Project Report On “Job Rotation, Transfers & Promotion” In OIL AND NATURAL GAS CORPORATION LIMITED (ONGC) Mumbai region Master of Management Studies (Human Recourse Management) Submitted in partial fulfilment of the requirement for award of Master of Management Studies of Pillai’s Institute of Management Studies & Research, New Panvel Submitted By Prachi P. Tari Under the supervision of Mrs. Meeta Prasad – Deputy Manager (HR), ONGC, Regional Office 1
Transcript
Project Report
On“Job Rotation, Transfers & Promotion”
In
OIL AND NATURAL GAS CORPORATION LIMITED (ONGC)
Mumbai region
Master of Management Studies (Human Recourse Management)
Submitted in partial fulfilment of the requirement for award of
Master of Management Studies of
Pillai’s Institute of Management Studies & Research, New Panvel
No. 1 E&P Company in the world among leading global energy majors as per plats 2010
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No. 24 PFC ENERGY 50. Ranked 24th among the Global publicly- listed energy companies
ONGC ranked at 155th position in Forbes Global 2000 list for 2010
NATIONAL RANKINGS
ONGC ranked at second position in FE500 listed 2010 Business Today Ranks ONGC as Best Company to Work for in Core Sector.
AWARDS
OISD Awards
ONGC and MRPL have won the following six ‘Oil Industry Safety Awards” for the year 2008-09, instituted by Oil Industry Safety Directorate (OILD), MoP&NG. Cauvery Asset has been declared as winner in the category Oil & Gas Assets (onshore) on safety standards.
Heera Processing plant has been adjudged as the best Offshore Production Platform under PSU’s category on safety standards.
Sager Shakti has been adjudged as the best Offshore Drilling Rig, under PSU category on safety standards.
MRPL has been ranked at number two in Refineries category.
MRPL has also been ranked at number two in Refineries category.
ONGC’s Rajahmundry Asset has been rated as the most safe Onshore Oil & Gas Asset in last three years. ONGCianShriSupriyoChowdhury, Chief Engineer (Drilling), Assam asset has been selected for a cash award for his valuable contribution in the area of safety. ---------------------------X--------------------------
MANPOWER IN ONGC
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1980 1985 1990 1995 2000 2005 2006 20100
5000100001500020000250003000035000400004500050000
26374
415914695645736
400213618534722 32836
MANPOWER SCENARIO IN ONGC
YEAR
YEAR % age
E9E8 E7 E6 E5 E4 E3 E2 E1
Total
2006- 15
100 100 99 75 44 23 30 32 22 30
2006- 10
62 47 42 25 10 06 12 10 04 08
Total 30 % of present Class - I strength shall superannuate during the next decade
(2006 to 2015) and 8 % in the next five years (2006-2010) as under:
The superannuation profile in terms of absolute numbers, for next 6 years (2009 to
HR policies at ONGC revolve around the basic tenet of creating a highly motivated, vibrant
& self-driven team. The Company cares for each & every employee and has in-built systems
to recognize & reward them periodically. Motivation plays an important role in HR
Development.
Organizational Mission & Vision
Mission:
To be a world-class Oil and Gas Company integrated in energy business with dominant
Indian leadership and global presence.
HR VISION, MISSION & OBJECTIVES
HR Vision - “To build and nurture a world class Human capital for leadership in energy
business”.
HR Mission - “To adopt and continuously innovate best-in class HR practices to support
business Leaders through engaged, empowered, and enthused employees”.
HR Objectives
Enrich and sustain the culture of integrity, belongingness, teamwork, accountability and
innovation.
Attract, nurture, engage and retain talent for competitive advantage.
Enhance employee competencies continuously.
Build a joyous work place.
Promote high performance work systems.
Upgrade and innovate HR practices, systems and procedures to global benchmarks.
Promote work life balance.
Measure and Audit HR performance
Integrate the employee family into the organizational fabric.
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Inculcate a sense of Corporate Social responsibilities among employees.
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Chapter: - 4
Review of literature
The Oil and Natural Gas Corporation(O.N.G.C.)Limited announces so many recruitment
every year. O.N.G.C. publish the detailed notification along with application from
based on the field operator Recruitment 2011.
