1.1 Introduction To Industry: Fast-Moving Consumer Goods (FMCG

1.
1 INTRODUCTION TO INDUSTRY
Fast-moving consumer goods (FMCG) are products that are sold quickly and at relatively low cost.
Examples include non-durable goods such as soft drinks, toiletries, over-the-counter drugs, processed
foods and many other consumables. In contrast, durable goods or major appliances such as kitchen
appliances are generally replaced over a period of several years.
FMCG have a short shelf life, either as a result of high consumer demand or because the product deteriorates
rapidly. Some FMCGs, such as meat, fruits and vegetables, dairy products, and baked goods, are highly
perishable. Other goods, such as alcohol, toiletries, pre-packaged foods, soft drinks, chocolate, candies, and
cleaning products, have high turnover rates. The sales are sometimes influenced by some holidays and
season.
Though the profit margin made on FMCG products is relatively small (more so for retailers than the
producers/suppliers), they are generally sold in large quantities; thus, the cumulative profit on such products
can be substantial. FMCG is a classic case of low margin and high volume business.
1.1.1THESE ARE THE PRODUCT WHICH COMES IN FMCG INDUSTRY
CATEGORY PRODUCTS
Fabric wash (laundry soaps and syntheticdetergents);
HOUSEHOLD CARE household cleaners (dish/utensilcleaners, floor cleaners,

toilet cleaners, airfresheners, insecticides and mosquito
repellents, metal polish and furniture polish).
Health beverages; soft drinks; staples/cereals; bakery
FOOD AND BEVERAGES products (biscuits, bread, cakes); snackfood; chocolates; ice
cream; tea; coffee; softdrinks; processed fruits, vegetables;
dairyproducts; bottled water; branded flour; brandedrice;
branded sugar; juices etc.
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Oral care, hair care, skin care, personal wash(soaps);
PERSONAL CARE cosmetics and toiletries; deodorants;perfumes; feminine

hygiene; paper products.
1.1.2 FMCG INDUSTRY

The FMCG sector represents consumer goods required for daily or frequent use. The main segments of this
sector are personal care (oral care, hair care, soaps, cosmetics, toiletries) household care (fabric wash and
household cleaners), branded and packaged food, beverages (health beverages, soft drinks, staples, cereals,
dairy products, chocolates, bakery products) and tobacco.
The Indian FMCG sector is an important contributor to the country's GDP. It is the fourth largest sector in
the economy and is responsible for 5% of the total factory employment in India. The industry also creates
employment for 3 m people in downstream activities, much of which is disbursed in small towns and rural
India. This industry has witnessed strong growth in the past decade. This has been due to liberalization,
urbanization, increase in the disposable incomes and altered lifestyle. Furthermore, the boom has also been
fuelled by the reduction in excise duties, de-reservation from the small-scale sector and the concerted efforts
of personal care companies to attract the burgeoning affluent segment in the middle-class through product
and packaging innovations.
Unlike the perception that the FMCG sector is a producer of luxury items targeted at the elite, in reality, the
sector meets the everyday needs of the masses. The lower-middle income group accounts for over 60% of the
sector's sales. Rural markets account for 56% of the total domestic FMCG demand.
Many of the global FMCG majors have been present in the country for many decades. But in the last ten
years, many of the smaller rung Indian FMCG companies have gained in scale. As a result, the unorganized
and regional players have witnessed erosion in market share.
India offers a large and growing market of 1 billion people of which 300 million are middle class consumers.
India offers a vibrant market of youth and vigor with 54% of population below the age of 25 years. These
young people work harder, earn more, spend more and demand more from the market, making India a
dynamic and aspirations society. Aspiration levels in this age group have been fuelled
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By greater media exposure, unleashing a latent demand with more money and a new mindset. In this
backdrop, industry estimates suggest that the industry could triple in value by 2015 (by some estimates, the
industry could double in size by 2010).
India is rated as the fifth most attractive emerging retail market. It has been ranked second in a Global Retail
Development Index of 30 developing countries drawn up by AT Kearney.
Burgeoning Indian population, particularly the middle class and the rural segments, presents opportunity to
makers of branded products to convert consumers to branded products.
The FMCG sector has traditionally grown at a very fast rate and has generally outperformed the rest of the
industry. Over the last one year, however the rate of growth has slowed down.
The general slowdown in the economy is also likely to have an adverse impact on disposable income and
purchasing power as a whole. The growth of imports constitutes another problem area and while so far
imports in this sector have been confined to the premium segment
At the same time, the long term outlook for revenue growth is positive. Give the large market and the
requirement for continuous repurchase of these products, FMCG companies should continue to do well in the
long run. Moreover, most of the companies are concentrating on cost reduction and supply chain
management. This should yield positive results for them.
1.1.3. MAJOR PLAYERS IN THE FMCG INDUSTRY
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1. HINDUSTAN UNILEVER LIMITED (HUL) is India's largest Fast Moving
Consumer Goods Company, touching the lives of two out of three Indians with over 20 distinct categories in
Home & Personal Care Products and Foods & Beverages. They endow the company with a scale of
combined volumes of about 4 million tons and sales of nearly Rs.13718 cr. HUL is also one of the country's
largest exporters. It has been recognized as a Golden Super Star Trading House by the Government of India.
