A

POJECT REPORT

ON

“STUDY OF EMPLOYEE ATTRATION”

AT

MAHINDRA VEHICLE CHAKAN

SUBMITTED BY

DHUMAL MANISHA SHIVAJI

UNDER THE GUIDENCE OF

EXTERNAL GUIDE INTERNAL GUIDE

[Link] BHATT [Link] THIGALE

IN PARTIAL FULFILLMENT OF THE DEGREE FOR

MASTER OFBUSINESS ADMINISTRATION
SAVITRIBAI PHULE PUNE UNIVERSITY

ADHALRAO PATIL INSTITUTE OF MANAGEMENT AND RESEARCH,

LANDEWADI, PUNE – 410503
2016 – 2017
 ACKNOWLEDGMENT

I have pleasure in successful completion of this work titled: “Study of EMPLOYEE ATTRATION.”at
MAHINDRA VEHICLE CHAKAN .The special environment at Mumbai that always supports Management
Educational Activities, facilitated my work on this project.

I am very much thankful to Incharge Director Prof. J.D HUDE and Internal Project Guide [Link]
THIGALEher encouragement and guidance for this project work. It could not have possible for me to
complete this work without his suggestions on every part of this work.

I express my gratitude towards, Founder of Money Mantra, Mumbai for giving me the opportunity to
undertake my project with this company.

I greatly appreciate the Motivation and Understanding extended for the project work, by Mr. SHIVAJI
ADHALRAO PATIL (founder) and all Staff as well as Workers of “MAHINDRA VEHICLE CHAKAN “, who
responded promptly and enthusiastically to my requests for frank comments despite their congested
schedules. I am thankful to all of them, who did their best to bring improvements through their
suggestions.

I express my profound gratitude to all the Human Resource Managers and Finance Manager of the
Surveyed Organizations, who guided me throughout my research, for sharing their valuable inputs
throughout the duration of the research.

DHUMAL MANISHA SHIVAJI

MBA (HR)
 DECLARATION

 I, the undersign, student of Management of Business Administration (2015-2017), AdhalraoPatil

Institute of Management and Research, Landewadi have given original data and information to
the best of my knowledge in the project report titled “Study OF EMPLOYE ATTRATION”” under
the guidance of our Prof. VISHWAJIT THIGALE and that, no part this Management” information
has been used for any other assignment but for the partial fulfillment of the recruitment
towards the completion of the said course.

 I have prepared this report independently and I have gathered all the relevant information
personally. I have prepared this project for MBA for the year 2016-2018.

 I also agree in principle not to share the vital information with any other person outside the
organization and will not submit the project report to any other university.

 Place: Landewadi DHUMAL MANISHA SHIVAJI

 Date: / / 2017 (MBA HR)

INDEX
 CHAPTER NO 1

EXICUTIVE SUMMARY
 INDUSTRY - AUTOMOBILE INDUSTRY

COMPANY :MAHINDRA VEHICLE CHAKAN

PROJECT TITLE : STUDY OF EMPLOYEE ATTRATION

Introduction of Topic

Employee attrition is one of the critical problems which are faced by an HR manager
during these days. Attrition in MAHINDRA VEHICLE not only pushes up costs incurred on the
training of employees but also affects productivity along with the ideal level of 'knowledge
maturity' of the organization and the employees. The organizations having capacity to withstand
its long lasting relationship with employees would survive in the market place and others would
fade away in the long run. The final solutions of MAHINDRA VEHICLE lies in the
stabilization of business operations and availability of trained and matured manpower in
abundance and which may bring a long lasting solution for the high attrition the sector. More of
committed of employees at all levels will help this industry to stabilize, grow and add value to
the economic growth.

The reason for the high rate of attrition in the MAHINDRA VEHICLE sector particularly
call centre segment range from lack of comfort of enrichment potential in terms of career growth.
The growth of MAHINDRA VEHICLE is mainly depending on the cost effectiveness and
quality of the manpower.

