Employee Commitment and Productivity 1

Employee commitment and productivity
CHAPTER 1
INTRODUCTION
In todays competitive world every organization is facing new challenges regarding
sustained productivity and creating committed workforce. Now a days no organization can
perform at peak levels unless each employee is committed to the organizations objectives.
Hence, it is important to understand the concept of commitment and its feasible outcome.
The success of every organisation future strategy depends a great deal on its employees
commitment levels. The employee commitment is also known as Employee loyalty. Its for the
organisation leadership to attract, motivate and retain commited people for future business
objectives. Organisational leadership need to create the understanding that is only an employees
total commitment that gets translated into greater productivity and a very high level of quality
service, which is ultimately affecting the bottom line.
A large numbers of studies have been conducted to investigate the concept of
organizational commitment (OC). Still, commitment is the most challenging and researchable
concept in the fields of management, organizational behaviour. There have been several
measures and definitions about OC.
In the past decade, Meyer and Allens (1991) developed a three- component model of
OC which has been the dominant framework for OC .This three-component model is based on a
more comprehensive understanding of OC. The three-component model consists of: (a) Affective
commitment (AC) is the emotional attachment to ones organization.
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(b) Continuance commitment (CC) is the attachment based on the accumulation of valued side
bets (pension, skill transferability, relocation, and self-investment) that co-vary with
organizational membership. (c) Normative commitment (NC) is the attachment that is based
on motivation to conform to social norms regarding attachment.
There are five Is that determine the commitment of employees
Interesting work
Information
Involvement
Independence
Increased credibility
Personal factors, situational factors and the positional factors are the various factors
affecting the employee commitment. According to personal factors, employees who are highly
conscientious, outgoing (extroverted) and generally have a positive outlook on life (optimistic)
are often more inclined and more committed. According to situational factors work place values,
job characteristics, and organisational support affecting the employee commitment. Finally on
positional factors organisational tenure and hierarchical job level affect the employee
commitment. However, Organisational Commitment has clearly emerged as the most recognised
and researched construct of the employees attachment or loyalty to the organisation. A highly
committed person has the feeling that he is working for himself and not somebody else.
Productivity can be defined as the ratio of output to the ratio of input. In actual terms
productivity is a component which directly affects the companys profits. According to Peter
Ducker productivity represents the balance between all factors of production that will give the
greatest output at the smallest effort. Employee productivity is the ratio of output that a labour
produced in accordance with the available inputs. Employee commitment is one of the important
factors affecting the employee productivity.
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There are a number of factors affecting employee productivity they are the following:
Strongly Defined rules and objectives

Motivation (psychological aspects)
Employee engagement
Strategic rotation
Refresher sessions.
Innovating and strong technology with proper resources.
Along with this an ICARE attitude will increase the productivity and increase the
organisation profitability.
I = Integration
C= Collaboration
A = Accountability
R = Responsibility
E = Excellence
Employee productivity is an important element in the process of economic growth.

When the productivity of the industry is increased the rate of economic growth increased
automatically. Increase in productivity in an industry leads to higher production with the most
economic use of the available resources, in other words cost of production is decreased. These
benefits the customers by reducing the prices, the workers by increasing their wages and the
entrepreneurs by increasing profits. Since the peoples income increases, their demand is also
increases. Increase in demand make it possible to start new industrial units generate more
employment. Thus, it is obvious, that higher productivity is instrumental in the economic growth
of any nation.
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The employee commitment and employee productivity are linked to each other. The
committed employees will be more productive and thereby it will increase the profitability of the
organisation. Organisational leadership also affecting the commitment and productivity of the
employees.1
KITEX Ltd.is the weaving unit of Anna Group of companies. The company is engaged in
the production of fabrics made of cotton and other blends, grey cloth, bed sheets and lungies.
Through the years the company has carved a niche for itself in the highly competitive industry
with its tradition of world class quality. The company has a well organised production
department and is committed to cent percentage of quality in all the production process. In the
production department KITEX has 383 power looms and 22 automated loom. There are 390
workers in the plant/The annual sales range is in between US $10 million- US $50 million.
KITEX products are marketed through 2000 authorized dealers. At the dawn of the new
millennium KITEX entered into the luggage and baggage industry under the brand name of
ScooBee Day.
The main objective of the present study is to study the employee commitment and
productivity of employees in KITEX Ltd, Kizhakkambalam. It measures the commitment and
productivity of each staff to the organisation.
1.1 SIGNIFICANCE OF STUDY
1 Greeshma Maria Jose K, A study on employee commitment in eastern Ltd,

Adimaly, MHRM project 2012, p.40.
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The changing nature of the work place dramatically demands for the highest quality of
products and services. To maintain competition in the present scenario employee commitment is
crucial. The two keys to success in todays environment of increasing competition and rapid
changes are an absolute passion for, and dedication to, excellence in customer service, effective
and enlighten management of our work force. Without employee commitment there can be no
improvement in any area of business activity.
In many organisations there is a growing commitment gap between the expectations of
the employer and the workers prepared to do. There are a number of reasons for this erosion of
employee commitment; the most one being a failure of management in some way or another. To
succeed in the face of increasing competition, a business needs improved productivity at all
levels. This requires enthusiastic commitment of all employees which can only be achieved
through better management policies. The second key of success is effective customer service, it
cannot be achieved without dedicated and commitment employees. Properly managed employees
can be motivated to achieve excellence in any area of business; they will contribute willingly and
thereby increasing the organisation profitability.
1.2 STATEMENT OF THE PROBLEM
Human resources are the important assets of any organisation and every organisation is
trying to achieve the vital goal i.e. The committed employees. The employee commitment is
also related to the productivity of the employees. The profitability of the organisation is also
depends on the employee commitment and their productivity. So it is necessary for an
organisation to know about the level of its employees commitment and their productivity. The
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problem of this study is stated as A STUDY OF EMPLOYEE COMMITMENT AND

PRODUCTIVITY OF EMPLOYEES IN KITEX LTD, KIZHAKKAMBALAM.
1.3 .OBJECTIVES OF THE STUDY
General objective
To study of employee commitment and productivity of employees in KITEX LTD,
Kizhakkambalam.
Specific objectives:
To understand the specific factors affecting employee commitment in KITEX LTD.
To understand the level of employee commitment in KITEX LTD.
To understand how employee commitment affecting the productivity of employees in
KITEX LTD.
To offer suggestions and recommendations to improve the management of people in
KITEX LTD.
1.4 SCOPE OF THE STUDY
The scope of the study is limited to KITEX Ltd, Kizhakkambalam. This study makes an
effort to know about the commitment and productivity of employees in the organisation. The
result of the study is finally helps in finding out the level of employee commitment and
productivity of employees. And the result is helpful for the organisation to taking measures to
improve the commitment and productivity of the employees.
1.5 DURATION OF THE STUDY
The entire industrial project spanned over a period of two months from 5.4.2014 to 31.5.2014
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1.6 LIMITATIONS OF THE STUDY
There may errors due to the bias of the respondents. However efforts are made to
minimize bias.
The study is limited to time constrains.
Lack of co-operation from the part of the respondents due to their work load.
The outcome of the study is restricted to KITEX Ltd, Kizhakkambalam.
Reliability of survey report.
1.7 CHAPTER SCHEME

The introduction chapter deals with introduction, statement of the problems, scope of the
study, objectives of the study, hypothesis of the study and the limitations of the study
The second chapter deals with the industry profile, where the operation of the company
pertains to.
Third chapter deals with the profile of the company.
Fourth chapter includes the review of literature
The fifth chapter deals with the methodology of the study.
Sixth chapter deals with the analysis of the data and interpretations.
The seventh chapter includes findings
The eight chapter deals with suggestions.
The conclusions are summarized in the final chapter.
CHAPTER 2
INDUSTRY PROFILE
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2.1 TEXTILE INDUSTRY

