A Project on

A STUDY ON ABSENTEESIM OF EMPLOYEE

AT
GRASIM INDUSTRIES LTD. (VILAYAT)
Submitted in the partial fulfillment of the requirement for qualifying
Master of Management Studies
Of
NARMADA COLLEGE OF MANAGEMENT, ZADESHWAR
Submitted by
RIYA.A.GOYAL
ENROLLMENT No.: 1537370592007
MBA SEM III
Specialization: Human Resource
NARMADA COLLEGE OF MANAGEMENT

For Academic Year 2015-2016

Project Guide: Prof. RASHMI GHAMAWALA
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 DECLARATION

I hereby declare that the summer internship project report entitled

EMPLOYEE ABSENTEESIM is an original work developed and
submitted by me under the guidance of Prof. RASHMI GHAMAWALA
The practical findings in this project report are not copied from any
report and are true and best of my knowledge.

Date: _________________
Place: ________________

_________________
Signature of student
RIYA.A.GOYAL

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 CERTIFICATE

This is to certify that the project entitled Human Resources

Recruitment submitted by RIYA.A.GOYAL in partial fulfillment for
the award of Master of Management Studies; University of Mumbai is
her original work and does not form any part of the projects undertaken
previously.

Also it is certified that the project represents the original work on the
part of the candidate.

Place: Bharuch

Date:

Signature of the Director Signature of Guide

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 ACKNOWLEDGEMENT

With massive please I am presenting Employment absenteeism Project

report as part of the curriculum of Master of Management Studies. I
wish to thank all people who gave me unending support.

I express my profound thanks to Director, Prof. Rashmi Ghamawala

project guide and company guide Dr. Rupannita and all those who have
indirectly guided and helped us in preparation of this project.

I also like to extend my gratitude to all staff and our colleagues of

Narmada College of Management, who provided moral support, a
conductive work environment and the much needed inspiration to
conclude the project in time and a special thanks to My Family who are
integral part of the project.

Thanking you,
RIYA.A.GOYAL

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 INDEX
Page
Sr.No. Particulars
No.
A. Executive Summary

Part-I General Information

1. Overview of the Aditya Birla Group

2. Overview of the Grasim industries Ltd.

3. Overview of the Chemical Division

4. Overview of Company Profile

Department information
5.1 Production Department
5.2 Human Resource Department
5.
5.2 Finance Department
5.3 Marketing Department
5.4 Process Department

Mini research work in the area of hr on

PART-II
employee absenteeism

Introduction to Mini Research

6. 6.1 Literature Review
6.2 Objective of the Study

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 Research Methodology
7.1 Research Design
7.2 Study
7.3 Sample size
7.
7.4 Sampling technique
7.5 Tools for Data collection
7.6 Data analysis
7.7 Limitations of study

8. Data Analysis & Interpretation

9. Findings, Conclusion & Recommendations

10. Bibliography

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 EXECUTIVE SUMMARY

Absenteeism is a serious workplace problem and an expensive

occurrence for both employee and employee apparently unpredictable in
nature.
Human resource is an important part of business and managing them is
an important task.
Summer training is an integral part of the student of management has to
undergo training session in a business organization for 6-8 weeks to gain
some practical knowledge in their specialization and to gain some
working experience.
To the emphasis on practical aspect of management education the
faculty of Narmada College of Management has with a modern system
of practical training of reputed and following management technique to
the student as integral part of MBA. In accordance with above obligation
under going project In GRASIM INDUSTRIES LTD. The title of my
project is A STUDY ON EMPLOYEE ABSENTEESIM
Certainly this analysis explores my abilities and strength to its fullest
extent for the achievement of organization as well as my personal goal.

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 PART-I

GENERAL
INFORMATION

Page 8
 1. Overview of the
Aditya Birla Group

ADITYA BIRLA GROUP

Page 9
 INTRODUCTION

A US $41billion (Rs.2,50,000 corer) corporation , the Aditya Birla

Group is in the league of Fortune 500 . Anchored by an extraordinary
force of over 1,20,000 employees, belonging to 42 nationalities. Over 50
per cent of its revenues flow from its overseas operations spanning 36
countries.

The Aditya Birla Group has been ranked 4th in the world and 1st in Asia
Pacific in the Top Companies for Leaders study conducted in 2011.

The Group has topped the Nielsens Corporate Image Monitor 2014-15
and emerged as the number 1 corporate, the Best in Class for the 3 rd
consecutive year.

Globally , the Aditya Birla Group

A metals powerhouse, among the worlds most cost-efficient
aluminum and copper producers.
No.1 in viscose staple fiber
No.1 in carbon black
The 4th largest producer of insulators
The 5th largest producer of acrylic fiber
Among the Top 10 cement producers globally

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 Among the best energy efficiency fertilizers plants
The largest Indian MNC with manufacturing operations in the USA,
wherein 95 percent of the workforce comprises if Americans

Aditya Birla Group- The Indian

Scenario

A top fashion (brand apparel) and lifestyle player

The second largest producer in viscose filament yarn
The largest producer in the chlor alkali sector
Among the top three mobile telephony companies
A leading player in life insurance and asset management
Among the top two supermarket chains in the retail business

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 2. Overview of the
Grasim industries Ltd.

GRASIM INDUSTRIES
LIMITED

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 INTRODUCTION
Grasim Industries ltd. Is a lead ship company of the Aditya Birla Group,
ranks among Indias largest private sector companies, with a
consolidated net profit of Rs. 17 billion (FY2015).
Grasim was incorporated on 25th August 1947, exactly 10 days after
India achieved independence. Grasim started as a textile manufacturer in
1948. Today its core businesses are Viscose Staple Fiber (VSK) and
Cement, contributing over 90% of its revenue and operating profits. It is
also present in Chemicals which is essentially a backward integration of
VSK i.e. Grasim has successfully diversified into VSK, Cement and
Chemicals.
The Aditya Birla Group is the worlds leading producer of VSK,
commanding a 16% global market share. Grasim with an aggregate
capacity of 498ktpa has a global market share of 8%. It is also largest
player in India in Chlor Alkali with Caustic capacity of 452K TPA(
which is used in the production of VSK)in India.

Grasim is implementing ambitious growth plans through capacity

expansion in VSF and Cement, which will further consolidated its
leadership in both the businesses.

Rayon grade caustic soda is an important raw material in VSF

production. To achieve a reliable and economical supply of this
chemical, Grasim set up a rayon grade caustic soda unit in Nagda in
1972, with an initial capacity of 33000tpa.This has since grown to
270,000tpa expansion at vilayat was commissioned in May 2013 making

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at the largest player in India in Chlor Alkali with Caustic Soda capacity
to 182,500tpa caustic soda plant in vilayat making it the largest chlor-
alkali player in India.

