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(A Report Submitted in Partial Fulfilment of the Requirements for the Degree of Master of Business Administration in Pondicherry University)

Submitted by Mr./ Ms Enrolment No:. MBA:



This is to certify that the Project Work titled A Study On Employee Participation In Business Development In Netstar Bpo is a bonafide work of Mr./Ms.. Enroll No:.. Carried out in partialfulfilment for the award of degree of MBA :. (Branch) of Pondicherry University under my guidance. This project work is original and not submitted earlier for the award of any degree / diploma or associateship of any other University / Institution.

Place: Date:

Signature of the Guide


Reader Department Of Sociology Loyola College.

Students Declaration

I, Mr./Ms.. hereby declare that the Project Work titled Employee Participation In Business Development is the original work done by me and submitted to the Pondicherry University in partial fulfilment of requirements for the award of Master of Business Administration in..(Area of specialisation) is a record of original work done by me under the supervision of Dr / Mr. Sri.of (Organization of the guide)

Enroll No: Date

Signature of the Student

ACKNOWLEDGEMENT I would like to express my thanks to NETSTAR BPO for giving me the opportunity to take this project I would like to thank the HR Manager and the Process Manager for providing timely help and assistance throughout my project. I am grateful to Prof.C.S. Robert Bellarmine, Co-ordinator of LOYOLA TWINNING PROGRAMME for giving me an opportunity to Undergo this institutional training and encouraging me in pursuit of the of the project work. It is a great privilege to record my sincere thanks to Dr. Albones Raj, faculty in charge for his guidance in presentation of this project report. I also thank all the staff members of Twinning programme for their guidance and cooperation in bringing out this report successfully.


Chapter I: Background of the Problem under study

The Advantages, Considerations and Risks of Employee Satisfaction Surveys

There are a number of distinct advantages to conducting regular employee satisfaction online surveys but there can also be risks. Here are listed some of the main advantages, considerations and the possible risks associated with online employee satisfaction surveys.

Advantages Mood and Moral Provides a simple but effective method to measure and monitor the mood and moral of an organisation. Identify Problems Surveys are can be very effective in identify problems areas before they Training Processes & Procedures become serious, especially those that are hidden from senior management. Lack of proper training is a common cause of dissatisfaction among employees and can lead to more serious problems such as stress. As businesses evolve some of the traditional processes and procedures can become antiquated, personnel are often the first to know and the last to be asked. Businesses evolve and the business processes need to be regularly Communication re-aligned. For an organisation to run efficiently good internal and external communications are essential, surveys can provide a method to help organisations to monitor and measure how well an organisation Working communicates. From something small like a broken chair to the more serious problem of


sick building syndrome that can result in personnel experiencing headaches; eye, nose, and throat irritation; a dry cough; dry or itchy skin; dizziness and nausea; and difficulty in concentrating. Surveys allow environmental problems to be identified in a measured and controlled manner. Surveys can measure and monitor the extent that the personnel are aligned

Goals and

Objectives with the senior management's business goals and objectives. Remuneration & Measure and monitor how satisfied personnel are with their remuneration Benefits Compliance and benefits. To properly comply with an ever increasing array of regulations the modern organisation needs to be able to disseminate information throughout the organisation and ensure, through records, that the information has been received, and importantly, understood. Online surveys provide organisation with a cost effective method to meet many of Keeping the Initiative Cost Effective their obligations. It is always better for management to ask than be told. By conducting regular employee surveys management are able to keep the initiative in trying to identify problems that may otherwise manifest into demands. Using an online survey service such as survey are quick and easy to create, simple to deploy and will provide real-time results.

Considerations Anonymous The decision to allow respondents to remain anonymous or not needs careful consideration. A survey that is conducted anonymously may allow employees to be more candid, however, anonymity may encourage some individuals to make wild accusations that can not be substantiated and cause considerable concern. When in doubt it is often better to keep everything 'on the record' rather than 'off'. Where survey respondents are known there is the opportunity to chase for

surveys that have not been completed and also to follow up on some issues Management Backing Incentive directly with those employees who have raised them as problems. A survey that is both sanctioned and has the support of senior management will go some way in ensuring that any action required, based on the survey findings, will be implemented. Most employees will feel that by being able to give their opinions that they are already stakeholders in the exercise and will be happy to participate in the survey as they will expect to benefit from the process. However, some incentive may help improve the overall response rate or could be used to encourage early participation. Smaller incentives could be handed out to all employees or all participating Ask the right questions employees could be entered into a lottery to receive a more substantial prize. Consider careful the questions being asked. If employees feel that the survey is just trying to tick the right boxes the survey could backfire. A survey that is to be conducted annually should try and ask questions that will provide senior management with an overall health check of the organisation. Avoid questions that will only apply to specific departments or personnel. If some areas of the organisation require detailed investigation consider Comments running separate one-off surveys that can be targeted at specific personnel. Keep free text comments to a minimum because they are difficult and time consuming to measure and analyse. Consider limiting free text comments to one at the end of the survey or, in the case of surveys that are not being conducted anonymously, allow for a post-survey follow-up to obtain more information where additional and more specific detail is required. Risks


Many employees will invested time and effort in participating in a survey and their hopes and expectations will be raised. Any post-survey non-action is likely to promote cynicism and jeopardise any future initiatives to obtain employee feedback. Management should formally respond to the issues raised in surveys even if the demands of employees are not to be met. If senior management agree to address and resolve some issues then action


needs to have started before any further survey is scheduled. Some managers regard any form of employee consultation as a sign of weakness and can have a tendency to dismiss out of hand any negative

comment. Warts and All A survey is likely to reveal warts and all. Senior management should be prepared for discovering that the top down view can differ from the bottom up view and that ignorance, of any identified problem, can no longer be Can Cause Problems used as an excuse. Where surveys reveal, or bring problems to the surface, there could be a tendency for senior management to blame the messenger


Employee participation and company performance: a literature review

The effects of participation schemes vary with the environment into which they are introduced. An insecure workplace environment may induce employees' compliance with participation measures, but may not achieve the commitment needed for attitude changes.

Links between participation and attitude change appear to depend on the degree of influence granted to employees under participation measures. Low degrees of perceived influence are unlikely to produce positive results. However, middle management appears to resist participation initiatives which are perceived as reducing their influence or authority, thus posing an obstacle to the success of participation programmes.

A combination of financial and work-related participatory measures can have a positive impact on company performance as employees do not all react to participation initiatives in the same manner. Some respond well to financial initiatives and others to more work-related elements.

Assumptions that participation measures affect all employees identically, regardless of gender, race, age and contractual status, can amplify social disadvantage. Disadvantaged groups, such as older workers, disabled people and those with caring commitments, may have only a restricted voice at work.

In terms of the work-life balance and family-friendly working, employees' voices remain muted. They tend to have a weak collective voice in larger organisations, whereas in some smaller firms individuals can sometimes negotiate flexible working arrangements.

The researchers conclude that a combination of participation and welfare measures (such as equal opportunities and family-friendly policies) appears to enhance organisational performance and the quality of working life. Policy support should focus on union recognition and activity within a human rights framework, since this can positively influence employees' behaviour towards organisational goals.

Economic changes in recent decades have required employers to seek more efficient and flexible means of production. Deregulation and privatisation have also significantly

altered the UK's industrial relations climate, with a decline in trade unions' influence and membership. Mirroring this has been the growth in new' forms of work-related participation by employees, under the banner of human resource management and associated programmes and strategies for partnership and high commitment. Governments must balance the needs of a competitive economy with the welfare of their citizens. A change in political climate has seen social partnership currently being promoted by all interested parties. Reflecting this change, the inclusion of trade unions in government consultation exercises is significant. Against this background, the three main rationales for introducing employee participation are based upon different economic, social and political assumptions:

Economic changes in employees' attitudes and behaviour are achieved through financial participation, by offering employees a stake in the firm. Employees' association with management values and goals is thereby increased, and they are more motivated and committed to achieving those goals.

