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TRAINING REPORT

ON
Type of motivation technique use in omax
autos ltd.
AT
OMAX AUTOS LIMITED DELHI
IN PARTIAL FULFILMENT OF
Master in Business Administration

Under Guidance of : Submitted by :


Dr. SUREKHA RANA REKHA SAGER
(H.O.D) KGM,
DEHRADUN

DEPARTMENT OF MANAGEMENT STUDIES


KANYA GURUKUL MAHAVLDYALAYA
DEHRADUN
ND
2 CAMPUS OF GURUKUL KANGRI
VISHWAVIDYAL HARIDWAR-249401(U.K)
ACKNOWLEDGEMENT

Behind every achievement lies an unfathomable sea of gratitude to those


who have extended their support and without whom it would ever have
come into existence. I am immensely happy to place my Project report on
“Type of motivation technique use in Omax” with deep indebtedness and
high regards to all who encouraged me and gave a helping hand during
completion of my Project report in Omax Autos Limited.

I would register my sincere thanks to Dr. SUREKHA RANA (H.O.D), Dr.


BINDU ARORA, Dr. PATIRAJ KUMARI, and Mrs. POONAM PENULI
for valuable support.

I am also thankful to all my faculty members, whose co-operation and keen


interest coupled with valuable suggestions served a lot in the successful
completion o this report.

I would like to thank my family, friends and all those who have always been
a constant source of inspiration to me.

REKHA SAGER
MBA (HR)
DECLARATION

I hereby declare that the study entitled “TYPE OF MOTIVATION

TECHNIQUE USE IN OMAX” AT OMAX AUTO LIMITED DELHI

being submitted by me in the partial fulfilment of the requirement for

the award of MASTERS IN BUSINESS ADMINISTRATION by

DEPARTMENT OF MANAGEMENT STUDIES: KGM DEHRADUN is

a record of my own work.

All information and facts presented in this report are true to the

best of my knowledge and I have not submitted this report in any other

university.

REKHA

MBA 4th sem.


PREFACE

The conceptual knowledge acquired by management students is

best manifested in the projects and training they undergo. As a part

of curriculum of MBA, I have got a chance to undergo practical

training in OMAX AUTOS LIMITED DELHI. The present

project gave a perfect vent to my understanding of the Human

Resource Management specially the most modern concept of

“TYPE OF MOTIVATION TECHNIQE USE IN OMAX ”.

I also hope that this report will be beneficial for my next batches and for

those who are related to this topic.


TABLE OF CONTENTS
S. No. CONTENTS

Acknowledgement
Declaration
Preface
1 Introduction to the subject

2 Organization Study
OMAX-an overview
Profile of the organization
Company’s history
vision, mission &values of THE COMPANY
Manufacturing unit
Major competitors
Infrastructure
Investor relations
Manufacturing units
Major competitors
SWOT analysis
Omax infrastructure
Employee motivation in an omax company

3 Research Project
Research problem
Significance of the study
Objective of study
Research Methodology
Literature review
Data analysis and interpretation
4 summary
Findings
Suggestions
Limitation of the study
Conclusion
Bibliography

1.
IMPORTANCE OF EMPLOYEE MOTIVATION IN INDIA

We have all become accustomed to the colorful and optimistic descriptions


of present- day India. Nowadays ,India is seen as a country of opportunities,
a booming market, one of the best performing economies in the world, a
nation on the move.

Since the onset of globalization in India during the early 1990s, liberal
economic reforms of the government led to a steady flow of investments,
provided competitive advantages to attract major multinational corporations
(MNCs), and eventually turned the country into the world outsourcing
center. In spit of the global financial crisis, India not only manages to stay
afloat but also keeps on a rather active process of development. While
offering a rich set of advantages, India is equally famousfor the great amount
of the challenges which it delivers to foreign companies. Experience shows
that a considerable number of MNCs face serious problems while
establishing and running a business in India for Ex- statistic show that as
many as 70% of south Korean companies working in India fail.

A number of research projects in five years show that one of the most
common issues leading to failure or unexpected expenses is the fact that
almost every foreign company fails to retain qualified personnel in India.
According to the recent study of the chambers of commerce of India,
attrition in the booming IT/ITES Sector averages 25-30%. The average
personnel turnover rate in the business process out sourcing (BPO) sector
even hit a high of 30-35persent.

The business that probably suffers most from attrition are call centers. A
personnel turnover rate in Indian call centers has become a legend, with an
average of around 30-40 percent and extreme cases of 80 persent. Growing
attention to the issue and the global economic slowdown reduced the
average figure to 24-30 percent, but this still has a significant impact on
costs and quality.

Retaining staff
It would be wrong to say that only MNCs and foreign
business fail to keep personnel. Turnover of staff is significant concern at
many national and multinational corporations in many parts of the world.
Staff attrition and absenteeism causes significant costs for most local Indian
organizations as well. Almost every sector in India is facing high rates of
attrition. It is a universal phenomenon and almost on industry or region is
devoid of it.

The main is why experienced international companies cannot retain qualified


personnel in India. Probably the first mistake that no of companies make, is
to assume that a company in India can be run just (or almost) like company
in its home country. Home country HR approaches can appear to be less
effective in India than in any other region of the world.

Motivation procedures are a major factor to help retain staff. However,


motivation is not achieved with same methods and procedure throughout the
world. The first mistake foreign companies can make in India, is to use the
same methods of motivation in order to retain Indian personnel as they use
in their home countries.

