INTRODUCTION

Introduction to Job Satisfaction

Job satisfaction refers to a general attitude resulting from various specific attitudes

relating to (a) Specific job factors (such as steadiness of employment supervision,

advancement of opportunities, wages, working conditions, fair evaluation of

work, fair treatment by employers/management, social relations of the job and

other similar things); (b) Industrial Characteristics (such as employees age, sex,

temperament, desires, level of aspiration etc); and (c) group relationships outside the

job (such as employees family relationships, social status, relationship with labour,

purely social or political organizations etc).

Thus job satisfaction is the result of various attitudes the employee holds towards

his/her job, towards related factors and towards life in general. Job satisfaction caused

by many interrelated factors, some of the most important factors relating to job

satisfaction may be briefly stated as below.

The individual employees personality, age, sex, number of dependents, education,

intelligence, time on the job etc. Certain personality traits have been viewed as an

important cause of job dissatisfaction. The existence as neurotic behavior or

personality maladjustment has been found to be a cause of job satisfaction only when

the job itself is one of greater strain.

As regards the relationship between the intelligence of an individual and job

satisfaction, it usually depends upon the level and range of intelligence and the

challenge of the job.

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NEED &IMPORTANCE OF THE STUDY

Job satisfaction has positive relation on mental health of the people.

Dissatisfaction with one's job may have an especially volatile spill over their

attitudes.

Job satisfaction is also said to influence physical health of an individual.

Satisfied individual can find it easy to align himself with organization and

its goals.

Job satisfaction reduces absenteeism and increase turnover. Unsatisfied need

leads to tension which in turn drive employees to work against organization,

the consequences of which are the nightmare of any employer.

A satisfied employee is an asset to any organization and every organization

endeavors to keep their work force happy within and outside the organization.

Public enterprises occupy a key place in the Indian economy in terms of

employment and investment.

Public enterprises are expected to fulfill social as well as economic obligation

to ensure all round development of the economy. But unfortunately, due to

many reasons most of the public enterprise is Not able to fulfill the promises

for which they have been established.

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SCOPE OF THE STUDY

By this study, the company may know the factors, which according to the

employees determines the job satisfaction and motivation levels. If the company tries

to consider the concerns of the employees, it may then lead to employees satisfaction

and there by increased loyalty among employees resulting in job satisfaction. The study

aims to investigate the opinion of staff, manager, senior manager, deputy manager and

assistant manager about their job satisfaction at the work place.

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OBJECTIVES OF THE STUDY

To study the nature and importance of job satisfaction at work place.

To study various factors, determinants and outcomes of job

satisfaction.

To make a study at the organization so as to find the degree of job satisfaction

employees attain in the real work environment.

To draw conclusions and make suggestions based on the information

collected.

To ensure the availability of a competent and willing work force to an

organization.

To meet the needs, aspiration, values and dignity of individual employee.

To study the relationship between job satisfaction and various

social- economic variables of employees.

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RESEARCH METHODOLOGY

1. DATA COLLECTION:

Data was collected from both

a. Primary sources

b. Secondary sources

Primary sources include the respondents from whom the required information

was gathered directly and emphasis was laid on their opinion.

Secondary sources were the company manuals, records and the concerned

brochure on the subject.

2. SAMPLE DESIGN:

The respondents were chosen at random due to their preoccupation in business and

the consequent Non-availability of the employees to the researcher. The method of

sampling used was random sampling.

The sample size was taken as 50. The respondents were from Personnel., Finance,

Planning, Warehouse departments of Hindustan Unilever Ltd. Non-Technical

departments included canteen staff and security guards.

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LIMITATIONS OF THE STUDY

Most of the respondents are not interested in giving much information.

Biased response from respondents.

Sample sizes are restricted to 50, because only staffs are targeted.

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Industry Profile

Fast Moving Consumer Goods: Fast Moving Consumer Goods (FMCG) or Consumer Packaged Goods (CPG) are products that are sold quickly at relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, grocery items etc. Though the absolute profit made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products can be large.

ScopeThe term FMCG refers to those retail goods that are generally replaced or fully used up over a short period of days, weeks, or months, and within one year. This contrasts with durable goods or major appliances such as kitchen appliances, which are generally replaced over a period of several years.FMCGs have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGs – such as meat, fruits and vegetables, dairy products and baked goods – are highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks and cleaning products have high turnover rates.The following are the main characteristics of FMCGs:

From the consumers' perspective: o Frequent purchaseo Low involvement (little or no effort to choose the item -- products with

strong brand loyalty are exceptions to this rule)o Low price

From the marketers' angle: o High volumeso Low marginso Extensive distribution networkso High stock turnover

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What are Fast Moving Consumer Goods (FMCG)?

Products which have a quick turnover, and relatively low cost are known as Fast Moving Consumer Goods (FMCG). FMCG products are those that get replaced within a year. Examples of FMCG generally include a wide range of frequently purchased consumer products such as toiletries, soap, cosmetics, tooth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods. FMCG may also include pharmaceuticals, consumer electronics, packaged food products, soft drinks, tissue paper, and chocolate bars.

A subset of FMCGs are Fast Moving Consumer Electronics which include innovative electronic products such as mobile phones, MP3 players, digital cameras, GPS Systems and Laptops. These are replaced more frequently than other electronic products.White goods in FMCG refer to household electronic items such as Refrigerators, T.Vs, Music Systems, etc.In 2005, the Rs. 48,000-crore FMCG segment was one of the fast growing industries in India. According to the AC Nielsen India study, the industry grew 5.3% in value between 2004 and 2005.

Indian FMCG SectorThe Indian FMCG sector is the fourth largest in the economy and has a market size of US$13.1 billion. Well-established distribution networks, as well as intense competition between the organised and unorganised segments are the characteristics of this sector. FMCG in India has a strong and competitive MNC presence across the entire value chain. It has been predicted that the FMCG market will reach to US$ 33.4 billion in 2015 from US $ billion 11.6 in 2003. The middle class and the rural segments of the Indian population are the most promising market for FMCG, and give brand makers the opportunity to convert them to branded products. Most of the product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per capita consumption as well as low penetration level, but the potential for growth is huge.The Indian Economy is surging ahead by leaps and bounds, keeping pace with rapid urbanization, increased literacy levels, and rising per capita income.

The big firms are growing bigger and small-time companies are catching up as well. According to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs, and the balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are owned by Hindustan Lever. Pepsi is at number three followed by Thums Up. Britannia takes the fifth place, followed by Colgate (6), Nirma (7), Coca-Cola (8) and Parle (9). These are figures the soft drink and cigarette companies have always shied away from revealing. Personal care, cigarettes, and soft drinks are the three biggest categories in FMCG. Between them, they account for 35 of the top 100 brands.

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THE TOP 10 COMPANIES IN FMCG SECTORS. NO. Companies

1. Hindustan Unilever Ltd.

2. ITC (Indian Tobacco Company)

3. Nestlé India

4. GCMMF (AMUL)

5. Dabur India

6. Asian Paints (India)

7. Cadbury India

8. Britannia Industries

9. Procter & Gamble Hygiene and Health Care

10. Marico Industries

The companies mentioned in Exhibit I, are the leaders in their respective sectors. The personal care category has the largest number of brands, i.e., 21, inclusive of Lux, Lifebuoy, Fair and Lovely, Vicks, and Ponds.  There are 11 HLL brands in the 21, aggregating Rs. 3,799 crore or 54% of the personal care category. Cigarettes account for 17% of the top 100 FMCG sales, and just below the personal care category. ITC alone accounts for 60% volume market share and 70% by value of all filter cigarettes in India.

The foods category in FMCG is gaining popularity with a swing of launches by HLL, ITC, Godrej, and others. This category has 18 major brands, aggregating Rs. 4,637 crore. Nestle and Amul slug it out in the powders segment. The food category has also seen innovations like softies in ice creams, chapattis by HLL, ready to eat rice by HLL and pizzas by both GCMMF and Godrej Pillsbury. This category seems to have faster development than the stagnating personal care category. Amul, India's largest foods company, has a good presence in the food category with its ice-creams, curd, milk, butter, cheese, and so on. Britannia also ranks in the top 100 FMCG brands, dominates the biscuits category and has launched a series of products at various prices.

In the household care category (like mosquito repellents), Godrej and Reckitt are two players. Goodknight from Godrej, is worth above Rs 217 crore, followed by Reckitt's Mortein at Rs 149 crore. In the shampoo category, HLL's Clinic and Sunsilk make it to the top 100, although P&G's Head and Shoulders and Pantene are also trying hard to be positioned on top. Clinic is nearly double the size of Sunsilk.Dabur is among the top five FMCG companies in India and is a herbal specialist. With a turnover of Rs. 19 billion (approx. US$ 420 million) in 2005-2006, Dabur has brands like Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola and Real. Asian Paints is enjoying a formidable presence in the Indian sub-continent, Southeast Asia, Far East, Middle East, South Pacific, Caribbean, Africa and Europe. Asian Paints is India's largest paint company, with a turnover of Rs.22.6 billion (around USD 513 million). Forbes Global magazine, USA, ranked Asian Paints among the 200 Best Small Companies in the World

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Cadbury India is the market leader in the chocolate confectionery market with a 70% market share and is ranked number two in the total food drinks market. Its popular brands include Cadbury's Dairy Milk, 5 Star, Eclairs, and Gems. The Rs.15.6 billion (USD 380 Million) Marico is a leading Indian group in consumer products and services in the Global Beauty and Wellness space.

