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INVESTIGATION AND ANALYSIS OF SEMI-SKILLED LABOUR REQUIREMENT IN POST INDUSTRILASATION PHASE OF BHAGWANPUR BLOCK, ROORKEE - UTTARAKHAND.
SKILL AND ENTREPRENEURSHIP DEVELOPMENT INSTITUTE(SEDI) Promoted by - Ambuja Cement Foundation FINAL REPORT JUNE 2011
THAKUR INSTITUTE OF MANAGEMENT STUDIES & RESEARCH Shyamnarayan Thakur Marg, Thakur Village, Kandivali(E) Mumbai-400101.
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
BONAFIDE CERTIFICATE
This is to certify that this project report Semi Skilled labour requirment is a bonafide work of Pandey Anurag in part completion of the Post Graduate Diploma in Management (PGDM) has been done under my guidance. The project is in nature of original work that has not so far been submitted for any degree of this university. References of work and relative sources of information have been given at the end of the project.
Anurag pandey
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
ACKNOWLEDGEMENT
I would like to express my sincere thanks to Ms Pearl Tiwari, Vice president (CSR) Ambuja Cements Limited & Mr. R.P Sharma, Unit Head Ambuja Cements Limited-Roorkee, who provided me the golden opportunity to work with such a prestigious organization. Mr. Rajeev Singh Chaudhary, SEDI-In charge, Ambuja Cement Foundation-Roorkee, without whose support it would not have been possible to complete this research project. I was privileged to experience a sustained enthusiastic & involved interest from his side . Mr. Rajan Kapoor, Program manager Ambuja Cement Foundation-Roorkee, who continuously monitored my progress and facilitated all resources that was much required in this project. Mr. Gauri Shankar Sharma for his continuous support and guidance, who despite his busy schedule guided me in the initial phase of the research . Last but not the least; I would like to thank the faculty & members of Thakur Institute of Management Studies & Research for extending a helping hand at every juncture of need.
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
TABLE OF CONTENTS
Sr No. Title Page No.
List of Abbreviations List of Tables List of Exhibits Executive summary 1. Introduction & Background 1.1 Background & Overview 1.2 Project objective 1.3 Research Methodology 2. Limitations of Research 3. Industry requirements in Bhagwanpur 3.1 Survey overview 3.2 Percentage distribution as per industry type 3.3 Industry distribution as per specific trade requirement 3.4 Survey overview-November 2010 3.5 Percentage distribution as per industry type-November 2010 3.6 Industry distribution as per specific trade requirement-November 2010 4. Rural survey overview (November 2010) 5. Observations from the study 6. Composition of population in bhagwanpur 7. Population distribution in bhaagwanpur region 8. SWOT analysis of labour in bhagwanpur region 9. Recommendations 10. Scope of trades in tourism 11. References
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
ABBREVATIONS
ACF ACL SEDI BIA GMVN Ambuja Cement Foundation Ambuja Cement Limited Skill & Entrepreneurship Development Institute Bhagwanpur Industrial Area. Garhwal Mandal Vikas Nigam
LIST OF TABLES
Table 1.1 Table 3.1 Table 3.2 Table 3.3 Table 3.4 Table 4.1 Table 6.1 Table 6.2 Table 8.1 Research methods/techniques Survey overview Industry distribution as per specific trade requirement Survey overview (November 2010) Industry distribution as per specific trade requirement (November 2010) Rural survey statistics (November 2010) Composition of youth & middle age population in bhagwanpur Composition of other age group population in bhagwanpur SWOT analysis of labour resources in bhagwanpur
LIST OF EXHIBITS
Exhibit 3.1 Exhibit 3.2 Exhibit 3.3 Exhibit 3.4 Exhibit 4.1 Exhibit 7.1 Exhibit 7.2 Exhibit 7.3
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Percentage distribution of industries in BIA Graphical representation of industry distribution in percentage Percentage distribution of industries (November 2010) Graphical presentation of industry distribution in percentage (Nov 2010) Rural survey overview (Nov 2010) Population distribution in bhagwanpur region Gender wise population composition for age group of 18-40 years Gender wise population distribution for other age groups.
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
Executive Summary
Ambuja Cement Foundation (ACF) incorporated in 1993 as the CSR wing of Ambuja Cements Limited (ACL) was formed with an aim to work for the welfare of rural communities in and around ACLs manufacturing locations. The foundation works for the economic and social development in rural India. The foundation works with an objective of adding value to the lives of the people. Since its inception Ambuja Cement Foundation has evolved and spread its reach across India. At present the foundation is present in 20 locations across 10 states in the country, serving more than 700 villages of rural India. Ambuja Cement Foundation has always believed in collaborative team work and with this approach it has achieved exceptional milestones by collaborating with various NGOs and state governments to carry out developmental initiatives. The foundation has been continuously undertaking initiatives on various issues such as water management, agriculture, livelihood generation, health, education, women empowerment, and AIDS. A recent initiative of Ambuja Cement foundation was incorporation of Skill & Entrepreneurship Development Institute (SEDI) which provides short term training in various trades to the people of rural communities.
