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1
S.V Institute of Management, Kadi
INDEX
S.NO.
Particulars
PAGE
NO.
I. TITLE PAGE
II. PREFACE
III. ACKNOWLEDGEMENT
IV. EXECUTIVE SUMMARY
1 CORPORATE PROFILE 1
2 INTRODUCTION OF THE ONGC 3
2.1 Vision & Mission 6
2.2 Objective of Company 6
2.3 Organizational set of ONGC 7
2.4 Ahmedabad Asset 8
2.5 Management 10
2.6 Financial Management 12
2.7 HR Management 14
2.8 List of Allowances & Benefits 17
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3 HISTORY 19
4 RECOGNITION & AWARDS 23
5 SWOT ANALYSIS 26
6 LITERATURE REVIEW 28
7 INTRODUCTION OF TOPIC 31
7.1 Concept of Motivation 32
7.2 Definition of Motivation 32
7.3 Theories of Motivation 35
7.4 Definition & need for Incentives 39
8 RESEARCH METHODOLOGY 41
9 DATA INTERPRETATION 44
10 FINDINGS & LIMITATION 59
11 BIBLOGRAPHY 62
12 ANNEXURE 63
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SUMMER TRAINING PROJECT REPORT ON
“ Linkage of incentive & benefits schemes with Employee Motivation AT ONGC “
(Ahmedabad Asset)
Under the Guidance of
Mr Prabhakar Kumar
Submitted by:
Shefali G Banodiya
S.V.Institute of Managemant,Kadi
Academic Year
2009-2011
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S.V Institute of Management, Kadi
PREFACE
The project is done on the Gujarat Forward base at Ahmedabad. I have done work on the
incentive & benefits schemes of Ahmedabad branch of ONGC. Firstly I got information
about the economic position of the ONGC, then about the industry, then Ahmedabad branch
after that I have done at incentive scheme in ONGC, Ahmedabad.
Incentive Scheme in ONGC has been in existence since late 62‟s and with the passage of time
has under gone number of reviews. Keeping the present business scenario in focus ONGC
management have realized that scheme has not able to achieve the desired objectives as
intended in the scheme.
The main purpose of the scheme is to motivate the employees to achieve the target set by the
Organization. As organization face mounting competition across the world. Companies can‟t
sustain or even survive in such a relentless environment without attempting to accurately
assesses and enhance employee productivity and development.
In view of the above an attempt has been made to compile the details of all incentive schemes
in reference to employee working at ONGC. A need is therefore strongly realized for
compilation that has been titled as “Linkage of incentives & benefits schemes with employees
motivation at ONGC (A‟bad)”
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ACKNOWLEDGEMENT
I feel privileged to express my deep gratitude to all the executives and O.N.G.C. staff
members of Ahmedabad for guiding us during my summer training.
I am deeply indebted to Mr. Prabhakar Kumar under whose supervision I completed my
summer training report ONGC.
I would also like to thank to all the HR department staff for their accommodating nature and
their exposure and invaluable guidance throughout my project and with whom I discussed all
the various issues related to the study. In spite of being busy with their routine work they
spent quality time with me and never hesitated to cooperate and help me out with my
problems as and when required.
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EXECUTIVE SUMMARY
As the education of future managers would be incomplete without exposure to
working in an organization a summer training assignment is as essential requirement
for first year of MBA course.
The training report concerns the welfare schemes at ONGC with various
recommendations to make effective specially through looking at employees‟ satisfaction
level.
The study was carried out in Ahmedabad office. Accordingly the training was
concluded (on 31st of May 2010) with recommendations to ONGC as regards certain
measures, which can be considered to have better satisfied executives contributing their
best for achieving organizational goals.
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1
Corporate Profile
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Oil & Natural Gas Corporation Limited properly known as ONGC , republic India‟s number
one company with significant company in industrial and economic growth of the country is a
leading National Oil and Natural Gas producing company of India engaged mainly in
exploration ,development and production of crude oil, Naturals gas and some value added
products. It has gone through its life cycle and now reached to its maturity stage after
overcoming birth & growth stage .The organization was born over about five decades ago on
14th August 1956 ND today ONGC is a fortune 500 company having more than 35000
employees as on date working in different in India and abroad. The modest corporate house
within serene Himalayan setting at Dehradun and Registered office at Delhi.
ONGC has grown into a full fledge horizontally integrated upstream petroleum
company with adequate in house capabilities and infrastructure in the entire range of oil and
gas exploration and production activities and related oil fields engineering services .From a
small directorate to a monolith today ONGC is circumpassing the entire public gamut of
public sector organization. ONGC today is endeavoring to become a world –class oil and gas
producing company in pursuit of exploration and production business in the domestic and
international area and related opportunity specific energy business.
ONGC today is repositioning itself to fasten the principle of relational enterprise
through partnership strategic alliances joint ventures with preferred partners and adopt a
business strategy which relies on company skills and positional assets with focus on core
business areas and opportunity specific diversification.
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2
Introduction of ONGC1
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ONGC Group of Companies comprises of Oil and Natural Gas Corporation Limited
(ONGC - The Parent Company); ONGC Vides Limited (OVL – a wholly owned
subsidiary of ONGC); ONGC Nile Ganga BV (ONG BV - a wholly owned subsidiary
of OVL) and Mangalore Refinery and Petrochemicals Limited (MRPL - a subsidiary of
ONGC). Oil and Natural Gas Corporation Limited (ONGC) is India's Most Valuable
Company, having a market share of above 80% in India's Crude Oil and Natural Gas
Exploration and Production. ONGC registered the highest profit among all Indian
companies at US $ 1.92 billion (Rs. 8664.4 Crore) in the year 2003-04. Its production
of Crude Oil in 2003-04 was 26.7 MMT and of Natural Gas 25.70 Billion Cubic
Meters. ONGC also produce Value-Added Products (VAP) like C2-C3; LPG; Naphtha
and SKO.
ONGC Vides Limited (OVL) is overseas arm of ONGC, engaged in Exploration &
Production Activities. It trans-nationally operates E&P Business in 10 countries,
making ONGC the biggest Indian Multinational Corporation. In recent years, it has
laid footholds in hydrocarbon acreage in various countries including Ivory Cost and
Australia. ONGC Nile Ganga BV is a wholly owned subsidiary of OVL and has equity
in producing field in Sudan.
