PROJECT REPORT

ON A STUDY ON EMPLOYEE MOTIVATION IN HINDUSTAN AERONAUTIC LTD LUCKNOW

SUBMITTED TO: SUBMITTED BY: MONIKA CHAUHAN HR.DEPTT. 2 YEAR MBA

SHAMBHU NATH INSTITUTE OF ENGINEERING & TECHNOLOGY, JHALWA, ALLAHABAD (U.P.) (Approved by AICTE & Affiliated to U.P.T.U Lucknow)

DECLARATION

I Monika chauhan declare that the research work presented in this project A STUDY ON EMPLOYE MOTIVATION report for the fulfillment of award of M.B.A from S.I.E.T. Allahabad (U.P.) is based on my work during the Summer Training in the Hindustan aeronautic ltd lucknow

The project embodies the result of the original work and studies carried out by me and the content of the project do not form the basis for the award of any other degree to me or anybody else.

Monika chauhan
M.B.A (H.R.) (llnd sem)

shambhunath institute of engineering & technology ALLAHABAD

ACKNOWLEDGEMENT

I would like to pay my sincere thanks to HINDUSTAN AERONAUTICS LTD for giving me an opportunity to work with them. I take this opportunity to pay our sincere thanks to all those who have helped us during this project work with their able guidance and invaluable advice.

I would like to take this opportunity to thank the employees of HAL. for extending their Co-operation, support and guidance right from conceptualizations to the completion of the project.

I express my sincere gratitude to my faculty guide MS UPASNA SRIVASTAVAfor her able guidance, continuous support and cooperation throughout my project, without which the present work would not have been possible.

I would also like to thank the entire team of HAL for the constant support and help in the successful completion

MONIKA CHAUHAN

TABLE OF CONTENT
CHAPTERS NO
Chapter:1 Chapter:2 6
4

TOPICS

PAGE

objectives of the study summary

4 5-

-chapter:3 8 Chapter:4 Chapter:5 Chapter:6 47 chapter:7 58 Chapter:8 81 Chapter:9 Chapter:10 Chapter:11 Chapter:12 Chapter:13 Chapter:14 Chapter:15

introduction

7-

human resource manegment compay profile introduction of motivation 12-20

9-11

21-

research methodology

48-

data analysis& interpritation

59-

findings suggestion limitation conclusion scope for further resarch bibliography questionnaire

82-83 84 85 86 87 88-89 90-94

OBJECTIVES OF THE STUDY

This study has been carried out with the following objectives 1. To study the important factors which are needed to motivate the employees. 2. To study the effect of monetary and non-monetary benefits provided by the organization on the employees performance.
3.

To

study

the

effect

of

job

promotions

on

employees. 4. To recommend some important motivation

techniques to improve the employees.

SUMMARY This document aims at providing employees and

management members with the information that can be beneficial both personally and professionally. Every business enterprise has multiple objectives including of adequate profit for payment of a reasonable rate of return to the owners and for investment in business through satisfaction of customers, maintenance of a contended workforce and creation of a public image. The basic job of management of any business is the effective utilization financial of and available physical human resources resources, for the

technological,

achievement of the business objectives. This project entitled as Employee motivation was done to find out the factors which will motivate the employees. The study undertakes various efforts to analyze all of them in great details. The researcher in this project at the outset gives the clear idea of the entire department existing in the company. From the study, the researcher was able to find some of the important factors which motivate the employees. Factors like
7

financial incentives and non financial inventive, performance appraisal system, good relationship with co-workers,

promotional opportunities in the present job, employee participation in decision making are very much effect the level employee motivation. It is also clear from the study that the company is so eager in motivating their employees and their present effort for it so far effective. The human resources can play an important role in the realization of the objectives. Employees work in the

organization for the satisfaction of their needs. If the human resources are not properly motivated, the management will not be able to accomplish the desired results. Therefore, human resources should be managed with utmost care to inspire, encourage and impel them to contribute their

maximum for the achievement of the business objectives.

INTRODUCTION The project work entitled a STUDY ON EMPLOYEE MOTIVATION. This work is mainly conducted to identify the factors which will motivate the employees. Managements basic job is the effective utilization of human resources for achievements of organizational

objectives. The personnel management is concerned with organizing human resources in such a way to get maximum output to the enterprise and to develop the talent of people at work to the fullest satisfaction. Motivation implies that one person, in organization context a manager, includes another, say an employee, to engage in action by ensuring that a channel to satisfy those needs and aspirations becomes available to the person. In addition to this, the strong needs in a direction that is satisfying to the latent needs in employees and harness them in a manner that would be functional for the organization.