Outlook

There is a huge growth potential for all the FMCG companies as the per capita consumption of almost all products in the country is amongst the lowest in the world. Again the demand or prospect could be increased further if these companies can change the consumer's mindset and offer new generation products. Earlier, Indian consumers were using non-branded apparel, but today, clothes of different brands are available and the same consumers are willing to pay more for branded quality clothes. It's the quality, promotion and innovation of products, which can drive many sectors.

Chillibreeze's disclaimer: The views and opinions expressed in this article are those of the author(s) and do not reflect the views of Chillibreeze as a company. Chillibreeze has a strict anti-plagiarism policy. Please contact us to report any copyright issues related to this article.

FMCG SectorFast Moving Consumer Goods (FMCG) goods are popularly named as consumer packaged goods. Items in this category include all consumables (other than groceries/pulses) people buy at regular intervals. The most common in the list are toilet soaps, detergents, shampoos, toothpaste, shaving products, shoe polish, packaged foodstuff, household accessories and extends to certain electronic goods. These items are meant for daily of frequent consumption and have a high return.

A major portion of the monthly budget of each household is reserved for FMCG products. The volume of money circulated in the economy against FMCG products is very high, as the number of products the consumer use is very high. Competition in the FMCG sector is very high resulting in high pressure on margins.

FMCG companies maintain intense distribution network. Companies spend a large portion of their budget on maintaining distribution networks. New entrants who wish to bring their products in the national level need to invest huge sums of money on promoting brands. Manufacturing can be outsourced. A recent phenomenon in the sector was entry of multinationals and cheaper imports. Also the market is more pressurized with presence of local players in rural areas and state brands.

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ANALYZES FMCG SECTOR IN DETAIL.

FMCG Sector Overview Of FMCG Sector Scope of FMCG Industry In India Top Players in FMCG Career Opportunities Secondary Players Indian Consumer Class Recent Developments

Overview Of FMCG Sector

What are FMCGs?WE regularly talk about things like butter, potato chips, toothpastes, razors, household care products, packaged food and beverages, etc. But do we know under which category these things come? They are called FMCGs. FMCG is an acronym for Fast Moving Consumer Goods, which refer to things that we buy from local supermarkets on daily basis, the things that have high turnover and are relatively cheaper

FMCG Products and Categories -Personal Care, Oral Care, Hair Care, Skin Care, Personal Wash (soaps);-Cosmetics and toiletries, deodorants, perfumes, feminine hygiene, paper products;-Household care fabric wash including laundry soaps and synthetic detergents; household cleaners, such as dish/utensil cleaners, floor cleaners, toilet cleaners, air fresheners, insecticides and mosquito repellents, metal polish and furniture polish;

FMCG in 2006

The performance of the industry was inconsistent in terms of sales and growth for over 4 years. The investors in the sector were not gainers at par with other booming sectors. After two years of sinking performance of FMCG sector, the year 2005 has witnessed the FMCGs demand growing. Strong growth was seen across various segments in FY06. With the rise in disposable income and the economy in good health, the urban consumers continued with their shopping spree.

- Food and health beverages, branded flour, branded sugarcane, bakery products such as bread, biscuits, etc., milk and dairy products, beverages such as tea, coffee, juices, bottled water etc, snack food, chocolates, etc.

- Frequently replaced electronic products, such as audio equipments, digital cameras, Laptops, CTVs; other electronic items such as Refrigerator, washing machines, etc. coming under the category of White Goods in FMCG;

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Sector Outlook

FMCG is the fourth largest sector in the Indian Economy with a total market size of Rs. 60,000 crores. FMCG sector generates 5% of total factory employment in the country and is creating employment for three million people, especially in small towns and rural India.

Analysis of FMCG Sector

Strengths:1. Low operational costs2. Presence of established distribution networks in both urban and rural areas3. Presence of well-known brands in FMCG sector

Weaknesses:1. Lower scope of investing in technology and achieving economies of scale, especially in small sectors2. Low exports levels3. "Me-too" products, which illegally mimic the labels of the established brands. These products narrow the scope of FMCG products in rural and semi-urban market.

Opportunities:

1. Untapped rural market2. Rising income levels, i.e. increase in purchasing power of consumers3. Large domestic market- a population of over one billion.4. Export potential5. High consumer goods spending

Threats: 1. Removal of import restrictions resulting in replacing of domestic brands2. Slowdown in rural demandTax and regulatory structure

Scope Of The Sector

The Indian FMCG sector with a market size of US$13.1 billion is the fourth largest sector in the economy. A well-established distribution network, intense competition between the organized and unorganized segments characterize the sector. FMCG Sector is expected to grow by over 60% by 2010. That will translate into an annual growth of 10% over a 5-year period. It has been estimated that FMCG sector will rise from around Rs 56,500 crores in 2005 to Rs 92,100 crores in 2010. Hair care, household care, male grooming, female hygiene, and the chocolates and confectionery categories are estimated to be the fastest growing segments, says an HSBC report. Though the sector witnessed a slower growth in 2002-2004, it has been able to make a fine recovery since then.

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For example, Hindustan Levers Limited (HLL) has shown a healthy growth in the last quarter. An estimated double-digit growth over the next few years shows that the good times are likely to continue.

Growth Prospects

With the presence of 12.2% of the world population in the villages of India, the Indian

rural FMCG market is something no one can overlook. Increased focus on farm sector

will boost rural incomes, hence providing better growth prospects to the FMCG

companies. Better infrastructure facilities will improve their supply chain. FMCG

sector is also likely to benefit from growing demand in the market. Because of the low

per capita consumption for almost all the products in the country, FMCG companies

have immense possibilities for growth. And if the companies are able to change the

mindset of the consumers, i.e. if they are able to take the consumers to branded

products and offer new generation products, they would be able to generate higher

growth in the near future. It is expected that the rural income will rise in 2007,

boosting purchasing power in the countryside. However, the demand in urban areas

would be the key growth driver over the long term. Also, increase in the urban

population, along with increase in income levels and the availability of new

categories, would help the urban areas maintain their position in terms of

consumption. At present, urban India accounts for 66% of total FMCG consumption,

with rural India accounting for the remaining 34%. However, rural India accounts for

more than 40% consumption in major FMCG categories such as personal care, fabric

care, and hot beverages. In urban areas, home and personal care category, including

skin care, household care and feminine hygiene, will keep growing at relatively

attractive rates. Within the foods segment, it is estimated that processed foods, bakery,

and dairy are long-term growth categories in both rural and urban areas.

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Indian Competitiveness and Comparison with the World Markets

The following factors make India a competitive player in FMCG sector:

Availability of raw materialsBecause of the diverse agro-climatic conditions in India, there is a large raw material base suitable for food processing industries. India is the largest producer of livestock, milk, sugarcane, coconut, spices and cashew and is the second largest producer of rice, wheat and fruits &vegetables. India also produces caustic soda and soda ash, which are required for the production of soaps and detergents. The availability of these raw materials gives India the location advantage.

Labor cost comparison

Low cost labor gives India a competitive advantage. India's labor cost is amongst the lowest in the world, after China & Indonesia. Low labor costs give the advantage of low cost of production. Many MNC's have established their plants in India to outsource for domestic and export markets. Presence across value chain Indian companies have their presence across the value chain of FMCG sector, right from the supply of raw materials to packaged goods in the food-processing sector. This brings India a more cost competitive advantage. For example, Amul supplies milk as well as dairy products like cheese, butter, etc.

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Top 10 FMCG Companies

FMCG sector is an ever growing sector and is currently in a boom phase. There are many jobs in FMCG sector at diiferent levels like sales, supply chain, manager, operations, purchasing, supervisor, administration, general management, product development, HR, Finance and marketing. FMCG sector is famous for jobs that are not only well paying but also gives the best perks and bonuses. Freshers are looking for jobs in FMCGsector as these jobs will give them the best career in the industry.

S. NO. Companies

1. Hindustan Unilever Ltd.

2. ITC (Indian Tobacco Company)

3. Nestlé India

4. GCMMF (AMUL)

5. Dabur India

6. Asian Paints (India)

7. Cadbury India

8 Britannia Industries

9. Procter & Gamble Hygiene and

Health Care

10. Marico Industries

FMCG As A CareerIndustry BackgroundFMCG is one of the most dynamic domains of the business world. A career in this sector encompasses a large number of job roles like market research, pricing and product development, purchasing, advertising and brand awareness. FMCG is a sector where graduates can gain excellent rewards if they work hard. FMCG products are those that move off the shelves in retail outlets very quickly.

