Project Report on ITC

CHAPTER-1 INTRODUCTION OF HRM; Human resource management is the planning , organizing, directing, and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational, and social objective are accomplished MEANING & DEFINITION HRM is a management function that helps managers recruit, select, train and develops members for an organization function concerned with hiring motivating and maintaining people in an organization. It is a series of integrated decision that from the employment relationship; their quality contributes to the ability of the organization and the employees to achieve their objective. Human resource management is concerned with the people dimension in management. since every organization is make up of people, acquiring their services, developing their skill, motivating them to higher level of performance and ensuring that they continue to maintain their commitment to the organization are essential to achieving organizational objectives.

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FEATURES OF HRM Increased competition Emphasis on quality in staff, goods/services Flexibility in operations Willingness to adopt to changing market need Global Market

OBJECTIVES OF HRM Integration of HRM policy with business goals/objectives Attainment of organizational objectives through human capital Creation of flexible work hours/function Creation of a flexible environment to be responsive to market ambience, as per the need of the dizzily fast packed and changing environment. Integration of people related issues with business issues, while bringing people related Issues to the fore and advocating primacy of business needs.

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Company profile ITC limited is one of the top three private sector companies in India. It is a market leader in India in Cigarettes & Tobacco, hotels, packaging, specialty papers and paperboards. It has also entered into the life style retailing business with the lunch of the wills sports range of relaxed wear. It has also spin off its information technology (I.T) business into a wholly owned subsidiary to more aggressively pursue emerging opportunities. ITC has a market capitalization of around US $ 4 billion and a turnover of over US $ 1.8billion. It employees 12,000 employees at over 60 locations across India, and nearly1,50,000 shares holders. Over the years, ITC has evolved from a single product company to a multi-business corporation. Its businesses are spread over a wide spectrum, ranging from cigarettes and tobacco to hotels, packaging, paper and paperboards and international commodities trading. Each of these businesses is vastly different from the others in its type, the state of its Evolution and the basic nature of its activity, all of which influence the choice of the form of Governance. The challenge of governance for ITC therefore lies in fashioning a model that Addresses the uniqueness of each of its businesses and yet strengthens the unity of purpose of the Company as a whole. Since the commencement of the liberalization process, India's economic scenario has begun to alter radically. Globalization will not only significantly heighten business risks, but will Also compel Indian companies to adopt international norms of transparency and good Governance. Equally, in the resultant competitive context, freedom of executive management and its ability to respond to the dynamics of a fast changing business environment
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will be the new success factors. ITC's governance policy recognizes the challenge of this new business reality in India. Indian leafs Tobacco Development (ILTD) division The leaf & tobacco arm of ITC Ltd. For over 9 decades, has pioneered the cultivation and development of cigarette tobacco in India. It is instrumental in making India succeed in the global cigarette tobacco market. Head quartered (HQ) at Guntur, Andhra Pradesh, The biggest agro-commercial center for tobacco. Mysore is the gateway to cigarette tobacco in the state of Karnataka. Sustaining ILTD leadership in the leaf business by combining the virtues of tradition with modernity, and delivering goods and services efficiently with a personal touch. ITLD give one key to superior business performance, it is his ability to turn the perceptions capabilities, and relationships of our people into the building blocks of the organization. His track record, so far, stands testimony to this recognition and the future will be no different. Tobacco &its processing ITLD is controlling from tobacco seed to finally tobacco. ITLD give adoption of contemporary Agro- techniques and the enterprising sprit of the. Tobacco farmer have led to India being a know-ledged as one of the most important tobacco producing countries in the world. Topical climate Coupled with two monsoons facilitates the Indian farmer to grow tobacco throughout the gear. Tobacco cultivation in India is spread over a

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large geographical area covering a wide range of Soils, each growing area producing a unique style of tobacco. The southern states of India, Andhra Pradesh and Karnataka are the Prime cigarette type tobacco growing regions with 4,00,000 hectares land under Tobacco cultivation. India is recognized as an ideal source for a variety of tobacco, offering sustainable quality produce at competitive prices throughout the Year. ITLDs green leaf threshing (GLT) plants with a total capacity to process 520 metric Tones per day are comparable with the best in the world. They are fully automated with the latest equipment to process and deliver 100 million Kgs of high quality tobacco every year. It is no surprise that they enjoy ISO9002 and ISO14001 accreditations. He have two processing lines in the southern state of Andhra parades - chirala with 3 processing lines and antipathy with 1 processing line. Chirala unit is first unit in India who has received the Coveted Social Accountability Standard Certification (SA 8000). This unit ware housing facilities are benchmarked to international standard for hygiene and infestation control. ILTD have large wear housing capacity to stock around 100 M.Kg of finishes produce (Tobacco). Production process of cigarettes: - The production of cigarettes in ILTD two major process. One is primary process which includes So many sub processes, which we discussed later, and other is secondary process which includes final packing of cigarettes and lots etc. Primary process of cigarettes: - Under this process ILTD start from the leaf cutting, which he received from his GLT unit chirala. Chirala supply leaf all the production units of ILTD in 200kg size pack. Production unit start from
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there point, First of all production unit cuts 200kg.pack in to 5-6 piece and put in to machine which give moisture 10-11% to 21%of leaf and up to 38% of stamc. After that he cut it into 30 cut and per inch length 140 cuts per inch length respectively through cottoned rolled squire (CRS). After the processing of cutting leaf he possesses through drying process and these times tobaccos have up to 15% moisturizer. When tobacco is cooled then he is passed into secondary proem. Before passes secondary proem both type of cutting result [Leaf and stems] is mixed up. The tobacco carmines and stems are then cooled and stacked in bins-ready to be rolled into cigarettes. Production division of ILTD India leaf tobacco development (ILTD) is a major department of ITC which have four major production division across the country such as Bangalore, (Karnataka) munger (Bihar), Saharanpur (U.P.) Kolkata (W.B). These all four-production division is producing billion cigarettes per year. One thing is cam man amery all production division is that all units producing wills brand and other brand of IRC is depended upon the regional requirement of cigarettes. Wills is most valuable brand of ITC Ltd. And his share of total sales is % appox. Brand, name and their length are as follows 1 Classic Filter 82 mm
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2 3 4 5 6 7 8 9 10 11 12 Gold Flake (King) Filter 82 mm Gold Flake (Premiums) Filter 69 mm Wills Navy Cut Filter 74 mm Capstan Fl Filter 69 mm Bristol Filter 69 mm Wills Flake Filter 69 mm Scissors Filter 69 mm Scissors Filter 69 mm Capstan Standard Without 58 mm Bristol Standard Without 58 mm India King Filter 82 mm

Marketing Division ILTD have four marketing office for maintaining advertising and promotined activities. It maintains supply of cigarette all over India.

