Professional Documents
Culture Documents
Personnel Policies of NHDC Bhopal
Personnel Policies of NHDC Bhopal
INTRODUCTION
I have identified the following aims for the present study; with which the entire
study has been conducted and concluded.
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1.2 MEANING AND DEFINITION OF PERSONNEL POLICY
INTRODUCTION
1. The employees will not accept any gift form any supplier except for token gifts
of purely nominal or advertising value.
2. Each employee will proceed on at least one week vacation each year.
Personnel policies cover the principles and rules of conduct governing the dealings of the
organization with its employees, and set the tone for the administration of personnel
programmes in a manner conductive to the attainment of the objectives of the
organization. The need for sound personnel policies stems from the fact that in order to
achieve the overall objectives of the enterprise, an atmosphere has to be created in which
optimum and spontaneous co-operation of the employees can be achieved.
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DEFINITIONS
“General statements that guide decision making are called policies. Policies is
defined the boundaries within which decisions can be made, and they direct decisions
towards the accomplishments of objectives.”
(a) The policy provides guidelines for deciding a course of action to the organizational
objectives;
(b) The policy limits the area within which the decision will be consistence with the
organizational objectives;
(c) The policy is usually expressed in qualitative conditional or general manner; and
(d) Policy is formulated at all managerial levels. It exists in all areas of the organization
and may be major or minor in nature depending upon the segment of the organization.
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1.3 IMPORTANCE AND NECESSITY OF SOUND PERSONNEL
POLICIES
The raison d’etre for formulating personnel policy is basically two fold: one, to
have a formal statement on corporate thinking which will serve as a guideline for action.
Two, to establish consistency in the application of the policies over a period of time so
that each one in the organization gets a fair and just treatment.
(1) The basic need and requirements of both an organization and its employees
require deep thought. The management is required to examine its basic
convictions as well as give full consideration to practice in other
organizations.
(3) A certainty of action is assured even through the top management personnel
may change. The tenure of the office of any manager is finite and limited; but
the organization continues, and along with it continues the policies; and this
continuity of policies promotes stability in an organization.
(4) Because they specify routes towards selected goals, policies serve as standards
or measuring yards for evaluating performance. The actual results can be
compared with the policies to determine how well the members of an
organization have lived up their professed intentions.
(5) Sound policies help to build employee enthusiasm and loyalty. This is
especially true when they reflect established principles of fair play and justice
and when they help people to grow within an organization.
(6) They set patterns of behavior and permit participants of plan with a greater
degree of confidence.
(7) Policies are “control guides for delegated decision making.” They seek to
ensure consistency and uniformity in decisions on problems “that recur
frequently and under similar, but not identical, circumstances.”
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ADVANTAGES OF PERSONNEL POLICIES
• Confidence: Policies make the employee aware of where they stand in the
organization and create confidence in them while confronting routine and
recurring problems. They reduce chances of misinterpretation,
misrepresentation and friction.
In the absence of a policy, similar questions must be considered time after time.
Lack of a policy means that the organization has established no continuing
position. Despite their usefulness, personnel policies are not always easy to
formulate and implement. A number of hurdles come in the way.
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1.4 OBJECTIVES, PRINCIPLES, AND CHARACTERISTICS
OF PERSONNEL POLICIES
(1) To enable an organization fulfill or carryout the main objectives which have
been laid down as the desirable minima of general employment policy;
(2) To ensure that its employees are informed of these items of policies and to
secure their co-operation for their attainment;
(3) To provide such conditions of employment and procedures as will enable all
the employees to develop a sincere sense of unity with the enterprise and to
carry out their duties in the most willing and effective manner;
(4) To provide an adequate, competent and trained personnel for all levels and
types of management;
(5) To protect the common interest of all the parties and recognize the role of
trade unions in the organization;
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(8) To establish the conditions for mutual confidence and avoid confusion and
misunderstanding between the management and the workers, by developing
suggestion plans, joint management councils, work committees, etc., and by
performance appraisal discussions;
(10) To provide an opportunity for growth within the organization to persons who
are willing to learn and undergo training to improve their future prospects;
(11) To provide for the payment of fair and adequate wages and salary to workers
so that their healthy co-operation may be ensured for an efficient working of
the undertaking;
(13) To create a sense of responsibility, on the part of those in authority for the
claims of employees as human beings, who should be guaranteed protections
of their fundamental rights and offered enough scope for developing their
potential.
Peter Drucker has rightly said: "The management must gear its policies
and objectives in such a fashion that the employees perform their work and do
their assigned tasks. It implies a consideration of human beings as resource,
i.e., as something having peculiar psychological properties, abilities and
limitations that require the same amount of engineering attention as the
properties of any other resources as having, unlike any other resources,
personality, citizenship, control over weather they work, how much and how
well, and thus requiring motivation, participation, satisfaction, incentives, and
rewards, leadership, status and function. And it is management, and
management alone, that satisfy these requirements. For they must be satisfied
through work and through the job within the enterprise and management is
activating organ of the enterprise.”