The mission that inspires HUL's over 15,000 employees, including over 1,300 managers, is to "add vitality to
life." HUL meets every day needs for nutrition, hygiene, and personal care with brands that help people feel
good, look good and get more out of life. It is a mission HUL shares with its parent company, Unilever,
which holds 52.10% of the equity. The rest of the shareholding is distributed among 360,675 individual
shareholders and financial institutions.
HUL's brands - like Lifebuoy, LUX , Surf Excel, Wheel, Fair & Lovely, Pond's, Sun silk, Clinic, Close-up,
Brooke Bond, Annapurna, quality Wall's are household names across the country and span many
categories - soaps, detergents, personal products, tea, coffee, branded staples, ice cream and culinary
products. They are manufactured over 37 factories across India. The operations involve over 2,000 suppliers
and associates. HUL's distribution network, comprising about 2,500.Redistribution stockiest covering 6.3
million retail outlets reaching the entire urban population, and about 250 million rural consumers.
2. ITC is one of India's foremost private sector companies with a market capitalization
of nearly US $ 14 billion and a turnover of over US $ 5 billion. ITC has a diversified presence in Cigarettes,
Hotels, Paperboards& Specialty Papers, Packaging, Agri-Business, Packaged Foods & Confectionery,
Information Technology, Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG
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products. ITC's Agri-Business is one of India's largest exporters of agricultural products. ITC is one of the
country's biggest foreign exchange earners (US $ 3.2 billion in the last decade). The Company's 'e-Choupal'
initiative is enabling Indian agriculture significantly enhance its competitiveness by empowering Indian
farmers through the power of the Internet.ITC employs over 25,000 people at more than 60 locations across
India. The Company continuously endeavors to enhance its wealth generating capabilities in a environment
to consistently reward more than 3, 68,000 shareholders, fulfill the aspirations of its stakeholders and meet
societal expectations. This over-arching vision of the company is expressively captured in its corporate
positioning statement: "Enduring Value, for the nation, For the Shareholder
3. Nestle was setup in year 1967 by Mr. Henry Nestle, a Swiss citizen, with a
motive to provide a wholesome infant dietetics, since there was high mortality rate among infants at that
time. He had started with the inspiration of humanitarian ideology and with a strong will, a high degree of
optimism and great ambition, transformed the mere business into a flourishing enterprise. Now Nestle has
made its place as the largest Food manufacturing company in the world, with worldwide ventures which
include manufacturing and marketing of Condensed Milk, Powdered Milk, Ice Cream s, other Dairy
products, Infant foods, Chocolates and Confectionery items, Tea, Coffee, Culinary Products, Frozen Foods,
Fruit Juices, Mineral Water and Pet Foods, with recent venture into Cosmetics and Pharmaceuticals.Nestle
in often quoted as "The World Food Company". There is a good reason, as more than 98% of the turnover
from the countries other than the mother country, Switzerland. It has always taken a long-term view in the
countries in which it operates, investing a lot in Research and Development and risk taking in new product
areas, Today, Nestls Product brand name "Nestle" is associated with "Quality Products" in worldwide
consumer market. We have promised consumers worldwide - "Good food Good Life", which has become
the emblem of the Company. Nestle has more than 8000 brands manufactured through over 508 factories in
about 85 countries by over 2, 54,199 employees.
3. Amul (Anand Milk Union Limited), formed in 1946, is a dairycooperative movement

in India. It is a brandname managed by an apex cooperative organization, Gujarat Co-operative Milk
Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.6 million milk producers in
Gujarat, India. AMUL is based in Anand, Gujarat and has been a sterling example of a co-operative
organization's success in the long term. It is one of the best examples of co-operative achievement in the
developing world .Amul has spurred the White Revolution of India, which has made India the largest
producer of milk and milk products in the world. It is also the world's biggest vegetarian cheese brand
Amul's product range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice-cream, cream,
shrikhand, panzer, gulabjamuns, Nutramul brand and others.
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4. Dabur Established in 1884, Dabur India Ltd. is the largest Indian FMCG and
ayurvedic products company. The group comprises Dabur Finance, Dabur Nepal Pvt. Ltd., Dabur Egypt
Ltd., Dabur Overseas Ltd. and Dabur International Ltd. The product portfolio of the company includes
health care, food products, natural gums & allied chemicals, pharma, and veterinary products. Some of its
leading brands are Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola, LalDantManjan, and Pudinhara
1.2 Introduction of the Company

Nestle is the worlds leading nutrition, health and wellness Company.
The company employees more than 2.80,000 people and have 500
factories in 100 countries. Nestle products are sold in almost every
country of the world. Founded in 1866 in Vevey, Switzerland, where it
is still based, Nestle has often been called the multinational among
multinationals". Only about I.5 percent of its sales are generated in
itshome country, and all but 12 of its histories are situated abroad. The
CEO is Paul Buckle, andthe general management includes Z1 Belgian, two Canadians, one Dutch, a
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Frenchman, a German, a South African/ British, Spaniards, one Swiss, one American and one Swiss
American.
Nestle is truly a public company with over 2.50,000 shareholders of which around one third are Swiss. No
single shareholder owns more than 3% of the stock. US investors who togetherhold over 30% of the capital,
can purchase ADR`s through a sponsored program. As the worlds leading nutrition, health and wellness,
company. Nestle is the worldwide leader in productcategories such as soluble coffee. -infz1m nutrition,
bottled water, condensed and evaporated milk.ice cream, chocolate and malt drinks, and culinary. The group
is also ax co-leader in pet care. The company is committed to delivering shareholder value through
sustainable. Capital efficientand profitable longterm growth. Over the past years it has concentrated on
furthering organic growth and performance improvement. Nestle Corporate BusinessPrinciple will continue
to evolve and adapt to a changing world; theirbasic foundation is unchanged from the time of the origins nr`
their Company, and reflects the basis ideas of fairness,honesty, and a general concern people.Nestle is
committed to the following Business Principles in all countries, taking into account Local legislation.