According to the western perspective, the main factors to retain employees


in order of importance are: salary and remuneration, providing recognition,
benefits, and opportunities of individual growth.

Methods of motivation
According to the classic theory of ABRAHAM
MASLOW’S , people are motivated by unmet needs. The famous Maslow’s
hierarchy of needs includes:

 Psychological, survival needs


 Safety and security needs
 Social needs of acceptance
 Esteem and acknowledgement needs
 Self-actualization and self-development needs

In management theory ,once one of these needs is met, a person will start to
develop the next need. The challenge of an international HR manager is to
understand the types of needs in a particular culture.

Money as a motivator
The traditional method of motivating employees in
the western business culture has been to use extrinsic motivation such as pay
rises, bonuses and, promotions

A recent study revealed that employees ( especially those in non- western


cultures) leave not only for compensation reasons. It is no surprise that
money is an important factor, but there are many other reasons for an
employee’s decision to leave. In fact in the current Indian business
environment, increasing the basic salary hardly reduces turnover. In a
country with a comparably low cost of living, satisfaction with the salary
tends to be reached more quickly employees look beyond the money factor
and new aspects become crucial.

A long term prospective including the family


Safety and acceptance needs
are the ones to be satisfied next. According to a recent survey, consistent
with the Indian traditional collectivist and relations-oriented culture, as
many as 70 percent of employees see job security and emotional comfort as
the major elements of motivation. Traditional Indian companies often play
the role of a family extension for their staff. They provide a feeling of
belonging, build personal relations, and offer long term (often life-long)
contracts.
2.
OMAX AN OVERVIEW
Omax Autos Ltd. (OAL) is the largest manufacturer of tubular and sheet
metal components in India. It is one of the largest manufacturers of
sprockets and has the largest electroplating (tri-nickel chrome) facility in the
country with a capacity of 10m decimeter square per month. It manufactures
products primarily for the two-wheeler segment and has a growing presence
in the4-wheeler segment. At the CMP of Rs.69, the stock is trading at 9.0x
its annualized Q1FY08 EPS of Rs.7.6

Omax Autos Ltd engages in the manufacture and sale of auto components
for two wheeler and four wheeler industry primarily in India. The company
offers various sheet metal components, including chain case and side covers
etc. fully attuned to evolving customer needs & requirements, over the years,
the omax group has grown from strength to strength. It has not only
multiplied its manufacturing and engineering capabilities in a big way, but
also taken giant leap in the highly dynamic international market. The group
is working hand in hand with a multitude of new clients across many
industries.

 Amongst top three companies in sheet metal and tubular segment-


(process 85k tons steel pa)

 Largest sprocket manufacturing capacity (11 million pa ) in South


East Asia.

 Largest tri nickel chrome plating facility (20 million Dm2)

 Largest welding facility in India with 800 machines (100 Km welding


capacity per day)

 7 manufacturing plants- located across the country.

 Land Area- 204,000 Mts2 and covered Area- 100,600 Mts2

 Composite solution provider to customer requirement.


OMAX AUTOS LTD has established, documented, implemented and
maintained a integrated management system in line with the requirement of
ISO/TS 16949: 2002, ISO 14001: 2004, OHSAS 18001: 2007.

Milestones

1984 – 90

 Started commercial production at Dharuhera for Hero


Honda.

 Went public and established 2nd plant at Gurgaon


1991 – 98.

 Expanded customer base to include TVS.

 Expanded products profile to include complete 2


wheeler body frame.

 Certified ISO 9002 compliant by TUV – Germany.

1999 - 03

 Established 3rd facility at Sidhrawali.

 Expanded process capability to include paint shop with


technology from ABB.

 Major expansion and up gradation of electro planting


facility.

 Kaizen process initiated across all plants.


 New customers added – new Holland Tractors, Honda seil
cars.

 Set up separate Sprocket Division.

2003 – 08

 ISO/TS-16949, ISO-14001& OHSAS – 18001 compliant.

 6th plant at Bangalore (Karnataka)

 7th plant INDITAL at Dharuhera (Haryana)

 Started Exports to North America and Europe:


Delphi, Tenneco, Piaggio.

 Established 8th plant at Binola (Gurgaon)

 TPM activities initiated.

 SAP rolled out in all plants.

 Diversified in Home Furnishing Business with – IKEA


Sweden.

 Further diversified into Defense and Railway business as


well.

 Signed a Joint Venture Agreement with COC (China


Oghiara Corporation)

 Chassis project for TATA MOTERS under construction.


The automotive industry and its suppliers are living in an
increasingly tougher competitive environment where there is no
room for inefficiency. The challenge facing suppliers is to get
better results at lower costs and higher profits. The numerous
possibilities to meet these challenges are: New Technology,
Robust Products Development, and Control on logistics and
process costs.

Omax combines a spirit of innovation with sound business and


trade practices. The company is in the process of consolidation
by augmenting the customer base and increasing its geographical
penetration. We are committed to meet and strive to exceed our
customers’ requirements through timely deliveries and quality
products. The company is also investing towards becoming a
leaner enterprise by deploying practice like Total Productive
Maintenance (TPM) and Kaizen etc.

Omax feels that emphasis on consistent performance, financial


discipline and generation of superior returns on investment will
contribute to further enhancement of overall value for all our
customers.

PROFILE OF THE ORGANIZATION


Name of the organization - OMAX AUTO LTD.

