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CHAPTER 1 INTRODUCTION Human resource management is a process of bringing people and organizations together so that the goals of each other are met. Nowadays it is not possible to show a good financial or operating report unless your personnel relations are in order. Over the years, highly skilled and knowledge based jobs are increasing while low skilled jobs are decreasing. This calls for future skill mapping through proper HRM initiatives. Indian organi-zations are also witnessing a change in systems, man-agement cultures and philosophy due to the global alignment of Indian organizations. There is a need for multi skill development. Role of HRM becomes more im-portant. Competency Mapping is a process of identifying key competencies for a company or an organization and the jobs and functions within it. Competency mapping is im-portant and is an important activity. Every well managed organization should have well defined roles and list of competencies required to perform each role effectively. Competency mapping analysis individual’s SWOT for better understanding and this helps to improve his career growth. This identifies the gap for improving knowledge to develop. Every industry in the present scenario is trying to achieve high efficiency and effectiveness in order to sur-vive in this cutthroat competition. Industry is basically classified into production and service sector. They try desperately to improve the efficiency of their system. All the methods and approaches
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Page 1: CHAPTER   1

CHAPTER 1

INTRODUCTION

Human resource management is a process of bringing people and

organizations together so that the goals of each other are met. Nowadays it is not possible to

show a good financial or operating report unless your personnel relations are in order. Over

the years, highly skilled and knowledge based jobs are increasing while low skilled jobs are

decreasing. This calls for future skill mapping through proper HRM initiatives. Indian organi-

zations are also witnessing a change in systems, man-agement cultures and philosophy due to

the global alignment of Indian organizations. There is a need for multi skill development.

Role of HRM becomes more im-portant.

Competency Mapping is a process of identifying key competencies for a company or an

organization and the jobs and functions within it. Competency mapping is im-portant and is

an important activity. Every well managed organization should have well defined roles and

list of competencies required to perform each role effectively. Competency mapping analysis

individual’s SWOT for better understanding and this helps to improve his career growth. This

identifies the gap for improving knowledge to develop.

Every industry in the present scenario is trying to achieve high efficiency and effectiveness in

order to sur-vive in this cutthroat competition. Industry is basically classified into production

and service sector. They try desperately to improve the efficiency of their system. All the

methods and approaches for improving the perfor-mance and efficiency of their operations

points to a basis key factor – "Skill and Competency. Skills and competen-cy, therefore,

becomes a focal point of companies, which aims at improving their performance. Every

industry, especially production industries, emphasizes on skill and competency. It becomes

mandatory for any production company, aiming at improving their performance, to map the

skill level of their workers.

Skills mapping is a technique of studying and analyzing the skills possessed by the persons

concerned. It is a comprehensive way of knowing the skill levels of the persons. Skill

mapping evolves a result, which not only specifies the skill level of the persons but also

identi-fies the Gray areas where improvement can be made by training or by other means.

Skill mapping, thus, is fast becoming important, buzzword for any industry aiming at

revamping them-selves to the present competitive situation. It is becoming popular day by

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day and many companies are showing keen interest in using this technique to improve their

effi-ciency.

Companies are vastly shifting their approach of having multi-skilled employees with

knowledge of only one skill. Companies are interested in knowing the present skill level of

their employees so that training can be given to improve their performance. This is where

skill Mapping comes in to focus, which apart from mapping the skills also helps in

identifying the strategies for multi skilling program for the company.

With increased importance to operational efficiency, cost-reduction, higher productivity

norms and managing with fewer employees than before by corporate, brings competency as

the most important yardstick for all Hu-man Resource – related decisions like selection,

assimila-tion, development, growth charting and promotion, etc.

The competence approach focuses on linking business strategies to individual performance

efforts. It also encourages employees to develop competencies which can be used in diverse

work situations rather than being boxed into the job. Development of employees fo-cuses on

enhancing their competencies rather than pre-paring them for moving to jobs. In this way

they can de-velop capabilities useful throughout the organization as it changes and evolves.

Human resource management is a process of bringing people and organizations together so

that the goals of each other are met. Nowadays it is not possible to show a good financial or

operating report unless your personnel relations are in order. Over the years, highly skilled

and knowledge based jobs are increasing while low skilled jobs are decreasing. This calls for

future skill mapping through proper HRM initiatives. Indian organi-zations are also

witnessing a change in systems, man-agement cultures and philosophy due to the global

alignment of Indian organizations. There is a need for multi skill development.