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
earns the student a certificate from Ambuja Cement Foundation mentioning his/her stream of training and grade is allotted to the student based on the performance of tasks during the training period. In context to this initiative, Ambuja Cement Foundation-Roorkee has been working rigorously, by conducting periodic industrial survey to assess the industrial manpower requirement in and across industrial areas of Roorkee & Haridwar. Based on this survey, the course structure is designed as per the contemporary industrial requirements and culture.
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
d) Others comprise of all the companies engaged in the production of products or components other than mentioned afore. Some of these are textiles, packaging, wood manufacturing, Home decors manufacturing, Milk & milk products, etc. The large majority of those interviewed had six or more years experience with the agricultural sector. These interviews provided insight on issues of semi-skilled manpower requirement in newly developed industrial area and provided assistance in identifying available data and documentation that would not otherwise be obtained. The following chart outlines the research approach for the project, including primary and secondary Data sources, to address the research issues and queries
Research Issues/Questions Data Sources /Methods
Research Issues/Questions
Data source/Methods
Development of Semi-skilled labour demand model using : y Document & statistical review findings y Survey of industrial units Survey of HR managers in the industrial units Document & statistical review findings
Semi-Skilled labour shortages Recruitment and retention challenges in the industrial units, deterrents to securing adequate labour pool Identification of elements that assist in securing adequate labour pool
y y
Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
3.1 The following table reflects an overview of the survey conducted in BIA
Table 3.1 : Survey overview Total no. of companies surveyed Type of industries surveyed No. of engineering units surveyed No. of pharmaceutical units surveyed No. of electronics units surveyed No. of other units surveyed 63 Engineering, Pharmaceuticals, Electronics, Others 23 18 5 17
A questionnaire based survey was conducted in BIA to assess the current industry requirements. The questionnaire was intentionally designed in line with semi-skilled labour requirement to minimize deviation in research. Semi-skilled labour was broadly bifurcated into 12 categories keeping in view the requirement arising out in industrial sectors. The questionnaire also included space to add remarks and suggestions from interviewee.
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
INDUSTRY BREAK-UP(PERCENTAGE)
Other Units 27% Engineering Units 36%
Engineering Units Pharmaceutical Units Electronics Units Other Units Electronics Units 8% Pharmaceutical Units 29%
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
TRADE
PERCENATGE OF A
Electricians 22 Welders 18 Fitters 14 Operators 9 Packaging 8 Electronics 7 Guards 6 Drivers 5 Computer Hardware 3 Tailoring 3 Carpenter 1 The percentage is calculated out of a total of 63 companies.
A graphical representation of distribution of companies as per their requirement in specific trade is shown below : Exhibit 3.2 : Graphical representation of industry distribution in percentage
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
3.4: Earlier survey conducted for assessment of manpower requirements in BIA, yielded manpower
requirement majorly in four trades such as Electronics, Electricians, Fitters & Welding which comprised of 98% of companies demand for manpower requirement. Engineering, Pharmaceutical, & electronic Units constituted 70% of the total units surveyed. A table showing overview of the survey conducted in November 2010. Table 3.3 : Survey overview-November 2010 Total no. of companies surveyed Type of Industries surveyed No. of Engineering units surveyed No. of Pharmaceutical units surveyed No. of electronic units surveyed No. of other units surveyed 20 Engineering, Pharmaceuticals, Electronics, Others. 9 2 3 6
3.5 The following exhibit shows industry distribution of industries surveyed in November 2010 based on
the type. . Exhibit 3.3: Percentage distribution of industries (November 2010)
INDUSTRY BREAK-UP(PERCENTAGE)
Other Units 30% Engineering Units 45%
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
8 7 4 2 1
A graphical representation of distribution of companies as per their requirement in specific trade is shown below: Exhibit 3.4: Graphical representation of industry distribution in percentage(November 2010)
40%
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
16 9 7 8
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
5.0 Observations
While interacting with HR-Representatives of different industries several facts were discovered pertaining to semi-skilled labour which are as follows : y y The HR-Representatives were of the view that BIA has a tremendous scope of accommodating semi skilled manpower. BIA is in its growth phase of the cycle & hence there is a vast scope of creating future employment as many existing industries have future expansion plans & many new industries are continuously being setup. There was a high enthusiasm from their side to cooperate with the initiative taken up by ACF, and displayed willingness to hire trained semi-skilled labourer to fulfill their requirements. Majority of the interviewee displayed dissatisfaction from the work quality and productivity of the local labours due to lack of training & work experience. The HR-Representatives were of the opinion that the locals lacked self motivation and hence had low productivity.