In the Fast Moving Consumer Goods (FMCG) sector, one needs to be fast in translating the ideas into new products. There is a requirement to create the products that people trust, enjoy and use in their daily lives. Advertising and marketing have a vital role to play in this. Qualifications Required FMCG career structures are fairly slow to progress. One may not get as high a package initialy as in some other sectors like IT, Real Estate, etc. Having once entered the secotor, however, candidates would find any number of opportunities and would see their salary packages rise fast enough.There are plenty of options in FMCG sector if you entere as a graduate, but strong educational qualifications are an advantage.Skills RequiredFMCG sector requires huge amount of commercial awareness; one must have the skills of a team player. Apart from that, good numerical skills, communication and organisational skills are all essential for a successful career in this industry. Key skills will also depend upon the type of position you want to pursue, i.e. marketing, human resources, finance, etc.

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Here are seven good reasons why one should pursue one's career in FMCG sector:

1. Job securityIt is a stable industry. Unlike some other industries, such as automobiles, computers, and airlines, FMCG industry does not suffer from mass layoffs, every time the economy starts to dip. One may drop the idea of buying a car but not the idea of having dinner. This lends FMCG a level of job security unknown in other industries.

2. A high profile industryIndia has 1.1 billion people and all are consumers. Therefore everyone is affected by FMCG sector. People now are getting more & more health conscious. They are getting concerned about what they are eating. All this has become possible because of the frequent display of various advertisements, such as protests against the genetic modification of foods, the growing problem of obesity, etc.

3. Quick experience Consider an example: One person is working in the sales of cars while the other one is working in the sales of juice. At the end of the month, the person who is working for the sales of cars makes a maximum of 2 or 3 sales, if he is fortunate. On the other hand, the other person sells a large number of products every day. Definitely, the juice seller will get more experienced in less time working in FMCG than any other sector, no matter whether in sales, marketing, operations, accounting, etc. In the end, one will land up learning more and gaining a firm grasp of basic business skills.

4. A wide range of experienceOne can have a wide range of choices if one desires a career path in FMCG sector. Wide availability of options for working in a large MNC or a small local company ensures that people in FMCG sector have a range of job roles available to them. The "fast moving" part of FMCGs requires people who are flexible. Transfer from sales to marketing or to operations is very common. In fact all three roles can be played at once in smaller firms. One will get to learn a lot, even if one enters this sector for a short duration.

5. An industry that thrives on innovationFMCG sector gives the opportunity to do creative work. There is a constant requirement of innovation in production, advertising, packaging and branding. FMCG offers an opportunity to express your creativity through developing new ideas for products, as brands compete head to head on the shelf.

6. Nationwide opportunities, both urban and ruralFMCG sector offers opportunities through its connection to the primary sector in rural and urban areas. The sector is particularly attractive for those interested in working in different parts of the country, as it has a nationwide base, unlike many other sectors confined to particular locations.

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7. Offshore opportunitiesThe International offices of most FMCG multinationals regularly recruit staff from our country, either for short projects or for longer stints.

Secondary Players

1. Colgate-Palmolive (India) Ltd.2. Godrej Consumers Product Ltd.3. Nirma Ltd.4. Tata Tea Ltd.5. Parle Agro6. H. J. Heinz

Indian Consumer ClassIndia has a population of over 1 billion and 4 climatic zones . Several religious and personal beliefs, 15 official languages, different social customs and food habits characterize Indian consumer class. Besides , India is also different in culture if compared with other Asian countries. Therefore, India has high distinctiveness in demand and the companies in India can get lot of market opportunities for various classes of consumers. Consumer goods marketers experience that dealing with India is like dealing with many small markets at the same time.

Indian consumer goods market is expected to reach $400 billion by 2010. India has the youngest population amongst the major countries. There are a lot of young people in India in different income categories. Consumer goods marketers are often faced with a dilemma regarding the choice of appropriate market segment

In India they do not have to face this dilemma largely because rapid urbanization, increase in demand, presence of large number of young population, any number of opportunities are available . The bottom line is that Indian market is changing rapidly and is showing unprecedented consumer business opportunity .

As the restrictions on foreign investments were relaxed in 1991, Multi-National Companies have been entering India since then.

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  Market Size in $ million

Market Share in %    

    Indian Companies  

MNCs Indian Companies  

MNCs  

  1992 2004 1992 2004

Breakfast cereals

2 25 100 0 52 48

Wafers, potato chips

6 35 100 0 37 63

Washing Machines

40 570 98 2 51 49

TV 630 3,030 97 3 49 51

1992 $=30 rupees2004 $=45 rupeesSource: Center for Monitoring Indian Economy (CMIE)

Indian consumer class can be classified according to the following criteria:

1. Income2. Socio-Economic status3. Age demographics4. Geographical dispersion

Recent Developments in Fast Moving Consumer Goods (FMCG) Sector

FMCG sector is no doubt registering an up trend in growth. According to CNBC, FMCG sector growth story will continue because of the positive budget. Nevertheless, there are some barriers to the growth of the sector. Indirect taxes constitute no less than 35% of the total cost of consumer products - the highest in Asia. Last year, Finance Minister proposed to introduce an integrated Goods and Service Tax by April 2010.This is an exceptionally good move because the growth of consumption, production, and employment is directly proportionate to reduction in indirect taxes.

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Budget 2007-2008 for FMCG Sector Reduction of duty on edible oil will have a positive impact on Marico. Full exemption of excise duty on biscuits priced at 50 rupees or less per kg is

positive for ITC, Britannia, and Parle. Reduction of custom duty on food processing machinery and their parts from

7.5% to 5%. Reduction of excise duty on food mixes from 16% or 8% to nil is positive for

ITC. Development of rural infrastructure is in focus, which is beneficial for FMCG

companies because it is a big market for FMCGs. Better infrastructure will improve the supply chain.

Exemption of free samples and displays from the purview of FBT will be beneficial for FMCG companies because they spend huge amount of money on advertising and brand building. HLL, Dabur, ITC, and Marico will be amongst the most benefited companies.

Reliance Retail to Enter the Packaged Tea MarketEmami Set to Invest Rs 220 Crore for Expansion in FMCG SectorGodrej Targeting FMCG Acquisitions in China, Indonesia, and Brazil FMCG Sector on a Buying Spree

Corporate Social Responsibility FMCG companies have now started taking Corporate Social Responsibility seriously. For instance, to encounter domestic violence, Ponds has tied up with the United Nations Development Fund(UNDF) for Women. Surf Excel is funding the education of children. Most brands link themselves with the social causes, thereby linking consumers with the brands and gaining goodwill in the market.

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Type : Public company BSE: 500696

Industry : Fast Moving Consumer Goods FMCG)

Founded : 1933

Headquarters : Mumbai, India

Key people : Harish Manwani (Chairman),

Nitin Paranjpe (CEO and Managing Director)

Products : Home & Personal Care, Food & Beverages

Revenue : 17,873.44 Cr (US$3.88 billion) (2009-0)

Net income : 2,202.03 Cr (US$477.84 million)

Employees : Over 65,000 direct & indirect employees

Parent Unilever : Plc (52%)

Website : www.hul.co.in

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Profile of HUL

Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company, touching the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. The company’s Turnover is Rs. 17,523 crores (for the financial year 2009 - 2010)

HUL is a subsidiary of Unilever, one of the world’s leading suppliers of fast moving consumer goods with strong local roots in more than 100 countries across the globe with annual sales of about €40 billion in 2009 Unilever has about 52% shareholding in HUL.

Hindustan Unilever was recently rated among the top four companies globally in the list of “Global Top Companies for Leaders” by a study sponsored by Hewitt Associates, in partnership with Fortune magazine and the RBL Group. The company was ranked number one in the Asia-Pacific region and in India.

The mission that inspires HUL's more than 15,000 employees, including over 1,400 managers, is to help people feel good, look good and get more out of life with brands and services that are good for them and good for others.  It is a mission HUL shares with its parent company, Unilever, which holds about 52 % of the equity.

Foods

From yummy ice creams to scrumptious sauces, our food brands can satisfy even the most discerning palates. 

Home care

Whether you want fresh, soft clothes or sparklingly clean bathrooms, our home care brands can help

Personal care

In need of hair care heroics? Wanting to relax with a luxurious bath? Our personal care brands have answers to all these questions and more.

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Our Vision

Unilever products touch the lives of over 2 billion people every day –

whether that's through feeling great because they've got shiny hair and a

brilliant smile, keeping their homes fresh and clean, or by enjoying a great

cup of tea, satisfying meal or healthy snack.

A Clear Direction

The four pillars of our vision set out the long term direction for the company – where we want to go and how we are going to get there:

We work to create a better future every day

We help people feel good, look good and get more out of life with brands and

services that are good for them and good for others.

We will inspire people to take small everyday actions that can add up to a big

difference for the world.