Competency Mapping is a process of identifying key competencies for an organization, the

jobs and func-tions within it. Competency mapping is important and is an essential activity.

Every well-managed firm should have well defined roles and list of competencies required to

perform each role effectively. Competency mapping identifies an individual’s strengths and

weaknesses in order to help them better understand themselves and to show them where

career development efforts need to be directed. Competency mapping is not only done for

Con-firmed employees of an organization and it can also be done for contract workers or for

those seeking employ-ment to emphasize the specific skills which would make them valuable

to a potential employer. These kinds of skills can be determined, when one is ready to do the

work. Competency mapping is one of the most accurate means in identifying the job and

behavioral competencies of an individual in an organization.

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DEFINITIONS:

According to UNIDO (2002):

A Competency is a set of Skills, related knowledge and attributes that allow an individual to

successfully perform a task or an activity within a specific function or a job‖.

According to RANKIN (2002):

“Competencies are definition of skills and behaviors that organization expects their staff to

practice in work”.

WOODRUFEE (1991):

Competency: A person – related concept that re-fers to the dimension of behavior lying

behind competent performer.

Competence: A Work – related concept that re-fers to area of work at which a person is

compe-tent

Competencies: Often referred as the combination of the above two.

NEED OF THE STUDY

Competency mapping in the manufacturing sector helps to identify the talent and

skill level of the employees. The Schneider manufacturing setor bing a major industry

should be given due consideration to the competency of the employees as i plays vital role.

The success of any industry lies in the efficiency of its human resources. Thus the

competency of the human resource in this sector has to be measured and identified in order to

develop and enable the employee to develop the talent, skills and knowledge in the required

area.

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OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE:

To sudy on Employee ‘perception towards competency mapping with reference to

itc SCHNEIDER ELECTRONIC INDIA PVT Ltd.

SECONDARY OBJECTIVES:

To analyse the knowledge of employees’ towards competency based training.

To know the skills of employees’to the competencies for one’s own role.

To evaluate the attitude and motivational level of employees’in job

To determine the effectiveness of competency mapping towards problem

solving

To know the standards of employees towards creativity.

To suggest various measures to improve competency mapping.

SCOPE OF THE STUDY

The study on employees’ perception towards competency mapping was carried out

to identify the competency level of employees in each department and to know the level

employees performing their job successfully.

This study will also help the management to know the required competency to

perform their job and develop the employees in such a way that their career goals are

achieved. The employees are considered for the study in order to understand how they are

mapping their talent with respect to their working environment and talent provided by the

company. Once the competencies are determined, proper training can be provided to the

individuals to work more efficiently on the processes.

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CHAPTER - 2

COMPANY PROFILE

Schneider Electric SE (Euronext: SE) is a European multinational corporation that

specialises in electricity distribution,automation management and produce installation

components for energy management . It is headquartered in Rueil-Malmaison, France and is

also based at the world trade centre of Grenoble.

HEAD OFFICE:

Schneider electric has had its head office in the trianon site in Rueil-Malmaison, France

since 2000. The current headquarters also located in Rueil malmaison and known as the Hive,

previously housed Schneider subsidiary telemecanique, while the parent company occupied a

site in Boulogne-Billancourt.

Acquisitions

Acquisition

dateCompany Business Country Source

1988 TélémécaniqueManufacturer of electrical circuit

breakers, switchgear and sensorsFrance [5]

1990 Federal Pioneer Limited

Manufacturer of electrical circuit

breakers, switchgear and

transformers

Canada [6][7]

1992 Merlin Gérin Manufacturer of electrical circuit France [8]

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breakers and transformers

2000 Crouzet Automatismes Automation components France [9]

2000 Positec Stepper / servo motors Germany [9]

2000 Nu-Lec Industries Switchgear and controls Australia [10]

2001 PDLDomestic and industrial electrical

hardware

New

Zealand[11][12]

2002Digital Electronics

CorporationHMI Japan [13]

2003 CDI Power Power systems automation Brazil [14]

June 2003 TAC Building automation and control Sweden [15]