1.2.1 Culture and religious practices.
Nestls business objective is to manufacture and market the Companys products in such way as to
create value that can be sustained over the long term for shareholders, employees, consumers and
business partners.
Nestle does not favor short-term profit at the expense of successful long term business development.
Nestle recognizes that its consumers have a sincere and legitimateinterest in the behavior.Beliefs and
actionof the Company behind brands in which they place their trust and that withoutits consumers the
Company would not exist.
Nestle believes that, as a general rule, legislation is the most effectivesafeguard of responsible
Conduct, although in certain areas additional guidance to staff in the form of voluntary business
principles is beneficial in order to ensure that the highest standards are met throughout the
originations.
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Nestle is conscious of the fact that the success 0f a corporation is a reflection of the professionalism,
conduct and the responsible attitude of its management and employees.Therefore recruitment of the
right people and ongoing training and development are crucial.
Nestle continues to maintain its commitment to follow and respect all applicable local laws in each of
its markets `
1.2.2 THE TEN PRINCIPLES OF BUSINESS OPERATIONS
Nutrition, Health and Wellness
The core aim is to enhance the quality of consumers` lives every day, everywhere by offeringtastier and
healthier food and beverage choices and encouraging a healthy lifestyle. It expressesthis via corporate
position "Good Food, Good Life"
Quality Assurance and Product Safety
Everywhere in the world, Nestle name represents a promise to the consumer that the productis safe and of
high standard.
Consumer Communication
Nestle is committed to responsible, reliable consumer communication that empowersconsumers to exercise

their right to informed choice and promotes healthier diets. Customer privacy is respected.
Human Rights in Business Activities
United Nations Global Compacts (UNGC) principle on human rights and labour are fully supported and
aims to provide an example of good human rights and labour practices throughout the business practices.
Leadership and Personal Responsibility
Success of Nestle is based on its people. Each employee is treated with respect and dignity and expects
everyone to promote a sense of personal responsibility. Competent and motivated people who respect the
values of the company. Provide equal opportunities for their developmentand advancement protect their
privacy and do not tolerate any form of harassment or discrimination is recruitment.
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Safety and Health at Work
Nestle is committed to preventing accidents. Injuries and illness recruited to protect employees. Contractors
and others involved along the value chain.
Supplier and Customer Relations
Nestle requires its suppliers, agents. Subcontractor anti their employee to demonstratehonest). Integrity and
fairness and adhere to the non-negotiable standards. In the some Nestle iscommitted to its customers.
Agriculture and Rural Development
Nestle contributes to improvements in agricultural production. The social and economic status of farmers
rural communities and in production systems to make them more environmentally sustainable.
Environmental Sustainability
Nestle commits to environment sustainable business practices. At all stages of` the PLC itsuites to use natural
resources efficiently favor the use of sustaleity managed renewable resources and target zero waste
Nestle is committed to the sustainable use of water and continuous improvement in watermanagement.
1.2.3. MISSION AND VISION
a. Mission Statement
At Nestle. We believe that research can help us make better food so that people live a better life.Good Food
is the primary source Of Good Health throughout life. We strive to bring consumersfoods that are safe, of
high quality and provide optimal nutrition to meet physiological needs. In addition to Nutrition, Health and
Wellness, Nestl products bring consumers the vital ingredients of taste and pleasure.
b. Vision Statement
Nestle aim is to meet the various needs of the consumer every day by marketing and selling food of a
consistently high quality. The confidences that consumers have in our brands is a result of` our company `s
many years of knowledge in marketing research and development as well as continuity consumers relate to
this and feel they can trust our products.
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THE NEST
When Henry Nestle introduced the first commercial infant formula in I867, it created asymbol of the graphic
translation of his name which personifies the companys business. Thesymbol, which is universally
understood, evokes security motherhood and affection nature andnourishment, family and tradition. Today it
is the central element of Nestls corporate identityand closely parallels the company `s corporate values and
culture. (HenryNestle)
1.2.3 History
Nestle began in Switzerland in the mid 1860s when founder Henri Nestl created one of thefirst baby
formulas. Henri realized the need for a healthy and economical product to serve as an alternative for mothers
who could not breastfeed their babies. Mothers who were unable tobreastfeed often lost their infants to
malnutrition. Henris product was a carefully formulatedmixture of cows milk, flour and sugar. Nestls first
product was called Farine Lacteal (comllour gruel" in French) Henri Nestle. The product was first used on a
prematurebaby who could not tolerate his m0thers milk or other alterative products of that time.
Doctorsgave up on treating the infant. Miraculously the baby tolerated Henri`s new formula and itprovided
the nourishment that saved his life. Within at few years the first Nestle product wasmarketed in Europe.In
l874 the Nestle Company was purchased by Jules Monnerut. Nestle developed its own condensed milk to
contend with its competitor. The Anglo-Swiss Condensed Milk Companywhich made products like cheese
and instant formula. The two companies merged in l9 (>5. Theyear after Nestle added chocolate to its line of
it food. The newly formed Nestle and AngloSwissMilk Company had factories in the United States.
