1 CHAPTER NO. 1 INDUSTRY PROFILE 2 INDUSTRY PROFILE The Information technology industry in India has gained a brand identity as a knowledge economy due to its IT and ITES sector. The IT–ITES industry has two major components: IT Services and business process outsourcing (BPO). The growth in the service sector in India has been led by the IT–ITES sector, contributing substantially to increase in GDP, employment, and exports. The sector has increased its contribution to India's GDP from 1.2% in FY1998 to 7.5% in FY2012. According to NASSCOM, the IT–BPO sector in India aggregated revenues of US$100 billion in FY2012, where export and domestic revenue stood at US$69.1 billion and US$31.7 billion respectively, growing by over 9%. The major cities that account for about nearly 90% of this sectors exports are Bangalore, Chennai, Delhi, Mumbai, Hyderabad, Pune, Kolkata. Export dominate the IT–ITES industry, and constitute about 77% of the total industry revenue. Though the IT–ITES sector is export driven, the domestic market is also significant with a robust revenue growth. The industry’s share of total Indian exports (merchandise plus services) increased from less than 4% in FY1998 to about 25% in FY2012. According to Gartner, the "Top Five Indian IT Services Providers" are Tata Consultancy Services, Infosys, Cognizant, Wipro, HCL Technologies and ITC INFOTECH. This sector has also led to massive employment generation. The industry continues to be a net employment generator - expected to add 230,000 jobs in FY2012, thus providing direct employment to about 2.8 million, and indirectly employing 8.9 million people.[1] Generally dominant player in the global outsourcing sector. However, the sector continues to face challenges of competitiveness in the globalized world, particularly from countries like China and Philippines. India's growing stature in the Information Age enabled it to form close ties with both the United States of America and the European Union. However, the recent global financial crises has deeply impacted the Indian IT companies as well as global companies. As a result hiring has dropped sharply, and employees are looking at different sectors like the financial service, telecommunications, and manufacturing industries, which have been growing phenomenally over the last few years. India's IT Services industry was born in Mumbai in 1967 with the establishment of Tata Group in partnership with Burroughs. The first software export 3 zone SEEPZ was set up here way back in 1973, the old avatar of the modern day IT park. More than 80 percent of the country's software exports happened out of SEEPZ, Mumbai in 80s HISTORY The Indian Government acquired the EVS EM computers from the Soviet Union, which were used in large companies and research laboratories. In 1968 Tata Consultancy Services— established in SEEPZ, Mumbai by the Tata Group—were the country's largest software producers during the 1960s. As an outcome of the various policies of Jawaharlal (office: 15 August 1947 – 27 May 1964) the economically beleaguered country was able to build a large scientific workforce, third in numbers only to that of the United States of America and the Soviet Union. On 18 August 1951 the minister of education Maulana Abul Kalam Azad, inaugurated the Indian Institute of Technology atKharagpur in West Bengal. Possibly modeled after the Massachusetts Institute of Technology these institutions were conceived by a 22 member committee of scholars and entrepreneurs under the chairmanship of N. R. Sarkar. Relaxed immigration laws in the United States of America (1965) attracted a number of skilled Indian professionals aiming for research. By 1960 as many as 10,000 Indians were estimated to have settled in the US. By the 1980s a number of engineers from India were seeking employment in other countries. In response, the Indian companies realigned wages to retain their experienced staff. In the Encyclopedia of India, Kamdar (2006) reports on the role of Indian immigrants (1980 - early 1990s) in promoting technology-driven growth. 4 CHAPTER NO: 2 COMPANY PROFILE A. BACKGROUND AND INCEPTION OF THE COMPANY. B. BOARD OF DIRECTORS C. NATURE OF BUSINESS CARRIED D. VISION MISSION AND QUALITY POLICY E. PRODUCT\SERVICE PROFILE F. AREA OF OPERATION G. COMPETITORS INFORMATION H. ACHIEVEMENTS 5 COMPANY PROFILE Company Overview Background ITC Infotech, a global IT services company, is a fully-owned subsidiary of ITC Limited, the US$ 7 billion diversified conglomerate. ITC Limited is rated among the ‘World's Most Reputable Companies’ by Forbes magazine and among ‘India's Most Valuable Companies’ by Business Today. Business ITC Infotech is committed to deliver end-to-end IT solutions and services to its customers worldwide. We integrate our vast experience across industry sectors with world-class technology and state-of-the-art infrastructure to offer business-friendly solutions across industry verticals that include: Banking, Financial Services & Insurance (BFSI) Consumer Packaged Goods (CPG) Hospitality 6 Manufacturing Media & Entertainment Retail Travel Transportation & Logistics Life Sciences ITC Infotech advantage ITC Infotech has established itself as a key player in the offshoring arena with the rare advantage of having both domain expertise and astute business proficiency. We engineer business solutions that address our customers pain areas and couple this skill with a robust offshore delivery infrastructure and quality process maturity. Converged focus of the top management and flexibility in relationship is part of every strategic partnership we embark on. Best of breed talent, paired with global and multicultural flavor, makes us a cognizant and versatile organization. Expanse of operations Headquartered in Bangalore, India, with wholly-owned subsidiaries in UK and USA, ITC Infotech services Fortune-listed customers across North America and Europe. We have established a service delivery footprint across more than 140 countries worldwide. We provide comprehensive solutions through dedicated development centers, offices, and delivery centers in North America, Europe and Asia Pacific, in addition to two delivery hubs in Bangalore and Kolkata. 7 People practices ITC Infotech is an equal opportunities employer and this policy applies to all areas of employment, including recruitment, hiring, job assignment, compensation, promotion, discipline, termination, and access to benefits and training. Diversity: Being a global IT services and solutions company, we value the diversity of the markets in which we operate. Diversity, hence, is an integral part of our talent management strategies. Accordingly, ITC Infotech does not unlawfully discriminate on the basis of race, color, religion, sex, (including pregnancy, childbirth or related medical conditions) national origin, ancestry, age, medical condition, physical disability, mental disability, family care status, veteran status, marital status, sexual orientation, gender identity, genetics information, or any other basis prohibited by law. Gender inclusivity: We support gender diversity and provide a work environment which nurtures talent. Some of our initiatives include maternity benefits, late night transportation, round the clock security and many more. We seek to enhance equal opportunities for men and women, and prevent/stop/redress sexual harassment at the workplace. Disability: At ITC Infotech, we have created a robust infrastructure to facilitate smooth functioning for our differently-abled employees and reasonable effort is invested in accommodating any special needs. We endeavor to create facilities which complement our ethos of empowering our employees to help them realize their potential. 8 A. BACKGROUND AND INCEPTION OF THE COMPANY ITC was formed on August 24, 1910 under the name Imperial Tobacco Company of India Limited. Later the name of the Company was changed from Imperial Tobacco Company of India Limited to India Tobacco Company Limited in 1970 and then to I.T.C. Limited in 1974. ITC contains a wide range of businesses - Cigarettes & Tobacco, Hotels, Information Technology, Packaging, Paperboards & Specialty Papers, Agri-business, Foods, Lifestyle Retailing, Education & Stationery and Personal Care. Finally the company changed its name to 'ITC Limited’ on September 2001. The earlier decades of the Company's existence were mainly depending on growth and consolidation of the Cigarettes and Leaf Tobacco businesses, In the Seventies it started to transform into a corporate. In 1975 the Company launched its Hotels business with the acquisition of a hotel in Chennai which was rechristened 'ITC-Welcomgroup Hotel Chola'. The objective of ITC's entry into the hotels business was rooted in the concept of creating value for the nation in 1979; ITC entered the Paperboard business by promoting ITC Bhadrachalam Paperboards Limited, which today has become the market leader in India. In 1985, ITC set up Surya Tobacco Co. in Nepal as an Indo-Nepal and British joint venture. Since inception, its shares have been held by ITC, British American Tobacco and various independent shareholders in Nepal. In August 2002, Surya Tobacco became a subsidiary of ITC Limited and its name was changed to Surya Nepal Private Limited (Surya Nepal). Also in 1990, leveraging its tends to 10 states covering over 4 million farmers. ITC's first rural mall, christened 'Choupal Saagar' was inaugurated in August 2004 at Sehore. On the rural retail front, 24 'Choupal Saagars' are now operational in the 3 states of Madhya Pradesh, Maharashtra and Uttar Pradesh. In 2000, ITC forayed into the Greeting, Gifting and Stationery products business with the launch of Expressions range of greeting cards. A line of premium range of notebooks under brand “Paperkraft” was launched in 2002. To augment its offering and to reach a wider student population, the popular range of notebooks was launched under brand “Classmate” in 2003. “Classmate” over the years has grown to become India’s largest notebook brand and has also increased its portfolio to occupy a greater share of the school bag. Years 2007- 2009 saw the launch of Children Books, Slam Books, Geometry Boxes, Pens and Pencils under the 9 “Classmate” brand. In 2008, ITC repositioned the business as the Education and Stationery Products Business and launched India's first environment friendly premium business paper under the “Paperkraft” Brand. “Paperkraft” offers a diverse portfolio in the premium executive stationery and office consumables segment. Paperkraft entered new categories in the office consumable segment with the launch of Textliners, Permanent Ink Markers and White Board Markers in 2009. ITC also entered the Lifestyle Retailing business with the Wills Sport range of international quality relaxed wear for men and women in 2000. The Wills Lifestyle chain of exclusive stores later expanded its range to include Wills Classic formal wear (2002) and Wills Clublife evening wear (2003). In 2000, ITC spun off its information technology business into a wholly owned subsidiary, ITC Infotech India Limited, to more aggressively pursue emerging opportunities in this area. Today ITC Infotech is one of India’s fastest growing global IT and IT-enabled services companies and has established itself as a key player in offshore outsourcing, providing outsourced IT solutions and services to leading global customers across key focus verticals - Manufacturing, BFSI (Banking, Financial Services & Insurance), CPG&R (Consumer Packaged Goods & Retail), THT (Travel, Hospitality and Transportation) and Media & Entertainment. ITC's foray into the Foods business is an outstanding example of successfully blending multiple internal competencies to create a new driver of business growth. It began in August 2001 with the introduction of 'Kitchens of India' ready-to-eat Indian gourmet dishes. In 2002, ITC entered the confectionery and staples segments with the launch of the brands mint-o and Candyman confectionery and Aashirvaad atta (wheat flour). 