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3. Overview of the
Chemical Division

Chemical Division

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 INTRODUCTION

Aditya Birla Chemicals(India) Limited (ABCIL) was merged with

Grasim effective from 01st April 2015. This merger consolidated
Grasims leadership position in the domestic chlor-alkali industry with
its capacity increasing from 452500tpa to 884,200tpa. Today, Grasims
Chemical Division spans across seven chlor-alkali plants in India and
offers a plethora of chlorine derivatives. The business focuses on
innovation and is committed to providing customized solution and
product offerings.
Aditya Birla Chemical is a leading manufacturer of bulk and specialty
chemicals and viscose filament yarn. The business is spread across
multiple manufacturing locations in four countries India, Thailand,
Germany and China.
The business is creating a strong footprint in the chemicals industry- it is
a market leader in the chlor-alkali segment in India; at number two
positions in viscose filament yarn and is the 3rd largest manufacturer in
the world in sulphites.

Units of Chemical Industries:

Grasim Chemicals, Nagda
Grasim Chemicals, Vilayat, Gujarat
Grasim Chemicals, Veraval
Grasim Chemicals, Rehala, Bihar

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 Grasim Chemicals, Renukoot, U.P.
Grasim Chemicals, Ganjam, Orissa.

Product segments

Grasim industries have a wide range of products manufactured with

advanced technology. The product portfolio includes as follows:-
Chlor-alkali
Chlorine derivatives
Epoxy resins
Phosphates and phosphoric acid
Sulphites
Peroxides
Fluorine Chemicals
Viscose filament yarn

Customized solutions
Grasim focus on innovation, the Chemical business also provides
customized solutions, made possible through research , development and
use of state - of art technology, which guarantee that the products meet
customer requirements.

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Awards

Aditya Birla Chemicals have gained many awards with their

commitment towards quality. Some awards our as follows:-
TPM Excellence Award
Genentech Environment Excellence Award(Gold) 2012
Samman Patra for 3rd Highest contribution towards Central Excise
Revenue in category of non-SSI by the Department of Revenue,
Ministry of Finance, Government of India,2008-09
National Award for Excellence in Water Management From CII,
2009

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 National Energy Conversation Award by Ministry of Power,
Government of India, 2008
PAC for Outstanding Performance in Industrial Safety Award by
Ministry of Labor and Employment, Government of India, 2007
CSA for Outstanding Performance in Industrial Safety as winner
based on accident-free year, National Safety Award by Ministry of
labor and Employment, Government of India,2007
PAC for Outstanding Performance in Industrial Safety as
RUNNER-up base on accident-free year, National Safety Award
by Ministry of labor and Employment, Government of India, 2007
MC-I for Outstanding Performance in Industrial Safety as runner-
up based on accident-free year, National Safety Award by Ministry
of labor and Employment, Government of India, 2007
National Energy Conservation Award by Ministry of power,
Government of India, 2007
Paryavaran Puraskar from Madhya Pradesh Government, 2006-07
Genentech Environmental Excellence Award by Genentech
Foundation, 2006
Environmental and Ecological Gold Award by Genentech Society,
2005
Golden Peacock Eco-Innovation Award by IOD, 2005

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 Safety Award for the longest accident-free period (Membrane Cell)
and lowest average frequency rate(CSA Plant) FROM the
Government of India, 2005
CII National Energy Management Award for most Energy-
efficient unit, 2005
Certificate for Strong Commitment to Excel, CII-Exim Bank
Award for business excellence, 2005
Rajiv Ratna National Award-Best Chief Executive Gold Award
BY Genentech foundation, 2005
Genentech Environment Excellence Award by the Genentech
Foundation, 2005
Rajiv Ratna National Award-Best Pollution Control
Implementation Gold Award by Genentech Society, 2005
Genentech Safety Gold Award by the Genentech Foundation, 2005
National Safety Award by the Government of India, 2005
Indira Gandhi Memorial National Award by the Genentech
Society, 2005
Vishwakarma National Award by the Government of India, 2005

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 4. Overview of
Company Profile
Company profile

Name of the Company : Grasim Industries Limited

Head Office: Thailand
Headquarter: Mumbai, Maharashtra
Area Served: Global
Place of plant Studied : Vilayat
No. of Plants :
o Fiber
o Chemical
o Epoxy
Parent: Aditya Birla Group
Subsidiary: Ultra tech Cement, Grasim Bhiwani Textile

Vision

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To become World Class producer with specific focus on Value creation
for share holders, Customers, Employees and Society.

Mission

To improve overall operating efficiency through continuous

improvement and innovation cost reduction.
To strive for excellence in all the spheres through WCM practices.
To assure Safe and Environment friendly operations.
To institutionalize Internal and External Customer delight
To focus on Value adding HR practices.

Values

INTEGRITY:

Acting and taking decisions in a manner that is fair and honest.

Following the highest standards of professionalism and being recognized
for doing so. Integrity for us means not only financial and intellectual
integrity, but encompasses all other forms as are generally understood.

COMMITMENT:

On the foundation of Integrity, doing all that is needed to deliver value

to all stakeholders. In the process, being accountable for our own actions

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and decisions, those of our team and those in the part of the organization
for which we are responsible.

PASSION:

An energetic, intuitive zeal that arises from emotional engagement with

the organization that makes work joyful and inspires each one to give his
or her best. A voluntary, spontaneous and relentless pursuit of goals and
objectives with highest level of energy and enthusiasm.

SEAMLESSNESS:

Thinking and working together across functional groups, hierarchies,

businesses and geographies. Leveraging diverse competencies and
perspectives to garner the benefits of synergy while promoting
organizational unity through sharing and collaborative efforts.

SPEED:

Responding to internal and external customers with a sense of urgency.

Continuously striving to finish before deadlines and choosing the best
rhythm to optimize organizational efficiencies.