December

2003

MGE UPS

Systems (merged

with APC in 2007)

Power supplier USA [16]

2004 Clipsal Wiring Australia [17]

March 2004 Kavlico Pressure sensors USA [18]

May 2004 Andover Controls Building automation and security USA [19]

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June 2005 ABS EMEA Building automation UK [20]

June 2005 Juno Lighting Lighting USA [21]

July 2005 BEI Technologies Customized sensors USA [22]

2006 AEM S.A. Ultra terminal Spain [23]

2006 OVA Bargellini Ultra terminal Italy [23]

2006 Merten Ultra terminal Germany [23]

2006 CitectSCADA and MES automation

softwareAustralia [24]

February

2007APC

Power backup and protection and

electrical distributionUSA [25]

October

2007Pelco Video security USA [26]

July 2009 Conzerv Systems Power monitoring India [27]

July 2009 Meher Capacitors Power factor correction India [28]

March 2010 Zicom Security Systems Security systems India [29]

April 2010 SCADAgroup SCADA and control systems Australia [30]

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December

2010Areva T&D Transmission & distribution Europe [31]

2010 Andromeda Telematics Integrated control solutions UK [32]

March 2011 Summit Energy Energy management USA [33]

April 2011 Digilink Network connectivity products India [34]

May 2011 APW President Systems Enclosure systems India [35]

May 2011 Luminous Power inverters India [36]

June 2011 TelventReal-time information

management systemsSpain [37]

June 2011 Viconics Electroncs BMS products Canada [38]

August 2011 7-Technologies

Software for simulation and

optimization of water/electricity

networks and industrial processes

Denmark [39]

December

2011Viridity Data center management software USA [40]

May 2012 M&C Energy Group Energy procurement and UK [41]

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sustainability services

September

2012SolveIT Software Planning and scheduling software Australia [42]

January 2014 InvensysMultinational engineering and

information technology companyUK [43]

January 2014 AST ModularPrefabricated Modular Data

Centers companySpain [44]

HISTORY:

The roots of this company are in the iron, steel, and armaments factories of Schneider-

Creusot[45] and other industrial concerns.[46] In 2014 Schneider Electric advertised a

cooperation with German power supplier RWE.

Schneider Electric SE

Type Societas Europaea

Traded as Euronext: SU

Industry Electrical equipment

Founded 1836, incorporated 1981

Page 10: CHAPTER   1

Headquarter

s

Rueil-Malmaison, France

Area served Worldwide

Key people Jean-Pascal Tricoire(Chairman and

CEO)

Henri Lachmann (Vice-Chairman and

Lead Director)

Products Include programmable logic

controllers, sensors, variable-

frequency drives,uninterruptible

power supplies, circuit

breakers,switchgear, switchboard

s,motor controllers

Revenue €23.946 billion (2012)[1]

Operating

income

€2.866 billion (2012)[1]

Profit €1.840 billion (2012)[1]

Total assets €36.156 billion (2012)[1]

Total equity €16.642 billion (2012)[1]

Owner Capital Group Companies(9.4%)[2]

Number of

employees

152,384 (2012)[1]

Subsidiaries invensys, SolveIT Software,APC,

Areva T&D, BEI Technologies,

Page 11: CHAPTER   1

Cimac, Citect,Clipsal, ELAU, Federal

Pioneer, Juno Lighting, Merlin Gerin,

Merten, Modicon PLC,Nu-Lec

Industries, PDL Group, Power

Measurement,Square D, TAC,

Telemecanique, Telvent, Gutor

Electronic LLC, Zicom,Summit

Website schneider-electric.com

Computer and Electronic Product Manufacturing Industry Profile

Employment is projected to decline 12 percent over the 2006-16 period due to

productivity improvements, imports, and the movement of some jobs to lower wage

countries. The industry is characterized by significant research and development activity and

rapid technological change. Professional and related personnel account for 1 out of 3

workers.

This industry differs somewhat from other manufacturing industries in that production

workers make up a relatively small proportion of the workforce. Technological innovation

characterizes this industry more than most others and, in fact, drives much of the industry’s

production. This unusually rapid pace of innovation and technological advancement requires

a high proportion of engineers, engineering technicians, and other technical workers who

carry out extensive research and development.