2003 witnessed the introduction of Sunfeast as the Company entered the biscuits segment. ITC's entered the fast growing branded snacks category with Bingo! in 2007. In just over a decade, the Foods business has grown to a significant size with over 200 differentiated products under six distinctive brands, with an enviable distribution reach, a rapidly growing market share and a solid market standing. In 2002, ITC's philosophy of contributing to enhancing the competitiveness of the entire value chain found yet another expression in the Safety Matches initiative. ITC now markets popular safety matches brands like iKno, Mangaldeep, Aim, Aim Mega and Aim Metro. ITC's foray into the marketing of Agarbattis (incense sticks) in 2003 marked the manifestation of its partnership 10 with the cottage sector. ITC's popular agarbattis brands include Spriha and Mangaldeep across a range of fragrances like Rose, Jasmine, Bouquet, Sandalwood, Madhur, Sambrani and Nagchampa. ITC introduced Essenza Di Wills, an exclusive range of fine fragrances and bath & body care products for men and women in July 2005. Continuing with its tradition of bringing world class products to Indian consumers the Company launched 'Fiama Di Wills', a premium range of Shampoos, Shower Gels and Soaps in September, October and December 2007 respectively. The Company also launched the 'Superia' range of Soaps and Shampoos in the mass-market segment at select markets in October 2007 and Vivel De Wills & Vivel range of soaps in February and Vivel range of shampoos in June 2008. 11 B. BOARD OF DIRECTORS Y C Deveshwar Y C Deveshwar is the Chairman of ITC Limited, a multi-business Indian conglomerate with a market capitalization of around $ 30 billion and a turnover of $ 7 billion. He is also the Chairman of its wholly owned subsidiary ITC Infotech India Limited and its subsidiaries in the UK and USA. ITC Infotech operates out of the 4 continents of North America, Europe, Asia and Africa. An engineering graduate from IIT Delhi, Mr Deveshwar joined ITC Limited in 1968. He was appointed as a Director on the Board of the Company in 1984 and became the Chief Executive and Chairman of the Board on January 1st, 1996. Between 1991 and 1994, Mr Deveshwar led Air India as its Chairman and Managing Director. ITC, under Mr Deveshwar’s leadership, has given expression to its globally acknowledged Sustainability initiatives by fashioning corporate strategies that not only enhance shareholder value but add significantly to the development of natural and social capital. He has led ITC to become the only company in the world, of its size to be ‘carbon positive’, ‘water positive’ and ‘waste recycling’ positive. The company’s businesses generate livelihoods for over 5 million people, many of whom represent the poorest in Rural India. Mr Deveshwar is a Past President of the Confederation of Indian Industry. He is also a member of the Board of Governors of the Indian School of Business and the former Chairman of the Society and Board of Governors of the Indian Institute of Management, Calcutta. He also serves on the National Executive Committees of some of India’s premier trade and industry bodies, and is also a member of the CEOs Forum instituted by the between UK and India. He has also been a member of the CEOs Forum instituted by the governments of the United States of America and India. Deveshwar has been conferred the Padma Bhushan, one of the highest civilian awards in the country, by the Government of India for the year 2011, in recognition of his distinguished service of a high order to the Nation. Amongst several other awards and recognitions during his distinguished career, Deveshwar has been honoured with the Global Leadership Award 2010 by 12 the U.S.- India Business Council of the US Chamber of Commerce, the SAM/SPG Sustainability Leadership Award 2007 conferred at the International Sustainability Leadership Symposium, the Business Person of the Year Award 2006 by the UK Trade & Investment by His Royal Highness Prince Andrew, the Duke of York. In January 2006, he was inducted to the prestigious Hall of Pride at the Indian Science Congress. He was also named the Manager Entrepreneur of the Year 2001 by Ernst & Young. Mr Deveshwar also provided the guiding vision to set up the ITC ’e-Choupal’ a pioneering initiative to empower Indian farmers. The ITC e-Choupal is today the world’s largest rural digital infrastructure, a case study at the Harvard Business School and has also been mentioned in the World Development Report of the World Bank. This initiative has won several global awards including the inaugural World Business Award instituted jointly by the United Nations Development Program (UNDP), International Chamber of Commerce (ICC) and the HRH Prince of Wales International Business Leader's Forum (IBLF), the Development Gateway award at Beijing and the Stockholm Challenge Award. S. Sivakumar S Sivakumar is the Non-Executive Vice-Chairman of ITC Infotech India Limited., and its subsidiaries in the UK and the USA. Sivakumar is the Chief Executive of the Agri Business Division of ITC Limited and a Member of the Corporate Management Committee of ITC Limited. Topper of the Class of 1983 from the Institute of Rural Management Anand, (IRMA), Sivakumar served a farmers' cooperative for six years before joining ITC Limited in 1989. Sivakumar has conceptualised the path-breaking ITC e-Choupal model, and is spearheading its roll out across rural India. Sivakumar is also the Chairman of Technico Agri Sciences Limited, a subsidiary of ITC Limited. He is a Member of the Private Sector Committee of the Consultative Group on International Agricultural Research (CGIAR), and a Member of Research Advisory Committee of India’s 13 National Academy of Agricultural Research Management (NAARM). He is also an active member of the management committees of various industry bodies and several taskforces of Government of India. Anand Nayak Anand Nayak is the Non-Executive Director on the Board of ITC Infotech India Limited., and a member of the Audit Committee of the Board. Head of Human Resource Development and a Member of the Corporate Management Committee of ITC Limited., Nayak has been with the Company for 38 years. He has handled senior HR assignments in the Company's various Divisions and has been head of Human Resource Development for ITC Limited since 1996. He is also responsible for overall supervision of ITC's Social Investments Programme. A post-graduate in Personnel Management and Industrial Relations from XLRI, Jamshedpur, Anand Nayak has spent his entire professional career with ITC. B. B. Chatterjee B.B. Chatterjee is the Non-Executive Director on the Board of ITC Infotech India Limited. and its subsidiaries in the UK and the USA. He is also the Chairman of the Audit Committee of ITC Infotech India Limited. Chatterjee is the Executive Vice President & Company Secretary of ITC Limited and a Member of the Corporate Management Committee of ITC Limited. He joined ITC in May, 1983. He is a Chartered Accountant, Company Secretary and a Law Graduate. Chatterjee besides being on the Executive Committee of Indian Chamber of Commerce and the Chamber Committee of The Bengal Chamber of Commerce & Industry (BCCI) is also Chairman of the Company Affairs Sub Committee of BCCI. He has also served on the Central Council and the Secretarial Standards Board of the Institute of Company Secretaries of India. He is also on the Board of several subsidiaries of ITC 14 Sanjiv Puri Sanjiv Puri is the Non-Executive Director of ITC Infotech India Limited. and its subsidiaries, ITC Infotech Limited, UK and ITC Infotech (USA) Inc. Puri is the Divisional Chief Executive, India Tobacco Division. He joined ITC Limited in 1986 as a graduate engineer from the Indian Institute of Technology, Kanpur. Till 2000, Puri handled a wide range of responsibilities in eCommerce, Operations and Manufacturing in the Tobacco Division. Before returning to the Tobacco Division in September 2009, Puri led ITC Infotech, as the Managing Director from May 2006 to August 2009. Prior to this he was the Managing Director of Surya Nepal Pvt Limited, another subsidiary of ITC. He was responsible for diversifying the operations of the company into branded apparels and exports, making Surya Nepal one of the largest private sector companies in Nepal. He is also a Director on the Board of Asia Tobacco Co Limited. Rajiv Tandon Rajiv Tandon is a Director on the board of ITC Infotech India Ltd. and its subsidiaries in the UK and the USA. A Fellow Member of The Institute of Chartered Accountants of India with over 30 years of experience, he is the Chief Financial Officer and a Member of the Corporate Management Committee of ITC Limited. Tandon has held various positions in ITC including Executive Vice President - Finance & MIS of the Tobacco Division, Executive Vice President - Corporate Finance, Finance Advisor and member of the Management Committee of Agri Business and Tobacco Division. He is also on the Board of several other subsidiaries/group companies of ITC. He has held several important positions in various industry bodies including Chairman of the Expert Committee on Banking and Finance (Indian Chamber of Commerce), Member -Taxation and Company Law Committee (Confederation of Indian Industry) and is currently Member Managing Committee (Bengal Chamber of Commerce & Industry). 15 B. Sumant B.Sumant is Managing Director, ITC Infotech. He is also on the Board of ITC Infotech (USA) Inc. and ITC Infotech Limited., UK. Sumant has been working with ITC Limited, and its group companies since 1986. In his previous assignment, Sumant was responsible for setting up the snacks business of ITC under the brand name of “Bingo”. He is also on the Board of Technico Pty Limited which specializes in production of Potato Seed Tubers. Sumant has over two decades of experience in ITC spanning Manufacturing, Operations and new business development. Sumant holds a bachelor’s degree in Mechanical Engineering from the Regional Engineering College, Durgapur. He is also an alumnus of the Harvard Business School, Wharton, Kellogg and the Asian Institute of Management, Manila. 16 C. NATURE OF BUSINESS CARRIED ITC was started their business on the name of Imperial Tobacco Company of India Limited. Later the name of the Company was changed from Imperial Tobacco Company of India Limited to India Tobacco Company Limited in 1970 and then to I.T.C. Limited in 1974. ITC contains a wide range of businesses - Cigarettes & Tobacco, Hotels, Information Technology, Packaging, Paperboards & Specialty Papers, Agri-business, Foods, Lifestyle Retailing, Education & Stationery and Personal Care. Finally the company changed its name to 'ITC Limited’ on September 2001. ITC has a diversified presence in FMCG (Fast Moving Consumer Goods), Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business and Information Technology. While ITC is an outstanding market leader in its traditional businesses of Hotels, Paperboards, Packaging, AgriExports and Cigarettes, it is rapidly gaining market share even in its nascent businesses of Packaged Foods & Confectionery, Branded Apparel, Personal Care and Stationery. Meera Shankar, will join the board of ITC Ltd as the first women director in its history. She will be an additional non-executive director of the cigarettes-FMCG-hotel major.\ ITC is dealing with the below mention services:- FMCG HOTELS PAPERBOARDS & SPECIALTY PAPER PACKAGING AGRI BUSINESS INFORMATION TECHNOLOGY 17 D. VISOIN MISSION AND QUALITY POLICY THE ITC VISION To enhance the wealth generating capability of the enterprise in a globalising environment, delivering superior and sustainable stakeholder value. THE ITC MISSION Sustain ITC's position as one of India's most valuable corporations through world class performance, creating growing value for the Indian economy and the Company's stakeholders. THE QUALITY POLICY To contribute to sustainable development through the establishment and implementation of environment standards those are scientifically tested and meet the requirement of relevant laws, regulations and codes of practice. To take account of environment, occupational health and safety in planning and decisionmaking. To provide appropriate training and disseminate information to enable all employees to accept individual responsibility for Environment, Health and Safety, implement best practices, and work in partnership to create a culture of continuous improvement. To instill a sense of duty in every employee towards personal safety, as well as that of others who may be affected by the employee's actions. To provide and maintain facilities, equipment, operations and working conditions which are safe for employees, visitors and contractors at the Company's premises. To ensure safe handling, storage, use and disposal of all substances and materials that are classified as hazardous to health and environment. To reduce waste, conserve energy, and promote recycling of materials wherever possible. To institute and implement a system of regular EHS audit in order to assure compliance with laid down policy, benchmarked standards, and requirements of laws, regulations and applicable codes of practice. To proactively share information with business partners towards inculcating world-class EHS standards across the value chain of which ITC is a part. 18 All employees of ITC are expected to adhere to and comply with the EHS Policy and Corporate Standards on EHS. ITC's EHS Policy extends to all sites of the Company. It will be the overall responsibility of the Divisional/SBU Chief Executives, through the members of their Divisional Management Committees, General Managers and Unit Heads, to ensure implementation of this Policy and Corporate Standards on EHS, including formation of various committees and designating individuals for specific responsibilities in respect of their Division/SBU. The Corporate EHS Department is responsible for reviewing and updating Corporate Standards on EHS, and for providing guidance and support to all concerned. 