CAPSTONE PROJECT

JOB SATISFACTION LEVEL OF EMPLOYEES IN TATA MOTORS

Vishal Kashyap
UID – 19MBS1016
MBA (SHRM – 4th Sem.)
Apex Institute of Technology
Table of Contents

1. Introduction ................................................................................................... 1-3

1.1. Background of the study ......................................................................... 1
1.2. The concept of job satisfaction ............................................................. 1-3
2. Literature Review .......................................................................................... 4-7
3. Industry Profile ............................................................................................ 8-12
3.1. Indian Automobile Industry ...................................................................... 8
3.2. Market Size .......................................................................................... 8-9
3.3. Investments ........................................................................................ 9-10
3.4. Government Initiatives ..................................................................... 10-11
3.5. Achievements ................................................................................... 11-12
3.6. Road Ahead ............................................................................................. 12
4. Company Profile ....................................................................................... 13-19
4.1. Tata Motors ........................................................................................... 13
4.2. Mission .................................................................................................. 14
4.3. Vision .................................................................................................... 14
4.4. Values ................................................................................................... 14
4.5. Company Structure ............................................................................... 14
4.6. Historical Milestones ....................................................................... 15-17
4.7. Board of Directors ................................................................................. 18
4.8. Area of Operation of Tata Motors .......................................................... 19
5. Project Overview ....................................................................................... 20-23
5.1. Objective of the Project ......................................................................... 20
5.2. Method/Techniques Adopted ............................................................ 20-23
5.3. Key Challenges Faced .......................................................................... 23
5.4. Key Achievements................................................................................. 23
5.5. Key Learnings ....................................................................................... 23
6. Analysis & Discussions ............................................................................. 24-36
6.1. Data Analysis ................................................................................... 24-34
6.2. Key Findings ......................................................................................... 35
6.3. Limitations ........................................................................................ 35-36
6.4. Recommendations ................................................................................ 36
7. Conclusion ..................................................................................................... 37
8. Bibliography .............................................................................................. 38-39
9. Annexure................................................................................................... 40-41

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FIGURES
1. Figure-1, Factors Influencing Job Satisfaction
2. Figure-2, Tata Motors (Lucknow)
3. Figure-3, Tata Motors Stats
4. Figure-4, Tata Motors Structure

TABLES
1. Table no. 1
2. Table no. 2
3. Table no. 3
4. Table no. 4
5. Table no. 5
6. Table no. 6
7. Table no. 7
8. Table no. 8
9. Table no. 9
10. Table no. 10
11. Table no. 11

CHARTS
1. Chart no. 1
2. Chart no. 2
3. Chart no. 3
4. Chart no. 4
5. Chart no. 5
6. Chart no. 6
7. Chart no. 7
8. Chart no. 8
9. Chart no. 9
10. Chart no. 10
11. Chart no. 11

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 1. INTRODUCTION
1.1. BACKGROUND OF THE STUDY

Job satisfaction is furnished as the attitude of content an employee possesses in an

organization's current position. Several scholarly studies have been conducted using workers'
satisfaction as a central research variable in the last few decades. It has to be regarded as an
obligatory attribute that organizations frequently measure to ensure an affectionate approach
of employees towards their duties and responsibilities. Despite the world-wide urges for
considering employees as a human asset of the organization, the prevailing scenario of profit-
oriented business is neither providing a fair remuneration system nor extending welfare-
oriented move towards its employees. Therefore, the turnover rate has alarmingly increased in
most industries in all levels of employment. Here comes the significance of guaranteeing a
level-headed state of job satisfaction among an organization's employees, which may land in
organizational effectiveness.

Zain, Ishak, and Ghani (2009) illustrate the factor of job satisfaction as being constituted by
employees' thoughts, feelings, interactions, and performance. Based on Hawthorne studies,
Glenn Bassett (2004) articulates the working hypothesis of the human relations movement in
management has consistently proposed that the satisfied worker is a productive one. Over the
recent years, researchers are moving in the reverse direction, inferring that employee
performance influences job satisfaction (Bassett, 2004).

(Locke, 1976; Spector, 1997) defines Job satisfaction as nothing but a positive emotional state
resulting from the pleasure a worker derives from the job. (Kalleberg, 1977; Mercer, 1997;
Wright and Cropanzano, 1997; Wong et.al., 1998) treats Job satisfaction as the attitude, both
affective and cognitive, being possessed by an employee in respect of the whole aspects of their
work, the latter implying that satisfaction is related to the component facets rather than the
entire job, which is consistent, Spector (1997).

1.2. THE CONCEPT OF JOB SATISFACTION

During the earlier stages of research, efforts were made to correlate job performance with job
satisfaction. It came out with these entities' complementary nature, implying a positive
correlation among them. But later on, some studies revealed that good job performance leads
to higher job satisfaction; however, the reverse found non-significant. Evaluating an
employee's performance in an organization is concerned with how satisfied he is with the job

1
and many other factors like his professional independence, organizational commitment,
emotional intelligence, disciplined nature, collaborative working style, organizational
citizenship behaviour, etc. Job satisfaction is a psychological attribute of the employee that he
enjoys. Job performance is the practical reflection of that employee's aptness to that profession,
making the employer rejoice.

Good
Salary

Career
Challenges
Growth

Job
Satisfaction
Work Life
Recognition
Balance

Job
Security

Figure-1, Factors Influencing Job Satisfaction

It is observed that four main groups of factors determine the level of job satisfaction like
economic aspects, interpersonal relations, working conditions, and personal fulfillment,
including pay, working hours, working conditions, Human Resource department, job design,
stress, and various demographic factors.