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PRINCIPLES OF PERSONNEL POLICIES
In designing personnel policies, the management must balance the needs, goals,
objectives and values of both the employers and the employees. Since these policies are
rules of conduct, they are based on the following principles:
(i) Put the right man in the right place by a careful selection and placement to
make sure that he is physically, mentally and temperamentally fit for the job
he is expected to do and that the new employee may be reasonably expected to
develop into a desirable employee, so that “there will be the minimum number
of square pegs in round holes.”
(ii) Train everyone for the job to be done, so that they qualify for better jobs, so
that their accomplishments are limited to their ambitions and abilities, so that
they do their present work very efficiently.
(iii) Make the organization a coordinated team through a proper coordinate and
administration of different departments and divisions, so that there is a
minimum of friction and unproductive or unnecessary work. This calls for
proper planning and organization, control and direction of the entire
organization without destroying the initiative of the individual employee.
(iv) Supply the right tools and the right conditions of the work, for the better the
tools, facilities and working conditions, the larger the output produce with the
same human effort at lower costs so that, ultimately, higher wages may be
paid and more good jobs provided.
(v) Give security with opportunity, incentives, recognition. In order that he may
stick to his job, each employee should have sound incentives for work, such
fair compensation, and recognition for results achieved, reasonable security,
and opportunity and hope for advancement in the organization.
(vi) Look ahead, plan ahead for more and better things. Superior products should
be produced and distributed, and these should be attractive and meet the
demands of the costumers. This calls for research and a policy of continuing
product planning and development.
In brief, the principles should ensure that equity and justice are accorded to all the
employees; that every employee has scope for development to the limit of his
capabilities; that fairness is guaranteed in maintaining discipline and that these principles
are followed without discrimination against any grade of employees.
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FEATURES OF A GOOD POLICY
The policies should be developed with great care and co-operation with managers
at various levels. The policy statements should have the following features:
(a) Linking with organizational objectives: The policy formulation should be in context
with the organizational objectives. It should help in the achievements of these objectives.
(b) Careful Formulation: The policy formulation should be done very carefully and in a
systematic and planned manner. Since policy lay the basis of the organization, long-term
planning should be taken into account. As far as possible adhocism should be avoided.
(c) Clarity: The policy should be clear, definite and self-explanatory. It should not leave
any scope for ambiguity or misinterpretation.
(d) Consistency: The policy should be consistence in the operational functioning of the
organizational. The policy of all functional areas should be consistent and integrated with
each other so that the effectiveness and efficiency of the organization is maintained.
(e) Written Statement: Once the policies are decided by the management, they should be
put in writing. A written policy is clear and specific. It ensures continuity and conformity.
It can be communicated easily and has uniformity of application.
(f) Balanced Policy: A policy should be balanced in nature. It should be neither too stiff
nor very flexible which may create ambiguity. The policy should be stable so that long
term planning is not affected. But at the same time it should incorporate components of
flexibility so that the organization can adopt to the changes taking place in the
environment.
(g) Periodic Review: The policy should be reviewed periodically. This is because of the
rapid changes affecting the business environment. With the changing times some policies
become obsolete which require periodic deletion or substitution.
(h) Communication: Once the policy is framed it should be communicated to all the
concerned persons. It facilitates in taking decisions, if the policies are communicated
widely and timely.
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1.5 SCOPE OF PERSONNEL POLICIES
Personnel policies must cover all areas of human resource management. Usually
personnel policies are framed with regard to all functions of human resource management
as stated below:
1. Employment Policies
(i) Minimum hiring qualifications.
(ii) Preferred sources of recruitment.
(iii) Reliance on various selection devices such as tests, reference checks,
and interviews.
4. Compensation Policies
(i) Minimum wages and salaries.
(ii) Incentive Plans.
(iii) Profit Sharing.
(iv) Non-Monetary Rewards.
There may be personnel policies in addition to above cited examples. The top
management while designing personnel policies must take the human resource or
personnel manager into confidence because he is the person who is mainly concerned
with performing the human resource functions and implementation of human resource
programmes and policies.
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1.6 TYPES OF PERSONNEL POLICIES
There are various types of policies. Jucius identifies two types, viz., functional or
organizational groupings of policies; and the centralized policies. The functional
grouping of policies are those policies which are grouped for different categories of
personnel, e.g., for the management dealing with personnel planning, organizing and
controlling or for the management concerned with functions of procuring , developing
and utilizing manpower. The centralized policies are framed for companies with several
locations. They are formulated at the head office and apply through out the organization.
Policies may also be classified as major or minor. Major policies pertain to the
over-all objectives, procedures and control which affect an organization as a whole. They
cover in a general way nearly every phase of an enterprise and its products and methods
of financing, its organizational structure, plant location, its marketing and personnel.
Such policies are formulated by the Board of Directors, and a framework is established
within which major executives fit the remaining policies necessary to carry out the major
objectives of an organization. Minor policies, on the other hand, cover relationships in a
segment of an organization, with considerable emphasis on details and procedures. Such
policies are the outgrowth of major policies and preserve their utility of purpose.