Industry - automotive & auto ancillary

Country - India

Company size - 501- 1000 employees

Omax autos was incorporated in 1983 with a vision to emerge in as a


niche player in auto industry and has exponentially into truly
diversified and globalize corporate entity since then. In the last twenty
six years of its existence, the omax autos group has created and executed
projects that were apart to touch every walk of life and human endeavor,
while setting new benchmarks in quality. Today the group enjoys a gross
turnover Rs. 977.32 crores, spanning its horizon and providing fulfilled
management. The group enjoys huge reserves of goodwill that has
led to some of the biggest names in the corporate world putting their
trust in us and constantly strives to provide products and services that
enhance the quality of life and works and to address a gamut of human needs

Omax Autos Ltd is in the business of manufacturing auto components.


Omax is one of the largest manufacturers of the sheet metal parts machined
tubular Electroplated and painted components, welding facilities with
integrated world class features in India.
With growing opportunities& enhanced experience base omax autos has
strengthen horizontally. In the last 26 years the company has widened its
customer base and product s by entering into 4 wheeler industry, producing
for central railways and defence and producing home accessories apart from
of 2 wheeler industry. Not only within the domestic market have our
footsteps also left their mark globally through IKEA, TENNECO, PIAGGIO
& TOYOTA.
Though the company has moved towards new frontiers in the last 26
successful years, yet it nourishes old relationships with undying passion
perseverance. With 8 plants with facilities a strong infrastructure base and
enlightened human resource we have reached the zenith of success.
Through continuous and aggressive strategy building and disciplined
execution of the same it has been possible to attain high level of growth and
experience.
The key features of strategy are –

 To make major improvements towards customer’s satisfaction.

 To develop the competitive edge – to optimize its cost and move up in


value chain.

 To progress through a strong base laid on in depth research and


development.

COMPANY’S HISTORY

OMAX AUTO LTD. was incorporated in 1983. it is a member of munjal


group companies in the auto ancillary industry. It has a very broad
customer base and supplies products to Maruti udyog, Hero Honda,
Escorts bharat seats and other leading manufacturers of automobile
industry. the company has also started supplying to SRF, Nippon denro,
carrier Aircon and Eisher Mitsubishi on regular basis.

The company has plans to set engine valve project costing Rs 3 crore
for the manufacture and supply of valves to automobile manufacturers
in the country and for the export market.

2002
- assigned a rating of A1+ for its commercial paper programme by
ICRA

- approves to raise the capital of the company by way of public


issue of equity shares upto Rs 600 million (inclusive of premium)
to meet the capital expenditure incurred and short fall in
working capital.

2003
Considered and approved the Amalgamation of M/s Indital
Tintoria Ltd with the company including the scheme of amalgamation
valuation Report and Fixation of Exchange Ratio

-underwriters laboratories Inc USA has recommended ISOTS 16949


Certificate for two units of the company. The company has also signed
an agreement with Delphi automotive systems for exports of auto
components.

- considered and approved the following matters:


1. setting up of a new unit of the company a bangalore
2. Resignation of Mr. brijmohan lal munjal, chairman and director of
the company.

Omax autos limited has informed regarding the following:

The company has got LOI from Tenneco automotive USA for suppling
of auto parts.

The gurgaon plant & IMT Manesar plant have got ISO/TS
16949:2002 Certificate from M/s underwriters laboratories Inc. USA.

The company has got approval for convening the AGM till October
31, 2003 from registrar of companies, new Delhi

Intimated of the intention of the promoters of the company to divest


approximately 8% being 20,00,000 shares from their collective
holding of 57.45% of the paid up equity capital of the company in
the open market.

Received intimation from CITI Bank, N.A. that their client-grantham


A/c GMO Emerging
Market fund has acquired 4,30,920 (7.39%) equity shares, of Rs.10/-
each of the company.

2007
Omax Autos Ltd has entered into a memorandum of understanding
(MOU) with PSP Co., IRAN to setup two J.V. companies one in India
and the other in IRAN from exploring the possibilities to expand the
business of manufacturing auto parts.

RESEARCH & DEVELOPMENT

TO research and development new products, designs and equipment


as well as to focus on better performance by the existing product by
cost minimization to the highest level possible.
VISION, MISSION AND VALUE OF THE
COMPANY

Vision “Highly customer oriented, humane


and system run global organization with a
concern for society”

MISSION “We are dedicated proactive, loyal&


accountable group of people with a quest for
excellence through latest technology, people
empowerment and brand equity to produce
world class products by adopting best business
practices and ethics.”
CORE VALUE “Human dignity. Honesty.
Commitment .sincerity”.

INFRASTRUCTURE

Fully attuned to evolving customer needs & requirements, over


the years, the Omax group has grown from strength to strength. It
has not only multiplied its manufacturing and engineering
capabilities in a big way, but also taken a giant leap in the highly
dynamic international market. The group is working hand in hand
with a multitude of new clients across many industries.

Though the company has moved ahead towards new frontiers, yet
it nourishes old relationships with undying passion and
perseverance.
ONE STOP SOLUTION

 Designing

 Stampings

 Tubular forming

 Machined parts-sprockets/piston rods/Oil


pumps/transmission shafts

 Welding-MIG/TIG/SPOT /ROBO

 Painting & tri nickel chrome painting

 Supporting infrastructure-tool room/met labs/standard


room etc.