19 E. PRODUCT\SERVICE PROFILE Advanced Technologies ITC Infotech incubates and delivers services leveraging advanced technologies such as SOA, RFID which are strategically important to organizations across multiple industries. These evolve from ongoing research and development with an ultimate goal of providing innovation-driven value to our customers. The innovation and R&D hub or "Advanced Technologies Group" in ITC Infotech focuses on creating innovative solutions, proofs of concepts (POCs), prototypes and frameworks around these emerging technologies through alliances with the best-of-breed technology vendors for rapidly growing business environment. Some of our innovative services and solutions around emerging technologies include: Service Oriented Architecture (SOA): development of POCs to demonstrate SOA RFID consulting and implementation services Operations risk management: managing operational risk using a business-IT dependency framework Incubation of new technologies by a structured approach to achieve knowledge leadership Embedded software development in mobile technologies using TI OMAP platform and E-LINUX Business Consulting The Business Consulting Group (BCG) at ITC Infotech is a converging point for business & IT solutions. We aim to transform business performance, bringing a strategic perspective on process improvement and IT enablement. Our team blends domain experts and consultants, bringing unique capabilities to discover and resolve business concerns of the day. 20 Our expertise spans Consumer Goods, Retail, Process Industry, Logistics & Transportation, across key business functions such as product development, production, supply chain management, sales & marketing management, field force management, and customer relationship management. Customer Relationship Management (CRM) The contemporary business landscape is characterized by hyper competition driven by the emergence of a global economy and rapid technological changes. Competitors are aggressively challenging existing players compelling them to fortify their customer base. Understanding ones customers’ has become a top priority for most organizations. The more you know, the better it is. Today’s Customer Relationship Management (CRM) is about familiarity, awareness and expertise! We believe that of all factors, it is technology that is significantly altering the nature of competition. Information Technology has seen dramatic changes in the recent past. The ability to effectively and efficiently access and use information has become an important source of competitive advantage. Success of an organization is determined by its ability to capture intelligence, transform it into a deployable form and the ability to diffuse it rapidly among users. Our CRM practice is primarily driven by our experienced people who are the source of our competitive advantage. These 250+ trained veterans bring together 800 + person years of experience. We have successfully delivered over 50 Oracle Siebel implementations across multiple geographies. Our CRM practice has developed deep implementation capabilities; end-to-end management consulting and system integration expertise coupled with a robust, on-site and off-shore delivery model and standard quality management processes as well as certified capabilities in CRM applications. Our CRM & Loyalty Marketing expertise runs deep spanning Retail, Banking, Consumer Packaged Goods and Life Sciences. In order to optimize our hands-on Loyalty knowledge, we 21 have created a Centre of Excellence (CoE). Our Loyalty CoE has also created technical accelerators that comprise of re-usable real time interfaces helping our clients in saving substantial amount of implementation time. The CoE has also developed a unique Loyalty Certification Programme branded as “ILCP” (Integrated Loyalty Certification Programme). All our engineers who are part of a Loyalty project are “Loyalty Certified” so that they understand the Loyalty Marketing/Technical terminologies/scenarios and are able to understand your exact requirements. Core Expertise Enterprise Loyalty Marketing Solutions Loyalty Marketing Analytics Trade Marketing and Distribution Trade Promotions Management Data Center / Platform Migration Upgrades Custom Application Services In keeping with our enterprise philosophy of targeting select lines of technology and developing best-of-class capabilities in the same, custom application development services using business intelligence, web and mainframe technologies is an area where we have accumulated extensive global credentials. Data Warehousing and Business Intelligence (DWBI) ITC Infotech’s Data Warehousing and Business Intelligence (DW BI) Practice has a very strong and deep rooted foundation based on more than 1000 person-years of experience, enterprise performance management, considerable technological consulting, proven implementation frameworks, readymade solutions and accelerators, and effective knowledge management. 22 ITC Infotech in partnership with industries leading Business Intelligence solution vendors including IBM Cognos, Informatica, Microsoft, Oracle, QlikView, SAP Business Objects, fully exploits the product features and enables faster implementations thus delivering tangible business benefits to our customers across industry verticals. Armed with the latest technologies, the DW BI Practice of ITC Infotech covers a range of domains including: BFSI Travel and Hospitality Transportation and Logistics CPG and Retail New Media and Entertainment A differentiated value proposition Enterprise performance management (EPM) – Dedicated EPM centre of excellence (CoE) enables Performance Management and Optimization based approach to BI Deep domain focus – All the BI engagements leverage the inherent domain focus derived from involvement in parent company ITC Ltd’s multiple businesses Industry Solutions – Pre-defined Analytics solutions for common pain points serve as a strong reference base for arriving at effective and cost-sensitive solutions Accelerators – ITC Infotech has readymade methodology and accelerators for the entire DWBI lifecycle from consulting to implementation which brings industry best practices, standardization and speed into engagements. The methodology and accelerators are quickly tailored to customer’s special requirements 23 Business Solutions and Accelerators Airline Analytics – Amadeus Data Integration and Reporting on Reservations, Booking, Revenue Recognition using DB2, Informatica and Cognos Loyalty Analytics – Custom and Customized implementation of Loyalty Analytics on top of OBIEE for 12 subject areas ranging from Promotions to Financials including Members, Transactions, Partners and Transactions Retail Category Analytics – Specialized Category Analytics Solution with a Balanced Score Card defined for merchandiser with high end features like Scorecard, Dashboards and "What If" analysis around assortment, revenue and promotion Personalize content delivery (PCD) Analytics> – Analytics Solution on top of Siebel solution for Pharma Sales Reps. It covers features like Disconnected Analytics around performance, detailed effectiveness (presentation and sales by geography, product, sales rep), medical practitioners' feedback, Event Driven Data Warehouse for Security, Risk and Compliance – Enterprise-wide Security Intelligence solutions to make strategic decisions using our partner product SenSage. It converges real-time alerting, incident investigation and compliance reporting processes. This solution includes security information and event management (SIEM), log management and SAP continuous controls monitoring, all supported by a single data management architecture, access model and console. Engineering Services Introduction: ITC Infotech's Engineering Services practice executes various large scale global engineering projects for customers across the globe. The resource strength is 200 engineers providing end to end Engineering Services like R & D, Concept design, NPD, Analysis, Value Engineering, DFA, DFM, Detailed Design, Manufacturing Process Engineering, Technical Publication etc. 24 Our domain landscape ITC Infotech provides high-end engineering design solutions and services to market-leading engineering organizations worldwide. ITC Infotech has vertical templates for each domains i.e. Oil & Gas, Aerospace, Consumer durables, Industrial, Rail & Aerospace and many more. ITC Infotech advantage ITC Infotech's customers have benefited by being able to attain cost benefits on their engineering designs, ready to-go-market within a short span of time, reduced production cost, achieve engineering efficiency and long term engineering support. ITC Infotech provides engineering services to leading oil and gas, office furniture, bath and sanitary product companies to name a few. We have the best-in-class engineers who use quality process checklists to ensure design intent is captured correctly. Our strengths also lie in our expertise of product and machine design services across various industry verticals, experienced CAD designers with vast knowledge of various CAD tools. Why ITC Infotech: Global Footprint with Oil & Gas clients in Norway, UK, Middle East and locally here in Houston Established delivery capability/experience in Oil and Gas space with understanding of processes, standards and Nordic, ISO and API codes Experience in building and scaling dedicated Delivery Centers Fully operational, ITC owned, 90 – seat onsite Delivery Center in Bentonville, AK as an near shore facility for GE 0il & Gas; same time zone as Houston. Strategic, global relationship with PTC for Windchill/ ProE High rigor on processes, quality and security 25 Transparent, high integrity company with world class sustainability initiatives Metric based delivery focused on driving SLA based savings to client Local Relationship Manger and Onsite Delivery Manager; Executive attention Our work speaks for itself itself. – We have clients who will vouch for our impeccable standards Quality: Product and Process performance measures: Process parameters Size variation Effort variation Schedule variation Product quality measures In process defects Post release defects Other measures Quality Cost Poor Quality Cost Productivity Customer Feedback Quality Approach: 26 Quality processes Process adherence 3 Level quality check Tool specific best practices Technology skill Use of design standards Continuous improvement Past learning deployment Trainings 27 F. AREA OF OPERATION (GLOBAL/NATIONAL) North America USA New Jersey 12 Route 17 North Suite 303,Paramus New Jersey,NJ-07652 Tel: +1.201.336 9431/ 32 Houston 2323 Edgewood Dr. Missouri City,TX -77459 Tel : +1.832.971 5656 San Jose Suite # 203, 2880 Zanker Road, San Jose, CA - 95134 Tel: +1.408.432 7284 Troy 4148 Ledgestone Troy, MI- 48098 Tel: +1.248.396 8965 Bentonville 1716 SW Commerce Drive Suite 2 Bentonville, AR - 72712 Tel: +1.479.271 0200 New York Pyxis Solutions LLC 55 Broad St. Fl. 28 New York, NY 10004-2501 Tel: +1.212.363 2828 Bellevue 2018 156th Ave NE Suite 100, Building F Bellevue, 98007 Tel: 425-748-5157 Europe UK Netherlands Milton Keynes Norfolk House 118 Saxon Gate West Milton Keynes MK9 2DN Tel: +44.1908.230 055 Finland Amsterdam Orlyplein 10 – 24, 1043DP Amsterdam Tel: +020 – 5773530 Espoo Newell Consulting Oy P.O. Box 16 , Olari 02211 Espoo, Finland Tel: +358-500-508625 Sweden Sotckholm C/o Matrisen AB Helsinki Newell Consulting Oy P.O. Box 16 , Olari 02211 Espoo, Helsinki Tel: +358.500.508625 Austria Vienna C/o Trivadis dolphin GmbH 28 Box 22059 104 22 Stockholm Tel: +08.506 591 00 Denmark Copenhagen Havnegade 39, 3. sal 1058 Copenhagen K. Tel: +45.33. 