ONGC envisages organizing Import/International Sale of Crude Oil and Export of
Petroleum Products through Tendering Procedure for all the Group Companies.
However, it would be restricted to the Companies/ Firms/ Vendors registered with
ONGC on its approved Vendor Lists.
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ONGC OFFICES ALL OVER INDIA
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2.1 VISION & MISSION OF ONGC
To be world class Oil & Gas Company Integrated in energy business with
Dominant Indian leadership and global presence.
World Class
Dedicated to excellence by leveraging competitive advantages in R&D and technology
with involved people.
Imbibe high standards of business ethics and organizational values.
Abiding commitment to health, safety and environment toenrich quality of
Community life
Foster a culture of trust, openness and mutual concern to make working a
Stimulating & challenging experience for our people.
Strive for customer delight through quality products and services.
Integrated in Energy Business
Focus on domestic and international oil & gas exploration and production business
opportunities.
Providing value linkages in other sectors of energy business.
Creating growth opportunities and maximize shareholder value.
Dominant Indian Leadership
Retain dominant position in Indian Petroleum sector and enhance India's energy
availability.
2.2 OBJECTIVES OF THE COMPANY
To maximize production of hydrocarbon, self reliance in technology, promoting indigenous
efforts to achieve self reliance in technology, promoting indigenous efforts to achieve in all
related equipment, material and services.
Assist in conservation of oil, more efficient use energy and development of
alternate source of energy.
Environmental protection & Observe 100% safety in work.
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DIFFERENT WORKING CONDITION
Employee are working in different set-ups; at the drill sites where days ON/OFF
pattern is prevalent and the officers and staff 8 hours duty at base office where apart from
normal office hours some services like radio communication etc. are round the clock jobs .
The work force is approximately 200 with about 135 Officers and Remaining Staff.
2.3 ORGANIZATIONAL SET OF ONGC
From staff strength of 450 employees in the year 1956-57 ONGC staff from grown
up to 35000 at present.
There are about 15 broad disciplines under four main heading of
Engineering Services
Drilling Services
Geophysical services and
Administration and other support services.
Up to 1968, there was rapid advancement of individuals due to considerable
expansion of work . Thereafter, some stagnation took place in the career advancement of the
employees.
GLOBALIZATION
ONGC operations are being internationalized with a view to acquiring exploration
acreage and access to oil in other basics world over in line with the over strategy followed by
international oil companies .ONGC Videsh Limited .a subsidiary of ONGC , is managing the
overseas ventures.
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2.4
Msl;smxxl;as;x A BRIEF ABOUT AHMEDABAD ASSET
Ahmedabad was founded by Sultan Ahmed Shah on the banks of River Sabarmati in 1411
A.D. Sultan Ahmed Shah graced his kingdom with splendid monuments, mosques,
pavilions and mausoleums, marking the beginning of the Indo-Saracenic style of
architecture. Modern day Ahmedabad, the capital of the State of Gujarat is the largest city
and a leading industrial centre in Gujarat . It is also the sixth largest in. But Ahmedabad
has a lot more to offer visitors.
Popularly known as the Manchester of the East, Ahmedabad boasts of the largest denim
production in the world. It is also home to several interesting museums. Many of
Ahmedabad's buildings bear the signatures of world-renowned architects like Le
Corbusier, Louis Khan , Doshi and Correa.
It is from the austere habitat of Sabarmati at Ahmedabad, that the 'Father of the Nation' -
Mahatma Gandhi took on the mighty British Empire , and gave human race one of its
most remarkable ways to fight with non-violence.
Ahmedabad Asset is one of the main onshore asset of ONGC. Its fields are located
alomost 70 Km radius of Ahmedabad. Ahmedabad Asset has a employee strength of
almost 2700. Current Executive Director - Asset Manager of Ahmedabad Asset is Sri Anil
Johari
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Organization Structure of Ahmedabad Asset
AHMEDABAD ASSET
ASSET
SURFACE TEAMSUB-SURFACE
TEAMSUPPORT
SEC
URITY & FIRE
TA & QA
Mtrl. Mgmt.
LOGISTICS INFOCOM
FINANCE HR / ER
SERVICES
WELL SERVICES
WELL
TESTINGWORKOVER
WELL STIMULATED
SERVICES
DRILLING
DRILLING MUD SERVICES
CEMENT-ING SERVICES
ENGINEERING SERVICES
Eng. & Cons. WORKSHOP
Const. & Maint.
LOGGING SERVICE
FBM
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2.5 MANAGEMENT
The business of ONGC is managed by the Board of Directors, who formulate the strategy,
regularly review the performance and ensure that the Corporation achieves its vision,
mission, objectives and goals consistently. The Chairman & Managing Director, along with
the Executive Directors, manages the day-to-day affairs of the Corporation.
Currently the Board of directors consists of:
BOARD OF DIRECTORS
R.S. Shrama :- Chairman & managing director
Dr. A.K. Balyan :- Director (Human Resource)
A.K.Hazarika :- Director (Onshore)
Sudhir Vasudeva :- Director (offshore)
D.K.Pande :- Director (exploration)
U.N.Bose :- Director (T&FS)
D.K.Sarraf :- Director(Finance)
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Organizational Structure of ONGC
C & MD
Company Secretaries,
Corporate Affairs, Chief
Vigilance officers
MD, ONGC
Videsh Ltd.
Director
Technical &
Field Services
...To be filled..Director
Finance
Director
Onshore
Director
Offshore
Director
ExplorationDirector HR
Bassein &
Satellite
Mumbai High
Heera &
Neelam
Supply Bases
Uran Plant
Hazira Plant
Offshore
PSC - JV
Ahmedabad
Ankleshwar
Assam
Rajahmundry
(KG)
Tripura
Western
Offshore
Western
Onshore
Assam &
Assam-
Arakan
Cauvery
KG-PGRegional
Labs
IRS
Geophysical
Services
CBMMBP
Exploration
Directorate
EX COM
HRD
Functional
HR
Planing
Employee
Relations
ONGC
Academy
Security
Legal
Medical
Corporate
Comm
Chief Drilling
Services
Drilling
Cementin
g
Mud
Chief Well
Services
Workover
WSS
Well
completio
n &
Drilling
Chief Logging
IDT
IOGPT
IEOT
Exploration &
Development
Technology
Internal AuditChief Drilling
Services
Commercial
Performance
Management
&
Benchmarkin
g
Chief Infocom
Chief
Planning,
Projects &
Capital
Budget
Chief MM
Chief BD, JV
& Marketing
Chief SHE
IPSEM
Head
Regional
Office
Chief
Engineering
Chief EM,
Technical
Audit & QA
GEOPIC
Regional
Geophysi
cal
Services
Maintena
nce
Design
Works
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2.6 Financial Management2
ONGC Performance Graphs
Here, in 2009-2010 the company’s net profit is highest compare to other year.It should
be increased 7 billion more this year.