y y y
615
3420
Total No. of males in Age-group of 18-40 Percentage composition of males in the agegroup of 18-40 in the total population
643
19%
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
615
3420
1775
Total No. of Individuals above the age of 45 years2 Percentage composition of individuals below 18 years of age Percentage composition of individuals above the age of 45 years
444
53%
13%
It is evident from above tables that there is a prevalence of youth population in bhagwanpur region, while only 13% population composition is of the individuals above the age of 45 years.
It has been assumed that the population above the age of 45yrs is non-working population
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
19-45yrs 35%
7.2 Gender wise composition of the population for age group of 18-40 years3. Exhibit 7.2
Males Females
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
7.3 Gender wise composition of population for other age groups4. Exhibit 7.3
GENDERWISE COMPOSITION OF POPULATION FOR INDIVIDUALS BELOW 18 YEARS. GENDERWISE COMPOSITION OF POPULATION FOR INDIVIDUALS ABOVE 45 YEARS
Males Females Females 855 48% Males 920 52% Females 215 48% Males 229 52%
Males Females
Note: The above distribution is based on figures calculated as per sex ratio of the state of Uttarakhand as given in census 2011
The above distribution is based on the sex ratio(963) of Uttarakhand, as per Govt. of India census 2011.
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
Strengths : y y y Prevalence of youth & middle-aged labour forces. Represent a major portion of the population. Existence of big industries in the region, which are active in conducting initiatives pertaining to social responsibility. Setup of new institutes, providing industry specific training resulting into increased efficiency of labour and addition of new skill.
Weakness : y y y y y y Lack of self motivation among labours. Lack of stability. Tendency of switching jobs for short term benefits. Lack of focus and orientation. Lack of guidance. High attrition tendency of labours.
Opportunities : y y y Labour demand owing to development of new industrial area. Scope of growth, due to existing gap between demand & supply of labours. Future employment opportunities as a result of expansion of existing industries in Bhagwanpur and flocking of new industries to this industrial area. Platform for gaining experience in job related to a specific trade, which would help in attaining promotion & increased payscale. Industries willingness to employ local population as a full time employee. Industries undergoing automation process will lead to creation of employment in new trades. Secure future by working with industries as a full time employee. Scope of development & growth through work experience.
Threats : y y y Migrant workers flocking in industrial areas of Haridwar. Willingness of migrant workers to give extra work hours in the industries. Existence of labour contractors in the region who lure the labour into switching jobs frequently by assuring them a small hike in pay. Industries abandoning bhagwanpur, due to inability to survive owing to frequent labour problems. Industries dissatisfaction due to low productivity of local workers leading to replacement by contractual of migrant workers.
y y
y y
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
9.0 Recommendations
On the basis of study and analysis of industrial area of Bhagwanpur the following recommendations are proposed: y It was studied that there is a primary need for four trades at present and on a regular basis. The trades that have the most frequent demand are Welders, Fitters, Electricians, and Electronics. Recommendation: It is suggestible that more focus be given on these primary trades at present. y During the study is it was found that a majority of industries are undergoing upgrading process by installation of new automatic machines. Recommendation: a) In context to this it is suggested that a new training which will provide the knowledge to operate these contemporary machines and basics of computer programme editing which are fed to the machines electronics should be introduced. An example of such machines is CNC machine (Computer numeric control machine) which works on programme fed into their computer. b) A course on basic maintenance of automatic machines can be introduced as it is expected that there will be demand for this trade in future after the automation process is completed. y The automation of industries will lead to a surge in demand for operators in the industries. Recommendation: it is suggested that the operators trade can also be included to primary trades in demand at present. y Most of industries in BIA are manufacturing industries engaged in production of heavy equipments and components. Recommendation: There could be an job opportunity for Fork lift drivers. Fork lift machines are used to transport heavy products from family to storehouse. y During survey, it was observed that security guards did not have the basic skills of communication and social behavior. Recommendation: It is recommended that a special lecture on social behaviour & communication be given to security guards during the Guard training programme at SEDI. y The study provided the opportunity to interact with HR representatives of various industries in BIA. During interaction sessions with these representatives, it was observed that a serious problem faced by most of the firms was retention of employees in case of semi-skilled and unskilled labour. The primary reason for this was lure of getting higher pay from other industry.