The ideal recruitment efforts attract a large number of qualified applicants having right
aptitude, knowledge; skills to perform as per role requirement. It should also provide
information so that unqualified applicants can self-select themselves out of job candidacy i.e.
a good recruiting programme
should attract the qualified and not attract the unqualified. This dual objective helps in
minimizing the cost of processing unqualified candidates.
All organizations at one time or the other engage in recruiting activities although the extent of
the operations varies from organization to organization. Size of the organization is one of the
factors that influence the extent of recruiting process.
JOB ROTATION AND TRANSFER POLICY OF ONGC
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What is Job Rotation?
Job rotation is an approach to management development where an individual is moved through a schedule of assignments designed to give him or her a breadth of exposure to the entire operation.
Job rotation is also practiced to allow qualified employees to gain more insights into the processes of company, and to reduce boredom and increase job satisfaction through job variation.
The term job rotation can also mean the scheduled exchange of persons in offices, especially in public offices, prior to the end of incumbency or the legislative period. This has been practiced by the German green party for some time but has been discontinued.
At the senior management levels, job rotation - frequently referred to as management rotation, is tightly linked with succession planning - developing a pool of people capable of stepping into an existing job. Here the goal is to provide learning experiences which facilitate changes in thinking and perspective equivalent to the "horizon" of the level of the succession planning.
For lower management levels job rotation has normally one of two purposes: promotability or skill enhancement.
In many cases senior managers seem unwilling to risk instability in their units by moving qualified people from jobs where the lower level manager is being successful and reflecting positively on the actions of the senior manager.
Many military jobs use the job rotation strategy to allow the soldiers to develop a wider range of experiences, and an exposure to the different jobs of an occupation.
Importance of job rotation
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Job rotation is the surest way of keeping the employee away from complacency and boredom of routine. It is difficult for an employee to sustain his interest in a given job for any substantial length of time as humans have the tendency of outgrowing their jobs through the learning and experience that they gain over a period of time. Stimulating human mind through diversity of challenges is a sure way to bring to forefront its creative instincts and in taking the individual and organizational performance to a higher plane. This is where job rotation can prove to be a handy tool.
Potential of Job Rotation
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A well planned job rotation programme in an organization has immense potential of positive impact on job satisfaction, engagement of people and finally on retention of people. Few of the outcomes of job rotation with respect to the individual are:
Job enrichment Overall development Intrinsic motivation to perform caused by newer challenges Career development
Where as for an organization, the benefits are:
Leadership development Aligning competencies with organizational requirements Lower attrition rates Performance improvement driven by unique view points of new people
OBJECTIVES OF JOB ROTATION IN ONGC
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i. To enable planned movement of employees from one job/station to another to meet operational and/or administrative requirement of the organisation from time to time.
ii. To enable employees acquire multi-dimensional knowledge and skills for self-development, to shoulder higher supervisory and managerial responsibilities through a structured job rotation profile and exposure to diversified geographic and operational environments.
iii. To enable employees develop their own career path by opting for specific job placement/change in job assignment and outstation placements so as to have an effective linkage with their career development.
iv. To provide flexibility in pursuing specialist tasks.
APPLICABILITY
i. Job rotation policy is applicable for all the employees of ONGC.
ii. This policy is not applicable to the employees who belong to unionized categories because generally they are not are not transferred out of their sectors.
iii. This policy on job rotation and transfers mainly relates to executives .
iv. For non-executives, job rotations are planned at different unit level guided through this policy.
WHY ONGC OPTS FOR JOB ROTATION?
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i. To make sure that every executive realizes the importance of mobility on jobs
ii. It is an effective tool for career development apart from meeting operational requirements of the organisation.
iii. To Categorize the jobs of all major disciplines.
PROCESS OF JOB ROTATION IN ONGC
i. In ONGC, usually there are two transfers for executives between E-1 & E-4.
ii. GTs joining ONGC are initially posted for the field assignments/operational activities only.
iii. Every executive while working at E-1 to E-4 levels is rotated, at least through three different categories of job out of a total of five categories. He/She has to work on at least one job area in each of the three selected categories for a minimum two years.
iv. Job rotation of other disciplines like Medical & IE has not been envisaged yet.
v. Before crossing the E-4 level, every executive has to work in at least three different Sectors for minimum three years each.
vi. All the transfers of ONGC are generally effected on the principle of FIFO (‘First in- First out’)
vii. Once the employee reaches level E-6, he/she is not normally considered for transfers unless at his own request or on administrative grounds/succession planning needs.
