be reverent, and show gratitude for things great and small in thought and deed

17

Products Information
UPICA Handloom Ltd. Purchases the all kinds of textile products with branded name
as well as handicrafts Items. Likewise in textile retailing, the products are as
following:

Sarees collection

Room Collection

Lucknow Chikan Suits

Bed Sheets

18

Pillow with Cover

Floor Carpet

Table Collection

Soft Towels

Winter Shawls

Blankets

19

All varieties of Gents clothing

20

Handicraft Products:

21

UPICA have consistently earned the appro val of the buyers, being
recognized both for this best quality and consumer appeal. It follows a
high market differentiation by clearly targeting its products at the low to
top end segment or the affluent class. As such its fabrics are priced
towards the higher end of the scale between Rs. 1 50/m to Rs. 15,0 0/M.
As the brand UPICA enjoys a with high brow appeal and quality, the
company has managed to secure wide customer acceptance.
Products

Price Range

Saree per piece

Rs. 300-5000/-

Kurtis per piece

Rs. 250-2250/-

Pant shirt Cloth per metre

Rs. 150-1500/-

Denims per piece

Rs. 650-3500/-

Towels per piece

Rs. 300-1200/-

Shirts per piece

Rs. 650-1800/-

Trousers per piece

Rs. 950-2250/-

Curtain Cloth per metre

Rs. 220-650/-

Carpets(diff. size)

Rs. 1500-5000/-

Handicraft products

Changes with products size and

quality.

22

CHAPTER-4
HUMAN RESOURCE
POLICIES

23

HUMAN RESOURCE POLICIES

Human resource management is concerned with people element in management. Since
every organization is made up of people, acquiring their services, developing their
skills/ motivating to high level of performances and ensuring that they continue to
maintain their commitments to the organization which are essential to achieve
organizational objectives.
This project is meant to know the Human Resource Policies in the organization. The
HR Policies are a tool to achieve employee satisfaction and thus highly motivated
employees. The main objective of various HR Policies is to increase efficiency by
increasing motivation and thus fulfill organizational goals and objectives.
The objective is to provide the reader with a framework of the HR Policy Manual and
the various objectives that the different policies aim to achieve. The main focus was on
the managerial levels of employees in Upica Handloom Ltd.

The HR department would set the recruitment norms for the organization. However,
the onus of effective implementation and compliance with the process rests with the
heads of the respective functions and departments who are involved in the recruitment
and selection process.
The process is aimed at defining the series of activities that needs to be performed by
different persons involved in the process of recruitment, the checks and control
measures to be adopted and information that has to be captured. Recruitment and
Selection is conducted by HR & Branch Manager.
Management review meeting is held every six months at the Group Review. Meet is
conducted from time to time to ensure the suitability, adequacy and effectiveness of
the HR Policies. The workings of UPICA Handlooms HRD are as following:

24

1. Recruitment & Selection

Recruiting begins when a vacancy occurs and the recruiter receives
authorization to fill it. The next step is careful examination of the job and
enumeration of skills, abilities and experience needed to perform the job
successfully.
Recruitment forms the first stage in the process which continues with selection
and ceases with the placement of the candidate. It Concerns with the persons of
attracting qualified and competent personnel for different job
Whenever any vacancy occurs, at UPICA Handloom Ltd. for the placement for
RM level or above is through qualified internal resources. The placement in
level 1 to 6 (below the RM level) is through advertisement or sometimes
through consultancy for contract base jobs.
Prior to external recruitment scanning is done for internal talent in consultation
with HR Personnel. External souring will be done in case the Management fails
to source the candidate internally.