There office is situated are as follows 1. Jalandar (Punjab) 2. Saharanpur (U.P) 3. Delhi (Capital Marking office) 4. Kanpur (U.P)

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Board of Directors

CHAIRMAN

Y C Deveshwar

EXECUTIVE

DIRECTORS

Nakul Anand

P V Dhobale

K N Grant

NON-EXECUTIVE

DIRECTORS

A Baijal

S Banerjee

AV Girija Kumar

S H Khan

S B Mathur

D K Mehrotra

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H G Powell

P B Ramanujam

Anthony Ruys

Basudeb Sen

K Vaidyanath

B Vijayaraghavan

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MODULE---- 2 JOB DESIGN Designation Job Description Manager - Ore Preparation Technology Main Purpose of the Job : Development of the knowledge domain in Ore Preparation for Pellet Plant. Bench-marking the existing process and identify scope of improvement. Provide technological support to Pellet Plant for process improvement Evaluation and introduction of new technology in Pillarization process Key Activities : Explore and evaluate new technologies and best practices to be introduced. Conduct experiment/ trial in plants, labs etc for
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process improvement. Bench-marking the existing process and identify scope of improvement. Provide technical support to department by regular analyzing the key process parameters in TQM way. Root cause analysis. Desired Profile

Experience in mineral processing plants/ pelletizing plant. Experience of operating grinding mill, crushers, classifiers and screens.

Experience of introducing new practices/ technology through process data evaluation, bench-marking.

Experience Industry Type Role Functional Area Education

2 - 5 Years

Research Scientist Engineering Design, R&D

UG -B.Tech/B.E.-Mineral
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PG - Post Graduation Not Required Location Keywords Contact Ore preparation manufacturing ITC

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Company our vision is to be the global steel industry benchmark for Value Creation and Corporate Citizenship.

Tata Steel India is the first integrated steel company in the world, outside Japan, to be awarded the Deming Application Prize for excellence in Total Quality Management

Designation Job Description

Manager - COB/LOP - 1 Opening(s) Operates and Maintains COB / LOP as per ABP and Customers requirement and provides necessary assistance to Head and Chief to maintain various records related to compliance to Integrated Management System and statutory compliance.

Desired Profile

Experience in operation and maintenance of mineral processing plant. Knowledge of crusher, screens, conveyor belts, classifiers and other mineral processing equipment.

Experience Industry Type Role

2 - 6 Years Tobacco products

Other
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Functional Area Education UG - B.Tech/B.E. - Mineral PG - Post Graduation Not Required Location Keywords Contact Job Posted Bamnipal Mineral Processing ITC 08 Apr Other

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Job ANATYSIS

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HR PLANNING HRP is the process of forecasting an organizations future demand for and supply of, the right type of people in the right number. It is only after this that the HRM department can initiate the recruitment and selection process. HRP is the sub-system in the total organizational planning. Organizational planning includes managerial activities that set the companys objective. HRP facilitates the realization of the companys objectives by providing the right type and right number of personnel. HRP then is like materials planning that estimate the type and quality of the materials and supplies needed to facilitate the manufacturing activities of the organization. HRP is variously called manpower planning, personnel planning or employment planning

MANPOWER PLANNING Manpower planning enables HR department to project its short to long term needs on the basis of its departmental plans so that it can adjust its manpower requirements to meet changing priorities. The more changing the environment the department is in, the more the department needs manpower planning to show: the number of recruits required in a specified timeframe and the availability of surpluses availability or of deficiencies suitable in talent early indications of potential recruitment or retention difficulties certain and ranks or grades qualified experienced successors

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MANPOWER PLANNING

Manpower planning enables HR department to project its short to long term needs on the basis of its departmental plans so that it can adjust its manpower requirements to meet changing priorities. The more changing the environment the department is in, the more department needs manpower planning to Show: The number of recruits required in a specified timeframe and the availability of talent Early indications of potential recruitment or retention difficulties Surpluses or deficiencies in certain ranks or grades Availability of suitable qualified and experienced successors the

HRM POLICIES, PROCEDURES AND PROGRAMS Definition of HRM Policy

Each and every organization has its laid down HRM policy depending upon their business activities and policy followed by their competitors. There is no hard and fast rule that certain organization has to follow a particular policy.

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A policy is a plan of action. Brewster and Rich bell defined HRM policies as, a set of proposals and actions that act as a reference point for managers in their dealings with employees?. Personnel policies constitute guides to action. They furnish the general standards or bases on which decisions are reached. Their genesis lies in an organizations values, philosophy, concepts and principles? Personnel policies guide the course of action intended to accomplish personnel objectives. The following example helps to understand the personnel policy clearly. Example: One of the personnel objectives of Indian Railways is to provide equal employment opportunities to the people of minority sections.

What is HRM Procedure? Policies are general instructions whereas procedures are specific applications. A procedure is a well thought out course of action. It prescribes the specific manner in which a piece of work is to be done. Procedures are called action guidelines. They are generally derived from policies. Where policies define a broad field, procedures show a sequence of activities within that area. The emphasis is on chronological, step-by-step sequence of required actions. For instance, a student is required to complete several itemized steps in order to register himself to complete several itemized steps in order to register himself for courses in a university. The basic purpose of a procedure is to spell out clearly the way one is to go about doing something.
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The policy, referred to earlier, might be translated into action through the following procedure, given are a few examples:

ITC's EHS Policy ITCs mission is to sustain and enhance the wealth-generating capacity of its portfolio of businesses in a progressively globalising environment. As one of Indias premier corporations employing a vast quantum of societal resources, ITC seeks to fulfil a larger role by enlarging its contribution to the society of which it is a part. The trusteeship role related to social and environmental resources, aligned to the pursuit of economic objectives the enterprise in a globalising environment, delivering superior and sustainable stakeholder, is the cornerstone of ITCs Environment, Health and Safety philosophy. ITCs EHS philosophy cognises for the twin needs of conservation and creation of productive resources. In the multi-business context of ITC, Corporate Strategies are designed to create enduring value for the nation and the shareholder, through leadership in each business and the attainment of world-class competitive capabilities across the value chain. The objective of leadership extends to all facets of business operations including Environment, Health and Safety. ITC is, therefore, committed to conducting its operations with due regard for the environment, and providing a safe and healthy workplace for each employee. Various International and national awards and accreditations stand testimony to ITCs commitment to EHS. Such external recognition further reinforces the need to direct the collective endeavour of the Companys employees at all levels towards sustaining and continuously improving standards of
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Environment, Health and Safety in a bid to attain and exceed benchmarked standards, whether regulatory or otherwise.