New innovations in clothing productions, manufacture and design come during the
industrial revolution. Thus new wheels, looms, and spinning process changed clothing
manufactures forever. Thus were various stages from a historical perspective. Where the textile
industry evolved from being a domestic small scale industry to the status of super Marcy it
currently holds. The cotton Stage was the first stage in the history where textiles were
produced on a domestic basic.
Clothing manufactured during the industrial revolution formed a big part of the exports
made by Great Britain, they accounted for almost 25% of the total exports made that time
doubling in the period between 1701 and 1770. The under of the cotton industry in Great Britain
was Lancashire and the amount of exports from 1701 to 1770 had grown ten times. However
wool was the major export items at this point of time. In the industrial revolution era a list of
effects was made to increase the special of the production through inventions. Such as the flying
shuttle in 1778. The flyers and bobbin system and the roller spinning machine by John Wipatt
and Leuis Poal in 1738.
During this period cloth was made from materials including wool, flan and cotton. The
materials depended upon the area costume the cloth was being produced, and time they were
being males. In the latter half of the medieval period, in the northern part of Europe, cotton
comes to the Searched as important fibers. During the later phase of the 16th century cotton was
grown in the warmer climes of America and Asia.
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During the industrial revolution new machine such as spinning wheels and handlooms
came in to the picture, making clothing materials quickly became an organized industry as
compared to the domesticated activity, it had been associated with before.
A number of innovations led to the industrialization of the textile industry in the Great
Britain. In the initial phases, textile mill were locate in an around the rivers since they were
powered by water wheels. After from steam engine was invented the dependence on the rivers
ceased to a great extent. In the later phase of the 20th century, shuttles that were used in the textile
industry were developed and become faster and thus more efficient. This led to the replacement
of the older shuttles with the new ones.
Today, modern technique, electronics and innovations have led to a competitive low
pedicel textile industry effacing almost any type of cloth or design to a person could deserve with
its low cost labour and China has come to dominate the global textile industry.
2.1.2 HISTROY OF TEXTILE INDUSTRY
India has been well known for her textile goods since very ancient times. The traditional
textile industry of India was virtually decayed during the colonial regime. However, the modern
textile industry made its real beginning in Bombay in 1850s. The first cotton textile mill of
Bombay was established in 1854 by a Parsi cotton merchant then engaged in overseas and
internal trade. Indeed the vast majority of the early mills were the handwork of Parsi merchant
engaged in yarn and cloth trade at home and Chinese and African markets.
The first cotton mill in Ahmadabad, which was eventually to emerge as a rival center to
Bombay, was established in 1861. The spread of the textile industry to Ahmadabad was largely
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due to the Guajarati trading class. The cotton textile industry made rapid progress in the second
half of the 19th century and by the end of the century there were178 cotton textile mills, but
during the year 1900 cotton textile industry was in bad state due to the great famine and a
number of mills of Bombay and Ahmadabad were to be closed down for long periods.
2.1.2.1 Global Scenario
According to statistics, the global textile market poseurs a worth of more than $400
billion presently in a more globalize environments the industry has faced high competition as
well as opportunities. It is predicted that global textile production will grow by 25% between
2002 and 2010. Asian region will largely contribute in this regard high production of wool,
cotton and silk over the world has boosted the industry in the recent years.
Japan, India, Hongkong and China became reaching producers due to their cheap labour
supply. Which is an important factor for the industry? The World Trade Organization (WTO) has
taken to many steps for uplifting these factors in the year 1995, WTO had renewed its MFA and
adopted Agreement o Textile and Clothing (ATC) which states that all quotes on textile and
clothing will be removed among WTO member counters.
However, the level of export in textile from developing countries in increasing even if in
the presence of high tariff and quantitative restrictions by economically developments countries.
Moreover, the route of multifunctional textiles, eco-textiles and customized textiles are
considered as the future of the textiles industry.
2.1.2.2 Indian Scenario

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Textile industry in India is the second largest employments generator after agriculture. It
holds significant status in India as it provides one of the most fundamental necessities of the
people. Textile industry was one of the earliest industries to come to existence in India and it
accounts for more than 30% of the total exports. Infuse the Indian textile industry is the second
largest in the world Seward only to China.
Textile industry is unique in forms that it is an independent industry, from the basic it
requirements of raw materials to the final products, art the huge value addition to every stage of
processing. Textile industry in India has vast potential for creation of employment opportunity in
the agricultural, industrial, organized and decentralized sector for rural and urban areas,
particularly for women and disadvantaged. Indian textile industry is particulate the following
segments. Really made garments, cotton textile including handlooms, manmade textile, woolen
textile, handy crafts, coir and jute.
Till the year 1785, development of textile before in India look place in terms of general
policies in 1985, for the first the importance of the textile sector was organized and a repeated
policy statement was announced with regard to development of textile sector. In the year 2000,
National Textile policy was announced. Its main objective was to provide cloth of acceptable
quality at reasonable price for the vast majority of century, to increasing contribute to the
provisions of sustainable employment and the economic growth of the nation and to compete
with confidence for as increasing share at the global material. The policy also aimed at achieving
the aged of textile and exports of US $50 billion by 2010 of which the share of garments will be
US $25 billion.
2.1.3 Textile industry in India
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Textile industry is the largest of the modern India. India holds the second rank in
cloth. The important of textile industry lies in the fact that is provided one of the necessary of
life, i.e. clothing. The first cotton mill was setup in Calcutta in 1818. However, the industry made
real beginning in 1854 where cotton mill was setup in Mumbai. At present textile industry in
India makes an enormous & multi-directional contribution to the domestic economy. The
industry accounts for nearly accounts for nearly 20% of the total national industrial production
and provides employment to over 35 contributions to the domestic economy. The industry
accounts for nearly 20% of the total national industrial production and provides employment to
over 35 million people. It also account for more than 30% of exports, making it Indias largest
net foreign exchange industry. At present the contribution of this industry to gross import bill of
the country.
In India, cotton is the dominant fibre and it accounts for more than 65% of the
total fibre consumption in the textile sector. The area under cotton in India is the largest &
constitute nearly 1/4th industry has assumed importance in the recent year because of its
commendable, to the export effort.
Textile industry is composed of 4 sectors.
Mill sector
Garnet sector
Power sector
Handloom sector
Each of these sectors employees lack of workers contribution significantly to the
national economy. The greatest sector along employees about 3.6 million workers. The latter two
are jointly considered under the heading decentralized sector.
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2.1.3.1 Importance of Indian textile industry.

Textile accounts for 20% of Indias industrial production & around 30% of its export earnings.
India account for 20% of worlds total cotton crop production & records largest producer of
skills. It is the second largest employer after the agriculture sector in both rural & urban areas.
India has a large pool of skilled low cost textile workers, experienced in technology skills.
Indias cotton textile has a high export potential.
2.1.3.2 Strength of Indian Textile Industry
India has rich resource of raw materials of textiles industry. It is one of the largest people
of cotton in the world and is also rich in recourse of fibers like polyester, silk, visor etc.
India is rich in highly trained manpower. The country has a huge advantage due to lower
wage rates. Became lower rates the manufacturing cost in textiles automatically comes down to
very reasonable rates. India is highly competitive in spinning sectors and has presence in almost
all process of the value China.
Indian garment industry in very diverse in size, manufacturing facility, types of appeared
product, quality of output, cost, requirements for fabrics etc. it comprises suppliers of readymade
garments for domestic or export markets.
2.1.3.3 Weakness of Indian Textile Industry
Indian textile industry is highly fragmented in the industry structure and is led by small
companies.
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The reservation of production of every small companies across the country led substantial
fragmentation that distended the competitiveness of industry. Smaller companies do not have the
fiscal resources to enhance technology or investment in the high and engineering of process,
hence they lose in the productivity.
Indian labour laws are relatively unfavourable to the traders and there is an urgent need for
labour reforms in India
India seriously lacks in trade part number ship which leads to restricted access to the other major
markets.
2.1.4 Outlook for Indian Textile Industry
The outlook for Indian textile industry in India is very optimistic. It is expected
that Indian textile industry would continue to grow at an impressive rates. Textile industry is
being modernized by an exclusive scheme, which has set aside and 5 billion for investments in
improvisation of machinery. India also grab opportunities in the export market the textile
industry is anticipated to generate 12 million new jobs in various sectors.
2.1.5 Current Position of Indian Textile Industry
Indian textile industry is one of the leading in the world. Earlier it was estimated
to be around US $ 52 billion and has reached around US $ 115 billion in year 2012. The textile
export of the country was around US $ 19.14 billion in 2006-07, which saw a stiff rise to reach
US $ 22.13 in 2007-08. The share o4f export is also expected to increase from 4% to 7% within
2012.
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Textile constitutes the single largest in India. The segment of the industry during
the year 2000-01 has been positive. The production of cotton declined from 1.56 lakhs sales in
1999-2000 to 1.40 lakhs sales during 2000-01.
Production of manmade fiber increased from 8.35 million kg in 1999-2000 to 9.01
million kg during the year 2000-01 registering a growth of 8.26%. The production of span yarn
increased to 31.60 million kg during 2000-01 from 30.46 million kg during 1999-2000
increasing from 894 million kg to 920 million kg.
The production of fabric registered a growth of 2.7% during the year 1999-2000
increasing from 39,208 million sq.mtrs. the production of mill sector declined by 2.6% while
production of handloom, power loom sector increased from Rs.4,55,048 million to 5,52,424
million, registering a growth of 21%.
Growth in the textile industry in the year 2003-2004 was Rs.1609 billion and during
2004-2005 production of fabrics touched a peak of 45,378 million sq.mtrs. in the year 2005-2006
up to November, production of fabrics registered a further growth of 9% over the corresponding
period of the previous year.
2.1.6 Indias Major Competitors in the World
Although the textile industry contributes 9% of GDP and 35% of foreign exchange
earnings, Indias share in global exports is only 35 compared to Chinas 13.75%. Expressed in
US Dollars Indias export value $10 billion, in sharp contrast to Chinas $77 billion. And while
India is still concerned with its fine tuning policy. China seems to have its sights on a more
strategic dimension.
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In addition to China other developing countries are emerging as serious competitive

