A PROJECT REPORT ON

EMPLOYEE ABSENTEEISM WITH RESPECT TO NTPC Ltd

REPORT SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT OF MASTER OF BUSINESS ADMINISTRATION (M.B.A.) AFFILIATED TO GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY (2010-2012)

SUBMITTED TO MR. SANJAY DHINGRA CHAUDHARY PROFESSOR

SUBMITTED BY ASHISH KUMAR MBA (III SEM) ROLL. NO.: 08516603910

UNIVERSITY SCHOOL OF MANAGEMENT STUDIES, DWARKA, NEW DELHI-110078

CERTIFICATE

This is to certify that Mr. Ashish Kumar Chaudhary, student of MBA (III Sem), Roll No. 08516603910, has successfully completed his project under my supervision. During this period (13 June 2011-29 July 2011),he worked on the project titled Employee Absenteeism with respect to NTPC Ltd. in partial fulfillment for the award of the MBA. This Project Study is his original work and has not been submitted to any other Institute.

Date:

ACKNOWLEDGEMENT
There are a few things that come in the life of a person, may be for a short span of time, but leaves on ever shining impression in to the mind. My summer training is one of the events, which will be evergreen in my life. As I have been placed in NTPC, Noida, Sec- 24. I shared the real operational skills and knowledge from their experienced, enthusiastic and cordial executives, without whom I would have not been able to achieve my aim. First of all I would like to express my thanks to Mr. Suresh Kumar Mehrotra (Manager) of NTPC ( Consultancy Wing ) for permitting me to do the training at his concern. I am also very grateful to Mr. A. K. Aggarwal for sharing valuable experience and suggestions regarding training and preparation of report. Further I would also like to extend my sincere Thanks to Prof. Sanjay Dhingra University School of Management Studies , GGSIPU for his valuable guidance, suggestions and outstanding mentorship, during the course of my project without which this project would have been a difficult task.

TABLE OF CONTENTS

S Nos. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Topic ABSTRACT COMPANY PROFILE RESEARCH OBJECTIVE INTRODUCTION ADVERSE EFFECT OF ABSENTEEISM TRENDS IN ABSENTEEISM REMEDIAL MEASURES RESEARCH METHODOLOGY FINDINGS ANALYSIS CONCLUSION RECOMMENDATION LIMITATION BIBLIOGRAPHY ANNEXURE

Page Nos. 2 4 13 15 20 24 25 31 33 45 47 49 52 53 54

ABSTRACT

No men can tell what the future may bring forth and small opportunities are often the beginnings of great enterprise.

The importance of business management is being increasing realized in the industrial and non-industrial areas both in India. This realization has come about because of increasing importance of management evolved, just because to make their function easy. As we know that a person having management degree works more efficiently than the person not having any professional qualification does. To meet the problem we know the different functions in any organization like functioning of HR deptt, marketing and finance deptt .The main aim of this research project is to study thoroughly the existing absenteeism problems in the organization. Absenteeism is the failure of a worker to report for work when he is scheduled to work. To find out the areas which require special concern of management and to equip the management with latest trend in absenteeism? Absenteeism is a major barometer of employee morale, absenteeism above 5% per week is very serious (3% is the standard goal of industry). Left unchecked, high absenteeism usually develops into very serious business problems including morale issues and high turnover. Absenteeism is a universal problem in Industry and is not peculiar to Indian industry. But the rate of Absenteeism has been relatively higher in India. What are the reasons for high rates of Absenteeism and the increasing man-day lost? If the worker is committed to his job, why does he stay away? Why is the labour force like a nuclear dump waiting for a match to set it aflame? What are the adverse effects of abseentism? what are basic causes like personal organization. Through interviews, questionnaire I came to know the problems, effects and find out the new trends of absenteeism in the organizations. Thus, Absenteeism affects the organization from the multiple angles. It affects severely the production process and the business. The effect of unauthorized absenteeism is more than the other types of absenteeism. However, it is difficult to completely avoid absenteeism, but it can be minimized & controlled using various measures. In NTPC, attendance management system is best and favorable for the employees. problems, socio-cultural problems, regarding job i.e. job satisfaction, unawareness of rules and standing orders of absenteeism in the