We will develop new ways of doing business with the aim of doubling the size

of our company while reducing our environmental impact.

We've always believed in the power of our brands to improve the quality of people’s

lives and in doing the right thing. As our business grows, so do our responsibilities.

We recognise that global challenges such as climate change concern us all.

Considering the wider impact of our actions is embedded in our values and is a

fundamental part of who we are.

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Company structure

Hindustan Unilever Limited is India's largest Fast Moving Consumer Goods (FMCG)

company. It is present in Home & Personal Care and Foods & Beverages categories.

HUL has about 15,000 employees, including over 1400 managers

The fundamental principle determining the organisation structure is to infuse speed

and flexibility in decision-making and implementation, with empowered managers

across the company’s nationwide operations.

Board of Directors

The Board of Directors as repositories of the corporate powers act as a guardian to the

Company as also the protectors of shareholder’s interest.

Management Committee

The day-to-day management of affairs of the Company is vested with the

Management Committee which is subjected to the overall superintendence and control

of the Board.

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Executive directors

The Executive directors are members of the HUL Management Committee as well as the Board of HUL.

Mr. Nitin Paranjpe - CEO and Managing Director

Mr. Nitin Paranjpe (46), after obtaining a degree in BE (Mechanical) and MBA in Marketing (JBIMS) from Mumbai, joined the Company as a management trainee in 1987.

Mr. R. Sridhar - Chief Financial Officer

Mr. Sridhar Ramamurthy (45) is a Chartered Accountant (Gold Medallist) as well as a Cost Accountant and Company Secretary.

Mr. Gopal Vittal - Executive Director, Home & Personal Care

Mr. Gopal Vittal (42), an alumnus of Madras Christian College, completed his MBA from IIM, Calcutta. Mr. Vittal has 18 years experience in Marketing & Sales in FMCG market including Skin Care, Soaps and Laundry.

Mr Pradeep Banerjee - Executive Director, Supply Chain

Mr Pradeep Banerjee (51) joined HUL as a Management Trainee in 1980. 

24

Purpose & principles

Our corporate purpose states that to succeed requires "the highest standards of corporate behaviour towards everyone we work with, the communities we touch, and the environment on which we have an impact."

Always working with integrity

Conducting our operations with integrity and with respect for the many people, organizations and environments our business touches has always been at the heart of our corporate responsibility.

Positive Impact 

We aim to make a positive impact in many ways: through our brands, our commercial operations and relationships, through voluntary contributions, and through the various other ways in which we engage with society. 

Continuous commitment

We're also committed to continuously improving the way we manage our environmental impacts and are working towards our longer-term goal of developing a sustainable business.

Setting out our aspirations 

Our corporate purpose sets out our aspirations in running our business. It's underpinned by our code of business Principles which describes the operational standards that everyone at Unilever follows, wherever they are in the world. The code also supports our approach to governance and corporate responsibility.

Working with others

We want to work with suppliers who have values similar to our own and work to the same standards we do. Our Business partner code, aligned to our own Code of business principles, comprises ten principles covering business integrity and responsibilities relating to employees, consumers and the environment.

25

Our Brands

From sumptuous soups to sensuous soaps, our products all have one thing in common. They help you get more out of life.

Our brands

As India’s largest consumer goods company, we offer people with talent, passion and integrity some of the best career opportunities.

Taking your career further

HUL at a glance

Hindustan Unilever Limited (HUL) is India's largest fast moving consumer goods company, with leadership in Home & Personal Care Products and Foods & Beverages.

HUL's brands touch the lives of two out of three Indians. They endow the company with turnover of Rs.17,523 crores (for the 12 month period – April 1, 2009 to March 31, 2010).

The mission that inspires HUL's more than 15,000 employees, including over 1,400 managers, is to help people feel good, look good and get more out of life with brands and services that are good for them and good for others.  It is a mission HUL shares with its parent company, Unilever, which holds about 52 % of the equity.

Our brands

From sumptuous soups to sensuous soaps, our products all have one thing in common. They help you get more out of life.

26

Brands for life

Food brands Personal care

brands Home care

brands

From sumptuous soups to sensuous soaps, our products all have one thing in common. They help you get more out of life.

Food brands

3 Roses Annapurna Brooke Bond Taaza Bru Kissan Knorr

Kwality Wall’s Lipton Modern Red Label Taj Mahal

27

Healthy appetites

Our aim is to provide foods which taste great and are good for you. We are committed to helping people everywhere achieve a balanced diet, by making the healthy choice an easy choice.

28

Find out more about nutrition

Food brands

Personal Care Brands

Aviance Axe Breeze Clear Clinic Plus Closeup Dove Fair & Lovely Hamam LEVER Ayush Therapy

Lakme Lifebuoy Liril 2000 Lux Pears Pepsodent Pond's

29

Rexona Soap Sunsilk Vaseline

Home care brands

Active Wheel Cif Comfort Domex

Rin Sunlight Surf Excel Vim

30

View our home care brands

Our commitment

Around the house

We all want to make the most of our free time. That's why making those chores around the home that little bit easier is so important. Let our homecare range help lighten the load.

31

Around the house

Home care brands

Our brands

Food brands Home care brands

Personal care brands Water

Nutrition Health, hygiene & beauty

Water Conservation

United Nations reports that people need a minimum of 50 litres of water a day for drinking and other basic needs. In India, more than 50%of the population lives on less than 10 litres of water a day. Approximately 70% of the total water is consumed by the agriculture sector. India is an agri-economy, and as its population grows, there will be an increase in water consumption by the agriculture sector. These issues are likely to be exacerbated by climate change, making access to water an issue for farmers and society.We have identified water conservation as an issue we would like to focus our energies on. We are working in close partnership with our stakeholders to conserve precious drops of water. Water management has been a key area of focus for HUL across the entire value chain.We are also engaged in community projects to conserve water. We aim to conserve more than 20 billion litres of water by 2015.We will conserve water by working on a wide range of locally relevant initiatives and partnerships for water conservation and spread awareness about the issue amongst our consumers and communities.We are working with specialised NGO partners in the field of water conservation, and use various models with specific performance indicators and evaluation procedures. We began this journey seven years ago to build our learning. Since then, we have been engaged in successful projects on water conservation across different terrains in India which face acute shortage of water.

Successful water conservation pilot projectsProject KhamgaonSeven years ago, our team from the Khamgaon factory started a pilot watershed management project, on a five hectare plot, to prevent soil degradation and to conserve water. The selectedarea was located in a dry and arid region of Maharashtra.

32

The efforts have resulted in the creation of a green belt, which is now a veritable forest with about 6,300 trees. Encouraged by the results, we extended the model to a neighbouring village, Parkhed, in association with The Energy and Resources Institute (TERI)and BAIF Development Research Foundation. The community at Parkhed constructed 47percolation bunds, 1,600 trenches, 6,000 running metres of continuous contour trenching over 100hectares and five permanent check dams. More than 350 families are reaping the second crop, which is made possible by the check dams.The total land under cultivation during the second crop season is approximately 470 acres. The annual income of the farmers in the vicinity of the five check dams has increased from an average of INR 36,000 to approximately INR 85,000, per farmer. This success has been attributed to the availability of well water during the Rabi season and an increase in the water level during the Kharif season. Hence, along with reaping a Rabi crop, the farmers have also been able to almost double the yield of the Kharif crop. This initiative received appreciation at the Johannesburg World Summit on Sustainable Development.

Building the future

Research & development in Unilever ranges from looking at emerging technologies, exploring possible applications and collaborating with external experts to projects lasting around six to nine months that adapt products for local markets.

Reducing salt in food

Salt is essential for a healthy diet, but too much can cause serious problems.

The science of touch

Why do we choose one product over another? You'd surprised to learn how much happens in your unconscious each time you make a purchase.

Food structuring

Humanity has been creating food structures to suit changing tastes and needs for millennia. But to deliver new types of food

33

to customers who expect the best, means taking cooking beyond the possibilities of the kitchen.

The science behind ice cream's magic

We have developed new technologies to improve the creaminess of our ice-cream. We needed new technology that retains the small air bubbles and the rest of the fine microstructure of the freshly produced ice cream in the product.

Hindustan Unilever Limited – December Quarter 2010 Results

25-01-2011 : Sustained double digit growth; Turnover exceeds Rs 5000 crores

Strong 12% sales growth in Domestic Consumer business Operating Margins lower due to impact of high input cost inflation & brand

investments PAT (bei) Rs.587 crore; Net profit Rs.638 crore, down by -1.8%

Mumbai, January 25th 2011: Hindustan Unilever Limited (HUL) announced its results for December Quarter 2010. With sustained double digit underlying volume growth in the Domestic Consumer business (+13%), Net Sales grew 12% during the quarter and ahead of the market in aggregate.

Home and Personal Care business grew by 11.6% with competitive growth in both Laundry and Personal Wash. Laundry portfolio was further strengthened and Rin delivered record volume growth. Personal Wash also grew ahead of the market with Lifebuoy growing strongly post the relaunch and the premium portfolio continuing to deliver robust growth.