Employee motivation is one of the major issues faced by every organization. It is the major task of every manager to motivate his subordinates or to create the will to work among the subordinates. It should also be remembered that a worker may be immensely capable of doing some work; nothing can be achieved if he is not willing to work. A manager has to make appropriate use of motivation to enthuse the employees to follow them. Hence this studies also focusing on the employee motivation among the employees of H.A.L. Lucknow. The data needed for the study has been collected from the employees through questionnaires and through direct interviews. Analysis and interpretation has been done by using the statistical tools and datas are presented through tables and charts.

10

HUMAN RESOURCE MANAGEMENT Human resource management (HRM) is the strategic and coherent approach to the of management an

organization's most valued assets - the people working there who individually and collectively contribute to the

achievement of the objectives of the business. The terms "human resource management" and "human resources" (HR) have largely replaced the term "personnel management" as a description of the processes involved in managing people in organizations. Human Resource management is evolving rapidly. Human resource management is both an academic theory and a business practice that addresses the theoretical and practical techniques of managing a workforce. The Human Resources Management (HRM) function includes a variety of activities, and key among them is deciding what staffing needs you have and whether to use independent contractors or hire employees to fill these needs, recruiting and training the best employees, ensuring they are high performers, dealing with
11

performance

issues,

and

ensuring your personnel and management practices conform to various regulations. Activities also include managing your approach to employee benefits and compensation, employee records and personnel policies. Usually small businesses (forprofit or nonprofit) have to carry out these activities

themselves because they can't yet afford part- or full-time help. However, they should always ensure that employees have -- and are aware of -- personnel policies which conform to current regulations. These policies are often in the form of employee manuals, which all employees have.

HRM is seen by practitioners in the field as a more innovative view of workplace management than the traditional approach. Its techniques force the managers of an enterprise to express their goals with specificity so that they can be understood and undertaken by the workforce and to provide the resources needed for them to successfully accomplish their assignments. As such, HRM techniques, when properly practiced, are expressive of the goals and operating practices
12

of the enterprise overall. HRM is also seen by many to have a key role in risk reduction within organizations. The HRM function and HRD profession have undergone tremendous change over the past 20-30 years. Many years ago, large organizations looked to the "Personnel

Department," mostly to manage the paperwork around hiring and paying people. More recently, organizations consider the "HR Department" as playing a major role in staffing, training and helping to manage people so that people and the organization are performing at maximum capability in a highly fulfilling manner.

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COMPANY PROFILE(H.A.L.) Aeronautics Limited (HAL) came into existence on 1st October 1964. The Company was formed by the merger of Hindustan Aircraft Limited with Aeronautics India Limited and Aircraft Manufacturing Depot, Kanpur. The Company traces its roots to the pioneering efforts of an industrialist with extraordinary vision, the late Seth Walchand Hirachand, who set up Hindustan Aircraft Limited at Bangalore in association with the erstwhile princely State of Mysore in December 1940. The Government of India became a shareholder in March 1941 and took over the Management in 1942. Today, HAL has 19 Production Units and 9 Research and Design Centers in 7 locations in India. The Company has an impressive product track record - 12 types of aircraft manufactured with in-house R & D and 14 types produced under license. HAL has manufactured over 3550 aircraft, 3600 Engines and overhauled over 8150 aircraft and 27300 Engines. HAL has been successful in numerous R & D programs developed for both Defence and Civil Aviation sectors. HAL has made substantial progress in its current projects:

Dhruv, which is Advanced Light Helicopter (ALH) Tejas - Light Combat Aircraft (LCA) Intermediate Jet Trainer (IJT) Various military and civil upgrades.

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Dhruv was delivered to the Indian Army, Navy, Air Force and the Coast Guard in March 2002, in the very first year of its production, a unique achievement. HAL has played a significant role for India's space programs by participating in the manufacture of structures for Satellite Launch Vehicles like

PSLV (Polar Satellite Launch Vehicle) GSLV (Geo-synchronous Satellite Launch Vehicle) IRS (Indian Remote Satellite) INSAT (Indian National Satellite)

HAL has formed the following Joint Ventures (JVs):

BAeHAL Software Limited Indo-Russian Aviation Limited (IRAL) Snecma HAL Aerospace Pvt Ltd SAMTEL HAL Display System Limited HALBIT Avionics Pvt Ltd HAL-Edgewood Technologies Pvt Ltd INFOTECH HAL Ltd

Apart from these seven, other major diversification projects are Industrial Marine Gas Turbine and Airport Services. Several Co-production and Joint Ventures with international participation are under consideration. HAL's supplies / services are mainly to Indian Defence Services, Coast Guards and Border Security Forces. Transport Aircraft and Helicopters have also been supplied to Airlines as well as State Governments of India. The Company has also achieved a foothold in export in more than 30 countries, having demonstrated its quality and price competitiveness. HAL has won several International & National Awards for achievements in R&D, Technology, Managerial Performance, Exports, Energy Conservation, Quality and Fulfillment of Social Responsibilities.