INVESTOR RELATIONS

Omax autos progress since its inception has been reinforced by


the power

Customers, employees, investors, partners, vendors and the


society at large. our core principles of trust and transparency
have come a long way in helping us to develop and nurture long-
term relationships with our key stakeholders.
MANUFACTURING UNITS

Omax Autos Limited

Bangalore Plant

Dharuhera Plant II

Manesan Plant

Sidhrawali Plant

Sprocket Division

Lucknow Plant- underconstruction.


MAJOR COMPETITORS

Amtek India Ltd.


India

IFB Industries Ltd.


India

India Motors Parts & Accessories Ltd. India

PRODUCT PROFILE

Products for two wheelers products for four


wheelers

Steering handle assembly neck fuel filter


Carrier trunk hinge
Side cover steering column shafts
Engine guard wiper rods
Oil pump assembly frame assembly
Sprocket cam and sprocket timing transmission shafts
Complete frame assembly rocker arm shaft
Pedal kick starter truck chassis (Tata)
Mufflier back plates for
brakeshoes
Footrest piston rods for damper
assembly
Main stand shround fan
Brake padel door beams
Sprockets half shaft bars
Chain case base battery set
Seat assembly

MAJOR CUSTOMERS

INDIAN CLIENTS OVERSEAS CLIENTS


Hero Honda motors ltd piaggio ITALLA
TVS motors ltd IKEA Swedon
Yamaha motors pvt ltd Supersprox, Czech
Republic
Honda Motorcycle & scooters India
Ministry of railways
Ministry of defence
MAJOR CLIENTS

Commercial Vehicles
Indian Clients

Mahindra & Mahindra


Eicher Motors Ltd.
New Holland Tractor

MAJOR CLIENTS
Passenger cars

Indian clients Overseas clients


Major Udyog Ltd(Suzuki.J.V) Tenneco Automotive
USA
TVS Motors Limited Delphi Automotive
Systems
Mahindra & Mahindra Cummins USA
Honda- Siel car India ltd. Amtech international
USA Strengths Weaknesses
Denso India Ltd. Atlantis Global
Services,USA Lack of mission statement on the
Highly
Delphiqualified staff.
Automotives website.CNH Belgium
Krishna Maruti
Reasonable prices. Ltd. Lack ofRoulunds Braking
competition.
Bharat Seats Ltd. LimitedTenneco
funds. Automotives
Over 20yrs
Belgium experience in the
Too much capital invested in
Jay Bharat Maruti Ltd.
business. inventory.
Lucas TVS
Good
Indiarapport
Nipponwith customers.om
Carraro Spa
Opportunities Threats
Mitsuba Sical Ltd.
New retail store.
Sundram Clayton Ltd.
Proper advertisement(direct mail, Nill
radio, television advt. travel, & sports
magazines yellow book etc ). SWOT ANALYSIS
Better use of database(use of
ACT database).
Educational level (educate
customers).
OMAX INFRASTRUCTURE
8 manufacturing plants situated across India, which forms
the backbone of the structure called “OMAX AUTOS
LIMITED”.

10 Facilities including stamping facility; CNC Pipe Bending


Facility; welding Facility; sprocket Facility; Machining Facility;
Piston Rod Manufacturing Facility; Tri Nickel Chrome Plating
Facility; tool Room Facility; Induction Hardening Facility and
Tube Manufacturing Facility.

30 Main products that form the vital & significant


component and accessories for two wheeler, four wheeler
and commercial vehicles. Sheet Metal Component that range
in thickness from 0.6mm to 10mm.

50 Customers / clients that include OEMs & Tier


Manufacturers, which are Big Brand Names, provided with
timely and quality product delivery.

R & D Centre to research and develop new products,


designs and equipment as well as to focus on better
performance by the existing product by cost minimization to
the highest level possible.
EMPLOYEE MOTIVATION IN AN OMAX

Our strength-our employees

“The quality of an organization can never exceed the quality of


the minds that make it up”

The way a team plays as a whole determines its success. There may be
a bunch of individual stars in the sky, but only when put together that
it forms a constellation worth a dime.

Omax as an organization meets the talent and organizational needs of


the widening global corporates by pooling in new talent group,
nurturing employees and managing employee relationship. The steps
involved in achieving these targets are as follows:

RECRUITMENT AND TRANINING

We recruit individuals with adequate knowledge and a


passion to excel in business based not only on academic excellence
but also on a proactive approach.
We have always believed that a sustained focus on technology, system
and human resources, especially at the worker level, holds the key to
success. Therefore at omax, training needs the identified periodically
for various levels and all the new technical recruits are trained in
technical training center on welding, pressing machining and other
technical fields and then placed in the concerned departments.

EMPLOYEE ENHANCEMENT THROUGH INVOLVEMENT

The company encourages employees’ feedback for employee


enhancing improvement in process and alignining employee goals with
business objectives. It helps in building mutual trust and foster
teamwork. At workman level, for example- expansion of canteen
facilities with better services, improved telephone services, safe
working environment were some of the initiatives taken during the
year.

A series of initiatives were taken up at each location to improve


employee engagement. These included communications, team building
and creation for cross- functional teams to enhance job content, work
environment and employee empowerment.

EMPLOYEE MOTIVATION

We motivate our employees by awarding them with various awards like


long- term awards, attendance awards, customer representative
winner award…. Various recreational activities are conducted for
employees and their families, birthday greetings are send across to the
employees, a quarterly magazine is published for and by employees to
encourages their creativity and to share their personal and academic
excellence with acts as value addition for the company named as
OMAX AUTOS Limited “infomax”. This helps in promoting the feeling of
oneness.