To contribute to sustainable development through the establishment and implementation of environment standards that are scientifically tested and meet the requirement of relevant laws, regulations and codes of practice.

To take account of environment, occupational health and safety in planning and decision-making.

To provide appropriate training and disseminate information to enable all employees to accept individual responsibility for Environment, Health and Safety, implement best practices, and work in partnership to create a culture of continuous improvement.

To instil a sense of duty in every employee towards personal safety, as well as that of others who may be affected by the employees actions.

To provide and maintain facilities, equipment, operations and working conditions which are safe for employees, visitors and contractors at the Companys premises. To ensure safe handling, storage, use and disposal of all substances and materials that are classified as hazardous to health and environment.

To reduce waste, conserve energy, and promote recycling of materials wherever possible.

To institute and implement a system of regular EHS audit in order to assure compliance with laid down policy, benchmarked standards, and requirements of laws, regulations and applicable codes of practice.
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To proactively share information with business partners towards inculcating world-class EHS standards across the value chain of which ITC is a part. All employees of ITC are expected to adhere to and comply with the EHS Policy and Corporate Standards on EHS. ITCs EHS Policy extends to all sites of the Company. It will be the overall responsibility of the Divisional/SBU Chief Executives, through the members of their Divisional Management Committees, General Managers and Unit Heads, to ensure implementation of this Policy and Corporate Standards on EHS, including formation of various committees and designating individuals for specific responsibilities in respect of their Division/SBU. The Corporate EHS Department is responsible for reviewing and updating Corporate Standards on EHS, and for providing guidance and support to all concern. Corporate Governance Preamble Over the years, ITC has evolved from a single product company to a multi-business corporation. Its businesses are spread over a wide spectrum, ranging from cigarettes and tobacco to hotels, packaging, paper and paperboards and international commodities trading. Each of these businesses is vastly different from the others in its type, the state of its evolution and the basic nature of its activity, all of which influence the choice of the form of governance. The challenge of governance for ITC therefore lies in fashioning a model that addresses the uniqueness of each of its businesses and yet strengthens the unity of purpose of the Company as a whole. Since the commencement of the liberalisation process, India's economic scenario has begun to alter radically. Globalisation will not only significantly heighten business risks, but will also compel Indian companies to adopt
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international norms of transparency and good governance. Equally, in the resultant competitive context, freedom of executive management and its ability to respond to the dynamics of a fast changing business environment will be the new success factors. ITC's governance policy recognises the challenge of this new business reality in India. ITC's Mission is 'to enhance the wealth generating capability of the enterprise in a globalising environment delivering superior and sustainable stakeholder value'. The Company's strategy is to ensure that each of its businesses is world-class and internationally competitive in the Indian global market in the first instance, and progressively in the offshore global markets. ITC, as a premier 'Indian' enterprise, consciously exercises the strategic choice of contributing to and securing the competitiveness of the entire value chain of which it is a part. This philosophy has shaped the Company's approach to business into 'a commitment beyond the market'. Goals and Performance: At the enterprise level the Company's goals include: Sustaining ITC's position as one of India's most valuable corporations Achieving leadership in each of the business segments within a reasonable time frame Achieving a Return on Capital Employed (ROCE) in excess of the Company's cost of capital, at all times Amongst listed companies in the private sector, ITC ranked 4th in terms of Gross Turnover and 3rd in terms of pre-tax profits for the financial year ended 31st March 2006. The Company ranked 6th by market capitalisation amongst listed private sector
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companies in the country, as at 31st March 2006. The Company has consistently achieved a ROCE well in excess of its cost of capital. Of the Rs.10,325crores of 'value added' by the Company during the financial year ended 31st March 2006, 74% represented Contribution to the Exchequer. Please refer to the 'Report of the Directors and Management Discussion and Analysis' section of the Report and Accounts 2006 (available on itcportal.com) for a detailed discussion on the Company's market standing in each of the business segments. Context: Please refer to the 'Report of the Directors and Management Discussion and Analysis' section of the Report and Accounts 2006 for a detailed discussion on the business environment, opportunities, key challenges, etc. pertaining to each of the Company's businesses

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MODULE3 RECRUITMENT: INTRODUCTION The human resources are the most important assets of an organization. The success or failure of an organization is largely dependent on the caliber of the people working therein. Without positive and creative contributions from people, organizations cannot progress and prosper. In order to achieve the goals or the activities of an organization, therefore, they need to recruit people with

requisite skills, qualifications and experience. While doing so, they have to keep the present as well as the future r e q u i r e m e n t s o f t h e organization in mind.

DEFINITIONS Recruitment is defined as, a process to disco v e r t h e s o u r c e s o f manpower to meet the requirements of the staffing schedule and to employe f f e c t i v e m e a s u r e s f o r a t t r a c t i n g t h a t m a n p o w e r in adequate numbers tofacilitate effective selection of an e f f i c i e n t w o r k f o r c e . E d w i n B . F l i p p o defined recruitment as the process of searching for prospective employees and

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stimulating them to apply for jobs in the organization. Recruitment is a linking function-joining together those with jobs to fill and those seeking

Jobs It is a joining process in that it tries to bring together job seekers and employer with a view to encourage the former to apply for a job with thelatter.I n o r d e r t o a t t r a c t p e o p l e f o r t h e j o b s , t h e o r g a n i z a t i o n m u s t communicate the position in such a way that job seekers respond. To be cost effective, the recruitment process should attract qualified applicants and provide enough

information for unqualified persons to self-select themselves out. Thus, the recruitment process begins when new recrui ts are sought a n d ends when their applications are submitted. The result is a p o o l o f applicants from which new employees are selected.

PURPOSES AND IMPORTANCE

The general purpose of recruitment is to provide a p o o l o f p o t e n t i a l l y qualified job candidates. Specifically, the purposes are to: Determine the present and future requirements of the organization in conjunction with its personnel-planning and job-analysis activities.
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Increase the pool of job candidates at minimum cost. Help increase the success rate of the selection process by reducing the number of visibly, under qualified or overqualified job applicants. Help reduce the probability that job applicants, once recruited and selected, will leave the organization only after a short period of time. Begin identifying and preparing potential job applicants who will be appropriate candidates. Induct outsiders with a new perspective to lead the company. Infuse fresh blood at all levels of the organization. Develop an organizational culture that attracts competent people to the company. Search or head hunt/head pouch people whose skills fit the companys values. Devise methodologies for assessing psychological traits. Search for talent globally and not just within the company. Design entry pay that competes on quality but not on quantum. Anticipate and find people for positions that do not exist yet. Increase organizational and individual effectiveness in the short term and long term. E v a l u a t e t h e e f f e c t i v e n e s s o f v a r i o u s r e c r u i t i n g t e c h n i q u e s a n d sources for all types of job applicants. Recruitment represents the first contact that a c o m p a n y m a k e s w i t h potential employees. It is through
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recruitment that many individuals will come to know a company, and eventually decide whether they wish to work for it. A well-planned and well-managed recruiting effort will result in high-quality applicants, whereas, a haphazard and piecemeal effort will result