Social by catering for employees' social needs, through improved job security and satisfaction and quality of working life, higher performance is achieved. Alternatively, satisfying social needs can be treated as an end in itself.

Governmental current UK policy is to improve national economic efficiency while also improving the experience of work for employees.

This study formed part of the Joseph Rowntree Foundation's Work and Opportunity programme. The researchers reviewed the literature on employee participation.

Does participation work?

Not all the literature agrees on the universal, positive effects of participation. Some suggests that participation may have no effect or even negative effects on performance. However, it is difficult to discern a definitive pattern. Lack of consistency in the outcomes of participatory measures suggests that schemes are not isolated from the effects of the external economic, political and social environment.

Attitude change Participatory measures such as teamworking and high-involvement work practices demonstrate improvements in performance, but can also have less positive outcomes for employee and social well-being. Performance changes may occur because participation leads to changed attitudes which lead to higher performance. Alternately, changes to behaviour and performance may be achieved not through attitude changes but through fear and an insecure or intensified work environment. One explanation for these contradictory results is that participation schemes are sometimes introduced as part of restructuring packages. When employees are faced with an insecure environment, participation may induce compliance and not the attitude changes necessary for employees' commitment to the enterprise. If this is so, behavioural changes may not be of the order anticipated. The degree of influence accorded to employees is also important. Low levels of participation with little employee autonomy have been identified as a reason for disappointing results. Where employees' expectations have been raised by introducing participation, but there is little real improvement in employee influence, workers may express resentment and dissatisfaction. Where participation is only from the top down, workers may feel that they are being lectured and not listened to. Even where participation is from the bottom up, workers may feel that management is using their ideas, with no return seen by employees. High levels of participation also have their own problems. Some authors claim that employees do not make hard decisions, opting for outcomes that maximise income, not profit. Others claim that employees are not able to discipline co-workers, and that decision-making takes too long. From the management perspective, high degrees of employee influence may mean that managers' input in decision-making is reduced. Whether from concern that their authority is being compromised or through dilution of the decision-making process, this may result in reduced competitiveness.

Participation can also be categorised as individual versus collective. Individualised forms of participation may clash with existing collective arrangements and fail to induce a harmonious climate. Concerns have also been expressed over individualised financial participation, and a fall in share prices could make it harder to attract high-quality staff. Collective participation, on the other hand, can work with existing labour-relations channels and attitudes in a productive way. The role of trade unions therefore continues to be significant. However, collective participation is no guarantee of positive attitude change. Management also has to accept the ethos of participation, and middle and supervisory management is a particularly difficult group to influence. Combining participation measures The potential for positive impact on performance seems to arise when participation measures are used in combination, either as financial and work-related participation, or as representative and direct participation. Either combination may act upon employee perceptions, encouraging high-trust relations within the workplace and allowing employees with different motivations to enjoy the benefits of participation. Employees are not a homogeneous group responding identically to participation initiatives. Different employees have different motivations: some respond to financial incentives and others to more social or work-related ones. This is why a combination of financial and workrelated participation appears to have a positive effect on performance. Transferability A further issue is the transferability of participation schemes, particularly between large and small firms. It is uncertain whether participation schemes suitable for large firms will have positive effects in smaller companies, or whether participation measures can be transferred between industrial sectors and even between different national conditions. For example, the success of Japanese profit-sharing and other involvement techniques has been accounted for by Japan's unique culture, which emphasises mutual obligations by employee and employer.

Workplace equality Questions arise concerning the benefits of participation measures to workplace equality. Work-related participation can place a premium on social factors such as ability to communicate and the time available to commit to participation. Participation can therefore amplify social advantage and, by the same token, social disadvantage; for example, caring responsibilities may mean that some employees have relatively less time to attend meetings. In addition, some schemes may be based upon questionable assumptions about employees for example, that women are sometimes less committed to work and perhaps less willing to participate. However, a number of studies have refuted this assumption. Other potentially excluded groups also suffer from amplified disadvantage, including ethnic minorities, single parents, agency workers and temporary workers, with possibly limiting effects on their capacity and opportunity for participation. Discrimination Less advantaged groups and individuals, such as older workers, ethnic minorities and disabled people, may have a restricted voice' within the workplace. Coupled with greater employment insecurity, this can permeate workers' performance through frustration and impotence, with a negative impact on both organisational performance and quality of working life. The evidence indicates that participation schemes in tandem with welfare measures such as equal opportunities and family-friendly policies improve organisational performance and the quality of working life. By contrast, perceptions of unfairness have a negative impact.

Employee participation and family-friendly working

Some studies which have examined the business consequences of implementing familyfriendly employment policies have found benefits in doing so. Others have tried to

determine whether employees have a voice over work-life issues, and how instrumental it might be in establishing family-friendly employment policies. Employees appear to have a voice of some kind in larger organisations. It tends to be collective, and expressed through trade unions or staff associations. Smaller enterprises typically lack collective means of expression, though there can be direct communication between individual employees and their employers over flexible working. Some studies have reported individuals negotiating informal arrangements with their managers in small and medium-sized enterprises to suit their individual circumstances, but not all employees have a powerful enough voice to achieve this. Family-friendly policies appear to be more widespread and deeply embedded in enterprises which recognise unions, though this association does not imply that unions have a more effective voice. Various studies have confirmed the low-key role of trade unions. Consultation even with and among line managers also appears to be rather restricted, with the possible exception of health services, where there is an organisational cultural tradition of consultation. However, the major factor influencing employers to implement or extend family-friendly policies appears not to be collective or individual employee pressures, but labour-market conditions backed by minimal statutory requirements. The management of time is an essential workplace process over which employees especially those with domestic responsibilities need a measure of control in order to combat tensions between the demands of work and home. Despite some softening of the political climate towards trade unions and scarcity of labour in some sectors, there is little evidence that employees, collectively or individually, have been able to make any significant impression on the work-life agendas of companies, even with evidence that there can be a business case for such policies. It also seems that some managers continue to adopt a gendered and possibly marginalised perspective of work-life issues. Research has also shown that long working hours another major dimension of work-life conflict have scarcely been touched by the Working Time Regulations or high-profile

concerns expressed in the media and elsewhere. In terms of the work-life balance and family-friendly working, the evidence suggests that the voices of employees remain muted.

Policy implications
The extent of current political support for employee participation is mixed. At times it appears unco-ordinated or even contradictory, as evidenced by the Government's ambiguous stance towards greater European influence over participation practice and work reforms such as the Working Time Directive. In addition, work-related participation policies focus on efforts to promote collective (though not necessarily trade union-based) participation through measures such as social partnership, while financial participation legislation leans towards individualised programmes. Current policy appears to be trying to appease both employers' and to a lesser extent trade union aspirations, though initiatives to date seem to point to the former direction. This apparent lack of co-ordination of policy will have a disproportionate impact on small firms. Small firms are less likely to introduce work-related participation measures than larger companies, therefore providing few opportunities to access the positive effects of combining participation schemes. On top of this, the Employment Relations Act 1999 works against the development of collective participation in small firms through the exclusion of enterprises with 20 employees and under from union recognition rights. This possibly excludes up to five million workers in the UK. Since the quality and quantity of welfare policies are associated with trade union presence, small firms and their employees could be missing out on the positive effects of combining participation and welfare schemes. Furthermore, the introduction of European Works Councils (EWC) applies only to large, complex enterprises with specific cross-European operations. Here, policy needs to focus on the training of EWC delegates in order to realise the positive effects of participation. There are also some areas where the reach of policy is limited. Participation measures are not isolated from the effects of the external environment. Economic fluctuations have an

impact on share prices, for instance, and the voluntary nature of many participation schemes means that they are vulnerable to cost-saving exercises. In addition, there are discrepancies between how a policy is conceived at national or organisational level and how it is interpreted at company or workplace level.