threats to India. Looking at exports share, Korea (6%) and Taiwan (5.5%) are ahead of India,
while Turkey (2%) has already caught up and others like Thailand (2.3%) and Indonesia (2%) are
not much further behind. The reasons for this development is the fact that India these countries in
investment levels, technology, quality and logistics.
Over the years, the industry has served to bring money into the country to fuel the
development of other industries and in this sense, the country will continue to benefit.
Significantly by virtue of producing and manufacturing clothing and textiles. There are several
areas where China enjoys a distinct advantage over India in a manufacturing type industry such
as textiles. Perhaps, the most noticeable advantage is the difference in Foreign Direct Investment
(FDI), especially by Chinese nationals living abroad. In fact, China is now the largest recipient of
FDI cash inflows, ahead of the United States. Furthermore, China has undergone significant
trade reform in recent years, especially in opening its market to foreign competitors and
privatizing large government agencies. This compares to the relative stagnation of out sided
policies that better describes Indias approach. And finally, it simply much more efficient and
cheaper for goods to reach the US from the port of Hong Kong and other China ports, versus
from India. However, India enjoys a similar comparative advantage for serving demand in the
European Union.
2.1.7 Government Regulations
Government regulations like the obligations to produced controlled cloth are against the interests
of the country. During the last two decades the excessive regulations exercised by the
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government on the mill sector has promoted inefficiency in both production and management.
This has also resulted in a colossal waste of raw materials and productive facilities.
2.1.8 Textile Industry in Kerala
The first cotton textile mill was established in 1883 in Kallai near Kozhikode by P S
Santhapachettiyar and M Gupthan Namboothiripad known as Malabar spinning and weaving
mill. The commercial production was started in 1887. Later in 1976 the mill was taken over by
Government of Kerala and handled over to Kerala State Textiles Corporation. The second mill
presently called Parvathi Mills Ltd was started in 1884 by James Durragan, an English man using
19 acres of land donated by the Maharaja of Travancore. In 1888, the mill was sold to another
British industrialist named AT VIN. In 1932 the management was taken over by the management
was taken over by Kerala Textiles Corporation. In April 1974, the mill was nationalized under
sick textiles undertaking (nationalization) act and was made a unit of NTC Delhi. Sitharam
Textiles Ltd, another oldest mill was established in 1903 as a private Ltd Company. Balram Iyyer
started it. Later due to mismanagement and labour trouble, company was liquidated in 1954.
The factory was gutted down due to fire in 1959 and spinning production was completely
stopped. The Government of Kerala purchased this unit as a result of liquidation and public
auction in 1972, with the modest start of these mills, the number of cotton textile mill rose to 3%.
The Government of Kerala has announced in state assembly on March 29, 1994, its willingness
to start 5 more spinning mills, one each of Kasargode, Kozhikode, Thrissur, Kottayam and
Malappuram along with the commissioning of corporative spinning mill at Kareelakulangara at
Allepey with a spindle capacity of 6000 spindles.
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The cotton textile industries are concentrated in district of Thrissur and Palakkadu
followed by Ernakulum and Kannur. These four districts of together account for nearly 3/4th of
the spinning mill in Kerala. The numbers of existing composite mills are quite low i.e., only four
in number, its growth during the last years is nil. Due to the unprofitable nature of composite
mill, Malabar spinning and weaving mill discontinued its weaving operation and concentrated on
spinning only. Calicut modern spinning mill once turned sick is now taken over by a financially
sound party and found earnings before the last decade. There are 7 cotton textiles mills in
Thrissur including one composite mill.
There are 16 private mill in Kerala of which 14 are spinning mills and the rest 2 are
composite mills. The national textile corporation has got under it, 4 spinning mills and 1
composite mill. The corporate sector owns only 2 spinning mills. In Kerala the Thrissur
corporative spinning mills with a installed spindle capacity of 12000 spindles is the smallest mill
followed by Kathayee Cotton Mills Ltd with 14,860 spindles. Another welcome feature was that
a 100% export oriented unit, Past Pin India Ltd.
2.2 BAG INDUSTRY
Bag industry takes a very important place in this century. Manufacturing sector is
the largest sector after agriculture and its importance in Indian importance in Indian economy is
recognized for its contribution to industrial production. Bag makers are the leading manufactures
in the economy. I India different type of bag manufactures are existed. The bag industry includes
hand bags, brief cases, wallets, purses, travel cases, school bags, luggage bags etc.. The fabrics
used are nylon, plastic, denim, leather, polyester etc.
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These are a lot of school and college bag manufactures in the market. They offer
wide range of bags and in exclusive designs quality products. The domestic market acts as the
back bone of this manufacturing sector.
These industries have more labours and less capital for production in India where
large number of people are employment opportunities. The advantages of these industries are
they have much greater flexibility in their operations. They can be easily adapted to individual
tastes and changing fashion of the century.
2.2.1 Leather Bag Industry
It concerns all type of leather bags used by men and women alike, it includes different
kinds of bags. These bags are available in different designs and styles to suit the purpose they
serve. The leather used to manufacture leather bags includes sheep stain, pig stain, crocodile
stain and synthetic leather.
2.2.2 School Bag Industry
Bag industry takes a very important place in this century. Manufacturing sector is
the largest sector after agriculture and its importance in Indian importance in Indian economy is
recognized for its contribution to industrial production. Bag makers are the leading manufactures
in the economy. I India different type of bag manufactures are existed. The bag industry includes
hand bags, brief cases, wallets, purses, travel cases, school bags, luggage bags etc..
School bags are one of the most important accessories that are used on regular
basis. Designer school bags are designed and created with all possible material known to man
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using various processes to get wide range of styling. School bags are shaped by the way they are
cut and sawn but usually have some stiffness and practical frames hold their shape.
2.2.3 School Bag Industry in India
Since independence Indian Government has focused a lot of energy in increasing
the literacy in India. School bags being a seasonal product are mainly sold at the beginning of
each academic year with increasing competition in the industry. The different manufactures are
trying to find their position in the market. The areas of differentiation between the vendors are:
Raw Materials
Price
Style
Quality
Durability
Economic Design and Innovation
Most of the vendors sell the bags through retail outlets like foot wears stores, general
stores and textile shops etc. most manufactures advertise and market their product on the web.
TV advertisement is the most common media currently used by/ manufactures by point purchase
crept applied in retail outlets.
2.2.4 Major School Bag Manufactures in India
Bharath Packers (New Delhi)

Uniplus (China)
Imprez (Mumbai)
Balaji (Bangalore)
Brandz (New Delhi)
Noor (Tamil Nadu)
Anna Group (Kerala)
Lunar Bags (Mysore)
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2.2.5 School Bag Industry in Kerala

School bag industry is dominated by the unorganized sector. Except for few
national brands like Duck Back and Bata, most of the players have seasonal nature. The demand
for products arises during the school opening. Even though school bags are mainly dominated by
the local manufactures, branded school bags are available. One of the well known names among
the branded school bag is the branded Scoobee day. School bag industry faces a great threat from
China. Chinese bags are less costly than our local bags. However the branded companies come
up with providing advertisement in television. The school bag industry mainly focuses on the
kids and pre-primary segments. These groups are more addicted to comic characters and attract
the attention of the kids. The branded companies maintaining section is so vigilant to know the
plus of the market they advertise through the catchy stories of their characters and attract the
attention of these fans. So each branded companies complete off to capture the attention kids and
youngsters.
CHAPTER 3
COMPANY PROFILE
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KITEX Limited is a prominent prodigy in the field of textile industry began its spectacular
display in 1975 at Kizhakkambalam, Aluva, Ernakulum. This prestigious company is the one of
the 6 th brand divisions of Anna group. Anna group of companies is a celebrity among the
industrial giants in our country.
The company was established to set up an efficient industrial estate to provide technical,
industrial, financial and marketing facilities to power loom owners and to create job
opportunities to power loom owners and to create job opportunities to educate unemployed. In
the 2000 the company is entered into the bag industry. In the market survey conducted in 2007 of
consumable products named Top 20 productsin Kerala, KITEX got 11th rank .
3.1 HISTROY OF THE COMPANY
More than three decades ago in 1968, when Mr M.C.Jacob founded the Anna Aluminium
Company, he made a break with the past. Belonging to the affluent family of a plantation owner,
he ventured into the risk world of manufacturing industry and hoped for the best, while working
hard to make his maiden venture to a greatest success. Today the group is involved in
manufacturing of Aluminium sheets, utensils, bags, garments etc.
ANNA-KITEX group is the one of the leading industrial group in the state of Kerala,
employing more than 125000 personnel in the past 40 years. The group is engaged in the
manufacturing of different products like garments, school bags textiles, utensils, brands spices
and curry powders, which is marked under the brands of kit ANNA-KITEX, scoobee day, Anna
Aluminium, chackson, Saras. The Anna-KITEX group is the pionner in the fashion industry.
3.2 ANNA GROUP OF COMPANIES
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Anna-KITEX group is the one of the leading industrial group in the state of Kerala,
employing more than 125000 personnel in the past 40 years. The group is engaged in the
manufacturing of different products like garments, school bags textiles, utensils, brands spices
and curry powders2.
The major divisions of Anna group of companies are:
Anna Aluminium
Sara Spices
KITEX Garments
KITEX Limited
3.2.1 ANNA ALUMINIUM

It is established in the year 1968 at kizhakkambalam. Anna Aluminium is a one of the
flagship company of Anna group. It engaged in the manufacturing and the marketing of vessels
and utensils as per ISI standards. The company manufacture vessels only using 99.5% pure
2 http://.www.annaluminium.com,Anna group of companies,10-4-2014,7:22am
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Aluminium sheets. The brand ANNA has become a household name in Kerala due to its high
standard of quality and workmanship.
3.2.2 SARA SPICES
Sara Spices is the condiment producing unit of the Anna group. It is involved in the production
and exporting of curry powders. In the past two decades sacra Spices and curry powders are
known for its high standard of quality and hygiene.
3.2.3 KITEX GARMENTS
It is the garment company of Anna group. It is flexible manufacturing system which
makes KITEX extremely capable of adapting vigorously to the changing fashion market. Equally
competent to execute garment making tailor made to customer specification as well as
standardized production.
3.2.4 KITEX LIMITED
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ANNA Groups weaving unit, KITEX LIMITED was established in 1975. The company
is engaged in the production of fabrics made of cotton and other blends, grey cloth, bed sheets
and lungies. Through the years the company has carved a niche for itself in the highly
competitive industry with its tradition of world class quality. 3
KITEX white gives you an array of white dhotis single as well as double. It becomes with
streaks of colours and gold to add to the look to your dhotis. We also have beautiful and wide
range of bed sheets under the label of Sweet Dreams.
The company has a well organised production department and is committed to cent
percentage of quality in all the production process. In the production department KITEX has 383
power looms and 22 automated loom. There are 390 workers in the plant/The annual sales range
is in between US $10 million- US $50 million.
KITEX follows a line organizational structure and their span of management is narrow,
due to this they have the advantage like reinforcing authority relationship by emphasis of status
given, preventing cross communication etc. KITEX products are marketed through 2000
authorized dealers. At the dawn of the new millennium Kite entered into the luggage and
baggage industry under the brand name of ScooBee Day.
3.3 LOCATION OF THE COMPAY
The company is located at Kizhakkambalam in Ernakulum district, Kerala. The nearest
municipality is Alva, the industrial capital of Kerala. The location is connected to other places
only through road.
3 http://www.KITEXlifestyle.com,10-4-2014,7:47am
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3.4 MISSION
KITEX Limited is commited to manufacture and deliver fabrics and the processed fabrics
as per the customer specification efficiently in a professional and environment friendly manner
on time and at the right cost with most customer satisfaction, to become a world class
organization through continual improvement.
3.5 VISION
A world class manufacturing company focusing on all round business excellence through
a total quality management system with committed leadership, effective teamwork, delighted
customers and satisfied employees in an environment friendly organization.
VISION
World Class Manufacturer