The reasons for the employees to leave his organization was endless but the reason why
employees leave the organization is vary according to the nature of the business. In
MAHINDRA VEHICLE industry the employee consider multiple comfort level while working
in a office for e.g. employer's goodwill in the market, remuneration, future growth, working
condition, Stress generated by nature of job and workload, co-workers, current role's scope in the
market & most important future stability with the organization

Retaining employees has always proved to be fruitful across many industries rather than
to search for new & efficient talent. So to gain the fruit of this tree, different companies devise
different strategies for retaining their employees. Hence the paper is also discussing about the
various Retention strategies that can help to check the high attrition rate in an organ
 CHAPTER NO 2

COMPANY PROFILE
HISTORY

Mahindra & Mahindra was set up as a steel trading company in 1945 in Ludhianaas Mahindra &
Mohammed by brothers K.C. Mahindra and J.C. Mahindra and Malik Ghulam Mohammed.
[7]
After India gained independence and Pakistan was formed, Mohammed emigrated to Pakistan
where he became that country's first finance minister. The company changed its name to
Mahindra & Mahindra in 1948.[8] It eventually saw a business opportunity in expanding into
manufacturing and selling larger MUVs, starting with the assembly under licence of
the Willys Jeep in India. Soon established as the Jeep manufacturers of India, the company later
commenced manufacturing light commercial vehicles (LCVs) and agricultural tractors.

VISION

“To create fully collaborative environment in which suppliers can deliver exactly
what the company needs when it needs, and at a competitive cost.

MISSION

To create India’s largest automobile and automobile related product distribution

network by providing dealers and customer with the largest choice of unique world class product
and services.
BOARD OF DIRECTOR

KESHUBMAHINDRA
(CHAIRMANEMERITUS)

PAWAN GOENKA
(MANAGING
DIRECTOR)

ANAND G MAHINDRA
[Link] S B MAINAK
(EXICUTIVE
(DIRECTOR) (NOMINEE DITECTOR)
CHAIRMAN)
COMPANY HIERCHY
COMPETITOR

HERO ASHOK
MOTOCOP LEYLAND

FORCE TATA
BAJAJ AUTO
MOTOR MOTORS

TVS
MARUTI
MOTOR EICHER
SUZUKI
COMPANY
PRODUCT
 INTRODUCTION

Attrition is a critical issue and pretty high in the industry these days. It’s the major problem
which highlights in all the organizations. Though the term ‘ATTRITION’ is common, many
would be at a loss to define what actually Attrition is, “Attrition is said to be the gradual
reduction in the number of employees through retirement, resignation or death. It can also be
said as Employee Turnover or Employee Defection” Whenever a well-trained and well-adapted
employee leaves the organization, it creates a vacuum. So, the organization loses key skills,
knowledge and business relationships. Modern managers and personnel administrators are
greatly interested in reducing Attrition in the organization, in such a way that it will contribute to
the maximum effectiveness, growth, and progress of the organization. Retaining employees is a
critical and ongoing effort. One of the biggest challenges in having managers in the place that
understands it is their responsibility to create and sustain an environment that fosters retention.
Staff requires reinforcement, direction and recognition to grow and remain satisfied in their
positions. Managers must recognize this and understand that establishing such fundamentals
demonstrates their objectives to support nature and motivate their employees. This study is an
outcome of the topic called “A Study on Employee Attrition and Retention in Manufacturing
Industries in Nellore District, Andhra Pradesh”. The main objectives of this study is to know the
reasons, why attrition occurs, to identify the factors which make employees dissatisfy, to know
the satisfactory level of employees towards their job and working conditions and to find the areas
where manufacturing industries in Nellore District is lagging behind.

Reasons for Attrition

Attrition can be encouraged when it is part of a strategic business maneuver to reduce costs. It can
also manifest itself when employees voluntarily leave their jobs. This can happen for a variety of
reasons: employees may move or retire, take another job, be ill-suited to the position they were hired
to fill, or want employment that offers a more equitable work-life balance. Others may experience a
lack of the freedom or autonomy they require to perform at expected levels. Human resources
professionals inadvertently encourage attrition when they condone or ignore maltreatment of
employees by management.
 Upside of Attrition
Some business strategies use attrition as part of a restructuring plan. Rather than carrying out
traditional layoffs, some businesses choose to reduce their workforce through the more gradual
means of attrition. This is less consequential to a workforce that contains employees approaching
retirement age. When they leave the company, a replacement is not hired to fill the vacancy, and the
job position may be retired. Some business owners and managers work with their HR professionals
to create equitable positions into which remaining employees can potentially be promoted. This
creates positive employment options that did not previously exist.