HR MISSION
“To promote and sustain the culture of developing world class
leaders for value addition in every sphere of original activities
while fulfilling employees professional and personal
satisfaction”.
3. RESEARCH PROBLEM
The research problem here in this study is associated with the motivation of employee
OMAX AUTOS LTD LIMITED, Gurgaon. There are a variety of factors that can
influence a person’s level of
motivation; some of these factors include;-

1. The level of pay and benefits,

2. The perceived fairness of promotion system within a company,

3. Quality of the working conditions,

4. Leadership and social relationships,

5. Employee recognition

6. Job security

7. Career development opportunities etc.

Motivated employees are a great asset to any organisation. It is because the


motivation and Job satisfaction is clearly linked.
Hence this study is focusing on the employee motivation in the
organization. The research problem is formulated as follows:
SIGNIFICANCE OF THE STUDY

The study is intended to evaluate motivation of employees in the organization. A good


motivational program procedure is essential to achieve goal of the organisation.

If efficient motivational programmes of employees are made not only in this particular
organization but also any other organisation, the organizations can achieve the efficiency
also to develop a good
organizational culture.

Motivation has variety of effects. These effects may be seen in the context of an
individual’s physical and mental health, productivity, absenteeism and turnover.
Employee delight has to be managed in more than one way.

This helps in retaining and nurturing the true believers


“who can deliver value to the organization. Proliferating and
nurturing the number of
“true believers” 1is the challenge for future and present HR managers.
1 HRM Review (The ICFI University Press) July 2008
This means innovation and creativity. It also means a change in the gear for HR polices
and practices.
The faster the organizations nurture their employees, the more successful they will be.
The challenge before HR managers today is to delight their employees and nurture their
creativity to keep them a bloom.

This study helps the researcher to realize the importance of effective employee
motivation.
This research study examines types and levels of employee motivational programmes and
also discusses management ideas that can be utilized
to innovate employee motivation.
it helps to provide insights to support future research regarding strategic guidance for
organization that are both providing and using reward/recognition
programs.

1.4 OBJECTIVES OF THE STUDY


1.4.1 Primary objective.

1. To study the important factors which are needed to motivate the employees.

1.4.2 Secondary Objective.

1. To study the effect of monetary and non-monetary benefits provided by the


organization on the employee’s performance.

2. To study the effect of job promotions on employees.

3. To learn the employee’s satisfaction on the interpersonal relationship exists in the


organization.

4. To provide the practical suggestion for the improvement of organization’s


performance.

1.6 RESEARCH METHODOLOGY.


Research is a systematic method of finding solutions to problems. It is essentially an
investigation, a recording and an analysis of evidence for the purpose of
gaining knowledge.
According to Clifford woody, “research comprises of defining and redefining problem,
suggested solutions, collecting, organizing and evaluating data,
reaching conclusions, testing conclusions.

1.6. Research design.


Descriptive

1.6.1 Sampling Design.


The technique used is convenience based.

1.6.3 Sample Size.


Number of the sampling units selected from the population is called the size of the
sample.
Sample of 50 respondents were obtained from the population.
1.6.5 Methods of Data Collection.
The data’s were collected through Primary and secondary sources.

1.6.5.1 Primary Sources.


the purpose of analysis and interpretations.
The primary sources are discussion with employees, data’s collected through
questionnaire.

1.6.5.2 Secondary Sources.


Secondary data’s are in the form of finished products as they have already been treated
The secondary data mainly consists of data and information collected from records,
company websites and also discussion with the management of the organization.
Secondary data was also collected from journals, magazine & books.

2. LITERATURE REVIEW

Rensis Likerthas called motivation as the core of management. Motivation is the core of
management. Motivation is an effective instrument in the hand of the
management in inspiring the work force. It is the major task of every manager to
motivate his subordinate or to create the will to work among the subordinates.
It should also be remembered that the worker may be immensely capable of
doing some work, nothing can be achieved if he is not willing to work.creation of
a will to work is motivation in simple but true sense of term.

Motivation is an important function which very manager performs for actuating the
people to work for accomplishment of objectives of the organization. issuance
of well conceived instructions and orders does not mean that they will be followed. A
manager has to make appropriate use of motivation to enthuse the
employees to follow them. Effective motivation succeeds not only in having an
order accepted but also in gaining a determination to see that it is executed efficiently
and effectively.

In order to motivate workers to work for the organizational goals, the managers must
determine the motives or needs of the workers and provide an environment
in which appropriate incentives are available for their satisfaction. If the management is
successful in doing so, it will also be successful in increasing the
willingness of the workers to work. This will increase efficiency and effectiveness
of the organization .There will be better utilization of resources and workers abilities and
capacities.

2.1 The concept of motivation

The word motivation has been derived from motive which means any idea, need or
emotion that prompts a man in to action. Whatever may be the behavior of man, there is
some stimulus behind it. Stimulus is dependent upon the motive of person concerned.
Motive can be known by studying his needs and desires.

There is no universal theory that can explain the factors influencing motives which
control mans behavior at any particular point of time. In general, the different motives
operate at different times among different people and influence
their behaviors. The process of motivation studies the motives of individuals which
cause different type of behavior.

2.2 Definition of Motivation.

According to Edwin B Flippo, “Motivation is the process of attempting to influence


others to do their work through the possibility of gain or reward.