inm e d i o c r e o n e s . H i g h q u a l i t y e m p l o y e e s c a n n o t b e s e l e c t e d w h e n b e t t e r candidate s do not know of job openings, are not interested in working for the company and do not apply. The recruitment process should inform qualified individuals about employment opportunities, create a positive

image of the company, provide enough information about the jobs so that applicants canm a k e c o m p a r i s o n s w i t h t h e i r q u a l i f i c a t i o n s a n d i n t e r e s t s , a n d g e n e r a t e enthusiasm among the best candidates so that they will apply for the vacant positions. The negative consequences of a poor recruitment process speak volumes about its role in an organization. The failure to generate an adequate number of reasonably qualified applicants can prove costly in several ways. It

cang r e a t l y c o m p l i c a t e t h e s e l e c t i o n p r o c e s s a n d m a y r e s u lt in lowering of selection standards. The poor quality of s e l e c t i o n m e a n s e x t r a c o s t o n training and supervision.

Furthermore, when recruitment fails to meet the organizational needs for talent, a typical response is to raise entry-level

pays c a l e s . T h i s c a n d i s t o r t t r a d i t i o n a l w a g e a n d s a l a r y r e l a t i o n s h i p s i n t h e organization, resulting in avoidable consequences. Thus, the effectiveness of a recruitment process can play a major role in

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determining the resources that must be expended on other HR activities and their ultimate success.

SUB-SYSTEMS OF RECRUITMENT The recruitment process consists of the following four sub-functions:Finding out and developing the sources where the required number and kind of employees will be available. Developing suitable techniques to attract the desirable candidates.

RECRUITMENT POLICY RECRUITMENT Meritocracy will be a prime criterion, managers will scrupulously consider all factors that go towards securing the interests of the Company. ITC will focus on meritocracy, equity and upholding of Company values in all people processes including performance management systems, appraisals,

remuneration and rewards. A Gender Friendly Workplace As a good corporate citizen, ITC is committed to a gender friendly workplace. It seeks to enhance equal opportunities for men and women, prevent/stop/redress sexual harassment at the workplace and institute good employment practices. Sexual harassment includes unwelcome sexually determined behaviour such as: unwelcome physical contact; a demand or request for sexual favours;
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sexually coloured remarks; showing pornography and any other unwelcome physical, verbal or non-verbal conduct of a sexual nature. ITC maintains an open door for reportees; encourages employees to report any harassment concerns and is responsive to employee complaints about harassment or other unwelcome and offensive conduct

. RECRUITMENT SOURCES The sources of recruitment may be broadly divided into two categories: internal sources external sources

On receipt of the Manpower Requisition (MPR) form HR department will initiate action of sourcing the candidates as under:

INTERNAL SOURCES:

As a matter of policy, the organization will encourage to fill up the vacancies from within the existing people if they are fulfilling the criteria and found suitable.

In order to invite application from internal sources, notice/circular for all such vacancies will be put up on the notice board.

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In case any permanent employee dies in harness due to accident or any other reason, one depend son of deceased employee may be given preference in employment with the company subject to his fulfilling the eligibility criteria based on qualification and experience as well as suitable vacancy in the company at that time.

The conditions fulfilling the requirement may apply against internal notification to HR department through their department.

Other sources : Other sources can be tapped for recruitment only when suitable candidates are not available internally. Other sources may include the following: internal data bank local employment exchange advertisement through newspaper Placement agencies.

Methods Of Recruitment The following are the most commonly used method of recruiting people. 1. Internal Method 2. Direct Method 3. Indirect Method

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1. INTERNAL METHOD: PROMOTION AND TRANSFERS: ITC Prefer to fill vacancies through promotion or transfers from within wherever possible. Promotion involves movement of an employee from a lower level position to higher level position accompanied by changes in duties, responsibilities, status and value and value. It may lead to changes in duties and responsibility, working conditions, etc., but not necessarily salary. Internal promotions and transfers certainly allow people greater scope to experiment with their career, kindling ambitions and motivating them to take a shot at something they might otherwise never have considered. The system, of course, works best for young executives who are willing to take risks. JOB POSITION Job position is another way of hiring people from within. In this method, the organization publicizes job openings on bulletin boards, electronic media and similar outlets. Hindustan lever introduced its version open job position in early 2002 and over 40 positions have since been filed through the process. HLL even allows its employee to under take career shifts, for example from technical position system. EMPLOYEE REFERRALS Employee referral means using personal contacts to locate job opportunities. It is a recommendation from a current employee regarding a job applicant. The logic behind employee referral is that it takes one to
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know one employee working in the organization in this case, are encouraged to recommend the name of their friends working in other organization for a possible vacancy in the near future. In fact, this has

become a popular way of recruiting people in the highly competitive information technology industry now a day. Companies offer rich rewards also to employees whose recommendation are accepted after the routine screening and examining process is over- and job offers extended to the suggested candidates. Direct Method Campus Recruitment It is a method of recruiting by visiting and participating in college campuses and their placement centers . Here the recruiters visits reputed educational institutions such as IITs, IIMs colleges and universities with a view to pickup job aspirants having a requisite technical of professional skills. Job seekers are provided information about the jobs and the recruiters inturen get a snap shot of job seekers through constant interchange of information with respective institutions. A preliminary screening is done within the campus and the short listed students are then subjected to the reminder of the selection process. In view of the growing demand for young managers, most reputed organizations visit regularly and even sponsor certain popular activities with a view to earn goodwill in the job market.

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Advantage of this method include: the placement centre helps locate applicants and provides resumes to organization; applicants can be prescreened; applicants will not have to be lured away from a current job and lower salary expectation.

Indirect Method Advertisement This includes advertisement in news papers; trade, professionals and technical journals; radio and TV etc. In recent time this medium became just as colorful lively and imaginative as consumer advertising. The ad generally gives a brief outline of the job responsibilities, compensation package, prospects in the organization etc. This method is appropriate when (a) the organization intends to reach a large target group (b) the organization wants a fairly good no. of talented people who are geographically spread out

Head Hunters There is an influx of executive search agencies also known as head hunters who specialize in selection of professionals for very senior or top posts, where applicants are in short supply and employers have no time to go round in search of the best talents.
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MODULE4 SELECTION Introduction The size of the labor market, the image of the company, the place of posting, the nature of job, the compensation package and a host of other f a c t o r s i n f l u e n c e t h e m a n n e r o f a s p i r a n t s a r e l i k e l y t o r e s p o n d t o t h e recruiting efforts of the company. Through the process of recruitment the company tries to locate prospective employees and en

courages them toapply for vacancies at various levels. Recruiting, thus, provides a pool of applicants for selection.