444.4 88 Handelskai 94-96 Millennium Tower A-1200 Vienna Tel: +43.1.332 35 31 00 Czech Republic Prague Organizacní Složka Karolinská 661 186 00 Prague 8, Karlín Tel.: + 420. 226 219 000 Switzerland Zurich C/o Trivadis AG Europa-Strasse 5 CH-8152 Glattbrugg (Zurich) Tel: +41.44.808 70 20 Bern C/o Trivadis AG Papiermühlestrasse 73 CH-3014 Bern Tel: +41.31.928 09 60 Lausanne C/o Trivadis SA Rue Marterey 5 CH-1005 Lausanne Tel: +41-21-321 47 00 Germany Cologne Zweigniederlassung Deutschland Universitaetsstrasse 71 D-50931 Cologne Tel: +49.174.9748411 Frankfurt C/o Trivadis Ltd Lyon 15, Atricom D-60528 Frankfurt Tel: +49.69.264.93.300 Munich C/o Trivadis Ltd Lehrer-Wirth-Str. 4 D-81829 Munich Tel: +49.89.99.27.59.30 Stuttgart C/o Trivadis Ltd Industriestrasse 4 D-70565 Stuttgart Tel: +49.711.903.63.230 Hamburg C/o Trivadis Ltd Paul-Dessau-Strasse 6 D-22761 Hamburg Tel: +49.40.248.591.30 France Paris C/o Manapps 2 rue Jean-Baptiste Pigalle 75009 Paris Tel: +33.140070730 29 Africa South Africa Johannesburg 2nd Floor, West Tower Nelson Mandela Square Maude Street, Sandton Johannesburg, 2196 Tel: +27.0.11.881.5482 Kenya Nairobi C/O Gridtech Limited Kirichwa Road, Kilimani, Nairobi Tel: +25.4. 77.175.2350 Australia Australia Victoria Level 1, 18 Camberwell Road Hawthorn East Victoria 3123 Australia Asia India Kolkata Virginia House 37, J.L Nehru Road Kolkata - 700 071 Tel: +91.33.2288.1778/9371 Bangalore ITC Infotechpark 18, Banaswadi Main Road Pulikeshinagar P.O. Bangalore - 560005 Tel: +91. 80.2298 8331.38 Pune Office No- 5 and 6 (3rd Floor) Wing C, Goodrej Eternia Wakdewadi, Shivaji Nagar Pune- 411005 Saudi Arabia Trivandrum Office No- 404 (4th Floor) Thejaswani, Technopark Campus Trivandrum – 695518 Saudi Arabia C/o Appspro Olaya Main Street, Al-Salam Building, 4th Floor Riyadh, Saudi Arabia Tel: +9661.465.3035 UAE 30 UAE C/o Great Sands Consulting/Great Sands Consulting (FZC) Suite 302, AW Rostamani Building P.O Box 49382 Dubai United Arab Emirates Tel: +97142959751 Singapore Singapore 171 Chin Swee Road #08-01, San Centre Singapore-169877 31 G. COMPETITORS INFORMATION 1. Tata Consultancy Services 2. Infosys, 3. Cognizant 4. Wipro 5. HCL Technologies 32 H. AWARDS AND ACHIEVEMENTS GARTNER ITC Infotech was covered in Gartner’s report “The Gartner CRM Vendor Guide, 2012” dated 29 November 2011, by Jim Davies, Michael Maoz, Kimberly Collins, Robert P. Desisto, Gene Alvarez, Ed Thompson, John Radcliffe, Sharon A. Mertz, Adam Sarner, Chris Fletcher, Praveen Sengar, Steve Cramoysan, Tsuyoshi Ebina, Gareth Herschel, Johan Jacobs, Drew Kraus and Twiggy Lo. According to the Gartner’s report, “The expansion of customer-facing technologies ranging from digital and mobile applications to cloud-based options continues to transform the CRM market, with new vendors, acquisitions and approaches gaining traction worldwide. Consider the vendors in this year's CRM Vendor Guide to help align CRM efforts with the technologies needed to meet customer expectations, ranging from localized, personalized offers to enterprise-level objectives aimed at global expansion. “In the report, ITC Infotech is listed as a CRM Service Provider with capabilities in North America.” ITC Infotech was included as a sample vendor in Gartner's report "Hype Cycle for P&C Insurance, 2011" dated 26th July 2011. This report by Kimberly Harris-Ferrante says "The P&S industry faces challenges, including accelerated speed of change, consumerization and a highly competitive market. 33 Insurers must embrace new strategies and technologies for growth, customer retention, underwriting profitability, claims transformation and operational efficiency." Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. ITC Infotech was evaluated in Gartner’s report "Competitive Landscape: Offshore Players Bring New Competition to European Desktop Outsourcing" dated 01 September, 2011 by Gianluca Tramacere, Frank Ridder. According to the report, “We decide to profile the two leading players in this market according to Gartner 2011 Magic Quadrants for help desk and desktop outsourcing services. Given the increased focus of offshore players in this market, we decided to align them with a selected list of Indian offshore players that have demonstrated a positive focus on the European desktop outsourcing market and decided to respond to our request for primary information, providing a set of data, a Power Point presentation and, when necessary, a follow-up briefing.” ITC Infotech was included as a sample vendor in Gartner’s report "Hype Cycle for ERP, 2011" dated 27th July 2011 This report by Denise Ganly and Nigel Montgomery says "As businesses continue to seek value and user-centricity from their ERP investments, technologies are emerging to fulfill these demands. Organizations should use this Hype Cycle to identify technologies that have the potential to deliver innovation that provides user-centricity and value." 34 Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. ITC Infotech was included as a sample vendor in Gartner’s report "Hype Cycle for Business Process Management, 2011" dated 25th July 2011. This report by John Dixon and Teresa Jones says "Our 2011 Hype Cycle shows that business process management is a core discipline for business success continues to deliver significant tangible benefits and is here to stay." The report lists ITC Infotech as a sample vendor for Process Templates. The report states "Process templates are sometimes based on a vendor's experience with one or more customers. Process templates can be powerful solution accelerators and can make previously out-of-range solutions more affordable affordable, as some of the custom consulting work has already been "baked" into the template." Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. ITC Infotech was included as a sample vendor in Gartner’s report “Hype Cycle for Supply Chain Management, 2011” dated 17 August 2011, by Tim Payne. The report 35 covers technologies used to support an organization's supply chain, across both planning and execution processes. However, companies are often at very different levels of supply chain maturity, and this Hype Cycle reflects the different classes and types of technology an organization is likely to consider as it matures its supply chain toward becoming demand-driven. Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. ITC Infotech was included as a sample vendor in Gartner’s report “Hype Cycle for Consumer Goods, 2011” dated 25th July 2011. This report by Don Scheibenreif and Dale Hagemeyer says “With a limited technology investment budget, consumer goods manufacturers are looking to engage consumers, optimize promotional spending, ensure execution and product availability at retail, and better predict consumer demand. This will yield quantifiable benefits in the short and long term.” Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect this research, including any warranties of merchantability or fitness for a particular purpose. ITC Infotech was mentioned in Gartner’s report “Hype Cycle for Green IT and Sustainability in India, 2011” dated 26th July 2011. This report by Ganesh Ramamoorthy 36 and Bettina Tratz-Ryan, talks “Green IT and sustainability have found their way into the IT organizations of many industries in India, and will soon emerge as top priorities for businesses, investors and technology professionals across industries and policymakers in India.” Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect this research, including any warranties of merchantability or fitness for a particular purpose. ITC Infotech was included as a sample vendor in Gartner’s report Hype Cycle for CRM Marketing Applications, 2011 dated 26th July 2011. This report by Kimberly Collins, discusses Marketing applications and technologies vary greatly in maturity and user adoption. Gartner's Hype Cycle can help you determine investment priorities, address drivers and inhibitors understand benefits and build a road map for marketing automation. The report lists ITC Infotech as a sample vendor for Process Templates. The report states Process templates are sometimes based on a vendor's experience with one or more customers. Process templates can be powerful solution accelerators and can make previously out-of-range solutions more affordable, as some of the custom consulting work has already been baked into the template. Hype Cycle Disclaimer The Hype Cycle is copyrighted 2011 by Gartner, Inc. and/its affiliates and is reused with permission. Hype Cycles are graphical representations of the relative maturity of technologies, IT methodologies and management disciplines. They are intended solely as a research tool, and not as a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. 37 “ITC Infotech has been rated “Promising” in Gartner’s report “MarketScope for Sales Force Automation in the Consumer Goods Industry”. This report is authored by Dale Hagemeyer , dated 9th March 2011. This MarketScope analyzes and rates the state of sales force automation in the consumer goods industry, as well as for each of the 20 vendors serving the market that meet Gartner criteria. Only those companies with at least $5 million in consumer goods SFA product revenue from consumer goods customers, specific to one or more of the six key field sales processes were considered in this MarketScope. 38 CHAPTER NO. 3 McKENSEY'S 7s FRAMEWORK 39 40 41 CHAPTER NO. 4 SWOT ANALYSIS ITC 42 SWOT ANALYSIS ITC ITC is one of India's biggest and best-known private sector companies. In fact it is one of the World's most high profile consumer operations. This SWOT analysis is about ITC. Its businesses and brands are focused almost entirely on the Indian markets, and despite being most wellknown for its tobacco brands such as Gold Flake, the business is now diversifying into new FMCG (Fast Moving Consumer Goods) brands in a number of market sectors including cigarettes, hotels, paper, agriculture, packaged foods and confectionary, branded apparel, personal care, greetings cards, Information Technology, safety matches, incense sticks and stationery. Examples of its successful new FMCG products include: Aashirvaad - India's most popular atta brand with over 50% market share. It is also present in spices and instant mixes. Mint-o - Mint-0 Fresh is the largest cough lozenge brand in India. Bingo! - a new introduction of finger snacks. Kitchens of India - pre-prepared foods designed by ITC's master chefs. Sunfeast - is ITC's biscuit brand (and the sub-brand is also used on some pasta products). STRENGTHS ITC leveraged it traditional businesses to develop new brands for new segments. For example, ITC used its experience of transporting and distributing tobacco products to remote and distant parts of India to the advantage of its FMCG products. ITC master chefs from its hotel chain are often asked to develop new food concepts for its FMCG business. ITC is a diversified company trading in a number of business sectors including cigarettes, hotels, paper, agriculture, packaged foods and confectionary, branded apparel, personal care, greetings cards, Information Technology, safety matches, incense sticks and stationery. WEAKNESSES The company's original business was traded in tobacco. ITC stands for Imperial Tobacco Company of India Limited. It is interesting that a business that is now so involved in branding 43 continues to use its original name, despite the negative connection of tobacco with poor health and premature death. To fund its cash guzzling FMCG start-up, the company is still dependent upon its tobacco revenues. Cigarettes account for 47 per cent of the company's turnover, and that in itself is responsible for 80% of its profits. So there is an argument that ITC's move into FMCG (Fast Moving Consumer Goods) is being subsidised by its tobacco operations. Its Gold Flake tobacco brand is the largest FMCG brand in India - and this single brand alone hold 70% of the tobacco market. OPPORTUNITIES Core brands such as Aashirvaad, Mint-o, Bingo! And Sun Feast (and others) can be developed using strategies of market development, product development and marketing penetration. ITC is moving into new and emerging sectors including Information Technology, supporting business solutions. e-Choupal is a community of practice that links rural Indian farmers using the Internet. This is an original and well thought of initiative that could be used in other sectors in many other parts of the world. It is also an ambitious project that has a goal of reaching 10 million farmers in 100,000 villages. Take a look at eChoupal here http://www.itcportal.com/agri_exports/echoupal_new.htm ITC leverages e-Choupal in a novel way. The company researched the tastes of consumers in the North, West and East of India of atta (a popular type of wheat flour), then used the network to source and create the raw materials from farmers and then blend them for consumers under purposeful brand names such as Aashirvaad Select in the Northern market, Aashirvaad MP Chakki in the Western market and Aashirvaad in the Eastern market. This concept is tremendously difficult for competitors to emulate. 