Executive Summary

Job satisfaction represents the constellations of person’s attitude towards or about the job. In general,
job satisfaction is the attitude towards the job as a whole. Job satisfaction is a function of satisfaction
with different aspects of job, i.e. supervision, pay, works itself, co-workers, promotion, etc., and of the
particular weighting or importance one attaches to these respective components.

Employee job Satisfaction was a much popularized subject during the 1980’s and 1990’s, where much
of the literature (Stoner & Wankel, 1986; Brewster, Dowling, Grobler, Holland & Warnich, 2000),
focused on the link between Employee Satisfaction and Employee Performance. Subsequent research
has, however, proven that this link is not particularly strong, (Kreitner & Kinicki, 2005; Ivancevich &
Matteson, 2002). What recent research has confirmed is that there is a clear reciprocal relationship
between Employee Satisfaction and Customer Satisfaction (Kraut, 1996). For example, one of the most
detailed studies undertaken was that carried out by Heskett, Sasser and Schlesinger (1995). The authors
point out that, “When companies put employees and customers first, their employees are satisfied, their
customers are loyal, their profits increase, and heir continued success is sustained” (as cited in Bailey &
Dandrade, 1997).

The concept of Employee Satisfaction can be traced back to Edward Thorndike, who in the early
1900’s published an article in the Journal of Applied Psychology where he explored the relationship
between work and satisfaction. The concept of Employee Satisfaction has certainly been researched
very thoroughly over the years and has been linked to many other issues like employee loyalty,
employee commitment, employee engagement and job satisfaction.

One of the most quoted theorists is Hertzberg who during the 1950’s developed his theory which
identified two dimensions of satisfaction, namely motivation and hygiene. Hertzberg maintained that
the hygiene factors could not motivate employees but rather helped minimize dissatisfaction levels if
addressed. These hygiene factors include topics such as; company policies, supervision, salary,
interpersonal relationships and working conditions. The motivating factors addressed topics such as:
the work itself, achievement, recognition, responsibility, and advancement. If continuously good levels
are maintained in respect of these topics, a motivated work force is created.
Modern management considers human being as resource and it is an importance for the success of any
organization. It is the strength and aid. Therefore employees attitudes, interest, quality, job satisfaction,
etc., have a bearing productivity of a firm unless the management is able to recognize employees needs
and wants they will lose motivation and morale and it will affect the best interest of the firm.

Work is one of the most important activities in a person’s life .Who do have satisfying job rarely have
fully satisfying lives. Dissatisfaction in work can lead in many circumstances to lower production and
friction on the job. So that it must be considered by the management and steps should be taken to find
out the factors which cause job dissatisfaction and to reduce such dissatisfaction. In general employee
satisfaction is the attitude towards the work environment, salary, relationship with their colleagues, job
security, grievance handling, performance appraisal, training and development, management style,
quality policy, career counseling and so on.

In this project factors that are taken into consideration for the employee satisfaction are:

Work Environment:
Work environment is the atmosphere to which the employee is actually exposed. This constitutes a
major portion of the influence on the employees. This typically included the quantum of work allotted,
nature and complexities, system being followed, support from colleagues etc.

Relationship with the Superiors and Subordinates:

Healthy and cordial relationship in the department will not only provide healthy environment but also
paves way for smooth flow of work, increases productivity and qualitative performance.

Relationship with Colleagues:

Better understanding and friendly relations with colleagues is necessity for a good environment.
Joining hands together and helping each other enhance stability and confidence among themselves that
contributes to the security and improve performance as a whole.

Motivation and Recognition:

The level of performance of an employee is a function of his abilities. If there is a strong positive
motivation, the output increases and decreases if it is negative. Motivation is a core element of
management which shows that every human being earnestly seeks a secure, friendly and supportive
relationship that gives him a sense of warmth and recognition in groups that are most important to him.

Salary:
Salaries are influenced by the size of the company, by a specific industry and in part by the contribution
of the incumbent to the process of decision making. The bigger the firm, the greater is the
compensation to the employees. The more attractive the salary, the more attractive will be the
performance of the employees.

Job security:
A person who is satisfied with the current job would continue to remain in the same job. So job security
plays a crucial role in the maintenance of job satisfaction among employees.

Grievance handling:
This is a corrective measure however important when grievances or difficulties or constraints enter in
on employee’s job. The approaches of management, time taken to provide counter measures etc are the
constraints of this factor.

Performance appraisal:
Most firms do not have a choice whether or not it should appraise its personnel and their performance
of the hired personnel will be evaluated by someone at sometime.