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Job satisfaction is the most important factor in understanding worker motivation, effectiveness,
retention, and performance. It's a pleasurable, positive state resulting from one's job and job
experiences (Bashayreh, 2009). In addition to the employees' specific task environment, this
also encircles the individual's effective attitude or orientations for work (Bashayreh, 2009).
Enhanced job performance, positive work values, high employee motivation levels, lower
absenteeism rates, turnover, and burnout are the positive impacts of job satisfaction (Ngo,
2009). Notwithstanding such constructive outcomes, an unsatisfied employee may cause
undesirable job outcomes through low productivity, stealing, moonlighting, and demonstrating
high rates of absenteeism. These aspects would subsequently insist the employee for a passive
withdrawal from the organizational affairs. From a managerial perspective, the satisfied
workforce translates into higher productivity due to their better psychological well-being and
fewer destructive interruptions in performance (Van Der Zee, 2009).

The factors affecting employees' job satisfaction are intrinsic and extrinsic, personal attributes,
and the work environment. The argument that employee satisfaction improves service quality
is grounded on the theory of equity in social exchanges, involving a series of interactions to
generate unspecified obligations (Zafirovski, 2005).

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 2. LITERATURE REVIEW

According to the researches' outputs available so far, the job satisfaction level is exposed
maximum in the jobs like Physical Therapists, Authors, Psychologists, Firefighters, Teachers,
Educational Administrators, Painters, Sculptors, etc. The professions where the job satisfaction
is observed with the least significance are Laborers (excluding those in the construction field),
Clothing salespersons, Furnishing Salespersons, Packagers, Food preparers, Food servers and
material handlers, etc. (Schultz D, 2010.)

Job satisfaction is constituted with numerous facts. The significant dimensions to this regard
are paid, the work itself, promotions, supervision, work group, and working conditions
mentioned in a study about the relationship between job satisfaction and job performance has
a controversial history (Luthans 1985). Saari and Judge (2004). Soon after the Hawthorne
studies' disposals, the world wide researchers interpreted the happy working as a productive
worker. In the earlier days of research, a weak or somewhat inconsistent relationship was
presumed between job satisfaction and performance.

An employee stayed back in an organization for a long tenure and was observed as investing
mentally and physically better than a younger employee. Extensive researches could thereby
prove a positive correlation between professional experience and job satisfaction (Lim and Teo,
1998). Even though the exact inference could be matched up by the research of Smith et al,
(1969), he could also conclude at the fact of highest satisfaction experienced by the workers
with an experience of fewer than six months. In his study, Morgan et al (1995) brought to a
close correlation between these two variables. Job satisfaction seems to be significantly
reduced in older employees with many years of professional experience.

Another essential demographic feature is the hierarchical level to which the employee belongs.
According to the researches, people who work at higher levels of management are more
satisfied. Oshagbemi (1997) observed a positive correlation between job satisfaction and the
hierarchical level to which an employee belongs to. In 2003, O Pors reached the same attention-
grabbing end of finding a lesser degree of pride among the lower-tier employees. The reasons
were the lack of freedom and autonomy.

According to Skibba (2002), the underlying theory of reciprocal model is that if the satisfaction
is extrinsic in nature, it leads to performance. The performance leads to satisfaction, in case of
an intrinsic quality in satisfaction. Also, she speaks about the relationship between job
performance and job satisfaction as a follow-up of social exchange theory. The job

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performance is to be regarded as a return by the employee to the organization from which they
get their satisfaction. This study also reminds us that, to the best of industrial psychologists'
belief, there is no relationship between job satisfaction and job performance, although it is
revealed that a positive mood would lead to higher levels of both the features.

A survey was conducted in 2006 on 7939 business units in 38 countries. It showed that
customer satisfaction, profitability, staff turnover, and less work mishaps were due to a higher
satisfied and engaged staff (Norwack, 2006). In research by Woodruffe & Lockwood (2006),
an engaged and a satisfied employee, most probably would be an organizationally committed
one and he or she tends to be the top performer of the organization continuously. When an
employee is engaged, they serve customers better and contribute more to the organization's
ongoing profitability.

Alina Hyz (2010) argues it points out the lack of correlation between demographic
characteristics such as age, gender, years of experience, and respondents' educational level.
These variables are independent of each other, whereas exception exists in employee's position
in the organization and access to organizational decision making. As long as the enhancement
in an employee's position occurs, his or her satisfaction from the job also increases due to
greater benefits, autonomy, more creative works, etc. Also, it is observed that well-educated
employees are characterized significantly by a lower state of satisfaction concerning their
salary. Recognition, autonomy, working with groups, prospects, clarity of responsibilities,
relationships with co-workers and cooperation with the department of human resources are
those factors showing a positive correlation with job satisfaction with considerable varying
intensity.

In a survey conducted by Anuar Bin Hussin in Trade winds Group of Companies in Klang
Valley, it made known a positive relationship between job satisfaction components: promotion,
work itself, supervision, and co-workers except for pay towards employee job performance.
Also, the study noted a significant difference between position and job performance. The job
satisfaction dimensions, like pay, promotion, work itself, supervision, and co-workers, can
indeed contribute to 17.8 percent increase in the organization's job performance.
Syaidatulakma binti bahani (2013) comes out with an inference matching the same among job
performance and dimensions mentioned above.

Dr. Padmakumar Ram (2013) wraps up after a public sector study in India, as no association
between job facet satisfaction and overall job satisfaction. Out of the six measures of job

5
performance, the single one which reflected a noticeable concern with overall job satisfaction
was 'passenger complaints'. No association was found between salary and overall job
satisfaction in low and medium-income groups. Nevertheless, for high-income groups, a
negative association between these entities could observe.

Using a model that incorporates the main constructs from agency theory and organizational
psychology, Markus Christen, Ganesh Iyer & David Soberman (2006), finds a negative, direct
effect of effort and a positive, direct effect job performance on job satisfaction. Conflicting
findings in the earlier researches are argued as the result of inconsistency in both the
measurement and the definition of constructs across studies that do not fully account for all the
relationships between constructs. Here comes the need to distinguish clearly between factors
that represent employees' inputs in a working relationship (i.e. effort) and those representing
their outputs (i.e., job performance).