Downside of Attrition
When attrition occurs, the remaining duties and job responsibilities can burden employees and
managers with additional duties with no increase in pay. Even if HR staff members distribute the
extra workload throughout other departments, they may witness managers moving on to other
companies. The potential for employment promotion may no longer exist when positions are retired
due to attrition. Employee morale can suffer, a situation that HR should work to remedy before it
becomes unmanageable.

Attrition Rate Calculation

The attrition percentage rate is determined by dividing the number of employees who left their jobs
during a specific period by the average number of employees during the same period. Results can
be computed for monthly, quarterly, biannual or annual periods. Consistent rates of attrition are
viewed as the norm for a specific business. If high attrition rates remain outside the parameters of an
accepted strategic business plan, human resources staff members may be required to evaluate the
causes and find solutions.

TYPES OF ATTRATION

INVOULNATRY
ATTRATION VOULNTARY
ATTRATION
Involuntary Attrition: Involuntary termination is the employee’s departure at the hands of
the employer. There are two basic types of involuntary termination, known often as being
“fired” and “laid off.” To be fired, as opposed to being laid off, is generally thought of to be
the employee’s fault, and therefore is considered in most cases to be dishonorable and a
sign of failure.

Voluntary Attrition: Voluntary attrition is the employee’s departure on his own. This
happens when an employee resigns from an organization for personal or professional
reasons. Voluntary attrition is one of the major pain points for companies in growing
economies. In India – voluntary attrition of 20-40% is fairly common in
IT/ITES/Retail/Hospitality industries.
 CHAPTER NO 3

TASK UNDER TAKEN

TASK NO 1 – DATA COLLECTION OF COMPANY

We collect data of company to various sources like internet, company brocedutre , magazines
etc.

TASK NO 2- TO IDENTIFY MALE AND FEMALE EMPLOYEE

In the Mahindra vehicle there are male and female employee are work .

TASK NO 3 – TO IDENTIFY EXPERIENCE TO EMPLOYEE

TASK NO 4- TO IDENTIFY REASON FOR ATTRATION

Due to health

Job shifting

Stress

Personal issue

Pursuing new opportunity

Other

TASK NO 5 –TO IDENTIFY MISMATCH OF EMPLOYEE AND THEIR JOB

In Mahindra vehicle we occure the mismatch between employee and their job.

TASK NO 6-TO IDENTIFY COMFERT LEVEL ON JOB NATURE AND EMPLOYEE

Highly comfort

Neutral

Comfortable

Uncomfortable

Highly comfort
TASK NO 7 – TO IDENTIFY TYPE OF STRESS THE EMPLOYEES EXPERIENCE

Physical

Mental

Psychological

TASK NO 8-TO IDENTIFY EXPECTATION OF EMPLOYEE FROM THE

ORGANISATION APART FROM COMPENSATION

Recognition

Self-respect

Freedom to implement

Job security

Moral support
CHAPTER NO 4

RESERCH
METHODOLOGY
OBJECTIVES OF THE STUDY

Primary Objective:

 To study the Employee attrition in HCL - BSERV.