Attrition in Indian BPO Industry

What is the biggest challenge for the BPO industry in India today? Well, it is a no brainer: Attrition! The business process outsourcing (BPO) industry in the country which is expected to employ around one million people by 2008 is facing the challenge of finding quality human resources given the current attrition rate of around 50 percent. Analysts say attrition rates vary by 20%-40% in some firms, while the top ones averages at least 15%. Nasscom in a report said the outsourcing industry was expected to face a shortage of 262,000 professionals by 2012. The size of the Indian BPO market is likely to be around $9-12 billion by 2006 and will employ around 400,000 people, ICRA said in its Indian BPO industry report.

Mercer India said the industry should look beyond the traditional areas of recruitment and some thought should be given to employ physically challenged people and housewives. The reasons for the high rate of attrition was due to various factors like salary, work timings, other career options, adding that there is always the danger of costs increasing while billing rates decline.

With 245,100 people employed at the end of March 31, 2004 against 171,100 last year, the industry witnessed a hiring growth rate of about 40-42 percent. On the hiring front, the industry absorbed about 74,000 people in 2003 despite the attrition rate of 45-50 percent being a matter of concern. Attrition rates in IT-enabled business process outsourcing sector have come down from the 30-33 per cent being witnessed of late to about 25 per cent now, according to statistics compiled by the National Human Resource Development Network.

Attrition rates US Australia Europe India Global Average

% 42% 29% 24% 18% 24%

*Source-Times News New York (2003) If you compare attrition rates for a Voice and Non-voice process, then attrition rates are significantly lower in a non-voice process. As the industry moves up the value chain and becomes a full-scale BPO player, attrition rates will further decrease.

For BPO service providers, moving up the value chain is critical, given the attrition rates in the industry, which are on an average higher in low value-added segments (in call centres) as compared to higher value-added segments like engineering. It will not be possible for the industry to arrive at a blanket agreement on poaching but bilateral agreements between companies are being signed. Basic norms are being put in place and code of ethics is being stressed upon by industry. Companies are being encouraged to adopt responsible behavior in order to ensure that the industry does not become a victim of its own actions. Industry needs to go aggressive but not cannibalistic. In order to ensure a consistent flow of trained manpower in the future, the industry needs to work with the government to introduce courses at a school and college level, which are in line with the requirements of the ITES-BPO industry. India has one of the largest pool of English speaking graduate workforce. The challenge for the industry is not in employment but employability. The industry is also hiring professionals from outside the industry in order to meet its steady supply of manpower. Honest corporate managers will tell you that to make offshoring work, you need at least a 300% to 400% wage spread between American software writers, engineers, accountants, and call-center employees and their Indian and Chinese counterparts. Labor costs have to be very, very low overseas -- not just lower -- to compensate for time-shifting, managing over such long distances, and decreased productivity. High attrition rate, price wars, poor infrastructure and lack of data protection laws could derail India's booming outsourcing industry. This seemed to sum up the views of BPO fraternity at the Nasscom summit here. Tackling Attrition Head-On Industry experts feel, as the industry was still in its nascent strategy there was lot of strategies available to reverse this trend and make it an attractive employer.

NASSCOM ITES-BPO forum has identified HR as one of the key challenges of the ITES-BPO industry and has formed a special task force to address short-term challenges such as Attrition and also long-term challenges such as ensuring availability of a skilled talent pool. To arrest this trend, companies can look into various options like good rewards, bonding programme, flexible working hours and stronger career path. With attrition rates ranging between 30-60 percent in the BPO industry, HR specialists feel that a scientific and analytical approach should be implemented. The tremendous turnover rate is undeniably one of the main problems faced by the BPO industry globally. HR specialists at the Nasscom 2004 summit brainstormed on various approaches to handle this bugbear- either declare war on attrition and tackle it head on, or adopt a more scientific analytical approach. Pay cheques alone are not enough to retain employees. Management also needs to consider other aspects like secure career, benefits, perks and communication. The attrition battle could be won by focusing on retention, making work a fun place, having education and ongoing learning for the workforce and treating applicants and employees in the same way as one treats customers. Companies need to go in for a diverse workforce, which does not only mean race, gender diversity, but also include age, experience and perspectives. Diversity in turn results in innovation and success. The 80:20 rule also applies to recruitment, she quipped, since studies showed that 80 percent of the company's profit comes from the efforts of 20 percent of the employees. So BPOs need to focus on roles, which have the most important impact. According to experts, the cost of attrition is 1.5 times the annual salary. Age should not be a barrier for training employees and could in fact bring in more stability to the company.

Offshoring -- especially for BPO (business process outsourcing) -- is about to hit a wall. After all, despite being a relatively new phenomenon made possible by advances in communications, it remains subject to one timeless principle of economics: supply and demand. The HR pros call it attrition. On any particular project outsourced to a service provider in India, you can expect at least a 15 percent turnover rate for personnel assigned to the project within a year. For some projects, BPO chief among them, it is not unheard of for a whole staff to turn over by years end, according to Paul Schmidt, a partner in the global services delivery practice at TPI, one of the larger sourcing advisory organizations. With technology so closely tied to business strategy, to talk about BPO today is to understand the consequences of not being able to deliver expected services in a timely manner due to high turnover. Schmidt puts it much better than I can: There is a tremendous opportunity for value leakage, he tells me. In other words, if you dont pay enough attention up front to the realities of attrition at your service provider, you will end up with higher costs, lowerquality deliverables, or, worse, a project that goes bust. The high attrition rate, particularly in India, finds its roots in the phenomenal growth of outsourcing and offshoring. A recently completed TPI study, India: An Attractive BPO Destination Marred by Alarming Attrition by Dinesh Goel and Prabhash Thakur, pegs the growth of BPO attrition during the past three years at approximately 50 percent per year. Whats fueling this attrition is that, despite all you may have heard about how many computer science majors graduate from Indian universities annually, there is a finite talent pool -- and those graduates know it. The study reports that the rate of attrition seems to be increasing, and it questions whether the offshore BPO industry can sustain growth and satisfy clients over the long term given this trend. The study cites inconsistent delivery of service levels, loss of

client-specific knowledge, and additional investment in retraining service provider staff as consequences of these high attrition rates. Obviously, you cant just ignore the problem and assume that its up to the service providers to fix it. There are steps you should take, as an offshoring client, to help mitigate the fallout of attrition. Schmidt recommends a carrot-and-stick approach. A company must insist on an SLA that quantifies the level of attrition they are willing to tolerate. There must also be clauses within the SLA stating that when turnover reaches a certain threshold it is the service providers responsibility to retrain and re-educate workers. On the carrot side, Schmidt says the client should provide ample training and career movement. It should also consider including engaging and challenging work in the mix. And, allowing individuals to rotate through opportunities to work in the United States is certainly a big motivator for keeping them on a particular project -- not to mention reward and recognition programs with financial incentives. That said, Schmidt doesnt see service provider fees going up long-term, mainly due to the competitive climate that persists in India. Thats where Schmidt and I part company. As I see it, supply and demand will increase the cost of offshoring. Over time, this will level the playing field -- and will motivate companies to reconsider whether they should keep projects in-house or send them overseas.

THE ROLE OF EMPLOYEE PARTICIPATION IN BUSINESS. "People don't leave their jobs, they leave their managers."