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 Business Head

Strategic Business Strategic Strategic

Unit Head Business Unit Business Unit
Chemical/Epoxy Head Fertilizers Head Insulator

Unit Head Unit Head Unit Head

Technical Head Technical Head Technical Head

Mechanical Technical Finance & Quality Human

Departmental Departmental Accounts Assurance Resource
Head Head Departmental Departmental Departmental
Head Head Head

Employees Employees Employees Employees Employees

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5. Department Information
5.1. Production department
Production is an organized activity of converting raw material in to
final product is known as production process.
The main reason that Grasim established chemical division for
manufacturing was the need of raw material used in fiber division.
The chlor alkali manufactured by chemical division out of which 80% is
used by Fiber and 20% is used by Epoxy Division.
The below Table shows the Two Main product manufacturing system
which is also known as Epoxy Value Chain
Such two Main Products are :-
1. Epoxy Resin
2. Hardener

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The product portfolio of Chemical Division with their different Grades
according to which product is manufactured

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 The Epoxy is mainly used to build a shine texture. It is
further divided into four parts .i.e. liquid epoxy resin ,
reactive diluents, formulation resin & solid epoxy resin.
LER (Liquid Epoxy Resin)
o The main raw material used to manufacturing of
Liquid Epoxy Resin are
Epichlorohydrin (ECH)
Bisphenol-A (BPA)
Caustic Soda (NaOH)
o The capacity of Epoxy resin is 200 metric ton per day
LER 150 tons

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 Other- 50tons
o The 80% of raw material used to manufacture LER is
Imported
o The 40% of LER is exported sales
o The 6 storage tanks of 500m3 is used for LER
Reactive Diluents (RD)
o RD are epoxy group- contain functional products
which are low viscosity glycidyl /either that can react
with the curing agent to become the part of the cross
linked epoxy system.
o RD are mainly used to reduce the viscosity of the base
resin based on Bisphenol- A, F and EPN resins to
improve handing and ease of processing in various
application.
o The main Raw Materials used in Reactive Diluents
(RDs)
1,4 Butane Diol, !,6 Hexadiol & Ecorol
Epichlohydrin
Caustic Soda
Formulations (FRs)
o LER are mixed with various type of additives and
reactive diluents to produce different grades of
Formulations.
o These Formulations meet specific applications of
composite customers and other special application.

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 o Hardeners are being produced in the industries by
blending, mixing of various amines.

The Chemical Division flow a

Common process for manufacturing
which is as follows:-

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STEP1: PRE-REACTION SECTION
Excessive quantity of ECH is reacted with prescribed quantity of
Bisphenol-A by using NaOH as catalyze. As result of this reaction,
Bisphenol-A chlorohydrins intermediate is generated.

STEP 2: RECTION SECTION

Bisphenol-A chlorohydrins intermediate generated from the pre-reaction
section is changed to liquid epoxy resin by reaction with NaOH.

STEP 3: ECH DETACHMENT SECTION

After the reaction process, excessive quantities of un-reacted ECH are
separated from the product and recovered through a vaporizer and
returned to the ECH dag tank for reuse. The crude epoxy is then
supplied to the next refining section.

STEP 4: REFINING
In this section, toluene is added to dissolve resin in it and salt solution is
separated from the resin manually by adding water. The resin stays in
the upper layer. Again DM water is added to wash the resin and remove
the trace of salt from it.

STEP 5: FILTRATION

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After refining, filtration is done to remove the impurities viz. suspended
particles and rest of waste polymer by passing through the multilayer
paper filter.

STEP 6: DE-SOLVENT
In this section, dissolvent is done to remove the solvent, toluene from
the resin by passing through falling flim thin evaporator & Rotary flim
thin evaporator under vacuum.

STEP 7: PRODUCT FINISHING SECTION

Epoxy resin is finally filtered to remove impurities and is sent to the
product tank.

5.2. Human resource department

HR Policies
o Recruitment policy
o 360 Degree Appraisal.
o Training/Talent Management
o Recognition
o Benefits
o Happiness At Work

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 o Policy to prevent Sexual harassment at work place
o Domestic Leave policy
o Car policy
o Policy for Mediclaim
o Global mobility policy
Internal
International
o Travel policy (Non-Management Cadre Staff)
Recruitment & Selection Process:
o Recruitment is defined as a process to discover the
sources of manpower to meet the requirements of the
staffing scheduling & to employ effective measures for
attracting that manpower in adequate number of facilitate
effective selection of an efficient working force.
o While Selection means The process of picking up
individuals with requisite qualifications and competencies
to fill jobs in the organization.
o In Grasim, the process of recruitment and selection is
carried out in five stages:
Requisition Management
Sourcing
Response Management
Interview and Selection
Offer Process.

A three-tire flow chart is followed for the recruitment and

selection of the employees.

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The main 5 stages include many sub stages which are to be
followed to get the best output of the whole function. The
sub stages are as follows:

Requisition Management:
o Need for talent
o Raise requisition
o Approve Requisition
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 o Send Requisition to H.R.
o Hiring Planning Meeting
o Approval from the H.R.

Sourcing:
o Internal Candidates
o Receiving Consultants
o Application Received on company portals
o Online job portals
o Advertisements
o Referrals
o Database from previous applicants

Response Management:
o Receiving applications
o Screening applicants
o Short-listing applicants
o HR Interview
o Testing
o Responding to applications.

Interview & Selection.

o Scheduling interviews
o Interviews
o Selection

Offer Process

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 Compensation Details

Proposal and Pre-Employment

Negotiations checks

Offer letter

The Pre-Employment check-ups include:

1. Medical Check-ups
2. Reference Check-ups
3. Antecedent Check-ups

Induction and Orientation Process:

Induction and orientation process in Grasim is a function carried on for two-days.
In these two days the new joined employee is provided a departmental overview
and the policy of the company and many other details. The orientation process in
Grasim composes of following activities.

Pre-Joining Activities
Introduction of organization
Brief Snap-shot of the company, business and the unit
Departmental overview
Job/ Role Overview

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 People policy and Joining Formalities
Tour of the Facilities
Briefing and Feedback
Meeting with Relevant Stakeholders
Poornata Training
Feedback.

Training snd development process:

Training and development is one of the key HR functions. Most organizations look
at training and development as an integral part of the human resource development
activity. The turn of century has seen increased focus on the same in organizations
globally.

In Grasim based on the data facts, observation&employees interest advise is given

on what skills/competencies are needed to enhance their current performance & to
occupy higher roles in future.

Training is provided basically in following three cases:

Lack of skills/ knowledge

Lack of resources
Lack of support from stakeholders.

5.3. Finance department

Business Performance
Revenue doubled year over year
Caustic Volume up 84%
o Merger of ABCIL

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 o Vilayat Caustic plant achieved 100% capacity utilization
Epoxy volumes up by 66% with product approvals from major
customers in place
EBITDA up by 118% at Rs. 5.2 bn.
EBITDA of existing operation increased from Rs. 2.3bn. to
2.9bn.
Merger of ABCIL added Rs. 2.3bn.