Secondary Objectives:

 To find out the reasons for attrition in HCL - BSERV

 To find out the satisfaction level of employees in different aspects of job
 To analyze the various retention strategies followed in the organization.
 To study the various costs incurs due to the attrition of employees
 To study the way and means to check the employee attrition in the organization

NEED OF THE STUDY

 This study helps the company to understand more on the attrition rate in the
company,helping them to reduce the employee turnover.
 The study educates the causes for attrition of employees in an organization.
 The study also helps to find the drawbacks of the current retention strategies.
 This study will also help the organization to know about the satisfaction level of the
employees on different aspects of the job in order to satisfy them and to retain them

LIMITATION OF THE STUDY

 The respondents where in a hurry to fill the questionnaire, some of them where not
interested to fill the questionnaire.
 Few of the respondents hesitated to give the correct information.
 Some of the respondents discussed among themselves before answeri

RESEARCH METHODOLOGY
DATA COLLECTION:

PRIMARY DATA:

Primary data was collected through survey and personal interview. A structured
questionnaire was prepared to collect relevant primary data from employees and customers

SECONDARY DATA:
Secondary data was collected from various published books, journals, company web sites
and company brochure.

AREA OF STUDY

The study was conducted Mahindra vehicle chakan

SAMPLING METHODOLOGY

Sample size

Sample size means the number of sampling units selected from the company for
investigation. The total sample size taken for this study was 200.
 CHAPTER NO 5

DATA ANALYSIS
AND
INTERPRETATION
Table -5.1.1:

Table representing Genders of the Employees

Gender No. of Respondents Percentage of Respondents

Female 85 42.5

Male 115 57.5

Chart -5.1.1:

Chart representing Genders of the Employees

Female
43%

Male
57%

INTERPRETATION-

The above mentioned table and chart shows that 60% of the respondents are Male and 40% of
the respondents are Female.
Table -5.1.2:

Table representing Marital Status of the Employees.

Marital Status No. of Respondents Percentage of Respondents

Married 90 45

Single 110 55

Chart -5.1.2:

Chart representing Marital Status of the Employees.

Married
45%
Single
55%

INTERPRETATION:

Above mention table and chart shows that 45% of respondents are married and 55% of
respondents are Single.
Table -5.1.3:

Table representing process of the Employees

Process No. of Respondents Percentage of Respondents

Voice 120 60

Non Voice 80 40

Chart -5.1.3:

Chart representing process of the Employees

Non voice

voice

INTERPRETATION:

Above mention table and chart shows that 60% of respondents are from voice process and
60% of respondents are non voice process.

Table -5.1.4:
Table representing experience of the employees

Experience in FVRIL No. of Respondents Percentage of Respondents

Below 1yr 78 39

1-2yrs 67 33.5

2-3yrs 35 17.5

3-4yrs 20 10

Above 4yrs 0 0

Chart -5.1.4:

Chart representing experience of the employees

90
80
70
60
50
40
30
20
10
0
Below 1yr 1-2yrs 2-3yrs 3-4yrs Above 4yrs

INTERPRETATION:

Above mentioned table and chart shows that 39% of the employees have their experience of
below 1yr, 33.5% of the employees have experience of 1-2yrs, 17.5% of people have experience
of 2-3yrs, 10% of people have experience of 3-4yrs, 0% of people have experience

Table -5.1.5:
Table representing the important reason for attrition

No. of
Reasons Respondents Percentage of Respondents

Due to health issues 32 16

Job shift timing 36 18

Compensation and other benefits 45 22.5

Stress 34 17

Personal issues 18 9

Pursuing new opportunities 22 11

Desire to relocate 8 4

Others 5 2.5

Chart -5.1.5:

Chart representing the important reason for attrition

22.5
25
18 17
20 16
15 11
9
10 4 2.5
5
0

INTERPRETATION:
 Above mentioned table and chart shows the responds of the employees for the important
reason for attrition as 16% responds as health issues, 18% responds as job shift timing, 22.5%
responds as compensation, 17% responds as stress, 9% responds as personal issues, 11%
responds as new opportunities, 4% responds as desire to relocate and 2.5% responds as other
reasons.

Table -5.1.6:
Table representing the mismatch between employees and their job profile.

Retention Measure No. of Respondents Percentage of Respondents

Yes 38 19

No 162 81

Chart -4.1.6:

Chart representing the mismatch between employees and their job profile..

180
160
140
120
100
80
60
40
20
0
Yes No

INTERPRETATION:

Above mentioned table and chart shows that 19% of the employees said that they feel
mismatch between their job and their profile and 81% of the employees said that they doesn’t
feel mismatch between their job and their profi

Table -4.1.7:
Table representing comfort level on the job nature of the employees.