Allison Laura Cook (2008) explains this correlation in research work with many potential
causal models; one possibility is that the satisfaction-performance relationship is spurious.
Advocating the correlation is due to common causes of both constructs. This study's common
causes include job complexity and cognitive ability, in association with personality traits, like
Conscientiousness, Extraversion, Agreeableness, and core self-evaluations. The meta-analytic
correlation matrix suggests a residual correlation between job satisfaction and performance
through its structural equation modelling.

Some of the employees are neutral with the factors incentives and benefits in the company.
Such grievances must be addressed and taken care of. Induction programs for recruits may be
made mandatory to get to know about internal and external company policies and can engage
in work effectively and efficiently. There should be an increase in the motivational program to
increase the enthusiasm and recognition of the employees. Some employees do not feel valued
and involved in the job; such a situation should be identified. This will help to increase
engagement. A simple yet effective measure is to recognize good work. It fosters better
relationships. Any good work, big or small, must be acknowledged (Bhavani SA, Sharavan and
Arpitha, 2015).

Every company has realize that the all employees are asset for the organization. Giving
importance and providing some freedom in decision making, involvement in work culture so
that every employee reaching his goal is not tough.so every employee works for their
organization for their satisfaction (Dr.A. Krishna Sudheer, Dr.D. Rajasekhar, 2018).

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Kayastha & Kayastha (2012) found a significant relationship between relationship between job
stressors, job stress and job satisfaction with a particular reference to corporate, higher
secondary school teachers from Kathmandu and Lalitpur districts of Nepal. With increased
competition, engineers are showing burnout symptoms that directly or indirectly affect their
performance (Shukla & Trivedi, 2008).

The employer has a responsibility to ensure the satisfaction of all its employees. There are
many precautions that managers can take to make sure that they are meeting the operational
needs of their employees. Employers also should be more cautious during the hiring process.
Employers should prepare for the interview by doing a job assessment to see what skills are
necessary for the position, then testing applicants to see if they can be trained for the work and
have the skills and knowledge that correspond with the job description. Managers must learn
to communicate better with lower-level employees. Connection to the company gives staff a
better feeling of belonging and worth. Managers need to convey a good understanding of the
mission and goals that the company is trying to attain so that the staff recognizes what the
organization is working toward. Performance reviews are an excellent managerial tool because
they give administrators an idea of those employees contributing to the organization's success
and those who need to work harder. Providing employees with the opportunity for growth is
also a significant contributor to satisfaction. Because performing the same job becomes
uninteresting (C. Swarnalatha1 & G. Sureshkrishna, 2013).

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 3. INDUSTRY PROFILE
3.1. INDIAN AUTOMOBILE INDUSTRY

India became the fourth largest auto market in 2019, displacing Germany, with about 3.99
million units sold in the passenger and commercial vehicles categories. India is expected to
replace Japan as the third-largest auto market by 2021.

The two-wheeler segments dominate the market in terms of volume due to a growing middle
class and a young population. Moreover, the companies' growing interest in exploring the rural
markets further aided the growth of the sector.

India is also a prominent auto exporter and has strong export growth expectations for the near
future. Besides, several initiatives by the Government of India and major automobile players
in the Indian market are expected to make India a leader in the two-wheeler and four-wheeler
market in the world by 2020.

3.2. MARKET SIZE

Domestic automobiles production increased at 2.36% CAGR between FY16-20, with 26.36
million vehicles manufactured in FY20. Overall, domestic automobiles sales increased at
1.29% CAGR between FY16-FY20, with 21.55 million vehicles being sold in FY20.

Two-wheelers and passenger vehicles dominate the domestic Indian auto market. Passenger
car sales are dominated by small and mid-sized cars. Two-wheelers and passenger cars
accounted for 80.8% and 12.9% market share, respectively, accounting for a combined sale of
over 20.1 million vehicles in FY20.

Passenger vehicle (PV) sales stood at 3,10,294 units in October 2020, compared with 2,71,737
units in October 2019, registering a 14.19% growth. As per the Federation of Automobile
Dealers Associations (FADA), PV sales in November 2020 stood at 2,91,001 units, compared
with 2,79,365 units in November 2019, registering a 4.17% growth.

Overall, automobile export reached 4.77 million vehicles in FY20, growing at a CAGR of
6.94% during FY16-FY20. Two-wheelers made up 73.9% of the vehicles exported, followed
by passenger vehicles at 14.2%, three-wheelers at 10.5% and commercial vehicles at 1.3%.

In India, EV sales, excluding E-rickshaws, witnessed a growth of 20% and reached 1.56 lakh
units in FY20 driven by two-wheelers.

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Premium motorbike sales in India recorded a seven-fold jump in domestic sales, reaching
13,982 units during April-September 2019. The sale of luxury cars stood between 15,000 to
17,000 in the first six months of 2019.

3.3. INVESTMENTS

To keep up with the growing demand, several auto makers have started investing heavily in
various industry segments during the last few months. The industry has attracted Foreign Direct
Investment (FDI) worth ₹33.2 crores between April 2000 and June 2020, according to the data
released by the Department for Promotion of Industry and Internal Trade (DPIIT).