44 Chairman Yogi Deveshwar's strategic vision is to turn his Indian conglomerate into the country's premier FMCG business. Per capita consumption of personal care products in India is the lowest in the world offering an opportunity for ITC's soaps, shampoos and fragrances under their Wills brand. THREATS The obvious threat is from competition, both domestic and international. The laws of economics dictate that if competitors see that there is a solid profit to be made in an emerging consumer society that ultimately new products and services will be made available. Western companies will see India as an exciting opportunity for themselves to find new market segments for their own offerings. ITC's opportunities are likely to be opportunities for other companies as well. Therefore the dynamic of competition will alter in the medium-term. Then ITC will need to decide whether being a diversified conglomerate is the most competitive strategic formation for a secure future. 45 CHAPTER NO. 5 ANALYSIS OF FINANCIAL STATEMENT 46 ANALYSIS OF FINANCIAL STATEMENT Consolidated Balance Sheet of ITC ------------------- in Rs. Cr. ------------------- Mar '12 Mar '11 Mar '10 Mar '09 Mar '08 12 mths 12 mths 12 mths 12 mths 12 mths 781.84 773.81 381.82 377.44 376.86 Equity Share Capital 781.84 773.81 381.82 377.44 Share Application 0.00 0.00 0.00 0.00 Money Preference Share Capital 0.00 0.00 0.00 0.00 Init. Contribution Settler 0.00 0.00 0.00 0.00 Preference Share 0.00 0.00 0.00 0.00 Application Money Employee Stock Opiton 0.00 0.00 0.00 0.00 Reserves 18,676.74 15,567.04 13,999.37 13,569.61 Revaluation Reserves 0.00 102.51 59.22 60.00 Networth 19,458.58 16,443.36 14,440.41 14,007.05 Secured Loans 1.89 25.09 0.95 18.85 Unsecured Loans 79.40 99.48 109.82 167.81 Total Debt 81.29 124.57 110.77 186.66 Minority Interest 157.09 140.82 126.38 129.96 Policy Holders Funds 0.00 0.00 0.00 0.00 Group Share in Joint 25.98 31.82 27.70 35.52 Venture Total Liabilities 19,722.94 16,740.57 14,705.26 14,359.19 Mar '12 Mar '11 Mar '10 Mar '09 376.86 Sources Of Funds Total Share Capital 12 mths Application Of Funds Gross Block Less: Accum. Depreciation Net Block 12 mths 15,245.26 13,929.21 12 mths 12 mths 12,974.91 11,513.40 0.00 0.00 0.00 0.00 0.00 11,822.52 61.13 12,260.51 14.99 209.92 224.91 113.21 0.00 38.59 12,637.22 Mar '08 12 mths 9,784.05 5,230.25 4,843.95 4,218.72 3,667.97 3,156.73 10,015.01 9,085.26 8,756.19 7,845.43 6,627.32 47 Capital Work in Progress Investments Inventories Sundry Debtors Cash and Bank Balance Total Current Assets Loans and Advances Fixed Deposits Total CA, Loans & Advances Deffered Credit Current Liabilities Provisions Total CL & Provisions Net Current Assets Minority Interest Group Share in Joint Venture Miscellaneous Expenses Total Assets Contingent Liabilities Book Value (Rs) 2,388.87 5,206.83 6,428.11 1,203.84 3,130.12 10,762.07 1,706.99 0.00 1,367.95 4,867.84 5,720.00 1,099.75 197.38 7,017.13 1,702.64 2,227.65 1,023.58 4,996.51 5,079.98 1,007.44 265.48 6,352.90 1,548.07 1,082.03 1,243.12 2,507.07 4,782.58 798.18 288.31 5,869.07 1,591.35 1,028.79 1,573.67 2,585.07 4,263.00 869.46 254.54 5,387.00 1,284.80 521.16 12,469.06 10,947.42 8,983.00 8,489.21 7,192.96 0.00 5,878.10 4,478.73 10,356.83 2,112.23 0.00 0.00 5,458.17 4,156.65 9,614.82 1,332.60 0.00 0.00 4,508.18 4,586.48 9,094.66 -111.66 0.00 0.00 4,061.18 1,724.92 5,786.10 2,703.11 0.00 0.00 3,801.23 1,620.98 5,422.21 1,770.75 0.00 0.00 86.81 40.43 60.14 79.99 0.21 0.32 14,705.26 14,359.19 0.42 12,637.22 0.00 0.11 19,722.94 16,740.57 366.61 340.87 24.89 21.12 Source : Dion Global Solutions Limited 317 .24 36. 37.67 95 315.14 476.32 32.37 48 CHAPTER NO. 6 LEARNING EXPERIENCE 49 LEARNING EXPERIENCE 50 PART-B GENERAL INTRODUCTION. STATEMENT OF THE PROBLEM OBJECTIVE OF THE STUDY SCOPE OF THE STUDY METHODOLOGY LIMITATION OF THE STUDY 51 INTRODUCTION OF TRAINING AND DEVELOPMENT "Employee Development" was seen as too evocative of the master-slave relationship between employer and employee for those who refer to their employees as "partners" or "associates" to be comfortable with. "Human Resource Development" was rejected by academics, who objected to the idea that people were "resources" — an idea that they felt to be demeaning to the individual. Eventually, the CIPD settled upon "Learning and Development", although that was itself not free from problems, "learning" being an over general and ambiguous name. Moreover, the field is still widely known by the other names. Training and development (T&D) encompasses three main activities: training, education, and development. Garavan, Costine, and Heraty, of the Irish Institute of Training and Development, note that these ideas are often considered to be synonymous. However, to practitioners, they encompass three separate, although interrelated, activities: Training: This activity is both focused upon, and evaluated against, the job that an individual currently holds. Education: This activity focuses upon the jobs that an individual may potentially hold in the future, and is evaluated against those jobs. 52 Development: This activity focuses upon the activities that the organization employing the individual, or that the individual is part of, may partake in the future, and is almost impossible to evaluate. The "stakeholders" in training and development are categorized into several classes. The sponsors of training and development are senior managers. The clients of training and development are business planners. Line managers are responsible for coaching, resources, and performance. The participants are those who actually undergo the processes. The facilitators are Human Resource Management staff. And the providers are specialists in the field. Each of these groups has its own agenda and motivations, which sometimes conflict with the agendas and motivations of the others. The conflicts are the best part of career consequences are those that take place between employees and their bosses. The number one reason people leave their jobs is conflict with their bosses. And yet, as author, workplace relationship authority, and executive coach, Dr. John Hoover points out, "Tempting as it is, nobody ever enhanced his or her career by making the boss look stupid." Training an employee to get along well with authority and with people who entertain diverse points of view is one of the best guarantees of long-term success. Talent, knowledge, and skill alone won't compensate for a sour relationship with a superior, peer, or customer. TALENT DEVELOPMENT Talent development, part of human resource development, is the process of changing an organization, its employees, its stakeholders, and groups of people within it, using planned and unplanned learning, in order to achieve and maintain a competitive advantage for the organization. Roth well notes that the name may well be a term in search of a meaning, like so much in management, and suggests that it be thought of as selective attention paid to the top 10% of employees, either by potential or performance. 53 While talent development is reserved for the top management it is becoming increasingly clear that career development is necessary for the retention of any employee, no matter what their level in the company. Research has shown that some type of career path is necessary for job satisfaction and hence job retention. Perhaps organizations need to include this area in their overview of employee satisfaction. The term talent development is becoming increasingly popular in several organizations, as companies are now moving from the traditional term training and development. Talent development encompasses a variety of components such as training, career development, career management, and organizational development, and training and development. It is expected that during the 21st century more companies will begin to use more integrated terms such as talent development. Washington Group International, in their paper "The Nuclear Renaissance, A Life Cycle Perspective" defined two logical laws of talent development: First law of talent development: "The beginnings of any technology-rich business are all characterized by a shortage of large numbers of technically trained people needed to support ultimate growth" Second law of talent development: "The resources will come when the business becomes attractive to the best-and brightest who adapt skills to become part of an exciting opportunity" Talent development refers to an organization's ability to align strategic training and career opportunities for employees. The efficiency of any organization depends directly on the effective person’s performance in their current jobs. To perform effectively, development of personnel is essential even under the best suitable conditions; some sort of training is required. Development of personnel helps the organization in long-range effectiveness. Today’s organizations need to have for their survival existence in the competitive world and effectiveness and which are increasingly making the training and development of their members of crucial and Strategic adaptability, and they are quality and continuous improvement, flexibility and completely next task boundaries and hence works relationships, and ways of working and thinking about work. Today’s manager skill does not pertain to a specific job, his skills should present day manager is Global manger such 54 development takes place through organized Planning, specifically designed to help individual develop their capabilities, which is known as training and people to perform the activities that have well-trained and experienced people to potential job occupant can meet this requirement training is not important. But when this is not the case, it is necessary to rise the skill levels and increases the versatility and adaptability of employees. Inadequate job performance or a decline in productivity or changes resulting nut of job redesign or a technological breakthrough require some type of training and development efforts. As the job becomes more complex the importance of employee development also increases. In a rapid changing society, employee training and development is not only an activity that is desirable, but also an activity that an organization must commit resources to if it is to maintain a variable knowledge of force. Industrial growth cannot take place without trained manpower. The technological advancement is taking place at such a rapid speed that the knowledge, the need for systematic training is now felt in almost all organizations. Having selected the most suitable for various jobs in the organizations through the application of scientific techniques, the next function of personnel management is to arrange for their training. All types of jobs in the organization usually require some type of training for their efficient performance. Employee’s talents are not fully productive without a systematic training programme. Moreover, big organizations hire large number of young people every year who do not know how to perform jobs assigned to them in work organizations and they need to be trained by their employers. Even those who have learn technical or professional concepts while at some college or institute must receive some initial training in the form of orientation training regarding the policies, practices and ways of their employing organizations. The need for the systematic training has increased because of rapid technological changes, which create new jobs and eliminate old ones. New jobs required some sort of special skills, which may be developed in existing work force only by giving them necessary training. If, no formal training programme exists in the organization the employee tries to train himself by trial or by observing the others. But in fact the absence of a systematic training programme will result in higher training costs. The employee will take a much longer training time in learning the skills. He may not able to learn the best operating methods. 