 Manufacturing Plants

 Chennai Plant

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Spread over 9,000 Sqm, the Chennai Plant is equipped with a state-of-the-art

technology testing system. This system eliminates any sub-standard product from the

manufacturing line by putting every manufactured product through series of stringent tests.

The new manufacturing plant is made in such a manner that critical human defect is expected

to be at Zero PPM. New dimensions are being added by establishing the Plant as

manufacturing hub for Asia Pacific region. The Plant is ISO 9001-2000 and ISO 14001

certified and manufactures complete range of MCB and RCCB.

Plant area: 8,000 Sqm

No. of People: 600

Products being manufactured:Miniature Circuit Breakers

MG Protec & C60, Residual CurrentCircuit Breakers

 

SCHNEIDER ELECTRIC PRODUCT:

Boxes, Cabling & Interfaces

Building Management System

Busway & Cable Management

Contactors & Protection Relays

Page 13: CHAPTER   1

Cooling Solutions

Data Centers and Server Rooms and Wiring Closets,Din rail modular devices,Feeder

Automation,Fuse Switches

HMI (terminals and industrial PC),Home Control,Industrial & Specialized UPS and Power

Conversion

Industrial communication,Industrial plugs and sockets,Insulation monitors

ENERGY MANAGEMENT

Make the most of your energy of world energy is consumed by

infrastructure,industry,building and residential markets.the energy saving that we can provide

to these markets to energy efficiency solutions now. Today energy is at the heart of every

ones concern more than ever the current situation compels each and everyone to achieve

more while using fewer resources. Global specialist in energy management,Schneider electric

makes energy safe,reliable,efficient,productive and green. How? Simply by making energy

visible and gives you the means to act to optimise its consumption.

A GLOBAL, INNOVATION AND RESPONSIBLE COMPANY

From steel in the 19th century to electrical distribution in the 20th and energy

management in the 21st , Schneider electric has always been driven by an international,

innovative and responsible mindset to shape the transformation of the industry it was

evolving in

Discover the energy challenge

Discover what we do

Discover our markets

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HEADQUARTER ADDRESS:

Schneider Electric India Pvt ltd,

4th floor,,Electra,Wing B Exora business parks marathahalli,

Sarjapur Outer Ring Road, Bangalore – Kamataka(560103,india).

INDUSTRY PROFILE:

History 

Indian Electronics industry dates back to the early 1960's. Electronics was one industry initially restricted to the development and maintenance of fundamental communication systems including radio-broadcasting, telephonic and telegraphic communication, and augmentation of defense capabilities. Until 1984, the electronics Industry was primarily government owned and then in 1980s witnessed a rapid growth of the electronics industry due to sweeping economic changes, resulting in the liberalization and globalization of the economy.

The economic transformation all over the world was motivated by two compelling factors - the determination to boost economic growth, and to accelerate the development of export-oriented industries, like the electronics industry. By 1991 in the country private investments - both foreign and domestic were encouraged. The easing of foreign investment norms, allowance of 100% foreign equity, reduction in custom tariffs, and relicensing of several consumer electronic products had attracted remarkable amount of foreign collaboration and investment.

The domestic Electronic industry also responded favorably to the policies of the government. The initiatives of the electronics field to private sector enabled entrepreneurs to establish the industries to meet demand in the market. Improvements in the Indian Electronics industry have not been limited to a particular segment, but encompass all its sectors. This pace made in the areas of commercial software, telecommunications, electronics, instrumentation, positioning and networking systems, and defense. The result therefore has been a significant trade growth that began in the late 1990's. The Indian Electronics Industry is a text for investors who consider India as a potential investment opportunity.

 Brief introduction

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Indian electronics companies had majorly benefited from the economic liberalization policies of the 1980's,

including the loosening of restrictions on technology and component imports, delicensing, foreign investment, and reduction of excise duties. Output from electronics plants

in India grew from Rs1.8 billion in FY 1970 to Rs8.1 billion in FY 1980 and to Rs123 billion in FY 1992.

Most of the expansion took place in the production of computers and consumer electronics. Indian Production

of Computer rose from 7,500 units in 1985 to 60,000 units in 1988 and to an estimated 200,000 units in 1992.

During this period, major advances were made in the domestic computer industry that led to more sales.