2.3 Significance of Motivation


Motivation involves getting the members of the group to pull weight effectively, to
give their loyalty to the group, to carry out properly the purpose of the organization.
the following results may be expected if the employees are properly motivated.

1. The workforce will be better satisfied if the management provides them with
opportunities to fulfill their physiological and psychological needs. The workers
will cooperate voluntarily with the management and will contribute their maximum
towards the goals of the enterprise.

2. Workers will tend to be as efficient as possible by improving upon their skills


And knowledge so that they are able to contribute to the progress of the organization.
This will also result in increased productivity.

3. The rates of labor’s turnover and absenteeism among the workers will be low.

4. There will be good human relations in the organization as friction among the
Workers themselves and between the workers and the management will decrease.

5. The number of complaints and grievances will come down. Accident will also be low.
6. There will be increase in the quantity and quality of products. Wastage and scrap will
be less. Better quality of products will also
increase the public image of the business.

2.4 Motivation Process.

1. Identification of need

2. Tension

3. Course of action

4. Result –Positive/Negative

5. Feed back

2.5 Theories of Motivation.


Understanding what motivated employees and how they were motivated was the
Focus of many researchers following the publication of the Hawthorne study
Results ( Terpstra ,1979)Six major approaches that have led to our understanding of
motivation are Mcclelland’s Achievement Need Theory,
Behavior Modification theory; Abraham H Mallows need hierarchy or deficient
theory of motivation. J.S. Adam’s Equity Theory, Vrooms Expectation Theory,
Two factor Theory.

2.5.1 McClelland’s Achievement Need Theory.


According to McClelland’s there are three types of needs;

Need for Achievement (n Ach);


This need is the strongest and lasting motivating factor. Particularly in case of
Persons who satisfy the other needs. They are constantly pre occupied with a
desire for improvement and lack for situation in which successful outcomes are directly
correlated with their efforts. They set more difficult but achievable goals
for themselves because success with easily achievable goals hardly provides a
sense of achievement.

Need for Power (n Pow)


It is the desire to control the behavior of the other people and to manipulate the
surroundings. Power motivations positive applications results in domestic
leadership style, while it negative application tends autocratic style.

Need for affiliation (n Aff)


It is the related to social needs and creates friendship. This results in formation of
informal groups or social circle.

2.5.2 Behavioral Modification Theory;


According to this theory people behavior is the outcome of favorable and unfavorable
past circumstances. This theory is based on learning theory. Skinner
conducted his researches among rats and school children. He found that
stimulus for desirable behavior could be strengthened by rewarding it at the
earliest. In the industrial situation, this relevance of this theory may be found in
the installation of financial and non financial incentives.

More immediate is the reward and stimulation or it motivates it. Withdrawal of


reward incase of low standard work may also produce the desired result.
however, researches show that it is generally more effective to reward desired behavior
than to punish undesired behavior.

2.5.3 Abraham H Maslow Need Hierarchy or Deficient theory of


Motivation.

The intellectual basis for most of motivation thinking has been provided by
Behavioral scientists, A.H Maslow and Frederick Heizberg, whose published
Works are the “Bible of Motivation”. Although Maslow himself did not apply
his theory to industrial situation, it has wide impact for beyond academic circles.
Douglous Mac Gregor has used Maslow’s theory to interpret specific problems
in personnel administration and industrial relations.

The crux of Maslow’s theory is that human needs are arranged in hierarchy
Composed of five categories. The lowest level needs are physiological and
the highest levels are the self actualization needs. Maslow starts with the
formation that man is a wanting animal with a hierarchy of needs of which
some are lower ins scale and some are in higher scale of system of values.
As the lower needs are satisfied, higher needs emerge. Higher needs cannot
be satisfied unless lower needs are fulfilled. A satisfied need is not a motivator.
This resembles the standard economic theory of diminishing returns. The
Hierarchy of needs at work in the individual is today a routine tool of personnel
Trade and when these needs are active, they act as powerful conditioners of behavior- as
Motivators.

Hierarchy of needs; the main needs of men are five. They are physiological
Needs, safety needs, social needs, ego needs and self actualization needs, as shown
in order of their importance.

Self-
Actualization

Ego Needs
Social Needs

Safety Needs

Physiological Needs

Fig (2.1)

The above five basic needs are regarded as striving needs which make a person do things.
The first model indicates the ranking of different needs. The second is
more Helpful in indicating how the satisfaction of the higher needs is based on
the Satisfaction of lower needs. It also shows how the number of person who has
experienced the fulfillment of the higher needs gradually tapers off.

Physiological or Body Needs: - The individual move up the ladder responding


First to the physiological needs for nourishment, clothing and shelter. These
Physical needs must be equated with pay rate, pay practices and to an extent with
physical condition of the job.

Safety: - The next in order of needs is safety needs, the need to be free from
Danger, either from other people or from environment. The individual want to
assured, once his bodily needs are satisfied, that they are secure and will continue to be
satisfied for foreseeable feature. The safety needs may take the
form of job security, security against disease, misfortune, old age etc also
against industrial injury. Such needs are generally met by safety lows, measure of social
security, protective labor laws and collective agreements.