Definition To select mean to choose. Selection is the proc e s s o f p i c k i n g individuals who have relevant qualifications to fill jobs in an organization. The basic purpose is to choose the individual who can most successfully perform the job from the pool of qualified candidates.

Purpose

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The purpose of selection is to pick up the most suitable candidate who would meet the requirements of the job in an organization best, to find out which job applicant will be successful, if hired. To meet this goal, the company obtains and assesses information about the applicants in terms of the of age, job are

qualifications, skills, experience, etc.

the needs

matched with the profile of candidates. The most suitable person is then picked

upafter eliminating the unsuitable applicants through successi ve stages ofs e l e c t i o n p r o c e s s . H o w w e l l a n e m p l o y e e i s m a t c h e d t o a j o b i s v e r y important because it is directly affects the amount and quality of employees work. Any mismatched in this regard can cost an organisation a great deal of money, time and trouble, especially, in terms of training and operating costs. In course of time, the employee may find the job distasteful and leave in frustration. He may even circu late hot news and juicy bits of negative information about the company, causing incalculable harm to the company in the long run. Effective election, therefore, demands constant monitoring of the fit between people the job

The Process Selection is usu ally a series of hurdles or steps. Each one must be successfully cleared before the applicant proceeds to the next one. The time and emphasis place on each step will definitely vary from one organization to another and indeed, from job to job
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within the same organization.

Thes e q u e n c e o f s t e p s m a y a l s o v a r y f r o m j o b t o j o b a n d o r g a n i s a t i o n t o organisation. For example some organizations may give more importance to testing while others give more emphasis to interviews and reference checks. Similarly a single brief selection interview might be enough for applicants for lower level positions, while applicants for managerial jobs might be interviewed by a number of people.

STEPS IN SELECTION PROCESS

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Reception A company is knownby thepeople it employs. In order to attract peoplewith talents, skills and experience a company has to create a favorable impression on the applicants right from the stage of reception. Whoever meets the applicant initially should be tactful and able to extend help in a friendly and courteous way. Employment possibilities must be presented honestly and

clearly. If no jobs are available at that point of time,

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t h e applicant may be asked to call back the personnel department after sometime.

1. Screening of Application :

All application received from various sources will be screened by the concerned department and HR based on the job description and specification and the applicant profile. Shorting of prima facile suitable candidates who should be called for test/interview shall be prepared. The ratio between the number of vacancy and the number of candidate to be called for test/interview should normally be 1:5.

2. Test:

Depending on the requirement of the job if required, management may conduct written/aptitude/psychometric/physical or any other test as deem fit. Short listed application will be send formal letter for appearing test at least 15 days in advance. Qualifying criteria for the test will be determined by the management depending on the nature and requirement of the job.

3.Interview All the candidates short listed for interview will be informed through a formal call letter for attending interview at least 15 days in advance. The candidate will be interview by the interview panel.
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3. FINAL SELECTIOM AND APPOINTMENT:

Recommendation of the interview panel will be put up before the MD by the HR Department for his approval. Candidates for the officer and above after interviewed by the panel will be finally interview by the MD. Selection of candidates will be strictly on the basis of merit. Other things being equal local candidate from state of Bihar will be given preference. Appointment letter will be issued to the finally selected candidates after duly approved by MD. However, in case appointment letter can initially be issued to the candidates and the detailed formal appointment letter can be issued at the time of joining. Before letter of appointment is issued to candidates HR department will ensure the following: 1. Check and verify all the personal details furnished by the candidates.

2. Verify the certificates and other credentials.

3. Make necessary reference/antecedents verifications whenever required.

4. Joining Formalities:

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(a) Employees joining shall first report in the HR department will facilitate in completing the joiningformalities such as filling of joining report and other necessary forms.

(b) HR department will ensure that the candidates will be allowed to join subject to their being found medically. PLACEMENT We offer 3 to 12 month placements to undergraduates across all business areas. Our placement students will be able to experience working for an international company in their chosen area of expertise. In addition to a competitive salary during your placement in the UK, youre eligible to apply for sponsorship from Tata Steel. This is a cash reward for performing to a high level during your placement and returning to the company in a graduate role. Our Placement program is, essentially, a way for us to identify possible graduate talent and for students to have the opportunity to gain relevant experience before entering the graduate market. Applications for the 2012 scheme close 17:00 on 06 January 2012.

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MODULE-- 5

Performance management:
ITC UNDER THECHANG. To focus on various components affecting the cost of steel. Included cost of raw materials cost of conversion, fuel rate in the blast furnace and mining of coal.

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Advised to use the most modern technologies to cut costs further. The second half of 1998, in association with McKinsey, ITC implemented TOP program at its G blast furnace. TOP - Maximum positive impact to the bottom-line, with minimum investment, required in minimum time. Aimed achieving large improvements in through put, quality and cost in the short term. In the long run, TOP was expected to enable the ITC to achieve high rates of performance improvement. Helped ITC to shift its focus from just producing volumes to costs and quality. Enabled ITC to improve customer satisfaction and loyalty. ITC also took steps to reduce its manpower costs. Between 1996 and 2000, ITC reduced its workforce from 78,000 to 40,000 employees. Cutting its workforce by 38,000 employees was not an easy job. Company was able to do it with a lot of communication with employees. ITC had adopted Perform ance Ethic Programmed (PEP). It planned to promote hardworking young people to higher positions depending on their performance, rather than following the convention of seniority. This exercise was expected to cut them amazement staff from 4000 to 3000. Two core elements
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Proposed a new organizational structure: expected to foster growth businesses, introduce more decision-making flexibility, clear

accountability, and encourage teamwork among the managers and the work force. Proposed to introduce a Performance Management System (PMS).

PERFORMANCE APPRAISAL

Performance appraisal assesses an individual's performance against previously agreed work objectives. Performance appraisal is normally carried out once a year.

They assess key result areas of their employees, workers and supervisors. Since it is a joint responsibility of the individual and the supervisor; every individual in ITC are co-prime to each other. It also enables management to compare performance and potential between employees and subordinates of the same rank. Rating of employees is done by their performances. It is given as per ranks very good, average, and average to medium and below average. On the basis of these rankings highest reward of the year is given to best suitable worker.