Consumer electronics in India account for about 30% of total electronics production of the country.

In 1990 the electronic production included 5 million television sets, 6 million radios, 5 million tape recorders, 5 million electronic watches, and 140,000 video cassette recorders. The Indian engineering sector is large and varied and provided around 12 % of India's exports in the mid-1990s. Two subsectors, electronics and motor vehicles, are the most dynamic in all the sectors.

Despite the global economic slowdown, growth of Indian electronics industry in 2009 was on par with the previous year at 9.9%, although this was decreased according to the double-digit growth achieved in 2006 and 2007. In 2010 output grown by 13.6% and in the medium to long-term India will continue to show strong growth driven by a large, fast growing domestic market, significant foreign investment and an improving regulatory environment. The global electrical and electronics industry has various adjunct sectors. Few of them are Electronic Components, Computer & Telecommunications, Office Equipments, Consumer Electronics as well as Industrial Electronics.

Market capitalization

The Indian electronics market was at US$11.5 billion in 2004, then the market wgrew worldwide over the next several years. Indian Electronics Industry is expected to grow at a Compound Annual Growth Rate (CAGR) of 23% by 2010 to reach US$40 billion. Though its total output will be far behind China electronics market, worth US$271.97 billion in 2004, India promises a better market with the bears watching. Low manufacturing costs in skilled labor and raw materials, availability of engineering skills, and opportunity to meet demand in the populous Indian market, are driving its electronics market.

Size of the industry

In the year 2005 India's electronic consumption was around 1.8 %. It is likely to touch 5.5 % in 2010. According to a study conducted by ISA and Frost Sullivan, India's semi-conductor market would grow by 2.5 times. The end-user products of semi-conductor would include mobile handsets, desktop and notebooks, PCs, etc.

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Total contribution to the economy/ sales

Indian electronics industry today stands at US $ 25 billion and is ranked 26th in the world in terms of sales and 29th in the world in terms of production. It is growing at over 25% CAGR and is expected to be worth US $ 158 billion by 2015. Electronic industry is one of the fastest growing industries in the country and is driven by growth in key sectors such as IT, Consumer Electronics and Telecom.

The demand for electronics is expected to be fuelled by the growth of

Telecommunications (250 million subscribers by the next few years) PCs and Notebooks (5 million every year) Broad-Band connectivity reaching rural areas

Top leading Companies

Video Projectors: Phil Systems, Keltron Projectors, Birla 3M, Samrat Video Vision

Colour Television: LG Electronics, Philips, Sony; Sansui, Samsung, BPL, Videocon, Onida, Aiwa, Akai, Thompson, Panasonic.

Cameras/Camcorders: Sony, Canon, Olympus, Fuji film, Nikon

Employment opportunities

According to a recent report presented by Ernst & Young, the Indian domestic demand for electronics products is expected to reach $125 billion by 2014 from the current level of $45 billion annually. The primary demand drivers for the Indian Electronic Industry are sectors like telecom, defence, IT and e-governance, automotive, consumer electronics, and energy. At these demand levels, until India creates its own electronics product industry, the imports of these products will create the single largest trade deficit item, which would even be larger than petroleum products. On the other hand, if this particular unique opportunity is utilized, it can create a large industry catering to domestic consumption, which will help achieve self reliance in strategic sectors like telecom and defence, while leading to large exports.

Latest developments 

 The Indian Electronic industry constitutes less than 1% of the global market. However, demand for these products are growing rapidly and investments are flowing in to augment manufacturing capacity.

Page 17: CHAPTER   1

Today India remains a major importer of electronic materials, components and finished equipment amounting worth of $20 billion (Rs84, 000 crore ) in 2007. The country imports electronic goods mainly from China

In past four years, production of computers has grown at a compounded annual growth rate (CAGR) of 31%, which is highest among the various electronic products in India. And then the production is followed by communication and broadcast equipment (25%), strategic electronics (20%) and industrial electronics (17%).

The consumer electronics segment has grown at a CAGR of 10% in the last five years includes a wide range of products such as DVD, VCD/MP3 players, television sets and microwave ovens.

The growth in demand for telecom products has been high, with India adding two million mobile phone users every month, which serves as one of the main reasons for the growth in production of electronic goods. This growth is expected to continue over the next decade, too.