Management practices:
The approach of the management towards employees in the interfaces like appraisal and reward
schemes, permitting employees in the interfaces like appraisal and reward schemes, permitting
employees to participate in the organizational issues etc, is also determining the employee satisfaction.
This company has set employee of the year award etc, ensures positive management approach. These
approaches have made the employees to have a good view over their job.

Opportunities for development:

This is a factor strongly related to the higher order needs of the employees on their personal
development. Many people like a challenging job, since that assures them to think and undergo series
development measures. This factor is an essential one for satisfaction of permanent employees.
Quality policy:
Quality is a core concept that rules today’s business. It is a non comprising factor of any industry in
today’s business world. Companies would adopt themselves to the recognize quality standards to
sustain in the market and to provide a better working condition to the employees and job security.

The study on employee satisfaction is relatively recent phenomenon. It can perhaps be said to have
begun in earnest with the famous Hawthrone experiment conducted by Elton Mayo at western electrical
company in 1920s. During the course of their investigation, however they became convinced that the
factors of social nature were affecting employee satisfaction with the job and productivity. Since the
Hawthorne studies, there has be enormous output of work on the nature, causes, correct employee
satisfaction. The traditional model of employee satisfaction is that it consists of training and
development, salary, management style, quality policy than an individual has about his work. The total
body of influence of the job, the nature of the job itself, the pay, the promotion prospects, nature of
supervision and so on, where the sum total of influences gives to rise to the feeling of employee
satisfaction, the employee is satisfied, where in total, they give rise to psychological and environmental
circumstances that cause a person truly to say “I am Satisfied”. Employee satisfaction means a
pleasurable positive emotional state resulting from the appraisal of one’s feelings.

This research named “A Study on employee welfare and satisfaction in RAIN Industries Limited”
(Further referred as RAIN) anticipates identifying the various factors and the extent to which they
affect the satisfaction level of the employees.

Employee satisfaction and welfare is very crucial for every organization because higher satisfaction
level and welfare of the employee have a positive impact on productivity, performance, individual’s
physical and mental health, profitability, improve quality of products or services and reduce
absenteeism, employee turnover, dispute between labour and management. This gives a competitive
edge to the company over its competitors.

The study tries to cover each and every factor that effect employee welfare and satisfaction level,
weather it is HR policies (recruitment policy, promotion policy, compensation policy etc.) and HR
practices (training and development, performance appraisal, motivation techniques etc.) or some other
personal factor (gender, age, qualification etc.).

The research includes each and every factor because even a single factor can lower satisfaction level
and moral of the employee, which in turn leads to absenteeism, accidents, low productivity etc. and
ultimately effect the organizational goal.

The research will help the company to gain the benefits of higher employee satisfaction level and have
a competitive edge over its competitors.

Area of study
The area of the study is the production plant of the Cement division of RAIN Industries Ltd.

Scope of the study

The scope of the study extends from lower hierarchical level (workers), middle hierarchical level
(supervisors) to upper hierarchical level (Managers) of the company, so it is a comprehensive study.

Objectives of the study

The objective of conducting such research is to know the level of satisfaction among the employees of
RAIN Industries Limited. Further it will also help to know the various job related and personal factors
and their extent to which they affect the satisfaction level of employees, so that meaningful conclusions
and suggestions could be made in order to make the human resource policies and practices of the
company more effective and efficient.

Research methodology
The research includes both primary and secondary data. The information from the respondents is
collected through questionnaire. The primary data was collected form employees of the RAIN and
secondary data is collected from the books.

The sample size is 60 and samples are selected on the basis of convenient from every department of the
company.

Questions are framed in such a way that the answers reflect the ideas and thoughts of the respondents
with regard to level of satisfaction. For job related factors like-rt scale (five rating scale) is used in
which respondents are required to show their level of satisfaction from 1 to 5 (1= Strongly Agree, 2=
Agree, 3= Neutral, 4= Disagree, 5=Strongly Disagree) and for personal factor simple category scale is
used and respondents are required to tick at the appropriate box. Some facts revealed in the study are
bases on personal observations also.

Tools of interpretation and analysis

Here the simple percentage analysis is used for calculating the percentage of satisfaction level in the
total respondents and data is presented in the form of tables and bar diagrams.

To determine the level of satisfaction for the various categories (work environment and nature of work,
relationship with seniors and co-worker, welfare facilities, pay and promotion etc) combined mean is
used. Since likert scale is used to find out the satisfaction level the value of combined mean shows the
level of satisfaction form 1 to 5 and 2.5 is the middle point. Higher the value of mean shows higher
satisfaction level and lower the value of mean shows lower satisfaction level.

To analyze the data two-way analysis is used and to test the hypothesis Chi-square test is used and for
all the chi-square test the table value has taken @ 5% level of significance.