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HAL was awarded the INTERNATIONAL GOLD MEDAL AWARD for Corporate Achievement in Quality and Efficiency at the International Summit (Global Rating Leaders 2003), London, UK by M/s Global Rating, UK in conjunction with the International Information and Marketing Centre (IIMC). HAL was presented the International - ARCH OF EUROPE Award in Gold Category in recognition for its commitment to Quality, Leadership, Technology and Innovation. At the National level, HAL won the "GOLD TROPHY" for excellence in Public Sector Management, instituted by the Standing Conference of Public Enterprises (SCOPE).

The Company scaled new heights in the financial year 2006-07 with a turnover of Rs.7, 783.61 Crores.

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H.A.L. GUIDING PRINCIPLES

Customer partnership Integrity and accountability Result orientation Flexibility Care for the individual Global autonomy

Evolution and Growth of Company

The Company's steady organizational growth over the years with consolidation and enlargement of its operational base by creating sophisticated facilities for manufacture of aircraft / helicopters, aero Engines, accessories and avionics is illustrated below.

17

18

1940: This was setup Bangalore in Karnataka by late Shri Walchand Hirachand in the month of December in association with the Government of Mysore as a private limited company. 1942-45: In the month of June Government of India purchased the interests of this company and took over its management, the first two aircrafts produced by Hindustan Aircraft Limited. The Harlow trainer and Curtiss Hawk Fighter were successfully test flown: During the period of world war II over 1000 aircrafts such as Fortress Liberator Mitcell bombers Dekota Command transport aircraft

Cataline amphibious and piston fitted to these aircrafts were overhauled by H.A.L. 1945: Government of India took over management of H.A.L. again after world war. 1948: Prime Minister of the India Shri Jawahar Lal Nehru, has given the impetus the policy for manufacture as well as design and development of aircraft was received by the Govt. of India. 1953: (Hindustan Trainee) The HT-2 aircraft was successfully developed and was type certified in the month of January. 1960: A jet engine factory was set up on Bangalore in 1960 for manufacturing ORPHEUS ENGINES used as MARUT and GHAT AIRCRAFT. An aircraft manufacturing depot (AMD) was established at Kanpur in U.P. in the month of January as an air force unit for manufacture of HAWKER SIDDLEY 748 twin turbo prop transport aircraft.
19

1962: In the month of August, Govt. of India entered into a collaboration agreement with the Soviet Union for the manufacture of MIG-21 FL aircraft including its engine and avionics. 1964: Hindustan Aircraft Limited and Aeronautics India Limited were merged in the month of October to from the present HINDUSTAN AERONAUTICS LIMITED. 1970: In the month of July, a Helicopter division was established as a part of Bangalore complex for manufacture of Alovette III (later designated of as CHETAK) and LAMA (later designated as CHEETAH) helicopter.

Other Milestones: 1976: An agreement with USSR for license of MIG-21 and BIS aircraft. 1979: An agreement with the British Aerospace for manufacturing JAGUAR AIRCRAFT. 1982: An agreement with USSR for license production if MIG27 aircraft. 1983: Korwa division of H.A.L. formed. 1990: Design and Division of Light Combat Aircraft (LCA). 1991: Development of Advanced Light Helicopter (ACH). 1992: Certificate of ISO-9001. 1998: IMGT, a new division at Bangalore was formed.

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Mission and Values

H.A.L. MISSION: To become a globally competitive aerospace industry while working as an instrument for achieving self-reliance in design, manufacture and maintenance of aerospace defence equipment and diversifying to related areas, managing the business on commercial lines in a climate of growing professional competence".

OUR VALUES: Customer Satisfaction: We are dedicated to building a relationship with our customers where we become partners in fulfilling their mission. We strive to understand our customers ' needs and to deliver products and services that fulfill and exceed all their requirements. Commitment to Total Quality: We are committed to continuous improvement of all our activities. We will supply products and services that conform to highest standards of design, manufacture, reliability, maintainability and fitness for use as desired by our customers. Cost and Time Consciousness:

21

We believe that our success depends on our ability to continually reduce the cost and shorten the delivery period of our products and services. We will achieve this by eliminating waste in all activities and continuously improving all processes in every area of our work.

Innovation and Creativity: We believe in striving for improvement in every activity involved in our business by pursuing and encouraging risktaking, experimentation and learning at all levels within the company with a view to achieving excellence and competitiveness.

Trust and Team Spirit: We believe in achieving harmony in work life through mutual trust, transparency, co-operation, and a sense of belonging. We will strive for building empowered teams to work towards achieving organizational goals.

Respect for the Individuals: We value our people. We will treat each other with dignity and respect and strive for individual growth and realization of everyone's full potential.

Integrity: We believe in a commitment to be honest, trustworthy, and fair in all our dealings. We commit to be loyal and devoted to our organization. We will practice self discipline and own responsibility for our actions. We will comply with all
22

requirements so as to ensure that our organization is always worthy of trust.