To attract foreign investment the government has adopted Chinese style Special Economic Zones with the aim to provide islands of excellence where the infrastructure is world standard. Fifteen-year tax breaks given to foreign investors and SEZs are treated as foreign territories for the purpose of trade operations, duties and tariffs.

India has been a great success story in the IT services industry and the next great opportunity is to create our own electronics product industry, which will help to move up the value chain and create global technology brands. Today the market is at the threshold of a decisive phase in our growth where, if the government and entrepreneurs take concrete steps it can create a $100 billion electronics product industry from India in the next 10 years.

Multi national corporations provide growing electronics market to India at lower costs by manufacturing semiconductors in India. India has the potential to come up as the next electronics and hardware destination in the world. The chip design and other complex components electronic device can be acquired from the Indian companies at low cost.

India is growing up to be one of the biggest markets for electronic instrumentations. The consumption value of electronic equipment in India in 2005 is estimated as US$ 28.2 billion. The main factor pertaining to the success of the Indian Electronics and Hardware Industry is the growth in the market demand. The growth in the manufacturing of semiconductor serves as the key driver in the emergence of India as one of the leaders. The advantages pertaining to the taxes and duties, the access to technical and engineering expertise, proper manufacturing facilities, lucrative investment offers, etc.

Historical Developments

The Electronics Industry in India took off around 1965 with an orientation towards space

and defence technologies. This was rigidly controlled and initiated by the government. This

was followed by developments in consumer electronics mainly with transistor radios, Black

& White TV, Calculators and other audio products. Colour Televisions soon followed. In

Page 18: CHAPTER   1

1982-a significant year in the history of television in India - the government allowed

thousands of colour TV sets to be imported into the country to coincide with the broadcast

of Asian Games in New Delhi. 1985 saw the advent of Computers and Telephone

exchanges, which were succeeded by Digital Exchanges in 1988. The period between 1984

and 1990 was the golden period for electronics during which the industry witnessed

continuous and rapid growth.

From 1991 onwards, there was first an economic crises triggered by the Gulf War which was

followed by political and economic uncertainties within the country. Pressure on the

electronics industry remained though growth and developments have continued with

digitalisation in all sectors, and more recently the trend towards convergence of technologies.

After the software boom in mid 1990s India's focus shifted to software. While the hardware

sector was treated with indifference by successive governments. Moreover the steep fall in

custom tariffs made the hardware sector suddenly vulnerable to international competition. In

1997 the ITA agreement was signed at the WTO where India committed itself to total

elimination of all customs duties on IT hardware by 2005. In the subsequent years, a number

of companies turned sick and had to be closed down. At the same time companies like

Moser Baer, Samtel Colour, Celetronix etc. have made a mark globally.

Current Scenario

In recent years the electronic industry is growing at a brisk pace. It is currently worth US$ 32

Billion and according to industry estimates it has the potential to reach US$ 150 billion by

2010. The largest segment is the consumer electronics segment. While is largest export

segment is of components.

The electronic industry in India constitutes just 0.7 per cent of the global electronic industry.

Hence it is miniscule by international comparison. However the demand in the Indian

market is growing rapidly and investments are flowing in to augment manufacturing capacity.

The output of the Electronic Hardware Industry in India is worth US$11.6 Billion at present.

India is also an exporter of a vast range of electronic components and products for the

following segments

• Display technologies

• Entertainment electronics

• Optical Storage devices

• Passive components

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• Electromechanical components

• Telecom equipment

• Transmission & Signaling equipment

• Semiconductor designing

• Electronic Manufacturing Services (EMS)

This growth has attracted global players to India and leaders like Solectron, Flextronics, Jabil,

Nokia, Elcoteq and many more have made large investments to access the Indian market. In

consumer electronics Korean companies such as LG and Samsung have made commitments

by establishing large manufacturing facilities and now enjoy a significant share in the

growing

market for products such as Televisions, CD/DVD Players, Audio equipment and other

entertainment products.