Limitations of the study

The study is also subjected to certain limitations such as, sample is limited to 60, findings and
conclusions are based on knowledge and experience of the respondents sometime may subject to
personal biasness and research study was being done in the year July 2009, with required data analysis
and interpretation, the data needs to be updated at times when it comes to have further usage of this
research study report.

Despite the above limitations I tried my best through the entire study to provide a comprehensive,
complete and detailed report, so that it can help the organization to take appropriate decisions for the
welfare and satisfaction of its employee while giving due consideration to its goals and objectives.
 ACKNOWLEDGEMENT

Before I go on to elaborate and explain this exhaustive piece of work, I would like to first and
foremost express my heartfelt gratitude to the people who have contributed to the successful
completion of this thesis.

My very special gratitude and heartfelt thanks to our beloved Principal Mr. Kiran Kumar and
Mr. T. Bhasker Reddy, Sr. General Manager HRD, RAIN Commodities Ltd., Hyderabad who is
responsible for moulding our thinking to complete this project.

It is my great pleasure to express my profound gratitude and thanks to our Head of the
Department Mr. Prakasam and my project guide Mr. Rakesh, for taking keen interest and giving
valuable guidance at every stage of this project.

I wish to express my sincere thanks to the company guide Mr. Anil Kumar , Secretary of Sr.
HRD, RAIN Commodities Ltd., Hyderabad, who is my external guide, for his kind support and
guidance towards completion of my project.

I am also thankful to all the faculty members of the St. Johns P.G. College for their kind and
valuable cooperation during the course of the project. I would also like to thank my Parents, friends
and well wishers who encourage me to complete this project successfully.

Date: Signature
( J SRAVANTHI )
 INDEX
Title Page No.

1 Introduction
1.1 The Concept of Job Satisifaction 1
2 Determinants of Job Satisifaction 3
2.1 Organizational Variables 3
2.2 Personal Values 3
3 Effects of Job Satisifation 5
3.1 Physical 5
3.2 Productivity 5
3.3 Absenteeism 6
3.4 Satisfaction and Safety 6
3.5 Employee turnover 6
4 Benefits of Employee Satisfaction 8
5 Literature Review 9
6 Industry Profile 15
6.1 History of Cement 15
6.2 Evolution of cement in India 15
6.3 Indian Cement Industry 16
7 Company Profile - The RAIN Commodities Limited
7.1 Vision 17
7.2 Mission 17
7.3 Products 19
7.4 Financial s 20
7.5 Formula of Success 20
7.6 Focus 20
7.7 Process of Cement Manufacturing at RAIN 23
7.8 HRD and IR at RAIN 24
8 Objectives & Research Methodology
8.1 Objectives of the study 25
8.2 Hypotheses 25
 8.3 Research methodology 25
9 Data Presentation and Analysis 28
9.1 Data presentation and simple percentage table 29
9.2 Data analysis with two way table 81
9.3 Data analysis with chi-square test 84
9.4 Descriptive Statistical table 90
10 Summery of Findings 91
11 Suggestions 94
12 Conclusion 96
13 Bibliography 97
 LIST OF TABLES

Sl. DESCRIPTION Page No.

