Amul Motivation

MOTIVATIONAL STRATEGY Motivation is the process of indoctrinating sales people with the unity of purpose to maintain aharmonious relationship among each other in the sales organization. Motivation is the amount of effort that the sales person desires to expend on each of the activities or the tasks associated withthe sales job. The selection of the motivational tool is the most crucial step in the design process and that iswhatAMULalso kept in mind. AMULdeploys both types of motivational tools i. e. : Financial motivators Financial motivation is the most prominent method to motivate the sales people towardsachieving higher sales) Non-financial motivators (Non-financial motivation plays a vital role for sales people at the later stages when they needthe psychological satisfaction, beyond the monetary benefits. In AMUL, financial motivators include: ?Adhoc Adhoc is a one type of allowance given to employees. union is deciding this allowance asan extra benefit for employees. ?HRA:- House rent allowance is given to employees as an incentive.
HRA is given to thatemployees who are not leave in quarter allotted by union. HRA is deciding bymanagement committee every three year according to designation of employee. ?Travel Allowance:- Travel Allowance is given to employees as incentives. Travel allowance is deciding bymanagement and committee according to designation of employee. ?Medical:- For the medical expanse of employees this allowance is given. Medical allowance isdeciding by management committee according to designation of employee. Thisallowance is given to employee for their children education. Bonus:- Individual employees may receive additional compensation payments in the form of bonus, which is a onetime payment that does not become part of the employees basic In AMUL bonus is paid to employee on regular basis on Diwali. According to thepayment of bonus Act. 1965 organisation must paid bonus at a rate of 8. 33%. AMULfollow this rule and paid minimum 8. 33% of basic + D. A + Adhoc as a bonus. Some timethey also paid more than 8. 33% of bonus to employees. ?Production Bonus:- In AMUL production bonus is also paid to employees. management decides this bonus.
In this bonus they decide some amount per day and than that amount is multiply withworking days of employees. whatever the resulted amount is given to employees as a production bonus. For example if management decide Rs. 4 per day and one employeework 200 days in a year than Production Bonus = 200*4 Production Bonus = 800 So that employee get Rs. 800 as a production bonus. In AMUL the other allowance is also given likePerformance Allowance. According to Gradethis allownce is given. In AMUL if any employee want advance then there will be provision of such facility.

In AMUL they also have given LTC every four year to their employees. this mount paid according to designation of employee Non-financial motivators deployed in AMUL: Promotion Promotion may be defined as an upward advancement of an employee in an employee in an organization, which command better pay, better working environment facilities and a higher responsibility. Following are some criteria to be considering for the promotion. ?Promotion should be earned. ?Opinion of Divisional Head, Past Record, Behavior is to be considering while promoting a person. ?Skill and Knowledge is also considered.
In AMUL following point are to be consider while promoting employees. : ? Seniority. ?Vacancies. ?Opinion of Divisional head, past record, behavior. ?Skill and knowledge. ?Experience. ?Loyalty toward organisation. In AMUL, Managing director signs the promotion letter getting recommendation fromAdministrative Department. They have promotion policy on the period 3 or 5 year. In AMULRetirement Age decided is as 58 years. Seminar:- In AMUL seminars are organized for development purposes. For that, managerial person participate in seminar conducted by out side consultant company engaged.
The seminar is conducted out side the premises of AMUL . In such type of seminar, sales people are motivatedto achieve their targets, they are encouraged to improve their leadership skills and supervision Conference:- The conference is ideally suited to learning problems and issues and examiningthem from different angles. In AMUL such conference are mainly arranged for managerialdevelopment. In this conference the discussion is focused on quality assurance, problem solvingetc. The trainees as members can learn from others..
The other motivational and development programmes arranged by AMUL are within the premises. The development programmes are arranged on various topic like anger free life, mind power development, positive changing, personality development etc. Also program on effectiveleadership, motivation are arranged for the employees. This help managerial persons to maintaingood relation with employees. COMPENSATION POLICY IN AMUL The success of any sales organization depends on the achievement of the sales goal set for theshort-term as well as long ±term periods of time.
While other programmes like sales forcerecruitment, training and motivation are a cost to the company,sales force compensation dealswith the management of the performance of the sales people for generating revenue for the firm. Sales people tend to increase and manage their performance by linking it to the compensationthey receive from the sales organization. In AMUL, compensation generally comprises of the cash payments which include fixed salary, bonus and shared profit. Good compensation plan have a salutary effect on sales people.
Theyare happier in the work; co ± operative with management and productivity is up. There can be both monetary and non ± monetary forms of compensation too. Wages in the widest sense mean any economic compensation paid by the company under somecontract to his sales force for the services rendered by them. They are basic salary andallowances. The basic wage is the remuneration, which is paid or payable to the sales person interms of his contract of employment for the work done by him. Allowance includes dearnessallowance, bonus, overtime pay etc