MOTIVATION Rensis Likerthas called is motivation the core as of the core of

management.

Motivation

management.

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

23

Motivation is an important function which very manager performs for actuating the people to work for accomplishment of objectives of the organization .Issuance of well conceived instructions and orders does not mean that they will be followed .A manager has to make appropriate use of

motivation to enthuse the employees to follow them. Effective motivation succeeds not only in having an order accepted but also in gaining a determination to see that it is executed efficiently and effectively. In order to motivate workers to work for the

organizational goals, the managers must determine the motives or needs of the workers and provide an environment in which appropriate incentives are available for their

satisfaction .If the management is successful in doing so; it will also be successful in increasing the willingness of the workers to work. This will increase efficiency and effectiveness of the organization .There will be better utilization of resources and workers abilities and capacities. THE CONCEPT OF MOTIVATION
24

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.

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.
25

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 labors turnover and absenteeism among the workers will be low.

26

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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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 Mcclellands Achievement Need Theory, Behavior Modification theory; Abraham H Mallows need hierarchy or Deficient theory of motivation. J.S. Adams Equity Theory, Vrooms Expectation Theory, Two factor Theory. MCCLELLANDS ACHIEVEMENT NEED THEORY According to McClellands there are three types of needs;

Need for Achievement (n Ach) Need for Power (n Pow) Need for affiliation (n Aff)

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Need for Achievement (n Ach): This need is the strongest and lasting motivating factor. Particularly in case of persons who satisfy the other needs. They are constantly pre occupied with a desire for

improvement and lack for situation in which successful outcomes are directly correlated with their efforts. They set more difficult but achievable goals for themselves because success with easily achievable goals hardly provides a sense of achievement. Need for Power (n Pow): It is the desire to control the behavior of the other people and to manipulate the surroundings. Power motivations positive applications results in domestic leadership style, while it negative application tends autocratic style. Need for affiliation (n Aff):

29

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

BEHAVIORAL MODIFICATION THEORY According to this theory people behavior is the outcome of favorable and unfavorable past circumstances. This theory is based on learning theory. Skinner conducted his researches among rats and school children. He found that stimulus for desirable behavior could be strengthened by rewarding it at the earliest. In the industrial situation, this relevance of this theory may be found in the installation of financial and non financial incentives. More immediate is the reward and stimulation or it motivates it. Withdrawal of reward incase of low standard work may also produce the desired result. However, researches show that it is generally more effective to reward desired behavior than to punish undesired behavior.

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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 Maslows theory to interpret specific problems in personnel administration and industrial relations. The crux of Maslows 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
31

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 1. Physiological needs.
2. 3.

Safety needs. Social needs.

4. Ego needs.
5.

Self actualization needs.

SelfActualizati on Ego Needs Social Needs Safety Needs 32 Physiological Needs

MASLOW HIERARCHY OF NEEDS 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.

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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
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build up social relations. However close relationship can be built up with at least some fellow workers, every employee wants too feel that he is wanted or accepted and that he is not an alien facing a hostile group.

Ego or Esteem Needs: - These needs are reflected in our desire for status and recognition, respect and prestige in the work group or work place such as is conferred by the recognition of ones merit by promotion, by participation in management and by fulfillment of workers urge for self expression. Some of the needs relate to ones esteem e.g.; need for achievement, self 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
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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. 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.

36

VROOMS EXPECTATION THEORY Vrooms 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. 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

37

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.

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TYPES OF MOTIVATION Intrinsic motivation occurs when people are internally motivated to do something because it either brings them pleasure, they think it is important, or they feel that what they are learning is morally significant. Extrinsic motivation comes into play when a student is compelled to do something or act a certain way because of factors external to him or her (like money or good grades) INCENTIVES An incentive is something which stimulates a person towards some goal. It activates human needs and creates the desire to work. Thus, an incentive is a means of motivation. In organizations, increase in incentive leads to better

performance and vice versa. Need for Incentives Man is a wanting animal. He continues to want something or other. He is never fully satisfied. If one need is satisfied, the
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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 Non-financial incentives - Wages - Competition - Bonus - Group recognition

40

Incentives

and

Salaries.

- Medical Job security

reimbursement

- Insurance -

Praise -

Housing facility Knowledge of result

Retirement benefits. Workers participation. - Suggestion syste

Opportunities for growth

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

41

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

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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 individuals 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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TITLE OF THE STUDY

The title of the study is A Study on employee motivation with special reference to H.A.L. Ltd.Lucknow. The problem

here in this study is associated with the motivation of employees. There are a variety of factors that can influence a persons level of motivation; some of these factors include 1. The level of pay and benefits, 2. The perceived fairness of promotion system within a company, 3. Quality of the working conditions, 4. Leadership and social relationships, 5. Employee recognition 6. Job security
7. Career development opportunities etc.