Although committed and loyal employees are the most influential factor to becoming an employer of choice, it's no surprise that companies and organizations face significant challenges in developing energized and engaged workforces. However, there is plenty of research to show that increased employee commitment and trust in leadership can positively impact the company's bottom line. In fact, the true potential of an organization can only be realized when the productivity level of all individuals and teams are fully aligned, committed and energized to successfully accomplish the goals of the organization. As a result, the goal of every company should be to improve the desire of employees to stay in the relationship they have with the company. When companies understand and manage employee loyalty - rather than retention specifically - they can reap benefits on both sides of the balance sheet i.e., revenues and costs. On the revenue side of the balance sheet, loyal and committed employees are more likely to go "above and beyond" to meet customer needs and are highly motivated to work to the best of their ability. Both of these traits are crucial for continued customer commitment and ongoing revenue and growth for the company. On the cost side, loyal employees stay longer, resist competitive job offers, do not actively look for other employment and recommend the company to others as a good place to work. These four behaviors positively influence the cost side of the balance sheet because they are leading indicators of employee retention. The longer companies keep their employees, the longer they can avoid having to pay to replace them. In other words, rather than focusing only on retention (that is, trying to retain employees who have already decided to leave), organizations should proactively recognize the benefits of understanding, managing and improving employee loyalty. The most successful organizations are those that can adapt their organizational behavior to the realities of the current work environment where success is dependent upon innovation, creativity and

flexibility. Additionally, the dynamics of the work environment have to reflect a very diverse population comprised of individuals whose motivations, beliefs and value structures differ vastly from the past and from each another. Arguably, the most valuable, but also volatile, corporate asset is a stable workforce of competent, dedicated employees, since such an employee base gives companies a powerful advantage; depth of knowledge and organizational strength. One of the key steps to understanding and improving employee loyalty is by acknowledging the importance of the following factors in building loyalty and satisfaction: Broadly-defined responsibilities rather than narrowly-defined job functions Effective and regular performance evaluations, both formally and informally A corporate emphasis on employee learning, development and growth Wide-ranging employee participation in the organization as a whole Typically, a combination of factors influences employees' decisions to stay at their current job. Contributing factors include satisfying work, a sense of job security, clear opportunities for advancement, a compelling corporate mission combined with the ability to contribute to the organization's success, and a feeling that their skills are being effectively used and challenged. Specifically, employees who enjoy their work, identify themselves with their employer and perceive that the company is flexible regarding work and family issues also intend to stay with the organization. Today, employee loyalty needs to be earned, rather than assumed, and must be specific, rather than general - employees are looking at their employment as a means of achieving personal goals rather than simply being the "good corporate soldier" of the past. This means that companies need to express and act on a commitment to develop employees' career objectives by introducing initiatives that make employees believe that their current job is the best path to achieving their career goals.

In particular, consider the following elements of effective strategies designed to build loyalty and retain key employees: Include opportunities for personal growth and invest heavily in the professional development of the best people in the organization. Provide employees with well-defined career paths (including a succession plan), mentors and tuition reimbursement for job-related education. Train employees, even if it makes them more attractive to the competition. Without seeing an opportunity on the horizon, few high potential employees will stay with a company and allow themselves to grow stagnant. Acknowledge non-work priorities by recognizing and responding to employees' needs for greater balance in their lives, since employees will develop loyalty for organizations that respect them as individuals, not just as workers. Another approach to the issue of loyalty is to consider the value of the five "I's": Interesting work. No one wants to do the same boring job over and over, day after day. Although any job will require some repetitive tasks, all jobs should include at least some parts that are of high interest to employees. Information. Information is power and employees want to have the information they need to know to do their jobs better and more effectively. And, more than ever, employees want to know how they are doing in their jobs and how the company is performing overall. It is vitally important to open the channels of communication in an organization to allow employees to be informed, ask questions, and share information and to inspire them to share the vision of the company. Involvement. Managers today are faced with an incredible number of opportunities and problems and, as the speed of business continues to increase, the amount of time that they have to make decisions continues to decrease. Involving employees in decision-making, especially when the decisions affect them directly, is both respectful and practical. Not only do those closest to the problem typically have the best insight as to what to do,

involving them in decision-making will increase their commitment and improve the success of implementing new ideas or change. Similarly, management needs to follow through on promises and live the values they preach. Independence. Few employees want their every action to be closely monitored. Most employees appreciate having the flexibility to do their jobs as they see fit. Giving employees latitude increases the chance that they will perform as desired, as well as bringing additional initiative, ideas, and energy to their jobs. Employees also need to be encouraged to achieve their best potential. Increased visibility. Everyone appreciates getting credit when it is due. The occasions to share the successes of employees with others are almost limitless. Giving employees new opportunities to perform, learn, and grow as a form of recognition and thanks is highly motivating for most people. Another important strategy for improving loyalty is to implement a systematic process of performance reviews, since effective reviews can simultaneously increase employee morale and productivity. To achieve their primary objectives, such as improving the working relationship between employee and supervisor, performance reviews should be structured so as to: Accurately define the employee's job description, including a focus on the skills most important to the employee's job Discuss the job skills the employee performs well on and identify areas that need improvement so as to fairly summarize their most recent job performance Set mutual and worthwhile goals, which are the heart of a professional growth plan Provide useful coaching to improve the employee's performance With these objectives, performance reviews can make an important and ongoing contribution to furthering each employee's career.

Related to the role of performance reviews, another important influence on employee satisfaction is a sense of being led by capable management, with both immediate supervisors and senior management having a clear sense of direction for the organization. One of the forces that disconnects employees from their companies is management's ever-changing corporate focus. By introducing yet another corporate initiative, employees come to question the credibility of management and the focus of the company. They begin to wonder what the company stands for, where it's going, and if the latest initiative is yet another "here today, gone tomorrow" program. Employees are therefore skeptical at best - and cynical at worst - about their company's perpetually shifting focus. Without a constant, long-term strategic vision, organizations risk confusing, bewildering, depressing and disconnecting with their employees. Within an environment of ever-changing focus, employees find it hard to see a strong link between their role and the company's core purpose. Alternatively, communicating a company's shared vision and establishing a shared mission with employees are important means of enhancing employee commitment. Employees feel a stronger sense of job satisfaction when they agree with the strategic decisions, especially when they are involved in developing the strategic direction. In addition to establishing and communicating a strategic vision for the company, loyalty also requires building a partnership between management and employees and creating an environment of mutual respect, involvement and open communication. Maintaining open lines of communication with employees will enable senior management to keep up with their changing needs into the future. Recent studies have shown that managers, whether front-line supervisors, project leaders, team captains or senior management, actually have more power than anyone else to reduce unwanted employee turnover because the most important factors driving employee satisfaction and commitment are largely within the direct manager's control. These include providing recognition and feedback regularly, offering opportunities to learn and grow, helping to ensure fair compensation reflecting an employee's

contributions and value to the organization, fostering a good work environment, and above all, recognizing and respecting the uniqueness of each employee's competencies, needs, desires and working style. At the supervisory level, though, managers also need to strike the right balance of using a more employee-centered leadership style, under which their employees are welcome to participate in making decisions (i.e., "leadership through collaboration"), but without going so far as to abdicate responsibility for decision-making. When the participatory approach becomes excessive, employees may feel that they are being given more responsibility than their positions should require and, thus, can feel overworked or underpaid for the work expected. It is also critically important to recognize that, when employees indicate the intention to leave, they generally do - this means that attrition can be predicted through survey measurement, which gives employers an important "window of opportunity" to foresee and address talent loss within specific departments so as to change the environment that is causing employees to leave. Research has indicated that the biggest gaps between those who intend to stay and those who intend to leave can be best summarized as (1) the opportunity for employees to use their skills effectively and (2) differing perceptions of the leadership ability of senior management. In conjunction with these key differences, projections have shown that improvements in the areas directly related to turnover can lead to a potential 5% decrease in actual turnover, which has real financial benefits for the organization. Did you realize that employees change jobs more for career options and training opportunities than they do for money and benefits? In fact, seeking opportunities for the long term rather than just the current job has much more influence over job change than monetary compensation - it is evident that money is a satisfier, but not a driver, of employee loyalty. Similarly, it is not salary that makes a committed employee. Compensation packages, while important, have become secondary to the employees'

desire to be challenged, to contribute, to be recognized and to know how they will fit into the organization. However, this is not to claim that pay and benefits are unimportant. There are strong correlations between compensation, benefits plans and employee commitment. It should not be surprising, though, that the compensation plans with the strongest link to employee commitment are those that give employees a stake in the future success of the organization. Compensation plans in general help drive commitment when employees understand the program and believe it to be fair. It is also worth noting that the way an organization distributes money indicates what management really wants including sending a message to employees as to whether the company truly pays for performance. In short, then, there are five actions organizations should take to reduce attrition and improve employee satisfaction: Demonstrate to employees that the company cares about them, wants them to advance in their careers and will help them satisfy their need for personal growth.