The responsibility for recruitment of

employees in the management cadre will be that of corporate HR, with

subsequent approval of the Business Head.
Suitability for the position and meritocracy will be the only criteria in the
selection process.
The process after selecting the candidate is:a) Forms to be sent to Corporate HR (Mumbai) and all the details in Forms are
sent to chairman
b) Letter of offer is released within 10 days.
c) Letter is handed over to HRD
d) Letter of offer is signed by the new employee.
e) Subsequent to recruitment the above, the letter of probation is released.
Letter of appointment is issued by the chairman/ Managing Director subject to
medical examination. Individuals will be entitled to reimbursement of fares,
professional packing changes and freight expenses (limits as mentioned in

25

section. Transfer and Disturbance Expanses') for reporting to their initial place
of posting, in case they joint at some other location.
Joining report is sent to (FC/CS) accounts Department, Personal file.

2. Probation & Confirmation

Individual appointed in level (1 to 6) will undergo a period of probation of six
months.
There would be no probation period for individuals, joining after 1st
April'2001 at Managerial level & above.
On completion of probation period, an appraisal of performance will be
conducted for considering confirmation in the services of the company. It is the
responsibility of the Manager conducting the confirmation appraisal to ensure
the same. The Confirmation Appraisal Form should be routed through the Vice
President/General Manager of the Unit
Letter of confirmation is issued by the chairman. A copy signed by the
individual is sent to the (FL/CS) and are to the HRD that it keeps with itself for
maintaining personal records.
The confirmation appraisal form should be routed through GM of the
Department.
Extension of probation, if any, will require clearance from the Vice-President.
The Manager conducting the appraisal will communicate the reasons for
extension of probation in the Confirmation Appraisal Form. Once agreed upon
by the authorized body, it will be communicated in writing by Corporate HR
(MUMBAI) to the individual concerned.

3. JOB ROTATION
At UPICA LTD. facilities are provided for all-round growth of individuals
through lateral mobility. This shall enhance their employability as well as equip
them to shoulder higher responsibilities.

26

 Systematic Job Rotation from time to time shall have a revitalizing effect on the
individual as well as the organization.
All promotions to the level of top Managers will be considered only when an
individual has undergone rotation through at least 2 sections.

4. APPRAISAL & INCREMENTS

The Company From Time To Time administer exercises that help it to assess
the performance of individuals, this exercise is developed and designed so as to
allow a formal forum for discussing performance of an individual and provide
feedback to improve the same and allow for enhancing the career of the
individual.
The appraisal exercise is an annual exercise. And based on the findings through
these exercises the individual will be given increments.
The reward system in UPICA Ltd. is based on meritocracy.
This exercise is developed and designed so as to allow a formal forum for
discussing performance of an individual and provide feedback to improve the
same and allow for enhancing the career of the individual in Raymond.
All increments and salary raise are effective from 1st April of that year.
RULES:
a) Increments are done after the fitment into the new grade.
b) For every individual an appraisal form is filled separately, by the department
head/ immediate boss.
c) The appraisee is assesed on personality traits/ Performance (but the overall
objective is never constant).
d) In case the head of the Branch summits the resignation, he has to complete
Appraisals of all the individuals under his charge.
e) The appraisal report should be sent to the Personnel department (HR/ Corporate
office) through the Department Head with view/closing comments.

27

5. ACCOMODATION
Housing Facility
All the individuals at higher/middle level are entitled with housing facility, as
per the specified rental limits.
The rental limits for leased accommodation are per the terms and conditions of
service as applicable from time to time.
In order to facilitate an individual to get a suitable accommodation, a maximum
of 8 months rent (split into security deposit and adjustable advances can be paid
to the land lord at the time of signing the lease).
Any deviation from the same must be whetted by the HRD. The lease will be
signed by the corporate HR and the landlord. All expenses related to the
acquisitions of stamp paper, preparation of agreement will be borne by the
company. However any expenses incurred on registration of the lease
Agreement will be borne by the landlord.
If the house proposed to be leased belongs to the individual and/or his spouse,
or a near relative of the concerned individual, a request for the same will have
to be made in writing and in such cases, no advance rent or security will given
an there will be no clause for notice period.
Upon the resignation/retirement/transfer of the individual occupying company
leased/company owned accommodation the individual will hand over the
vacant possession of the house before the end of the notice period.
The Finance Head (head office, Kanpur) and the Administration cell at
corporate office (for units in Lucknow) is responsible for ensuring the
same. In case of retirement/resignation the dues will be settled there
after.
All those managers who have opted for HRA, may also be allowed the
reimbursement of above expenses, for the upkeep of their premised.