Some of the recent/planned investments and developments in the automobile sector in India
are as follows:

• In November 2020, Mercedes Benz partnered with the State Bank of India to provide
attractive interest rates while expanding its customer base by reaching out to its
potential HNI customers.
• Hyundai Motor India invested ₹3,500 crores in FY20 to gain the market share. This
investment is a part of the ₹7,000 crore commitment made by the company to the Tamil
Nadu government in 2019.
• In October 2020, Kinetic Green, an electric vehicles manufacturer, announced a plan to
set up a manufacturing facility for electric golf carts besides a battery swapping unit in
Andhra Pradesh. The two projects involving setting up a manufacturing facility for
electric golf carts and a battery swapping unit will entail an investment of ₹1,750 crores.
• In October 2020, Japan Bank for International Cooperation (JBIC) agreed to provide
₹7,400 crores to SBI (State Bank of India) to fund the manufacturing and sales business
of suppliers and dealers of Japanese automobile manufacturers giving auto loans for the
purchase of Japanese automobiles in India.
• In October 2020, MG Motors announced its interest in investing ₹1,000 crores in
launching new models and expanding operations despite the anti-China sentiments.
• In October 2020, Ultraviolette Automotive, a manufacturer of electric motorcycle in
India, raised a disclosed amount in a Series B investment from GoFrugal Technologies,
a software company.

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 • In September 2020, Toyota Kirloskar Motors announced investments of more than
₹2,000 crores in India directed towards electric components and technology for
domestic customers and exports.
• In early September 2020, Mahindra & Mahindra singed an MoU with Israel-based REE
Automotive to collaborate and develop commercial electric vehicles.
• In April 2020, TVS Motor Company bought the UK's iconic sporting motorcycle brand,
Norton, for about ₹153 crores, making its entry into the top end (above 850cc) segment
of the superbike market.
• In March 2020, Lithium Urban Technologies partnered with renewable energy
solutions provider Fourth Partner Energy to build charging infrastructure across the
country.
• In January 2020, Tata AutoComp Systems, the Tata Group's auto-components arm,
entered a joint venture with Beijing-based Prestolite Electric to enter the electric vehicle
(EV) components market.
• In December 2019, Force Motors planned to invest ₹600 crores to develop two new
models over the next two years.
• In December 2019, Morris Garages (MG), a British automobile brand, announced plans
to invest an additional ₹3,000 crore in India.
• Audi India planned to launch nine all-new models, including Sedans and SUVs and
futuristic E-Tron EV by the end of 2019.
• MG Motor India planned to launch MG ZS EV electric SUV in early 2020 and plan to
launch an affordable EV in the next 3-4 years.
• BYD-Olectra, Tata Motors and Ashok Leyland will supply 5,500 electric buses for
different state departments.

3.4. GOVERNMENT INITIATIVES

The Government of India encourages foreign investment in the automobile sector and has
allowed 100% foreign direct investment (FDI) under the automatic route.

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Some of the recent initiatives taken by the Government of India are -

• Under Union Budget 2019-20, the Government announced an additional income tax
deduction of ₹1.5 lakh on the interest paid on the loans taken to purchase EVs.
• The Government aims to develop India as a global manufacturing centre and a Research
and Development (R&D) hub.
• Under NATRiP, the Government of India is planning to set up R&D centres at a total
cost of ₹5.27 million to enable the industry to be on par with global standards.
• The Ministry of Heavy Industries, Government of India has shortlisted 11 cities in the
country to introduce EVs in their public transport systems under the FAME (Faster
Adoption and Manufacturing of (Hybrid) and Electric Vehicles in India) scheme. The
Government will also set up an incubation centre for start-ups working in the EVs
space.
• In February 2019, the Government of India approved the FAME-II scheme with a fund
requirement of ₹10,000 crores for FY20-22.

3.5. ACHIEVEMENTS

Following are the achievements of the Government in the last four years:

• In H12019, automobile manufacturers invested US$ 501 million in India's auto-tech

start-ups, according to Venture intelligence.
• Investment flow into EV start-ups in 2019 (till the end of November) increased nearly
170% to reach ₹5.39 million.
• On 29th July 2019, the Inter-ministerial panel sanctioned 5,645 electric buses for 65
cities.
• NATRiP's proposal for "Grant-In-Aid for test facility infrastructure for EV
performance Certification from NATRIP Implementation Society" under the FAME
Scheme was approved by the Project Implementation and Sanctioning Committee
(PISC) on 3rd January 2019.
• Under NATRiP, following testing and research centres have been established in the
country since 2015.
o International Centre for Automotive Technology (ICAT), Manesar.
o National Institute for Automotive Inspection, Maintenance & Training
(NIAIMT), Silchar.

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 o National Automotive Testing Tracks (NATRAX), Indore.
o Automotive Research Association of India (ARAI), Pune.
o Global Automotive Research Centre (GARC), Chennai.
• SAMARTH Udyog - Industry 4.0 centres: 'Demo cum experience' centres are being set
up to promote intelligent and advanced manufacturing, helping SMEs implement
Industry 4.0 (automation and data exchange in manufacturing technology).

3.6. ROAD AHEAD

The automobile industry is supported by various factors such as the availability of skilled
labour at low cost, robust R&D centres, and low-cost steel production. The industry also
provides excellent opportunities for investment and direct and indirect employment to skilled
and unskilled labour.

Indian automotive industry (including component manufacturing) is expected to reach ₹16.16-

18.18 trillion by 2026.

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 4. COMPANY PROFILE
4.1. TATA MOTORS

Tata Motors Group (Tata Motors) is a

$35 billion organization. It is a leading
global automobile manufacturing
company. Its diverse portfolio includes
an extensive range of cars, sports
utility vehicles, trucks, buses, and
defence vehicles. Tata Motors is one of
India's largest OEMs, offering a
comprehensive range of integrated,
smart, and e-mobility solutions. Figure-2, Tata Motors (Lucknow)

Established in 1945, Tata Motors Limited is India's largest automobile company with over
60,000 employees. The company is the leader in commercial vehicles in each segment and
among the top in passenger vehicles with winning products in the compact, midsize car, and
utility vehicle segments. It is also the world's fifth-largest truck manufacturer and fourth largest
bus manufacturer.

Tata Motors is expanding its international footprint, established through exports since 1961. It
is also listed on the New York Stock Exchange (September 2004) and has emerged as a global
automobile company. The company's commercial and passenger vehicles are already being
marketed in several countries in Europe, Africa, the Middle East, South East Asia, South Asia,
South America, CIS, and Russia. It has franchisee/joint venture assembly operations in
Bangladesh, Ukraine, and Senegal.