No
.
LIST OF SIMPLE PERCENTAGE TABLES

1 Table showing gender of the respondents 29

2 Table showing marital status of the respondents 29
3 Table showing the age of the respondents 30
4 Table showing Education qualification of the respondents 31
5 Table showing Years of experience of the respondents 32
6 Table showing monthly income of the respondents 33
7 Table showing employee’s opinion about the nature of their work. 34
8 Table showing opinion of employees regarding their work load. 34
9 Table showing opinion of employees regarding working hours. 35
10 Table showing opinion of the employees regarding rest intervals. 36
11 Table showing opinion of the employees about management & workers relationship. 36
12 Table showing opinion of the employees whether they are provided with sufficient tools and 37
equipments or not.
13 Table showing opinion of the employees regarding safety measures. 38
14 Table showing opinion of the employees lighting and other arrangements. 38
15 Table showing opinion of the employees regarding work pressure on them. 39
16 Table showing opinion of the employees about superior's assistance. 40
17 Table showing opinion of the employees about how much importance their ideas have in decision 40
making
18 Table showing opinion of the employees whether they are appreciated for their performance or 41
not.
19 Table showing opinion of the employees regarding the fairness of their boss 42
20 Table showing opinion of the employees regarding their participation in day to day activities. 42
21 Table showing opinion of the employees regarding their access to their superiors. 43
22 Table showing opinion of the employees regarding the competency of their superiors. 44
23 Table showing opinion of the employees regarding their relations with their colleagues. 44
24 Table showing opinion of the employees regarding the behavior of the colleagues 46
25 Table showing opinion of the employees whether workers share their know-how with each other 46
or not.
26 Table showing opinion of the employees whether they feel motivated by their boss in achieving 47
organizational goals or not.
27 Table showing opinion of the employees that they are adequately motivated when ever needed to 48
 do so.
28 Table showing opinion of the employees regarding system of communication. 49
29 Table showing opinion of the employees that their assignments are clearly explained to them. 50
30 Table showing opinion of the employees regarding training program 50
31 Table showing opinion of the employees that they are provided with the training whenever 51
needed.
32 Table showing opinion of the employees regarding the usefulness of the training program. 52
33 Table showing opinion of the employees regarding the efficiency of the training program. 52
34 Table showing opinion of the employees regarding performance appraisal system. 53
35 Table showing opinion of the employees regarding efficiency of the appraisal system 54
36 Table showing opinion of the employees about fairness of appraisal system. 55
37 Table showing opinion of the employees that they are paid fair amount for their work. 56
38 Table showing opinion of the employees that they are provided with proportionate salary. 56
39 Table showing opinion of the employee that their wages are at par with the wages in the industry 57
40 Table showing opinion of the employee that they are provided with sufficient allowances. 58
41 Table showing opinion of the employee regarding the promotion policy of the organization. 59
42 Table showing opinion of the employee that they are rewarded for their innovative ideas. 59
43 Table showing opinion of the employee that they are rewarded for their performance as a 60
motivational technique.
44 Table showing opinion of the employee about transport facility. 61
45 Table showing opinion of the employee about medical facilities. 61
46 Table showing opinion of the employee that they are provided with benefits for their family. 62
47 Table showing opinion of the employee about refreshment facilities. 63
48 Table showing opinion of the employee about rest room and lunch room 64
49 Table showing opinion of the employees about parking facility. 65
50 Table showing opinion of the employees about first aid facility 65
51 Table showing opinion of the employees about loan facility and other welfare benefits. 66
52 Table showing opinion of the employees regarding job security. 67
53 Table showing opinion of the employees about the criteria of job security. 67
54 Table showing opinion of the employees about the basic principal on which job security is 68
provided to the employee.
55 Table showing opinion of the employees about workers participation in management decisions. 69
56 Table showing opinion of the employees about decision making standards and plans of the 70
organization.
57 Table showing opinion of the employees that their suggestions are given due importance in 71
decision making process and for implementing any change in their respective department
58 Table showing opinion of the employees regarding effectiveness of grievance handling procedure. 72
59 Table showing opinion of the employees that they are able to freely communicate their grievances. 72
60 Table showing opinion of the employees about awareness of employees regarding the quality 73
standards adopted by the company.
61 Table showing opinion of the employees whether they are satisfied with the ISO/QS certification 74
of the company.
62 Table showing opinion of the employees about the adaptability of employees with changes due to 75
ISO/QS certification.
63 Table showing opinion of the employees whether they are happy to changes in the company or 76
not.
64 Table showing opinion of the employees regarding their willingness to work in the company. 76
65 Table showing opinion of the employees that their work life is meaningful. 77
66 Table showing opinion of the employees that how valuable their work is for the company. 78
67 Table showing opinion of the employees regarding the opportunities to use their ability. 79
68 Table showing opinion of the employees about their overall satisfaction level in the company. 79
LIST OF TWO WAY TABLES
1 Relationship Between Gender And Level Of Satisfaction 81
2 Relationship Between Marital Status And Level Of Satisfaction 81
3 Relationship Between Age And Level Of Satisfaction 82
4 Relationship Between Qualification And Level Of Satisfaction 82
5 Relationship Between Experience And Level Of Satisfaction 83
6 Relationship Between Experience And Level Of Satisfaction 83
LIST OF CHI-SQUARE TEST TABLES
1 Relationship Between Gender And Level Of Satisfaction 84
2 Relationship Between Marital Status And Level Of Satisfaction 85
3 Relationship Between Age And Level Of Satisfaction 86
4 Relationship Between Qualification And Level Of Satisfaction 87
5 Relationship Between Experience And Level Of Satisfaction 88
6 Relationship Between Salary And Level Of Satisfaction
LIST OF DESCRIPTIVE STATISTICS TABLE
1 Table Showing the Descriptive Statistics About the various Job Satisfaction Factors 90
 List Of Diagrams/Charts

Sl. DESCRIPTION Page No.

No.
1 Factors Effecting Job Satisfaction. 4
2 Impact of Intrinsic Rewards and Extrinsic Rewards on Job Satisfaction 6