COMPANY PROFILE

INTRODUCTION
NTPC Limited (Formerly National Thermal Power Corporation) is the largest power generation company in India. Forbes Global 2000 for 2009 ranked it 317th in the world. It is an Indian public sector company listed on the Bombay Stock Exchange although at present the Government of India holds 84.5%(after divestment the stake by Indian government on 19 October 2009) of its equity. With a current generating capacity of 31134 MW, NTPC has embarked on plans to become a 75,000 MW company by 2017. It was founded on November 7, 1975. NTPC's core business is engineering, construction and operation of power generating plants and providing consultancy to power utilities in India and abroad. The total installed capacity of the company is 31134 MW (including JVs) with 15 coal based and 7 gas based stations, located across the country. In addition under JVs, 3 stations are coal based & another station uses naphtha/LNG as fuel. By 2017, the power generation portfolio is expected to have a diversified fuel mix with coal based capacity of around 53000 MW, 10000 MW through gas, 9000 MW through Hydro generation, about 2000 MW from nuclear sources and around 1000 MW from Renewable Energy Sources (RES). NTPC has adopted a multi-pronged growth strategy which includes capacity addition through green field projects, expansion of existing stations, joint ventures, subsidiaries and takeover of stations. NTPC Limited (NTPC) was incorporated on November 7, 1975 as a wholly owned PSE by the Government of India with the objective of planning, promoting and organizing integrated development of thermal power plants to meet the power requirements of the country. Within a span of 35 years, NTPC has emerged as a truly national power company, with power generating facilities in all the major regions of the country. NTPC became a public limited company in September 1985. The Core business of NTPC is engineering, construction and operation of power plants and it also provides consultancy to power utilities in India and abroad. The corporation began its operation by undertaking four green field projects to install four thermal power stations in various locations. The locations were Korba (Chattisgarh), Farakka (West Bengal), Singrauli (Uttar Pradesh) and Ramagundam (Andhra Pradesh). The first Unit at Singrauli was synchronized in February 1982 and the unit

commenced commercial operations from June 1982. Presently, NTPC is the largest thermal power generating company in India. NTPC accounts for 18.79% in the total installed capacity of the country and contributed 28.60% of the total power generation of the country.

CORPORATE MISSION

Develop and provide reliable power, related products and services at competitive prices, integrating multiple energy sources with innovative and eco-friendly technologies and contribute to society.

CORPORATE VISION
"A world class integrated power major, powering Indias growth, with increasing global presence."

CORE VALUES BCOMIT

B C O M I T -Business Ethics -Customer Focus -Organisational & Professional Pride -Mutual Respect & Trust -Innovation & Speed -Total Quality for Excellence

CHAIRMAN AND MANAGING DIRECTOR, NTPC LTD.

Shri Arup Roy Choudhury, Chairman & Managing Director since September 01, 2010, has an illustrious career spanning over 32 years of outstanding contribution in the fields of engineering, general management, strategic management and business leadership. He is a Graduate in Civil Engineering from Birla Institute of Technology, Mesra and a Post-Graduate in Management and Systems from IIT-Delhi. A keen learner of the latest professional developments, he is currently pursuing a doctorate in Select Study of Project Performance Metrics in Indian Construction Industry from IIT-Delhi. Shri Choudhury brings to NTPC the dynamism of a leader with proven abilities to achieve transformational changes. He seeks to position the Maharatna enterprise on course to become the largest and best power producer in the world. Shri Choudhury has the distinction of becoming the youngest Chief Executive Officer of a Central Public Sector Enterprise (CPSE) at the age of 44 years when he joined as Chairman & Managing Director, National Buildings Construction Corporation Limited (NBCC) on April 03, 2001. Prior to that he had worked in prominent public and private sector companies since 1979, when he started his career. Shri Choudhurys rich and varied contribution of over 32 years has been recognized by prestigious professional, academic and Government institutions, both national and international. His vision, leadership and industriousness transformed NBCC, which was a sick company with negative net-worth and salary back-log in 2001, into a blue-chip enterprise having Schedule A and Miniratna status bestowed upon it by the Government of India. The stunning turnaround of the Company brought about by him has enabled NBCCs turnover grow about 10 times and net-worth over 500 times during his tenure of nine-and-a-half years at the helm. He pulled NBCC out of the abyss and catapulted it into the distinguished league of Top Ten CPSEs. Under him, NBCC broadened its business horizons. Its entry into power project development dovetails very productively with his new role as CMD, NTPC.

As Chairman, Standing Conference of Public Enterprises (SCOPE), the apex body of central public sector enterprises (CPSEs), Shri Choudhury has been effectively leading policy advocacy for greater empowerment of these enterprises. He is also promoting the cause of greater professionalism, competitiveness, societal commitment, transparency and global-benchmarking among the CPSEs. Shri Choudhury believes in growth and excellence through proactive approach and his dictum is Sankalp Shuddha Hi Siddha i.e. if your intentions are pure, you are bound to succeed. Shri Choudhury has a strong commitment for the well-being of the society at large. His sharp focus on corporate governance and environmentally sustainable growth has been demonstrated in concrete actions and substantial benefits.