The better performing employee gets the majority of available merit pay increases, bonuses, and promotions.
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Objectives of pep It would identify and reward strong performers, and also offer development opportunities for each employee. PMS would also ensure that every employee's job profile was clearly defined. By introducing PMS, ITC wanted to make performance appraisals transparent and fair and reward the good performers. The company also planned to introduce a new compensation package based on performance from November 2003.

BENEFITS OF PEP Youngsters are getting higher salary than some of the seniors, and after the restructuring, the average age of the managers has fallen by 10 years. Through PEP, ITC also reduced the hierarchical levels from 13 to 5. In a bid to reduce costs further, ITC used IT as a strategic tool .After SAP solutions were introduced in ITC; the business processes became more efficient. It also improved customer service and productivity, and reduced costs. The introduction of SAP also decreased manpower cost from more than US $ 200 per ton in 1998 to about US $ 140 per ton in 2000.

The THREE componentsSelf-appraisal

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The work done Difficulties Major achievements Developmental needs Objective assessment Assessment of KRAs fulfillment Done against concrete goals Subjective assessment In what manner the work is done? Decision making Managerial capabilities/traits Transparent & open Rewards, annual increment for p r o m o t i o n , postings, job

rotation are linked with appraisals Feedback but tool for administrative decision making

Internal Customer Assessment ITC extended their feedback system. Evaluate to what extent one meets theexpectations of internal customers Provide peers with third set of data

Sample of appraisers Procedure: List of 15- 20 from a wide set of functions

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The HR dept. Work on appraisers & merge the list Again pick random sample each year of 10- 12 names

MODULE 8
INDUSTRIAL PEACE AND HORMONY

ITC defines Corporate Governance as a systemic process by which companies are directed and controlled to enhance their wealth generating capacity. Since large corporations employ vast quantum of societal resources, we believe that the governance process should ensure that these companies are managed in a manner that meets stakeholders aspirations and societal expectations

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CORE PRINCIPLES ITC's Corporate Governance initiative is based on two core principles. i. Management must have the executive freedom to drive the enterprise forward without undue restraints; ii. This freedom of management should be exercised within a framework of effective accountability.

Policy on Human Rights ITC believes that all its employees must live with social and economic dignity and freedom, regardless of nationality, gender, race, economic status or religion. In the management of its businesses and operations therefore, ITC ensures that it upholds the spirit of human rights as enshrined in existing international standards such as the Universal Declaration and the Fundamental Human Rights Conventions of the ILO.

Policy ITC upholds international human rights standards, does not condone human rights abuses, and creates and nurtures a working environment where human rights are respected without prejudice. Implementation The Corporate Human Resources function of ITC is responsible for the Human Rights Policy design, implementation and updation. The policy is implemented at all locations of ITC through a set of separate policies and procedures covering each of the main constituents of human rights applicable at the workplaces.
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Monitoring & Audit

The assessment procedures for different constituents of this policy are defined against each specific policy.

Consideration of Human Rights Impacts Across the Supply Chain

As a large and multi-product enterprise whose products are benchmarked nationally and internationally, ITC's main supply chains can be grouped as follows: 1. For all its operations, technology, machinery and equipment are sourced from reputed and globally benchmarked suppliers/vendors who are expected to follow internationally accepted norms and standards on human rights. 2. ITC's major businesses are vertically integrated across several Divisions. A substantial part of the supply chain is therefore internal through strategic backward linkages. Common values relating to human rights performance are shared across this supply chain. 3. Being a major agri-based company, the agriculture sector is a major supplier of inputs for its operations. The bulk of agricultural commodities are procured from state controlled trading platforms and the open market. 4. A very small proportion of ITC's business consists of supply chains comprising local vendors and suppliers. The policy framework for such entities is enunciated separately in 'Policy to Ensure Respect for Human Rights across the Supply Chain'.

Policy to Ensure Respect for Human Rights Policy across the Supply Chain
ITC provides products and services of superior quality and value by sourcing its technologies, equipment and inputs from reputed international and Indian manufacturers and suppliers. Common values, relating to human rights performance, are shared across

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the entire supply chain because ITC is committed to the importance of a socially responsible and accountable supply chain. Policy ITC nurtures an internal working environment which respects human rights without prejudice. Likewise, it expects its business partners to establish a human rights compliant business environment at the workplace. Implementation The responsibility for implementation of this policy rests with the Divisional Chief Executive of the concerned business and the Unit Manager. The policy is communicated internally through policy manuals and intranet portals, and externally by the HR personnel of concerned units to vendors/suppliers. Monitoring & Audit

ITC has established a policy intent for mapping/monitoring progress and performance of existing and potential vendors/suppliers on human rights performance.

Policy to Prevent Discrimination at Workplace

ITC acknowledges that every individual brings a different and unique set of perspectives and capabilities to the team. A discrimination-free workplace for employees provides the environment in which diverse talents can bloom and be nurtured. This is achieved by ensuring that a non-discrimination policy and practice is embedded across the Company in line with corporate principles and benchmarked business practices. Policy ITC's approach to its human resources is premised on the fundamental belief in fostering meritocracy in the organisation which, pari passu, promotes diversity and offers equality of opportunity to all employees. ITC does not engage in or support direct or indirect discrimination in recruitment, compensation, access to training, promotion, termination or retirement based on caste, religion, disability, gender, age, race, colour, ancestry,
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marital status or affiliation with a political, religious, or union organization or minority group. Implementation The policy is communicated to all employees through induction programmes, policy manuals and intranet portals. The custodian of this policy is the head of each operational unit and Divisional Chief Executives of the respective business. ITC's complaints resolution procedure is premised on the freedom of employees to approach higher officials beyond his/her immediate superior. For the unionised employees, compliance of the policy is ensured through a robust grievance handling procedure and the presence of a union that brings violations to the notice of the unit HR head. Monitoring & Auditing

The accountability for the application of the non-discrimination employment policy rests with the Unit Head who reviews anti-discriminatory complaints annually or on a case-by-case basis. The Corporate Human Resources function conducts non-discrimination reviews annually on a sample basis with unit heads and through on-site assessments.

Policy on Freedom of Association

ITC's culture is characterized by cooperative relationships and high employee involvement that relies on building partnerships and interdependence. Adhering to these principles has helped build, sustain and strengthen harmonious employee relations in the organisation.
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Policy ITC respects the employees' right to organize themselves into interest groups as initiatives of the workers, independent from supervision by the management. In keeping with the spirit of this Policy, employees are not discriminated against for exercising this right. Implementation The policy is comunicated to all employees through induction programmes, policy manuals and intranet portals. The custodian of this policy is the HR head of each operational unit who reports directly to Unit Head on such issues. The actualisation of this policy is evident from the joint agreements and minutes that are signed between the union and the management. Monitoring & Audit

Each ITC Unit has appropriate systems and checks to ensure compliance with the Policy and statutory provisions, including means for filing of grievances, collective bargaining agreements and minutes from worker meetings.