Social needs: - Going up the scale of needs the individual feels the desire to
Work in a cohesive group and develop a sense of belonging and identification
With a group. He feels the need to love and be loved and the need to belong
And be identified with a group. In a large organization it is not easy to build up social
relations. However close relationship can be built up with at least some
fellow workers. Every employee wants too feel that he is wanted or accepted
and that he is not an alien facing a hostile group.
Ego or Esteem Needs: - These needs are reflected in our desire for status and
recognition, respect and prestige in the work group or work place such as is
conferred by the recognition of ones merit by promotion, by participation in management
and by fulfillment of workers urge for self expression. Some of the
needs relate to ones esteem e.g; need for achievement, self confidance,
knowledge, competence etc. On the job, this means praise for a job but more
important it means a feeling by employee that at all times he has the respect
of his supervisor as a person and as a contributor to the organizational goals.

Self realization or Actualization needs: - This upper level need is one


which
When satisfied provide insights to support future research regarding strategic
Guidance for organization that are both providing and using reward/recognition
Program makes the employee give up the dependence on others or on the
environment. He becomes growth oriented, self oriented, directed, detached and creative.
This need reflects a state defined in terms of the extent to which an
individual attains his personnel goal. This is the need which totally lies within
oneself and there is no demand from any external situation or person.

2.5.4 J.S Adams Equity Theory


Employee compares her/his job inputs outcome ratio with that of reference. If the
Employee perceives inequity; she/he will act to correct the inequity: lower
Productivity, reduced quality, increased absenteeism, voluntary resignation.

2.5.5 Vrooms Expectation Theory


Vroom’s theory is based on the belief that employee effort will lead to
performance and performance will lead to rewards (Vroom, 1964). Reward may .
be either positive or negative. The more positive the reward the more likely the
employee will be highly motivated. conversely, the more negative the reward the
less likely the employee will be motivated.

2.5.6 Two Factor Theory


Douglas McGregor introduced the theory with the help of two views; X
Assumptions are conservative in style Assumptions are modern in style.
X Theory
Individuals inherently dislike work.

People must be coerced or controlled to do work to achieve the objectives.

People prefer to be directed

Y Theory
People view work as being as natural as play and rest
People will exercise self direction and control towards achieving objectives they are
committed to

People learn to accept and seek responsibility.

Types of Motivation.
Intrinsic motivation occurs when people are internally motivated to do something
because it either brings them pleasure, they think it is important, or they feel that
what they are learning is morally significant.

Extrinsic motivation comes into play when a student is compelled to do something or act
a
certain way because of factors external to him or her (like money or good grades)

Incentives
An incentive is something which stimulates a person towards some goal. It
activates human needs and creates the desire to work. Thus, an incentive is a
means of motivation. In organizations, increase in incentive leads to better performance
and vice versa.

Need for Incentives

Man is a wanting animal. He continues to want something or other. He is never


fully satisfied. If one need is satisfied, the other need need arises. In order to
motivate the employees, the management should try to satisfy their needs. For
this purpose, both financial and non financial incentives may be used by the management
to motivate the workers. Financial incentives or motivators are
those which are associated with money. They include wages and salaries, fringe benefits,
bonus, retirement benefits etc. Non financial motivators are those which
are not associated with monetary rewards. They include intangible incentives
like ego-satisfaction, self-actualization and responsibility.

INCENTIVES

Financial incentives Non financial-


incentives
 Wages & salaries competition
 Bonus group recognition
 Medical reimbursement job security
 Insurance praise
 Housing facility knowledge of result
 Retirement benefits workers participation
Suggestion system
Opportunities for
growth

2.8 Motivation is the key to performance


improvement

There is an old saying you can take a horse to the water but you cannot force it
to drink; it will drink only if it's thirsty - so with people. They will do what they
want to do or otherwise motivated to do. Whether it is to excel on the workshop floor or
in the 'ivory tower' they must be motivated or driven to it, either by
themselves or through external stimulus
.
Are they born with the self-motivation or drive? Yes and no. If no, they can be
Motivated,for motivation is a skill which can and must be learnt. This is essential for any
business to survive and succeed.

Performance is considered to be a function of ability and motivation, thus:

Job performance =f(ability)(motivation)

Ability in turn depends on education, experience and training and its


Improvement is a slow and long process. On the other hand motivation can be improved
quickly. There are many options and an uninitiated manager may not
even know where to start. As a guideline, there are broadly seven strategies for
motivation.

There are broadly seven strategies for motivation.

 Positive reinforcement/ high expectation

 Effective discipline and punishment


 Treating people fairly

 Satisfying employees needs

 Setting work related goals

 Restructuring jobs

 Base rewards on job performance

Essentially, there is a gap between an individual’s actual state and some desired
State and the manager tries to reduce this gap. Motivation is, in effect, a means to reduce
and manipulate this gap.

CHAPTER-4
4. ANALYSIS AND INTERPRETATION OF DATA
Management is interested in motivating the
employees.

SA A N DA SDA
27 20 3 0 0

INTERPRETATION
The table shows that 54% of
respondents are strongly agreeing that the management is
interested in motivating the employees.
Satisfaction with the present incentives
scheme.

SA A N DA SDA
18 29 3 0 0

INTERPRETATION
The table shows that 58%
respondents are satisfied with the present incentives scheme
of the organization.
The type of incentives motivates you more.

financi Non Both


al financi
al
15 9 26

INTERPRETATION
The table shows that 52% of
respondents are expressing that both financial and non
financial incentives will equally motivate them.
Periodical increase in salary.

SA A N DA SDA
12 23 3 9 3

INTERPRETATION
The table shows 46% employees
agree that there is a periodical increase in salary.
Job security existing in the company.