Job Nature No. of Respondents Percentage of Respondents

Highly Comfortable 30 15

Comfortable 40 20

Neutral 96 48

Uncomfortable 34 17

Highly Uncomfortable 0 0

Chart -4.1.7:

Chart representing comfort level on the job nature of the employees.

50
45
40
35
30
25
20
15
10
5
0
e e l e e
bl bl ut
ra bl bl
r ta r ta e r ta r ta
fo fo N fo fo
om om om om
C C c nc
ly Un yU
igh l
H gh
Hi
INTERPRETATION:

Above mentioned table and chart shows that 15% of the employees are highly comfortable
with job nature, 20% of the employees are comfortable with the job nature, 48% of the
employees are neutral and 17% of the employees are uncomfortable with the job nature.

Table -4.1.8:
Table representing the type of stress the employees experience in their job.

Stress types No. of Respondents Percentage of Respondents

Physical stress 81 40.5

Mental stress 64 32

Psychological stress 55 27.5

Chart -5.1.8:

Chart representing the type of stress the employees experience in their job.

45

40

35

30

25

20

15

10

0
Physical stress Mental stress Psychological stress

INTERPRETATION:

Above mentioned table and chart shows that 40.5% of the employees said they experience
physical stress, 32% responds as mental stress and 27.5% responds as psychological stress
Table -5.1.9:

Table representing the Expectations of the employees from the organization apart from
compensation.

Expectations No. of Respondents Percentage of Respondents

Recognition 62 31

Self Respect 41 20.5

Freedom to implement 35 17.5

Job security 36 18

Moral support 26 13

Chart -5.1.9:

Chart representing the Expectations of the employees from the organization apart from
compensation.

35

30

25

20

15

10

0
Recognition Self Respect Freedom to Job security Moral support
implement
INTERPRETATION:

Above mentioned table and chart shows that 31% of the employees expect recognition from
the organization, 20.5% of the employees expect self respect, 17.5% of the employees expect
freedom to implement, 18% of the employees expect job security and 13% of the employees
expect moral support from the organization.
Table -5.1.10:

Table representing the working condition

Satisfaction level No. of Respondents Percentage of Respondents

Highly satisfied 14 7

Satisfied 62 31

Neutral 78 39

Dissatisfied 38 19

Highly dissatisfied 8 4

Chart -5.1.10:

Chart representing the working condition provided by HCL - BSERV

40

35

30

25

20

15

10

0
Highly satisfied Satisfied Neutral Dissatisfied Highly dissatisfied
INTERPRETATION:

Above mentioned table and chart shows that 7% of the employees are highly satisfied with
working condition , 31% of the employees are satisfied with the working condition , 39% of the
employees are neutral in their jab nature, 19% of the employees are dissatisfied with the working
condition and 4% of the employees are highly dissatisfied with the working condition.
CHAPTER NO 6

LEARNING FROM
THE PROJECT
IN THIS PROJECT I HAVE LEARN …..

TIME MANAGEMENT

LEADERSHIP

DATA ANALYSIS

TO PREPARE QUESTIONARY

COMMUNICATION SKILL

TO TAKE A DECISION

HOW TO COLLECT DATA

OF EMPLOYEE
 CHAPTER NO 7

CONTRIBUTION TO THE
ORGANISATION
SUGGESTION

1. Employees performance can be recognized as most of the employees expect it from the
organization to render apart from compensation.
2. The compensation package can be revised as it was considered as the important reason for attrition
in the company
3. Management should be able to find the people who have intention to leave the organization and
has to enquire about the reason and try to meet their expectation in order to retain them.
4. Promotion and the monetary rewards can be considered more as the reward for the performance
the employees as those are preferred by most of the employees.
5. Management should help the employees to overcome their personal barriers helping him to
perform well in his work and in his personal life.
6. The management should provide training and other measures for the career development of the
employees in the organization as most of the employees have responded that there is only a slow
growth.
7. Each and every employee should be treated equally without any bias because most of the
employee had responded that employees were not provided fair and equal treatment.
8. Most of the employees were not satisfied with the working hours, the management can try to
reduce the working hours as possible it could.
9. The non voice process employees can be given some training like some simple exercise to reduce
physical stress as most of them have responded that they suffer form physical stress.
10. The voice process employees have responded that they suffer more from mental and psychological
stress. Hence management can provided meditation training programs to them which will help to
reduce stress.
11. Management can organize many more recreational facilities and employee engagement activities so
that employees can enjoy their work place.
12. Management should consider employees valuable suggestions and should be able to implement it.
RECOMMEDATION