INDUSTRY PROFILE

Indias largest power company, NTPC was set up in 1975 to accelerate power development in India. NTPC is emerging as a diversified power major with presence in the entire value chain of the power generation business. Apart from power generation, which is the mainstay of the company, NTPC has already ventured into consultancy, power trading, ash utilisation and coal mining. NTPC ranked 341st in the 2010, Forbes Global 2000 ranking of the Worlds biggest companies. NTPC became a Maharatna company in May, 2010, one of the only four companies to be awarded this status.

The total installed capacity of the company is 35,354 MW (including JVs) with 15 coal based and 7 gas based stations, located across the country. In addition under JVs, 5 stations are coal based & another station uses naptha/LNG as fuel. The company has set a target to have an installed power generating capacity of 1,28,000 MW by the year 2032. The capacity will have a diversified fuel mix comprising 56% coal, 16% Gas, 11% Nuclear and 17% Renewable Energy Sources(RES) including hydro. By 2032, non fossil fuel based generation capacity shall make up nearly 28% of NTPCs portfolio. NTPC has been operating its plants at high efficiency levels. Although the company has 17.75% of the total national capacity, it contributes 27.40% of total power generation due to its focus on high efficiency.

In October 2004, NTPC launched its Initial Public Offering (IPO) consisting of 5.25% as fresh issue and 5.25% as offer for sale by Government of India. NTPC thus became a listed company in November 2004 with the Government holding 89.5% of the equity share capital. In February 2010, the Shareholding of Government of India was reduced from 89.5% to 84.5% through Further Public Offer. The rest is held by Institutional Investors and the Public.

At NTPC, People before Plant Load Factor is the mantra that guides all HR related policies. NTPC has been awarded No.1, Best Workplace in India among large organisations and the best PSU for the year 2010, by the Great Places to Work Institute, India Chapter in collaboration with The Economic Times. The concept of Corporate Social Responsibility is deeply ingrained in NTPC's culture. Through its expansive CSR initiatives, NTPC strives to develop mutual trust with the communities that surround its power stations.

GROWTH OF NTPC
Presently, NTPC generates power from Coal and Gas. With an installed capacity of 30,144 MW, NTPC is the largest power generating major in the country. It has also diversified into hydro power, coal mining, power equipment manufacturing, oil & gas exploration, power trading & distribution. With an increasing presence in the power value chain, NTPC is well on its way to becoming an Integrated Power Major.

Installed Capacity

Be it the generating capacity or plant performance or operational efficiency, NTPCs Installed Capacity and performance depicts the companys outstanding performance across a number of parametres.

Coal Gas/Liquid Fuel Total Coal & Gas Total

NO. OF PLANTS NTPC Owned 15 7 22 Owned By JVs 4 26

CAPACITY (MW) 23,895 3,955 27,850 2,294 30,144

Regional Spread of Generating Facilities

REGION Northern Western Southern Eastern JVs Total COAL 7,035 6,360 3,600 6,900 8,14 24,709 GAS 2,312 1,293 350 1,480 5,435 TOTAL 9,347 7,653 3,950 6,900 2,294 30,144

RESEARCH OBJECTIVE

To study the problem of Absenteeism & identifying the possible main causes of the same

With above objective I have under considered the following

To explore the possibilities of improvements in the current attendance management system.

To find out the areas which require special concern of management? To study the trends of absenteeism in the organization. To provide the suggestions in controlling & reducing absenteeism.

INTRODUCTION

bsenteeism is a major barometer of employee morale, absenteeism above 5% per week is very serious (3% is the standard goal of industry). Left unchecked, high absenteeism usually develops into very serious business problems including morale issues and high turnover. To reduce absenteeism, first check the percentage of employee absenteeism by supervisor. Next you need to look at absenteeism a little more closely, in terms of the principal reason given for it. Sometimes employees call in sick when they really do not want to go to work. The answer to eliminate those types of absentees is to develop an effective program that strikes at the core of the issues. Any program intended to cut down on absenteeism has to move along two parallel paths. For example: 1. Find the causes of worker discontent and eliminate them. If workers find their supervisor or job unpleasant - really unpleasant the worker looks for legitimate excuses to stay home and finds them with upset stomachs, splitting headaches, aching wrists, etc. Any effective absentee control program has to locate the causes of worker discontent and modify them or eliminate them entirely. In other words, if we deal with the real reasons workers stay home it becomes unnecessary for them to look for those sickness excuses they actually use. 2. Change the workers way of reacting and responding to discontent. Well, what are the real causes for worker discontent? Management must try to change the workers ways of reacting & responding to discontent as there is some fascinating correlations between types of worker discontent and rates of absenteeism. Is the employee who thinks they are underpaid more likely to miss a day here and there than