28

 Occupants are individually and directly responsible for the proper care
and maintenance of the premises. All water bills and electricity bills
should be promptly settled by the occupants.
Records : Finance Heads of all Units must maintain proper records stating the
details of company leased accommodation/expenses incurred on maintenance,
repairs, painting and any other relevant detail for each manager who is entitled
for such a facility.

House Rent Allowance

The individuals not occupying Company-leased accommodation will be given
House Rent Allowance, as per Company rules.
Any individual who has been given Company-leased accommodation will not
be entitled to HRA.
50% of salary if you live in Mumbai, Delhi, Kolkata or Chennai, otherwise
40% of Salary

6. INSTITUTIONAL MEMBERSHIP
In keeping with the opportunities available in the Retailing, and to keep the talent in
house right there, it has become important to give our employees a better
remuneration. Sometimes these may be perks in keeping with their position.
Individuals at Managerial level & above are entitled to claim reimbursement of:
Entrance Fee
Life membership
Annual Subscription Fee towards membership of Professional Institutions /
Associations based in India.
The individual will be entitled to a maximum of three such memberships.
The request for reimbursement will be sent for approval to the Functional Head.

29

7. CODE OF CONDUCT
With Suppliers / Associates / Clients
Keeping in view the growing importance of Corporate Governance, UPICA Ltd. has
adopted universally accepted norms in public dealing. Individuals are not allowed from
accepting any gifts, presents, or other favours from Suppliers / Associates / Clients.
Acceptance of any gifts / favours can lead to compromise of Company's interest and
will be seen to be a serious breach of discipline. In case any gift (other than the usual
diaries, calendars, etc.) is received from a Supplier / Associate / Client or any other
party, thus should be informed to the respective Head.
Code of Ethics and Professional Conduct
All individuals would need to be knowledgeable about their work and well versed with
all applicable laws, rules, government regulations, etc. and must not act directly or
indirectly in violation of the same. Individuals must conduct themselves with the
highest levels of integrity and dignity and always act in an ethical manner with all
persons both within and outside the organization. There must always be consistency in
dealing with all clients. Confidential Information / Publicity. No individual should
disclose or use any information gained in course of his employment with the Company
for personal profit or advantage to himself or to any other person. No individual should
provide any information either formally or informally to the press or any other
publicity media unless he has been authorised to do so by the Managing Director /
President.

30

8. LEAVE
Privilege Leave (Earned Leave)
A. Entitlement
upto 5 yrs of service, the individuals are entitled to a maximum of 21
days of privilege leave per year and after 5 years of service, the
individual are entitled to a maximum of 30 days of privilege leave.
During the first year of service, the leave is earned from the date of
joining but will accrue only after completion of one year of service and
can only be availed thereafter.
B. Accumulation
Privilege Leave may be accumulated subject to a maximum of 6 months
at any time.
C. Encashment
An application for encashment duly signed by the individual, has to be
sanctioned by the personnel manager and sent to the finance dept.
A maximum of 7 days leave may be encashed for leave in a financial
year, provided that the balance leave to the credit of the individual is a
minimum of 30 days after taking such encashment.
Application for leave encashment has to be made on a prescribed format
.

Sick / Casual Leave

A. Entitlement
The employee is entitled to 10 days of sick/7 days of casual leave.
In case of special sick leave, it has to be sanctioned by MD.
B. Rules
All Sick Leave should be supported by medical certificates from a
Registered Medical Practitioner.
The Company may, at its discretion, request the individual to present
himself for a medical examination before the Company doctor.
When an individual needs to be absent from work to attend to pressing
personal matters, he may avail of Casual Leave.
Casual Leave is restricted to a maximum of three days on one occasion.

31

 In case the individual remains absent beyond the three days of

sanctioned Casual Leave, the entire leave will be adjusted against
Privilege Leave entitlement.