"Walk the talk" by not only communicating the corporate strategy but by also ensuring that it is applied consistently throughout the organization, including making the rewards system consistent with strategic goals. Watch for and eliminate all inconsistencies between promoting a belief in employees and managerial behavior or policies that undermines that commitment. Fight attrition with smart training that is not only relevant but helps broaden employee experiences and provides development opportunities. Weed out poor managers because many employees leave their jobs because they are unhappy with their bosses - remember the adage that "people don't leave their jobs, they leave their managers."


Netstar Bpo are based in the heart of MELBOURNE and have their offshore office in CHENNAI, India . This allows us to bring the economics of global operations to their customers and most important allows us to leverage the speed and efficiency of a 24 hour day ensuring quick turnaround on deliverables. Netstar endeavors to be a long term partner addressing all aspects of the outsourcing requirement of clients. To companies seeking BPO solutions, Netstar delivers the best by bringing cost efficiency with quality processes, 24x7 operations, state-of-the art

infrastructure and a dedicated team, and by delivering quality services to clients' in their critical but non core areas of operations. Netstar b.p.o operates a 130-seat call centre in Chennai , India , with state-of-the-art technology and experienced customer service professionals for customers in Australia , UK and the US . The Contact Centre services include a combination of inbound and outbound services for business to business (B2B) and business to consumers (B2C). The clients cover a broad range of industry segments that includes telecommunications, retail, financial services, travel/hospitality, technology and non profit organizations. Focused on achieving significant improvements in their clients performance Business today- solutions The current economic scenario necessitates an organization to keep pace and to focus on its core competencies. A practical and effective way of doing this is by collaborating with a service provider who has a sound understanding of the business of the client and appreciates the nuances that challenge clients in meeting their business objectives. Such a perspective brings to the fore a mature approach in delivering optimal services to client.

Current scenario

Evolving market dynamics Risk of faster technology obsolescence

Complex products & services Enmeshed core & non-core business operations

Organisation challenges

Demanding customers Increasing operating & capital costs Fewer product differentiators Maintaining profit margins while increasing sales Unavoidable focus on critical non-core business operations Implementing customer care service delivery process Waning exit barriers & brand preferences

"Average" performance is no longer good enough. Too many organizations mistakenly set their sights on simply matching industry averages on common metrics like cost or productivity. However, given the pace of change and increasing emphasis on ROI, average performance is no longer good enough; companies must reach for world-class or risk falling into the ranks of the poorest performers. Any company can achieve world-class business performance. The principal difference between "average" and "world-class" organizations is the latter's use of best practices to help them spend money intelligently, improve competitiveness and deliver value. These companies may not have achieved excellence in each area but the best practices they have implemented and perfected are at the heart of their exceptional performance. Their robust, multi-dimensional assessment helps you understand how your performance impacts your company at the strategic level. At Netstar they believe the best approach to calculating Return on Investment (ROI) is to start by identifying the benefits - both for cost savings as well as revenue growth:

Each benefit should be explained in terms of how it will be achieved and then categorized into either "direct" or "indirect" benefits. A "direct" improvement can more easily be monitored and attributed to the project, while "indirect" benefits (also called "soft" dollars) are more subjective. Consulting and Turnkey Outsourcing Services : They are based in the heart of MELBOURNE and have their offshore office in CHENNAI, India . This allows us to bring the economics of global operations to their customers and most important allows us to leverage the speed and efficiency of a 24 hour day ensuring quick turnaround on deliverables. Netstar endeavors to be a long term partner addressing all aspects of the outsourcing requirement of clients. To companies seeking BPO solutions, Netstar delivers the best by bringing cost efficiency with quality processes, 24x7 operations, state-of-the art infrastructure and a dedicated team, and by delivering quality services to clients' in their critical but non core areas of operations. Netstar b.p.o operates a 130-seat call centre in Chennai , India , with state-of-the-art technology and experienced customer service professionals for customers in Australia , UK and the US . The Contact Centre services include a combination of inbound and outbound services for business to business (B2B) and business to consumers (B2C). The clients cover a broad range of industry segments that includes telecommunications, retail, financial services, travel/hospitality, technology and non profit organizations. Turnkey Outsourcing Services : Every non-core activity can be outsourced by companies today. Companies are spending more time focusing on their core business activities assigning their operational and back office work to several outsourcing companies. Industry experts state that outsourcing is essential for companies to compete in today's economy. Improvement in cost, quality and productivity has encouraged customers to rapidly scale up their outsourcing activity. Every business benefits hugely through outsourcing as companies are able to gain a

technical and functional edge on the competition without capital investment. Today outsourcing companies are out-growing each other in number, and the only way to stay ahead of the competition and achieve success in the global market, is for companies to focus on branding and on offering solutions. Quality- High quality at a cost-effective rate : Quality Assurance Process at Netstar B.P.O. Netstar B.P.O. ensures that there is continuous focus on Process improvement and Quality Assurance by maintaining an independent Quality Management Group. With Real time performance monitoring tools and call barging facilities which are available to their clients. Call recording facilities are available if required.At Netstar, they constantly strive to achieve the highest possible standards in their day-to-day work and in the quality of services, they provide. They always try to exceed their clients' expectations by continually improving their delivery processes to bring value to their customers' businesses. Continuous monitoring of customer interactions quality Random or 100% recording, for quality evaluation, covering both process and soft skills. Coaching & feedback for improvements. Calibration with internal and external customers. Data analysis for correlations on performance against quality parameters.

Chapter II: Objectives and Methodology


PRIMARY OBJECTIVE To study the impact or the influenze of employee involvement in the business. SECONDARY OBJECTIVE

To analyze the Employee satisfaction level. To find the employees motivational level. To determine the employee perception of the organization and its various spheres. To study the Employees attitude towards management. To provide valuable suggestions to the company. To find out the factors that influences the Employees involvement.

RESEARCH METHODOLOGY Research methodology is used to solve out all systematic problems of the research. In this study, first the logic behind the problem has been clearly analyzed and then the conclusion is given according to the general procedure. It is not only used, to know about the research methods or technique but also to gain knowledge about the various dimensions of methodologies. Research design is the general process that guides the data analysis of the project and it brings the research under a descriptive of methodology. The major purpose of the descriptive research is to analyse the data collection primarily and to make various

suggestions to the research for a conclusive result. Then the conclusive research is made to analyse the actual result of the research from the expected quality. Thus the descriptive and conclusive research design is used for this research. An undisguised structured questionnaire is used for this research as it convinced the respondent by providing more comfort in responding for the questions raised by the researcher. The question, which comes under this questionnaire, made the respondent to understand the question clearly. Moreover multi-choice question and rank questions were been raised in the questionnaire and the analysis of these questions were been carried out by the research work of the researcher.