2013-14 2014-15 2015-16

Particulars
(Rs. in bn.) (Rs. in bn.) (Rs. in bn.)
Capacity (000 TPA) 352 452 559
Sales Volume
314 409 558
Caustic Soda(000 MT)
Net Revenue 10.7 17 24.8
EBITDA 2.3 2.9 5.2
EBITDA Margin 21% 17% 21%
EBIT 1.6 2.0 3.8

Financial Ratios of Grasim Industries Limited

Profitability Ratios
Three elements of the profitability analysis:
Analysing on sales and trading margin
focus on gross profit

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 Analysing on the control of expenses
focus on net profit
Assessing the return on assets and return on
equity
Gross Profit Ratio (%) = Gross Profit * 100
Net Sales

Gross Profit Ratio

8000
6000
4000
2000
0
2014-15 2013-14 2012-13
Gross Profit 2604.86 2614.24 2593.65
Net sales 6332.58 5603.5 5255.01
Ratio (%) 41.13426123 46.65369858 49.35575765

Interpretation: The Gross profit ratio was 49.4%

higher in 2012-13 and then fall down to 41.1%
Net Profit Ratio% = Net Profit after tax * 100
Net Sales

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 Net Profit Ratio
8000
6000
4000
2000
0
2014-15 2013-14 2012-13
Net Profit After Tax 529.9 895.99 1225.99
Net sales 6332.58 5603.5 5255.01
Ratio (%) 8.367837438 15.98982779 23.32992706

Return on Assets = Net Profit * 100

Average Total Assets

Return on Assets
15000
10000
5000
0
2014-15 2013-14 2012-13
Net Profit After Tax 529.9 895.99 1225.99
Average total assets 14122.43 13471.865 12051.075
Ratio (%) 3.752187124 6.650823772 10.1732833

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 Return on Equity = Net Profit *100
Average Total Equity

Chart Title
12000
10000
Axis Title

8000
6000
4000
2000
0
2014-15 2013-14 2012-13
Net Profit After Tax 529.9 895.99 1225.99
Average total Equity 11005.25 10474.72 9610.625
Ratio (%) 4.814974671 8.553832465 12.75661052

Liquidity or Short-Term Solvency ratios

Short-term funds management
Working capital management is important
as it signals the firms ability to meet short
term debt obligations.

Working Capital
2014- 2013- 2012-
Particulars 15 14 13
Current Assets 3717.12 3623.76 3610.77
Current
Liabilities 1624.63 1526.72 1563.04
Working 2092.49 2097.04 2047.73

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Capital

Current Ratio
2014- 2013- 2012-
Particulars 15 14 13
Current Assets 3717.12 3623.76 3610.77
Current
Liabilities 1624.63 1526.72 1563.04
Ratio 2.29 2.37 2.31

Qucik Ratio
2014- 2013- 2012-
Particulars 15 14 13
Current Assets 3717.12 3623.76 3610.77
Inventory 1433.15 1212.27 789.34
Prepayments 642.96 551.49 567.56
1641.01 1860.00 2253.87
Current
Liabilities 1624.63 1526.72 1563.04
Bank overdraft 0.00 0.00 0.00
1624.63 1526.72 1563.04
Qucik Ratio 1.01 1.22 1.44

Asset Turnover Ratio

Particulars 2014-15 2013-14 2012-13
Net sales 6332.58 5603.50 5255.01
Average total
assets 14122.43 13471.87 12051.08
Asset Turnover
Ratio 0.45 0.42 0.44

Inventory Turnover Ratio

Particulars 2014-15 2013-14 2012-13
Cost of goods sold 5667.61 4742.17 4166.83

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Average Ending
Inventory 1322.71 1000.81 710.13
Inventory Turnover
Ratio 4.28 4.74 5.87

Debt Equity Ratio

Particulars 2014-15 2013-14 2012-13
Debt 3184.29 3050.07 2944.22
Equity 11182.92 10827.58 10121.86
Debt Equity
Ratio 0.28 0.28 0.29

Debt Total Asset Ratio

Particulars 2014-15 2013-14 2012-13
Debt 3184.29 3050.07 2944.22
Total Assets 14367.21 13877.65 13066.08
Debt Total Asset Ratio
(%) 22.16 21.98 22.53

Equity Ratio
Particulars 2014-15 2013-14 2012-13
Equity 11182.92 10827.58 10121.86
Total Assets 14367.21 13877.65 13066.08
Equity Ratio
(%) 77.84 78.02 77.47

Earning Per Share

2014- 2013- 2012-
Particulars 15 14 13
Net Profit After Tax 529.90 895.99 1225.99
No. of Issued Ordinary
Shares 9.50 9.50 9.50
Earning Per Share 55.78 94.31 129.05

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Dividend Per Share
2014- 2013- 2012-
Particulars 15 14 13
Dividend 192.91 206.24 205.82
No. of Issued Ordinary
Shares 9.50 9.50 9.50
Dividend Per Share 20.31 21.71 21.67

Dividend Payout Ratio

2014- 2013- 2012-
Particulars 15 14 13
Dividend Per Share 20.31 21.71 21.67
Earning Per Share 55.78 94.31 129.05
Dividend Payout
Ratio(%) 36.40 23.02 16.79

5.4. Marketing department

Major export from Thailand earlier was transported.
Market Russia, Turkey, U.S.,Europe E major
Duties get free if Form A is issued with the dispatch
Grasim- India
Aditya Birla Thailand
CTP-Plant takenover from germany manufacture Hardener
India, Thailand, Germany Manufacturing Plant
South east Asia, Europe, Turkey, U.S Market Area
Europe, India, U.S., Thailand (Bankok)
Presently regionwise focus (Middle-East)
Through distributor & direct customer
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 Aditya Birla Science & Technology, Taloja, Mumbai for
new product department
Inbound Customer orders & raw material import
SAP system for order collection & other process
Competitors
o Dove
o BSF
o Kukdo
o Hansman

Pricing
o Diesel & Petrol
o BPA (raw material)
o Competitor
o Other raw material
Reason for export
o Government Promoter Export
o Foreign Currency Import
Import
o After Bhopal Gas Tragedy many raw material are
banned in India e.g BPA.So, due to this ban, goods are
imported.
2 Distributors in India
8 Distributors in Europe
3 Distributors in USA
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 Deport only in India, Mumbai

5.5. Process department

Customer will give the order pertaining to the
specifications of the product (i.e. based on the viscosity
& EEW etc.)
The R&D department will carry out the research &
prepare a sample of the product specified.
The sample will be then send to the process department.
Process department will carry out the production on a
mini scale at the pilot plant situated at the place. Make
sample and will send it to the customer for approval, if
the customer approves, then process department would
inform and guide the production department to produce
the same product as ordered by the customer.

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6. Introduction to Mini
Research
REASONS TO CHOOSE THE PROJECT

When I joined the training at Grasim Industries Ltd. I was

allotted the project of ABSENTEEISM OF
EMPLOYEES. Initially it appeared to me quite a simple
project, but as I started working on it only then I understood
its real significance.

