Presented by-

NUPUR AGRAWAL

Presented to

Dr. D.S.YADAV SIR.

History of the Durga Steel LimitedSet up by the public sector in the late

1950s.Report to Hindustan Steel ,merged with the

holding company SAIL in 1972.The salaries of the managerial staff were in

line with those of other public sector organizations but were lower than those in the private sector.

Personnel-29,224 employees: 26,724 workers and 2500 executives.

Location of DSPIn the state of West Bengal ,which is less

developed.(158 Km from Calcutta)

DSP set up residential colonies to the plant for its employees of all levels.

Reasons for the less development of the industry in West Bengal are-

the militancy of unions. Inadequate development of

infrastructure.

Strained Industrial relationsDSP had three unions.

Majority membership was with the union affiliated with the CPM.

Managers at all levels were afraid of the unions.

Inter-union rivalry for the dominance among the unions .

The Managerial ClimateThe supervisory and the managerial

personnel were demoralized.

Unable to exercise authority.

Felt helpless in their position and the pressure from top management for more production.

Financial problemsProduction started drooping.

Under utilization of the capacity of the plant.Profits were decreasing.High production cost.High manning ratios relative to its output.

Year Crude Steel

Saleable steel

Hot steel Pig steel

1964-65

1006 721 1313 386

1992-93

676 641 725 17

Other problemsPoor product quality.

High level of pollution.

High energy consumption.

Recommendations for these problems Modernization of the plant.

To change the attitudes of the employees at all levels and in management practices.

Implementation of the technological change

Cover three aspects- Adding capacity;

Replacing some machinery , plants and

equipments;

Introducing and replacing old technology

with new technology.

Relations with the unionsFormation of the forum of unions.- The management had to work towards becoming transparent. Formulation of joint committees to determine the manpower required for each department, training, combining of certain operations. Agreement between DSP and unions on wages and service conditions and VRS of surplus employees.

Employee Workshops Aimed to identify the work practices that

hindered performance .Identification of work practices that needed

to be changed.For all levels of employees.Priorities for action. ADVANTAGES-Creation of a sense of ownership of ideas

among employees at all levels.

Managers should manageTo be sympathetic but firm.

The Human Aspect.

Face to face interaction between supervisors and employees.

Sharing data about production, quality, demand ,future plans, will make employees feel like they are a part of the organization.

ConclusionVast change in the relations with the trade

unions.The operating management had more

confidence in handling production problems than before.

Improvement in work culture.The unions had divided to cooperate.Generation of a sense of confidence about the

future among the managers and the employees.The training programmes were uniformly

appreciated by all employees.

Results of the technological changes

Employment issues.(positive effect as it was long term)

Changes in occupational profiles.

Education and Training.

New Working Arrangements and Managerial Attitudes.

Industrial relations.

Trade union responseFear of unemployment.

Problems of retraining.

Change in the work culture.

Ways to reduce resistance to changeAppropriate training.

Negotiated change.

Supportive management practices.

Benefits from technological changes in DSPHigher level of production

Improvement in the profitability.

Conservation of the energy.

Improvement in the quality of the finished products.

Reduction in the environmental pollution.

“A Short Course in Human RelationsThe 6 most important words: I admit I was wrong.The 5 most important words: You did a great job.The 4 most important words: What do you think?The 3 most important words: Could you please.The 2 most important words: Thank you!The most important word: We.The least important word: I."

Thanks…………….