the employee who cant stand their supervisor? Or is it the other way around? So, to bring the problem to the lowest, it is required to have a two way communication, as both the needs of the employees & management must be met if good attendance is to be achieved Research studies conducted by Shri Ram Centre for Industrial Relation, Employers Federation of India and the National Council reveal the following peculiarities of Absenteeism in India: 1) The rate of Absenteeism in India is more than 10% 2) A small percentage of employee (15%) account for a large percentage (70%) of the total Absenteeism. These chronic absentees have negative perceptions and attitude. For e.g. - the company is neither fair nor just; supervisors are production centered; workgroup is unhelpful and grievance handling, suggestions schemes & joint committees are more formalities. 3) There has been a seasonal bias in the causes making for Absenteeism. For e.g.- absenteeism due to sickness are high in July, September and lowest in April and June. 4) Absenteeism has been greater in night shift then in days shift. 5) Absenteeism is higher in departments where supervisors are work oriented and careless for employee welfare. 6) The rate of Absenteeism is likely to be higher in days before and after a holiday. 7) Women tends to be absent more then men. 8) Workers tend to be absent more frequently then supervisors and managers. 9) Absenteeism is generally higher in large organization then in small organizations 10) Absenteeism is lowest on pay day and highest after payday. 11) There is tremendous scope for reducing Absenteeism through union leadership within an organization.

ABSENTEEISM- What?
Absenteeism is in fact, merely the Symptoms of a Disease & not, disease by themselves
Absenteeism has been defined under the factories act as: the failure of worker to report for work when they are scheduled to work. Employees who are away from work on recognized holidays, vacations, approved leaves of absence, or leaves of absence allowed for under the collective agreement provisions is not included. Absenteeism has been defined differently by various eminent authors Absenteeism is the total man shifts lost because of absence as a percentage of the total number of man shifts scheduled to work. LABOR BUREAU Absenteeism is the failure of a worker to report for work when he is scheduled to work. LABOR BUREAU (Govt. of India), Simla

Absenteeism could be further explained asunauthorized, unexplained, avoidable and willful absence from work .the temporary cessation of work, for not less than one whole working day, on the initiative of the worker, when his presence is expected Thus, Absenteeism is the temporary cessation of work, for not less than one whole working day, on the initiative of the worker, when his presence is expected. At last, it

can be said that an employee is to be considered as scheduled to work when the employer has work available for him and the employee is aware of it and the employer has no reason to expect well in advance that the employee will not be available for work at the specified time/day.

MEASURING CRITERIA
Measurement of Absenteeism is very important because it facilitates analysis, forecast the trends, find out reasons & suggest remedial measures.

Absenteeism cab be measured using following Formulae-

By K.K. Vaid

Absence rate =
[Persons not working due to unauthorized leave + unauthorized absence] * 100 Man shifts actually worked By Baldev R. Sharma

Absence ratio =
Number of days actually worked * 100 Man shifts actually worked By US Employment Services

Absenteeism rate =
Number of employees days lost through absence *100 Average number of employees * Number of working days

ADVERSE EFFECT OF ABSENTEEISM

Adverse effects of absenteeism are too many on both the Industry & the Workers

ON INDUSTRY
Absenteeism in industry Stops machine, Disrupts processes, Hurdles in production, Upsets production targets, Production losses, Increased direct overhead costs, Increased workload of inexperienced or substandard worker as substitutes, Problem of recruitment, training, job- adjustment, morale, attitude, Idle machine hours, Rise in production cost, Delay in supply, Deprives reputation of the company.

ON WORKERS

Ill-effects of absenteeism on those who cause it are equally baneful. Effect of absenteeism on workers Adverse effect on economy of the worker himself; Reduced earning; Adds to indebtedness; Decreased purchasing power; Problem of attitude & low morale; Loss of employment (in some cases).

TRENDS IN ABSENTEEISM
Recent surveys indicate the following trends in absenteeism. The higher the rate of pay and the greater the length of service of the employee, the fewer the absences As an organization grows, there is a tendency towards higher rates of absenteeism Women are absent more frequently than men Single employees are absent more frequently than married employees Younger employees are absent more frequently than older employees but the latter are absent for longer periods of time Unionized organizations have higher absenteeism rates than non-union organizations The incidence of absenteeism is usually higher in the night shift than in the day shifts.