SAMPLING DESIGN: Sample in a selection of units from the entire group called the Universe of interest. A sample in a particular segment, which focuses the decisions which can be applied to the entire organization. The units included in the sample can be easily approached to obtain the desired information for taking decisions. Here the survey is mainly used for the particular Employee of the organization in order to make the sample in a compensative manner. SAMPLING PROCEDURE: In sampling procedure the survey is mainly done to selected employees who are depending upon the lines. As here when the personal interview method is clubbed with structured questionnaire made the survey technique to be easier and comfortable for the researcher and the survey was conducted to 75 employees of the organization. SAMPLING SIZE:

The sampling size includes most of the employee who depend on lines training and development as it includes more then hundred employees who depend on lines where 75 are trained category, 20 are in training and 5 given training and developing stage.

STATISTICA & TOOLS USED: ANOVA Chi square analysis Percentage analysis Weighted average method.

Chapter III : Empirical Results :


AGE Below 30 31 - 40 Above 40

PERCENTAGE 38.33 33.34 28.33




From the above tabulation it is observed that 38.33% of the respondents belong to age group of below 30, 33.34% of the respondents belong to 31-40 age group and 28.33% of the respondents are in age group of above 40.

TABLE - 2 SEX WISE CLASSIFICATION NO.OF RESPONDENTS 88 32 120 TOTAL INTERPRETATION From the above tabulation it is observed that 73.33% of the respondents are males and 26.67% of respondents are Females.

SEX Male Female

PERCENTAGE 73.33 26.67 100




PERCENTAGE 50.83 35.84 13.33 100

From the above tabulation it is observed that 50.83% of respondents feel that the delegation of work is done in a fair manner, 35.84% of respondents feel delegation is not done frequently and the remaining 13.33% of respondents feel there is no delegation of work.

Delegation Of Work
60 % Of Respondants 50 40 30 20 10 0 Fairly Not Frequently opinion Not At All 13.33 35.84 50.83


TYPE In House Training Promotional Training Special Training Role play Training Discussion Training In House Training TOTAL INTERPRETATION Technique

NO.OF RESPONDENTS 41 21 17 12 14

PERCENTAGE 34.16 17.50 14.17 10.00 11.67

15 120

12.50 100

From the above tabulation it is observed that the maximum preference of the respondents in the lines is due to the high quality of freight services provided by them. And the remaining, services do not make much difference from the inflation.



PERCEPTION Excellent Good Average TOTAL

NO.OF RESPONDENTS 61 43 16 120

PERCENTAGE 50.83 35.84 13.33 100

INTERPRETATION From the above tabulation it is observed that most of them prefer the Booking Processing Services so it is awarded rank I and the remaining are the other ranks.

Rating Of Managers
60 % Of Respondents 50 40 30 20 10 0 Excellent Good Perception Average 13.33 35.84 50.83


PERCEPTION Excellent Good


PERCENTAGE 31.67 60.83

Average TOTAL

9 120

7.50 100

INTERPRETATION From the above tabulation it in observed that out of the total respondents 60.83% feel that the company is excellent and 31.67% expected that it is good and only 7.50% expected that it is average.

E m p lo y e e P e r c e p tio n A b o u t T h e C o m p a n y
80 70 60 50 40 30 20 10 0 73

% Of Respondants


E x c e lle n t

G ood P e rc e p tio n

A ve ra g e


PERCEPTION Excellent Good Average





INTERPRETATION From the above table it is analyzed that out of total respondents 57.50% feel that there is excellent growth in the company, 36.67% feel there is good growth opportunities and only 5.83% feel it is average.


Excellent Good Average


PERCEPTION Excellent Good Average





INTERPRETATION From the above table it can be inferred that out of the total respondents 74.17% feel the training and development programme is excellent , 17.50% feels it is good and 8.33% feels it is average.


E x c ellent 100 50 0 A verage G ood




Good Average TOTAL

82 2 120

68.33 1.67 100

INTERPRETATION From the above table it is observed that 68.33% of respondents feel that the team work is excellent , 30% of respondents feel it is good and only 1.67% feel it is average.

Employee Perception About Team Work

70 60 50 % Of 40 Respondants 30 20 10 0 68.33


1.67 1 2 Perception 3




Good Average TOTAL

87 11 120

72.50 9.17 100

INTERPRETATION From the above table it can be inferred that out of total respondents 72.50% feel that the employees are treated fairly , 18.33% feel that the employees are treated excellently and only 9.17% feel that the employees feel average.

Treating Employees
80 60 % Of 40 Respondants 20 0 Excellent Good Perception 18.33 9.17 Average 72.5





Good Average TOTAL

93 16 120

77.50 13.33 100

INTERPRETATION From the above table it is observed that 77.50% of respondents feel that the work environment is good, 13.33% of respondents feel it is average and only 9.17% feel it is excellent.

Employee Perception About Work Environment

77.5 80 60 % 40 Respondants 20 0 13.33



Good Perception





Good Average TOTAL

81 13 120

67.50 10.83 100

INTERPRETATION From the above table it can be inferred that out of total respondents 67.50% feel that the food and transport provided is good, 21.67% feel it is excellent and only 10.83% feel it is average.

Employee Perception About Food And Transport Facilities

% Respondants 80 60 40 20 0 Excellent Good Perception Average 21.67 10.83 67.5




Good Average TOTAL

71 6 120

59.17 5.00 100

INTERPRETATION From the above table it can be inferred that out of total respondents 59.17% feel that the sanitation facilities and shift timings are good, 35.83% feel it is excellent and only 5% feel it is average.

Perception About Sanitation Facilities And Shift Timings

59.17 60 50 40 % 30 Re spondants 20 10 0 35.83



Good Pe rception



PERCEPTION Excellent Good


PERCENTAGE 31.67 63.33

Average TOTAL

6 120

5.00 100

INTERPRETATION From the above table it can be inferred that it out of total respondents 63.33% feel that the leadership and planning in the organization is good, 31.67% feel that is excellent and 5% feel that it is average.

Employee Perception About Leadership And Planning

70 60 50 40 30 20 10 0 63.33

% Respondants

31.67 5 Excellent Good Perception Average


PERCEPTION Above Expectation Upto My Expectation


Below Expectation TOTAL

20 120

17.67 100

INTERPRETATION From the above table it can be inferred that out of total respondents 73.33% are overall satisfied with the company , 17.67% they are not satisfied and only 10% feel it is above their expectation.

Employee's Overall Satisfaction Level

80 70 60 50 40 30 20 10 0 73.33

% Respondants



Above Expectation Upto My Expectation Below Expectation Perception

Chapter IV: Data analysis & Discussion


STATISTICAL TOOLS USED FOR ANALYSIS TEST: 1 ANALYSIS OF VARIANCE: ANOVA is the short form of analysis of variance. ANOVA is sued when multiple sample cases are involved. Generally, this test can't be used to examine the significance of different amongst more than two sample means at the same time. ANOVA is said to be the statistical procedure for testing the difference among different groups of data for homogeneity. It is a technique splits the variance of analytical purposes. Variance is an important statistical measure and is understood as the mean of the square of deviations taken from the mean of the given series. Variance can be derived as the square of the Standard Deviation.
( X X ) 2 = n

Symbolically varianceor


Where X

stands for the values of the individual items Stands for the mean of the mean of series and stands for the total no. of items.

From the given sample, we can find out the variation of each item within the sample from the respective Arithmetic mean. This variation is known as "variation within the sample". At the same time the variation of each sample from the Grand mean can be calculated and named as variation between the samples. These two variations are

compared and expressed as a ratio known as "Fishers variance Ratio" named by symbol "F". Variance ratio is the ratio, which the greater variance bears to the smaller variance. In other words, this ratio is worked out as under F - coefficient as below: Greater variance F = ______________ Smaller variance The following steps derive the procedure in which ANOVA is used for Hypothesis test. 1. Observe the total for the individual items values in all the samples and denote it as T. 2. Derive the correction factor as under correction factor
T2 N

(C.F) =


Analyze the squares of all the items and denote the total value as SSQ, which derives the sum of squares. The deduct the correction factor (C.F) from that value in order to find the (sum of squares of the total) SST = SSQ-C.F.