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viii. Normally, all those executives at the levels of E-1 to E-4 who have completed more than five years in the Sector/Station are liable for transfer whereas this criterion of selection is not applicable for employees of NE sector.
ix. Transfer Order includes the station and specific collective units.
ADMINISTRATIVE SET UP FOR POLICY IMPLEMENTATION IN ONGC
i. Job rotation and transfer of the executives is a continuous exercise & the most important element of this exercise is close monitoring and maintenance of individual’ record.
ii. In ONGC, Job rotation & transfers has been linked with the career development, succession planning, training and other HRD interventions.
iii. Job Rotation & Transfer requires continuous interaction with the collective units as well. It also involves obtaining and screening the options from executives at regular intervals.
iv. This process enables individuals to realise the self-rotation profile in relation with their career development path and individuals aspirations and also integrate the same with the organisational needs.
v. In ONGC, Transfer policy is not merely a one-to-one statistical replacement, but it effectively addresses the issue of ‘functional support-balancing’ at various levels for functional and operational efficiency.
vi. Transfer planning is carried out by the concerned Directors.
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SPECIAL PROVISIONS OF JOB ROTATION IN ONGC
i. In ONGC, husband and wife employees of the Corporation, are posted at the same Asset/Station, so as to enable them to lead a normal family life.
ii. The Management of ONGC does consider the mobility constraint of executives on grounds of children education or medical for Self & such constraint is declared in advance. In exceptional cases, if any such employee is transferred then they are permitted to retain their families at their existing place of posting.
iii. If any employee wants to get transferred on account of family problems or medical grounds, then his transfer request gets recorded in the personnel record of the employee. Such mobility constraints are declared by the executive in advance.
iv. The places where ONGC establishment does not exist and if any employee wishes to settle down at suh place after superannuation, then his request is also considered for transfer to nearest work center.
v. If any employee has physically or mentally challenged spouse or child then a sympathetic consideration is taken for their transfer in accordance with the guidelines of Government of India.
REPRESENTATION AGAINST TRANSFERS
i. When transfer orders are issued with the approval of Competent authority, the executives stand relieved on the date as mentioned in the transfer order. Their representation, their personnel files etc. are transferred to the place of their respective transfer and their salary is not drawn till they report for duty at the new place of posting.
ii. When an employee is transferred on promotion, he is allowed to join the promoted post only at the new place of posting. However, in case of mid-academic session, he is permitted to retain their families at their existing place of posting.
iii. In ONGC, no leave is granted beyond the relieving date specified in the transfer orders, by any authority at the collective level to an executive.
iv. When an employee requests any kind of leave, such a request is forwarded for consideration and sanction by the collective departments of the place to which the individual has been transferred.
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IMPLEMENTATION
1. The executives who have not served NE sector or have served NE sector for less than 3 Sectors, should make request for their movement in view of their growth in the organisation.
2. All the provisions of Transfer Policy will be implemented meticulously without any deviation. Relaxation can only be considered by the related unit of ONGC.
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WHAT IS PROMOTION?
A promotion is the appointment of a current, active classified employee to a position in a higher salary range than the one to which the employee is presently assigned. A promotion is also advancement to a position that requires performing accountabilities of significantly increased complexity or responsibility. Most promotions will occur as a result of a job posting.
Open/vacant, benefits eligible positions will be posted in order to allow equal opportunity for
all employees to apply for and be promoted into open/vacant position within the organization.
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OBJECTIVES OF PROMOTION:
Help organizations employ promotion more effectively,
Recognition Contributions of the individual preparation, attitudes people skills and
personal attributes.
Perhaps the most compelling of these reasons was being in the right place during a
major restructuring of the organization.
Another set of reasons for promotion, which didn’t focus primarily on candidate
abilities, had to do with the role of promotion as a means of sending signals to the
organization.
Organization sometimes who needed the opportunity to refine and developmental
purposes and gave key jobs to someone who needed the opportunity to refine and
develop his /her abilities.
PROMOTION PROCESS IN ONGC:
The promotion will be carried out under following three criteria:-
i) Seniority-cum-Fitness (Upto E-1 level)
ii) Quantification Scheme (E-2 to E-4 level)
iii) Merit Promotion by Selection
(Corporate promotion E-5 level and above)
Seniority-cum-Fitness:
Under ‘Seniority-cum-Fitness’ criteria all employees who fulfill the specified requirement of
experience and qualification as specified regulations are considered for promotion by duly
constituted Departmental Promotion Committee according to seniority subject to their fitness
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based on performance appraisal reports of relevant period and trade test and interview,
wherever required.