55 Part- A: CONCEPT OF TRAINING: A planned process to modify attitude, knowledge or skill behavior through learning, experience to achieve performance in an activity or range of activities. Its purpose, in the work situation, is to develop the abilities of the Individual and to satisfy the current and future needs of the organization TRAINING OBJECTIVES 1. Objective of training is to prepare employees for the job meant for them. 2. While on first appointment or on promotion and impair them the required skill and knowledge. 3. Assist the employees to function more effectively in their present positions by exposing them to the least concepts, information, techniques and develop the skills and that would be required. 4. The objective is to build a second line of competent officers and prepare them to more responsible positions. NEED FOR BASIC PURPOSE OF TRAINING: A program of training becomes essential for the purpose of meeting the specific problems of particular organization arising out of the introduction of new limes of production, changes in design, the demands of competition and economy. The quality of material processed individual adjustments, promotions, carrier developments job and personnel changes and changes in volume of business. Collectively these purposes of organizational training programmers to 56 enhance overall effectiveness. The need for the training of employees would be clear from the set objectives. Observation made by the different authorities: 1. To increase the productivity 2. To help the company to fulfill its future personnel needs, 3. To improve organization climate 4. To improve the health and safety 5. Personal growth and heightened morale 6. Reduced supervision 7. Increased organizational stability and flexibility PRINICIPLES OF EFFECTIVE TRAINING: A successful training programmer should be based on the following principles: 1. The objective and scope of a training plan should be defined before its developed is begun in order to provide a basis for common agreement and cooperative action. 2. The technique and process of training programmer should be related directly to the needs and objective or an organization. 3. To be effective, the training must use tested principles of learning. 4. Training should be conducted in the actual job environment to the maximum possible extended. 57 STEPS IN TRAINING PROGRAMMES Training programmes are a costly affair, and time consuming process. Therefore, management needs to draft very carefully. Usually in the organization training programmers the following steps are considered necessary. 1. Discovering or identifying the training needs. 2. Getting ready for learner. 3. Preparation of learner. 4. Presentation of operation and knowledge. 5. Follow up and evaluation of the programme TRAINING POLICY: Every company or organization should have well-established training policy. Such a policy represents the top management’s commitment to the training of its employees, and comprises rules and procedures governing the standard of scope of training. A training policy is considered necessary for the following reasons: a. Company’s intention to develop its personnel, to provide guidance in the training and implementation of programmes and to provide information concerning then to all concerned. b. To discover critical areas where training is to be given on a priority basis. c. To provide suitable opportunities to the employee for his/her own betterment. 58 TRAINING METHODS Employee training methods are multi faceted in scope and dimension, and each is suitable for particular situation. The best technique for one situation may not be best for different groups or tasks. Care must be used in adapting the technique or method to the learner and the job. An effective training technique generally fulfills these objectives; provide motivation to the trainee to improve job performance, development a willingness to change, provide for the trainee’s active participation in the learning process, provide knowledge of results about attempts to improve and permit practice while appropriate. A careful use of training methods can be a very cost effective investment in the sense of using the appropriate method for the needs of a person or group. Generally, methods can be divided in “on-the-job” training. On-the-job training (OJT): OJT emphasize on learning while an individual is actually engaged in work. This method can be suitable for all types of employees. Thus people can learn by working on the jobs. There can several ways in which OJT can be offered. 1. On Specific Job: On Specific Job method is the most common form of training for all individuals. A person can learn when he is put on a specific job. He can develop skills for doing the job in better way over the period of time. However, coaching or working as understudy. Coaching involves direct personal instructions and guidance usually with demonstration and continuous critical evaluation and correction. Under the understudy method, the trainee works under the direction the supervision of a person, normally as assistant. He can learn the jobs very quickly under the guidance of his trainer. 2. Position rotation: In position rotation method, a person is given jobs in various departments of the organization the major objective of job rotation is to broaden background of the trainee. He learn the working of 59 various sections and department of the organization, which helps in developing an integrated view of the organizational functioning. 3. Special Projects, Task Forces etc.: Assignment of people on special projects, task forces, committees etc, works like position rotation. Besides learning the jobs performed in these assignments, he also learns how to work with different type of persons. 4. Apprenticeship: Apprenticeship is like understudy in which the trainee is put under the supervision of person who may be quite experienced in his field. Apprenticeship training has been quite popular in medieval times when those intended to learn some craft or profession to work under some experts. In today’s context many organizations also take apprenticeship to fill their requirement of skilled personnel. 5. Vestibule school: The concept of vestibule school is that people will learn and develop skills while working in the situation Similar to that they are part on actual jobs. Many organization established training centre to train people for skilled work particularly production department, when the job requirement is such that people cannot be observed directly they are all in such training centre. Here they learn while work however, learn as against the actual production is the basic objective. When they learn the job handling, they are absorbed by the organization in actual operation. Off-the-job training method: 1. Lectures(class room instruction): Lectures are regarded as one of the most simple ways of imparting knowledge to the trainees, especially when facts, concepts, or principles, attitudes, theories and problem-solving abilities to be taught. Lectures are formal organized talks by the training specialists, the formal superior or other individual specific topics. The Lecture method can be used for very large groups which are to be trained within a short time. Thus reducing the cost per trainee. It can be organized 60 rigorously so that ideas and principles relate properly. Lectures are essential when it is a question of imparting technical or special information of complex nature. They are usually enlivened with discussions, film show, case studies, role playing and demonstrations. Audio-visual aids enhance their value, “the lecture method is not dead as some would believe”. In the hands of table lecturers, and for certain kinds of purposes and participants, it may turn out to be interesting and effective than any other methods, in training, the most important uses of lectures include: 1. Reducing anxiety about upcoming programmes organizational changes by explaining their purposes. 2. Introducing a subject and presenting an overview of its scope. 3. Presenting the basic material that will provide a common background for subsequent activities. 4. Illustrating the application of rules, principles, reviewing, clarifying summarizing. The main advantage of the lecture system is that it is simple and efficient and through it more material can be presented within a given time than by any other method. However the lecture system suffers from some limitations: 1. The lectures are passive intend of active participants. The lecture method violates the principle of learning by doing. It is a one way communication. There is no feedback from the audience. 2. A clear and vigorous verbal presentation requires a great deal of preparation for which management personnel often lack the time. Moreover, it is calls for substantial speaking skill. 3. The attention span of even a well-motivated and adequately informed listener is only from 15 minutes to 20 minutes so that in the course of an hour, the attention of listeners drifts. 4. It is difficult to stimulate discussion following a lecture, particularly if the listener is uninformed or instruct by the lecturer. 5. The untrained lecturer either samples or packs far too much information in the lecture, which often becomes unpalatable to the listened. 6. The presentation of material should be geared to a common level of knowledge. 61 7. It tends to emphasise the accumulation and memorization of facts and figures and does not lay stress on the application of knowledge. 8. Though a skilful lecture can adapt his material to the specific group, he finds it difficult to adjust it for individual difference within a group. According to the conclusions reached at the conference on management education and training held from 22to 24, 1964 at Pune, the essential pre-requisites for a successful lecture method are Group interest must be motivated and adapted to its needs. A lecture should be well-planned as to purpose; the main ideas and organizations should have clear and the development interesting. It should presented by an enthusiastic and animated speaker who has his learner’s needs and interest in mind at all time; It should not less than 30 minutes and not than an hour a lecture should be made interesting and enlist the active participation of the learners with the aid gain of guided discussion, the lecturer should pose leading questions, instead of giving out knowledge and information, to which the listeners should provide answers. 2. The conference Method: Under this method, a conference is held in accordance with an organized plan. Mutual problems are discussed and participant pool their ideas and experience in attempting to arrive at better methods of dealing with this problems. The members of the group come to teach each other and to learn together. Conferences may include Buzz sessions which divide conferences in small groups of four or five for intensive discussions. These small groups report back to the whole group with their conclusions are questions. This methods is ideally suited for analyzing problems and issues, and examination them from different viewpoints, It helps in developing conceptual knowledge, reducing dogmatism and modifying attitudes. 3. Seminar or Team discussions: The group learns through discussion of a paper on a selected subject. The paper is written by one or more trainees. Discussion may be on a same statement made by the person in charge of the seminar or on a document prepared by an expert. The material to be analyzed is distributed in advanced in the form of required reading. 4. Case Discussion: Under this method, a real business problem or situation demanding solution, is presented to the group and members are trained to identify the problems presented, they must suggest various alternatives for tackling them, analyze each one of test, find out their comparative suitability, and 62 decide for themselves the best solution. The trainer only guides the discussion and in the process ensures that no relevant aspect is left or discussion, and adequate time is spent on each aspect. This method promotes analytical thinking and problem-solving ability. It encourages openmindedness, patient listening respecting others views and integrating the knowledge obtained from different basic disciplines, incidentally, it enables trainees to become increasingly aware of obscurities, contradictions and uncertainties encountered in a business. This method is extensively used in professional school of law and engagement, and in supervisory and executive training programmer in industry. 