Personal Products grew strongly at 20%; Growth was broad based across categories with Skin Care delivering a particularly strong performance. Skin Care growth was innovation led, both on the core and in emerging segments. Fair and Lovely, Pond’s White Beauty and Vaseline Healthy White continued to deliver robust sales growth. Both Hair and Oral performed well across the key brands. Dove Hair range was relaunched with ‘Fiber Actives’ and in Oral, a new variant Close-up ‘Fire-Freeze’ was successfully introduced.

34

Foods business grew 11.3%. In Tea, Red Label was relaunched and continued to deliver double digit growth. Coffee growth was robust, across conventional and instant coffee, with price point packs performing particularly well. Knorr Soupy Noodles sustained its strong momentum and is now available nationally. Ice-cream grew by 31% with good growth across formats.

Pureit continued to expand its franchise with product offerings across multiple price and benefit positions. Overall, the water business grew strongly and in line with action standards.

Input cost inflation continued to rise during the quarter. Cost of goods sold went up by 220 bps, as a result of steep rise in material costs, especially in commodity sensitive categories. A&P spend grew by 17% to maintain market competitiveness and to develop emerging categories. Consequently, operating margins were lower by 320 bps. Buying efficiencies and cost saving programs remain a priority and are being further scaled up.

Financial income increased by Rs. 38 crores through further improvement in working capital and sound treasury management. Profit after tax but before exceptional items declined by -2.1%, while Net Profit declined by -1.8%.

Harish Manwani, Chairman commented: “Our strategy is working and is reflected in the consistent double digit underlying volume growth over the last four quarters and ahead of market growth. We continue to strengthen our leadership in core categories, even as we invest to build opportunities for the future. In an inflationary environment, we will manage our business dynamically, through judicious pricing actions and increased focus on cost effectiveness, while ensuring that we remain competitive in the market place.”

Powered by people

Our people give Unilever its energy, culture and ideas. They aren't just a part of the business; they make this organisation what it is.

Best decision of my life Company with a heart Define your tomorrow, today Freedom to grow & develop

CareersMeet our people

Why join us Inside HUL

Career choices Apply

35

Personal Evaluation Toolkit HUL Alumni

Personal evaluation toolkit

Exercises that will help you make the right choice.

HUL Alumni

Do you bear the tag of having been a Levers guy? Does your resume boast of having worked with HUL? If yes, then no matter wherever you are today, HUL beckons you to connect yet again with HUL and your old colleagues through the HUL Alumnus network.Taking your career further You're talented, experienced and committed. But you want a new challenge, in a team where you can achieve more and genuinely impact the business. Here's how.Starting your career There's no better place to take your first steps into the world of work. Discover the exceptional support, learning and opportunities across our business.Community services

HUL also renders services to the community, focusing on health & hygiene education, empowerment of women, and water management. It is also involved in education and rehabilitation of underprivileged children, care for the destitute and HIV-positive, and rural development. HUL has also responded to national calamities, for instance with relief and rehabilitation after the 2004 tsunami caused devastation in South India.

In 2001, the company embarked on a programme called Shakti, through which it creates micro-enterprises for rural women. Shakti also includes health and hygiene education through the Shakti Vani Programme, which now covers 15 states in India with over 45,000 women entrepreneurs in 135,000 villages. By the end of 2010, Shakti aims to have 100,000 Shakti entrepreneurs covering 500,000 villages, touching the lives of over 600 million people. HUL is also running a rural health programme, Lifebuoy Swasthya Chetana. The programme endeavours to induce adoption of hygienic practices among rural Indians and aims to bring down the incidence of diarrhoea. So far it has reached 120 million people in over 50,000 villages.

Other awardsHUL is one of the country's largest exporters; it has been recognised as a Golden Super Star Trading House by the Government of India.

36

In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25 years by Business world, one of India’s leading business magazines. The rating was based on a compilation of the magazine's annual survey of India’s most reputed companies over the past 25 years.HUL was one of the eight Indian companies to be featured on the Forbes list of World’s Most Reputed companies in 2007.

CONCEPTUAL FRAMEWORK

INTRODUCTION OF JOB SATISFACTION:

Job satisfaction refers to a general attitude resulting from various specific attitudes

relating to (a) Specific job factors (such as steadiness of employment, supervision,

advancement of opportunities, wages, working conditions, fair evaluation of

work, fair treatment by employers/ management, social relations of the job and

other similar things); (b) Industrial Characteristics (such as employees age, sex,

temperament, desires, level of aspiration etc); and (c) group relationships outside the

job (such as employees family relationships, social status, relationship with labour,

purely social or political organizations etc) Thus job satisfaction is the result of

various attitudes the employee holds towards his/her job, towards related factors and

towards life in general. Job satisfaction caused by many interrelated factors, some of

the most important factors relating to job satisfaction may be briefly stated as below.

1 Personal factors:- These factors include the individual employee`s

personality , age, sex, number of dependents, education, intelligence, time on the job

etc. Certain personality traits have been viewed as an important cause of job

dissatisfaction. The existence of neurotic behavior or personality maladjustment has

been found to be a cause of job dissatisfaction only when the job itself is one of

greater strain.

37

As regards the relationship between the intelligence of an individual and job

satisfaction, it usually depends upon the level and range of intelligence and the

challenge of the job.

2. Factors inherent in the job:- These factors include the type of work to be

performed and skill required for work performance, occupational status

involved in the job, differences in work situation etc.

As regards the relation of occupational status to the job satisfaction, it has been

pointed out that occupational status is related to job satisfaction but it is Not identical

with it. Such status does Not depend entirely on the job itself and it depends Not only

on the way the employee regards the status of his/ her job but also on how it is

considered by others whose opinion or views he/she regards to be important.

However, research evidence indicates that employees in those jobs are relatively more

dissatisfied which have less social status or prestige.

3. Factors under control of the management: These factors include

(Economic as well as social), wages and salaries pay, fringe benefits, opportunities for

advancement in working conditions, type and quality of supervision etc.,. It is believe

that industrial employees mostly want study work and old age security. The

importance of economic as well as social security as a factor in job satisfaction varies

with marital status and the no.of dependents. It also suggest that at times security is of

less importance for job satisfaction probably because there is No fear of layoff in the

kind of jobs and the confidence of being able to find others jobs, if necessary. As

regards the relation of wages and salaries or pay to job satisfaction, its importance is

generally over emphasized by management who tend to believe that a pay-rise can

make everyone in the organization happy.

DEFINING JOB SATISFACTION:

A comprehensive definition of job satisfaction is given as "a pleasurable or

positive emotional state resulting from the appraisal of one's job or job

experience ". Job satisfaction is a result of employees perception of how

well their job provides those things, which are viewed as important.

REVIEW OF LITERATURE ON JOB SATISFACTION

38

To make the best use of people as a variable resource of the organization, attention

must be given to the relationships between staff and the nature and content of their

jobs. The nature of the work and the design of the jobs can have a significant effect on

the level of job satisfaction of the staff. Attention needs to be given to the quality of

work life. The manager needs to understand how best to make the work ` satisfying`

for the staff and to overcome obstacles for effective performance.

A comprehensive definition of job satisfaction is given as "a pleasurable or positive

emotional state resulting from the appraisal of one's job or job experience ". Job

satisfaction is a result of employee`s perception of how well their job provides those

things, which are viewed as important under all situations.

THEORIES OF JOB SATISFACTION:

Present day theories of job satisfaction have been divided into two categories -

content theories and process theories.

Content Theories:-

It gives an account of the factors, which influence job satisfaction. Maslow's needs

hierarchy theory and its development by Herzberg into two-factor theory can be

considered under this category.

Process Theories:-

This theory profess to give an account of the process by which variables such as

expectation, needs and values, interact with characteristics of the job to produce job

satisfaction. Perhaps the most popular account of job satisfaction at present is that it

involves fulfillment of the individual needs. Maslow hypothesized given levels on

needs.

I. MASLOW'S HIERARCHY OF NEEDS:-

These needs are as follows:-

At the lowest layer are the physiological needs.

These are the needs for hunger, rest, shelter, exercise and protection from the weather

elements. When physiological needs have been reasonably satisfied, the next higher

need is safety needs. The desire for safety and security is satisfied by the existence of

39

an orderly society by job security, insurance and other types of social security, fringe

benefits and welfare programs. When man's physiological and safety needs have

been satisfied his social needs become important. These needs are concerned with

getting companionship, seeking acceptance by his fellow beings, giving and receiving

love and affection becoming a member of a group and co-operating with others.

When belonging and affiliation needs are satisfied, then esteem needs arises,

"whereby individuals desire a high evaluation of themselves". Self esteem comprising

of feelings of competence, autonomy, independence, freedom, dominance, strength,

achievements, acquisition, relation, and for recognition, attention, importance or

appreciation from other people, reputation or prestige status and power to control. The

satisfaction of esteem needs leads to feelings of self confidence, worth, strength,

capability and adequacy, of being useful in the world, but any of these needs produces

feelings of inferiority, weakness and of helplessness which in turn, give rise to either

basic discouragement or else compensatory or neurotic trends.