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1.7 FORMULATION, IMPLEMENTATION AND EVALUATION
OF PERSONNEL POLICIES
ii. Collecting Data: Once priorities areas are listed, steps should be taken to
collect facts before formulating a policy. Various sources could be tapped for
this purpose such as (i) company’s records (ii) past practices (iii) survey of
industry practices (iv) experience of personnel handling various issues (v) top
management philosophy (vi) organizational culture (vii) employee aspirations
and (viii) changing economic, social and legislative etc.
iv. Communicating the policy: to gain approval at various levels, the formulated
policy should be communicated through out the organization. Policy manual,
in-house journal and discussions with people at various levels may be used to
reach out to employees quickly. Special coaching programmes can also
inform people about the manner of application.
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(d) Company plans for change like expansion, diversification, contraction,
adoption of new technology and introduction of new methods.
The system and methods of human resource management are mostly based on personnel
policies. Hence, appraising the impact of personnel policies is beneficial to the
employees, organization and society at large. The impact of personnel policies can be
measured in terms of cost and benefit to employees, organization and society.
T a b l e
Impact of P/HRM Policies
P/HRM Policy choices Personnel/Human Long-term
Resource outcome Consequences
Employee influence Commitment Individual well being
Human resource supply Competence Organizational
Selection system Congruence effectiveness
Reward system Cost effectiveness Social well being
HRD system
Work environment
Source: Modified version from S.K. Bhatia, “Assessing the overall Impact of HRM policies”, The Hindu, 15th October 1987, p.18
The impact of human resource policies can measured through their outcomes viz.,
commitment of the employee towards the organization. Employee commitment, in turn,
can be evaluated through the length of service of an employee (stability of employment),
absenteeism, employee attitude towards the job, organization, etc. The competence of an
employee can be appraised through performance appraisal techniques. Congruence of an
employee to policies can be identified through the nature and frequency of grievances,
disagreement, discord and conflict. Cost and effectiveness can be measured through
human resource accounting techniques. However, assessing the impact of human
resource management policies is highly difficult, but not impossible.
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CHAPTER - II
I have carried out my project work on the topic of “Personnel Policy” in Narmada
Hydroelectric Development Corporation Ltd., Bhopal. Brief detail of the organization is
given below.
2.1 NHDC
AN INTRODUCTION
NHDC is committed to develop the hydropower and other renewable energy potential in
Madhya Pradesh at a fast pace and generate cheap, clean and reliable power by opting the
latest technologies, developing power projects within planned gestation period, protecting
environment, socio-economic enlistment and preserving ecology in all its aspects
including planning, investigation, research, design and preparation of preliminary
feasibility and detailed project repots, construction, operation and maintenance of
hydroelectric power stations and projects and sale of power generated at hydroelectric
stations.
MISSION OF NHDC
The aim of NHDC is to harness the vast hydro potential of Madhya Pradesh in order to
produce the clean, cheap, pollution free and inexhaustible power in the state. All the
related aspects of construction of a Hydel Project like investigation, preparation of
detailed project reports, planning, design construction, operation, maintenance,
transmission, distribution, sale and releasing water for the irrigation shall be done under
one root.
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VISION OF NHDC
A premiere Organization in the State of Madhya Pradesh for sustainable and vast
hydropower potential development at faster pace in Narmada Basin with strong
environment conscience.
OBJECTIVES
• To plan, promote and organize an integrated and efficient development of Hydro
Power potential of Narmada River and its tributaries in Madhya Pradesh in all its
aspects.
• To undertake, where necessary, the construction of inter-state transmission lines
and ancillary works for timely and coordinated inter- stage exchange of power.
• To coordinate the activities of its subsidiaries, to determine their economic and
financial objectives, targets and to review, control, guide and direct their
performance with a view to secure optimum utilization of all resources placed at
their disposal
• To act as an agent of Government and Public sector financial institutions.
• To carry on the business of purchasing, selling, importing, exporting, producing,
trading, manufacturing or otherwise dealing in all aspects of development of
Hydropower.
QUALITY POLICY
We, at NHDC are committed to develop the hydropower and renewable energy potential
in Madhya Pradesh at a fast pace and generate cheap, clean and reliable power.
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2.2 ORGANISATION STRUCTURE OF NHDC
Abbreviations:
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INDIRA SAGAR POWER STATION (ISP)
Indira Sagar Power is situated 10 Km from the village Punasa in Khandwa District of
Madhya Pradesh. The foundation stone of this project was laid by the then Hon’ble Prime
Minister of India Late Smt. Indira Gandhi on 23.10.1984. It is a multipurpose project on
the river Narmada with installed capacity of 1000 Megawatt (8x125). Ot will generated
2698 MUs energy, annually. The project will irrigate 2.70 lakh ha. Land annually. As per
CCEA sanction the project cost is Rs. 4355.57 Crores (Sept. 2000 Price Level). Due to
early commissioning of units, substantial amount of savings has been made in the actual
completion cost.