Britain. Spain and Germany. $00n the company was full-scale manufacturing in Australia with warehouses in
Singapore. Hong Kongand Bombay. Most production still took place in Europe.Nestle continued to prosper
merging with Alimemnna S.A., a company that manufacturedsoups and seasonings, in l947, in the coming
years, Nestle acquired Crosse Blackwell, Findus. Libby`s fruit juices and St0ul`ler`s frozen foods. Nescafe
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instant coffee salesQuadrupled from l96O to I974 and the new technology of freezedrying allowed the
company tocreate a new kind of` instant coffee. which they named Taster`s Choice. Expanding its product
line outside of the Ibnd market. Nestl became a major stockholder in Israel cosmetics in I974. Soon taller
the company suffered with increasing oil prices and theslowing growth in industrialized countries. Foreign
exchange rates decreased. in turn reducing the value sterling the pound, dollar and franc. Prices of coffee
beans and cocoa rose radicallypresenting further problems for Nestle. The company decided to ventureinto
the pharmaceuticalindustry by acquiring Alcon laboratories Inc. While trying to deal with unstable
economicconditions and exploring its new ventures'. Nestle laced the crisis often international boycott.Many
organized groups began boycotting all 0t`Nestle`s products because the) disapproved ofNestle marketing its
baby formula in developing countries. Problems like illiteracy and povertycaused some mothers to use less
formula than recommended. Vitalnutrients are lessoned. Contaminated water presented another problem.
Since the formulas had tobe mixed with water. The organizations argued that the misuse of` formula resulted
in the malnutrition or death of many infants in developing countries. Nestle explained that breastfeeding and
non breastfeeding mothers in developing countriesoften gave their babies whole cow milk_ tea. Cornstarch
rice water or a mix flour and water.These alternatives were very unhealthy und a nutritional baby formula
was better choice.Nestle says that it has never discouraged breast feeding when it was possible. Nestle agreed
tofollow the international Code in developing countries in 1984, and the boycott was suspendedresumed
several years later when the organizations believed Nestle was sending free or low costbaby formulas to
developing countries. Nestle said it only sent formula to countries that allowdonations for orphans, multiple
births, and babies with no access breast milk. The companyhas stopped all public advertising for formula in
developing countries for almost 20 years. Theboycott continues to some extent to this day without
satisfactory resolution.
Nestle India
Nestle India is a subsidiary of `Nestle S.A. of` Switzerland. Nestle formed a company in India namelyNestle
India Ltd, and set up its first factory in 1961 at Moga, Punjab, Where the Government wanted Nestle to
develop the milk economy. In Moga, Nestle educated and advisedfarmers regarding basic farming and
animal husbandry practices such as increasing the milkyield of` the cows through improved dairy farming
methods, irrigation, scientific crop management practices etc. nestle set up milk collection and paid fair
prices. Thus nestle transformed Moga into a prosperous and vibrant milk district.
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In l967, Nestle set up its next factory at Choladi (Tamil Nadu) as a pilot plant to process the teagrown in the
area into soluble tea. Nestle opened its third factor in Nanjangud (Karnataka) in1989). Thereafter. Nestle
India opened factories in Samalkha (Haryana), in l993 and two in Goat Ponda and Bicholim in 1995 and
1997 respectively. Nestle India is now putting up the 7 thfactory Pant Nagar in Uttrakhand. Nestle has been 21
partner in Indias growth for over nine decades and has built a very specialRelationship of trust and
commitment with the people of India. The Company continuously focuses its efforts to better understand the
changing lifestyles of India and anticipate consumerneeds in order to provide convenience, nutrition and
wellness through its product offerings. The culture of` innovation and renovation within the company
andaccess to the Nestle Groups proprietary technology /brands, expertise and the extensive centralized
Research andDevelopment facilities give it is a distinct advantage in these efforts Todays. Nestle is the
world's largest and most diversified food company.
1.2.4 NESTLE SAMALKHA FACTORY
Nestl Samalkha was set up in year 1992 with Soya based products. Slowly it involvedinto manufacturing of
Milk powders, infant weaning Cereals. Culinary products, Chilled Dairy.Now Nestle Samalkha factory is
actively engaged in manufacturing of variety of dairy and foodproducts viz. Cereal Food., Infants Foods and
Dahi etc under different brand names and marketedin India.
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Nestle Samalkha operations are aimed at offering consumers with superior qualityproducts and full value for
his money. At the factory all work towards achieving "excellence through people and continuous
improvement with the business concept in place. Nestle hasunder its umbrella the 58, DMAIC, SAP,
Hygiene/Pest control. Safety, NGMP, NIMS,Sensory evaluation and Training & Development visa-it-vise
competition. Nestle have an overalledge on quality front viz.. "Superior Quality product". Beginning with
source of raw material tillthe dispatch of finished goods and later up to handling consumer response, Nestle
adhere to strictquality norms as par with any international standards and products. On the environmental
management front. Nestle has the hest monitoring systems and NEMS in place Nestle also follow an
Integrated Pest management System.On the technological front, Nestle have the best of machinery, men,
and technologiesbacked with Nestle support. Nestle would like to emphasis that it is this superiority in
"Quality"that makes Nestle stand apart and face brisk competition at the market place.
GEOGRAPHICAL LOCATION
Nestle Samalkha Factory is just besides railway track (New Delhi-Ambala Route) and 2km away from G.T.