Figure-3, Tata Motors Stats

Source – Tata Motors

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4.2. MISSION
We innovate mobility solutions with a passion for enhancing the quality of life.

4.3. VISION
By FY 2024, we will become the most aspirational Indian auto brand, consistently winning,
by
• Delivering superior financial returns
• Driving sustainable mobility solution
• Exceeding customer expectations
• Creating a highly engaged workforce

4.4. VALUES
• Integrity
• Teamwork
• Accountability
• Customer focus
• Excellence
• Speed

4.5. COMPANY STRUCTURE

Figure-4, Tata Motors Structure Source – Tata Motors

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 4.6. HISTORIC MILESTONES

1945
• Manufacturing of locomotives and other engineering products.

1948
• Steam road roller introduced in collaboration with Marshall Sons (UK).

1954
• Out rolled the first commercial vehicle, The TMB 312 truck.

1964
• The 1210 series of vehicles set out from Jamshedpur.

1969
• Telco began to travel under Tata brand.

1975
• Indian roads discover the Tata semi-forward model.

1983
• Manufacture of Heavy Commercial Vehicle commences.

1986
• Tata LCV 407 from Telco.

1989
• The multi-utility Tata mobile.

1991
• Launch of the 1st indegenous passenger vehicle Tata Sierra.

1992
• Launch of the Tata Estate.

1994
• Launch of Tata Sumo - the multi utility vehicle.

1995
• Telco brings three pointed star to India.

1998
• Tata Safari - India first sports utility vehicle launched.
• Tata Indica - India's first fully indigenous passenger car launched.

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2002
• India's first fully indigenous sedan - The Tata Indigo, debuts with class-leading features.

2004
• Launch of Tata NOVUS by Tata Daewoo.
• Launch Tata Indigo Marina.

2005
• Launch of wide range of fully built buses and coaches called 'GLOBUS' and 'STARBUS'
brands.
• Launch of India's first mini truck - Tata ACE.
• Launch of Tata TL 4x4, India's first Sports Utility Truck (SUT)

2007
• Launch of Tata Magic - a comfortable and safe four-wheeler, developed on the ACE
platform.
• Launch of Tata Winger, India's only maxi-van.

2008
• Launch of Tata Indigo CS 9Compact Sedan), world's first sub four-metre sedan.

2009
• Launch of Tata Nano.
• Launch of Tata Prima range of world standard trucks.
• Launch of Jaguar Land Rover Range in India.
• Launch of Tata Manza, the new generation Indigo.

2010
• Launch of Tata Aria, the first Indian four-wheel drive crossover.

2011
• Launch of Tata Venture.
• Launch of Tata Magic Iris.
• Launch of Tata Ace Zip.

2012
• Launch of Tata Safari Strome, the Real SUV.

2014
• Launch of Tata Armoured personal Carrier (APC) Left Hand Drive (LHD)
• Launch of the compact sedan, Tata Zest.

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2015
• Launch of Tata Marcopolo's New Magna Luxury Coach.
• Launch of India's first mutidrive and sporty Hatchback Tata Bolt, with Revotron 1.2T
petrol engine.

2016
• Launch of Tata Tiago.

2017
• Launch of Tata Xenon Yodha.
• Launch of Tata Starbus Hybrid.
• Launch of Tata Hexa.
• Introduced new sub-brand - TAMO.
• Launch of Tata Tigor.
• Launch of Tata AMT Bus.
• Launch of Tata Tiago AMT.
• Launch of Tata Nexon.
• Launch of Tata Tigor EV.

2018
• Launch of Tata ACE Gold.
• Launch of Tata Nexon AMT.
• Launch of NEX-GEN ULTRA range of trucks.
• Launch of Tata Harrier.
• Launch of all-new 'WINGER 15S' - Especially designed for Tours & Travel.

2019
• Unvield four Global premiers and one Europeon premier at the 89th Geneva
International Motor Show.
• Introduced cutting-edge EV technology brand 'ZIPTRON'.
• Launch of the new Electric SUV - Nexon EV.
• Tata Motors joins Google to launch Tata Altroz Voice Bot.

2020
• Launch of the Signa 5525.S - India's highest GCW prime mover (tractor) in 4x2
segment.
• Tata Altroz secures 5-star adult safety rating from Global NCAP.
• Launch of India's largest tipper truck, the Signa 4925.TK.
• Launch of ZConnect, offering advanced connected car features for Nexon EV.

Source – Tata Motors

17
4.7. BOARD OF DIRECTORS

Source – Tata Motors

18
 4.8. AREA OF OPERATION OF TATA MOTORS

The kind of market segmentation followed by Tata motors is fully market coverage. This means
that the entire products manufactured by the company are sold in various markets.

• Global
• National
• Regional

1. Global

Global operations - UK, South Korea, Thailand and Spain. TML - world's fourth-largest
truck manufacturer. World's second-largest bus manufacturer. Tata motors a growing
global footprint and has established itself in the market around the globe as one of the
world's most prestigious auto brands. The emphasis is now on establishing a solid local
presence in these countries as this was the key to long-term success and building trust
with the customer. With subsidiaries in South Africa, Europe and a strong presence in
over 15 countries, it aspires to be globally renowned in utility vehicles.

2. National

The company's manufacturing base in India is spread across Jamshedpur (Jharkhand),

Pune(Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad
(Karnataka). Following a strategic alliance with Fiat in 2005, it has set up an industrial
joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce
both Fiat and Tata cars Fiatpowertrains. The company is establishing a new plant in
Sanand (Gujarat). The company's dealership, sales, services and spare parts network
comprises over 3500 touch points; Tata Motors also distributes and markets Fiat
branded cars in India.