Motivated employees are a great asset to any organisation. It is because the motivation and Job satisfaction is clearly linked. Hence this study is focusing on the employee motivation in the organisation. The research problem is formulated as follows:
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What are the factors which help to motivate the employees? SIGNIFICANCE OF THE STUDY The study is intended to evaluate motivation of

employees in the organization. A good motivational program procedure is essential to achieve goal of the organization. If efficient motivational programmes of employees are made not only in this particular organization but also any other organization; the organizations can achieve the efficiency also to develop a good organizational culture. Motivation has variety of effects. These effects may be seen in the context of an individuals physical and mental health, productivity, absenteeism and turnover. Employee delight has to be managed in more than one way. This helps in retaining and nurturing the true believers who can deliver value to the organization. Proliferating and nurturing the number of true believers is the challenge for future and present HR managers.

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This means innovation and creativity. It also means a change in the gear for HR polices and practices. The faster the organizations nurture their employees, the more successful they will be. The challenge before HR managers today is to delight their employees and nurture their creativity to keep them a bloom. This study helps to realize the importance of effective employee motivation. This research study examines types and levels of employee motivational programmes and also

discusses management ideas that can be utilized to innovate employee motivation. It helps to provide insights to support future research regarding strategic guidance for organizations that are both providing and using reward/recognition

programs.

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PLACE OF THE STUDY In India my place of study is Hindustan Aeronautics Limited Lucknow.

Hindustan Aeronautics Limited Lucknow

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48

INNER VIEW OF H.A.L.

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PROCESS OF THE STUDY CARRIED OUT

Specify Object of the study

Selected the sample type

Determining the sample size

Data collection

Analyzing the data

Reporting the findings

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STEPS IN SAMPLE DESIGN

Define the Universe

Specifying the Sampling Units

Selection of Sample Design

Determinati on of Sample Size

Select the Sample

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RESEARCH METHODOLOGY

Research is a systematic method of finding solutions to problems. It is essentially an investigation, a recording and an analysis of evidence for the purpose of gaining knowledge. According to Clifford woody, research comprises of defining and redefining problem, formulating hypothesis or suggested solutions, collecting, organizing and evaluating data, reaching conclusions, testing conclusions to determine whether they fit the formulated hypothesis Sampling Design. A sample design is a finite plan for obtaining a sample from a given population. Simple random sampling is used for this study. Universe. The first problem in any sampling procedure is to define the universe. The target population is determined by the object of the study. It is the entire group of items which the
52

person wishes to study and about which plans to generalize the findings. The universe chooses for the research study is the employees of H.A.L. Ltd. SELECTION OF SAMPLE DESIGN It is the procedure of selecting units in the sample. There are different types of sampling designs based on two factors. They are

The

Representation

Basis

On

the

basis

of

representation the sample may be

Probability Sampling : It is also known as random sampling or chance sampling. Under this sampling design every item of the universe has an equal chance of inclusion in the sample. Here it is blind chance alone that determines whether one item or the other is selected. The Probability Sampling is of following types. 1. Simple Random Sampling 2. Systematic Sampling 3. Stratified Random Sampling
53

4. Cluster Sampling 5. Area Sampling 6. Multi-Stage Sampling

Non- Probability Sampling: Non- Probability Sampling is that sampling procedure which does not afford any basis for estimating the probability that each item in the population has been included in the sample. Non-Probability sampling is also known by different names such as deliberate sampling, purposive sampling and judgment sampling. In this type of sampling, items for the sample are selected deliberately. In order words, under non-probability sampling the organizers of the inquiry purposively choose the particular unit of the universe for constituting a sample on the basis that the small mass that they select out of a huge one will be typical or representative of the whole. The non probability sampling is of following type 1. Judgment Sampling 2. Quota Sampling 3. Panel Sampling

54

4. Convenience Sampling

On Element Selection Basis : on the element selection basis the sample may be

Unrestricted Sampling : when each sample is drawn individually from the population at large, then the sample so drawn is known as Unrestricted Sample. In the present study the Unrestricted Sample type is used to collect primary data.

Restricted Sampling : All other forms of sampling are covered under the restricted sampling.

Specifying the sampling units The sampling unit is the basic unit containing the elements of the population to be sampled. The units which serve as the basis o initial sampling are known as primary sampling units. Sample Size
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The size of the sample has direct relationship with degree of accuracy desired in the investigation. It depends on nature of population and as well as method of selection. Number of the sampling units selected from the

population is called the size of the sample. Sample of 50 respondents were obtained from the population. Select the sample : The final step in the sampling process is the actual selection of the sample elements. This requires a substantial amount of field work, to collect the primary data through different processes.