Maternity Leave
Maternity Leave shall be as per the provisions of the Maternity Benefits Act.
Maternity leave of 42 days will be entitled to such individual.
Any deviations depending upon merits of each case, have to be approved only
by the MD/Resident on the recommendation of unit head.

Leave Without Pay

The leave without pay can be granted to any individual with the approval of the
vice president/group head. Normally it should not exceed more at 60 days at a
stretch.
In this case, the individual will not be entitled to Basic, Personal pay, HRA.
However all other perquisites provide by the company will be available.

Leave Record
Leave Record for all kinds of leave is maintained in a register in the given
format by the respective Unite Finance Heads / Corporate HR (for Corporate
Office, Kanpur).
The details of Sick Leave and Casual Leave availed by the individual should
also be maintained at the respective Unit where the individual is posted and the
office from where the salary is paid.
An attendance register shall be maintained at all Showrooms. The individual
must sign against his name for any particular day.

32

9. ABSENTEEISM
Unauthorized absence
Any leave availed without approval or intimation the concerned authority (immediate
superior will be deemed to be unauthoized absence and the company will take
disciplinary action against the individual as stated below.
A. Case where after completion of sanctioned leave individual does not report to
office.
In case an individual after completion of the sanctioned leave period does not
join office and gives no intimation till 7 days, a letter will be sent by the
Regional Manager / Business Manager . A copy of this must be marked to the
Head and personal file.
The letter is sent through Registered A.D. and acknowledgement receipt is put
on file and a photocopy of same sent Corporate HR for personnel file of the
individual.
If the individual does not report to on the date mentioned on the letter sent and
no information received Corporate HR must be intimated immediately. At this
stage the location at which salaries are made should be informed by the Unit
head of respective branch to put on hold the salaries of the individual.
Corporate HR will release a 2nd and 3rd reminder with a copy to the Regional
Manager and Unit head.
After the 3rd reminder a letter of termination will be issued to the individual.
At any stage if the individual joins back he will have to submit an explanation
in writing and if that is acceptable by the company he will be allowed to join
back. In case the individual wants to reigns the same should be accepted and
sent to Corporate HR and the date of resignation should be the last day of the
sanctioned leave.
B. Case where individual goes on leave without intimation
The absence will be treated as without pay and "A" for absent marked on the
attendance register.

33

 If till 7 days no intimation is received, a letter will be sent by the Regional

Manager / Business Manager. A copy of this must be marked to the
Showroom's Head and personal file.
The letter should be sent through Registered A.D. and acknowledgement
receipt must be put on file and a photocopy of same sent Corporate HR for
personal file of the individual.
If the individual does not report to on the date mentioned on the letter sent and
no information received Corporate HR must be intimated immediately.
Corporate HR will release a 2nd and 3rd reminder with a copy to the Regional
Manager and Unit head.
After the 3rd reminder a letter of termination will be issued to the individual.
At any stage if the individual joins back he will have to submit an explanation
in writing.

10. MEDICAL FACILITY

Medical Reimbursement:
There is a prescribed format for Reimbursements which is given below:
I submit the mentioned details of expenses for consideration of reimbursement:*Name
*Designation
*Dept. and Branch
*Patient
*Nature of illness
*Date of illness
*Hospital/ Nursing home
Expenses:
Hospital

Rs. ------------------------------

Medicines

Rs. ---------------------------

34

Doctor's Fees :

Rs. ---------------------

Lab Fees

Rs. ----------------------------

X Ray fees

Rs. -------------------------

Transport

Rs. -------------------------

Miscellaneous

Rs. -------------------

Name of the Doctor

No. of receipt/ bills/ vouchers
Approved __________________________________________________
Manager - Personnel and Admin.
The company would like to ensure that all its individuals and their families enjoy good
health. The various facilities available to individual are as under :

Medical aid (reimbursement)

Hospitalization & domiciliary

Medical check-up and immunization

Maternity expenses

Accident Insurance

Med claim premium reimbursement

Maternity Expenses
For all individuals maternity expenses will be reimbursed only upto and for
them second surviving child.
A maximum of Rs. 5,000/- per child will be paid, subject to production of bills
etc. in the case of normal delivery.
A maximum of Rs. 10,000/- per child will be paid, subject to production of bills
etc., in a cesarean case.
The above expenses will include Hospitalisation expenses incurred during
delivery and will be over
and above the entitlement for medical
reimbursement.
The above amount includes the expenses permissible to female individuals
under the Maternity Benefit Act.
The cost of baby foods, nappies and general tonics will not be reimbursed.