3. Regional

The company also operates within the local market. It has dealers within Gujarat; here,
the dealers ultimately reach the customers

19
 5. PROJECT OVERVIEW
5.1. OBJECTIVE OF THE PROJECT
• To Study whether the existing appraisal system in the organization precisely measures
the employee's performance
• To study the parameters usually considered by the company while conducting
performance appraisals.
• To study whether the employees are satisfied by the appraisal or not.
• To Study whether the appraisal system assists in the employee's training and
development.

5.2. METHOD/TECHNIQUES ADOPTED

A research design is the arrangement of conditions for collecting and analyzing data in a
manner that aims to combine relevance to the research purpose with economy in procedure.
The research design is the conceptual structure within which research is conducted. This
research was descriptive in nature.

DESCRIPTIVE RESEARCH: The research undertaken was descriptive research as it was

concerned with specific predictions, with the narration of facts and characteristics concerning
the organization's existing appraisal system.

SAMPLING DESIGN: The following factors have been decided within the scope of sample
design:

UNIVERSE OF STUDY: Universe of the study means all the employees of TATA MOTORS
in Lucknow.

• Theoretical: It covered all the individuals who are Employees of TATA MOTORS in
Lucknow.
• Accessible: It covered all the individuals who are Employees of TATA MOTORS in
India who are within our reach. In this study accessible population was Employees of
TATA MOTORS in Lucknow.

20
SAMPLE SIZE: A sample of minimum respondents will be selected from various areas of
Lucknow. An effort was made to choose respondents evenly. The survey was carried out on
50 respondents.

SAMPLE UNIT: Employees of TATA MOTORS in Lucknow.

SAMPLING TECHNIQUE: For research convenient sampling technique was used. A

convenience sample is one of the main types of non-probability sampling methods. A
convenience sample is made up of people who are easy to reach. Consider the following
example. A pollster interviews shopper at a local mall.

SAMPLING FRAME: It consisted of various sources from where information about the
respondent is extracted. Mainly personal links and employees of TATA MOTORS in Lucknow
are used for getting information about the respondents.

DATA COLLECTION TOOLS TO BE USED: The basis of my research will be primary

data and secondary data.

• Primary data: The researcher has collected the data through questionnaires.

• Secondary data: is the data that has already been collected and assembled. This data is
available in newspapers and magazines and on the internet.

DATA SOURCE

There were two types of data sources used in this research. These were:

• PRIMARY DATA: Primary data is collected for the first time from the source and
never used earlier. The data can be managed through interviews, observations and
questionnaires. In this project, an appropriate questionnaire was designed, filled by the
Employees of TATA MOTORS in Lucknow to know their opinions regarding the
Mobile service provided by TATA MOTORS in Lucknow.

21
 • SECONDARY DATA: Secondary data is the data collected from already been use or
published information like journals, diaries, books, etc. In this research project, the
secondary source used were various journals and website of different online journals.

TOOLS OF PRESENTATION:

It means what all tools are used to present the data in a meaningful way to become easily
understandable. In this research, tables and graphs were used for presenting the data.

5.3. KEY CHALLENGES FACED

• Lack of communication.
• Issues with Time Management and Self- Management.
• The main challenge was to interact with employees for collecting data due to this
COVID-19 situation.
• Using social media/online platforms, messages and calls to talk to customers was also
a very tedious task.
• Many times, contacting employees was challenging because they were busy in their
professional and personal life.

5.4. KEY ACHIEVEMENTS

• Real-life Experience and Exposure, which will help in harnessing the Practical
Knowledge, expose to new people in a more controlled and stable environment
beneficial for working in the future.
• Get to know about employees' behaviours, psychology, and satisfaction level and
importance.
• Get to know how job satisfaction affects the employee's performance level.

22
5.5. KEY LEARNINGS
• Learn many features of MS Word and graphs & tables while working on this project
report.
• Gained more knowledge about Automobile Industry and Tata Motors.
• Learnt about filtering and arranging of data.
• Learnt how to analyze data and get valuable insights out of it.

23
6. ANALYSIS & DISCUSSIONS
6.1. DATA ANALYSIS
1. Are you aware of the objective of the performance appraisal system?
RESPONSE NO. OF RESPONDENT PERCENTAGE
(Sample size 100)

84 84%
YES
16 16%
NO

Table no. 1

Awareness of objective of performance appraisal

system

16, 16%

84, 84%

Yes No

Chart no. 1

Insight

84% of motivated employees are aware of the performance appraisal system object,
and the rest 16% are not.

24
2. Did Performance appraisal help the organization in achieving its goal?

RESPONSE NO. OF RESPONDENT PERCENTAGE

(Sample size 100)

YES 76 76%

NO 24 24%

Table no. 2

Performance Appraisal helps the organization in

achieving goal

24, 24%

76, 76%

Yes No

Chart no. 2

Insight
76% of motivated employees say yes that performance appraisal helps the organization
achieve a goal, and the rest 24% disagree with this.

25
3. Do company hold meeting at the beginning of the year to explain & clarify activity;
task & goals to be achieved?

RESPONSE NO. OF RESPONDENT PERCENTAGE

(Sample size 50)

YES 78 78%

NO 22 22%

Table no. 3

Hold meeting at the beginning of the year to

explain & clarify activity, task & goals to be
achieved

3.2, 4%

78, 96%

Yes No

Chart no. 3

Insight
78% of motivated employees say that, yes, organized meetings help achieve goals and
tasks, while the other 22% motivated employees say that is not very helpful.

26
4. Should organization have to make a fixed duration for performance appraisal?

RESPONSE NO. OF RESPONDENT PERCENTAGE

(Sample size 50)

YES 80 80%

NO 20 20%

Table no. 4

Organization have to make a fixed duration for

performance appraisal

20, 20%

80, 80%

Yes No

Chart no. 4

Insight
80% motivated employees agree that the organization should have to make a fixed
duration for performance appraisal. While the other 20% motivated employees disagree
with this statement.