5. Role-playing: This method is also ‘role-reversal’ ‘socio-drama’ or ‘psycho-drama’. Here trainees act out a given role as they would in a stage play. Two or more trainees are assigned roles in a given situation, which is explained to the group, these are no written lines to be said and, naturally, no rehearsals. The role players have to quickly respond to the situation that is ever changing and to react to it as they would in the real one. It is a method of human interaction, which involves realistic behavior in an imaginary or hypothetical situation. Role playing primarily involves employee- employer relationships, hiring, firing, discussing a grievance problem, conducting a post appraisal interview, disciplining a subordinate, or a salesman making presentation to a customer. 6. Programmed instruction: This involves two essential elements: a) step by step series of bits of knowledge, each building upon what has gone before, and b) a mechanism for presenting the series and checking on the trainee’s knowledge questions are asked improper sequenced and indication given promptly whether the answers are correct. This may be carried out with a book, a manual or a teaching machine; it is primarily used for teaching factual knowledge such as mathematics, physics. Evaluation and monitoring of training: Objective of training evaluation is to determine the ability of the participant in the Training programmed to perform jobs for which they were trained, the specific nature of training efficiencies whether the trainees required any additional on the job training, and the extent of training not needed for the participants to meet job requirements. There are various approaches to training evaluation. To get a balid measure of training effectiveness, the personnel manager should accurately assess trainee’s job performance two to four on the after completion of training. Writers have suggested that four basic categories of outcomes can be measured. 63 1. Reaction. Worth evaluated the trainee’s reaction to the programmer. Did he like the programme? Did he think while? 2. Learning. Did the trainee learn the principles, and fact that the supervisor or the trainer wanted them to learn? 3. Behavior. Whether the trainee’s behavior on the job changes because of the Training Programme? 4. Results. What final results have been achieved? Did he learn how to work on machine? Did scrap page costs decrease? Was turnover reduced? are production quotas now being? Responsibility for Training That training is quite a stupendous task, which cannot be done by one single department; you are right in your thinking. In fact, total responsibility for training has to be shared among: 1. The top management who should frame on authorize the basic training policies, review an approve and board outlines of training plans and programmes and approve training budgets. 2. He personnel department, which should plan, establish and evaluate instructional programmes. 3. He supervisor who should implement and supply the various development plans. 4. Employees who should provide feedback, revision and suggestions for improvement in the programme. 64 Part-B MANAGEMENT DEVELOPMENT- CONCEPTS: Formal management development processes are been designed to widen the range of experience, to give specific training in particular skills and to give specific training in particular skills and to provide knowledge of the context in which the manager operates. The paradox in the managers continue to think learning and development as being essentially and primarily about the work experience they have had whereas personnel and management development advisers think about management development in terms of planned processes of job rotation, succession planning and courses. DISTINCTION BETWEEN TRANING AND DEVELOPMENT: Training is a short-term process utilizing a systematic and organized procedure by which nonmanagerial personnel learn technical knowledge and mechanical operation, skills for definite purpose. While development is a long-term educational process training a systematic and organized procedure by which managerial personnel learn conceptual and theoretical knowledge for general purpose. MANAGEMENT DEVELOPMENT- DEFINITIONS: Management development is a systematic process of training and growth by which managerial personnel Gain and supply skills, knowledge, attitudes and insights to manage the work in their organization effectively and efficiently. “A conscious and systematic process to control the development of managerial resources in the organization for the achievement of goals and strategies”. (Molender, 1986) “An attempt to improve managerial effectiveness through a planned and deliberate learning process (Mum ford, 1987) 65 The function, which form deep understanding of business goals and organizations requirements undertaken, a. To forecast need, skill mixes and profiles for many positions and levels: b. To design and recommend the professional, carrier and personal Development programmers necessary ensure competence; c. To move from the concept of ‘management’ to the concept of ‘managing’; NEED FOR MANAGEMENT DEVELOPMENT: A business organization has to develop the of all those who are in management positions or who are fresh from management institutions and have the potential this development is necessary for the following reasons Society is facing a rapid of technological and social change, Management personnel to be developed, as they Have to tackle problems arising out of introduction of automation, intense market competition, growth of markets enlarged labour participation in management and greater interest being taken by public and the government in various activities of business Business and industrial leaders are increasingly recognizing their social and public responsibilities, which call for a much broader outlook on the part of management. Managers are to be developed to exploit future opportunities and potential, and for handling problems arising out of increasing size and complexity of the organization. Management labour relations are becoming increasingly complex (to retain and to motive employees). To understand and adjust to changes in socio-economic forces, including changes in public policy and concepts of social justice, industrial democracy, problems of ecology (some and pollution), ekistics (the problem of human settlements) ergonomics (the problem of working environment). Management Development Concepts: A sound programmer of management development has to be based on the development of concepts evolved in the past, the more important of the given below: 66 Management development is not a “one shot” affaire but continues throughout an executive’s whole professional career. There always exists some gap between actual performance and capacity, with prove ides considerable opportunity for improvement. Increased understanding of others their behavior and attitude, and of oneself indefinitely aid in managing, and contributing to personnel department. Development requires clear-cut objectives and goals which are to be achieved or attained, and the ways and methods of achieving these. Development seldom takes place in a completely peaceful and relaxed atmosphere growth involves stress and strain. Participation is essential for growth. Spoon-feeding seldom brings significant or lasting improvement. Feedback from a superior to a subordinate and from a group to and individual is necessary for the recognition of short comings and for keeping oneself in touch with the progress that has been achieved. An important responsibility of the personnel department is that of development. Objectives of Management Development: Any programme of management development must aim at achieving the following objectives: To assure the organization of availability of requirement numbers of managers with the required skills on meet the present and anticipated future needs of the business. To encourage management to grow as persons and their capacity to handle greater responsibility. To improve the performance of managers at all levels in the jobs they hold now. To sustain good performance of managers throughout their careers. Management Development must relate to all managers in the organization. It must lead to growth and self-development of the organization. Its focus should be on future requirements rather than those of today. Management development must be dynamic and qualitative, rather than static replacement based on mechanical rotation. A Das Gupta has given the objectives of the development of managerial personnel for various levels of management. These are given below: 67 A. Top Management: 1. To improve thought processes and analytical in order to uncover and examine problems and take decisions in the interests of the country and organization. 2. To broaden the outlook of the executive in regard to his role, position and responsibilities in the organization and outside: 3. To think through problems this may confront the organization now or in the future 4. To understand economic technical and institutional forces in order to solve business problems: 5. To acquire knowledge about the problems of human relation. B. Middle line Management: 1. To establish a clear picture of executive function and responsibilities. 2. To bring about an awareness of the board aspects of management problems, and an acquaintance with and appreciation of, inter-departmental relation: 3. To develop the ability to analyze problems and to take appropriate action; 4. To develop familiarity with in the managerial uses of financial accounting, psychology, business law and business statistics; 5. To inculcate knowledge of human motivation and human relationships; and 6. To develop responsible leadership; STRUCTURES AND SYSTEM: Implementing management development successfully is dependent Upon an effective management development infrastructure that: Identities and allocates responsibility Provides and disseminates information efficiently Provides administrative support Increases awareness and viability 68 The Diversity of the Management: Management development has to be linked to the reality of managerial work. When organizational development programmer, it is important to cater for the diversity of management skills, attitudes and experience that resides within the organization. One example is given by the Odiorne (1984) who advocates a portfolio approach where a ‘mix’ of objectives and techniques are arranged to match the profile of the management team in the organization. A PORTFOLIO APPROACH TO DEVELOPMENT: ‘Stars’:’ high performing, high potential managers’ Aim: Create challenge Provide incentives and rewards Allocate adequate resources and effort ‘Workhorses’: ‘high performing, limited managers’ Aim: Emphasize value and worth of experience Motive and reassures Utilize experience on assignments, projects, coaching ‘Problem employees’: ‘high potential, underperforming’ Aim: Identify weakness Channel resources to address weaknesses Regular performance monitoring and feedback 69 ‘Deadwood’: low performing, low potential managers Aim: Identify weakness, resolvable? If not, consider release, early retirement, demotion (Source: H.R.M, Ian Beard well Len Holden) The diverse nature of management means that certain questions need to be answered before development commences: Who is to be developed? 1. It is order manager seeking new challenges or younger ‘high fliers’ on a fast rack development programme? 2. It is senior manager seeking to enhance their strategic skills, middle mangers seeking update and broaden existing skills or junior level managers looking to acquire additional managerial skills? 3. Is it technical specialists seeking to expand their cross-functional capabilities or supervisors receiving training for the first time? What is being developed? 1. Does the programme seek to develop new attitudes and values as in the case the case of a recently privatized public utility or a private sector company that has just undergone a take-over? 2. Does the programme aim to develop technical, financial, business or interpersonal skills what are the priorities? 