35

Medical Check-up
All managers above the age of 40 years must have a thorough medical check-up
by the company's doctors after every two years and those of age between 30-40
years once in three years.
The Unit Head should arrange for the individual to be sent for medical
examination as above and a copy of the report there of be sent to the Corporate
HR. The report should be on the prescribed format.
11. TERMINAL BENEFITS
All individuals are covered under three-tier terminal benefits scheme, viz.

A non-contributory superannuation scheme.

Provident Fund

Gratuity

In the event of unfortunate demise of the individual while in service/having left the
service and dues not being cleared, the benefits as above, subject to the rules
applicable, will be paid to his legal heirs of the person nominated for the same.
Superannuation Fund
The Pension fund is governed by the Rules of the Superannuation Fund. To be
eligible for benefits, an individual should:- retire on the normal age of
superannuation i.e. 58 years of age or should have completed 15 years of
service with the Company and completed the age of 40 years.
The individuals are eligible to become an individual of the Superannuation
Fund, since the date of joining. At the time of entry into fund, a form as
prescribed, is required to be filled by the individual and forwarded to the
Corporate HR department. The Head of Finance of respective office will coordinate the above activity.
The salient features of the Superannuation Fund Scheme is enclosed.

36

Provident Fund
The company is governed by the "Employees Provident Fund & Miscellaneous
provisions Act - 1952" which is a contributory Provident Fund Scheme where both the
individual and the employer make an equivalent contribution @ 12% of the
consolidated (Basic) salary.
All the individuals are required to become members of provident fund scheme,
effective the date of joining. For which the form (No-2A revised) as per the PF
Act. Is to be filled up by the individual in duplicate. A copy of the form is sent
to the office of Regional Provident Fund Commissioner and one copy retained
in the Personal file.
The PF number should be allotted to an individual, immediately after joining
the company and communicated to him/her.
In case an individual has already been an member of the PF scheme prior to
joining the company, a declaration to this effect be taken. The steps should be
taken to arrange to get the accumulation relating to the previous employer
transferred into the account number allotted by Raymond Ltd., in case the
individual has already not withdrawn the accumulation relating to the previous
employer. The relevant form (Form no 13) is to be filled up by the individual
and given to Unit Finance Head/Corporate HR (for Delhi), who will co-ordinate
the activity of transfer.
Withdrawal of Provident Fund accumulations is permissible only on leaving the
service of the company or at retirement on attaining the age of 58 years, subject
to rules, as laid our under the Employees Provident Fund Act.
The PF membership form provides the facility of nomination. The members
have the liberty to change nomination, if they so desire, at a later stage.
Gratuity
Gratuity is payable to the employee if he or she resigns or retires. The Indian
government mandates that this payment be at the rate of 15 days salary of the
employee for each completed year of service subject to a maximum of
1000000.

37

12. LOANS
Furniture/Equipment
This loan facility is a one time grade loan.
The loan is interest - free
Rules:
The full amount of loan must be utilized for purchase of furniture and proof for
purchase must be provided within 10 days of release of loan.
Any amount un-utilized for purchase of furniture should be returned.
All such furniture loan will be recommended by corporate HR and sanctioned
by Department head.
Vehicle
This loan will be given to the confirmed individual, the quantum of which shall be as
per the terms and conditions of service.
Rules:
The request for loan should be made to the Department head, after being
sanctioned it will be sent to corporate HR.
The full amount of the loan must be utilized for purchase of vehicle and proof
of purchase must be shown within 15 days of the release of the loan.
Emergency Loans
Emergency loans will be provided, in case of any medical exigencies in the
family.
The recovery of such loans would be made in 20 installments starting from the
month in which the loan is released.
The request for the loan should be made to the immediate superior and then,
sent to HR for verification.