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SAMPLING PROCEDURE. The procedure adopted in the present study is probability sampling, which is also known as chance sampling. Under this sampling design, every item of the frame has an equal chance of inclusion in the sample. Methods of Data Collection. The datas were collected through Primary and secondary sources. Primary Sources. Primary data are in the form of raw material to which statistical methods are applied for the purpose of analysis and interpretations. The primary sources are discussion with employees, datas collected through questionnaire. Secondary Sources.

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Secondary datas are in the form of finished products as they have already been treated statistically in some form or other. The secondary data mainly consists of data and

information collected from records, company websites and also discussion with the management of the organization. Secondary data was also collected from journals, magazines and books.

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DATA COLLECTION

Primary Data

Data Source Questionn aire

Secondary Data

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Nature of Study. Descriptive research, also known as statistical research, describes data and characteristics about the population or phenomenon being studied. Descriptive research answers the questions who, what, where, when and how. Although the data description is factual, accurate and systematic, the research cannot describe what caused a situation. Thus, descriptive research cannot be used to create a causal relationship, where one variable affects another. In other words, descriptive research can be said to have a low requirement for internal validity.

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Questionnaire. The questionnaire is a list of questions to be asked from the respondents. It also contains a suitable space where the answers can be recorded. The term questionnaire usually refers to a self administered process where by the respondent himself reads the question and records his answers without the assistance of an interviewer.A well defined questionnaire that is used effectively can gather information on both overall performance of the test system as well as information on specific components of the system. A defeated questionnaire was carefully prepared and specially numbered. The questions were arranged in proper order, in accordance with the relevance.

Nature of Questions Asked. The questionnaire consists of open ended, dichotomous, rating and ranking questions.
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Sample A finite subset of population, selected from it with the objective of investigating its properties called a sample. A sample is a representative part of the population. A sample of 50 respondents in total has been randomly selected. The response to various elements under each questions were totaled for the purpose of various statistical testing.

Variables of the Study. The direct variable of the study is the employee motivation Indirect variables are the incentives, interpersonal

relations, career development opportunities and performance appraisal system.

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Presentation of Data. The data are presented through charts and tables.

DATA ANALYSIS AND INTERPRETATION

This part of the Chapter, analyses the factors associated with the motivation of employees . The collection of data is analyzed and interpreted qualitatively and quantitatively. The data collected is analyzed using percentage analysis

PERCENTAGE ANALYSIS In percentage analysis, charts like bar chart and pie charts are used to graphically represent the results from percentage analysis of the questionnaire. Further this analysis has been carried out in such a way so as to meet all the

63

objectives set for this research study. The analysis section is as follows

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ANS-Response department
SL NO

about

the

support

from

the

HR

PARTICULAR

NUMBER OF RESPONDENTS 18 29 3 0 0 50

PERCENTAGE

1 2 3 4 5

Highly satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied Total

36 58 6 0 0 100

Chart 1:Response about the support from the HR department

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INTERPRETATION

The table shows that 58% of the respondents are satisfied with the support they are getting from the HR department.

Table 2: Management is interested in motivating the employees

SL NO PARTICULAR NUMBER OF RESPONDENTS 27 20 3 0 0 50 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

54 40 6 0 0 100

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Chart 2: Management is interested in motivating the employees INTERPRETATION The table shows that 54% of the respondents are strongly agreeing that the management is interested in motivating the employees. QUES-3 ANS- The type of incentives motivates you more
SL NO PARTICULAR NUMBER OF RESPONDENTS 15 9 67 PERCENTAGE

1 2

Financial Incentives Non financial Incentives

30 18

Both Total

26 50

52 100

Chart 3: The type of incentives motivates you more

INTERPRETATION The table shows that 52% of the respondents are expressing that both financial and non financial incentives will equally motivate them. Table 4: Satisfaction with the present incentives scheme

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SL NO

PARTICULAR

NUMBER OF RESPONDENTS 18 29 3 0 0 50

PERCENTAGE

1 2 3 4 5

Highly satisfied Satisfied Neutral Dissatisfied Highly satisfied Total

36 58 6 0 0 100

Chart 4: Satisfaction with the present incentives scheme

69

INTERPRETATION The table shows that 58% of the respondents are satisfied with the present incentive scheme of the organization. Table 5:The company is eagerness in recognizing and acknowledging employees work
SL NO PARTICULAR NUMBER OF RESPONDENTS 18 29 3 0 0 50 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

54 58 6 0 0 100

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Chart 5: The company is eagerness in recognizing and acknowledging employees work INTERPRETATION From the study, 58% of employees agreed that the company is eager in recognizing and acknowledging their work, 36% strongly agreed and only 6% showed neutral response. Table 6: Periodical increase in salary
SL NO PARTICULAR NUMBER OF RESPONDENTS 12 23 PERCENTAGE

1 2

Strongly Agree Agree

24 46

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3 4 5

Neutral Disagree Strongly Disagree Total

3 9 3 50

6 18 6 100

Chart 6: Periodical increase in salary

INTERPRETATION The table shows 46% of employees agree that there is a periodical increase in the salary. Table 7: Job Security existing in the company.