The Project consists of Concrete Gravity Dam of Length 653 meter at top with maximum
height (above deepest foundation level) of 92 meter. The Dam involved pouring of 14.00
lacs cubic meter concrete. It consists of 12 main spillway and 8 auxiliary Spillway blocks
with effective width of 20 m each. 20 No. Radial gates of size 20 mx17 m have been
erected for regulation of flood water.
The surface Power House is situated on the right bank of the river, with Machine hall
(202 meter long, 23 meter wide, 53 meter high), Service bay (42 meter long, 23 meter
wide, 24 meter high) and Transformer yard (202 meter long, 20 meter wide) to house 8
Nos. Francis type turbines of 125 MW capacity each.
The water conductor system consists of one Head Race Channel of length 530 meter,
width 75 meter and depth 50 meter with water carrying capacity of 2200 cumecs. Water
enters into turbine from intake structure by 8 Nos. Penstick of 8 meter diameter and 157
meter length each. Water flow capacity of each Penstock is 275 cimecs. After power
generation water is discharged back into river Narmada through 850m long Tail Race
Channel.
Gross Reservoir Capacity of ISP is 12.2 billion cubic meters, which is:
• Sufficient for the domestic water recruitment of 100 crores people of India for
whole year.
• The largest reservoir of India, which is 1.25 times larger than Bhakra Reservoir.
BENEFITS OF PROJECT
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Irrigation and Food Grains
Pisciculture
Approx 1500 tonnes of fish production, annually from the 913 Sq. Km reservoirs.
Industrial Development
Training
Professional training of various trades being given to project affected families at ITI,
Narmada Nagar. One Vocational Training Centre has also been started by NHDC for
ladies/girls of PAFs.
Education
Kendriya Vidyalaya started in June 2001 at Indira Sagar Project, Narmada Nagar to
provide education to the children of project personnel and adjoining areas.
Water to be supplied to the proposed 1000 MW thermal power plant in the nearby village
Bir.
Tourism
At FRL, the reservoir will spread over 913 Sq. Km. area and will provide opportunities
for tourism development and approximately one lac tourists will be attracted every year.
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OMKARESHWAR POWER STATION (OSP)
Total installed capacity of the Omkareshwar Project is 520 MW (8x65). The project will
generate 1167 million units energy, annually. Total catchmenty area at the dam site is
64880 Sq.Km. out of which 3238 Sq.Km is downstream of Indirasagar Power Station.
The project consist of 949 m long concrete dam with maximum height of 53 m the
deepest bed level across the river narmada. A central Ogee-type Spillway 570m long with
crest level E1 179.6m has been provided to pass the Probable Maximum Flood of 88315
cumecs. 23 No. radial gates of size 20m x 18m has been erected for regulation of flood
water. 8 penstocks have been erected in 208m long power dam with maximum height of
49m. 10 Nos. sluice gates of size 3.5m x 4.5m at the level of 173.5m for diversion
purpose which has now been plugged.
The surface power house (202m x 23m x 53m) of the project is with in the body of dam
on the right bank of Narmada consisting of 8 units of 65 MW capacities each with
conventional Francis Type Turbines. Water is carried to the Turbines through 8 no.
penstocks water is discharged back in the river through 145m long Tail Race Channel.
BENEFITS OF PROJECT
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Pisciculture
Approx 360 tonnes of fish production every year.
Tourism
94 Sq. Km. reservoir near Omkareshwar Jyotirlinga will be a boon for tourism
development in Madhya Pradesh. Approximately 5 Lakh tourists per year will be
attracted.
Due to the formation of reservoirs of ISP & OSP many villages were coming under
submergence. Rehabilitation and Resettlement of the Project Affected Families (PAFs) is
not only the mammoth task but also include the humanitarian perspective. NHDC has
established office at Khandwa for smooth and expeditious work. There were about 40000
PAFs under ISP and 6000 PAFs under OSP. For Indira Sagar it is estimated that Rs. 1723
Crores would be spent against R&R Works vis-à-vis CCEA sanctioned cost of Rs. 1161
Crores and for Omkareshwar Project it is estimated that Rs. 221 Crores would be spent
against CCEA sanctioned cost of Rs. 117 Crores.
ENVIRONMENT
Hydro Power though it is by far the best environmentally preferred option of energy
generation, there is still room for improvement so as to make it sustainable.
NHDC believes in the fact that the human race is dependent on the well being of our
natural resources, floral and faunal diversity and other Environmental parameters. Big
storage schemes on one hand takes care of vagaries of monsoon, on the other hand these
schemes provide irrigation facilities in large areas. However, these schemes also entail
ecological changes. Therefore, it is inevitable to foresee, plan for and mitigate unintended
undesirable environmental impacts due to these schemes.