27
5. Are you satisfied with point allocation based on the managerial dimension?

RESPONSE NO. OF RESPONDENT PERCENTAGE

(Sample size 50)

HIGHLY SATISFIED 40 40%

SATISFIED 52 52%

DISSATISFIED 8 8%

Table no. 5

Satisfied with point allocation based on

managerial dimension

8, 8%

40, 40%

52, 52%

Highly Satisfied Satisfied Dissatisfied

Chart no. 5

Insight
40% motivated employees are delighted for point allocation based on managerial
dimension while 4% motivated employees are dissatisfied.

28
6. Do performance appraisal affects the working efficiency of motivated employees?
RESPONSE NO. OF RESPONDENT PERCENTAGE
(Sample size 50)

YES 84 84%
NO 16 16%

Table no. 6

Performance appraisal affects the working

efficiency of motivated employees

16, 16%

84, 84%

Yes No

Chart no. 6

Insight
84% of motivated employees say that yes, the performance appraisal system affects the
employee's working efficiency, while the other 16% motivated employees disagree
with this statement.

29
7. Did your organization appraisal system is able to develop high result orientation
approach?
RESPONSE NO. OF RESPONDENT PERCENTAGE
(Sample size 50)
YES 94 94%
NO 6 6%

Table no. 7

Organization appraisal system is able to develop

high result orientation approach

6, 6%

94, 94%

Yes No

Chart no. 7

Insight
94% of motivated employees say that yes, the appraisal system can develop a high
result-oriented approach, while the other 6% motivated employees do not agree with
this.

30
8. Did your organization's system contribute to potential appraisal?

RESPONSE NO. OF RESPONDENT PERCENTAGE

(Sample size 50)

Highly satisfied 72 72%

Satisfied 20 20%

Dissatisfied 8 8%

Table no. 8

Organization’s system contribute to potential

appraisal

8, 8%

20, 20%

72, 72%

Highly Satisfied Satisfied Dissatisfied

Chart no. 8

Insight
72% of motivated employees think that the system will also contribute to the potential
appraisal, but some 4% of employees are dissatisfied with the organization system.

31
9. Which promotion process is used in your organization?

RESPONSE NO. OF RESPONDENT PERCENTAGE

(Sample size 50)
PERFORMANCE 4 4%
EXPERIENCE 12 12%
BOTH 84 84%

Table no. 9

Promotion process is used in your organization

4, 4%

12, 12%

84, 84%

Performance Experience Both

Chart no. 9

Insight
4% motivated employees say that the organization's promotion process is based on
performance, 12% motivated employees say that based on experience, and 84% say
both.

32
10. Does your organization present performance appraisal system is transparent & free
from bias?
RESPONSE NO. OF RESPONDENT PERCENTAGE
(Sample size 50)
Highly Satisfied 60 60%
Satisfied 24 24%

Dissatisfied 16 16%

Table no. 10

Organization present performance appraisal

system is transparent & free from bias

16, 16%

24, 24%
60, 60%

Highly Satisfied Satisfied Dissatisfied

Chart no. 10

Insight
84% of motivated employees agree that the present performance appraisal system is
transparent and free from bias, but 16% of employees are dissatisfied with this.

33
11. Are you satisfied with the current performance appraisal system?
RESPONSE NO. OF RESPONDENT PERCENTAGE
(Sample size 50)
HIGHLY SATISFIED 27 54%
SATISFIED 18 36%
DISSATISFIED 5 10%

Table no. 11

Satisfied with the current performance appraisal

system

10, 10%

36, 36% 54, 54%

Highly Satisfied Satisfied Dissatisfied

Chart no. 11

Insight
54% of motivated employees are highly satisfied with the current performance appraisal
system, while 36% of motivated employees are satisfied with the current performance
appraisal system.

34
 6.2. KEY FINDINGS

The most crucial segment of any research study is its findings. Therefore the study that was
made has specific results, which are discussed below.

• I have found out that most employers feel that appraisal does not create any depression
in. Most employers feel that appraisal does not generate any depression in employees'
minds and employers never face any biasness while doing the appraised appraisal.
• I have found out that organization is concerned about education & knowledge of its
employees in order to increase their efficiency by conducting the training programme
from time to time.
• Employers are completely satisfied as their response during researches positive
regarding incentives. Techniques used by employers are appropriate and acceptable to
the employees.
• I have found out that employers are totally satisfied with the promotion & salary
increment provided by employers after the measurement of their performance appraisal.
They also agree that performance appraisal always shows the employees' real working
position in the organization.
• An appraiser must try to create a healthy and productive work environment because the
working environment affects employees' performance. Finding reveals that
productivity is the key result area of the organization.
• I have found out that the appraiser agrees that the employees had required sufficient
technical know-how, which adds up to their morale levels.

6.3. LIMITATIONS
• The system covers only the executive cadre, so it is a limitation in scope.
• The study's scope is confined to Tata Motors' areas & that too with a limited sample
size of 50.
• It was difficult for some executives to fill up the questionnaire themselves. Thus the
researcher has to clear all the doubt about the questionnaire that consumed most of the
time.
• Some executive might not have answered the questions currently because of the busy
schedule. They tend to hurry up the talk, which inhibits the proper collection of data.

35
• The higher-level executives were unavailable for the response as they have a hectic
schedule.

6.4. RECOMMENDATIONS
• Performance appraisal should not be perceived just like a regular activity, but its
importance should be recognized and communicated down to all the employees.
• There should be a review of job analysis, job design and work environment based on
the performance appraisal.
• New mechanisms should be evolved to reduce the time factor involved in the procedure
of appraisal. Introducing online-appraisal can do this.
• The awareness sessions for the employees/appraisees should be made more interactive,
and the views and opinion of the appraisees regarding appraisal should be given due
consideration.
• The training program's frequency for the appraiser should be increased, and these
sessions should be made interactive.
• The concept of performance appraisal should be marketed throughout the organization.
Unless this is done, people would not accept it, be it how important to the organization.
• To market such a concept, it should not start at the bottom; instead, it should be
triggered by top management's initiative. This would help in percolating down the idea
to the advantage of all, including the top management and those below them. This
means that the top management has to take a welcoming and positive approach towards
the change intended to be brought.