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CUSTOMER
POLICY &
STRATEGY
QUALITY
PROCESS &
PEOPLE
LEADERSHIP
& TEAM
WORK
FIG:3.5
3.6POLICIES OF KITEX
The policies of KITEX Limited are the following:
Consumer satisfaction
Social obligation
Quality and standard products for domestic customers
Profit maximization and consistency in the profitability level
Optimum utilisation of men, machine and material
Employee growth and satisfied work force
Consistent with diversified growth
Optimum inventory control
Extensive marketing in Indian markets.
Autonomy in organisational hierarchy
Production through environment friendly and safer methods.
Effective management practices and cost control system.
3.7 ISO CERTIFICATION

KITEX got ISO 9001-2008 certification on February 2007, they are commited to
manufacture and deliver the quality fabrics. KITEX limited is the leading manufacture with ISO
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9001-2008 certification in south India of all variety of greige fabrics, yar dyed fabrics, linen,
cotton Lycia, polyester etc.
3.8 LEGEAL FRAME WORK OF THE COMPANY
Legal frame work of the company means the rules and regulations which governs the
company. To be more precise it means that the rules and regulations that each and every
individual employee or employer of an organization should perform standing order has manner
in which every member should perform. It is also a detailed report on the right of each individual
in the organisation and the employer cannot dismiss a particular employee in the organisation
without following certain procedures and they act within the legal frame work of the
organisation. It contains details regarding how an employee should perform in an organisation or
details of how an employee must behave in an organisation.
3.9 VITAL STATISTICS

Name
KITEX LIMITED
Address
Kizhakkambalam, Aluva, Ernakulum.
Registered Office/factory
Kizhakkambalam.
Brand Name
KITEX
Nature of incorporation
public limited company
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Nature of the business
: manufacturing of cotton textile
Nature of product
: consumer product, industrial product
Chairman & MD
: Mr. Boby M. Jacob
Director
: Mr. Boby M. Jacob, K. C Pillai, A.K Mathew
Banker
: federal bank, SBI, Indian Bank, Axis Bank
Auditor
: Varma & Varma
Total capital employed
: 4 crore
Salary turnover
: 200 crore
Employment potential
: 2000
Number of machines
: 564
3.10MARKETS
Major domestic markets are the following
Kerala
Tamil Nadu
Major export markets are the following
North America
South America
Western Europe
Eastern Europe
Eastern Asia
Middle East
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3.11 PRODUCT PROFILE

3.11.1 KITEX LUNGIES:Table 3.11.1
Executive
130cm 200cm
175 Rs
Medium
127cm200cm
138 Rs
Medium super
127cm200cm
150 Rs
Standard
127cm192cm
105 Rs
Supreme
127cm200cm
150 Rs
Economy
127cm192cm
126 Rs
3.11.2 KITEX BED SHEET

Table 3.11.2
Sweet dreams 50
128cm225cm
177 Rs
Sweet dreams 60
152cm225cm
199 Rs
Sweet dreams double sheet.
225cm175cm
304 Rs
Duo 1 sd 60 bed sheet+2 pillow covers
152cm225cm
330 Rs
Solitude 1 double sheet
152cm225cm
186 Rs
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Sweet dreams king size
250cm225cm
408 Rs
152cm225cm
306 Rs
Soft dreams king size+2 pillow covers
225cm250cm
575 Rs
Sweet dreams DS + 2 pillow covers
225cm175cm
435 Rs
Duplex 1 solitude bed sheet+ 2 pillow

covers
3.11.3 KITEX DHOTHIES

Table 3.11.3
Ready wear
128cm200cm
120 Rs
Smart line single
120cm200cm
135 Rs
Smart line gold single
127cm200cm
150 Rs
Smart double
127cm385cm
250 Rs
Smart plus double dhothi white broad kara
127cm835cm
245 Rs
Smart ivory plus XL
127cm400cm
260 Rs
Smart premium RX
127cm385cm
310 Rs
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3.11.4 SCOOBEE DAY PRODUCTS

Table 3.11.4
NAME
Gipsy
SIZE
Large
MRP
395
Challenge
Medium
Large
340
499
Promise
Medium
Large
470
330
Medium
315
Small
Large
285
299
Medium
285
Small
Large
265
315
Medium
300
Small
Large
285
200
315
Medium
300
Small
Large
285
310
Medium
290
Small
Large
250
310
Medium
290
Liberty
Stylo
Twinkle
Delight
Hip top
Hero plus
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Small
250
3.12 COMPETITORS
The main competitors of KITEX lungies, dhothies and bed sheets are the following:
MCR
Ram raj
Bombay dying
KKB
Angel
Jansons
The main competitors of Scoobee Day bags are the following:
Puma
Candy man
Diesel
Dooby dooby
Reebok
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3.13 ORGANISATIONAL STRUCTURE
Chairman & MD
Vice President
General Manager
Productio
n
Manager
Quality
Manage
r
Purchas
e
Manage
Marketi
ng
Manage
Finance
Manage
r
Staff in
charge
Quality
Inspecto
r
Purchas
e Officer
Assistan
t
Manage
Manage
r
Finance
Supervis
or
Assistan
t
Inspecto
Worker
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t Officer
Manage
r
Store
Manage
r
Office
Assistan
t
Executiv
e
Manage
r
executiv
HR &
Administrati
on Manager
Manager
Administrati
on
Executiv
e
Manage
r HR

35
Fig: 3.13
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3.14 DEPARTMENTS
The major departments in KITEX Limited are:
Marketing Department
Production department
Finance department
Quality control Department
Store Department
Purchase Department
Human Resource Department
3.14.1Marketing Department
The marketing department of KITEX is manager by efficient and dynamic marketing
managers. Marketing managers reports to the general manager and the managing director.
Marketing department is divided into three sections such as griege fabrics, finished fabrics/bags,
advertising and sales promotion. Under each sections assistant manager, marketing executives,
sales man are to assist them.
3.14.2 Production Department
Production is the process in which raw materials and other input are converted into the
finished products. The cost of production system is its conversion system where in workers,
materials and machineries are used to convert into products and services. The process of
conversion is the heart of production function and is present in the entire organization.
3.14.3Finance Department
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The finance department is headed by GM having sufficient industry experience in the field
of accounting, taxation, company law and finance management.
3.14.4 Quality control Department
The company has got ISO certification. The company had different equipment and
mechanism to ensure quality at different stages of production at minimum cost.
3.14.5 Store Department
The manager heads the store department. The store manager is reports to the store
manager, and the store manager is assisted by four persons two in general shifts and one each in
other two shifts.
3.14.6 Purchase Department
The firm has a centralized structure to the purchase department. It is headed by purchase
manager assisted by two purchase officer and purchase assistants.
3.14.7 Human resource Department
The Human Resource department in KITEX is headed by Mr. Joshi Paul who is the HR
manager of the company. The HR manager performs administrative roles, operational roles and
strategic roles. The department has other office assistant also. The HR manager coordinates all
the policies and programmes of Human resource department. In the circle level GM or DGM are
in charge of HRD section.
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HR Department chart
HR/Administrative manager
Assistant manager
Front office Assistant
Back office Assistant
Fig: 3.14.7
The Activities normally associated with HR department are:
Human Resource Planning

Recruitment
Interview and selection
Probationary period
Training and development
Performance appraisal
Employee remuneration
Wage and salary
Incentives
Employee welfare measures
Statutory welfare measures
Voluntary welfare measures
Hostel
Security department
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Trade unionism
Industrial Relation
Promotion
Transfer
Separation
3.15 FUTURE VISIONS
To reach excellent quality in the following years.