Remedial Measures for Reducing Absenteeism

The definition of absenteeism, its causes, its effects on productivity, and its costs in terms of finances and administrative effectiveness are quite clear. What is not as clear is how to take affirmative action to control absenteeism in such a way as not to create mistrust, costly administration and systems avoidance (game players). Traditional methods of absenteeism control based only on disciplinary procedures have proven to be ineffective. It is almost impossible to create a fair disciplinary procedure because even well run disciplinary systems, which treat similar actions in consistently similar ways, are usually seen as unfair. The reason for this is discipline alone usually does not identify or address the root causes of absenteeism. Every employee who takes time off in defiance of company regulations has reasons, right or wrong, which justify to themselves the legitimacy of their actions. Unless a management attendance program identifies and addresses the causes of employee absenteeism it will be ineffective and unfair. Traditional disciplinary programs alone can, at best, give the illusion of control. It is no secret that there are ways to beat even the best systems. The fear of discipline often only increases the desire to avoid management systems. If absenteeism is to be controlled, the physical and emotional needs of employees must be addressed. In a 1985 study on "Rates of Absence among Nurses" it was found that 50% of absenteeism could be controlled through attending to employees physical and emotional needs. It is required to develop a willingness on the part of all employees to attend work regularly and to assist them in motivating their coworkers to attend work regularly. This can be done through; 1. addressing the physical and emotional needs of employees 2. communicating the attendance goals of the organization so employees can understand and identify with them 3. dealing with cases of excessive absenteeism effectively and fairly so deterrence can occur It is required to create work environments in which the following can be actualized.

1. The greater the extent to which individuals identify their goals with the goals of the organization and care what happens to it, the greater their motivation to be regular in attendance. 2. The more people find their jobs meaningful to them, the greater their motivation to be regular in attendance. 3. As employees workload increases due to the absence of a co-worker, peer pressure is exerted on the absent co-worker to attend work on a regular basis. 4. The more people like working for the organization the higher their motivation to attend regularly. Recognition of good employee attendance helps improve attendance. 5. Employees will have a lower absence ratio if they feel free to discuss their onthe-job problems with their immediate supervisor. 6. Employees with a low absence ratio have attitudes of confidence and "team" spirit. 7. Low absence ratio employees are found to be more satisfied with their opportunity for promotion and upgrading.

Remedial measures could be taken for each causes of absenteeism. These remedies can be classified as1) ORGANIZATIONAL REMEDIES: Each organization is unique. Hence, suggestions based on certain broad assumptions are Carry out periodic collection of data on absenteeism & analyze them to find out the trend of absenteeism ( trade wise, sex wise and age wise for further studies). Find out - Causes & correlation of absenteeism - Gap between employees expectation & reality

- Level of job satisfaction of employees on the basis of attitude survey. Introduce suggestion scheme and obtain employees view points for reducing absenteeism. Improve supervision & communication. Introduce incentive scheme like Attendance Bonus Improve working conditions Improve welfare, safety & health schemes Impose penalty/punishment/fines for absence Improve organizational climate/culture. Increase Quality of Work life (QWL) of employees Introduce flexi-timing, if feasible. 2) ENVIRONMENTAL REMEDIES: basis Improve hygiene of living quarters Provide reasonable health care/hospital facilities Provide services like subsidised canteens, transport & schools Organize religious/cultural festivals & facilities including temples etc. Propagate family welfare schemes & virtues of maintaining small Provide campus/quarters & housing facilities on hire or hire-purchase

family. Organize sports & other recreational and entertainment facilities

3) PERSONAL REMEDIES: Increase intrinsic motivation Identify Chronic absentees and attend them individually

 Carry out counseling of individuals (chronic absentees) Introduce participative management system by discussing problems regarding absenteeism & arriving at remedial steps in consultation with employees Introduce both positive steps (incentive bonus for better attendance) & negative steps (disciplinary actions like fine) Take preventive steps to avoid accidents & alcoholism Provide permanent counselors to carryout individual counseling So managers must take critical look at their policies, corporate culture as absence policies are often not used for the purposes they are intended. Before employers can determine the best way to combat absenteeism, they must identify the organizational and individual factors that contribute to the problem. Among the most common potential problem areas employers need to explore are Job Satisfaction: Employees who like their job are more likely to come to work than those who find work unstimulating. Work Attitude: Some employees come to work no matter how sick they feel, while others call in sick no matter how well they feel. Company Culture: If managements attitude is lax and absenteeism is accepted as a normal practice, the organizations culture may have to be changed before attendance can be improved. Excessive rates of sick leave: As some insurance companies are now are doing, employers need to monitor sick leave rates and reward employees who use fewer sick leaves.