Here, EPS is more compare to previous year. In 2006 it was higher by 98.
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Here, This year contribution to exchequer should be 281 billion. Compare to previous year it
was increase by 1 billion this year.
Here, this year physical performance of crude oil was 22.33 & Natural gas performance was
20.60. The production level is greater than previous year.
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2.7 HR Management3
HR AT ONGC
PEOPLE AT ONGC
Today, ONGC is the navratna company of India; and making this possible is a
dedicated team of nearly 35,000-40,000 professionals who toil round the clock .It is this toil,
which amply reflects in the performance figures and aspirations of ONGC. The company has
adapted progressive policies in scientific planning, acquisition, utilization, training and
motivation of the team. At ONGC everybody matters, every soul counts.
ONGC has a unique distinction of being company with in house service capabilities
in all he activity areas of exploration and production of oil & gas and related oil field services.
Company has adapted progressive policies in scientific
The men & women behind this machine made this possible. Over 18,000
experienced and technically competent executives mostly scientists and engineers from
distinguished Universities /Institutions of India and abroad from the core of our manpower.
They include geologists, geophysicists, geochemists, drilling engineers, reservoir engineers
,petroleum engineers ,production engineers ,engineering & technical service providers
,financial and human resource experts IT professionals and so on.
Behind the excellent results achieved is a work force of 35000 strong belonging to
various discipline of the company actively in the persistent search of oil and infuse with a new
–ethos and productive work culture. The Company is aware that its success is mainly due to
its greatest assets –its people a multifaceted, multidisciplinary group with complete n- house
capabilities for all activities in the industry. To meet the requirement of manpower, revised
manpower norms for operation of drilling rigs have been approved and implemented
.Exercise for other operational utilization of existing human resource special need based
studies are being carried out region-wise.
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To meet the challenges of the future ONGC has to diversify its activities with zero
manpower growth. Attempts have been made to form out the low technology jobs. A major
thrust is being given to the introduction of multi-craft manning. This will result in job
enrichment.
HR VISION, MISSION AND OBJECTIVE
Integrating Employees towards Organization Goals
HR Vision
“To attain organizational excellence by developing and inspiring the true potential of
company‟s human capital and providing opportunities for growth, well being and enrichment.
HR Mission
“To create a value and knowledge based organization by inculcating a culture of
learning, innovation and team working and aligning business priorities with aspiration of
employees leading to a development of an empowered, responsive and
competent human capital.”
HR Objectives
To develop and sustain core values.
To develop business leaders for tomorrow.
To provide job contentment through empowerment, accountability and
Responsibility.
To build and upgrade competencies through virtual learning, opportunities for
Growth and providing challenges in the job.
To foster a climate of creativity, innovation and enthusiasm.
To enhance the quality of life of employees and their family.
To inculcate higher understanding of „Service‟ to a greater cause.
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HR Strategy
To meet challenging demands of the business environment ,focus of the HR strategy is
on change of the employees „ mind set‟.
Building quality culture and resources.
Re-engineering and redeployment for maximizing utilization of HR potential .
To build and upgrade competencies through virtual learning, opportunities for growth
and providing challenges in the job.
Re-strengthening mutual faith, trust and respect.
Inculcating a spirit of learning & enjoying challenges.
Role of HR
Alignment of HR vision with corporate vision.
Shift from support group to strategic partner in business operations.
HR as a change agent.
Enhance productivity and performance by developing employee competency and
potential.
Developing professional attitude and approach.
Developing „Global Managers „ for tomorrow to ensure the role of global players.
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2.8 List of Allowances & Benefits given by company are as follows4 :-
ALLOWANCES
House Rent Allowance
House Rent Recovery
Leased Accommodation
Self Leased Facility
Maintenance Charges for Lease/Self Lease
Drilling Allowance
Hard Duty Allowance
Offshore Compensation Allowance
Additional Offshore Compensation Allowance
Operational Allowance
Shift Allowance
Food Compensatory Allowance
Additional Cash Allowance (Nourishment Allowance)
North Eastern Allowance
Remote Locality Allowance
Tribal Area Allowance
Hill Compensatory Allowance
Karaikal Special Compensatory Allowance
Charge Allowance
Professional Pursuit Allowance
Overtime Allowance
Job Linked Allowance
Kit Maintenance Allowance
Washing Allowance
Productivity Allowance
Special Allowance to Fire Staff
TRAVELLING ALLOWANCE
Entitlement
Local Travel Charges on Tour
Daily Allowance
Transfer TA
Payment of TA on First Appointment
Reimbursement of Taxi Hire Charges to Inspection Staff
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WELFARE
Leave Fare Assistance
Travel by Private Taxi in Hilly Areas
Holiday Home Facility
Education Facilities: o Central School o Children‟s Education Allowance o Merit Scholarship o Journey Fare o Special Award Scheme o Hostel Subsidy o Transport Subsidy o Reimbursement of Admission Fee
ONGC Scholarship to SC/ST Students
Medical Facilities
Reimbursement of cost of Spectacles/Contact Lenses
Laser Treatment for Myopia
Reimbursement of cost of Dark Glasses/Goggles for Visually Handicapped Employees
Reimbursement of cost of Hearing Aid
Treatment for Infertility
Medical facilities to Retired Employees
Composite Social Security Scheme
Compensation for accident while on duty
Financial Assistance for death/permanent disablement due to accident while on duty/H2S
exposure
Financial Assistance for death/permanent disablement due to accident while on duty in
operational areas (for casual/contingent workers/term based employees/para-medical staff
directly engaged by ONGC)
Mementos to Retired Employees
Ex-gratia Scheme for pre-1959 employees
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3
History5
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(1) 1947-1960
During the pre-independence period, the Assam Oil Company in the northeastern
and attack oil company in northwestern part of the undivided India were the only oil
companies producing oil in the country, with minimal exploration input. The major
part of Indian sedimentary basins was deemed to be unfit for development of oil and
gas resources.