The Indira Sagar Project and Omkareshwar Project were cleared from the Ministry of
Environment and Forests, Government of India. The following Environmental
requirements are being taken care of:
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3. Command area treatment
4. Developing Flora/Fauna of adjoining areas
5. Seismicity
6. Health Aspects
7. Archaeological/Anthropological Aspects.
NHDC is committed to comply with all the legal environmental requirements and always
strives to prevent environmental degradation during the course of execution of its
projects.
MAJOR ACHIEVEMENTS
• Indira Sagar Power Station awarded with National Gold and Silver Awards of
‘Best Executed Hydropower Station’ by the Hon’ble Prime Minister of India.
• Omkareshwar Project has started generation of power from all of its eight units
from Novemember 2007.
• During 2006-07, turnover of Rs. 748.54 crores and net profit of Rs. 454.31 Crores
was earned by generating power from ISP.
• Dividend of Rs. 68.146 crores paid for Financincial Year 2006-07 to NTPC and
GoMP as per their equity contribution i.e. 51:49.
• During 2006-07, 2605 million units of Power generated from Indira Sagar Power
Station.
• Upto Oct. 2007, 8438 million units from ISP and 236 million power from OSP
supplied to Madhya Pradesh.
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2.3 ROLE OF HR IN NHDC
People are in the main assets of the corporation and accordingly conscious effort has been
made to provide the environment for continuous development in line with organizational
goals, priorities and individual aspiration of employees. HR initiative undertaken to
improve employees performance level include KRA based appraisal system at Senior
Executive level as an initial step towards progressive implementation at all level and
training for multitasking and redevelopment. The corporation unique work culture is
based on Trust & openness. The organization looks at each and every employee as an
achiever who will make the difference.
Periodical job rotation and inner location transfer are undertaken to facilitate
development and broaden outlook. The human resources functions follow integrated
approach to actualize the HR goals. As a learning Organization the new recruits are
attached with senior executive under a systematic and formal training to integrate them
into the culture of the company. As a part of post employment training and development
opportunity, a systematic training plan has been formulated for ensuring minimum seven
man-days training per year. This has been designed to groom employee for assuming
positions of higher responsibility. The company also continues to focus on building
leadership capability and strategic orientation through a series of training programmes
and workshops. Demonstrating its high concern for people, we have developed
employees’ welfare, health and social security system leading to high level commitment.
The employee attrition rate has been lowest in the industry. We have developed Modern
Township with best quality of life, containing amenities like, educational, medical and
recreational facility for employees and their family members. Corporation also has
empanelled hospitals at various locations to meet employee health needs. We have the
best record in the industry for accident free man-hours. The corporation emphasizes
aligning people capability and competency with current and emerging business challenge.
HRM
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Responsibility
• In facts, help & co-operation are necessary from bottom to top level for
effective management of human resources in any type of Organization
HRM Components
ACQUISTION
H R Planning
Recruitment
Internal
External
Employee
Socialization
MAINTAINANCE
DEVELOPMENT
Safety and
Employee Training
Health EXTERNAL Management
Industrial INFLUENCES
Relations
Development
Career
Development
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Organizational Structure of Corporate HR Department
Abbreviations:
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CHAPTER – III
INTRODUCTION
HRM - POLICIES
MEANING OF POLICY
In general policy is termed as “man made rules of pre-determined course of action that is
established to guide the performance of work toward organization’s objectives”. Standing
plan which specifies routes toward selected goals & serves as standards or measuring
yards for elevating performance. Duly agreed statement of organization consisting of its
over all purposes & its objectives in various areas with which its operations are
concerned. (i.e. personnel, finance, production, marketing and so on)
From the discussion held with the Rules and Policy Section it has been noticed that
NHDC Ltd being a Joint Venture of NHPC and Govt of Madhya Pradesh, Personnel
Policies of its major stock holder i.e National Hydroelectric Power Corporation Ltd
(NHPC) is being adopted with the approval of Competent Authority. Personnel Policies
of Corporation maybe grouped under the following heads for reference and study.
• Wage Structure
• Pay Fixation Rules
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• General Recruitment Rules
• Recruitment Rules of Para-medical Staff
• Promotion Policy for Executives
• Promotion Policy for Supervisors
• Promotion Policy for Workmen
• Joining Time Rules
• Seniority Rules
• Training & Development Policy
• Leave Rules
• Leave Travel Concession Rules
• Medical Attendance Rules
• Scheme of Company lease / Self lease Accommodation
• Group Personal Accident Insurance Scheme
• Family Welfare Scheme
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In addition to above major policies, NHDC ltd has also policy pertaining to employees
benefits and service related matters.
NHDC ltd is proving following scale of pay and allowances and as per Wage Policy of
Corporation.
1. SCALES OF PAY
NHDC LTD has the following Scales of pay on Industrial DA Pattern (IDA), for
Workmen, Supervisors and Executives upto Executive Director Level (excluding the
appointments made by the Central Government) on a uniform basis in the Corporation.