38

13. OTHER BENEFITS

Wedding Gifts: Individual gets wedding gifts on the behalf of the company,
sanctioned by MD.
Bags/Brief case/stationery: Individuals are given Bags/Briefcase for official use.
Service Awards: Individuals receiver service awards, sourced by HR Dept.

OFFICIAL ENTERTAINMENT
Official entertainment is for entertaining clients, suppliers, business associates
for business purposes.
Claims for entertainment in hotels and residence are submitted to the Finance
Department on the prescribed with supporting vouchers. The form should be
approved by the Unit Head. However in the case of home entertainment where
it is not possible to give the vouchers, the reimbursement can be made on
declaration by the individual concerned. All vouchers will be accepted in
original only.
RESIDENTIAL TELEPHONES
Entitlement
The individual at Managerial level and above will be provided with telephone
at their residence.
Reimbursement of rentals and all local calls made in connection with the work
is permissible.
Reimbursement will be made on production of bills.

39

14. SEPARATION
Retirement
An employee will be permanently separated from the pay roll.
An individual shall retire from the services of the company, they attain the age
of 58 years.
A Retireal Gift of Rs. 6000/- will be given in cash or kind, to all managers who
retire from the service of the company.
In some cases, the years of service may be prolonged on the basis of
performance of the individuals, by the MD.
Resignation
It may be voluntarily or may be compulsory when an employee is asked to put
in his resignation on grounds of gross negligence of duty on his part, or some
serious charge against him.
A letter of resignation is sent to MD, acceptance of resignation letters is
forwarded to HRD (head office) for further processing.
The correspondence address of resigned individual is taken.
No leave will be sanctioned to an individual, during the notice period, except
casual/sick leave. In case the individual absents during this period, it will be
treated as leave without pay.
For every individual who leaves a detailed discussion will be held with him
covering all aspects of his career in the Company, in an Exit Interview. The
learning from such a discussion will be sent in confidence to head of Corporate
HR, who will share the analysis of the same once a month with the President.
The areas to be covered in this discussion will is provided as:
Exit interviews would be conducted by the following:

Junior level Executives

Middle level Executives

Senior Executives

40

The unit head should ensure and will e responsible for the following:
The clearance is obtained by the individual in the desired format from all
Departments before being relieved and a copy of the clearance certificate
forward to the Corporate. HR. Full and final settlement will be done post last
working day within 60 days.
Loans and dues, if any, recovered.
Confirmation of the individual having vacated company accommodation and
having returned the base equipment's which may have been provided to hi. The
advance or deposit paid should be recovered from the landlord.
Letter from the individual concerned indicating how he wants his provident
fund Account settled. The PF number be informed to him.
Correspondence address of resigned individual is taken.
In case the housing loan has been availed of by the individual and is
outstanding, the individual be asked to repay the same before being relieved.
Discharge and Dismissal
The Managing Director has the authority to dismiss an individual. A written
communication duly signed by the Managing Director will be handed over to the
individual concerned. Individual may be discharge for violation of company rules or
for inadequate performance.
Procedure:
Individual will be given notice in writing, indicating the reason for being
Discharged after carefully analyzing the facts regarding the violations of rules
and procedures.
The notice will carry certain penalties, such as difficulty of re-employment, loss
of benefits and, in certain cases, the loss of a part of the provident fund.
A copy of the notice will be forwarded to the HRD (head quarters) for records.
Amount due from employee i.e. advance, debits, loan (furniture/vehicle) & any
other outstanding will be obtained before leaving.
Full and final settlement of dues, duly signed by finance department and HR
Dept.

41

Death
In the event of demise of an individual the Unit head will inform Corporate. HR and
will take necessary steps to inform and assist the concerned family members.