After independence, the national Government realized the importance oil and gas for
rapid industrial development and its strategic role in defense. Consequently, while
framing the Industrial Policy Statement of 1948, the development of petroleum
industry in the country was considered to be of utmost necessity.
Until 1955, private oil companies mainly carried out exploration of hydrocarbon
resources of India. In Assam, the Assam Oil Company was producing oil at Digboi
(discovered in 1889) and the Oil India Ltd. (a 50% joint venture between
Government of India and Burmah Oil Company) was engaged in developing two
newly discovered large fields Naharkatiya and Moran in Assam. In West Bengal, the
Indo-Stanvac petroleum project(a joint venture between government of India and
Standard Vacuum Oil Company of USA) was engaged in exploration work. The vast
sedimentary tract in other parts of India and adjoining offshore remained largely
unexplored.
In 1955,Government of India decided to develop the oil and natural gas resources in
the various regions of the country as part of the Public sector development. With this
objective, an Oil and Natural Gas Directorate was set up towards the end of 1955, as
a subordinate office under the Ministry of Natural Resources and scientific Research.
The department was constituted with a nucleus of geoscientists from the Geological
survey of India.
A delegation under the leadership of Mr. K. D Malviya, the then Minister of Natural
Resources, visited several European countries to study the status of oil industry in
those countries and to facilitate the training of Indian professionals for exploring
potential oil and gas reserves. Foreign experts from USA, West germany, Romania
and erstwhile U.S.S.R visited India and helped the government with their expertise.
Finally, the visiting Soviet experts drew up a detailed plan for geological and
geophysical surveys and drilling operations to be carried out in the 2nd Five year Plan
(1956-57 to 1960-61).
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Soon, after the formation of the Oil and Natural Gas Directorate, it became apparent
that it would not be possible for the Directorate with its limited financial and
administrative powers as subordinate office of the government, to function
efficiently. So in August, 1956, the Directorate was raised to the status of a
commission with enhanced powers, although it continued to be under the
government. In October 1959, the Commision was converted into a statutory body
by an act of the Indian Parliament, which enhanced powers of the commission
further. The main functions of the Oil and Natural Gas Commision subject to the
provisions of the Act, were “to plan, promote, organize and implement programmes
for development of Petroleum Resources and the production and sale of petroleum
and petroleum products produced by it, and to perform such other functions as the
Central Government may, from time, assign to it”. The act further outlined the
activities and steps to be taken by ONGC in fulfilling its mandate.
(2) 1961-1990
Since its inception, ONGC has been instrumental in transforming the country‟s
limited upstream sector into a large viable playing field, with its activities spread
throughout India and significantly in overseas territories. In the inland areas, ONGC
not only found new resources in Assam but also established new oil province in
Cambay basin (Gujarat), while adding new petroliferous areas in the Assam-Arakan
Fold Belt and East coast basins (both inland and offshore).
ONGC went offshore in early 70‟s and discovered a gaint oil field in the form of
Bombay High, now known as Mumbai High. This discovery, along with subsequent
discoveries of huge oil and gas fields in Western offshore changed the oil scenario of
the country. Subsequently, over 5 billion tones of hydrocarbons, which were present
in the country, were present in the country, were discovered. The most important
contribution of ONGC, however, is its self-reliance and development of core
competence in E&P activities at a globally competitive level.
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(3) After 1990
The liberalized economic policy, adopted by the Government of India in July 1991,
sought to deregulate and de-license the core sectors(including petroleum sector) with
partial disinvestments of government equity in Public Sector Undertakings and other
measures. As a consequence thereof, ONGC was re-organized as a limited company
under the Company‟s Act, 1956 in February 1994.
After the conversion of business of the erstwhile Oil & Natural Gas Commission to
that of Oil & Natural Gas Corporation Limited in 1993, the Government disinvested
2 per cent of its shares through competitive bidding. Subsequently, ONGC expanded
its equity by another 2 per cent by offering shares to its employees.
During March 1999, ONGC, Indian Oil Corporation (IOC)- a downstream giant and
Gas Authority of India Limited(GAIL)- the only gas marketing company, agreed to
have cross holding in each other‟s stock. This paved the way for long-term strategic
alliances both for the domestic and overseas business opportunities in the energy
value chain, amongst themselves. Consequent to this the Government sold off 10 per
cent of its share holding in ONGC to IOC and 2.5 per cent to GAIL. With this, the
Government holding in ONGC came down to 84.11 per cent.
In this year 2002-03, after taking over MRPL from the A V Birla Group diversified
into the downstream sector. ONGC will soon be entering into the retailing business.
ONGC has also entered the global field through its subsidiary, ONGC Videsh
Ltd(OVL). ONGC has made major investments in Vietnam, Sakhlin and Sudan and
earned its first hydrocarbon revenue from its investment in Vietnam.
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4
Recognition
And
Awards
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Global ranking/Recognition
Ranking 402nd in the Fortune Global 500 list for 2006, up from 454th last
year , based on revenues; ONGC is ranked 115th in new list (based on
profits ). Leading all Indian corporate
Topped the list of sensex Indian companies figured in Business Weeks first
annual ranking of Asia‟s 50 best-performing listed companies drawn from a
list of 625 Asian firms, ONGC was ranked „third‟ among the 50 best Asian
firms.
Ranked 158th amongst the world‟s largest companies as per market
capitalization on 31st March 2006 in the 10th annual Financial Times Global
listing.
Leads the list of Indian corporate titans, in the Forbes Global 2000, with
256th ranking in list of 2000 business entities (including 33indian firms) based
on sales, profits Assets and Market Valuation.
Sole Indian entry into the UNCTAD‟s top 50, non financial Transnational
Corporations from developing countries ranked by foreign assets.
Ranked 18th amongst 50 publicly traded global companies in oil &Gas
industry based on market capitalization and 15thy amongst 2 listed integrated
Oil & Gas companies.