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2. DEARNESS ALLOWANCE
Dearness Allowance in the pay scale payable would be governed as per the following
provision:
• DA shall be revised on 1st April, 1st July, 1st October & 1st January of each year
based on the percentage increase / decrease in the quarterly average of All India
Consumer Price Index (AICPI) for the quarters ending February, May, August
and November respectively over AICPI 1708 (Base 1960 = 100).
• There shall be 100% neutralization of DA for employees.
• DA shall be payable on Basic pay only.
• The percentage increase / decrease in the quarterly average of AICPI for the
period ending February, May, August and November over index 1708 would be
taken upto one decimal point.
• The amount of DA would be rounded off to nearest rupee.
5. LEASED ACCOMMODATION
Executives of NHPC are provided with the facility of Company Leased Accommodation
in the form of Third Party Leased Accommodation and Self-Leased Accommodation.
The rate of monthly rental ceiling of the lease amount is based on the maximum of the
scale, as under:
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B1, B2 & C 25% of max of the pay scale
Unclassified 20% of max of the pay scale
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. NON-PRACTICING ALLOWANCE – For Medical Doctors
For Medical Officers in IDA pay scales, NPA shall be payable @25% of basic pay. Non-
practicing allowance at the revised rates would be admissible only in respect of those
medical posts for which a medical qualification recognized under the Medical Council
Act 1956 or under the Dentists Act 1948 has been prescribed as an essential qualification
and to which this allowance is attached at present.
NPA will not count for any other purpose.
8. WASHING ALLOWANCE
All Workmen and Supervisors receiving uniform cloth (livery) shall be eligible for
Washing allowance @ Rs. 100 per month.
B. Hostel subsidy
@ Rs. 1500/- pm per child restricted to 2 children
Note: Hostel Subsidy is payable only to employees posted at
Projects/Power Stations
NOTE: For detailed terms & conditions for admissibility of any of the allowances briefed
in this chapter, respective rules in the HR Manual may be referred to.
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CONDUCT DISCIPLINE AND APPEAL RULES
These rules shall be called "NHPC Conduct, Discipline and Appeal Rules" and come into
force with effect from 14.5.1979.
APPLICATION
These rules shall apply to all employees except workmen as defined in the Industrial
Employment (Standing Orders) Act, 1946.
Nothing in these rules shall operate to deprive any employee of any right or privilege to
which he is entitled; by or under any law for the time being in force; or by the terms and
conditions of service or any agreement subsisting between such person and the
Corporation.
GENERAL
2 Every employee of the Corporation holding a supervisory post shall take all
possible steps to ensure the integrity and devotion to duty of all employees for the
time being under his control and authority.
3 No employee shall
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No employee shall, in the performance of his official duties, or in the exercise of powers
conferred on him, act otherwise than in his best judgment except when he is acting under
the direction of his official superior;
MISCONDUCT
Without prejudice to the generality of the term “misconduct" the following acts of
omission and commission shall also be treated as misconduct.
Theft, fraud or dishonesty in connection with the business or property of the Corporation
or of property of another person within the premises of the Corporation.
No employee shall, in any radio, TV broadcast or in any document published under his
name or under any pen name or pseudonym or in any communication to the press or in
any public utterances make any statement.
No employee of the Corporation shall: give or take, abet giving or taking of dowry; or
demand directly or indirectly from the parents or guardians of a bride or bridegroom, as
the case may be, any dowry. For the purpose of this rule, "Dowry" has the same meaning
as in the Dowry Prohibition Act, 1961 (28 of 1961). more than Rs.15,000/-.
PENALTIES
The following penalties may, for good and sufficient reasons and as hereinafter provided,
be imposed on an employee:
Minor Penalties
a. Censure.
c. Withholding of promotion.
d. Recovery from pay of such other amount as may be due to him of the whole
or part of any pecuniary loss caused to the Corporation by negligence or breach
of orders.
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e. Reduction to a lower stage in the time scale of pay for a period not exceeding
3years, without cumulative effect and not adversely affecting his terminal
benefits.
Major Penalties
d. Compulsory Retirement.
IMPOSITION OF PENALTIES
The Disciplinary Authority may impose any of the penalties specified under rule on any
employee, after following the laid down procedure under this rules. No major penalty
shall be imposed by any authority lower than actual appointing authority.
LEAVE RULES
These rules shall apply to the employees of the Corporation including Departmental
Trainees / Trainees / Workmen covered under Industrial Employment (Standing Orders)
Act, 1946 working in regular scales of pay. "Regular employee" means an employee who
is declared by the Corporation to have satisfactorily completed his prescribed period of
probation on initial appointment.
Corporation grants to eligible employees the following types of leave as per the
provisions stipulated under the Leave Rules.
• "Earned leave"
• "Half pay leave
• "Commuted leave"
• "Extraordinary leave"
• Maternity Leave
• Paternity Leave
• Quarantine Leave
• Child Care Leave
• SPECIAL DISABILITY LEAVE
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GENERAL CONDITIONS
b. An employee’s claim to leave is regulated by the rules in force at the time the
leave is applied for and granted.