To keep in pace with modern technologies and concept.
To organise supply of materials at minimum cost without any compromise in quality.
A world class manufacturing company focusing on all round business excellence through
Total Quality Management (TQM) system with commited leadership, effective team
work delighted customers and satisfied employees in an organisation.
3.16 CORPORATE SOCIAL RESPONSIBILITY (CSR)

KITEX places strong emphasis on good corporate social responsibility (CSR) to
continue our commitment to integrating sustainable practices throughout all our business.
Our focuses is to create strong relationship with the community and believe that we have a
responsibility to make the world a better place to live in. We are commited to minimizing and
mitigating the environmental impact of our operations and improve the quality of life. We
also believe in the positive impact of a safe and naturing work environment and strive to
maintain a work culture that allows personal and professional growth of each employee
Activities
Free bags for Anganavadi

Pension for the elderly
Medical assistance
Educational assistance
Institutional assistance
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CHAPTER 4
REVIEW OF LITERATURE
One of the indispensable parts of the research is reviewing the literature. The review of
related literature is a sort of formal training, which enables the researcher to understand the
objectives and the corresponding hypotheses of the study. It acquaints the researcher with the
current knowledge and serves as a pole star in delimiting and defining the problem. The most
important reason for reviewing the literature is to know about the recommendations of the
previous researchers for further researches, which they have listed in their studies. This step
helps to eliminate the duplication of what has been done and provides useful hypothesis and
helpful suggestions for significant investigation. Essentially, review of related literature
economizes time and energy of the researcher. Thus, the review of related literature is an
essential aspect of research problem as it is a step of scientific method; it forms the foundation
upon which all the future work is to be built. If we fail to acquire this formation of knowledge
provided by the review of literature our work is likely to be shallow.
In the present research I collected the information about the relevant research studies
done in the field of employee commitment and employee productivity .This review of literature
provided an insight into various dimensions of the problem .The studies shown that there is a
linkage between employee commitment and employee productivity in an organisation. The
review of literature has been classified under the following sections. First section deals with the
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research studies related to employee commitment; the second section involves the research
studies related to employee productivity.
4.1 THEORETICAL FRAME WORK OF EMPLOYEE COMMITMENT
No organisation in todays competitive world can perform at peak levels unless each
employee is committed to the organisations objective and worked as an effective member. It is
no longer good enough to have employees who come to work faithfully every day and do their
jobs interdependently. Employees now have to think like entrepreneurs while working in teams,
and have to prove their worth. However they also want to be part of a successful organization
which provides a good income and the opportunity for the development and secure employment.
In the past the organisations secured the loyalty of their employees by guaranteed job
security. However many organizations have to respond to competitive pressure by downsizing,
restructuring and transformation, and thus created a less secure organizational climate .A
growing number of employees therefore feels that they were the victims of broken promises.
One of the challenges facing modern organizations involves maintaining employee commitment
in the current business environment. Employee commitment is important to researchers and
organisations because of the desire to retain the workforce. An individual becomes bound by his
actions to beliefs that sustain his activities and his own involvement. Three features of
behaviour are important in binding individual to their acts: the visibility of the acts, the extent to
which the outcomes are irrevocable, and the degree to which the person undertakes the action
voluntarily.
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4.1.1. DEFINITION OF COMMITMENT

Commitment refers to the act of binding oneself with the (intellectually or emotionally)
to a course of action. Committed employees give a big contribution to organizations because they
performed behave on achieving organizations' goals. Furthermore, workers who are committed
to their organization are happy to be members of it, believe in and feel good about the
organization and what it stands for, and intend to do what is good for the organization(George
and Jones, 1996, p.85).
Organizational commitment refers to the psychological attachment of workers to
their workplaces (Allen & Meyer, 1990; OReiily & Chatman, 1986) 4. Commitment to
organizations is positively related to such desirable outcomes as job satisfaction (Bateman&
Stasser, 1984; Mowday, Porter, & Steers, 1982), motivation (Mowday, Steers,&Porter,1979), and
attendance (Mathieu & Zajac, 1990; Steers & Rhodes, 1978) and negatively related to such
outcomes as absenteeism and turnover (Clegg, 1983; Cotton & Tuttle,1986). Also, Horton stated
that stronger commitment could result in less turnover and absenteeism, thus increasing an
organizations productivity (Schuler & Jackson, 1996, p.302). However, the relationship between
organizational commitment and job performance is more tenuous (Becker, Billings, Eveleth, &
Gilbert, 1996). For instance, Mathieu and Zajacs (1990) Meta analysis showed that the
confidence interval around the mean correlation between organizational commitment and
performance included zero. Benkhoff says the main reason why commitment has been one of the
most popular research subjects in industrial psychology and organizational behavior over the past
30 years is its impact on performance ( 1997, p.701).
4 http://www.mbabrief.com,what is employee commitment,11-4-2014,19:40
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As defined by Mowday, Steers ad Porter (1982), commitment consists of three

components: identification with the goals and value of the organisation, desire to belong to the
organisation and a willingness to display effort on behalf of the organisation. The most
thoroughly investigated approach to organisational commitment is the perspective advanced by
Mowday and his colleagues which emphasises the employees affective bond with the
organisation. In other words, this is an attitude about employees to their organisation and is an
ongoing process through which organisational participants express their concern for the
organisation and its continued success and well-being.
According to Salanick (1977), Commitment is state of being in which an
individual becomes bound by his actions to beliefs that sustain his activities and his own
involvement.Three features of behaviour are important in binding individual to their acts: the
visibility of the acts, the extent to which the outcomes are irrevocable, and the degree to which
the person undertakes the action voluntarily.
Guest (1987) has suggested that HRM policies are designed to maximise
organisational integration, employee commitment, flexibility and quality of work. Organisational
commitment is the relative strength of the individuals identification with, and involvement in, a
particular organisation. Pierce and Dunham (1987) state that as with job involvement, the
research evidence demonstrates negative relationship between organisational commitment and
both absenteeism and turnover.
Mowday (1974) believes that organisational commitment is probably a better
predictor because it is a more global and enduring response to the organisation as a whole than is
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job satisfaction. An employee may be dissatisfied with his or her particular job and consider it a
temporary condition, yet not be dissatisfied with the organisation as a whole.
Sheldon (1971) suggests that organisational commitment is an attitude or
orientation toward the organisation which links or attaches the identity of the person to the
organisation. Robins (1974) also defines organisational commitment as an individuals
orientation towards the organisation in terms of loyalty, identification and involvement.
Allen and Meyer (1990) proposed three component model of organisational
commitment, viz., emotional belongingness to their organisation (Affective Commitment), the
cost associated with living the organisation (Continuance Commitment) and the feeling of
obligation to remain with the employer (Normative Commitment).
In recent times, with employees switching over jobs so frequently and with such as ease
at every possible opportunity for gaining personal benefits, a major question that the recruitment
personnel in various organisations face at the recruitment process is whether the employee being
recruited will benefit to the organisation in the long run and will he remain with the organisation
for a longer period of time than what the current trend shows. Another problem, which is a
common dilemma for the HR managers, is to hold back the potential employees in the
organisation and preventing them from leaving it. To succeed in this, what ideally should be done
is to not just offer these employees high material incentives but also try and create a sense of
commitment to the organisation so that the employee remains and works with the organisation by
choice and not force and identifies with the organisation.
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4.1.2 PRINCIPLES OF ORGANISATIONAL COMMITMENT

The sense of organisational commitment will prevail an employee if the following
principles are already present in the employees nature and behaviour or if the organisation
successfully generates these principle qualities in them. It is on the presence and absence of these
principle feelings; a certain level of organisational commitment is developed and maintained.
Job Security
The ability to keep a job for as long as one wants, providing ones job performance is
satisfactory.
Loyalty
The feelings of affection and attachment to ones organisations.
Trust in Management
The extent to which employees ascribe good intentions to, and have trust in, the works
and actions of management and their organisation.
Identification
The extent to which employees adopt, as they are own, the goals and values of the
organisation.
Alienation
The extent to which the employee feel disappointed with their career and professional
development.
Helplessness
The extent to which employees feel that they possess few opportunities and alternatives
available to them outside their organisation
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4.1.3 FACTORS AFFECTING EMPLOYEE COMMITMENT

Van Dyne and Graham (1994) contented that various personal, situational and positional
factors can affect the commitment of employees and consequently their attitude and behaviour.
The discussions below briefly high lights the principal personal, situational and positional factors
that influence employee commitment.
4.1.3.1 Personal factors
A great deal of research has sought to determine whether certain types of employees are
more likely to be committed to their employer .According to this result some employees may
simply be more predisposed to engage in citizenship behaviours than others. In particular,
employees who are highly conscientious, outgoing (extroverted) and generally have a positive
outlook on life (optimistic) are often more inclined and more committed. Employees who are
team oriented are tend to place the goals and concerns of the group above their own, typically
also be more inclined to display citizen relationship at work. Finally certain employees tend to
define their jobs more broadly than others, thus for these employees engaging citizen relationship
behaviour is simply seen as an integral part of their jobs.
4.1.3.2 Situational factors
Work place values
Shared values are a critical component of any conventional relationship. If employees believe
that their organization values quality products, they will engage in behaviours that will contribute
to high quality.
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Job characteristics
To the extent that a job is structured is to provide regular feedback autonomy as well as a
sense of task completion, employees can monitor their own behaviour and gain an increased
sense of personal control .A high sense of personal control thus has a positive consequences for
employee attitudes and behaviours at work place.
Organisational support
There is an important relationship between the employee commitment and the extent to
which employee believe their organisations. Organisations that are able to provide work-life
benefits and other types of employee support are likely to elicit citizenship behaviour.
4.1.3.3 Positional factors
Organisational tenure
Various researchers have studied the relationship between job tenure and the employee
relationships with the organisations. The studies has shown that employees who have been with
their employing organisations for a long time are more likely to have a embedded strong
relationship and strong organisational ties(Rousseau & Parks 1993).
Hierarchical job level
In organisations employees at higher job levels generally have high level of employee
commitment than those at lower levels. This is because positions of power allow people to
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influence organisational decision making, indicate high status, recognize formal authority and
possibly competence, and show that organisation values their contribution.
4.1.4 Drivers of Employee commitment
Bragg (2002) identified the following three drivers as key factors influencing an
employees commitment.
4.1.4.1 Fairness
Fairness implies the elimination of ones feelings, prejudices desires to achieve a proper balance
between conflicting interests. The problem with fairness is that it is subjective. Again, perception
is reality. To create a perception of fairness, employers should pay competitive wages, create and
administer policies that are unbiased, offer competitive benefits, provide timely accurate and
useful performance appraisal and also promotional and developmental opportunities.
4.1.4.2Trust
To nurture commitment, employers must create an environment of trust. If employers
wish to develop and maintain trust, they should be consistent, maintain confidence, encourage
employee involvement and should be ready for learn from mistakes. Building the trust of
employees on employers will help to improve employee commitment.
4.1.4.3 Concern for employees
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Employees should be regarded as people, not factors of production. Employers should