Conferred the Golden Peacock Award for the „Corporate Governance‟
during the International Conference on Corporate Governance.
Indian Ranking/Recognition
Bagged the prestigious NDTV Profits Business Leadership Award in the Oil
& Gas category.
Topped the Business Today list of Most Valuable companies in India for the
second year in a row. In the ranking, ONGC topped all the three categories
viz. Market Capitalization, Net Profit and Net Worth.
Topped Business India‟s 100 listed of Indian companies ,based on a
weighted average of several parameters, including Market Capitalization,
Profit After Tax(PA), Net Fixed and Net Sales.
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Ranked 11th in the Economic Times 500 Ranking with the highest Market
Capitalization, and Net Profit k, mainly due to lower P/E ratio and Return
on Net Worth.
Ranked as the Most Respected Company in the PSU category in the 2006
Business World Survey released n Business World Magazine (June 2006).
Brand Logos
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5
Swot
Analysis
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1. STRENGTHS
A) O.N.G.C LTD is perceived to be the leader in oil production industry.
B) O.N.G.C has a very efficient and professional management team.
C) O.N.G.C being an international company has sufficient resources
and capital to invest.
D) O.N.G.C has ISO-9001 & ISO 14001 registration.
2. WEAKNESSES
A) O.N.G.C facing difficulties to produce oil from aging reservoirs.
3. OPPURTUNITY
A) Energy utilization of buried coal resource (700 -1700M), estimated
63BT – Equivalent to 15000 BCM.
B) O.N.G.C facing difficulties to produce oil from aging reservoirs.
4. THREAT
A) Security of personnel & property especially crude oil continues to be
a cause of concern in certain area.
B) In some exploration Campaign Company involves high technology,
high technology, High investment and high risk.
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6
Literature
Review
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I have taken this article through yahoo search which is written by “Debojyoti
Ghosh” in the month of July and the topic of article was “Attrition in Infosys peaks
to two- year high at 15.8%”.
According to this article it dictates that Infosys are planning hiring projection
to 36,000 from 30,000 to create a responsible team to capitalize on their future
demands. It also specifies that during the April- June quarter, 7833 left the
organization, out of which 5411 were from Infosys Technologies and remaining 2422
were from BPO business. The reason of leaving the company is that employees are going
for higher education courses like M Tech., MBA. Approximately 950 left us in this
quarter to pursue higher education and 2215 people left for better prospects with
other companies.
Infosys announced a salary hike of 9- 20% for offshore and 2- 5 % for
onshore employees respectively in the month of April.
People were leaving Infosys because they were not rewarding them on their
performance level. It was getting frustrated for the people in that atmosphere. Even
many people wanted to go for further studies to improve their career. But Infosys
was not ready to sponsor them or even give them guidelines on their decision. They
were just looking for their growth in business and to maintain their brand value in
market. Therefore many or most of the people had no other way out besides quitting
their job.
But here in ONGC, people are welcome with their unique ideas and
betterment for their business. Over here they are allowing their employees to go for
further studies and even sponsoring them. So that they will not leave the organization
after their completion of studies. From 2010, incentives should be given on the basis of
performance of employee. And after a survey employees are also believes that an incentive
always gives on performance of the employee.
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I have taken second article from Icfai magazine of 6, December 2006, page no:36. Written
by Tapomoy Deb. The topic of article was “Linking Performance Management to reward
system”
In this article the Tapomoy want to say that the concept of performance management
has been the most significant development in the sphere of human resource management.
Performance management has two major implications in the organization context – First is to
improve organizational performance for business success, and second is to devise a robust
reward system
Reward system plays an important role in enhancing organizational performance
has lately attracted the attention of progressive organizations. Here Tapomoy also want to say
that financial & non financial both rewards are beneficial to increase the performance of the
employees. Because its help in motivating the employees to do their work effectively &
efficiently. And this is one of the reason that employees are not leaving their job because of
the rewards & benefits given by an organization.
By reading both the articles, I decided to select the topic of my study which would
clear that how the performance based incentives, rewards & benefits schemes are
helpful in motivating the employees retention. Hence, I selected the topic
“Linkage of incentives & benefits with employees motivation at ONGC(Ahmedabad)”
Here in ONGC so many of allowances, incentives & benefits are given by the
Company. So this is the reason that everyone wants to join this company. And
the second reason is also job security of the employee.
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7
Motivation6
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7.1 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 the 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.
7.2 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.
The definition of motivation is to give reason, incentive, enthusiasm, or interest that causes a
specific action or certain behavior. Motivation is present in every life function. Simple acts
such as eating are motivated by hunger. Education is motivated by desire for knowledge.
Motivators can be anything from reward to coercion.
The three motivation categories
Security.
Achievement.
Social Recognition
You have some of each type in your makeup. One of these types will of course be the dominant motivating factor in your life, however, from time to time you may embrace each of the three types.
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S.V Institute of Management, Kadi
Security :
A person who is motivated by security strives to build a safe and secure life for themselves and their families.
If security is your prime motivation, then to Be Master of Your Life means building a solid foundation to which you can anchor each aspect of your life.
When you climb the mountain of life, it is "because you feel it is more secure to be up high"!
When you join an organisation it is because it provides support, and shares risk. Morals, duty, intellect, creativity, philanthropy, and honor are important to you.
Security Motivated people are fixers. They fix the problems, prevent crisis.
Achievement :
A person who achievement oriented, is motivated to do things for their own sake.
If achievement is your prime motivation, then to Be Master of Your Life means innovating, experiencing, climbing to the top.
When you join an organisation it is because it provides a vehicle for advancement, supplies goals to be met.
You climb the mountain of life "because it is there"!
For you, accomplishment is important for its own shake rather than for the rewards that accompany it. Skill, ability, innovation and know-how are important to you. Achievers are seekers.
Social Recognition :
A person who seeks social recognition is motivated by the need to be recognized, to look good.
If social recognition is your prime motivation, then to Be Master of Your Life means standing out from the crowd, to be looked up to.You are constantly striving to succeed for therecognition which goes with success.
When you join a group it is to rise to prominence within the group.
You climb the mountain of life "so that we can all see you"! Respect, admiration, regard, esteem, notoriety and celebrity are all important to you.
These people are seen to be leaders.
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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.
Motivation Process.