Compliance with the Policy is regularly monitored by Divisional and Corporate HR.

Policy Prohibiting Child Labour and Preventing Forced Labour from Workplace
The foundation of ITC's "No Child or Forced Labour policy" is based on the Company's commitment to find practical, meaningful and culturally appropriate responses to support the elimination of such labour practices. It thus endorses the need for appropriate initiatives to progressively eliminate these abuses. Policy ITC does not employ any person below the age of eighteen years in the workplace.
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ITC prohibits the use of forced or compulsory labour at all its units. No employee is made to work against his/her will or work as bonded/forced labour, or subject to corporal punishment or coercion of any type related to work. Implementation This policy is publicly available throughout the Company and clearly communicated to all employees in a manner in which it can be understood through induction programmes, policy manuals and intranet portals. The responsibility for the implementation of the policy rests with the Units HR Department and the security staff who do not permit underage persons to enter the factory as workers. Employment contracts and other records documenting all relevant details of the employees, including age, are maintained at all units and are open to verification by any authorized personnel or relevant statutory body. Compliance with the policy is evident in the transparent system of recruitment and the policy of exit interviews which are undertaken by a manager not directly connected with the employee. For the unionised employees, compliance is also ensured through a robust grievance handling procedure and the presence of a union that brings violations to the notice of the unit HR head. Monitoring & Audit

Sample checks of the records are undertaken annually by Corporate Human Resources function. Audit and assessment is undertaken annually by Corporate Internal Audit and the Environment, Occupation Health and Safety function.

Policy on Information and Consultation on Changes

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ITC's core values support an employee engagement process that aligns its employees with a shared vision and purpose of the Company in the belief that every individual brings a different perspective and capability to the team. ITC thus harnesses the creative potential of all its employees by promoting a culture of partnerships to unleash relevant synergies between different groups of employees. Policy All major changes in operations involving work processes, manning norms and other productivity linked issues are carried out after discussions with the employees and the recognized unions at each location. Implementation Business plans are shared with employees at all units through a series of formal communication meetings, and through the intranet portals. Unionised employees at the concerned units are informed of all major changes well in advance through their representatives. The responsibility for the implementation of the policy rests with the Unit's HR Department in the case of unionized employees and with the concerned Divisional Management Committees for other employees. The employees are given enough time to consider the implications of change and an opportunity to discuss their apprehensions, if any, with the management. The Policy is actualised through consultative meetings with representatives of employees, culminating in joint minutes/agreements. Monitoring & Auditing

Compliance with the Policy is regularly monitored by the Unit Head.

HIV/AIDS: Policy Guidelines

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Background ITC is committed to providing a safe and healthy work environment to all its employees. These policy guidelines on HIV/AIDS are an endorsement of this commitment and, in particular, of the Company's commitment to specific programmes and actions in response to the HIV epidemic. The Company's position is based on scientific and epidemiological evidence that people with HIV/AIDS do not pose a risk of transmission of the virus to co-workers by casual, non-sexual contact in the normal work setting. Policy Guidelines 1. Compliance The Company's policies on HIV/AIDS with regard to its employees will, at a minimum, comply with all relevant Central and State legislation and the Company will implement all policies and directions of the Government regarding HIV/AIDS whenever issued.

2. Prevention

through

Awareness

The Company will provide to all its employees sensitive, accurate and the latest information about risk reduction strategies in their personal lives, with the objectives of reducing the stigma of HIV/AIDS, encouraging safe behaviour and improving understanding of treatment.

3. Safe

and

Healthy

Workplace

The Company is committed to providing a safe and healthy workplace to all its employees. It is the Company's objective that employees will have access to health services to prevent and manage HIV/AIDS.

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4. Non-discrimination The Company will not discriminate against any employee infected by HIV/AIDS with regard to promotions, training and other privileges and benefits as applicable to all employees.

1. A HIV positive employee will be allowed to continue to work in his/her job unless

Medical conditions interfere with the specific job being done, in which case reasonable alternative working arrangements will be made; or

The employee is incapacitated to perform his/her duties and is declared medically unfit by a medical doctor, in which case the employee will be assisted to rehabilitate himself/herself outside the Company.

2. The Company will not make pre-employment HIV/AIDS screening mandatory as part of its fitness to work assessment. Screening of this kind refers to direct methods (HIV testing), indirect methods (assessment of risk behaviour), and questions about HIV tests already taken.

3. HIV/AIDS test will not be part of the annual health check-ups unless specifically requested for by an employee.

5. Confidentiality Voluntary testing for HIV/AIDS when requested for by the employee, will be carried out
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by private or community health services and not at the workplace.

There will no obligation on the part of the employees to inform the Company about their clinical status in relation to HIV/AIDS.

Information on clinical diagnosis of an employees' status in terms of his/her HIV/AIDS status if advised to the Company, will be kept strictly confidential.

ITC believes that any meaningful policy on Corporate Governance must provide empowerment to the executive management of the Company, and simultaneously create a mechanism of checks and balances which ensures that the decision making powers vested in the executive management is not only not misused, but is used with care and responsibility to meet stakeholder aspirations and societal expectations. Cornerstones From the above definition and core principles of Corporate Governance emerge the cornerstones of ITC's governance philosophy, namely trusteeship, transparency, empowerment and accountability, control and ethical corporate citizenship. ITC believes that the practice of each of these leads to the creation of the right corporate culture in which the company is managed in a manner that fulfls the purpose of Corporate Governance. Trusteeship : ITC believes that large corporations like itself have both a social and economic purpose. They represent a coalition of interests, namely those of the shareholders, other providers of capital, business associates and employees. This belief therefore casts a responsibility of trusteeship on the Company's Board of Directors. They are to act as trustees to protect and enhance shareholder value, as well as to ensure that the Company fulfils its obligations and responsibilities to its other stakeholders. Inherent in the concept of trusteeship is the responsibility to