provide job security as far as possible, training and development opportunities and other facilities
also.
Overall todays employees have a strong sense of self- worth; they recognize their value
and want the employers as to well. Organizations that listen to their employees and build a
commited work place will have a competitive advantage.
4.1.5Dimensions of Employee Commitment
There is some disagreement with regard to the dimensionality of organisational
commitment and these differences stem from different motives and strategies involved in their
development. These include attempts to account for (a) empirical findings (Angle & Perry,
1981); (b) distinguish among uni dimensional conceptualisation (Jaros, 1993; Allen & Meyer,
1990), (c) ground commitment with an established theoretical construct (OReilly &
Chatman, 1986;) or some combination of these (Mayer & Scoorman, 1992; OReilly, Chatman
and Caldwell, 1986). However, a major factor that distinguishes the different forms of
commitment from another within the various models is the mindset (emotional attachment, sense
of being locked in, belief in and acceptance of the goals) presumed to characterise the
commitment. Moreover, there is considerable similarity in the nature of the mindsets within the
different frameworks.
4.1.6 Dimensions of organisational commitment within multi dimensional models
Table 4.1.6
Angle& Perry(1981)
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Value commitment
Commitment to support the goals of the organisation.
Commitment to say
Commitment to retain their organizational membership
OReilly & Chatman (1986)

Compliance
Instrumental involvement for specific extrinsic rewards.

Attachment based on the desire for affiliation with the
Identification
organisation
Involvement predicted on congruence between individual
Internalisation
and organisational values.
Allen & Meyer (1990)
The employees emotional attachment to identification
Affective
with an involvement in the organisation.
An awareness of the costs associated with leaving the
Continuance
organisation
Normative
A feeling of obligation to continue employment
Mayer & Schoorman (1992)

A belief in and acceptance of organisational goals and
Value
values and a willingness to exert considerable effort on

behalf of the organisation.
Continuance
The desire to remain a member of the organisation.
Jaros (1993)
The degree to which an individual is psychologically

attached to an employing organisation through feelings
Affective
such as loyalty, affection, warmth, belongingness,
fondness ,pleasure and so on.
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The degree to which an individual experiences a sense of

Continuance
being locked in a place of high costs of leaving.
The degree to which an individual is psychologically
Moral
attached
to
an
employing
organisation
through
internalisation of its goals, values and missions.

4.1.7Types of Employee commitment
4.1.7.1 Affective Commitment
It is the strength of peoples desire to continue working for an organisation because they
agree with its underlying goals and values. People feeling high degrees of affective commitment
desires to remain in their organisations because they endorse what the organisation stands for and
are willing to help in its mission.5
Bauer (2007) posit that organisational conditions encourage commitment. Participation in
decision making and job security are two such conditions. Certain job characteristics also
positively affect commitment. These include autonomy, responsibility, role clarity and interesting
work. Managers should encourage affective commitment because committed individuals expend
more task related effort and are less likely than others to leave the organisation (Somers, 1995).
Stinglhamber (2003) is of the view that those managers can increase affective commitment by
communicating that value employees contributions and that they care about employees
wellbeing.
Luthans (1985) revealed that American workers displayed higher affective commitment
than Korean and Japanese workers. Wong (2003) showed that Chinese place high value on social
5 Dr.Varsha Dixit , A study about employee commitment and its impact on sustained
productivity in Indian Auto-component industry,p-38
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relationship at work and that those with stronger interpersonal relationships are more committed
to their organisation. The author suggests that Chinese firms improve employee commitment and
retention by organising activities to help cultivate relationship among employees. This means
that expatriate managers should be sensitive to the quality of relationship among their Chinese
employees if they want to improve organisational commitment.
4.1.7.2 Continuance Commitment
It is strength of a persons desire to remain working for an organisation due to his or her
belief that it may be costly to leave. The longer the people remain in their organisation, the more
they stand to lose what they have invested in the organisation over the years.
Becker (1960) view continuance commitment as an employees tendency to remain in an
organisation because he or she cannot afford to leave. Sometimes employees believe that if they
leave, they will lose a great deal of their interest in time, effort and benefits and they cannot
replace these investments.
In Kanters (1968) opinion, continuance commitment refers to participating in a system
and remains as its member, which emanates from a cognitive judgement that it is worthwhile to
remain in the group rather than bear the cost of leaving the group.
Stebbins (1970) has stated that continuance commitment is a psychological state that
arises not from the presence of rewards but from the presence or imminence of subjectively
defined penalties associated with the attempt or desire to leave a specific position.
4.1.7.3 Normative Commitment
It refers to employees feelings of obligation to stay with their organisations because of
pressure from others. People who have high degrees of normative commitment are greatly
concerned about what others would think of them for leaving.
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Normative commitment refers to an employees desire to stay with the organisation based
on a sense of duty, loyalty and obligation. This sense of loyalty makes individuals feel that they
ought to stay committed to the relationship simply because it is the right thing to do (Allen,
1990).
Benkhoff (1996) posits that affective commitment and normative commitment are related
to lower rates of absenteeism, higher quality of work, increased productivity and several different
types of performance.
4.1.8 Methods of building Employee Commitment
Building employee commitment to the work place one of the important goal of HR
policies and practices. Research shows that commitment has a positive effect on productivity,
turnover and absenteeism etc. The following are the methods of building employee commitment.
1. Invest more time in the hiring process. Hiring takes a lot of time, but a rigorous process
pays off when you find the right person. "Person/organization fit is huge," Bergeron says. "If
you're selective on the front end, you lose fewer people later." Well-matched employees are
naturally more loyal, so retaining them takes less effort.
As you hire, introduce the candidate to several people on your team, ask them to complete a
project or share samples of past work, and screen for personality. "Make sure their values match
the values of the organization," Bergeron adds. A good match will blend naturally with the others
on your team, rounding out their skills and fitting in with the overall culture.
2. Make your employees marketable. A good working relationship must be beneficial for both
of you, meaning that employees need regular opportunities to enhance their professional skills.
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Many companies worry about investing too much in employees in case they leave, but you want
to do just the opposite. "The more [employees] feel they can leave, the more likely they are to
stay," Bergeron says.
Managers are the most important source of growth and inspiration. "The relationship with the
manager is the number one predictor of whether or not someone stays [at a job]," Bergeron says.
Make sure your managers are trained to inspire their employees, share their expertise, and offer
opportunities for growth.
3. Allow many paths to promotion. Your employees' needs are ever evolving, so you can help
them grow and inspire loyalty by offering opportunities for advancement tailored to their skills
and goals. For example, many computer programmers want to move up without shifting into
management, so tech companies often offer a choice between technical or managerial career
paths.
Go one step further by helping an employee create a new job based on their skill set, or allowing
them to rotate between different roles. "If people have the flexibility to tailor their job to their
needs, they're less likely to leave to find what they need," Bergeron says.
4. Empower employees to make choices. Inspire loyalty by giving employees a sense of
freedom and control. "When people feel that they're trusted, they respond to that," Bergeron says.
You might let employees work from home when needed, make decisions autonomously, or adjust
their work schedule to balance family. Those freedoms show confidence and help employees
tailor the job to their needs.
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"Trust is this basic component of society," Bergeron says. "Without it, [organizations] cease to
function." Trusting companies have less rigid management, greater creativity, and higher
employee satisfaction. They also inspire employees to go above and beyond, making the
workplace better for everyone.
4.2 THEORETICAL FRAME WORK OF EMPLYEE PRODUCTIVITY
Employee productivity is the one of the important factor that determines the success of
the organisation. Achieving better labor productivity requires detailed studies of the actual labor
cost. Various labors have different variables affecting their productivity levels. For every project,
productivity, cost, quality, and time have been the main concern. Better productivity can be
achieved if project management includes the skills of education and training, the work method,
personal health, motivational factors, the type of tools, machines, required equipment and
materials, personal skills, the workload to be executed, expected work quality, work location, the
type of work to be done, and supervisory personnel (Rowlinson and Proctor, 1999).
4.2.1 Definition
In the broad sense productivity represents the good and the services produced in relation
to the resources utilised to the production. It may be defined as the ratio of output to the ratio of
input. In actual terms productivity is a component which directly affects the companys profits. It
is the measure or calculation between inputs and outputs. Inputs are the time and effort spent on
working and outputs are the outcomes/results. If the outputs are equivalent to the outputs the
employee is considered productive.
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According to Peter Ducker productivity represents the balance between all factors of
production that will give the greatest output at the smallest effort In technical terms,
productivity may be defined as the ratio between input and output.
Employee productivity is the ratio of output that a labour produced in accordance with the
available inputs. Employee commitment is one of the important factors affecting the employee
productivity.
4.2.2 FACTORS AFFECTING EMPLOYEE PRODUCTIVITY

Following are the some of the important factors affecting Employee productivity:-
Strongly Defined rules and objectives

Goals and objectives of the organisation need to be real. It should be easily recognized
with no ambiguity or doubt. The goals need to be written and rethought at regular
intervals according to employee progress. This helps the employee understand what
exactly is expected of him and deliver the results accordingly. Lack of information
definitely leads to assumptions and confusion and a lack of productivity in a workplace.
Motivation (psychological aspects)
This aspect plays a very important role. A lot of psychological tabs and be pushed to
motivate the team and thus increase the employee productivity. Most important are the 3
Rs Recognize, Reward and Reach out. Recognize and reward the work done above and
beyond. This will spur the employee to new heights and encourage the others to follow.
Never miss reaching out to everyone who contributes directly or indirectly for the
progress, which just shows that we really care for their well being.
Employee engagement
An employee is engaged when he is completely engrossed in the work and is emotionally
attached to the work environment and their organization.
Strategic rotation
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Strategically rotate the task between teams and team members and ensure that all the
employees within a project are capable enough to cover each other during crisis and make
them responsible for each action or task delivered.
Having humanly human resource practices.