1. Identification of need
2. Tension
3. Course of action
4. Result –Positive/Negative
5. Feed back
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7.3 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.
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
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
It is the related to social needs and creates friendship. This results in formation of informal
groups or social circle.
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2) 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 a higher scale or 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.
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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 as also against industrial injury. Such needs are generally met by safety laws, 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
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e.g.; need for achievement, self confidence, 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 programs 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.
3) 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.
4) 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.
5) 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
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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.
7.4 Definition of Incentive7
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 and Salaries. - Competition
- Bonus - Group recognition
- Medical reimbursement - Job security
- Insurance - Praise
- Housing facility - Knowledge of result
- Retirement benefits. - Workers participation.
- Suggestion system.
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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 expectations
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.
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8
Research Methodology
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OBJECTIVES :-
Primary objective :-
I. To know linkage of incentives & benefits schemes with employees
motivation at ONGC.
Secondary objective :-
I. To know the satisfaction level of employees from the HR department &
the travelling allowances provided by organization.
II. To know the opinion of employees, on What basis the incentives should
be given to the employees?
III. To know which two allowances motivates the most.
IV. To know the most preferable educational facility used by employees.
V. To know the employee‟s opinion for the improvement of the workplace
environment.
VI. To know the most important motivating factor for the employees.
Problem:-
This project is carried out to find out the level of employee motivation regarding
welfare schemes & to find out how it can be made effective and implemented in day-to-day
work of ONGC
The supplementary objective of the study is to increase the efficiency and motivating
the employee‟s
Research Type:
Basic research
Research Design:
Descriptive research
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Research Approach:
Personal Interview
Research Instrument:
Questionnaire(open ended & close ended)
Observation
Interview
Data Sources:
Primary Data – We collect primary data through the questionnaire fill up
by employees.
Secondary Data - ONGC manual
Internet
Sample size:
150 employees
Sampling Method:
Non-probability- convincing method.
Sampling Area:
ONGC (Ahmedabad)
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9
Data Interpretation
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Q.1. In your opinion which type of incentives or benefits motivates more?
Interpretation : -
After analysis it is found that 53.33% of employees are mostly motivated by
financial incentives as well as non – financial incentives, 30% of Employees believe that
financial incentives motivates them & 16.67% of Employees believe that non financial
incentives motivates them.
Q.2. Which of the following financial incentives motivates you the most ?
27%
16%
7%
23%
27%
Financial Incentives motivates most
Attractive Salary/ wages
Housing facility
Insurance
Medical/Education allowance
High rate of bonus
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S.V Institute of Management, Kadi
Interpretation : -
Here, after selecting financial incentives 27% of employees are more motivated by
Attractive salary/wages & High rate of bonus. 23% of the employees are motivated by
medical/education allowance. 16% & 7% of employees are motivated by housing facility &
insurance respectively.
Q.3. Which of the following Non-financial incentives motivates you the most ?
Interpretation :-
As above analysis 20% believes that the designation/status & fair opportunity of
promotion motivates more on the other hand 12% gets motivate by workers participation in
management, 18% in recognition of good work, 13% in Delegation of authority to
subordinates, 17% in encouragement for self & career development.
12%
20%
18%13%
20%
17%
Non-financial incentives motivates most
Workers participation in management
Designation & status
Recognition of good work
Delegation of authority to subordinates
Fair opportunity of promotion
Encouragement for self & career development
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Q.4. How far you are satisfied with the incentives provided by the organization?
Interpretation :-
Here, after an analysis, 56% of employees are satisfied with the incentives
provided by organization. 6.67% are highly satisfied & 37.33% believes that they are neutral.
Q 5. Show your level of agreement from the following statements:
0
20
40
60
80
100
120
Reasonable periodical increase in
salary
Job security exist in the company
Good relationship
with co-workers
Performance appraisal
activities are helpful to get
motivated
Job facilities exist in the company
Strongly Agree
Agree
Neutral
Disagree
Strongly disagree
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Interpretation:-
The number of strongly agree, agree & neutral by reasonable periodical increase in
salary are 48, 90 & 12 respectively. 54 persons are strongly agree & 96 persons are agree by job
security exist in the company. 40 employees are strongly agree, 90 employees are only agree, &
19 employees are neutral about the factor of good relationship with workers.
The number of strongly agree, agree & neutral by Performance appraisal activities are helpful
to get motivated & Job facilities exist in the company are 56, 86, 8 & 35, 110, 5 respectively.
Q 6.Tick any one from the following factors which motivates you the most?
Interpretation:-
After analysis 42% employees are motivate by pay for time not worked. 33%
employees are motivated by retirement benefits. 14% & 11% employees are motivated by
personal service & insurance benefits.
42.00%
11.33%
32.67%
14.00%
0.00%5.00%
10.00%15.00%20.00%25.00%30.00%35.00%40.00%45.00%
Pay for time not worked
Insurance Benefits
Retirement benefits
Personal service and
family & friendly benefits
Chart Title
Series1
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Q.7 Which from the following allowances motivates you most ?
Interpretation :-
This graph shows that 34% house rent allowance motivates the most to employees.
After that 28% leased accommodation motivates them, 25% food compensatory , 5% hard
duty allowance & 4% in overtime & productivity allowance.
Q.8. Please tick from the following travelling allowance which prefer you most?
34%
5%
4%
25%
4%
28%
allowances motivates most
House Rent Allowance
Hard Duty Allowance
Overtime Allowance
Food Compensatory Allowance
Productivity Allowance
Leased Accommodation
020406080
100120140160
Satisfied
Dissatisfied
Can’t say
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S.V Institute of Management, Kadi
Interpretation:-
The numbers of satisfied employees by local travel charges on tour are 150, by daily
allowance are 150. By transfer TA 36 employees are satisfied & 114 are can‟t say about it. 41
employees are satisfied & 109 can‟t say about the TA given on the first appointment. 35
employees are satisfied & 115 can‟t say about the Reimbursement of Taxi Hire Charges to
Inspection Staff.
Q.9. Which of the following Educational facility provided by organization, you avail the
most?
Interpretation :-
Here, 25% employees used reimbursement of admission fee & transport subsidy
provided by organization. 21% employees used children‟s education allowances.
17% used central school facility & 5%, 4%, 3% employees used merit scholarship, special
award scheme & hostel subsidy respectively.