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ensure equity, namely, that the rights of all shareholders, large or small, are protected. Transparency : ITC believes that transparency means explaining Company's policies and actions to those to whom it has responsibilities. Therefore transparency must lead to maximum appropriate disclosures without jeopardising the Company's strategic interests. Internally, transparency means openness in Company's relationship with its employees, as well as the conduct of its business in a manner that will bear scrutiny. We believe transparency enhances accountability. Empowerment and Accountability : Empowerment is an essential concomitant of ITC's first core principle of governance that management must have the freedom to drive the enterprise forward. ITC believes that empowerment is a process of actualising the potential of its employees. Empowerment unleashes creativity and innovation throughout the organisation by truly

vesting decision- making powers at the most appropriate levels in the organisational hierarchy. ITC believes that the Board of Directors are accountable to the shareholders, and the management is accountable to the Board of Directors. We believe that empowerment, combined with accountability, provides an impetus to performance and improves effectiveness, thereby enhancing shareholder value. Control : ITC believes that control is a necessary concomitant of its second core principle of governance that the freedom of management should be exercised within a framework of appropriate checks and balances. Control should prevent misuse of power, facilitate timely management response to change, and ensure that business risks are pre-emptively and effectively managed. Ethical Corporate Citizenship : ITC believes that corporations like itself have a responsibility to set exemplary standards of ethical behaviour, both internally within the organisation, as well as in their external relationships. We believe that unethical behaviour corrupts organisational culture and undermines stakeholder value. ITC
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Ltd. Policy on Human Rights ITC believes that all its employees must live with social and economic dignity and freedom, regardless of nationality, gender, race, economic status or religion. In the management of its businesses and operations therefore, ITC ensures that it upholds the spirit of human rights as enshrined in existing international standards such as the Universal Declaration and the Fundamental Human Rights Conventions of the ILO. Policy ITC upholds international human rights standards, does not condone human rights abuses, and creates and nurtures a working environment where human rights are respected without prejudice. Implementation The Corporate Human Resources function of ITC is responsible for the Human Rights Policy design, implementation and updation.The policy is implemented at all locations of ITC through a set of separate policies and procedures covering each of the main constituents of human rights applicable at the workplaces. Monitoring&Audit The assessment procedures for different constituents of

this policy are defined against each specific policy. Consideration of Human Rights Impacts Across the Supply Chain As a large and multi-product enterprise whose products are benchmarked nationally and internationally, ITC's main supply chains can be grouped as follows: 1. For all its operations, technology, machinery and equipment are sourced from reputed and globally benchmarked suppliers/vendors who are expected to follow internationally accepted norms and standards on human rights. 2. ITC's major businesses are vertically integrated across several Divisions. A substantial part of the supply chain is therefore internal through strategic backward linkages. Common values relating to human rights performance are shared across this supply chain. 3. Being a major agri-based company, the agriculture sector is a major supplier of inputs for its operations. The bulk of agricultural commodities are procured from state controlled trading platforms and the open market. A very small proportion of
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ITC's business consists of supply chains comprising local vendors and suppliers. The policy framework for such entities is enunciated separately in 'Policy to Ensure Respect for Human Rights across the Supply Chain'. Policy to Prevent Discrimination at Workplace ITC acknowledges that every individual brings a different and unique set of perspectives and capabilities to the team. A discrimination-free workplace for employees provides the environment in which diverse talents can bloom and be nurtured. This is achieved by ensuring that a nondiscrimination policy and practice is embedded across the Company in line with corporate principles and benchmarked business practices. Policy ITC's approach to its human resources is premised on the fundamental belief in fostering meritocracy in the organisation which, pari passu, promotes diversity and offers equality of opportunity to all employees. ITC does not engage in or support direct or indirect discrimination in recruitment, compensation, access to training, promotion, termination or retirement based on caste, religion, disability, gender, age, race, colour, ancestry, marital status or affiliation with a political, religious, or union organization or minority group. Implementation The policy is communicated to all employees through

induction programmes, policy manuals and intranet portals. The custodian of this policy is the head of each operational unit and Divisional Chief Executives of the respective business. ITC's complaints resolution procedure is premised on the freedom of employees to approach higher officials beyond his/her immediate superior. For the unionised employees, compliance of the policy is ensured through a robust grievance handling procedure and the presence of a union that brings violations to the notice of the unit HR head. Monitoring&Auditing The accountability for the application of the non-discrimination employment policy rests with the Unit Head who reviews anti-discriminatory complaints annually or on a case-by- case basis. The Corporate Human Resources function conducts nondiscrimination reviews annually on a sample basis with unit heads and through onsite assessments ITC's Core Values are aimed at developing a customer-focused,
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high- performance organisation which creates value for all its stakeholders: Trusteeship As professional managers, we are conscious that ITC has been given to us in "trust" by all our stakeholders. We will actualise stakeholder value and interest on a long term sustainable basis.

The foundation of ITC's "No Child or Forced Labour policy" is based on the

Company's commitment to find practical, meaningful and culturally appropriate responses to support the elimination of such labour practices. It thus endorses the need for appropriate initiatives to progressively eliminate these abuses. Policy ITC does not employ any person below the age of eighteen years in the workplace. ITC prohibits the use of forced or compulsory labour at all its units. No employee is made to work against his/her will or work as bonded/forced labour, or subject to corporal punishment or coercion of any type related to work. Implementation This policy is publicly available throughout the Company and clearly communicated to all employees in a manner in which it can be understood through induction programmes, policy manuals and intranet portals. The responsibility for the implementation of the policy rests with the Units HR Department and the security staff who do not permit underage persons to enter the factory as workers. Employment contracts and other records documenting all relevant details of the employees, including age, are maintained at all units and are open to verification by any authorized personnel or relevant statutory body. Compliance with the policy is evident in the transparent system of recruitment and the policy of exit interviews which are undertaken by a manager not directly connected with the employee. For the unionised employees, compliance is also ensured through a robust grievance handling procedure and the presence of a union that brings violations to the notice of the unit HR head. Monitoring & Audit Sample checks of the records are undertaken annually by Corporate Human Resources function. Audit and assessment is

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undertaken annually by Corporate Internal Audit and the Environment, Occupation Health and Safety function. Policy on Information and Consultation on Changes ITC's core values support an employee engagement process that aligns its

employees with a shared vision and purpose of the Company in the belief that every individual brings a different perspective and capability to the team. ITC thus harnesses the creative potential of all its employees by promoting a culture of partnerships to unleash relevant synergies between different groups of employees. Policy All major changes in operations involving work processes, manning norms and other productivity linked issues are carried out after discussions with the employees and the recognized unions at each location. Implementation Business plans are shared with employees at all units through a series of formal communication meetings, and through the intranet portals. Unionised employees at the concerned units are informed of all major changes well in advance through their representatives. The responsibility for the implementation of the policy rests with the Unit's HR Department in the case of unionized employees and with the concerned Divisional Management Committees for other employees. The employees are given enough time to consider the implications of change and an opportunity to discuss their apprehensions, if any, with the management. The Policy is actualised through consultative meetings with representatives of employees, culminating in joint minutes/agreements. Monitoring & Auditing Compliance with the Policy is regularly monitored by the Unit Head.

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