Thus, Absenteeism affects the organization from the multiple angles. It affects severely the production process and the business. The effect of unauthorized absenteeism is more than the other types of absenteeism. However, it is difficult to completely avoid absenteeism, but it can be minimized & controlled using various measures

 Selecting the employees by testing them thoroughly regarding their aspirations value system, responsibility and sensitiveness. Adopting humanistic approach in dealing with the personal problems of employees. Following proactive approach in identifying and redressing employee grievances. Providing hygienic working conditions. Providing welfare measures and fringe benefits balancing the need for the employees and the ability of the organization. Providing high wages and allowances based on the organizational financial position. Improving the communication network, particularly, the upward

communication. Providing leave facility based on the needs of the employees and organizational requirement. Providing safety and health measures. Providing cordial human relation and industrial relations. Educating the workers. Counseling the worker about their career, income and expenditure habits and culture. Free-flow of information, exchanging of ideas, problems etc. between subordinate and superior. Granting leave and financial assistance liberally in case of sickness of employee and his family members. Offering attendance bonus and inducements. Providing extensive training, special allowances in case of technological advancements

Once you know the cause of absenteeism in the organization, it become easy to correct, or minimize, the problem. It requires insight into the special dynamics present in your work place. It will require two-way communication, as both the needs of the employees and of management must be met if good attendance is to be achieved. Attendance is not an expectation. It is a right of employers to have good attendance. Each and every employee has a contractual obligation to attend work regularly. All levels of management must believe in, be committed to, and communicate their expectations of good attendance. If a specific number of sick days are considered acceptable per employee, at best that will be the result. Employees will live up or down to expectations. Expectations must be clear to both management and employees in order to bring absenteeism to the lowest. Attendance expectations must be clearly communicated and followed.

RESEARCH METHODOLOGY

RESEARCH DESIGN The nature of this research report is both Descriptive & Exploratory. The study was conducted through the use of Questionnaire method & Opinion survey method. These questionnaires were distributed to the sample selected randomly from the entire Noida unit. Total sample size was 50 employees. These questionnaires were distributed among the permanent employees of NTPC Noida having a history of absenteeism. DATA COLLECTION METHOD Two methods of data collection have been followed in the research: 1- Primary method In this method questionnaires were distributed among trained employees & direct interview has been taken, to collect the data.

2- Secondary method Under this method help of different books, journals & web sites was taken to gather the information. SAMPLING The sampling is based on probability i.e. a sample size of 50 employees have been selected randomly from Noida unit of NTPC to study the problem of ABSENTEEISM. Probability sampling has been used as it is the only sampling method that provides essentially unbiased estimates having measurable precision. SAMPLE UNIT:

The employees, having the history of absenteeism have been taken as sample unit. SAMPLE SIZE: 50 employees having history of absenteeism have been selected as sample size i.e. the total sample size was 50 employees.

FINDINGS

Age group of absentees

Younger employees were found absent more frequently than the older employees but latter get absent for longer periods of time.

MEAN: 1740/50 =35 MEDIAN: 35 MODE: 35

Gender of absentees
Female employees were found more frequently absent than their male counterpart.

FREQUENCY MALE (20%) FEMALE (80%) MEAN:

C.F 10 40 10 50

50/2 =25

MEDIAN: female MODE:

(50+1)/2 =25.5TH ITEM, Median class is

female have high frequency

Location/Residence
It was found that employees those who were residing outside the NTPC campus get absent more frequently. Reason may be the Conveyance problem, so management must provide the conveyance to the employees who reside outside the campus. This will to an extent help in controlling the absenteeism problem.

FREQUENCY

C.F

NTPC CAMPUS OUTSIDE MEAN: 50/2 =25

(34%) (66%)

17 33

17 50

MEDIAN: (50+1)/2=25.5TH ITEM, Median class is outside. MODE: frequency of outside is highest, so mode is outside campus

Absentees having side business

40% of absentees were found having engaged in side business..

FREQUENCY YES NO (40%) (60%)

C.F 20 30 20 50

MEAN: 50/2 = 25 MEDIAN: 51/2 =25.5TH ITEM, Median class is no. MODE: mode lies in no, as frequency of employees having side business is less.

Job Satisfaction
Usually job dissatisfaction is considered to be a root cause of absenteeism. But surprisingly, there was no apparent connection absenteeism. As 94% of absentees were totally satisfied with their job. found in between job satisfaction &

FREQUENCY C.F NOT SATISFIED 3 SATISFIED 50 MEAN: 50/2 =25 MEDIAN: (50+1)/2 =25.5TH ITEM as, 94% absentees are satisfied from the job MODE: Frequency of satisfied employees is more (94%) 47 (6%) 3

Satisfaction level regarding job environment

The answer revealed that there was no apparent connection between the absenteeism & the job environment.