The growth in telecom products demand has been breathtaking and India is adding 2 million

mobile phone users every month! With telecom penetration of around 10 per cent, this

growth is expected to continue at least over the next decade. Penetration levels in other high

growth products are equally high and growth in demand for Computer/ IT products, auto

electronics, medical, industrial, as well as consumer electronics is equally brisk. Combined

with low penetration levels and the Indian economy growing at an impressive 7 per cent per

annum, the projection of a US$150 Billion+ market is quite realistic and offers an excellent

opportunity to electronics players worldwide.

The recent acceleration in EMS activity is mainly due to rapid growth in the electronic

Hardware market in all segments particularly rapid growth has taken place in Telecom

Infrastructure Equipment, computers, Consumer & Hand held devices.

TOP TEN EMS COMPANIES

COMPANY

REVENUE(US$ MILLION)

MARKET SHARE (%)

SCI system 5,367 17.4

Solectron 2,934 9.5

Celestica 2,600 8.5

Page 20: CHAPTER   1

Jabil Circuit 833 2.7

Avex Electronics 717 2.3

Nm steel 680 2.2

Venture manufacturing 569 1.9

Manufacturers services ltd 475 1.5

Flextronics international 463 1.5

Bull electronics 425 1.3

Total Top Ten 15,063 49.0

The Growth Drivers

Behind the impressive growth of the electronics industry is the robust and consistent growth

in Electronic Hardware market of approximately 25 per cent due to a stable economy &

large middle class of 350 million people. The fastest growing segments are demand for

telecom services particularly cell phones, internet subscribers & growth in demand for it

products with increasing penetration of computers, falling prices & Government support to

rapidly encourage usage of IT in all sectors. Within next 5 years penetration of telephone

users (both landline & mobile) is projected to increase from 100 to 500 per thousand while

PC's increase from 10 to 30 plus per thousand. Some of the other factors are

• Highly talented workforce, especially for design and engineering services with good

communication skills.

• Rising labor costs in China.

• Presence of global Electronics Manufacturing Services (EMS) majors in India and their

plans for increased investments in India.

• More outsourcing of manufacturing by both Indian and global Original Equipment

Manufacturers

REGULATORY ENVIRONMENT

Implementation of ITA-I under WTO

India has been successfully promoting reforms in all the constituents of the Internet,

Communication and Entertainment sector. Being a signatory to the Information Technology

Agreement (ITA-I) of the World Trade Organization and with effect from March 1, 2005

the customs duty on all the specified 217 items has been eliminated.

Page 21: CHAPTER   1

Foreign Investment Policy

A foreign company can start operations in India by registration of its company under the

Indian Companies Act 1956. Foreign equity in such Indian companies can be up to 100 per

cent. At the time of registration it is necessary to have project details, local partner (if any),

structure of the company, its management structure and shareholding pattern. Registration is

a kind of formality and it takes about two weeks. It can forge strategic tie up with an Indian

partner.

Foreign Trade Policy

In general, all Electronics and IT products are freely importable, with the exception of some

defence related items. All Electronics and IT products, in general, are freely exportable, with

the exception of a small negative list which includes items such as high power microwave

tubes, high end super computer and data processing security equipment.

SEZ Scheme

Special Economic Zone (SEZ) is a specifically delineated duty free enclave and shall be

deemed to be foreign territory for the purposes of trade operations and duties and tariffs.

SEZ unit may import/procure from the DTA without payment of duty all types of goods

and services, including capital goods, whether new or second hand, required by it for its

activities or in connection therewith, provided they are not prohibited items of imports.

Export Oriented Units

Special schemes are available for setting up Export Oriented Units for the Electronics/IT

Sector. Various incentives and concessions are available under these schemes. The schemes

are:

• Export Oriented Unit (EOU) Scheme

• Electronics Hardware Technology Park (EHTP) Scheme

• Software Technology Park (STP) Scheme

• EOU/EHTP/STP Schemes

CHALLENGES AND OPPORTUNITIES

4.1 Challenges

Major challenges facing the Indian electronic manufacturing market are an infrastructure that

needs to be improved at the earliest possibility, easing of foreign investment procedures,

which is underway, and a restructured government tariff that now makes domestically

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manufactured goods more expensive than imported goods with zero tariff.

There are also other problems, which are hampering the growth of the Indian electronics

industry. Some of them are:

• Lack of World-class infrastructure.

• Lack of clear-cut government policy for the industry.

• Very little expenditure in Research and Development area.