15. GREVIANCE AND GREVIENCE HANDLING

A discontent of employees in respect with his job , or with management will be treated
as grievance.
Procedure:
The grievance related to promotions, benefits, nature of the job, transfer,
superannuation, will involve an interpretation or application from the grieved
employee.
The personal department will be sent a copy of the application, to go into
details of the grievance and find out the best possible method of settlement.
An answer shall be given to him within 48 hours of the presentation of the
complaint.
And if he is still not satisfied, then an appeal if he desires can be made to the
management for the revision.
And in such case the management decision will be final.

16. UNIFORM
UPICA Handloom Ltd. believes that the manner of dressing reflects the image of the
company. So, there's a special set of clothes for the members of the company. They are
required to wear the uniforms while specified.
IN SUMMERS
Women Employees: Saree & blouse.
Male Employees: Trousers, Full sleeves shirt Tie/suit.
IN WINTERS
Women Employees: Saree & blouse/Formal sweater/coat.
Male Employees: Trousers, Full sleeves shirt Tie/suit. Sweater/Blazer
42

Core function of HR
Regional

HR

Head

will

have the

authority and responsibility to

administer/implement the recruitment and selection process as outlined. An illustrative

list of the key deliverables of these incumbents is listed below.
Ensuring inductions as per quality, numbers, time and cost consideration of the
company in accordance with the approved manpower budget.
Creation of appropriate sourcing mechanism along with tracking the
performance of these mechanisms.
Creation of quarterly and monthly recruitment plans
Effective coordination with external parties such as candidates, placement
agencies, consultants, academic/professional institutes and any other including
the custody of the formal agreements , tracking timely payments and adjusted
thereto
Creation of comprehensive and appropriate tools, linkages, documents,
templates and any other mechanisms to ensure smooth execution of the process
requirement, along with timely improvements thereto
Assistance to user department and line managers including in
interviewing/selection support, scheduling etc.
Effective internal communication with user departments and line managers
including making the standard recruitment formats and other templates easily
available to such users and notifying the modifications to such formats and
templates.
Creation and maintenance of qualitative information base regarding candidates,
placement agencies, campuses, institutes, and any other employment-market
information.
Creation and maintenance of appropriate and high-quality MIS for current and
future needs of the organization, including publication/circulation of
appropriate reports there from to the relevant users within the company.
Monitoring recruitment costs
Complete documentation for the entire recruitment and selection process for
easy and quick retrieval in a readily auditable format
43

 Timely and effective communication with all internal and external parties
including the candidates
Tracking the progress of the selected candidates including resignation,
extensions of probation periods/training period, etc for the purpose of
improvement to recruitment and selection process.
Effective coordination with the post recruitment arm of the Human Resource
function
Documentation and creating MIS regarding waiver, deviation, etc and
identifying the key areas for improvement in the formal recruitment and
selection process document.

44

CHAPTER-5
SWOT ANALYSIS

45

SWOT Analysis
Strength: UPICA Handloom Ltd. is the Uttar Pradesh Govt. approved company. It has
about 1850 workers all over India including Top Management. They hire their Top
management from UPSC examinations. All people working in organization are highly
qualified and disciplined. They have around 350 retailing outlets in India.
Weakness: UPICA Ltd. is govt. based company so the people working in organization
are getting their salary, promotions, increments on regular basis. So most of the
employees has thinking of selfishness. Like if companys sales increase or decrease
they will get their salary on regular basis so some of employees are not doing their
work efficiently n effectively.

Opportunities: UPICA ltd. has their Name as Brand in some European market due to
the Handicraft products as well as Indian textile products. So they can expand their
business if they want, but due to some govt. policies they are not interested in
expanding their business worldwide.
Threats: Due to Globalization, FDI and Liberalization , the demand for UPICAs
products is keeps on decreasing. UPICAs products are slightly higher than other
multinationals products and due to high inflation rate, every customer want to save
his/her money. So it is only threat for it.