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
Recommendation: For this it is recommended that, orientation sessions be conducted on importance of work experience, job stability etc for candidates trained or pursuing training in SEDI. The labour should be explained the consequences of frequent job switch. They should be introduced to the concept of work culture in contemporary Indian industries, by giving an overview of working trend & culture in corporate world. The workers should be made aware of code of conduct and work ethics. y It was observed that apart from a few industries, a large no of industries did not provide safety training to the employees which is extremely important, especially in manufacturing units. Recommendation: a) It is therefore suggested that a training course on safety & environment should be introduced and workers should be explained the importance of safe work practices while performing a job or task.. b) It is further recommended that a periodic interactive sessions be conducted with semi-skilled labourer to hear their grievances and queries and provide solution for the same. In this manner labours can be motivated and have a positive work approach. y Almost every industry demanded a I.T.I certificate or minimum work experience of 5 years in the related field for a semi-skilled labourer. When the HR representatives were given an overview of training and programmes conducted at SEDI they showed enthusiasm in recruiting SEDI trained candidates for their firm. It is evident that SEDIs popularity is growing gradually. Recommendation: a) Effort is required in this respect by carrying out a massive advertising campaign for SEDI to create mass awareness about the institute. In villages advertisement through pamphlets, posters, banners in public functions etc is suggestible. b) In long term perspective, affiliation can be made with government institutions and organizations & collaborative training programs can be conducted.
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
Placing Uttarakhand on the tourism map of the world as one of the leading tourist destinations, and to make the name synonymous with tourism. Developing the manifold tourism-related resources of the state in an eco-friendly manner, with the active participation of the private sector and the local host communities. Developing tourism as a major source of employment and income/revenue generation and as a pivot of the economic and social development within the state.
The government has an objective to place Uttarakhand on the world map as a leading destination for environmentally sustainable and socially responsible tourism. There was 222.21% rise in the budget
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
allotted for tourism between the ninth and tenth Five-Year Plans. The state of Uttarakhand- with Dehradun as its administrative and legislative capital is one of the five states in India to be declared as UNESCOs World Heritage Biodiversity sites. The state occupies an area of 53,483 sq km and has a population of 10.12 million.The hill state of Uttarakhand has been selected by the Centre selecting the hill state as the first tourist destination of India which would be developed in the new Five-Year Plan. As per tourism ministry the centre would provide nearly Rs 200-250 crore for the development of each tourist destination. Apparently the state Govt. of Uttarakhand as well as the central Government is heading for a huge investment in the Uttarakhand tourism industry. This would create employment opportunity in the state of Uttarkhand- both directly and indirectly related to tourism industry. Likewise industries directly or indirectly related to tourism such as infrastructure, hotels, public & private transport, will attract huge investments from the state as well as central Govt. for development. In context to these facts it is important that the rural population especially the youth in rural areas should get the benefit of the imminent opportunities in the tourism industry of Uttarakhand. In line with the future demand of manpower in the tourism industry, it is important that trained manpower is available to meet the specific demands from the tourism industry. In this prospect, it has been planned to introduce courses on tourism in SEDI. As a part of implementation of tourism courses in SEDI, An interview with officials from Garhwal Mandal Vikas Nigam Limited was conducted for a better understanding of future manpower demand of tourism industry. Following was the outcome of the interaction session with the officials from GMVN Ltd. y It was suggested by the officials that the investment in Uttarakhand tourism industry would increase the tourist footfall not only from foreign countries but also from within the country, hence there will be a huge demand for tourist guide. Hence a course on tourist guide needs to be implemented on a large scale so as to fulfill the demand. The officials were of the view that Uttarakhand was bound for a influx of hotels and restaurants & hence there would be a great demand for manpower in following trades:Chefs Cleaners Cooks Front office & reception Hospitality Housekeeping Waiters The officials also suggested courses which would be useful for employment as well selfemployment purpose such as travel coordinator, travel management, travel company operations, interior decorators, etc.
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Investigation & Analysis of Semi-skilled labour requirement in post industrialization phase of Bhagwanpur block, Roorkee-Uttrarakahand
11.0 References
y y Need assessment survey- November 2010, Ambuja Cement Foundation National portal of India http://india.gov.in/ Ministry of labour, Government of India http://labour.nic.in/ India Brand Equity Foundation http://www.ibef.org/ Public Private Partnership in India, Ministry of Finance, Govt. of India http://www.pppinindia.com/ Government of Uttarakhand official website http://uk.gov.in/ Ministry of tourism, Govt. of India http://www.tourism.gov.in/
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