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SL NO

PARTICULAR

NUMBER OF RESPONDENTS 15 18 11 3 3 50

PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

30 36 22 6 6 100

NTERPRETATION The table shows 35% of employees agree with good job security exist in the company. Table 8: Good relations with the co-workers.
SL NO PARTICULAR NUMBER OF RESPONDENTS 15 27 8 0 0 50 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

30 54 16 0 0 100

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Chart 8: Good relations with the co-workers. INTERPRETATION The table shows 54% of the respondents agree that they have good relations with co-worker. Table 9: Effective performance appraisal system.
SL NO PARTICULAR NUMBER OF RESPONDENTS 10 23 8 6 3 50 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

20 46 16 12 6 100

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Chart 9: Effective performance appraisal system. INTERPRETATION The table shows 46% of the respondents agree to effective performance appraisal system existing in the company. Table 10: Effective promotional opportunities in present job.
SL NO PARTICULAR NUMBER OF RESPONDENTS 9 26 9 3 3 50 75 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

18 52 18 6 6 100

Chart 10: Effective promotional opportunities in present job. INTERPRETATION The table shows 52% of the respondents agree with effective promotional opportunities in their present job. Table 11: Good safety measures existing in the organization.
SL NO PARTICULAR NUMBER OF RESPONDENTS 15 76 PERCENTAGE

Strongly Agree

30

2 3 4 5

Agree Neutral Disagree Strongly Disagree Total

23 3 6 3 50

46 6 12 6 100

Chart 11: Good safety measures existing in the organization. INTERPRETATION The table shows 46% of the respondents agree that there is a good safety measure existing in the company. Table 12: Performance appraisal activities are helpful to get motivated.
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SL NO

PARTICULAR

NUMBER OF RESPONDENTS 9 23 6 3 9 50

PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

18 46 12 3 18 100

Chart 12: Performance appraisal activities are helpful to get motivated.

INTERPRETATION

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The table shows 46% of the respondents agree that the performance appraisal activities are helpful to get motivated. Table 13: Support from the co-worker is helpful to get motivated
SL NO PARTICULAR NUMBER OF RESPONDENTS 12 29 0 6 3 50 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

20 46 0 12 6 100

Chart 13: Support from the co-worker is helpful to get motivated

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INTERPRETATION The table shows 58% of the respondents agree that the support from the co-worker is helpful to get motivated. Table 14: Career development opportunities are helpful to get motivated
SL NO PARTICULAR NUMBER OF RESPONDENTS 10 26 2 4 8 50 PERCENTAGE

1 2 3 4 5

Strongly Agree Agree Neutral Disagree Strongly Disagree Total

20 52 4 8 16 100

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Chart 14: Career development opportunities are helpful to get motivated

INTERPRETATION The table shows 52% of the respondents agree that the career development opportunities are helpful to get motivated. Table 15: Factors which motivates you the most.
SL NO PARTICULAR NUMBER OF RESPONDENTS 21 15 3 5 6 50 PERCENTAGE

1 2 3 4 5

Salary increase Promotion Leave Motivational talk Recognition Total

42 30 6 10 12 100

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Chart 15: Factors which motivates you the most. INTERPRETATION :The table shows that the 42% of the respondent is responding that increase in salary will motivate them the most. Table 16: Incentives and other

benefits will influence your performance

SL NO PARTICULAR NUMBER OF RESPONDENTS 32 12 6 50 PERCENTAGE

1 2 3

Influence Does not influence No opinion Total

64 24 12 100

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Chart 16: Incentives and other benefits will influence your performance INTERPRETATION The table shows 64% of the respondents responded that incentives and other benefits will influence their performance Table 17: Management involves you in decision making which are connected to your department.
SL NO PARTICULAR NUMBER OF RESPONDENTS 47 0 3 50 83 PERCENTAGE

1 2 3

Yes No Occasionally Total

94 0 6 100

Chart 17: Management involves you in decision making which are connected to your department. INTERPRETATION The table shows 94% of the respondents agree that they the Management involve them in decision making which are connected to your department.

FINDINGS The findings of the study are follows

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The H.A.L. ltd has a well defined organization structure.

There is a harmonious relationship is exist in the organization between employees and management. The employees are really motivated by the management. The employees are satisfied with the present incentive plan of the company. Most of the workers agreed that the company is eager in recognizing and acknowledging their work. The study reveals that there is a good relationship exists among employees. Majority of the employees agreed that there job security to their present job. The company is providing good safety measures for ensuring the employees safety. From the study it is clear that most of employees agrees to the fact that performance appraisal activities and support from the coworkers in helpful to get motivated. The study reveals that increase in the salary will motivates the employees more.