33
be a holiday, he shall automatically be allowed to suffix such holiday(s) to his
medical leave and such day(s) shall not be counted as leave.
h. In case an employee is recalled to duty before the expiry of his leave, such recall
to duty shall be treated as compulsory in all cases.
i. An employee who desires to extend his leave shall make an application to that
effect to the sanctioning authority in sufficient time to reach the latter before the
expiry of the leave already granted.
j Except in emergency, applications for leave for three days or more shall be made
at-least seven days before the date from which the leave is required.
n Unless the authority competent to grant leave extends the leave, an employee
who remains absence after the end of sanctioned leave shall be deemed to be
absent unauthorized.
EARNED LEAVE
All employees are entitled for 30 days EL in a calendar year. The earned leave account of
the employee shall be maintained in two parts i.e. Encashable leave account and non-
Encashable leave account. The credit to be afforded to the leave account of each
employee in respect of Earned leave at the commencement of each calendar half year
shall be at a uniform rate of 15 days and shall be segregated as under w.e.f. 01.07.2001:
On 1st January and 1st July every year
The credit in advance of 15 days Earned leave on 1st of Jan. or July if exceeds the
maximum accumulation limit will not lapse but will be adjusted against the Earned leave
availed / encashed during the period of next credit of Earned leave and only un-availed /
34
un-encashed portion of leave credited in advance will lapse at the end of the period of six
months
COMMUTED LEAVE
a) An employee is entitled to commuted leave not exceeding half the amount of half
ay leave due.
b) A maximum of 120 days on full pay during the entire service will be allowed.
In respect of employees on IDA scale of pay, there is no Ceiling on amount of
commuted leave that can be availed during entire service.
b. Maternity Leave shall be granted on full pay for a period which may
extend upto 135 days or to the end of 90 days from the date of
confinement, whichever is earlier, subject to production of
medical certificate from AMA.
35
delivery) subject to the condition that prior permission is
obtained by the employee and she fulfills all other
prescribed criteria. The condition for restriction of Maternity Leave to 90
days from the date of confinement can, therefore, be relaxed with the
prior approval of Sanctioning Authority.
In respect of matters not -specified above, the provision of Maternity Benefit Act, 1961
shall apply.
PATERNITY LEAVE
The male employees with less than 2 surviving children shall be granted Paternity Leave
for a period of 15 days only twice in the entire service during confinement of his wife.
This will be regulated as under:-
A male employee with less than two surviving children will be granted paternity leave for
a period of fifteen days during the confinement of his wife. During the period of such
leave he shall be paid leave salary equal to the pay drawn immediately before proceeding
on leave. Paternity Leave shall not be debited against the leave account and may be
combined with any other kind of leave (as in the case of Maternity Leave). It may not
normally be refused under any circumstances. Paternity leave is to be availed within the
same period in which Maternity Leave is availed.
RECRUITMENT RULES
These rules will be called "National Hydroelectric Power Corporation Ltd. Recruitment
Rules" and will come into force with effect from 3rd September, 1977.
Except as otherwise provided by or under these Rules they shall apply to all persons
appointed against regular posts in connection with the affairs of the Corporation or any of
the Projects / Units / Power Stations under its administrative control. These Rules shall
not apply to appointments on casual or on contract basis for specific jobs and periods.
CLASSIFICATION OF POSTS
For purposes of recruitment the posts under the Corporation are classified in the
following cadres / groups:
36
2 Executive Cadre Manager E-5
Dy.Manager E-4
Asstt. Manager E-3
Engineer / Officer E-2A
Trainee Engineer / Officer E-2
Asstt. Engg. / Officer E-1
3 Supervisory Cadre Special Grade S-4
Sr. Sup. Gr.I S-3
Sr. Sup. Gr.II S-2
Supervisor S-1
SOURCES OF RECRUITMENT
The posts under the Corporation shall be filled in by resorting to one or more of the
following methods:
a. Promotion of existing employees from the lower scales who meet the prescribed
standards
b. Direct recruitment from outside candidates or through Press Advertisement in
Employment News, National Dailies or local News Paper, as the need be
or through internal induction by issue of internal advertisement/circular for
employees who meet the prescribed qualification, job specifications, subject to
any instructions issued by the Central Government in this regard from time to
time.
c. Through Employment Exchanges as per provisions of the Employment
Exchanges (Compulsory Notification of Vacancies) Act, 1959.
d. Deputation from Central/State Governments or Public Sector Enterprises.
e. Recruitment of persons declared as surplus by the Government and other Public
Enterprises, etc. as per directives of the Central Government.
37
3.2 ROLE OF HR DEPARTMENT IN FORMULATION,
IMPLEMENTING AND EVALUATING PERSONNEL
POLICIES.