Obtain the square of each sample and divide those square value of sample by the number of items in the concerning sample and take this total and the result is denoted as SSC sum of square of deviation for variance between samples SSC = ( C1/N1+ C2 / N2 + C3/N3+....) - CF


The sum of squares within the samples, (SSE) can be found out by deducting the following statement

SSE 6.


Find the degree of freedom for SSC & SSE by using the following formulae. SSS SSE = = No of samples - 1 No of items - No of samples


The next step is to find the variance by dividing the sum of squares of deviation by respective degree of freedom.


The value of 'F' is calculated by dividing the greater variance by smaller variance i.e. Greater variance F = ______________ Smaller variance


The calculated value of F has been compared with table value. In this if the calculated value is lesser than the Table value then the null hypothesis (Ho) is accepted. When the calculated value is greater than table value then the Null hypothesis (Ho) is rejected.

Table No.7 & 10 [Expected service quality of employees service & Actual service quality of employees

NULL HYPOTHESIS (H0): These are no significant difference between the expected service quality and Actual service quality of the employees. ALTERNATIVE HYPOTHESIS (H1): These us a significant difference between the expected growth and actual growth of the employees in thew organization. Employee Service Quality and Attitude Table 7 Table 10 Expected Actual Expected Actual Total Excellent Above Expectation 44 21 65 Good Upto Expectation 69 74 143 Average Below Expectation 7 25 32

240 = T2/N = 57600/6 = 9600

Correction factor (C.F)

Sum of squares (SSQ)= 1936 + 4761 + 49 + 441 + 5476 + 625 = 13288 Sum of squares of the total (SST = SSQ - C.F = 13288 - 9600 = 3688 Sum of squares of Deviation for variance between samples (SSC) = = [ C1/N1 C2/N2 + C3/N3 +...] - C.F [(65 x 65/2) + (143x143/2) + (32x32/2)] - 9600

= =

12848 - 9600 3248

Sum of squares within the samples (SSE) = = = SST - SSC 3688 - 3248 440


In the below table the 'F' value derives the formula as Greater variance F = ______________ Smaller variance

Sources of

Sum of

Degree of


variation Between samples (or Columns) Within samples (or error)

Squares 3248

Freedom (3-1) = 2

squares 3248/2 = 1624

1624 -----110 = 14.76


(6-2) = 4

440/4 = 110

Degree of freedom for greater variance is 2 Degree of freedom for smaller variance is 4 Table value of F @ 5% level of significance = 6.94 Therefore calculated value > table value Therefore H0 is rejected i.e. - These is a significance difference between the perceived quality and actual quality of employee services and attitude in the lines.

TEST : 1 CHI - SQUARE ANALYSIS: The main object of chi square test is to determine whether significant difference exists among group of data or whether the difference is due to sampling. Application: Chi-square test explains as the magnitude of discrepancy between theory and observation. By using X2 it can be ascertained whether the given discrepancy between

theory and observation is due to chance or whether it is due to failure of theory to fit into the observed facts. Hence the observed and expected frequencies completly coincide when the value of X2 is zero. Since the value 0 X2 increases, the difference between observed and expected frequencies increases. The following formula can be used to calculate the value of chi - square: X2 = (O-E) 2

E Where, refers to the observed frequencies and E refers to the expected frequencies. The following steps derive the steps in which the X2 value undetermined. i) Calculate the expected frequencies. In general, the expected frequency for any cell can be calculated from the following equation. E = RT x CT N E RT CT N GT = = = = = Expected frequency the row total for the row containing the cell the Column total for the column containing the cell. Total number of observation Grand total of the table values. RT x CT GT

---------- Or ----------


Find the difference between observed and expected frequencies and obtain the squares of these differences, i.e.; obtain the value of (O-E) 2.


Divide the values (O-E)

of obtained is step (ii) by the reprehensive

expected frequency and obtain the total [(O-E) 2/E]. This given the value of X2 which can range from Zero to infinites. If X2 is Zero it means that the observed and expected frequencies completely coincide. The greater the discrepancy between the observed and expected frequencies, the greater shall be value of X2 iv) The calculated value of X2 is compared with the table value of X2 for given degrees of freedom at a certain specified level of significance. It the calculated value of X2 in more than the table value of X2, then the difference between theory and observation is considered to be significant. v) On the other hand, the calculated value of X2 is less than the table value, the difference between theory and observation is not considered as significant.


Chi-square test for calculating overall satisfaction of respondents with Lines services (Q.No.4). Types of training given to employees in Netstar Bpo Initial training Satisfaction Level Yes 38 (44.7) 36 (31.5) 14 (11.7) 88 (A) 73.3% No 23 (16.3) 7 (11.5) 2 (4.3) 32(C) 26.7% Row Total 61 (B) 50.8% 43 (D) 35.8% 16 (E) 13.3% 120 (F) 100

Promotional training Special training Column Total

O 38 23 36 7 14 2

E 44.7 16.3 31.5 11.5 11.7 4.3

(O-E) -6.7 6.7 4.5 -4.5 2.3 -2.3

(O-E)2 44.89 44.89 20.25 20.25 5.29 5.29

(O-E)2/E 1.004 2.753 0.642 1.760 0.452 1.230 7.841

Calculation for the expected frequency in the above table is stated as below: Expectation of (BA) =

R ow Total X C olum n G rand Table


61 88 120
61 x 32 120 43 x 88 120 43 x 32 120 1 6 x 88 1 2 0 16 x 32 120

= 44.7

Expectation of (BC) =


Expectation of (DA) =


Expectation of (DC) =


Expectation of (EA) =


Expectation of (EC) =


Calculation value of X

( O E ) 2 E


Table value of X2

= = =

(r - 1) x (c - 1), X2 (3-1) x (2 - 1), X22, 5% = 5.991

5% 5%

CONCLUSION:Since calculation value > table value we reject Ho @5% Level of significance tat ; difference in employee performance when training is given before and after training. We reject Ho at 5 per cent level and conclude that Training programme has been a success.


This method is used to find the average weights for the ranks, which is to determine the most preferred factor. For each rank the variables are considered and number of response has been weighed. Among those weighted averages the most preferred factor is chosen as one with the minimum average. The next average selects the next rank and proceeds with the other ranks also. As here we consider the ranks from 1 to 5 as the 6th option could be ignored as it has not been stated any rank by the respondents so we consider the ranks from 1 to 5. These ranks are been desired clearly with the help of the formula proceeded below: Weighted average XiWi / Wi, where i W X = = = 1 to 5 weight (1 to 5) attributes

Weighted Average Method

Ranking based on employee prefer the Training methods.

Training methods

1 (5) 24 54 21 12

2 (4) 8 62 78 30

3 (3) 114 69 114 51

4 (2) 52 36 76 104

5 (1) 80 15 15 250

AVG TOTAL TOT / 75 328 236 304 447 4.37 3.14 4.05 5.96

In House Training Promotional Training Special Training Role play Training

Discussion Technique Training Others








Total No. of respondents = 120 Factors Weights 1 5 2 4 3 3 4 2 5 1

Based on the calculation shown above we infer that the factors can be ranked as follows: TRAINING METHODS In House Training Promotional Training Special Training Role play Training Discussion Technique Training RANKS 3 1 2 5 4

LIMITATIONS Though the sample size is small by numbers it made some of the

respondents to fell as a long one due to the respected sub division. Responses of certain Employees were not up to the expected level, which

could have influenced the result of the study. As here all the quantitative tools have not been used while the

questionnaire is considered to be long so the researcher has chosen the currently required tool, which could produce an accurate result. Certain quires were very busy, they took quite a long period to respond

and some of the quire refused to respond. As here exhausted survey method and multiple survey method have not

been used may also influence the exact result of the study.