QUANTIFICATION SCHEME:
Under the quantification scheme, the executives will be assessed by a selection committee on the basis of qualification, experience and Performance Appraisal Reports of the relevant period. Maximum marks allocated to each of these criteria would be as follows:
No trade test is prescribed for promotion within ‘S’ category.
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C] Class-III (Other than ‘S’ Category):
PROMOTION MODE Experience
PrescribedFrom To
A-I A-II SCF 3 years
A-II A-III SCF 6 years
A-III A-IV SCF 6years
A- IV S-I/E-0* SCF 6 years
Top of class-III
(induction level)
E-0 SCF 4 years
D] Class-IV:
Promotion Mode Experience prescribed
From To Qualified Under qualified
W-I W-II SCF 3 years 3 years
W-II W-III SCF 6 years 6 years
W-III W-IV SCF 6 years 6 years
W-IV W-V SCF 6 years 6 years
W-V W-VI SCF 6 years 7 years
W-VI W-VII SCF 6 years 7 years
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PAR Criteria for promotion of Class –III category employees:
A) Promotion within class-IV and from A-I to A-IV level in Class-III will be on the
basis of SCF criteria wherein PAR criteria for relevant three years shall be as under:
1) If all three PAR ratings are ‘GOOD’ (or higher rating) candidate may be cleared
straight away.
2) If anyone PAR grading less than ‘GOOD’ and other two rating ‘GOOD’ (or better
ratings) the candidate will be interviewed by the DPC.
3) If any two PAR grading less than ‘GOOD’ the candidate may be rejected straight
away.
4) B) Promotion from top of class-III to S-1 level and further promotion within S
cadre will be on the basis of SCF criteria wherein PAR criteria for relevant three
years (e.g. for promotion w.e.f. 01/01/2010 PAR for 2009,2008 ,2007 will be
considered) shall be as under :
5) Candidates with two ‘GOOD’ and one ‘VERY GOOD’ PAR ratings (or any
higher combination of PAR rating) may be cleared straight away.
6) If all three PAR ratings are ‘GOOD’ the candidate will be interviewed by the
DPC.
7) If any of the three PAR rating is less than ‘GOOD’ the candidate shall be rejected
straight away.
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PAR Criteria for promotion of Non-Executives:
Promotion within class IV and from A-I to A-IV level in class III will be on the basis of SCF criteria wherein PAR criteria for relevant three years shall be as under:
If all three PAR rating are ‘GOOD’ (or higher rating) candidate may be cleared
straight away.
If anyone PAR grading less than ‘GOOD’ and other two rating ‘GOOD’( or better
rating ) the candidate will be interviewed by the DPC.
If any two PAR grading less than ‘GOOD’ the candidate may be rejected straight
away.
Promotion from top of class III (A-IV) to S-I level and further promotion within S cadre will be on the basis of SCF criteria wherein PAR criteria for relevant three years shall be as under
Candidate with two ‘GOOD’ and one ‘VERY GOOD’ PAR rating (Or any higher
combination of PAR rating) may be cleared straight away.
If all three PAR rating are ‘GOOD’ the candidate will be interviewed by the DPC.
If any of the three PARS rating is less than ‘GOOD’ the candidate shall be rejected
straight away.
REVIEW:
Where the Corporation is Appointing Authority, an employee who is aggrieved, by the order of promotion on ground that he has not been selected by such Appointing Authority may make an application to the corporation for review of its decision within 30 days of the date of receipt of an information by an employee under sub-regulation 9 of these regulations.
Provided that the corporation may for sufficient reasons entertain an application for review within a period of sixty days from the said date.
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CHAPTER 5:
RESEARCH METHODOLOGY
RESEARCH DESIGN:
Qualitative research has been done during the survey (collection of primary data). This
research has been done among the staff level say as from E1-E5 and C-II & C-III.
DATA COLLECTION METHODS/SOURCES:
The method used in the survey was in the form of distribution of questionnaires
among the staff levels. The questions were close ended questions and it was
distributed randomly i.e; random distribution.
SAMPLING PLAN:
Sampling unit:
Samples were distributed among all the ONGC employees i.e; the staff level
members.