NHDC being a joint venture of NHPC and Govt. of M.P has been adopting a Personnel
Policy of NHPC, hence NHDC do not have any initiative role in formulating any
Personnel Policy, where as it has been understood from the discussions with NHDC’s HR
Department that initiative role is being taken for formulation of own Personnel Policies
for NHDC. Initiative role shall be consisting of
3. Policy Compilation/Review
4. Approval of Policy
Step 2: Circulation of draft policies and obtain comments from the concerned.
• Incorporate relevant comments
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• Approval of top management
HRM - PROCEDURES
It indicates “HOW?” HRM policy is to be carried out. It spells out in details the
methods/processes, movements and specific rules and regulations and also indicates the
steps, time, place and personnel responsible for implementing it. Procedures go further
than policies in helping to clarify what is to be done in particular circumstances.
Procedures are less general than policies and more specific in outlining the course of
action and the sequence of activities necessary for implementation of policies. It consists
of entire broad course of action governing employees at all levels.
E.g.
SYSTEM
A set of Objects working together & complementing each others’ job to achieve pre-
specified goals.
HRMS
39
It is a Sub-System of general Management, which has a set of activities having the nature
of interdependent & performing together with other sub systems, towards the
achievement of Organizational predetermined goals.
Fig: - HUMAN RESOURCE MANAGEMENT SYSTEM
HR DEVELOPMENT
M
A
HR POLICIES
N
HR
HR ACQUISITION AND MOTIVATION
P
O
PROCEDURES
W
E
R
HR MAINTAINENCE
1. HR Acquisition
Recruitment
Employee Socialization
HR Planning
2. HR Development
Employee Training & Development
Career Development
3. HR Motivation
Compensation & Benefits
Performance Evaluation
Rewards & Promotion
Discipline
Job Design
4. HR Maintenance
Safety & Health of Employees
40
Industrial Relations
Personnel Audit
Other matters
3.3 IMPLEMENTATION OF PERSONNEL POLICIES IN NHDC
41
CHAPTER – IV
4.1 SOURCE OF DATA AND SELECTION OF SAMPLES
I selected samples for my study from NHDC Corporate Office for the purpose of my
study and collection of data. The total manpower of NHDC is approximately 775
(including 265 Executives, 95 Supervisors, and 415 workmen). NHDC being a joint
venture of NHPC & Govt of M.P, consists employees of NHPC, NHDC cadre and Govt.
of M.P. on deputation.
Out of 115 regular employees working at NHDC Corporate office, Bhopal. I selected 15
employees i.e. 5 employees from each category (executives, Supervisors, and work men)
at simple random category for collection of data through Questionnaire Method.
A. PRIMARY SOURCES
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3. Information Collected through NHDC’s website.
www.nhdcindia.com
1. Please, go through the following items carefully and indicate your answer with
the help of the Key words given below if it describes the particular
aspect of NHDC Personnel Policy. As such you are requested to
answer the entire items truly. Please do not skip away.
2. Select the number from the given choices below and write it next to the
statement to go express your answer.
Sl No Grade of Response to be Numerical Value given to the
recorded Grade
1 Excellent 5
2 Very Good 4
3 Good 3
4 Average 2
5 Poor 1
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Note:- In terms of amount of benefits you receive from Personnel Policy of
NHDC and /or degree of implementation of Personnel Policies in NHDC
PLEASE DO NOT USE KEY NO.5 i.e. “POOR” OFTEN.
44
Personnel Policy is available / circulated in English/ Hindi with a view to
make employees understand ……………
Level of your Co-operation in implementing Personnel Policy …………
CHART-1
45
Age Analysis of Employees
4
Number of employees
3 3
Executives
2 2 2 2 2 Supervisors
2
Workmen
1 1 1 1
0 20 to 35 36 to 45 45 and above
Age in Years
CHART-2
46
Analysis of Employees' Education
4
Number of Employees
3 3 3
Executives
2 2 2 Supervisors
Work Men
1 1 1 1 1 1
0
Non-Technical Technical Proffessional
Type of Education
47
CHART-3
Number of
2
employees
0
Workmen Supervisors Executives
category of Employee
CHART-4
48
Analysis of 'Degree of
Implementation and benefits of
Personnel Policies'
80
Frequency of response
60
40 Frequency
55 60 of Response
20
20 25
0
1st 2nd 3rd 4th 5th
Grade Grade Grade Grade Grade
Grade of response
SCALE
The above chart has been prepared on the basis of responses given by samples in the
questionnaires, as they have been asked to give their response with regard to ‘degree of
implementation and benefits of Personnel Policies in NHDC.
The above chart gives an impression that the degree of Implementation and its
benefits of Personnel Policies in NHDC is very good because 4th Grade i.e. Very Good
has the highest frequency (60).
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In the present study, an attempt has been made to understand nature and
importance of Personnel Policy in NHDC and its benefits through implementation.
Three different tools have been used in the study. This Chapter provides the
following major findings, conclusions and suggestion about the study conducted.
These are given on the basis of analysis and interpretation of data collected.
A) FINDINGS:
B) CONCLUSIONS:
C) SUGGESTION:
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CHAPTER-V
51