17%
21%
5%4%
25%
3%
25%
Educational facility provided by organization
Central school
Children’s education allowances
Merit scholarship
Special award scheme
Reimbursement of Admission Fee
Hostel subsidy
Transport
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Q.10.Pick out the most important motivating factor for the employee performance from
the following:
Interpretation :-
After all the analysis 20% employees are highly motivated by annual increment
given by organization. 19% of employees are motivated by travelling allowances given by
company. 18% by leaved policy & 16%, 14%, 13% by education allowances, incentives &
medical allowances given by organization respectively.
Q.11.From the following, which incentives do you want from the organization to implement?
14%
18%
13%
16%
19%
20%
most important motivating factor for the employee performance
Incentives given
Leave policy practiced
Medical allowance benefit
Education allowances
Travelling allowances
Annual Increment
16.67% 6.00% 13.33%
64.00%
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
Membership & Seniority base
incentives
Job status based
incentives
Competency based
incentives
Performance based
incentives
Incentives selected by employees to implement
Series1
Series2
Series3
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Interpretation:-
After an analysis 64% employee wants that on the basis of performance incentives
should be given by the company. 16.67% employees wants Incentives should give on seniority
base. Then 13.33% & 6% of employees wants on the basis of competency & job status.
Q.12.What is the reason for selecting your present job?
Interpretation :-
16% employee‟s reason of selecting this job is good salary, multinational company
& job security. 15% employees joined it for the better career. 13% believes that the company
has a friendly atmosphere.
16%
16%
16%13%
10%
10%
4%
15%
Reason for selecting present job
Good salary
Multi National Company
Job Security
Friendly atmosphere
Closer to residence
Incentives/ Rewards
Challenging
Better career
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Q.13 What changes can be made to improve the work place environment?
It is an open ended question. From which 64% employees gave the answer of the
question.
But the most common answer was “neat & clean” & “some changes in computers”
64%
36%
0%
10%
20%
30%
40%
50%
60%
70%
Given Not Given
Answer
Series1
19.79%
44.79%
35.42%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
Infrastructure Neat & Clean Changes in PC's
Suggestion of employees
Series1
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Q.14 Are you satisfied with the support from the HR department?
Interpretation :-
78% of employees are fully satisfied from the support of HR department.
Gender : Male/Female
Interpretation :-
Out of 150 employees 75.33% are male & 24.67% are female.
43S
75.33%
24.67%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
Male Female
Gender
Series1
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Age
Here, 41.33% employees are comes under the age of 35-45 then 25-35
No. of year of service :
Here, 41.33% of employees having an experience under 10-20.28% of employees
having an experience under 5-10.18%, 9.33% & 3.33% having an experience of below 5, 20-
30, above 30.
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Hypothesis Testing :-
Ans 14) Satisfaction with the support from hr department with number of
year of service.
H0 : Satisfaction with the support from HR department is depend on no. of year service.
H1 : Satisfaction with the support from HR department is not depend on no. of year service.
Case Processing Summary
Cases
Valid Missing Total
N Percent N Percent N Percent
satisfied with the support
from the HR department *
No. of year of service
150 100.0% 0 .0% 150 100.0%
satisfied with the support from the HR department * No. of year of service Crosstabulation
Count
No. of year of service
Total 0-5 5-10 10-20 20-30 30<
satisfied with the support
from the HR department
Satisfied 20 34 49 9 5 117
Neutral 7 8 13 5 0 33
Total 27 42 62 14 5 150
Chi-Square Tests
Value Df
Asymp. Sig. (2-
sided)
Pearson Chi-Square 3.439a 4 .487
Likelihood Ratio 4.342 4 .362
Linear-by-Linear Association .052 1 .819
N of Valid Cases 150
a. 3 cells (30.0%) have expected count less than 5. The minimum
expected count is 1.10.
Interpretation :
Here, the value of test is .487 > .05. So the null hypothesis do not rejected.
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Correlation between type of incentives or benefits motivates more * No. of year of service
Interpretation: -
I have made correlation of Q.1 & number of year of service. It shows that how an increase in no. of year of service can change the choice of type of incentives & benefits given by company.
0 – 5 years : -It shows that employees are more motivated through financial incentives, as they are new to the company they will more motivated by financial incentives in this period for their career in a company .
5 – 10 years: - As shown in the graph, employees are comparatively more motivated through financial incentives. They also get motivated through both financial & non financial & least motivated by non financial incentives.
10 – 20 years: - It shows through graph that during this period in their career in a particular company employees are motivated through “both”. Because they are from a long time in a particular company and it motivates them in any kind of incentive.
30 Above : - In this graph it shows that, particular experience of employee are only motivated by non financial incentives as they grow older and may be they are one of the senior employee in the company. Therefore they feel honored by non financial incentives.
27
18
0 0 00
10
0
105
0
14
62
40
0
10
20
30
40
50
60
70
0-5 5-10 10-20 20-30 30<
No. of year of service
Financial Incentives Non financial incentives Both
type of incentives or benefits motivates more * No. of year of service Crosstabulation
No. of year of service
Total 0-5 5-10 10-20 20-30 30<
type of incentives or
benefits motivates more
Financial Incentives 27 18 0 0 0 45
Non financial incentives 0 10 0 10 5 25
Both 0 14 62 4 0 80
Total 27 42 62 14 5 150
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Correlation between satisfaction with the incentives provided by the organization * Gender
satisfaction with the incentives provided by the organization * Gender Crosstabulation
Gender
Total Male Female
satisfaction with the incentives
provided by the organization
Highly satisfied 10 0 10
Satisfied 62 22 84
Neutral 40 16 56
Total 112 38 150
Interpretation : - Here, I have made correlation between satisfaction with the incentives provided by organization with the gender.
Highly Satisfied: - According to the graph, it shows that male employees are highly satisfied with their incentives provided by the organization. Because it dictates that female employees comparatively are not satisfied with incentives provided by the organization. In total there are less number of employees comparatively in the chart.
Satisfied: - It shows that male employees are more satisfied than female employees as it is compared with the satisfaction with their incentives provided by the organization
Neutral: This graph shows that more male employees feel neutral compare to female employees with the incentives provided by the organization
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10
Findings
Limitations
Suggestions
Conclusion
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10.1 FINDINGS
The data collected and analyzed for study of Incentives & benefits schemes implemented at
ONGC. Following are the most striking points of the study made.