Road towards left (New Delhi-Ambala) 70 km North to Delhi. Factory is 3.4 km away from main town i.e.
Samalkha. Nestl Samalkha Factory is at an angle of 45 left to true North.
Organization Structure of Nestle India Pvt. Ltd.
To maintain the company's good product standing, the Nestle Company is governed by aneffective
organizational structure to ensure that the company delivers efficiently to its consumers. The organizational
chart of Nestle Company is as follows:
The Nestle Board of Directors is led by the Chairman of the Board Peter Brabeek Letmathe. The board has
l5 directors which all serves for a designated term.
The Executive Board Members are the one in charge with the day to day management of theCompany
business affairs. It has I3 designated Board members who manage business interestsof Nestle all over the
world. It is currently headed by its Chief Executive Officer Paul Buckle.Similarly; the CEO is also a
member of the Board of Directors and the Chairman of the Corporate Gervnance Committee.
Other officers under the Executive Board Members are the following:
Executive Vice President and Chief Technology Officer

Executive Vice President and Zone Director for Asia, Oceania. Africa and Middle East
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Executive Vice President and Zone Director for Europe
Executive Vice President and Zone Director for United States of America, Canada, Latin
America and Caribbean
Executive Vice President for Operations
Executive Vice President and Chairman and CEO of Nestle Waters
Executive Vice President for Finance and Control, Legal, intellectual Property, Tax, Treasury and
Global Nestle Business Services t
Executive Vice President and Responsible for the Strategic Business Units, Marketing, Sales and
Nespresso
Deputy Executive Vice President and CEO of Nestle Professional
Deputy Executive Vice President and Head of Human Resources and Centre Administration
Deputy Executive Vice President and Head of Nestle Nutrition
Senior Vice President and Corporate Governance, Compliance and Corporate Services.
The Nestle Company is managed per geographical zones for most of its foods and beverages brands.
However, Nestle Waters, Nestle Nutrition, Nespresso, Nestle Professional and Nestle Health Science,
and Nestle Purina Pet care are under the company's Globally Managed Business. The company is
also under a joint venture agreement with Cereal Partners worldwide and Beverage Partners
Worldwide.
Nestle Company also has an Honorary Chairman, Mr. Helmut Oswald Marcher who previously held the
position Chairman of Board
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1.3 Introduction to Topic
A Comprehensive study on Training and Development as a function concerned with organizational

activity aimed at bettering the job performance of individuals and groups in organizational settings. Training
and development can be described as "an educational process which involves the sharpening of skills,
concepts, changing of attitude and gaining more knowledge to enhance the performance of employees". The
field has gone by several names, including "Human Resource Development", "Human Capital Development"
and "Learning and Development".
Employee Training tries to improve skills, add to the existing level of knowledge so that employee is better
equipped to do his present job, or to prepare him for a higher position with increased responsibilities.
However individual growth is not and in ends in itself. Organizational growth need to be measured along
with individual growth. Training refers to the teaching or learning activities done for the primary purpose of
helping members of an organization to acquire and apply the knowledge skills, abilities and attitude needed
by that organization to acquire and apply the same broadly speaking training is the act of increasing the
knowledge and skill of an employee for doing a particular job. In todays scenario changes the order of the
day and the only way to deal with it is to learn and grow. Employees have become central tosuccess and
failure of an organization they are the cornucopia of ideas. So it high time the organization realizes is the
train and retain is manta of new millennium.
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1.3.1 Practices
Training and Development encompasses three main activities: Training, Education, and Development
Training: is the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational
or practical skills and knowledge that relate to specific useful competencies. Training has specific goals of
improving one's capability, capacity, and performance. It forms the core of apprenticeships and provides the
backbone of content at institutes of technology (also known as technical colleges or polytechnics). In
addition to the basic training required for a trade, occupation or profession, observers of the labor-market
recognize as of 2008 the need to continue training beyond initial qualifications: to maintain, upgrade and
update skills throughout working life. People within many professions and occupations may refer to this sort
of training as professional development. This activity is both focused upon, and evaluated against, the job
that an individual currently holds.
Education: This activity focuses upon the jobs that an individual may potentially hold in the future, and is
evaluated against those jobs.
Development: The act of developing or disclosing that which is unknown; a gradual unfolding process by
which anything is developed, as a plan or method, or an image upon a photographic plate; gradual
advancement or growth through a series of progressive changes; also, the result of developing, or a
developed state.
The series of changes which animal and vegetable organisms undergo in their passage from the
embryonic state to maturity, from a lower to a higher state of organization.
The act or process of changing or expanding an expression into another of equivalent value or
meaning. The equivalent expression into which another has been developed. The elaboration of a
theme or subject; the unfolding of a musical idea; the evolution of a whole piece or movement from a
leading theme or motive.
This activity focuses upon the activities that the organization employing the individual, or that the
individual is part of, may partake in the future, and is almost impossible to evaluate.
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1.3.2 TRAINING & DEVELOPMENT
Training and development (T&D) encompasses two main activities: training and development. Graven,
Costing, and Hearty, of the Irish Institute of Training and Development, note that these ideas are often
considered to be synonymous. However, to practitioners, they encompass three separate, although
interrelated, activities.
Training Needs
Any organizations performance depends on its employees and its sub group. Training needsand
organizational needs are said to be inter related. It is the trained employees who will becontributing towards
the fulfillment of organization needs.