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 The incentives and other benefits will influence the performance of the employees.

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SUGGESTIONS The suggestions for the findings from the study are follows Most of the employees agree that the performance appraisal activities are helpful to get motivated, so the company should try to improve performance appraisal system, so that they can improve their performance. Non financial incentive plans should also be

implemented; it can improve the productivity level of the employees. Organization should give importance to communication between employees and gain co-ordination through it. Skills of the employees should be appreciated. Better carrier development opportunities should be given to the employees for their improvement. If the centralized system of management is changed to a decentralized one, then there would be active and committed participation of staff for the success of the organization
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LIMITATIONS OF THE STUDY The limitations of the study are the following The data was collected through questionnaire. The responds from the respondents may not be accurate. The sample taken for the study was only 50 and the results drawn may not be accurate. Since the organization has strict control, it acts as another barrier for getting data.

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

Lack of experience.

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CONCLUSION The study concludes that, the motivational program procedure in H.A.L. LTD is found effective but not highly effective. The study on employee motivation highlighted so many factors which will help to motivate the employees. The study was conducted among 50 employees and collected information through structured questionnaire. The study helped to findings which were related with employee motivational programs which are provided in the organization. The performance appraisal activities really play a major role in motivating the employees of the organization. It is a major factor that makes an employee feels good in his work and results in his satisfaction too. The organization can still concentrate on specific areas which are evolved from this study in order to make the motivational programs more effective. Only if the employees are properly motivated- they work well and only if they work well the organization is going to benefit out it. Steps should be taken to improve the
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motivational

programs

procedure

in

the

future.

The

suggestions of this report may help in this direction.

SCOPE FOR FUTURE RESEARCH The present study on employee motivation helps to get clear picture about the factors which motivates the employees. This in turn helps the management to formulate suitable policy to motivate the employees. Hence, the motivational level of the employees may also change. The factors that motivate the employees may change with change in time because the needs of employees too change with change in time. So continuous monitoring and close observation of factors that motivate the employees is

necessary to maintain a competent work force. Only with a competent work force an organization can achieve its

objective. Moreover, human resource is the most valuable asset to any organization. A further study with in dept analysis
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to know to what extent these factors motivate the employees is required.

BIBLIOGRAPHY
1.

Chabra T N Human Resource Management (2010) revised edition Gangan Kapur, Delhi.

2Venugopal & Aziz Abdul Human Resource Management (2010) revised edition, 3Prasad 4Kothari L.M, C.R Human Resource Management, second Research MethodologyMethods and edition (2010), Sultan Chand & Sons- New Delhi. Techniques 2nd revised edition (2007) New Age International Publishers- New Delhi.
1.

http://www.allbusiness.com/human-resources/employeedevelopment-employee-productivity/601547-1.html www.Hil.in http://en.wikipedia.org/wiki/Asbestos http://www.petech.ac.za/robert/reshypoth.htm

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2. 3. 4.

5. http://www.12manage.com/i_hr.html

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QUESTIONNAIRE A STUDY ON EMPLOYEE MOTIVATION Respected madam/sir, As a part of my project I would like to gather some information from you which will help me in an in depth study of project. I would be obliged if you co-operate with me in filling the

questionnaire. Since the questionnaire is being used for academic purpose, the information gathered will be strictly confidential. NAME: DESIGNATION: Kindly fill the following: (Please put a tick mark in the appropriate box)

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1. Are you satisfied with the support from the HR department? Highly satisfied Neutral Dissatisfied Highly Dissatisfied Satisfied

2. Management is really interested in motivating the employees? Strongly agree Disagree Agree Strongly disagree Neutral

3. Which type of incentives motivates you more? Financial incentives financial incentives Both Non-

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4. How far you are satisfied with the incentives provided by the organization? Highly satisfied Dissatisfied Satisfied Highly Dissatisfied Neutral

5. Please provide the following rates. (5- Strongly agree, Strongly disagree) No i. ii. iii. iv. v. vi. vii. Factors Reasonable periodical increase in salary Job security exist in the company Good relationship with co-workers Effective performance appraisal system Effective promotional opportunities in the organization Good safety measures adopted in the organization. Performance appraisal activities are
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4- Agree, 3-Neutral, 2-Disagree, 1-

Rates

helpful to get motivated viii. Support from the co-worker is helpful to ix. get motivated Company recognize and acknowledge your work

6. Rank the following factors which motivates you the most? (Rank 1, 2, 3, 4. respectively) No i. ii. iii. iv. v. Factors Salary increase Promotion Leave Motivational talks Recognition Rank

7. Do you think that the incentives and other benefits will influence your performance? Influence opinion
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Does not influence

No

8. Does the management involve you in decision making which are connected to your department? Yes No Occasionally

9. What changes can be made to improve the work place environment? .. .

Thank you for your kind co-operation

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