It is often easier for the organizations to make arrangement to

cover staffs, which are going to be off for long periods.
However, employees taking odd days off here and such
problematic, can have an immediate impact.

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6.1 Literature Review

6.2 Objective of the Study

PRIMARY OBJECTIVE
To identify the rate of Absenteeism of
Employees at GRASIM INDUSTRIES LTD.
SECONDARY OBJECTIVE
To identify the causes of absenteeism.
To study the variation in the rate of absenteeism
of lower income group and higher income group
Employees of Grasim industries ltd.
To study the variation in the rate of absenteeism
of young and aged Employees of Grasim
industries ltd.
To suggest any measures to reduce the rate of
absenteeism

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7. Research methodology
In this project, data was collected by Questionnaire Survey. A
random selection of samples from the Employee segment.

Thus, 50 Employees were selected for survey through the

questionnaires prepared. This helped to be fair to all by not keeping in
view the past record of absenteeism of individuals.

The secondary data was collected from:

Monthly absenteeism data.
Leave records of employees.

After the collection of data, the response of the 50 individuals were

arranged in a chronological pattern and then evaluated.
Hence, to be on the safer side, it would always be wise to work
keeping a particular method in mind.

7.1 Research Design

The research design used in this project is descriptive in
nature with a sample of 50 Employees

Page 48
7.2 Sampling technique
Convenience sampling or non-probability sampling
technique is used in this project. The population for the
present research study include 50 Employees of Grasim
Industries Ltd. Vilayat. They were enrolled in different
departments and shifts . Such 50 Employes is part of
total Employees i.e. 200 in the chemical Division of
Grasim Industries Limited.
7.3 Tools for Data collection
The sources of data for the purpose of study were both
primary and secondary. Primary data was collected through
questionnaire which was mainly close-ended questionnaire and
discussion with Employees whereas secondary data was
collected from records maintained by H R department and
Security office. Percentage method is used for the analysis of
data and bar graphs are used to present that data .

Page 49
8. Data Analysis &
Interpretation
The data analysis of Questionnaire is as follows:
Question A
Age of the Employee Respondent %
Below 20 years 6 12%
21-25 years 13 26%
25-30 years 13 26%
Above 30 years 18 36%
Total 50 100%

Response Age of the Employee

categories x f fx x(fx)
Below 20 years 4 6 24 96
21-25 years 3 13 39 117
25-30 years 2 13 26 52
Above 30 years 1 18 18 18
Total 50 107 283
Mean 2.14
Variance 54.02

Page 50
 Age of Employee's
120%

100%
100%
80%

60%

40%
36%
20% 26% 26%
12%
0%
Below 20 years 21-25 years 25-30 years Above 30 years Total

Interpretation of Question A

It can be interpreted that the age of employees majorly

consists of above 25 years which can also be seen by mean of
the data being 2.14 which is more than 50% of 4.

Question B

Gender of the Employees Respondent %

Male 44 88%
Female 6 12%
Total No. of Employees 50 100%

Page 51
 Response Gender of the Employees
categories x f fx x(fx)
Male 2 44 88 176
Female 1 6 6 6
Total 50 94 182
Mean 1.88
Variance 5.28

Gender of employee's

Female 12%

Male
Female
Male 88%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Interpretation of Question B
It can be seen that major employees working in Grasim
Industries are male being 88% and very less proportion depicts
that of females which is just 12%.

Question C

Page 52
 Marital
% Respondent
status
Married 72% 36
Unmarried 28% 14
Total No. of
100% 50
Employee's

Response Marital status

categories x f fx x(fx)
Married 2 36 72 144
Unmarried 1 14 14 14
Total 50 86 158
Mean 1.72
Variance 10.08

Page 53
 Marital status of Employee's

Unmarried 28%

Married
Unmarried

Married 72%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Interpretation of Question C

It can be seen that major employees working in Grasim

Industries are unmarried being 72% and proportion of married
employees is 28%.

Question 1
For how many year's you are working with Grasim industries
ltd.

Page 54
 For how many year's you are
working with grasim industries % Respondent
ltd.
Less than 5 years 86% 43
6 to 10 years 8% 4
11 to 15 years 4% 2
20 years and Above 2% 1
Total No. of Employee's 100% 50

Response Work Experience

categories x f fx x(fx)
Less than 5 years 4 43 172 688
6 to 10 years 3 4 12 36
11 to 15 years 2 2 4 8
20 years and
1 1 1 1
Above
Total 50 189 733
Mean 3.78
Variance 18.58

Page 55
 Work Experience with Grasim of Employee's
100%
90% 86%

80%
70%
60%
50%
40%
30%
20%
8%
10% 4% 2%
0%
Less than 5 years 6 to 10 years 11 to 15 years 20 years and Above

Interpretation of Question 1

It can be seen that major employees working in Grasim

Industries are less experiences as 86% of employees are
having less than 5 years of experience than others.It can also
be interpreted that majority of the employees are newly
appointed.

Question 2

Monthly Income % Respondent

Less than 10,000 10% 5
10,001 to 25,000 22% 11
25,001 to 35,000 20% 10
35,001 to 45,000 38% 19
45,001 and above 10% 5

Page 56
Total No. of Employees 100% 50

Response Monthly Income

categories x f fx x(fx)
Less than 10,000 5 5 25 125
10,001 to 25,000 4 11 44 176
25,001 to 35,000 3 10 30 90
35,001 to 45,000 2 19 38 76
45,001 and above 1 5 5 5
Total 50 142 472
Mean 2.84
Variance 68.72

Monthly Income of Employee's

45,001 and above 10%

35,001 to 45,000 38%

25,001 to 35,000 20%

10,001 to 25,000 22%

Less than 10,000 10%

0% 5% 10% 15% 20% 25% 30% 35% 40%

Interpretation of Question 2

It can be seen that Monthly income of employees have

variation but both category employees having less than
Page 57
 Rs.10,000/- of monthly income and that having more than
45,000/- of monthly income is comparatively less than the
other three categories.