• Power of Marketing not harnessed to the maximum

4.2 Opportunities

While the Electronics sector in India is currently small, there are several advantages that

India offers that can be effectively leveraged to achieve higher growth. These can be

categorised under three heads:

• Manpower

• Market Demand

• Policy and Regulatory Support

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CHAPTER 3

RESEARCH METHODOLOGY

Research can be defied as “ a scientific and systematic search for pertinent information on

a specific topic”

Research methodology is a purely and simply the framework or a plans for the study that

guides the collection and analysis of data. Research is the scientific way to solve the

problems and it’s increasingly used to improve market potential.

RESEARCH DESIGN

The research design used in this study is descriptive in nature. It is designed to describe

something. It deals with determining the frequency with which somethimg occurs. The

descriptive study is rigid and normal.

SOURCES OF DATA COLLECTION

For achieving the specific objectives of this study, data were gathered from both

primary and secondary sources.

PRIMARY SOURCES:

Primary data consist of the original information collected for the specific purpose. The

primary data this research study was collected through direct survey with the respondents

guided by the structured questionnaire.

SECONDARY SOURCE:

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Secondary data cosist of information which already exists somewhere having been

collected for specific purpose in this study. The secondary data for this study was collected

through various records of the company, websites, books and journals.

SAMPLING DESIGN

The sampling technique refers to the definite plans to obtain a sample from a

given population. For this study, the research used the probability sampling wherein each ad

every element has the qual probability of getting selected. Stratified disproportionate random

samplinfg method was used to collect data from the population.

POPULATION AND SAMPLE SIZE

The research is embedded to measure the competency among thee employees. The

employees working in Schneider electronic india pvt ltd, poonamalle was been targeted. The

over all population of the company is 600. The study chosen sample size as 150

RESEARCH INSTRUMENT

Questionnaire : Questionnaire refer to a device for securing answer to formally arranged

list of questions by using a term, which the respondent fills by himself/herself. There are 25

questions in the questionnaire along with the basic information of employees.

PERIOD OF STUDY

This research study on employees’ perception towards competency mapping with

reference to Schneider electronic india pvt ltd was carried on for a period of 3 months

STATISTICAL TOOLS

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The analysis of the collected data is the most important part of any research to get the

interpretation for the project. For this project, two statistical tools are used. They are:

Percentage analysis

Correlation

ANOVA

PERCENTAGE ANALYSIS

In case multiple choice questions the reponses were categorised based on the nature

nd percentage is calculated for each category. The percentage analysis is the analysis of

ration of a current value to a base value with the result multiplied by 100.

Number of observation / Total no of observation*100

CORRELATION

Correlation is the one of the most common and most useful statistics. A correlation is a

single number that describes the degree of relationship between two variables.let’s work

through n example to show you how this statistic computed. Now we can ready to compute

the correlation value.

FORMULA:

We use the symbol ‘r’ to stands for the correlation. Through the magic of

mathematic it turns out that are we always be between (-1.0 and +1.0). If the correlation is

negative we have a negative relationship if its positive the relationship is positive the

relationship is positive. You don’t need to know how we came up with this formula unless

you want be a statistician. But you probably need to know how the formula relates to real

data-how you can use the formula to compute the correlation.

ANOVA

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Analysis of variance (ANOVA) is a statistical method used to test differences between

two or more means. It may seem odd that the technique is called “analysis of means.” As you

will see, the name is appropriate because inferences about means are made by analysing

variance. ANOVA is used to test general rather than specific differences among means.

ANOVA tests the non-specific null hypothesis that all four population means are equal.

REVIEW OF LITERATURE

THEORETICAL REVIEW

COMPETENCY

DEFINITION OF COMPETENCY:

UNIDO (2002)

A Competency is a set of skills,relate knowledge and attributes that allow an individual to

successfully perform a task or an activity within a specific function or job.

RANKIN (2002)

Competencies are definition of skills and behaviours that organisations expect their staff to practice in

work.”

MANSFIELD (1997)

“Underlying character of a person that results in effective a superior performance.”

HAYES(1979)

Competencies are generic knowledge motive,trait,social role or a skill of a person linked to superior

performance on the job.

ALBANESE (1989)

Competencies are personal characteristics that contribute to effective managerial performance.


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