Training needs arise at three levels:
Organizational level
Individual level
Operational level
Organizational Level
Training need analysis at organizational level focuses on strategic planning, business need,and goals. It starts
with the assessment of internal environment of the organization such as,procedures, structures, policies,
strengths, and weaknesses and external environment such asOpportunities and threats.Alter doing the SWOT
analysis; weaknesses can be dealt with the training interventions, whilestrengths can further be strengthened
with continued training. Threats can be reduced byidentifying the areas where training is required. And,
opportunities can be exploited by balancing it against costs.For this approach to be successful, the HR
department of the company involves in strategicplanning. In this planning, HR develops strategies to be sure
that the employees in theorganization have the required Knowledge, Skills, and Attributes (KSAS) based on
the futureKSAs requirements at each level
Individual Level - Training need analysis at individual level focuses on each and everyindividual in the
organization. At this level, the organization checks whether an employee isperforming at desired level or the
performance is below expectation. lf the difference betweenthe expected performance and actual
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performance comes out to be positive, then certainly there is a need of training. However, individual
competence can also be linked to individual need. The methods that areused to analyze the individual need
are:
Appraisal and performance review

Peer appraisal
Competency assessments
Subordinate appraisal
Client feedback
Customer feedback
Self-assessment or self-appraisal
Operational Level Training Need analysis at operational level focuses on the work that isbeing assigned
to the employees. The job analyst gathers the information on whether the job is clearly understood by an
employee or not. This information is gathered through technical interview, observation, psychological test;
questionnaires asking the closed ended as well aspen ended questions, etc. Today, jobs are dynamic and keep
changing over the time. Employees need to prepare for these changes. The job analyst also gathers
information on the tasks needs to be done plus the tasks that will be required in the future. Based on the
information collected, training Need analysis (TNA is done.
1.3.3 METHODS OF TRAINING
The most widely used methods of training used by organizations are classified into twocategories: On-the-
Job Training & Off-the-Job Training.
ON-THE-JOB TRAINING is given at the work place by superior in relatively short period oftime.
This type of training is cheaper & less time-consuming. This training can be imparted by basically four
methods: -
1. Projects: - Employees join a project team - which gives them exposure to other parts of the business
andallow them to take part in new activities. Most successful project teams are "multi-disciplinary
2. Coaching:-It is learning by doing. In this, the superior guides his sub-ordinates & gives him/her job
instructions. The superior points out of the mistakes & gives suggestions for improvement.
3. Job Rotation:- In this method, the trainees move from one job to another, so that he/she should be able
toperform all types of jobs. E.g. In banking industry, employees are trained for both back-end &front-
18
end jobs. In case of emergency, (absenteeism or resignation), any employee would be ableto perform
any type of job.
OFF THE JOB TRAININGInstructional methods are only as good as they contribute to the
achievement of learning objective.Just as there are differences in training styles, there are also
differences in learning styles.People usually fall into one of four categories for preferred learning styles.
1. Doing
2. Thinking
3. Trying
4. Watching
Certain people may progress most rapidly if they discuss (doers, thinkers). Others may learn more
rapidly and more significantly through lectures (thinkers, watcher). In order to reach goals, there may be
several equally appealing and productive routes. When these issues arise, and at all phases of training design
activity, the trainer faces the question. "What methods shall we use'?*The design is multidimensional. It
involves the learning objectives, the learner needs, the availability of instructors and training materials, the
urgency for training, the norms of the organization and the money available for training. But a fundamental
criterion in selecting a learning method should be the appropriateness of that method to the learning
objective. These methods are described as under:
1) Lectures/Conferences: - This approach is well adapted to convey specific information, rules,

procedures or methods.This method is useful, where the information is to be shared among a
large number of trainees.The cost per trainee is low in this method.
2) Films: - Films can provide information & explicitly demonstrate skills that are not easily
presented by other techniques. Motion pictures are often used in conjunction with
Conference, discussions to clarify& amplify those points that the film emphasized.
3) Simulation Exercise: - Any training activity that explicitly places the trainee in an artificial
environment that closely mirrors actual working conditions can be considered a Simulation.
Simulation activities include case experiences, experiential exercises. Vestibule training,
management games & role-play.
4) Small Group Tasks: - Small group tasks (small teams of participants) result in some product,
decision, orrecommendation to be shared with similar group in the class. For example, case
studies may beassigned to small teams rather than the entire class. Whatever the task, the
small groups reporttheir finding or present their "product" in a report to the larger
group.Typical products from these small groups are reports, decision, a set of
recommendations, or pros/cons analysis of some issues.
19
5) Cases: - Cases present an in depth description of a particular problem an employee might
encounter on the job.The employee attempts to find and analyze the problem. Evaluate
alternative courses of action & decidewhat course of action would be most satisfactory. Case
studies have been a popular way to get involvement and to bring discussion down to a
reasonable level of concreteness. Intraditional case studies, participants received printed
description of problem situation. The description contains sufficient detail so that learners can
recommend appropriate action. The printed description must, therefore, include enough detail
to enable learner to make recommendations but not so much that they are distracted from the
central issues. Control of the discussion comes through (i) the amount of details provided, (ii)
time limits (frequently rather stringent), (iii) the way the task is defined (often a description of
desired output such as are accommodation, a decision, or the outline of an action plan) and
(iv) sometimes a list of questions for the group toanswer on their way to the final product
6) Experiential Exercises: - They are usually short, structured learning experiences where
individuals learn by doing. For instance, rather than talking about inter-personal conflicts &
how to deal with them, an experiential exercise could be used to create a conflict situation
where employees have to experience a conflict personally & work out its solutions. .