Question 3

Employee opinion about the job % Respondent

Heavy work load 52% 26
Long hours of work 24% 12
Poor working climate 24% 12
Total No. of Employee 100% 50

Employee opinion about the job

Response categories
x f fx x(fx)
Heavy work load 3 26 78 234
Long hours of work 2 12 24 48
Poor working climate 1 12 12 12
Total 50 114 294
Mean 2.28
Variance 34.08

Page 58
 Employee opinion about the job
60%
52%
50%

40%

30%
24% 24%

20%

10%

0%
Heavy work load Long hours of work Poor working climate

Interpretation of Question 3
52% of Employees have heavy work load on job with creates
over work load pending when they remain absent

Question 4

Your views regarding the present

% Respondent
absenteesim policy of grasim industries ltd.
Highly satisfied 4% 2
Satisfied 30% 15
Neutral 40% 20
Dis-satisfied 18% 9

Page 59
 Highly Dis-satisfied 0% 0
Don't know 8% 4
Total No. of Employees 100% 50

Your views regarding the present

Response categories absenteesim policy of grasim industries ltd.
x f fx x(fx)
Highly satisfied 6 2 12 72
Satisfied 5 15 75 375
Neutral 4 20 80 320
Dis-satisfied 3 9 27 81
Highly Dis-satisfied 2 0 0 0
Don't know 1 4 4 4
Total 48 186 780
Mean 3.875
Variance 59.25

%
Highly satisfied
Highly Dis-satisfied 4%
0%
Don't
know
8%

Dis-satisfied Satisfied
18% 30%

Neutral
40%

Page 60
 Interpretation of Question 4
Maximum amount of Employees are Neutral which means
there is a need of improvement to convert them into satisfied
and high satisfaction .

Question 5

Duration of the leave taken by an

% Respondent
employee in an month
1 day 44% 22
2-3 days 40% 20
4-5 days 16% 8
More than 5 days 0% 0
Total No. of Employee's 100% 50

Duration of the leave taken by an employee

Response
in an month
categories
x f fx x(fx)
1 day 4 22 88 352
2-3 days 3 20 60 180
4-5 days 2 8 16 32
More than 5 days 1 0 0 0
Total 50 164 564
Mean 3.28
Variance 26.08

Page 61
 Leaves taken by Employee's
50%

45%

40% 44%
40%
35%

30%

25%

20%

15%
16%
10%

5%
0%
0%
1 day 2-3 days 4-5 days More than 5 days

Interpretation of Question 5
Maximum time 1 day leave is taken ,only 4% less than 2-3
days in future the % of other group can increase therefore
absent management programmers should be done .

Question 6

Employee's opinion about

balancing their personal
% Respondent
life with the professional
life
yes,they can balance 76% 38
No,they cannot 24% 12
Total No. of Employee's 100% 50

Page 62
 Employee's opinion about balancing their personal life with the
Response categories professional life
x f fx x(fx)
yes,they can balance 2 38 76 152
No,they cannot 1 12 12 12
Total 50 88 164
Mean 1.76
Variance 9.12

opinion abou work life balance

24%

yes,they can balance

No,they cannot

76%

Interpretation of Question 6
78% Employee think work can be balanced with personal life.
Which can improve absenteesim in company

Question 7

Page 63
 Employee's opinion about the
% Respondent
effect of a absenteeism
Cause work stress 16% 8
Delayed performance 12% 6
Lead to overtime 22% 11
Less turnover 8% 4
All the Above 42% 21
Total No. of Employee's 100% 50

Employee's opinion about the effect of a

Response
absenteeism
categories
x f fx x(fx)
Cause work stress 5 8 40 200
Delayed
4 6 24 96
performance
Lead to overtime 3 11 33 99
Less turnover 2 4 8 16
All the Above 1 21 21 21
Total 50 126 432
Mean 2.52
Variance 114.48

Page 64
 Opinion about the effect of a absenteesim
45%

40% 42%

35%

30%

25%

20% 22%

15%
16%
10% 12%

5% 8%

0%
Cause work stress Delayed performance Lead to overtime Less turnover All the Above

Interpretation of Question 7
Maximum Employee think that absence create work stress,
Delayed performance, lead to overtime and less turnover all
of these .

Question 8

Employee satisfaction level

with relationship with the % Respondent
superior
Highly satisfied 22% 11
Satisfied 46% 23
Neutral 30% 15
Dis-satisfaction 2% 1
Page 65
 Highly Dis-satisfied 0% 0
Total No. of Employee's 100% 50

Employee satisfaction level with relationship

Response
with the superior
categories
x f fx x(fx)
Highly satisfied 5 11 55 275
Satisfied 4 23 92 368
Neutral 3 15 45 135
Dis-satisfaction 2 1 2 4
Highly Dis-
1 0 0 0
satisfied
Total 50 194 782
Mean 3.88
Variance 29.28
Employee satisfaction level with the superior
Dis-satisfaction
2%
Highly Dis-satisfied
0%

Neutral Highly satisfied

30% 22%

Satisfied
46%

Page 66
 Interpretation of Question 8
46% are satisfied with the superior and 22% highly satisfied
goo relation also reduce absenteeism.

Question 9

Employee opinion for long absence % Respondent

Family problem 26% 13
Personal problem 34% 17
Religious matter 0% 0
Social obligation 26% 13
None of the above 14% 7
Total No. of Employee's 100% 50

Response Employee opinion for long absence

categories x f fx x(fx)
Family problem 5 13 65 325
Personal problem 4 17 68 272
Religious matter 3 0 0 0
Social obligation 2 13 26 52
None of the above 1 7 7 7
Total 50 166 656
Mean 3.32
Variance 104.88

Page 67
 Employee's opinion for Long absence
40%

35%
34%
30%

25%
26% 26%
20%

15%
14%
10%

5%
0%
0%
Family problem Personal problem Religious matter Social obligation None of the above

Interpretation of Question 9
The long absence is due to personal problems therefore
company has to provide good facility of counseling to
overcome this problem.
Question 10

Are the co-employees

helping in the work of an % Respondent
employee
Yes 100% 50
No 0% 0
Total No. of Employee's 100% 50

Page 68
 Are the co-employees helping in the work of
Response
an employee
categories
x f fx x(fx)
Yes 2 50 100 200
No 1 0 0 0
Total 50 100 200
Mean 2
Variance 0

level of the co-worker helping in the work of an

employee
Yes No

100%

0%

Yes No

Interpretation of Question 10
100% the co-worker help in work of an Employees can
reduce absenteeism.
Question 11

Employee reason % Respondent

Page 69
 for leave
Sickness 62% 31
Lack of Interest
4% 2
in job
Poor working
8% 4
condition
Long working
26% 13
hours
Total No. of
100% 50
Employee's

Response Employee reason for leave

categories x f fx x(fx)
Sickness 4 31 124 496
Lack of Interest in
3 2 6 18
job
Poor working
2 4 8 16
condition
Long working
1 13 13 13
hours
Total 50 151 543
Mean 3.02
Variance 86.98

Page 70
 Employee reason for leave
70%

60%
62%

50%

40%

30%

20% 26%

10%
4% 8%
0%
Sickness Lack of Interest in job Poor working condition Long working hours

Interpretation of Question 11
Most of the time Employee take leave due to sickness
therefore to reduce the percentage health check programmes
should be done for Employees as well as once for their
family.