Having good HR Practices which enables and makes the employee feel more comfortable
definitely helps in boosting employee satisfaction and productivity.
Refresher sessions.
Conducting refresher sessions, quiz and presentations on related topics will ensure the
employee is completely equipped and confident to achieve the desired results.
Innovating and strong technology with proper resources.
Ensuring that the employee is given the right technology with regular enhancements
which is adaptable to the work being performed and proper resources will give extreme
good support for an employee to contribute better.
Along with this an ICARE attitude will increase the productivity and increase the
organisation profitability.
I = Integration
C= Collabration
A = Accountability
R = Responsibility
E = Excellence
4.2.3Significance of productivity
Whether it is a free enterprise economy or socialised economy or mixed economy there is
a stress is given on a higher productivity. The relationship between productivity and economic
growth is almost self explanatory. Productivity is an important element in the process of
economic growth. When the productivity of the industry is increased the rate of economic growth
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increased automatically. Increase in productivity in an industry leads to higher production with

the most economic use of the available resources, in other words cost of production is decreased.
These benefits the customers by reducing the prices, the workers by increasing their wages and
the entrepreneurs by increasing profits. Since the peoples income increases, their demand is also
increases. Increase in demand make it possible to start new industrial units generate more
employment. Thus, it is obvious, that higher productivity is instrumental in the economic growth
of any nation.
4.2.4 Advantages of higher productivity
Advantages of higher productivity are the following:i.
ii.
Increase in efficiency of various factors of production.

Economic use of various factors of production, this decreases the cost of
iii.
iv.
production per unit.

Decrease in overhead cost.
Better quality goods at lower prices. This will enhance the stand of living of
v.
people.
Increase in wages and salaries to the workers. The workers also get better working
vi.
vii.
viii.
conditions and higher bonus.

Profits are increased and this facilitates internal financing of expansion.
Better economic strength and stability of enterprise.
Overall growth of the economy.
4.2.5 Difficulties in managing labour productivity

The Difficulties in managing productivity of labour is due to the following factors:i. Lack of commitment of managers for productivity enforcement.
ii. Lack of systems to measure productivity.
iii. Difficult industrial relation.
iv. Bad methods and bas management contributing to lower productivity.
Expect the difficult industrial relation, the managent have to take the responsibility for
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i. High overtime
ii. High idle time
iii. High absenteeism
iv. Low output
v. More rejections
vi. Rework and rectification
vii. More waiting time
viii. Inadequate utilisation of machinery
ix. Surplus manpower
x. Frequent work stoppage
In view of the strength of the unions the control of labour productivity has ceased to be an easy
task, even minor changes invite the attention and the involvement of unions. When the industrial
relation climate is unsatisfactory maintaining the productivity requires most of the energies of the
management, if the management is commited to enhancing productivity.
4.2.6 Measures of increasing labour productivity

The following are the steps to increasing labour productivity:
i.
Improved raw material

Raw materials of right quantity should be procured by every industrial unit. This
will reduce wastage and increase the productivity of the labours and machines.
ii.
Improved machines
Latest machines and equipments should be procured by every industrial unit. This
will helps to improve labour productivity.
iii.
Improved working conditions
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There should be proper arrangement of lighting, ventilations, and cleanliness, cooling

and heating of work place. If these arrangements are not proper, productivity is likely to
be low.
iv.
v.
Scientific selection of workers

Right persons should be appointed in the various positions of the organisation. Also
should be provided adequate training, raw materials, machines etc.
Provisions of incentives
Workers should be offered incentives to increase their productivity. Workers of good
productivity should be properly rewarded and recognised. Productivity linked bonus
vi.
vii.
viii.
plan can also be introduced for improving labour productivity.

Harmonious relation
There should be industrial peace in the organisation. Harmonious industrial relations
help to get higher productivity from the workers.
Quality and cost consciousness
Both the workers and the management should be conscious about cost and quality.
Industrial research
Industrial research help to understand the new methods and techniques of production and their by
improving labour productivity. If an organisation adopts the above measures it will improve the
employee productivity and thereby organisation productivity.
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CHAPTER 5
RESEARCH METHODOLOGY
Research in common parlance refers to a search for knowledge. Research comprises of defining
and redefining problems, formulating hypothesis, collecting, organising and evaluating data,
making deductions and reaching conclusions; and at last carefully testing the conclusions to
determine whether they fit the formulating hypothesis6. Research is thus, an original contribution
to the existing stock of knowledge making for its advancement.
5.1 RESEARCH METHODOLOGY
6 C.R.Kothari, Research Methodology methods and techniques,2004,p-2

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Research Methodology is a way to systematically solve the research problem. It may be

understood as a science of studying how research is done scientifically. In it we study the various
steps that are adopted by the researcher in studying his research problem along with logic behind
them.
5.2 RESEARCH DESIGN
According to Kerlinger Research design is the plan ,structure and strategy of investigation
conceived so as to obtain answers to research questions and to control variance. A research
design is the arrangement of conditions for the collection and analysis of data in a manner that
aims to combine relevance to the research purpose with economy in procedure.
The design adopted for this study is Descriptive Research Design which is concerned with
describing the characteristics of the particular individual or of a group. Since the study is
qualitative in nature, for describing attitudes and opinions of the respondents, the researcher have
of the opinion that Descriptive Research is the most appropriate one.
5.3UNIVERSE
The universe of the present study is the employees currently working in KITEX LTD
Kizhakkambalam. Here the total population is 1300 employees.
5.4 SAMPLING UNIT
Sampling unit is the number of employee in the KITEX LTD.
5.5 SAMPLING SIZE
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Sampling size refers to the number of items to be selected from the universe to constitute a
sample. The sample size for the study was 50 of the total number of employees in KITEX Ltd.
5.6 SAMPLING TECHNIQUE
There are two methods of sampling technique. They are probability sampling and nonprobability sampling. Probability sampling has been selected for these study .Probability
sampling methods include: Simple random sampling and restricted random sampling. The
sampling design the researcher adopted is simple random sampling.
5.7 SAMPLING PROCEDURE
Simple random sampling has been adopted here. It refers to a sample selected from a population
in such a way that every member of the population has an equal chance of being selected and the
selection of any individual does not influence the selection of the other.To ensure the randomness
of selection we adopt lottery method.
5.8. SOURCES OF DATA
a) Primary data
Primary data for the study is collected using a well structured, closed end questionnaire
distributed among the sample of 50 employees randomly selected.
b) Secondary data
Data collected from a source that has already been published in any form is called secondary
data. The review of literature in any research is based on secondary data. Secondary data
analysis saves time that would otherwise be spent collecting data and particularly in the case
of quantitative data, provided larger and higher-quality database that would be unfeasible for
any individual researcher to collect on their own.
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The secondary data for the study were collected from Human Resource records, company
websites, magazines, journals, and internet and for other published sources.
5.9 PROCESSING OF DATA.
Processing implies Editing, Coding, Classifying, and tabulating the collected data so that
they are amenable for analysis.
Editing: Editing of data is a process of examining the collected raw data to detect errors and
omissions and to correct these when possible.
Coding: Coding refers to the processing of assigning numerals or other symbols to answers
so that responses can be put into a limited number of categories or classes.
Classification: The process of arranging data in groups or classes according to resemblance
and similarities is technically called Classification.
Tabulation: when a mass of data has been assembled, it become necessary for the researcher
to arrange the same in some kind of concise and logical order.
5.10 DATA ANALYSIS TOOLS
After collection of data from the employees each questions were analysed using percentage
analysis method.
The percentage analysis is done according to the sample. The percentages of the respondents
are taken and respective graph is drawn according to it.
Percentage =
Number of respondents
Total number of respondent
5.11 PRESENTATION OF DATA