3. Does the programme seek to change existing managerial behaviors and style to reflect and internal organizational restructuring, i.e. the introduction of new technology? Where will the development take place? Should development be on-the-job in the office, factory or sales territory, or off-the-job in a residential hall, academic institution or individual’s home, or a combination or both? 70 What are the most appropriate techniques to achieve the best for between individual and organizational requirements? What are the most cost-effective/appropriate techniques available? How much scope is there to accommodate individual learning needs and preferences? How is conflict resolving between individual and organizational needs? How much choice is delegated to the individual over the choice of development techniques? Once these questions have been considered, the organization is in position to construct framework development techniques that best fits its needs. Achieving success in management development: Charles Margerison offers indicating the ways of achieving success in Management Development. He does not present them as a model, but it is convenient and appropriate to consider them. Success can be facilitated by: Selecting high-achieving managers Enthusiastic managerial support Involving key people diagnosing management development needs Designing active work-related activities Presenting hard for outputs Providing early leadership experience Letting each person appraise himself 71 STATEMENT OF THE PROBLEM The selected topic is “EFFECTIVENESS OF TRAINING AND DEVOLOPEMENT” at ITC INFOTECH LTD. To study the extent to which the respondents need to have training programmes. To study the reacting of respondents to the existing work environment. To find out the factors affecting training programme. To suggest the ways for the improvement of training programmes. OBJECTIVES OF TRAINING AND DEVELOPMENT Training objectivities is to improve the workers performance on the current job and also prepare them for an intend job Training helps to provide mastery in new methods and machines. Training objectives is to improve the defective ways of doing work and to teach current methods and behavior patterns. The objectives of development are to improve their performance in job and also improve personality and skills. SCOPE FOR FURTHER STUDY The research study is highly useful to the organization to know that exactly training needs. The study deals with various aspect of the programme. It helps the organization to know its development programme level. It also helps to include new techniques for further improvements. 72 METHODOLOGY Any effort which is directed to study the strategy needed to identify the problem and selecting of best solution for better results is known as research. A system of models, procedures and techniques used to find the results of a research problem is called research methodology This is a systematic way to solve the research problem and it is an important component for the study without which researcher may not be able to obtain the facts and figures from the employees. LIMITATION The time limit to complete the project was less. The information provided by the company is not very specified and clear in order to analyze the statement. The basic nature of these statements is historical and past can never be precise. Analysis of primary data is done on the assumption that the answers given by the respondents are true and correct. 73 DATA ANALYSIS AND INTERPRETATION This was an attempt to classify tabulate analyse and interpret the data collected using the questionnaires analyze and interpretation was done by tools like percentage analysis, chisquare test depicting the data through tables for quick and clean understanding of the data. Table No.1:- TRAINING NECESSITY FOR THE EMPLOYEES. Dimensions Respondents Percentage % Yes 44 88 No 06 12 Total 50 100 (Source-Questionnaire and oral interview) training necessity for the employees YES NO INFERENCE: The above table shows that 88% of the employees stated that the training is necessary and 12% of the employees are stated that they don’t need training for their jobs. 74 TABLE NO 5.2:- THE WILLINGNESS OF THE EMPLOYEES TOWARDS THE TRAINING PROGRAMS. Dimensions Respondents Percentage % Yes 45 90 No 05 10 Total 50 100 (Source-Questionnaire and oral interview) THE WILLINGNESS OF THE EMPLOYEE TOWARDS TRAINING PROGRAME YES NO INFERENCE: The above table shows that 90 percent of the employees in the organization had taken training. 10 percent of the employees are seniors and training personnel. 75 TABLE NO 5.3:- THE NUMBER OF TRAINING PROGRAMS ATTENDED BY THE EMPLOYEE’S. Dimensions Respondents Percentage % One 08 16 Two 17 34 Three 12 24 Four & More 13 26 Total 50 100 (Source-Questionnaire and oral interview) the number of Training Programs attended by the employee’s. 18 16 14 12 10 8 6 4 2 0 ONE TWO THREE FOUR & MORE INFERENCE: The above table shows that most of the employees in the organization are interested to attend two training programs only. 76 TABLE NO 5.4:- THE SATISFACTION LEVEL OF THE TRAINING PROGRAMS. Dimensions Respondents Percentage Great Extent 20 40 Some Extent 15 30 Little Extent 15 30 Total 50 100 (Source-Questionnaire and oral interview) The satisfaction level of the Training Programs 20 18 16 14 12 10 8 6 4 2 0 Great Extent Some Extent Little Extent INFERENCE: The above table shows that most of the employees are satisfied up to great extent to the number of training programs attended in the organization. 77 TABLE NO 5.6:- THE METHOD OF TRAINING RECEIVED BY THE EMPLOYEES Dimensions Respondents Percentage On the Job 16 32 Off the Job 20 40 Both 12 24 Non Respondents 02 4 Total 50 100 (Source-Questionnaire and oral interview) The method of Training received by the employees ON THE JOB OFF THE JOB BOTH NON RESPONDENTS INFERENCE: The above table tells us that 40% of the employees received off the job training 12% received both the methods of training and 32% received on the job training. 78 TABLE NO 5.7:- THE TRAINING RECEIVED BY THE EMPLOYEES Dimensions Respondents Percentage Inside the company 44 88 02 04 Both 04 08 Total 50 100 Outside the company (Source-Questionnaire and oral interview) the training received by the employees 50 40 30 20 10 0 INSIDE THE COMPANY OUTSIDE THE COMPANY BOTH INFERENCE: The above table shows that most of the employees received training inside and fewer employees are trained in outside of the Organization. 79 TABLE NO 5.8:- FROM WHOM THE TRAINING HAS RECEIVED Dimensions Respondents Percentage Superiors 20 40 Consultants 20 40 Institutions 02 04 Others 04 08 Non Respondents 04 08 Total 50 100 (Source-Questionnaire and oral interview) From whom the training has received 20 15 10 5 0 From whom the training has… INFERENCE: The above table enables us that most of the employees received training from superiors and Consultants. 80 FINDINGS All the employees know that the organization is conduction training programs regularly and all of them had taken training. 96% of employees had satisfied with the training and 92% employees stated that the training helps the career. 88% employees felt that the training is necessary for their job. After training half of the employees have developed in the area of skills and knowledge and limited members have developed in the area of social behavior. After training 20% employees felt happy and 56% employees satisfied at medium level. 81 SUGGESTION The company has to implement modern training methods to help in boosting the self morale of the employee at work place. Training Evaluation has to be conducted. Employees have to expose to the new environment than they will enhance the knowledge. Specific Training Programs has to be given to the selected personal who are related. Most of the employees feel that Training is related to weak areas, so the management has to get awareness among the employees regarding Training & Development. Nearly 60.5 employees felt that they had not received any payment as remuneration while they were in training. So, the management has to clarify their doubt regarding payment while in training. The satisfaction level of the employees is satisfactory. So, new changes in training have to bring to improve the satisfaction level of employees. CONCLUSION The objectives of the researcher are fulfilled .The researchers findings and suggestions are very much helpful for the further improvements of the organization. In ITC INFOTECH, there should be a smooth relationship between the employee and the management. The management provides all Welfare measures to the employees. Majority of the employees are satisfied with the Training and Development Programme 82 QUESTIONNAIRE A STUDY ON TRAINING & DEVELOPMENT IN ITC INFOTECH, BANGALORE Name: Designation: Sex: Are there any Training programs conduced in your organization? Yes [ ] No [ ] If ‘ Yes’, have you taken training? Yes [ ] NO [ ] IS the training is necessary training ? Yes [ ] no [ ] What benefits you expected from the training & development ? SL. Benefits 1. Aware High of company policies 2. Aware of work/job 3. Improve in skills ,knowledge & attitude 4. Motivation 5. To face new Technology 6. idea generation 7. problem solving 8. Aware of other dept’s work Medium Low 83 How many programs were attended by you? a) One b) Two c) Three d) Four & More To what extent have you satisfied with the respective training? a) Great extent b) Some extent c) little extent What method of training have you received? a) On the job b) Off the job c) Both Where you have received the training? a) Inside the Company b) Outside the Company c) Both From whom the training is received a) Superiors b) Institutions c) Consultants d) Others What method of training you received a) Induction b) Competence Development c) Updating Knowledge d) Preparing for future assignments e) All the above After the Training in which area you developed? a) Skills, knowledge b) Social behavior 84 c) To face new technology d) Motivated Does the training program satisfy your needs? a) Yes b) No To what extent the training program helps to your career? a) Great extent b) Some extent c) Little extent Whether your organization is conducting Training programs regularly? If ‘Yes’ how far? a) Monthly b) Quarterly c) Half yearly d) Yearly Whether the Training programs were intimate to you? Yes [ ] No [ ] If ‘Yes’, how many days before they intimated to you? a) A week before b) 15 days before c) One month before d) Two months before Have you attended Training programs regularly? Yes If ‘No’, why [ ] No [ ] 85 a) Resistance to change b) Training is not related to the job c) Training facilities are not good d) Personal problems e) Timings not favorable Whether the management forced you to take training? Yes [ ] No [ ] If ‘No’, why? a) Want to improve skills & knowledge b) Want to improve Social Behavior c) Want to know about new technology Whether the training is related to only weak areas? Yes [ ] No [ ] [ ] If ‘No’, why? a) Motivation b) To face new technology c) To develop skills, knowledge & attitude d) Aware of Company policies e) All the above Once after training have you improved? Yes [ ] No 86 If ‘Yes’, why? a) High b) Medium c) Low If ‘No’, why? a) Work is difficult b) More time taken to complete the work c) Not understandable d) Training is different from work Do you require one more training? Yes [ ] No [ ] Have you received payment while in training? Yes [ ] No [ ] Without training, what problems you expect? a) Not understand the work b) Not known about Company Policies c) Much time taken d) Not able to do the perfect work What chances are there to rectify those problems? a) By approaching Superiors b) Through Consultants c) Outside Institutions d) Through Professionals 87 BIBILIOGRAPHY BOOKS REFERRED: Effective Human Resource Training & Development Strategy - Dr.B.RATHAN REDDY Himalaya Publishing House, 1st Edition – 2005 Management & Organizational Behavior - P.SUBBA RAO Himalaya Publishing House, 2000 Edition Personal / Human Resource Management - DAVID A.DECENZO Prentice Hall of India, 3rd Edition - STEPHEN ROBBINS Journals Referred A.Narasimha Rao, Indian Journal of Commerce, Vol.54, “Employees Perception on Training & Development, A study on Visaka Steel Plant, 2005. Referrals websites www.projects99.com www.citehr.com http://www.itcinfotech.com THANK YOU FOR YOUR VALUEBALE SUPORT!!!