Here we are talking about the actual physical working conditions at work.heat, light, air, conditioning etc. Many of workers, who said they were satisfied with their job environment, had poor attendance records. Many other who said they were unsatisfied; were never absent. So, no doubt, this factor has a great bearing on absenteeism. The result shows why there is not a serious of absenteeism in NTPC.

FREQUENCY C.F NOT GOOD 7 GOOD 50 MEAN: 50/2=25 MEDIAN: (50+1)/2=25.5, Satisfactory level regarding job environment is good. (86%) 43 (14%) 7

MODE:

frequency of the employees regarding job

environment is good and more.

Awareness regarding leave rules

In the answer to this question, there was a dramatic switch over. As 84% of employees (absentees) were found unaware of the leave rules. This gives the impression that there is a partial awareness or unawareness among employees. So, there is a need to take various steps to make employees aware of leave rules & procedure through various tools & introductory programmes.

FREQUENCY C.F FULLY AWARE (16%) 8 UNAWARE 50 (84%) 42 8

MEAN: 50/2= 25 MEDIAN: (50+1)/2 =25.5, unwareness regarding leave rules is more. MODE: more frequency of unawareness is more.

Relationship with colleagues

88% of absentees enjoy a good relationship with their colleagues. Though this factor plays a deciding role & has an impact on the rate of absenteeism. But the data shows that, at least at NTPC Noida, this factor has no or very negligible correlation with the absenteeism.

FRQEUENCY NOT GOOD GOOD

C.F (12%) (88%) 6 44 6 50

MEAN: 50/2=25

MEDIAN: (50+1)/2=25.5TH ITEM, Relationship with colleagues is good. MODE: As frequency is more.

Feeling about company

Here that identifiable thing called company image was questioned. Everyone was given 5 answers to choose from .excellent, good, fair, not so good, or very poor. The feeling of most of the employees or absentees was excellent & good. Once again no connection at all.

FREQUENCY FAIR 5 EXCELLENT 25 GOOD 50 MEAN: 50/3= 16.6

C.F (10%) (40%) (50%)

5 20 20

MEDIAN: (50+1)/2 =25.5TH ITEM, feeling about company is good, as 25.5th item lies in good category. MODE: Frequency of good is more.

Awareness regarding standing orders

The answer of this question Are you aware of the Standing Order, the findings were very alarming/shocking. A major portion of about 76% employees were found unaware of these orders. This is a major backdrop and defect on the part of management. Management must strictly work towards

developing awareness among employees regarding the Standing Orders.

YES (24%) NO (76%)

FREQUENCY 12 38

C.F 12 50

MEAN: 50/2= 25 MEDIAN: (50+1)/2 =25.5TH ITEM, as awareness regarding standing orders lies in no category. MODE: frequency is more in no category.

Main causes of absenteeism

There are many factors that contribute to absenteeism. The absence from job may be both authorized & unauthorized. The figure enunciates/reveals that it was due to Sickness, Accidents or Maternity: these factors accounted for about 22% of absenteeism

Social & Religious Causes: under these factors are clubbed such issues like visiting villages for attending marriages and other social ceremonies, besides regular attendance at home town at the time of religious festivals. Such factors were found causing as high as 30% of total absenteeism. Job Dissatisfaction: as the level of job satisfaction is quite good at NTPC but 8% of employees accounted the problem of absenteeism to Job Dissatisfaction. Other causes: like visiting villages for attending litigation, matters, rest, recreation & other causes was accounted for 40% of absenteeism.

FREQUENCY C.F JOB DISSATSIFACTION 4 SICKNESS 15 SOCIAL& RELIGIOUS 30 OTHER 50 MEAN: 50/2 =25 MEDIAN: (50+1)/2= 25.5TH ITEM, as main cause of absenteeism lies in others category. MODE: Frequency is more in others category. (8%) (22%) (30%) (40%) 4 11 15 20

ANALYSIS

Social & Religious Causes (30%) and Sickness, Accidents or Maternity (22%) has been revealed as the main cause for Absenteeism by most of the employees. While other causes- like visiting villages for attending litigation, matters, rest, recreation etc. was accounted for absenteeism by a majority of (40%) employees.

Younger employees of less than 25yrs of age were found absent more frequently than older employees but the latter are absent for longer periods of time

A majority of employees were found unaware of Leave Rules (76%)

84% employees were not familiar of Standing Orders.

It was found that female employees get employees get more frequently absent as compared to their male counterpart.

Employees who live outside the NTPC campus were found frequently absent then local employees. A majority of employees of about 66% who get absent were found to be from outside the NTPC campus.