36
 7. CONCLUSION

Based on the extensive study and analysis, I have concluded that most motivated employees
think productivity can be raised through performance appraisal. So I can say that the top
management role needs a tremendous change in the appraiser's role.

Every manager in the organizational hierarchy at his position has the exact role of appraisers.
This system is not only an appraisal tool but a vital instrument of performance management.

Most TATA MOTORS executives are satisfied with the current appraisal system & think that
the current appraisal system is transparent and free from bias. The recent appraisal system can
achieve its laid objective efficiently and effectively.

Thus, to increase productivity, the organization has to satisfy the motivated employees' need
for high levels of job satisfaction and improve quality of work life consistent with the dignity
of motivated employees as human beings.

I hope that this project is of utmost value to all who are in this field and I also feel that the
knowledge gained during this training would be helpful to me in the future.

37
8. BIBLIOGRAPHY
• Agyare R, Yuhui G, Mensah L, Aidoo Z, Ansah IO. (2016). The Impacts of
Performance Appraisal on Employees' Job Satisfaction and Organizational
Commitment: A Case of Microfinance Institutions in Ghana. International Journal of
Business and Management. 11(9). <DOI>10.5539/ijbm.v11n9p281</DOI>
• Bahani SKB. (2013). The relationship between job satisfaction and job performance: A
case study of a Malaysian electronic organization.
• Chadha, Narender K. (2005). Human Resource Management Issues, Delhi: Shri Sai
Printographers.
• Cook AL. (2008). Job satisfaction and job performance: Is the relationship spurious?
• Gangai KN, & Agrawal R. (2015). Job Satisfaction and Organizational Commitment:
Is It important for Employee Performance. International Journal of Management and
Business Research, 269-278.
• Hussin AB (2011). The relationship between job satisfaction and job performance
among employees in trade winds group of companies.
• Hyz A. (2010). Job satisfaction and employee performance of Greek banking staff: An
empirical investigation.
• Indermun, V., & Bayat MS. (2013). The job satisfaction -employee performance
relationship: A theoretical perspective. International Journal of Innovative Research in
Management.
• Judge TA, et al. (2001). The Job Satisfaction-Job Performance Relationship: A
Qualitative and Quantitative Review. Psychological Bulletin, 376-407.
• Schultz, D., & Schultz, S.E. (2010). Psychology and Work Today, Pearson Education,
Inc.
• Markus Christen, Ganesh Iyer, & David Soberman. (2006). Job Satisfaction, Job
Performance, and Effort: A Re-examination Using Agency Theory. Journal of
Marketing,137-150. <DOI>10.1509/jmkg.2006.70.1.137</DOI>
• Pushpakumari MD. (2008). The Impact of Job Satisfaction on Job Performance: An
Empirical Analysis.
• Ram P (2013). Relationship between Job Satisfaction and Job Performance in the Public
Sector- A Case Study from India. International Journal of Academic Research in
Economics and Management Sciences.

38
 • Shmailan ASB. (2016). The relationship between job satisfaction, job performance and
employee engagement: An explorative study. Issues in Business Management and
Economics.
• Shaju.M, Subhashini.D. (2017). A study on the impact of Job Satisfaction on Job
Performance of Employees working in Automobile Industry, Punjab, India. Journal of
Management Research. <DOI>10.5296/jmr.v9i1.10420</DOI>
• Dr.A. Krishna Sudheer, Dr.D. Rajasekhar. (2018). A Study on Employee Involvement,
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WEBSITES

• https://www.tatamotors.com/
• https://www.ibef.org/industry/science-and-technology/showcase/tata-motors
• https://www.ibef.org/industry/india-
automobiles.aspx#:~:text=Domestic%20automobiles%20production%20increased%2
0at,in%20the%20country%20in%20FY20.&text=Passenger%20vehicle%20(PV)%20
sales%20stood,%2C%20registering%20a%2014.19%25%20growth.
• https://www.mbaskool.com/business-concepts/human-resources-hr-terms/4394-job-
satisfaction.html#:~:text=Job%20satisfaction%20is%20defined%20as,a%20comforta
ble%20work%20life%20balance.

39
 9. ANNEXURE

FOR EMPLOYEES
Name: Address:
Email: Phone No.:
Company: Income:

I am a student of Chandigarh University surveying on Job Satisfaction Level

of Employees in Tata Motors. It will take you less than 10 minutes to
complete the questionnaire. I appreciate your great support! Thank you
very much!

1. Are you aware of the objective of the performance appraisal system?

Yes

No

2. Did Performance appraisal help the organization in achieving its goal?

Yes

No

3. Do company hold meeting at the beginning of the year to explain & clarify activity; task & goals to be
achieved?

Yes

No

4. Should organization have to make a fixed duration for performance appraisal?

Yes

No

5. Are you satisfied with point allocation based on the managerial dimension?
Highly Satisfied

Satisfied

Dissatisfied

6. Do performance appraisal affects the working efficiency of motivated employees?

Yes

No

40
7. Can your organization appraisal system develop a high result-oriented approach?
Yes

No

8. Did your organization system contribute to potential appraisal?

Highly Satisfied

Satisfied

Dissatisfied

9. Which promotion process is used in your organization?

Performance

Experience

Both

10. Does your organization present performance appraisal system is transparent & free from bias?
Highly Satisfied

Satisfied

Dissatisfied

11. Are you satisfied with the current performance appraisal system?
Highly Satisfied

Satisfied

Dissatisfied

41