Question 12
Employee
opinion
% Respondent
regarding work
environment
Excellent 14% 7
Good 64% 32

Page 71
 Fair 20% 10
Poor 2% 1
Total No. of
100% 50
Employee's

Employee opinion regarding work

Response
environment
categories
x F fx x(fx)
Excellent 4 7 28 112
Good 3 32 96 288
Fair 2 10 20 40
Poor 1 1 1 1
Total 50 145 441
Mean 2.9
Variance 20.5

Employee opinion regarding work enviornment

70%
64%

60%

50%

40%

30%
20%
20%
14%

10%
2%
0%
Excellent Good Fair Poor

Page 72
 Interpretation of Question 12
The work Environment is good but still can improve.

Question 13

Type of work pressure the Employee

% Respondent
facing in the organisation
Forced to do work 44% 22
Improper environment 30% 15
Strict supervision 26% 13
Total No. of Employee's 100% 50

Type of work pressure the Employee facing

Response
in the organisation
categories
x f fx x(fx)
Forced to do work 3 22 66 198
Improper
2 15 30 60
environment
Strict supervision 1 13 13 13
Total 50 109 271
Mean 2.18
Variance 33.38

Page 73
 Work pressure faced by Employee's
50%
44%
45%

40%

35%
30%
30%
26%
25%

20%

15%

10%

5%

0%
Forced to do work Improper environment Strict supervision

Interpretation of Question 13
44% of Employees are forced to do work to improved
flexible scheduling of the work should be done.

Question 14

Is the company providing adequate nuber of

% Respondent
leave to the employee when they ask
Yes 84% 42
No 16% 8
Total No. of Employee's 100% 50

Page 74
 Is the company providing adequate nuber of
Response
leave to the employee when they ask
categories
x f fx x(fx)
Yes 2 42 84 168
No 1 8 8 8
Total 50 92 176
Mean 1.84
Variance 6.72

Satisfactory level of leave granted when asked by Employee's

Yes No

16%

84%

Interpretation of Question 14
The leave granted by company is appropriate.
Question 15

Page 75
 Employee opinion about the factors to reduce
% Respondent
the absenteeism
Increase in number of holidays 26% 13
Better working conditions 16% 8
Providing non-monetarybenefit 34% 17
Better performance appraisal 24% 12
Total No. of Employee's 100% 50

Employee opinion about the factors to reduce

Response
the absenteeism
categories
x f fx x(fx)
Increase in number
4 13 52 208
of holidays
Better working
3 8 24 72
conditions
Providing non-
2 17 34 68
monetarybenefit
Better performance
1 12 12 12
appraisal
Total 50 122 360
Mean 2.44
Variance 62.32

Page 76
 Employee opinion about the factor's to reduce the
absenteeism
40%

34%
35%

30%
26%
24%
25%

20%
16%
15%

10%

5%

0%
Increase in number of Better working conditions Providing non- Better performance
holidays monetarybenefit appraisal

Interpretation of Question 15
The Employees should get more non-monetary benefits to
reduce absenteeism.

Question 16

Employee level of awareness regarding their

% Respondent
absent from their work
Strongly Agree 12% 6
Agree 48% 24
Neutral 40% 20
Disagree 0% 0

Page 77
 Strongly Disagree 0% 0
100% 50

Employee level of awareness regarding their

Response
absent from their work
categories
x f fx x(fx)
Strongly Agree 5 6 30 150
Agree 4 24 96 384
Neutral 3 20 60 180
Disagree 2 0 0 0
Strongly Disagree 1 0 0 0
Total 50 186 714
Mean 3.72
Variance 22.08

Employee level of awareness regarding their absent

from their work
48%
50%
45% 40%
40%
35%
30%
25%
20%
12%
15%
10%
5% 0% 0%
0%
Strongly Agree Agree Neutral Disagree Strongly Disagree

Interpretation of Question 16
Page 78
 45% agree that awareness of absence can reduce absenteeism
therefore Employee absent repot is to be given to Employees
for there record.

Question 17

Employee
opinion about job
enrichment
% Respondent
creates reduction
in absenteeism of
employee's
Strongly agree 16% 8
Agree 52% 26
Neutral 32% 16
Dis-agree 0% 0
Strongly Dis-
0% 0
agree
100% 50

Employee opinion about job enrichment

Response creates reduction in absenteeism of
categories employee's
x f fx x(fx)
Strongly Agree 5 8 40 200
Agree 4 26 104 416
Neutral 3 16 48 144
Disagree 2 0 0 0
Strongly Disagree 1 0 0 0
Page 79
 Total 50 192 760
Mean 3.84
Variance 22.72

Employee opinion about job enrichment creates

reduction in absenteeism of employee's
60%
52%
50%

40%
32%
30%
16%
20%

10%

0%
0%
0%
Strongly agree
Agree
Neutral
Dis-agree
Strongly Dis-
agree

Interpretation of Question 17
52% thing job Enrichment can reduce absenteeism

Question 18

Employee opinion to reduce absenteeism % Respondent

Adapting job rotation 22% 11
Job enrichment 34% 17
Co-ordination with co-Worker's 32% 16

Page 80
 Efficient superior 12% 6
100% 50

Employee opinion to reduce absenteeism

Response categories
x f fx x(fx)
Agree 4 11 44 176
Neutral 3 17 51 153
Disagree 2 16 32 64
Strongly Disagree 1 6 6 6
Total 50 133 399
Mean 2.66
Variance 45.22

Employee opinion to reduce absenteeism

40%
34%
35% 32%

30%

25% 22%

20%

15% 12%

10%

5%

0%
Adapting job rotation Job enrichment Co-ordination with co- Efficient superior
Worker's

Interpretation of Question 18
34% think job enrichment hence it can reduce absenteeism

Page 81
 Question 19

Employees opinion on the

motivational factor avoiding % Respondent
taking leave
Good employee relation 26% 13
Work enviornment 30% 15
Recognition of the work 26% 13
Incentives and bonus based
18% 9
on performance
100% 50

Employees opinion on the motivational factor avoiding taking

Response categories leave
x f fx x(fx)
Good employee relation 4 13 52 208
Work enviornment 3 15 45 135
Recognition of the work 2 13 26 52
Incentives and bonus based
1 9 9 9
on performance
Total 50 132 404
Mean 2.64
Variance 55.52

Page 82
 Employees opinion on the motivational factor
avoiding taking leave
35%
30%
30%
26% 26%
25%

20% 18%

15%

10%

5%

0%
Good employee relation Work enviornment Recognition of the work Incentives and bonus based
on performance

Interpretation of Question 19
30% think Improvement in work Environment can be a
motivational factor to reduce absenteeism hence it can reduce
absenteeism

Variations

Variation in the rate of absenteeism of young and aged employees

Duration of the
Below 20 21-25 25-30 Above 30
leave taken by an
years years years years
employee in an

Page 83
 month

1 day 1 5 7 9
2-3 days 1 5 6 8
4-5 days 4 3 0 1
More than 5 days 0 0 0 0

the variation in the rate of absenteeism of young

and aged employees

100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Below 20 years 21-25 years 25-30 years Above 30 years

1 day 2-3 days 4-5 days More than 5 days

Interpretation
The age group below 20 years take more days leave
And above 30 years take less no. of leave more times.