These are the needs, which help realize ones own potentialities for continuation of the

self-development and for being creative. The first three are the lower order needs, and

the fourth and the fifth are the higher order needs. Maslow argues that only after the

lower order needs are satisfied a man becomes capable of being concerned with

fulfilling needs. In the job situation, the theory would predict that only after the lower

order needs for security and pay have been satisfied, will the employees seek

satisfaction and achievement from the work itself.

Hertzberg distinguishes two classes of factors involved in job satisfaction. The first is

the motivational factors and the second is the hygiene factors. Hertzberg theory is an

extension of Maslow theory. He conducted test on 200 employees. He used critical

incident method for data analysis. He distinguishes two classes of factors involved in

job satisfaction

a) Motivational factors

b) Hygiene factors

These are associated with job experience and job content.

These are factors if present in work situation leads to satisfaction, but whose absence

doesn't lead to job satisfaction. They include achievement, recognition, advancement,

the work itself and the possibility of personal growth, responsibility and correspond to

high level of self-actualization in Maslow's hierarchy of needs. These higher order

factors are separate and distinct. Which when adequate, lead to job satisfaction, but

40

when they are inadequate leads to job dissatisfaction. Hygiene factors are associated

with job content. They are pay, security and physical work conditions, which

correspond to the lower order needs in Maslow's hierarchy The thrust of Herzberg's

argument is that factors like pay and working conditions are content factors, which are

little to do with deriving satisfaction from the job. There are necessary conditions,

which see that the job dissatisfaction is Not caused but they do Not produce job

satisfaction by themselves. On the other hand, job satisfaction is produced by the job

itself allowing the individuals to grow psychologically. That is to achieve a

worthwhile aim to attain recognition for his/her efforts and so on, so that he/she can

regard himself a worthwhile individual. One important aspect of expectation is that,

they give to an individual a frame of reference by which they judge the world around

him/her if the events in the world do Not fit his/ her frame of reference, he/she is often

unhappy.

There is an assumption that psychological contract exists between employees, that is,

for a given amount there should be a given amount of reward. The individual

establishes this by comparing the efforts of rewards he/she receives with those of

others only where the rewards and efforts are seen as reasonable in terms of other

people, it leads to satisfaction.

Growth need : - concerned with personal development

He feels that deprivation is the only way to achieve needs; there is No need to go in

sequence. Job satisfaction is itself a complex concept and difficult to measure

objectively. A wide range of variable relation to individual, social, cultural,

organizational and environmental factors affects the level of job satisfaction.

Individual factors include:- Personality , education, intelligence and abilities, age,

marital status, orientation to work.

Social factors include:- Relationships with co-workers group working and Norms ,

opportunities for interaction, informal organization.

Cultural factors include: - Attitudes , belief and values

41

Organizational factors include:- Nature and size, formal structure, personal policies,

Industrial relations , nature of work, techNology and work organization, supervision

and styles of leaderships, Management system , working conditions.

Environmental factors include:- EcoNomic, social , technical and governmental

influences.

The other factors that influences job satisfaction are :

a) Pay:- wages and salaries are recognized to be a significant but Cognitive,

complex and multi dimensional factors in job satisfaction. Money Not only helps

people to attain their basic needs but also is instrumental in providing upper level

satisfaction. Employees often see pay as a reflection of how management feels about

their contribution to the organization.

b) Work itself: - The content of the work itself is a major source of satisfaction.

Job itself and autoNomy are two of the major job related motivation factors. Important

ingredients of satisfying job include Interesting and challenging work. Work that is

Not boring and a job that provides status bring job satisfaction.

c) Promotion: - Promotional opportunities seem to have a varying effect on

job satisfaction. This is because promotion takes a number of different forms

and have a variety of accompanying rewards. Executive promotions may be

more satisfying than promotions that occur at the lower levels of the

organization.

d) Work groups:- The nature of the workgroup will have an effect on the job

satisfaction. Friendly, co-operative workers are a modest source of job satisfaction to

individual employees. The work group schemes as a support, comfort, advice and

assistance to the individual workers. Individuals find work groups attractive for a

42

number of reasons. Satisfaction is gained from interaction with others as a pleasure in

its own right friendship.

e). Working conditions:- Working conditions is aNother factor that have

remarkable effect on job satisfaction . The employees Salaries, Benefits in personal

life. This was introduced by Clayton Alderfer. It is an extension of Herzberg theory.

He argues that there is No value in categorizing needs into lower and higher order

ones. He categorized needs into three core needs.

Existence need : - concerned with psychological needs

Relatedness need : - concerned with social needs

should be provided with good ventilation facilities and space free of Noise and

other pollutants. If the working conditions are poor, personnel will find it more

difficult to get the things done. If the working environment is pleasant there is

No reason why people feel dissatisfied. However providing a congenial work

environment attract additional investments on the part of employers and most

often employers are averse to this aspect, hence job dissatisfaction.

f) Supervision: - Supervision is aNother moderately important source of employee

satisfaction . There seem to be two dimensions of supervisory style that affect

satisfaction. One is employee-centeredness, which is measured by the degree to which

a supervisor takes personal interest in the employees welfare. It commonly is

manifested in ways such as checking to see how well the subordinate is doing,

providing advice and assistance to the individual, and communicating with the worker

on a personal as well as at the official level. A pat on the back with a word of

appreciation from the Supervisor will do wonders in providing job satisfaction.

g). Compensation: - Rewards include both direct and indirect compensation.

Higher the compensation an employee receives, the greater is employees satisfaction.

Employees bring a variety of perspectives to bear, in deciding whether they are

satisfied with the compensation they receive, thus making the management of

compensation a particularly challenging HR activity. In compensation, there is use of

Bonus - one time lump sum payments given for meeting a performance goal.

Bonuses Not only help the employee control input costs but also appear to improve

employee satisfaction,

h) Benefits:-Many organizations offer additional benefits some of which provide

inNovative opportunities for employees. Employees are exposed to skill & will her a

43

new title that may by reflect the level of work he/she has achieved. When feasible,

employees shall be supported by allowing them to persue further education, which

will make them more valuable and more fulfilled professionally.

There are a number of ways of measuring job satisfaction; some of the most common

include rating scales, critical incidents, interviews and action tendencies. One of the

most popular is the Minnesota satisfaction questionnaire (MSQ).This instrument

provides the detailed picture of the specific satisfaction and dissatisfaction of the

employees. Another popular rating scale is the job descriptive index (JDI). This

rating scale offers a number of important advantages in measuring job satisfaction,

one is that they are usually short and can be filled out quickly and easily. Another is

that they tend to be used in general language so that they can be used with employee

in different types of organizations. On the negative side these instructions are based

on the assumption that the persons are willing to respond honestly and that they are

able to describe their feelings accurately. Another problem is underlying assumption

that the questionnaire items are valid and reliable.The critical incidents approach to

the measurement of job satisfaction is very popular. Employees were asked to

describe the incidents on their job when they were particularly satisfied and

dissatisfied. These incidents where then contents analyzed in determining which

aspects were Not closely related to the positive and negative attitudes. One of the

most benefits of this approach is that it allows the respondents say what ever they

want. On the other hand, the approach is time consuming and there is a chance that

both response

and another method of assessing job satisfaction is through the use of personal

interviews. It is an exploratory device to identify relations or verify information

collected and to capture information, as it exists. Its flexibility makes the interview a

superior technique for exploring areas where Not much is kNown about questions to

ask or how to formulate questions. It offers a better opportunity that the questionnaire

to evaluate the validity of the information gathered .The interviewer can observe, Not

only what subjects say, but also how they say it .It is an effective technique for

eliciting information of complex subjects and for probing the sentiments underlying

expressed opinions .On the negative side responses can be misinterpreted and thus

lead to erroneous conclusions. There is the possibility of interviewer bias. Interviews

are relatively time consuming and thus expensive way of gathering information.

44

Action tendencies are the inclination people have to approach or avoid certain things.

By gathering information about how they feel like acting with respect to their job, the

job satisfaction can be measured. There are a number of advantages associated with

this approach in measuring attitudes .One is that, less self-insight is required by the

respondent. Thus, the chance of self- bias is reduced. Secondly, the approach

produces greater opportunities for people to express their inner feelings in depth,

when compared to other instruments used for measuring job satisfaction of a person.

II. ALDERFER ERG THEORY:

This was introduced by Clayton Alderfer. It is an extension of Herzberg

theory. He argues that there is No value in categorizing needs into lower and higher

order ones. He categorized needs into three core needs.