7) Vestibule Training:- Employees learn their jobs on the equipment they will be using, but the
training is conducted away from the actual work floor. While expensive, Vestibule training
allows employees to get afull feel for doing task without real world pressures. Additionally, it
minimizes the problem of transferring learning to the job.
8) In-Basket Exercise: - Also known as in tray method of training. The trainee is presented with
a pack of papers & tiles in a tray containing administrative problems & is asked to take
decisions on these problemswithin a stipulated time. The decisions taken by the trainees are
compared with one another. The trainees are provided feedback on their performance.
1.3.4 Training and Development Policies at Nestle
Nestle, strongly believes that its people form its strength and that nothing can be achieved without their
commitment and their energy.People are indeed the most important asset and the company invests heavily on
their trainingand development. It is on this foundation that Nestle has designed its Training &Management
Development strategy, focusing on three main axes. Its first axis is to develop a team of talents to ensure that
the right people are in the right place at the right time. The second axis is to enable experience through
20
exposure; either through on-thejob training, overseas assignments or project participation. The third axis of
development stresses on providing appropriate training and developmental opportunities aimed at generating
meaningful learning that enhances both corporate and personal performances. As a peoples company, it
remains committed to offering its people opportunities to develop their capabilities and realize their full
potential. .
A. Training programs at Nestle

1) Induction Training: - These are conducted at Branches, Head Office and Factories to
introduce a new employee to the organization and his job. The new entrant is familiarized
with the work environment, company culture, management principles, information about
company rules and personnel policies, task that he is expected to perform, introduce to fellow
workers etc.
2) In- House Training:-A comprehensive training calendar is established and published every
year with the objective of providing training at all grades, in different functional areas.
These programs are decided in.co-ordination with concerned Line Management in orderto lay
emphasis on need based inputs required within the company. The faculty is drawn frombest
available trainers in the country as well as from within the company
B. External Training
1) Based on the requirements, employees may be nominated for external trainingprograms/seminars

conducted by premier business schools and other institutions around the country.
2) Based on business requirements, from time to time, company also develops customized programs
with educational institutions for employees.
C. International Training
1) The International Training Centre at Switzerland runs Executive Development courses at the
Rive-Ravine Training centre, Switzerland as well as in various regions of the world majorityof
the trainers are active Nestle Managers.
2) The International Training Programs aim at developing and sharing guest practices ofthe
various management disciplines practiced in the group. They also strive to strengthen
corporate cohesion as well as to promote networking throughout the group.
21
3) The international Training centre also collaborates with other premier institutions likeIMD
Lausanne, London Business School for running customized programs for Nestle
managersbased on business needs of the group.
D. Training Nominations
In - House Training / External Training:
1) Basis the individual development needs and course availability, line managers may nominate
their employees for in house training programs throughout the training department.
2) Registration for such program is done, only after the nomination by the line
manager.Employee may forward a request for a particular training program to the line
manager however; the authority to register him rests in the hands of the line manager.
3) In view of the high costs associated with it, the nominations are done on selective basis.
Individual development and business needs are identified and then on these criteria the
employees are nominated by the concerned divisional heads in discussion with the HR.
4) Final approval is granted by the CMD.
5) Alter the nomination is accepted by the international training partners, participants are
individually intimated by the Corporate Training Department.
Self Education Scheme
With a view to develop employees by attaining professional education in their functional areas
of responsibility, the company has a education scheme to subsidize the expenditure incurred inthis respectAn
employee wanting to do a professional, technical or management course will make anapplication to the
functional head stating that he is found eligible for the course.The supervisors in consultation with the unit
head identify the relevance and usefulness of thecourse for the effective working of the employee and the
benefit of the organization.lf the course is found relevant the application is recommended and forwarded to
the HRdepartment in the corporate office.HR department examines the recommendation and informs the
employees whether the request is considered or not. On successful completion of the course i.e. on receipt
of the mark sheet 75% of the tuition fees or Rs. l,O0,000 whichever is low is refunded in full only after 5
years of rendering the service in the organization alter attaining the degree or diploma for the course he had
pursued.This condition is mentioned in the approval letter.Permission is given only if it does not intervene
the normal working of the employee. Only part time or correspondence courses are permitted.
22
2 Literature Review
A literature review is a text of a scholarly paper, which includes the current knowledge including substantive
findings, as well as theoretical and methodological contributions to a particular topic. Literature reviews are
secondary sources, and do not report new or original experimental work. Most often associated with
academic-oriented literature, such reviews are found in academic journals, and are not to be confused with
book reviews that may also appear in the same publication. Literature reviews are a basis for research in
nearly every academic field. A narrow-scope literature review may be included as part of a peer-reviewed
journal article presenting new research, serving to situate the current study within the body of the relevant
literature and to provide context for the reader. In such a case, the review usually precedes the methodology
and results sections of the work.
Producing a literature review may also be part of graduate and post-graduate student work, including in the
preparation of a thesis, dissertation, or a journal article. Literature reviews are also common in a research
proposal or prospectus (the document that is approved before a student formally begins a dissertation or
thesis).
Literature review in psychology compares research concerning assumptions on the research question, the
experimental methodology, the data assessments, and the conclusions.