SA A N DA SDA
15 18 11 3 3

INTERPRETATION
The table shows 36% of employees
agree with good job security exist in the company.
Good safety measures existing in the
organization.

SA A N DA SDA
15 23 3 6 3

INTERPRETATION
The table shows 46% of respondents
agree that there is good safety measure existing in the
company.
Performance appraisal activities are helpful to
get motivated.

SA A N DA SDA
9 23 6 3 9

INTERPRETATION
The table shows that 46% of
respondents agree that performance appraisal activities are
helpful to get motivated.
Support from the co-worker is helpful to get
motivated.

SA A N DA SDA
12 29 0 6 3

INTERPRETATION
The table shows that 58% of
respondents agree that the support from the co-worker is
helpful to get motivated.
Management involves you in decision making
which are connected your development.

yes No Occasionally

47 o 3

INTERPRETATION
The table shows that 94% of the
respondents agree that they the management involve them
in decision making which are connected to your department.
Career development opportunities are helpful
to get motivated.

SA A N DA SDA
10 26 2 4 8

INTERPRETATION
The table shows that 52% of
respondents agree that the career development
opportunities are helpful to get motivated.
Factors which motivates you the most.

Salary Promotio Leave Motivation Recognitio


increase n al talk n
21 15 3 5 6

INTERPRETATION
The table shows that the 42% of the
respondent responding that increase in salary will
motivate them the most.
Incentives & other benefits will influence your
performance.

SA A N DA SDA
14 18 6 9 3

INTERPRETATION
The table shows that 36% of the
employees agree that incentives and other benefits will
influence their performance.
4.
SUMMARY

This document aims at providing employees and management members with the
information that can be beneficial both personally and professionally. Every
Business enterprise has multiple objectives including of adequate profit for payment of a
reasonable rate of return to the owners and for investment in
business through satisfaction of customers, maintenance of a contended
workforce and creation of a public image. The basic job of management of any
business is the effective utilization of available human resources, technological,
financial and physical resources for the achievement of the business objectives.
This project entitled as “Employee motivation” was done to find out the factors
which will motivate the employees. The study undertakes various efforts to
Analyze all of them in great details. The researcher in this project at the outset
gives the clear idea of the entire department existing in the company. From the study, the
researcher was able to find some of the important factors which
motivate the employees. Factors like financial incentives and non financial
Inventive, performance appraisal system, good relationship with co-workers,
promotional opportunities in the present job, employee participation in decision
making are very much effect the level employee motivation. It is also clear from
the study that the company is so eager in motivating their employees and their
present effort for it so far effective.

The human resources can play an important role in the realization of the objectives.
Employees work in the organization for the satisfaction of their needs.
If the human resources are not properly motivated, the management will not be
able to accomplish the desired results. Therefore, human resources should be
managed with utmost care to inspire, encourage and impel them to contribute their
maximum for the achievement of the business objectives.
5.2 FINDINGS

The findings of the study are follows

The OMAX AUTOS Limited has a well defined organization structure.


There is a harmonious relationship is exist in the organization between
Employees and management.
The employees are really motivated by the management.
The employees are satisfied with the present incentive plan of the company.

Most of the workers agreed that the company is eager in recognizing and
acknowledging their work.
The study reveals that there is a good relationship exists among employees.
Majority of the employees agreed that there job security to their present job.
The company is providing good safety measures for ensuring the employees safety.
From the study it is clear that most of employees agrees to the fact that
Performance appraisal activities and support from the coworkers in helpful to get
motivated.
The study reveals that increase in the salary will motivates the employees more.
The incentives and other benefits will influence the performance of the employees.
5.3 SUGGESTIONS

The suggestions for the findings from the study are follows

Most of the employees agree that the performance appraisal activities are
helpful to get motivated, so the company should try to improve performance
appraisal system, so that they can improve their performance.
Non financial incentive plans should also be implemented; it can improve the
productivity level of the employees.
Organization should give importance to communication between employees
and gain co-ordination through it.
Skills of the employees should be appreciated.
Better carrier development opportunities should be given to the employees for their
improvement.
If the centralized system of management is changed to a decentralized one,
then there would be active and committed participation of staff for the success of the
organization.
5.4 LIMITATIONS OF THE STUDY

The limitations of the study are the following

The data was collected through questionnaire. The responds from the
Respondents may not be accurate.

The sample taken for the study was only 50 and the results drawn may not be accurate.

Since the organization has strict control, it acts as another barrier for getting data.

Another difficulty was very limited time-span of the project.

Lack of experience of Researcher.


CONCLUSION

The study concludes that, the motivational program procedure in OMAX AUTOS LTD.
is found effective but not highly effective. The study on employee
motivation highlighted so many factors which will help to motivate the employees.
The study was conducted among 50 employees and collected information
Through structured questionnaire. The study helped to findings which were
related with employee motivational programs which are provided in the organization.

The performance appraisal activities really play a major role in motivating the
employees of the organization. It is a major factor that makes an employee feels
good in his work and results in his satisfaction too. The organization can still concentrate
on specific areas which are evolved from this study in order to make
the motivational programs more effective.
Only if the employees are properly motivated- they work well and only if they
Work well the organization is going to benefit out it. Steps should be taken to
Improve the motivational programs procedure in the future. The suggestions of this
report may help in this direction.

BIBLIOGRAPHY
Human resource and personnel management - K aswathappa

REFERENCES – INTERNET
www.omaxauto.com
www.committedgroup.com
www.google.co.in
www.ask.com
www.exit net.

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