Existence need : - concerned with psychological needs

Relatedness need : - concerned with social needs

Growth need : - concerned with personal development

He feels that deprivation is the only way to achieve needs, there is no need to go in

sequence

DIMENSIONS OF THE JOB SATISFACTION:

Job satisfaction is itself a complex concept and difficult to measure objectively. A

wide range of variable relation to individual, social, cultural, organizational and

environmental factors affects the level of job satisfaction.

Individual factors include:- Personality , education, intelligence and abilities, age,

marital status, orientation to work.

45

Social factors include:- Relationships with co-workers group working and Norms ,

opportunities for interaction, informal organization.

Cultural factors include: - Attitudes , belief and values

Organizational factors include:- Nature and size, formal structure, personal policies,

Industrial relations , nature of work, technology and work organization, supervision

and styles of leaderships, Management system , working conditions.

Environmental factors include:- Economic, social , technical and governmental

influences.

INFLUENCES JOB SATISFACTION ARE :

There a number of factors that influences Job satisfaction which are as follows

a) Pay:- wages and salaries are recognized to be a significant but Cognitive, complex

and multi dimensional factors in job satisfaction. Money Not only helps people to

attain their basic needs but also is instrumental in providing upper level satisfaction.

Employees often see pay as a reflection of how management feels about their

contribution to the organization.

b) Work itself: - The content of the work itself is a major source of satisfaction.

Job itself and autoNomy are two of the major job related motivation factors. Important

ingredients of satisfying job include Interesting and challenging work. Work that is

Not boring and a job that provides status bring job satisfaction.

c) Promotion: - Promotional opportunities seem to have a varying effect

on job satisfaction. This is because promotion takes a number of different forms

46

and have a variety of accompanying rewards. Executive promotions may be

more satisfying than promotions that occur at the lower levels of the

organization.

d) Work groups:- The nature of the workgroup will have an effect on the job

satisfaction. Friendly, co-operative workers are a modest source of job satisfaction to

individual employees. The work group schemes as a support, comfort, advice and

assistance to the individual workers. Individuals find work groups attractive for a

number of reasons. Satisfaction is gained from interaction with others as a pleasure in

its own right friendship.

e) Working conditions:- Working conditions is another factor that have modest

effect on job satisfaction . The employees Salaries, Benefits in personal life.

should be provided with good ventilation facilities and space free of Noise and

other pollutants. If the working conditions are poor, personnel will find it more

difficult to get the things done. If the working environment is pleasant there is

No reason why people feel dissatisfied. However providing a congenial work

environment attract additional investments on the part of employers and most

often employers are averse to this aspect, hence job dissatisfaction.

f) Supervision: - Supervision is another moderately important source of employee

satisfaction . There seem to be two dimensions of supervisory style that affect

satisfaction. One is employee-centeredness, which is measured by the degree to which

a supervisor takes personal interest in the employees welfare. It commonly is

manifested in ways such as checking to see how well the subordinate is doing,

providing advice and assistance to the individual, and communicating with the

worker on a personal as well as at the official level. A pat on the back with a word of

appreciation from the Supervisor will do wonders in providing job satisfaction.

g) Compensation: - Rewards include both direct and indirect compensation.

Higher the compensation an employee receives, the greater is employees satisfaction.

Employees bring a variety of perspectives to bear, in deciding whether they are

satisfied with the compensation they receive, thus making the management of

compensation a particularly challenging HR activity. In compensation, there is use of

Bonus - one time lump sum payments given for meeting a performance goal.

47

Bonuses Not only help the employee control input costs but also appear to improve

employee satisfaction,

h) Benefits: Many organizations offer additional benefits some of the which

provide innovative opportunities for employees and have establish employee

assistance program(EAPS) offering short term counseling for employees under job-

stress or personal-stress . These measures activate the finer instincts of employees

making him satisfied with the employer.

i) Health & Safety Measures:- Successful health & safety depend on the

philosophy of management. Health policy may be motivated by the belief that

worker's represent a valuable asset of the organization. Top management should

assume the leadership role. If top management pays only lip services to safety,

workers will disregard the safety policies as unimportant. A lot of statutes have

been enacted to safeguard the health and safety of workers in different

establishments/industry. Government intervenes when the employers default on these

fronts. Permissions in the form of license is issued to various industries only if they

comply with the safety &health provisions stipulated under relevant Acts. Violation

on the part of employers attract penal action by statutory authorities.

j) Performance & stress:- It is an adaptive response to an external situation that

results in physical, physiological, and behavioral deviations for organization

participants. It is Not easy to determine the optimum level of stress for employees. It

depends on the employees life with demographic characteristics occupational (age,

race) status. Human performance is always subjective. No two workers are same in

their manual performance. A lot depends on his physique, age, race, experience and

the stress to which they are exposed. It is said that a few people give out their best

under stress while others like to put in their best when they are relaxed.

k) Age: - There is No linear relationship between age and job satisfaction. Towards

the end of employees career, there may be down turn in their satisfaction. The decline

may be due to unmet expectations and the downsizing, which has left unwanted, with

no sense of loyalty or belonging.

l) Achievement;- One premise inherent in Hertzberg’s theory is that most

individuals sincerely want to do a good job. Clear, achievable goals and standards for

each position should be set and to make sure employees know what those goals and

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standards are. Individuals should also receive regular, timely feedback on how they

are doing and should feel they are being adequately challenged in their jobs.

m) Recognition: - Individuals at all levels of the organization want to be

recognized for their achievements on the job. Their successes don't have to be

monumental before they deserve recognition, but praise should be sincere. When you

Notice employees doing something well, take the time to acknowledge their good

work immediately.

n) Responsibility:- Employees will be more motivated to do their job well if

they have ownership of their work. This requires giving employees enough freedom

and power to carry out their tasks so that they feel they “own" the result. As

individuals mature in their jobs opportunities shall be provided which would asses

their responsibility,

o) A employee may be promoted, consider giving him or her a new title that may by

reflects the level of work he or she has achieved. When feasible, employees shall be

supported by allowing them to pursue further education, which will make them more

valuable and more fulfilled professionally.

MEASURING JOB SATISFACTION:-

There are a number of ways of measuring job satisfaction some of the most

Common include rating scales, critical incidents, interviews and action Tendencies.

advancement:-Reward loyalty and performance with advancement. If there is No

open position to which a valuable

1) Rating scales:- One of the most popular is the Minnesota satisfaction

questionnaire(MSQ).This instrument provides the detailed picture of the specific

satisfaction and dissatisfaction of the employees. Another popular Rating scale is the job

descriptive index (JDI). This rating scale offers a number of important advantages in

measuring job satisfaction, one is that they are usually short and can be filled out

quickly and easily. Another is that they tend to be used worked in general language so

that they can be used with employee in different types of organizations on the

negative side these instructions are based on the assumption that the persons are

willing to respond honestly and that they are able to describe their feelings

accurately. Another problem is underlying assumption that the questionnaire items

are valid and reliable.

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2) Critical incident:- The critical incidents approach to the measurement of job

satisfaction is very popular. Employees were asked to describe the incidents on their

job when they were particularly satisfied and dissatisfied. These incidents where then

contents analyzed in determining which aspects were Not closely related to the

positive and negative attitudes. One of the most benefits of this approach is that it

allows the respondents say what ever they want. On the other hand, the approach is

time consuming and there is a chance that both response and interpretations are

biased.

3) Interview:- another method of assessing job satisfaction is through the use of

personal interviews. It is an exploratory device to identify relations or verify

information collected and to capture information, as it exists. Its flexibility makes the

interview a superior technique for exploring areas where Not much is known about

questions to ask or how to formulate questions. It offers a better opportunity that the

questionnaire to evaluate the validity of the information gathered .The interviewer

can observe, not only what subjects say, but also how they say it .It is an effective

technique for eliciting information of complex subjects and for probing the

sentiments underlying expressed opinions .On the negative side responses can be

misinterpreted and thus lead to erroneous conclusions. There is the possibility of

interviewer bias. Interviews are relatively time consuming and thus expensive way of

gathering information.

4) Action A tendencies:- Action tendencies are the inclination people have to

approach or avoid certain things. By gathering information about how they feel like

acting with respect to their job, the job satisfaction can be measured. There are a

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number of advantages associated with this approach in measuring attitudes .One is

that, less self-insight is required by the respondent. Thus, the chance of self- bias is

reduced. Secondly, the approach produces greater opportunities for people to express

their inner feelings in depth, when compared to other instruments used for measuring

job satisfaction of a person.

Job Satisfaction Analysis

1. What do you think is the most vital element that provides you job satisfaction?

Organization culture

Salary income/ benefits

Recognition Scope of

growth

Promotion Total

No. ofRespondents 9 20 10 6 5 50

% of Respondents 18 40 20 12 10 100

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Interpretation:

“More of the Respondents are satisfied with the Salary Income/ Benefits.”

2. What is your opinion regarding the benefits & allowances being provided to you.

Highly Satisfied

Satisfied Neither Satisfied nor dissatisfied

dissatisfied Highly dissatisfied

Total

No. of Respondents

25 5 15 5 0 50

% of Respondents

50 10 30 10 0 100

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Interpretation:

“Most of the respondents are Highly Satisfied regarding benefits and allowances provided by the organization”

3.What is the degree of satisfaction you are gaining from the level of income you are earning?