40% of absentees/employees were found running their side business.

Their has been found no correlation between job dissatisfaction & absenteeism at NTPC Noida as most of the absentees were fully satisfied with their job & work environment.

CONCLUSION

No doubt Absenteeism is a universal problem in the industry & is not peculiar to Indian industry. It has been observed that the phenomenon of Absenteeism does not exist only in Indian industry; it is a universal fact. The difference is only in terms of magnitude. The rate of Absenteeism varies from industry to industry, place to place, occupation to occupation. It differ according to the make-up of the work force. It as a major barometer of employee morale, absenteeism above 5% per week is very serious (3% is the standard goal of industry). Left unchecked, high absenteeism usually develops into very serious business problems including morale issues and high turnover. If absenteeism is to be controlled. - The physical and emotional needs of employees must be addressed. Insight into the special dynamics present in work place & twoway communication is required, as both the needs of the employees and of management must be met if good attendance is to be achieved

From the study conducted in NTPC Noida, it is concluded that the attendance management system is such good; the facilities, work environment are best of its kind, that the rate of Absenteeism is almost negligible. NTPC strongly believes in achieving organizational excellence through Human Resources and follows People First approach. The success can largely be attributed to the continuous fulfillment of all the corporate objectives, one of which seeks to adopt an appropriate Human Resource Development policy. It has taken a number of steps and measures, small or big, which together have contributed in evolving an integral Human Resource Management approach in NTPC. An in depth analysis of HR related problems like Absenteeism and their causes, is done time to time to lay down appropriate policies, rules and norms for the complete well being of its employees. It considers HR as the most valuable resource and the company is committed to provide all possible facilities & opportunities to keep the employees committed to attendance. So, In order to develop willingness on the part of all employees to attend work regularly & to assist them in motivating their co-workers the company is taking all possible steps.

RECOMMENDA TIONS

No doubt there is no serious absenteeism problem in the Noida unit of NTPC & it is working hard towards bringing it to its lowest. The Attendance Management System of this unit is really best and need to be applauded but it still require a little bit of perfection in areas Affirmative action need to be taken to control absenteeism in such a way as not to create mistrust, costly administration & systems avoidance.

Employees need to be made aware of leave rules & standing orders.

The physical & emotional needs of employees must be addressed.

Management

must try

hard

to develop their

willingness on the part of all

employees to attend

work regularly & to assist them in motivating co-workers to attend work regularly.

Management must work towards the successful administration of an program attendance management

Absence policies need to be critically looked upon as these are often not used for the purposes they were intended.

Management must explore the most common potential problem areas like job satisfaction, work

attitude, company culture, and excessive rates of sick leaves.

Management must strictly work towards finding out the causes of worker discontent & eliminate them.

Management must & need to look at absenteeism a little more closely, in reason (sickness) for it. terms of the principal

Workers way of reacting & responding to discontent need to be changed.

The organization should make employees aware of & understand the loss by abseentism to them.

The practice of participative management should be preferred.

The organization should provide various health (physical & mental) schemes not only for the employees but also for their family members.

Cultural programmes should be organized to relive the job stress.

Various programmes should be organized to reduce alcoholism & drugs use among workers.

100% attendance award must be introduced.

LIMITATIONS
Time Constraint Some respondents were biased. Some refused to cooperate at all. Management refused to disclose some of the relevant data/information.

BIBLIOGRAPH Y
BOOKS Personnel management- V.S.P. Rao Research methodology- C.R.Kothari Journals and magazines

: Human potential, : Times of India : Human resource capital magazine Articleabsenteeism problems in today scenario WEBSITE www.google.com www.citehr.com www.hrtools.com

www.humanresources.com www.hrguide.com

QUESTIONNAI RE

Q 1.What is the age group of absentees? a.25 d.above Q 2.Which gender is mostly found absent? a. male b.female Q 3.What is the location/residence of the absentees? b.25-35 c.35-45

 Q 4.Are the absentees having a side business? a.Yes b.No Q 5.What is the satisfaction level among absenteeism? a. Satisfied b. not satisfied Q 6.What level of satisfaction do the absentees have regarding environment? a.Good b.Not Good Q 7.Are absentees aware about the regarding policy regarding leaves? a.Fully aware b.Unaware Q 8.What type of relationship do the absentees have with there colleagues? a.Good b.Not Good Q 9.What do they feel about the company?

a.Excellent c. Fair

b.Good

Q 10.How much awareness do absentees have regarding standing orders? a.Yes Q 11.What is the major causes of absenteeism? a. sickness dissatisfaction b.social and religious d.others c.job b.No