Variation in the rate of absenteeism of lower income employees and

higher income employees

Monthly Income 1 day 2-3 4-5 More

Page 84
 days days than 5
days
Less than 10,000 1 2 2 0
10,001 to 25,000 10 4 5 0
25,001 to 35,000 2 8 1 0
35,001 to 45,000 3 2 0 0
45,001 and above 6 4 0 0

The variation in the rate of absenteeism of lower

income employees and higher income employees

100%

80%

60%

40%

20%

0%
Less than 10,001 to 25,001 to 35,001 to 45,001 and
10,000 25,000 35,000 45,000 above

1 day 2-3 days 4-5 days More than 5 days

Interpretation
Less than 10,000 income group take more leave of 4 to 5 days
and middle income group take 2-3 days leave more and
45,001 and above income group take I day leave more.

Page 85
7.4 Limitations of study
There are some limitations for research which are as follows:-
As it was not possible to visit each department the true picture of
working condition could not be judged.
The personal biases of the respondents might have entered into their
response.
Respondents were reluctant to disclose complete and correct
information Because of a small period of time only small sample had
to be considered which doesnt actually reflect and accurate and intact
picture

Page 86
9. Findings, Conclusion
Recommendations
It can be interpreted that the age of employees majorly
consists of above 25 years which can also be seen by mean
of the data being 2.14 which is more than 50% of 4.

It can be seen that major employees working in Grasim

Industries are male being 88% and very less proportion
depicts that of females which is just 12%.

It can be seen that major employees working in Grasim

Industries are unmarried being 72% and proportion of
married employees is 28%.

It can be seen that major employees working in Grasim

Industries are less experiences as 86% of employees are
having less than 5 years of experience than others.It can
also be interpreted that majority of the employees are
newly appointed.

Page 87
 It can be seen that Monthly income of employees have
variation but both category employees having less than
Rs.10,000/- of monthly income and that having more than
45,000/- of monthly income is comparatively less than the
other three categories.

52% of Employees have heavy work load on job with

creates over work load pending when they remain absent

Maximum amount of Employees are Neutral which means

there is a need of improvement to convert them into
satisfied and high satisfaction .

Maximum time 1 day leave is taken ,only 4% less than 2-3

days in future the % of other group can increase therefore
absent management programmers should be done

78% Employee think work can be balanced with personal

life. Which can improve absenteesim in company

Maximum Employee think that absence create work stress,

Delayed performance, lead to overtime and less turnover all
of these

Page 88
 46% are satisfied with the superior and 22% highly
satisfied goo relation also reduce absenteeism

The long absence is due to personal problems therefore

company has to provide good facility of counseling to
overcome this problem.

100% the co-worker help in work of an Employees can

reduce absenteeism
Most of the time Employee take leave due to sickness
therefore to reduce the percentage health check
programmes should be done for Employees as well as once
for their family.

The work Environment is good but still can improve.

44% of Employees are forced to do work to improved

flexible scheduling of the work should be done.

The leave granted by company is appropriate .

The Employees should get more non-monetary benefits to

reduce absenteeism.

Page 89
 45% agree that awareness of absence can reduce
absenteeism therefore Employee absent repot is to be given
to Employees for there record.

52% thing job Enrichment can reduce absenteeism

34% think job enrichment hence it can reduce absenteeism

30% think Improvement in work Environment can be a

motivational factor to reduce absenteeism hence it can
reduce absenteeism

The age group below 20 years take more days leave

And above 30 years take less no. of leave more times.

Less than 10,000 income group take more leave of 4 to 5

days and middle income group take 2-3 days leave more
and 45,001 and above income group take I day leave more.

Page 90
RECOMMENDATIONS

Absenteeism is a serious problem for management because it involves

heavy additional expenses. The management should take the following
measures to reduce the rate of absenteeism:-

Provide Incentives- An incentive provides an employee with a

boost to their motivation and avoid unnecessary absenteeism.
Incentives like two hours of bonus pay for every month of perfect
attendance can improve a lot.

Employee Assistance Program- If you confront an employee

about his or her frequent absenteeism and you find out that it is due
to personal problems refer them to EAP.

Sickness Reporting Tell employees that they must phone in as

early as possible to advise why they are unable to make it to work
and when they expect to return.

Non Monetary Awards: A notice board could be put up at the

shop floor displaying the name of the employees and his
department who is being conferred this award. This award could be
Page 91
 like: Employee of the month award based on Efficiency. A
quarterly attendance award. Disciplinary awards can be given to
employees against whom there are no reports of misconduct.

Conduct Workshops: Identify the chronic absentees and conduct

a workshop focusing on their areas of interest in work and their job
satisfaction definitions. This response can be discussed with the
subordinates openly and they can be placed in their respective
departments of work so that their talents and capabilities can be
utilized efficiently.

Training to Supervisors: They must be given training on their

behavioral aspects with the employees and they must be given a
human oriented approach so that they prove to be good friends of
the employees and the working environment becomes pleasant.

Job Rotation: Employees must be given different jobs at different

shifts so that his job does not become monotonous, repetitive and
boring.
Flexi-time can also be allowed within certain limitations.

Page 92
 Verification of Medical certificate: It is generally observed that
employees take unauthorized leave and then provide a medical
certificate. The leave
then becomes authorized. Thus, the medical certificates must be
verified by the management for their authenticity.

Counseling: The Union representatives could visit the houses of

the absentee employee and counsel them about the ill effects of
their being absent. E.g. their financial losses, their importance in
the production of the company, their family conditions, etc.

Page 93
10. Bibliography
Internet surfing

www.google.com
https://onlinelibrary.wiley.com
https://digitalcommons.ilr.cornell.edu
https://experts.illinois.edu
https://citeseerx.ist.psu.edu

Page 94
Page 95