HighlySatisfied

Satisfied Neither Satisfied

nor dissatisfied

dissatisfied Highly dissatisfied

Total

No. of Respondents 10 25 5 10 0 50

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% of Respondents 20 50 10 20 0 100

Interpretation: “ Most of the Respondents are Satisfied by gaining more earnings. ”

4. Do you feel any kind of burden or stress at your work place?

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Yes No Total

No. of Respondents 15 35 50

% of Respondents 30 70 100

Interpretation:

“Most of the respondents are feeling that there is no burden at their workplace .”

5. How is your interpersonal relationship with your superiors?Excellent Very good Good Average Poor Total

No. of Respondents 10 20 10 8 2 50

% of Respondents 20 40 20 16 4 100

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Interpretation:

“Most of the respondents are Saying that their interpersonal relationship with their Superiors are very good.”

6. Do you generally work for extra hours?

Highlyagreed

Agreed Neither agreenor disagree

disagree Highly disagree

Total

No. of Respondents 10 20 5 10 5 50

% of Respondents 20 40 10 20 10 100

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Interpretation: “Most of the respondents are agreed that they work for extra hours”

7. How would you best describe the nature of your job?

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Challenging Makes the best use of your skills

Routine Total

No. of Respondents

10 11 29 50

% of Respondents 20 22 58 100

Interpretation:

“Most of the respondents are felt that their nature of job is Routine.”

8. What is your opinion on promotion policy being followed by organization?

Excellent Very good

Good Average Poor Total

No. of Respondents

10 12 15 5 8 50

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% of Respondents 20 24 30 10 16 100

Interpretation:

“Most of the respondents opinion regarding promotion policies followed by the organization are good”

9. Are you Satisfied with benefits Provided by Organization

Highly Satisfied

Satisfied Neither Satisfied nor dissatisfied

dissatisfied Highly dissatisfied

Total

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No. of Respondents

5 20 10 15 0 50

% of Respondents 10 40 20 30 0 100

Interpretation:

“Most of the respondents are Satisfied with the benefits provided by organization.”

10. Taking the present circumstances into account, how likely is it you will make a genuine effort to find a new job with another employer?

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Very Likely Likely Not at all likely Total

No. of Respondents 5 20 25 50

% of Respondents 10 40 50 100

Interpretation:

“Most of the respondents are don’t like to find a new job.”

11. Mention the factors, which influence your performance at work place.

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Internal factors

External factors

Total

No. of Respondents 20 30 50

% of Respondents 40 60 100

Interpretation:

“Maximum respondents agreed that they are very much influenced by external factors.”

12. What is your opinion on performance appraisal techniques followed by organization?

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Excellent Very Good Good Average Poor Total

No. of Respondents 5 15 20 8 2 50

% of Respondents 10 30 40 16 4 100

Interpretation:

“ Most of the respondents responded that the performance appraisal techniques followed by organization are very good”

13. Your immediate superior is :

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Hard to please

Stands up for me

Lets me know where I stand

Total

No. of Respondents 10 25 15 50

% of Respondents 20 50 30 100

Interpretation:

“Most of the respondents are feeling that their superior is Stands up for Individuals. ”

14. Do you feel monetary compensation given by the organization is

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Highly Satisfied

Satisfied Neither Satisfied nor dissatisfied

Dissatisfied Highly Dissatisfied

Total

No. of Respondents

5 30 10 4 1 50

% of Respondents

10 60 20 8 2 100

Interpretation:

“Most of the respondents are Satisfied with the monetary compensation provided by the organization”

15. State the Satisfaction levels of your job

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Highly Satisfied

Satisfied Neither Satisfied

nor dissatisfied

Dissatisfied Highly Dissatisfied

Total

No. of Respondents

15 20 10 5 0 50

% of Respondents

30 40 20 10 0 100

Interpretation:

“Most of the respondents are Satisfied with their jobs”

FINDINGS

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It can be found from the study, that there are a number of factors, which

influences on the job satisfaction of the employees, which are identified as

given below:

The factors, which contribute to high satisfaction of the employees, are

attitude towards job, participative working conditions and relation with

coworkers and nearly immediate superiors.

Majority of respondents felt that their job provides them with an opportunity

to develop their personal skills, increase their marketability and advancement

in the organization and the scope for independent thinking and action.

The training programs are being conducted to motivate the staff in

ethical and principal values to improve the work culture at the HUL.

The management take necessary measures by co-operating with the

employees in order to improve the quality of work life.

In the industrial scenario, the organization is quite peaceful. Both the

management and union representatives are ready to solve the issues and

demands in amicable atmosphere, without hindering the production schedule.

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SUGGESTIONS

Most of the employees their job to be routine and monotonous. Hence Job Rotation is suggested so that the employees get an opportunity to improve their skills and find their Job more satisfying.

There is scope for improvement in the performance appraisal technique being followed in the organization as majority of the employees feel so.

Most of the employees do Not discuss their problems with their boss often so the organization must create opportunities for the employees to interact with their boss regularly. It implies the shifting of employees from one job to another. So that monotony and boredom are reduced. This can increase the skills, knowledge and interest of the employees about the jobs,

It is suggested that redeployment to be considered in HUL to meet the company requirements on day-to-day basis.

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CONCLUSION

From the interaction with the employees, it was observed that their superiors

considered the suggestions of the employees seriously, only some times. They feel

alienated, left out of the planning and decision process. The boss should encourage

participation and become as approachable as possible. They should try to consider the

suggestions of the employees even though they won’t put it into practice immediately;

this makes the employees happy that their superior considers their suggestion. Boss

can change choice of words, tone of voice, phrases, so that he does Not sound

authoritative and autocratic.

The respondents stated that they go home at right time and do Not carry any office

work to home. This implies that they do Not want to carry any work related stress to

their home and like to finish office work at work place and relieve their family from

the stress and strain of office work. This help them spend quality time with family

and return to work next day, fully refreshed. This indirectly boost their output in

office. After all the ultimate aim of everyone is to ensure the well being of their loved

ones in the family.

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QUESTIONNAIRE

NAME:

Department:

Designation:

Experience:

Salary:

Data about your job (Please tick your choice in the bracket ( )

Job Satisfaction Questionnaire

1. What do you think is the most vital element that provides you job satisfaction? a) Organization culture b) Salary income/ benefits c) Recognition d) Scope of growth e) Promotion

2. What is your opinion regarding the benefits & allowances being provided to you. a) Highly Satisfied b) Satisfied c) Neither Satisfied nor dissatisfied d)dissatisfied e) Highly dissatisfied

3. What is the degree of satisfaction you are gaining from the level of income you are earning? a) Highly Satisfied b) Satisfied c) Neither Satisfied nor dissatisfied d)dissatisfied e) Highly dissatisfied

4. Do you feel any kind of burden or stress at your work place? a)Yes b) No

5. How is your interpersonal relationship with your superiors? a)Excellent b) Very Good c) Good d) Average e) Poor

6. Do you generally work for extra hours? a)Highly agreed b) Agreed c) Neither agree nor disagree d)disagree e) Highly disagree

7. How would you best describe the nature of your job? a) Challenging b) Makes the nest us of your skills c) Routine

8. What is your opinion on promotion policy being followed by organization? a) Excellent b) Very good c) Good d) Average e) Poor

9. Are you Satisfied with benefits Provided by Organization a) Highly Satisfied b) Satisfied c) Neither Satisfied nor dissatisfied d)dissatisfied e) Highly dissatisfied

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10. Taking the present circumstances into account, how likely is it you will make a genuine effort to find a new job with another employer?

a) Very Likely b) Likely c) Not at all likely

11. Mention the factors, which influence your performance at work place. a) Internal factors b) External factors

12. What is your opinion on performance appraisal techniques followed by organization? a) Excellent b) Very Good c) Good d) Average e) Poor

13. Your immediate superior is : a) Hard to please b) Stands up for me c) Lets me know where I stand

14. Do you feel monetary compensation given by the organization is a) Highly Satisfied b) Satisfied c) Neither Satisfied nor dissatisfied d)dissatisfied e) Highly dissatisfied

15. State the Satisfaction levels of your job a) Highly Satisfied b) Satisfied c) Neither Satisfied nor dissatisfied d)dissatisfied e) Highly dissatisfied

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BIBLIOGRAPHY

Books

Bohlander; Human Resource Management; 2006; 10th Edition; Thomson

Aswathappa; Human Resource Management; 2006; 4 th Edition; Tata-

Mc.Graw Hill

Decenzo A.David and Stephen Robbins; Human Resource Management;

John Wiley & Sons

P. Subba Rao; Human Resource Management; 2003; 2nd Edition; Tata

Mc.Graw Hill

Reference:

www.google.com

www.hul.co.in

www.citeHR.com

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