The data is presented through charts and tables.
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CHAPTER 6
DATA ANALYSIS AND INTERPRETATION
In order to extract meaningful information from the data collected, data analysis and
interpretation were carried out. They are first edited, coded and tabulated for the purpose of
analyzing them.
Analysis means computation of certain indices of measures along with searching for patterns
of relationships that exist among the data groups. In short, making intelligent and systematic
effort to understand the relationship between various data, the researcher has done processing
and then analyzed the data in order to accomplish the set research objectives.
The chapter entails the processing, analysis and interpretation of data. The data has been
initially processed with the help of field editing and tables. Suitable techniques are used to find
the reliability of various data and testing the accuracy of findings. The processed data has been
analyzed and appropriate interpretation is made which are presented as follows
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Table 6.1- specific factors affecting employee commitment
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Graph 6.1- specific factors affecting employee commitment
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Analysis
The table 6.1specific factors affecting employee commitment shows that 20 % of the employees
are highly agree, 40% of the employees are agree ,20% of the employees have no comments and
20% of the employees are disagree that pay and reward system of the organization is the specific
factors influencing their commitment.
Then the table shows that 60% of the employees are highly agree and 40% of the employees are
agree that their attitude towards the job is the specific factor influencing their commitment in
Kitex.Ltd.
Next the table shows that 20% of the employees are highly agree and 80% of the employees are
agree support from the peers is a specific factor influencing their commitment in Kitex, Ltd.
Then the table shows that 20% of the employees are highly agree and 80% of the employees are
agree with the feedback from the superiors is a specific factor influencing their commitment in
Kitex,Ltd.
Next the table shows that 60% of the employees agree and 40% of the employees have no
comments about their knowledge about the organisation mission and vision is a specific factor
influencing their commitment in Kitex, Ltd.
Then the table shows that 40% of the employees agree and 60% of the employees have no
comments about their participation in management decision making is a specific factor
influencing their commitment in Kitex,Ltd.
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Next the table shows that 20 % of the employees are highly agree , 20% of the employees agree
and 60% of the employees have no comments about the organization promotional policies is a
specific factor influencing their commitment in Kitex,Ltd.
Then the table shows that 100 % of the employees are highly agree that the job security provided
by the organization is a specific factor influencing their commitment in Kitex, Ltd.
Next the table shows that 100 % of the employees are agree that the stress free work
environment of the organization is a specific factor influencing their commitment in Kitex, Ltd.
Then the table shows that 100 % of the employees are agree with the training and development
opportunities available to them is a specific factor influencing their commitment in Kitex, Ltd.
Finally the table shows that 20 % of the employees are highly agree , 80% of the employees are
agree with the organisational justice and trust is a specific factor influencing their commitment
in Kitex,Ltd.
Interpretation
From the above analysis it is inferred that most of the employees are agreed 40%) with the pay
and reward system of the organization, and highly agreed (60%) in their attitude towards the and
satisfied (80%) in support from the peers, and agreed (80%) with the feedback from the
superiors, and agreed (60%) about their knowledge about the organisation mission and vision,
and have no opinion (60%) about their participation in management decision, and have no
opinion (60%) about the organisation promotional policies, and highly agreed (100%) with the
job security provided by the organization and agreed (100%) with the stress free work
environment and the training and development opportunities available to them ,and agreed
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(80%) with the organisational justice and trust are the specific factor influencing their
commitment in Kitex,Ltd.
Majority of the employees are highly agreed (100%) with the job security provided by the
organisation and agreed (100%) with the stress free work environment and training and
development opportunities provided by the organization are the specific factors influencing
their commitment in Kitex,Ltd.
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Table 6.2.1- level of affective commitment
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Graph 6.2.1- level of affective commitment
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Analysis
The table 6.2.1, level of affective commitment shows that the 20 % of the employees highly
agreed, 40 % of the employees are agreed and disagreed that they are happy to spend to spend
rest of their career in kitex Ltd.
Then 100% of the employees are agreed that they feel that the organiSational problems are their
own.
Next 100 % of the employees agreed that they feel a sense of belongings to the organisation.
Then 100% of the employees agreed that they have an emotional attachment to the organisation.
Finally 100 % of the employees agreed that they have a great deal of personal meaning to the
organisation.
Interpretation
From the above analysis it is inferred that most of the employees agreed (100%) that they feels
organisational problems are their own, have a strong sense of belongness, emotional attachment
and great deal of personal meaning with the organization. And equal percentage (40%) of the
employees agreed and disagreed that they are ready to spend rest of their career in the Kitex Ltd.
From this we can interpreted that employees affective commitment depends on their feeling of
sense of my own, belongness, personal meaning and the emotional attachment (agreed 100%)
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Table 6.2.2- Level of continuance commitment
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Graph 6.2.2- Level of continuance commitment
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Analysis
The table 6.2.2 level of continuence commitment shows that 40 % of the employees are agreed
and have no opinion and 20 % are strongly disagreed that they staying in the organisation as a
matter of necessity.
Then 40 % of the employees are agreed and have no opinion and 20 % are strongly disagreed
that it would be costly for them to leave the organisation.
Next 40 % of the employees are agreed and have no opinion and 20 % are strongly disagreed that
their life would be disrupted if they decided to leave the organisation
Then 40 % of the employees are agreed and 60 % are disagreed that they put so much effort to
staying this organisation.
Finally 20 % of the employees are agreed, 60 % are disagreed, and 20 % are strongly disagreed
that they cant leave the organization because of the scarcity of the available alternatives.
Interpretation
From the table it can infer that employees have continuance commitment depends on their matter
of necessity, and need of balancing the present position of life (Agreed 40%).
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Table-6.2.3-Level of normative commitment
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Graph 6.2.3-level of normative commitment
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Analysis
From the table 6.2.3 level of normative commitment shows that 20 % of the employees strongly
agreed and 80 % of the employees agreed that they are remain in the organisation because of
they feel some moral obligation with the employer.
Next 20 % of employees strongly agreed, agreed and have no comments and also 40 % of the
employees agreed that they cant leave the organisation because of the feeling of guilty to leave
it.
Then 40 % of the employees strongly agreed and 60 % of the employees agreed that the
organisation deserve their loyalty.
Next 20 % of the employees strongly agreed, 60 % of the employees agreed and 20 % of the
employees disagreed that they cant leave the organization because of they have a sense of
obligation to the people in the organisation.
Lastly 40 % of the employees strongly agreed 60 % of the employees are agreed that they owe a
great deal to the organisation.
Interpretation
From the above analysis it is inferred that employees normative commitment depends on their
loyalty (strongly agreed 40%) and feeling of moral obligation to the employer (agreed 80%).
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Table 6.3. - Relationship between employee commitment and employee productivity
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Graph 6.3. - Relationship between employee commitment and employee productivity
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Analysis
The table 6.3 relationship between employee commitment and employee productivity shows that
60 % of the employee strongly agreed and 40% of the employees agreed that their commitment
to the organisation improves their productivity.
Then 60 % of the employee strongly agreed and 40% agreed that employee commitment
improves job satisfaction and also the employee productivity.
Next 40 % of the employees strongly agreed and 60 % of the employees is agreed that reduction
in employee turnover is a result of employee commitment and it improves productivity.
Then 20 % of the employees strongly agreed and 20 % agreed and disagreed that feeling of
obligation to the organisation improves their productivity.
Finally 60 % of the employee strongly agreed and 40 % agreed that promotional opportunities of
the employees improved their productivity.
Interpretation
From the above Analysis we can get the following inferences:
Increased employee commitment can increase employee productivity. (60% strongly agree, 40 %
agree), employee commitment improves job satisfaction and employee productivity (60%
strongly agree, 40 % agree), employee commitment reduces labour turnover and employee
productivity (40% strongly agree, 60 % agree), Obligation toward the organisation increases
employee productivity.(40 % strongly agree,20% disagree),Promotional opportunities increases
employee commitment (60% strongly agree, 40 % agree)
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In general we can say that employee employee commitment increases the productivity of the
employees in the kitex Ltd.
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CHAPTER 7
FINDINGS
After analysis and interpretation the findings of the study are given as follows.
OBJECTIVE 1
To understand specific factors affecting employee commitment in Kitex Ltd.
Findings
The specific factors affecting the commitment of the employees in Kitex Ltd. are the following:
1. Job security provided by the organisation (100% highly satisfied).
2. Stress free work environment and training and development opportunities provided by
the organisation(100% satisfied).
3. Peers support feedback from superiors and organisational justice and trust (80%
satisfied.)
OBJECTIVE 2
To understand the level of employee commitment in Kitex Ltd.
1. Employees in the kitex limited agreed that they have a strong sense of affective commitment
towards the organization (agreed 100%)
2. Employees in the kitex limited shows a sense of continuance commitment towards the
organization (agreed 40%)
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3. Employees in the kitex limited shows a sense of normative commitment towards the
organization (agreed 80%)
From the above findings we can say that the level of employee commitment of the employees in
the kitex limited is the affective commitment (agreed 100%).
OBJECTIVE 3
To understand how employee commitment affecting the productivity of employees in Kitex Ltd
1.
Increased employee commitment can increase employee productivity.(60% strongly
agree, 40 % agree)
2. employee commitment improves job satisfaction and employee productivity(60%
strongly agree, 40 % agree)
3. employee commitment reduces labour turnover and employee productivity(40% strongly
agree, 60 % agree)
4. Obligation toward the organisation increases employee productivity.(40 % strongly
agree,20% disagree)
5. Promotional opportunities increases employee commitment(60% strongly agree, 40 %
agree)
In general employee commitment helps the organisation for improving its employees
productivity
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CHAPTER 8
SUGGESTIONS
Some suggestions are made based on the findings, it will be helpful for the organisation for the
further improvement of employee commitment and employee productivity. The suggestions are
the following:
1. Since job security is the most important factor which affecting the commitment of the
employees in Kitex limited, keep its continuing.
2. Workers have little knowledge about the organization mission and vision, so make the
employees to aware about organization mission and vision. It will helpful for the employees for
increasing their commitment and productivity. Maintain the attitude of management towards the
employees and encourage communication with the employees. Management can discuss with
staffs to improve their commitment. When taking decisions, revise the company mission
statement to include all employees and departments as though they are an integral part of the
companys future.
3. Provide more promotional opportunities and pay and reward structure to the employees.
Proper promotional opportunities and salary structure will helpful for the organization to
improving its employees commitment.
4. The level of employee commitment in kitex Limited is satisfactory, so keep its on the same
level.
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5.Reduction in employee turnover is a result of its employees commitment, provision of

incentives, bonus, promotional opportunities etc will help the organization for improving
employee commitment and their by employee productivity.
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CHAPTER 9
CONCLUSION
The study was indeed helpful to the researcher to understand more about the correlation between
employee commitment and productivity of the employees in KITEX Pvt Ltd. The study revealed
that the element of commitment was found to be present in most of the employees working
pattern. The success of every organisations business strategy depends a great deal on the
employee commitment levels. Increased employee commitment increases the productivity of the
employees this will provide quality products and services to the customers. The improved
customer service also improves the public image of the organization. Increased employee
commitment, employee productivity, and customer service will improve the profitability of the
organization. The sample size taken for the study is only 50. It can be extended to a larger
sample. Lower level employees can also be included in the study and can be used to measure the
commitment level of employees.
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