Sampling size:
The sample size for the survey was 100. 100 questionnaires were distributed to all the
staff levels say as all the departments-CIVIL, DRILLING, ELECTRICAL, FINANCE,
MARKETING, HRM.
SAMPLING METHOD:
The sampling method used was questionnaire method.
Date of birth_________________________ Age: _______________________________
Level: E1- E2 E2- E3 E4- E5
C-III – C-IV
Education Qualification: Q1 Q2 Q3 Below Q3
Gender Category : Male Female
Queries :- “Promotion ”
Kindly choose appropriate applicants:-
1. Are you aware of O.N.G.C. promotion policy?
Yes
No
Can’t say
2. Are you satisfied with the present promotion policy of O.N.G.C.?
Yes
No
Can’t say
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3. Should there be written examination for considering the promotion?
Yes
No
Can’t say
4. Are the promotion orders issued in time?
Yes
No
Can’t say
5. Is there any change of work/responsibility after being promoted ?
Yes
No
Can’t say
6. Do you think that training should be given on promotion to Executive Cadre?
Yes
No
Can’t say
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7. Should there be a job rotation on promotion?
Yes
No
Can’t say
8. Does the person from promotion section give a proper information/fair
cooperation?
Yes
No
Can’t say
9. Do you agree that O.N.G.C. R&P policy is superior compare to other Oil
PSU’s?
Yes
No
Can’t say
Thank you for your precious time!!!
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Sample Calculation:
E1 E2 E4 E5 C-III Total0
10
20
30
40
50
60
70
1115
20
8 6
60
Responses Received
The sample size for the survey was 60, it was in a small scale i.e; among the
staff members of RO (Regional Office) and almost every level responded where
the majority of the response came from E4 level.
Study and Analysis of the staff level
74%
14%
12%
Q.Are you aware with the O.N.G.C promotion policy?
yesnocant say
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The data shows that most of the
employees are aware promotion
policy i.e; 74 % which is a healthier
sign.
49%45%
5%
Q.Should there be written examination for considering the promotion?
YesNoCan't say
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Half of the employees support the system of written examination for promotion as it helps in promoting the right person.
41%
52%
7%
Q.Are the promotion orders issued in time?
YesNoCan't say
Yes
No
Can't say
0 5 10 15 20 25 30 35
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8
12
Q.Is there any change of work/re-sponsibility after being promoted?
43.9%
36%
12%
Q.Do you think training should be given on promotion to Executive
Cadre?
YesNoCan't say
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There is change in role & responsibility, job enrichment and increase the individual experience for multi skilling.
Well as the new on line system of promotion is updated, there is a little bit satisfaction in promotion orders because there is no proper coordination among the employees about the new system.(i.e; class II & class III) Hence almost more than half of the employees do not think that promotion orders are issued in time.
The training is required to hold the new role & responsibility which is not done presently, hence 44% employees agree with the training to the Executive Cadre.
43%
38%
19%
Q.Should there be a job rotation on promotion?
Yes No Can't say
43%
38%
19%
Q.Do the people from promotion section give proper
information/fair coorperation?
Yes No Can't say
36%
23%
41%
Q.Do you agree that ONGC R&P policy is superior compare to
other Oil PSU's?
Yes No Can't say
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The above graph shows that 43% of the employees trust more in the policy of job rotation for acquiring more knowledge and experience.
Though the survey gives a positive result (43%) but still there is a need for improvement in the communication about the promotion policy as 38% of the employees are not satisfied.
The above chart shows that the policy stand at average in present condition as compared with the bench mark in other companies.
Suggestions of the Employees
56% of the employees are satisfied with the present practices. While 42.1% of the employees need change in the present promotion
policy due to change in technology and business requirement at present. Personal development, training and learning has consistently raised
biggest concern across all levels. Lack of employee recognition and reward for higher performance. Job rotation was also the point for making them multi-skilled.
Findings
It was observed from records that Recruitment and Promotions were implemented as per
policies and practices decided. This gave the impression that secrecy, as well as transparency,
was maintained in recruitment and promotion processes. It was corroborated by the fact that
no litigation case was filed unlike in the previous years.
I was given to understand that the Union was satisfied with the implementation of
Recruitment Procedures as also the general ruling adopted by ONGC in respect of
Recruitment.
However, they were unhappy in respect of recently changed promotion procedures in some of