46

CHAPTER-6
LIMITATIONS

47

LIMITATIONS
The research project has been completed with ease and comfortably. No
particular limitation or shortcoming was realized during the analysis.
However with increasing competition the company was not able to
deliver all the required information. Since marketing strategies and
financial status are confidential in nature it was a problem to source out
information from the officials. Mostly the use of secondary data has
been done.
Also, due to time constraints, enough justice could not be done to the
project.

Difficulties:
Deep Studies should have to do for analyzing company HR policies.
A summer trainees we could not separate systems to work on;
At times many people had for couple of hours to work on the computer;

Since STD calls had to be made, the availability of phone was limited, so there
was greater coordination required with respect to its usage and maintains a time
slot so that other person has a chance to use.
People did not disclose much about their employee details.

48

CHAPTER-7
CONCLUSION

49

CONCLUSION
After thoroughly analysing the report, the following conclusions have
been drawn.
1. Organisation culture :a very mordern work culture
2. Salary employees feel that by global standards, they are still
underpaid. Though the majority of people interviewed agree to being
averagely paid.
3. Motivation levels are very high
4. Training: There are ongoing training programmes.

the company

seems to take much better care in terms of training, their manpower

in relevant to trends and practices.
5. Promotion: Due to less budget and limited financial status, they
promote their products by participating in various exhibitions
discounting their products as much as possible.
6. Mangers are responsible for Inventory management, Purchasing and
selling.
7. The Policy of the company provides facilities for all round growth of individuals
by training in-house and outside the organization reorientation, lateral mobility and
self-development through selfmotivation.
8. The Policy implements equitable, scientific and objective system of rewards,
incentives and control.
9. The employees agree on the part of their performance that they know what is
expected from them.
10. The employees do not receive the appropriate recognition and rewards for their
contributions and accomplishments.
11. Some of the employees are not working honestly due to regular income and
increments.

50

CHAPTER-8
RECOMMENDATIONS

51

RECOMMENDATIONS
The following recommendations have been laid down: 1. The Performance Appraisal of employee is evaluated on the basis of 360 degree
feedback or 180 degree feedback.
2. The Organization should focus on mentor system intend to help employees in
their career progression.
3. The Organization should conduct Psychometric tests for employees.
4. The Training should be mandatory for all level of employees.
5. The Departments should develop constructive attitude towards each other.
6. The company should give the appropriate recognition for the contributions and
accomplishments made by employees. A flexible reward system should be
adopted by organization to improve employee motivation.
7. A more transparent and full proof communication system developed in the
organization.
8. Wages and salary administration process should have a more scientific
approach laying stress on equal wages for equal work done.
9. Keeping in view the shortage of leaders, leadership development
programmes

should

be

laid

down.

This

would

divide

the

organisation into a number of teams each under a team leader and

the team leader will be responsible to imbibe leadership qualities
to his team.
10.

Flat structure: According to me, the company should not

have the hirarchy, the organisational structure , this creates a
feeling

of

aloofness

and

the

non -hierarchy

would

create

belongingness and a feeling of caring among the employees.

11.

Due to high job commitments, employees do not pay enough

attention to personal life so Happy Nappy Day (holiday plus
monetary

incentive

on

birthdays),

Granny

Gratitude

Day
52

(monetary incentive for buying cakes for grandparents), chauffeur

driven car on marr iage anniversaries and other incentives likes
dating allowances, movie allowances etc. should be introduced .
12.

A website should be implemented to provide Data. Besides

providing the important data, the website should have features like
chats, opinion polls, feedbacks etc.
the employee perception.

This would help in gauging

Besides, ESOPs - one of the popular

retention tools should be provided to the work -force.

13. They also have to organize time to time meetings with all regional
managers as well as sales managers.

53

BIBLIOGRAPHY
Policies of UPICA Handloom Ltd.
Documents of UPICA Handloom Ltd.
Company Outlet At B-1/7, Janakpuri, New Delhi.
www.upicahandlooms.co.in
www.uptextile.com
www.wikipedia.com

54