1) All the employees are also satisfied with the support of HR department.
2) Employees are also well satisfied with the travelling allowance, education allowance,
leave policy, & medical facility given by company.
3) All the employees of the ONGC are fully satisfied with all the incentives given by the
company.
4) Transport subsidy & reimbursement of fees are most educational facility used by
employees of company.
5) Here 44% employees are agreed that on the performance basis the incentives should be
given.
6) House rent allowance & leased accommodation are most motivated allowances for the
employees.
7) Employees wants neat & clean atmosphere around them. For that they can more
concentrate on their works.
8) Annual increment is one of the most motivating factor for the company.
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10.2 Limitations:-
Limited time available for interviewing the respondents. As a result of this it was not
possible to gather full information about the respondents.
Sometimes the problem which I face is language problem for which I have to make
them understand.
Non-cooperative approach of the respondents
10.3 Recommendations
Here, employees are suffering from problems in computers like mouse not working
sometimes, display makes problems sometimes. Now a day‟s whole works is depends
on computers, if company can change the pc‟s or repairs it then the work should be
done effectively & efficiently.
The employees wants neat & clean atmosphere. Because of improper old infrastructure
they can‟t concentrate on their work. If the atmosphere should be neat & clean the
employees can able to concentrate on their work.
10.4 Conclusion:
The HR department in ONGC is very supportive. The all employees are fully satisfied
with all the incentives & benefits schemes given by the company. They get more motivated by
these schemes. This is one of the best company where the employees are not leaving there job.
Here HR department are always in search of “what are the weakness and how can be rectified
in the competitive edge of globalizations concept and changed economic scenario of world”.
The need has been felt as to how the company can make its welfare schemes attractive to
enable an organization to retain their human capital to pay the best packages to their
employees for their hard work.
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11 BIBLIOGRAPHY :-
Reference:-
1. “http://www.ongcindia.com/sitemap.introduction.asp”
2. “http://www.ongcindia.com/fin_highlights.asp”
3. “http://www.ongcindia.com/people.asp”
4. ONGC hr manual
5. “http://www.ongcindia.com/history.asp”
6. “http://en.wikipedia.org/wiki/motivation”
7. “http://en.wikipedia.org/wiki/incentive”
Other Sites :-
- www.ezinearticles.com
- www.cityhr.com
- www.businessdictionary.com
- www.allbusiness.com
- www.auditnet.org
- www.ongcvidesh.com
Books :-
- Icfai magazine
- Ashwathapa 2nd Edition
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12
Annexure
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S.V Institute of Management, Kadi
QUESTIONNAIRE
Dear Respondent,
I am student of S.V.Institute of Management,kadi pursuing MBA . As a part of our
curriculum, we are required to undergo summer training. As a part of that training we are
doing a research on “Employees motivation regarding incentives & benefits schemes at
ONGC”. So kindly co-operate us to fill up this questionnaire. This information provided by
you would be used for study purpose only and will be kept confidential.
Q.1. In your opinion which type of incentives or benefits motivates more? Financial incentives Non-financial incentives Both Q.2. Which of the following financial incentives motivates you the most ?
Attractive Salary/ wages
Housing facility
Insurance
Medical/Education allowance etc.
High rate of bonus
Q.3. Which of the following Non-financial incentives motivates you the most ?
Labour participation in management
Designation & status
Recognition of good work
Delegation of authority to subordinates
Fair opportunity of promotion
Encouragement for self & career
development
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S.V Institute of Management, Kadi
Q.4. How far you are satisfied with the incentives provided by the organization? Highly satisfied Satisfied
Neutral Dissatisfied Highly Dissatisfied Q 5. Show your level of agreement from the following statements:
Strong
ly
Agree
Agree Neutral Disagre
e
Strongl
y
disagre
e
Reasonable periodical increase in salary
Job security exist in the company
Good relationship with co-workers
Performance appraisal activities are helpful to get motivated
Job facilities exist in the company
. Q 6.Tick any one from the following factors which motivates you the most?
A) Pay for time not worked
Maternity leave
Paid vacations and holidays
Sick leave
Severance leave
Quarantine leave
Accident & disability leave
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S.V Institute of Management, Kadi
Q.7 Which two allowances motivates you most?
B) Insurance Benefits
Workers benefits
Health insurance
C) Retirement benefits
Pension plan
Contributory plan
Non Contributory plan
Defined benefit plan
Defined contribution plan
D) Personal service and family
friendly benefits
Employee Assistance Programs
Child Care
Elder Care
Sick child Benefits
Food
House Rent Allowance
Hard Duty Allowance
Overtime Allowance
Food Compensatory Allowance
Productivity Allowance
Leased Accommodation
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S.V Institute of Management, Kadi
Q.8. Please tick from the following travelling allowance which prefer you most?
Q.9. Which of the following Educational facility provided by organization, you avail the most ? Q.10.Pick out the most important motivating factor for the employee performance from the following: 1) Incentives given 2) Leave policy practiced 3) Medical allowance benefit 4) Education allowances 5) Travelling allowances 6) Annual Increment Q.11.From the following, which incentives do you want from the organization to implement?
a). Membership & Seniority base incentives b). Job status based incentives c). Competency based incentives d). Performance based incentives
Satisfied Dissatisfied Can’t say
Local Travel Charges on Tour
Daily Allowance
Transfer TA
Payment of TA on First Appointment
Reimbursement of Taxi Hire Charges to
Inspection Staff
Central school
Children’s education allowances
Merit scholarship
Special award scheme
Reimbursement of Admission Fee
Hostel subsidy
Transport
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S.V Institute of Management, Kadi
Q.12.What is the reason for selecting your present job?
Good salary Closer to residence
Multi National Company Incentives/ Rewards
Job Security Challenging Friendly atmosphere Better career
Q.13. What changes can be made to improve the work place environment? …………………………………………………………………………………………. .......................................................................................................................... Q.14 Are you satisfied with the support from the HR department?
Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied
Demographic Information :-
Sex : M/F
Age : .........
No. of year of service : a) 0 -- 5
b) 05 -- 10
c) 10 – 20
d) 20 -- 30
e) 30 & above
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