1. 22.5% & 18%of respondents feel that compensation and health issues are the important reason
for attrition in HCL - BSERV.
2. 17% & 16% of respondents respectively feel that Job shift timing and Stress are the important
reason for attrition in HCL – BSERV.
3. 81% of the employees said that they doesn’t feel mismatch between their job and their profile
4. 31% of respondents expect recognition, 20.5% expect self respect and 18% expects job security
from the organization to render apart from compensation.
5. 35% of respondents say that they are comfortable and 48% says that they are some what ok
with the nature of the job
6. 42.5% of employees respond that they might or might not work after two years and more than
27% respondent says that they are not likely to work after two years in HCL – BSERV.
7. 57.5% of employees respond that sometimes management provide counseling program to
reduce work stress.
8. 31% of employees respond that they are satisfied & 39% of employees respond that they are
neither satisfied nor dissatisfied with the working condition.
9. 84.5% of the employees said they are provided with all statutory welfares.
10. 33.5% of the employees respond that they prefer promotion & 27.5% prefers monetary rewards
as the reward for their performance.
11. 57.5% of employees respond that management is treating employees as an asset of an
organization.
12. 55% of the employees respond that work-life balance was satisfied
13. 44% of the employees respond that there is no help given by the management to overcome
their personal barriers.
14. 54% of the employees said that organization takes necessary measures to retain them in the
organization.
15. 41.5% of the employees respond that the promotion is the retention strategy using in the
organization.
16. 51% of the employees respond that there is only a medium growth of career development in
HCL-BSERV.
CHAPTER NO 8

REFFERENCES
REFFERENCES

BOOKS REFERRED

[Link] Name of Book Author Publication Edition

1 Essential of Human P. SubhaRao Himalaya 3/e

Resource Publication
Management &
Industrial Relation
2 Human Resource [Link] Tata 5/e
Management. McGraw-
Hill.
3 Strategic Human Prof. LambodarShaha Thakur 1/e
Resource Publication
Management.
APPENDIX

QUESTIONNAIRE

Section - A

1. PERSONAL DETAILS

a. Name :

b. Designation :

c. Process : Voice process Non voice process

d. Gender : Male Female

e. Martial status : Single Married

Section - B
2. How long have you been working for HCL- BSERV?

□Above 4 yrs □ 3-4 yrs □ 2-3 yr □1-2 yr □Below 1 yr

3. What according to you is the most important reason for attrition in HCL – BSERV?

□Due to health issues □Job shift timing □Compensation and other benefits
□Stress due to nature of job □Personal issues □Pursuing new opportunities
□Desire to relocate□ others (please specify)
4. Do you feel mismatch between you and your job profile?

□ Yes □ No
5. How far you were comfortable with your nature of job?

□Highly comfortable □Comfortable □ Neutral

□Uncomfortable □Highly Uncomfortable

6. Do you feel stressed in doing your work?

□To great extent □To some extent □Not at all

7. Please rate your satisfaction levels on the following parameters(Put a tick mark)

Highly Satisfactory Average Dissatisfactory Highly

Satisfactory Dissatisfactory

Working hours

Compensation
package

Organization
culture

HR team

Co-Employee

8. What do you expect from your organization to render your service apart from compensation?

□Recognition □Job security □Moral support

□Self respect □Recreational facilities
9. Are you satisfied with the working condition provided by the Company?
□Highly satisfied □Satisfied □Neither satisfied nor dissatisfied
□Dissatisfied □Highly dissatisfied