Chapter V: Summary and Conclusions:

FINDINGS 1. From the study, it is analyzed that 38.33% of the respondents

are age group of below 30, 33% of respondents belong to 31-40 age group and only 28.33% of respondents are in age group of above 40. 2. 73.33% of the respondents are male and only 26.67% of

respondents are female 3. From the study 50.83% of respondents are found to believe that

the deleagtion of work is done fairly while 35.84% feel that delegation of work is not done frequently and only 13.33% of respondents feel that delegation of work is not done at all. 4. training 5. From the study we find that almost 70.34% of the employees feel that in house is the best. 50.23% of the employees feel that the managers are excellent and

35.34% of the employees feel that the managers are good and the remaining 14% of the employees feel that the managers are average. 6. 31.67% of the respondents feel that the company is excellent ,

60.83% of the respondents feel that the company is good and 7.50% of the respondents feel that the company is average. 7. organization 36% of the respondents feel that there is good growth in the and 13

organization and 51% of the respondents feel that the growth is not so good in the % of the respondents feel that there is no growth in the organization.


8.33% of the respondents feel that the training and development

program in the company is excellent and 74.5% feel that the training and development program is good and 17.50% feel that it is average. 9. 60% of the employees feel that there is very good team work in the

organization and 38.5% feel that the team work is good and 1.6% of the respondents feel that the team work is average. 10. 18.1% of the employees feel that the employees are treated

excellently and 67% of the respondents feel they are treated pretty good and 14% of the respondents feel they are treated averagely. 11. 9% of the employees feel that the work environment is excellent

and 67% of the respondents feel the work environment is pretty good and 24% of the respondents feel it is average. 12. 12% of the employees feel that the food and transport provided is

excellent and 57% of the respondents feel the food and transport provided is pretty good and 31% of the respondents feel it is average. 13. 35% of the employees feel that the sanitation and shift timings are

excellent and 59% of the respondents feel sanitation and shift timings is pretty good and 05% of the respondents feel it is average. 14. 31% of the employees feel that the leadership and planning are

excellent and 56% of the respondents feel leadership and planning is pretty good and 14% of the respondents feel it is average 15. 10% of the employees feel that they are overall satisfied with the

organization and 73% of the respondents feel that they are satisfied to some extent with the organization and 17% of the respondents feel it is average


RECOMMENDATIONS RECOMMENDATION NO.1 It is recommended that transport facilities may be provide for the employee by the management

BASIS FOR RECOMMENDATION It was found that 25% fully disagreed towards their mode of transport not being convenient. So we have recommended that they may be provided with good transportation facility. BENEFITS IF ACTED UPON A convenient transport sponsored by the management would be an advantageous since the employees would be able to be regular and on time.

RECOMMENDATION NO.2 It is recommended that the employees incentive scheme may be enhanced BASIS FOR RECOMMENDATION

It was found that 28% fully disagreed about the incentives given to them not being sufficient. So we would like to recommend better incentive schemes be employed for the staff. BENEFITS IF ACTED UPON If more incentives are given the employees would be more satisfied and this would be a moral boost for them to perform well. RECOMMENDATION NO.3 It is recommended that the catering facility for the staff may be reviewed and improved BASIS FOR RECOMMENDATION It was found that 25% fully disagreed about the catering facility being adequate. they found their cafeteria service being inadequate. BENEFITS IF ACTED UPON If good cafeteria facility is provided, they can refresh and relax since they are prone to work continuously during their shift hours

CONCLUSION By referring to all inferences made out from the study a conclusion in given as follows. From the study it is very clear that employee participation helps the organization to develop their business. Employee participation also acts as an impetus in building good relationships amomg the employees and the employers.

Futher from the study we find that the involvement of the employee in the business helps in increased productivity , employee satisfaction , improves morale and above everything it helps in the development of the business. Thus from the study it is very clear that employee participation in business is one of the most important aspects in todays business.

C.R. Kothari(1999) Quantitative Techniques, 3rd Edition Vikas publishing house Pvt Ltd. C.R. Kothari (2000) Research Methodology and Techniques,Vishwa prakasham, new Delhi. R.S. Dwivedi (2001) , Research Methods in behavioral sciences, Macmillan India, Ltd. S.M. Jha ( 2000) Services Marketing , Himalaya Publications Millennium Edition.


QUESTIONNAIRE Employee Participation In business Development NAME:______________ 1) What is your age? Below 25.............................................................. 26 to 30................................................................ 31 to 35................................................................ 36 to 40................................................................ 41 and above........................................................ 2) How long have you worked for Netstar Bpo? One year or more................................................. Six months to less than a year.............................. Less than six months............................................ 3) Are the higher authorities delegating jobs to the employees? Delegation is not done fairly.......................................................................................... Delegation of work is done but not frequently ............................................................. Employees are given opportunity to prove themselves by delegation............ 4) What is the type of training that the employees prefer. In HouseTraining Promotional Training . Special Training .. SEX:______ DATE:______________

Role play Training Discussion Technique Training.

5) How would you rate your managers? Excellent.............................................................. Good..................................................................... Average.. 6) What was your expectation from the Company with regard to participation? Excellent.............................................................. Good..................................................................... Average.. 7) How is the growth in this organization. Excellent............................................................. Good..................................................................... Average................................................................ 8) How are the training and development programs conducted? Excellent........................................................................................... Good ............................................................................................ Average............................................................................................ 9) What is employee perception about team work. Excellent.............................................................. Good..................................................................... Average............................................................................................

10) Employees are treated fairly and equally. Excellent Good Average.

11) The work environment is friendly & warm Strongly Agree..................................................... Somewhat Agree.................................................. Disagree............................................................... 12) How would you rate the food/transport being provided. Excellent.............................................................. Good..................................................................... Average................................................................ 13) How would you rate the Sanitation facilities & Shift timings ? Excellent.............................................................. Good..................................................................... Average................................................................ 14) How would you rate the leadership and planning in the organization? Excellent........................................................................................... Good ............................................................................................ Average............................................................................................ 15) Overall, how satisfied are you with the Company as an employee?

Below expectation................................................ Upto my expectation............................................ Above expectation...............................................

This is albones rajs suggestions.

Supervisors Comments and Suggestions: The Title of the project is incomplete, if you are not mentioning the name of the organization wherein you have conducted your study Certificate (by research supervisor) is missing! The format you have adopted for bibliography is not right. An

Illustration of how it should be presented:

Mazumdar.K (2005) Human Resource Practices in Indian Industries, New Delhi: Sultan and Chand. Nisbet, Robert A. (2003) Training Methods in Knowledge-based Organizations, New York: Prentice hall. site. No appendix! Why? Please check the Pondicherry University distance education web

There is a special URL on MBA Project guidelines. Ensure whether everything you have written is in conformity with their guidelines Watch out the font size! The recommended font size is 12


The executive summary (synopsis as you put it)should precede

first chapter The executive should be comprehensive! As of now, it looks

incomplete! Do not use 1st person singular or plural. It is inappropriate in

report-writing. Remember you are the researcher and an objective observer. Not the companys PR Man. So even while describing the company, do not use we or our etc. Objectives of the study is part of Company profile? Or is it a

chapter by itself? It is not clear to me. This is not my idea of review of literature (Not that of Pondicherry University, either!). You should be reviewing studies so far conducted in this area of research, reported and published in journals and books. This seems to be the weakest point of all dissertations, though! Too late to change! Every table should a numbering and a brief title. The ones

highlighted in green are a sample of inappropriate stubs and items worthy of change. Table is better than tabulation of Please watch out spelling and grammar mistakes! Chapter Number is not indicated. No Table of contents! No list

tables! No list of Figures!

How could the specimen questionnaire appear in the middle of analysis and interpretation?! part Why the statistical analysis is placed separately? It should be

of the analysis and interpretation! The Chapter arrangement is totally unclear! Pl follow the sequencing of chapters recommended by Pondy University.