2.1 Franco Gandolfi (2005)1 TRAINING AND DEVELOPMENT IN AN ERA OF DOWNSIZING and
he has analyzed that downsizing as a restructuring strategy which has been actively implemented for the last
three decades. While employee reductions were utilized mainly in response to crises prior to the mid 1980s,
downsizing developed into a fully-fledged managerial strategy for tens of thousands of companies in the
mid to late 1980s. Since then, downsizing has transformed the international corporate landscape and
affected the lives of hundreds of millions of individuals around the world.
2.2 David McGuire and Mammed Bagher (2006)2 has done their research in the topic DIVERSITY
TRAINING IN ORGANIZATIONS: AN INTRODUCTION and has reviewed the literature on diversity
training and examine the effect of power, privilege and politics of diversity in organizations. This is a
23
conceptual paper examining the arguments in favor and against diversity training in organizations. It
identifies the presence of dominant groups in society leading to the marginalization and oppression of
minority diverse groups. Diversity training has a significant role to play in fostering greater equality,
inclusion and fairness in the workplace. Critically, it can help diverse individuals and communities recoup
important aspects of their identity and enjoy productive fulfilling careers in the workplace.
2.3. Thomas Anderson (2007)3 has done his research in the topic struggles of managerial being and
becoming (experiences from managers personal Development Training)and has reviewed this paper to
investigate the struggles of managerial identity in relation to the process of becoming/being a manager, and
the personal conflicts involved with in this process. Management training tends to be based on the idea that
management concerns the acquisition of competencies, techniques and personal awareness, while managerial
practice is more fluid and contextually based. There is a challenge for organizers of all types of management
training to bridge gap between a fixed idea of what is to be a manger and how managements actually
practiced.
2.4 Cary Cherniss (2008)4 have done their research in the topic ProcessDesigned Training: a new
approach for helping leaders develops emotional and social competenceand they have evaluated the
effectiveness of a leadership development program based on International Organization for Standardization
(ISO) principles. The program utilized process-designed training groups to help participants develop
emotional and social competence.
2.5 Pilar Pineda (2009)5 has done his research in this topic Evaluation of Training in organizations: a
proposal for an integrated model and the authors purpose of this paper is to present an evaluation model
that has been successfully applied in the Spanish context that integrates all training dimensions and effects, to
act as a global tool for organizations. This model analyses satisfaction, learning, pedagogical aspects,
transfer, impact and profitability of training and is therefore a global model. The author says that training is a
key strategy for human resources development and in achieving organizational objectives. Organizations and
public authorities invest large amounts of resources in training, but rarely have the data to show the results of
that investment.
2.6 Eugen Rotarescu (2010)6 has reviewed on the topic Alternative selection under risk conditions in Human
Resources Training and Development through the application of the estimated monetary value and decision tree
analysis. The topic is the presentation in a succinct and applicative manner of several decision making
processes and the methods applied to human resources training and development in environments with risk
24
factors. The decisions have been optimized by the human resources training and development, the decision
makers have readily available with two methods of analysis they are:
(1) The decision matrix and
(2) The decision tree method. Both methods compute the alternatives based on the estimated monetary value
(EMV).
2.7 Thomas Andersson (2012)7 has done his research in the topic STRUGGLES OF MANAGERIAL
BEING AND BECOMING (Experiences from managers personal development training) and has reviewed
this paper to investigate the struggles of managerial identity in relation to the process of becoming/being a
manager, and the personal conflicts involved within this process. Management training tends to be based on
the idea that management concerns the acquisition of competencies, techniques and personal awareness,
while managerial practice is more fluid and contextually based. There is a challenge for organizers of all
types of management training to bridge gap between a fixed idea of what is to be a manger and how
management is actually practiced. The methodology used in this paper is a qualitative longitudinal project.
The longitudinal and in-depth qualitative approach facilities an important contribution to understanding
issues in developing a managerial ability.
2.8 Muhammad Zahid Iqbal ET (2014) 8 has done their research in the topic their analysis is about the
relationship be teen characteristics and formative evaluation of Training. This study attempted to signify the
use of formative training evaluation. The authors have carried out a study at three public-sector training
institutions to empiricallytest the predicted relationship between the training characteristics and formative
training evaluation under the Kirkpatrick model (reaction and learning). This study explains the causal
linkage between components of formative training evaluation, the mediating role of reaction in the
relationships between training characteristics and learning was also investigated. The principal finding
revealed that a set of seven training characteristics explained 59% and 61% variance in reaction and learning
respectively.All training characteristics were found to have a positive impact on reaction and learning except
training content
25
3. Research Methodology
3.1 Meaning of Research
Research simply means search for knowledge. Research comprises of defining and redefining problems,
formulating hypothesis or suggested solutions, collecting, organizing and evaluating data making deductions
and reaching conclusions.
Research Involves:
Gathering data from the market.

Conducting consumer surveys.
Determining the needs of the customers.
Evaluating customer responses.
Testing the product and policies.
Research Process:
Major steps in the research process are as following:-
Step 1- Defining the research objective.
Step 2- Developing a research plan.
Step 3- Collecting data from relevant source.
Step 4- Analyzing and interpreting the data.
Step 5-Making Final Report.
3.2 Statement of Problem
To study how employees are trained and developed with skill gap analysis in Nestle. To pinpoint if
training will make a difference in productivity and the bottom line. Provides the basis on which all
other training activities can be considered. Also requiring careful thought and analysis, it is a process
that needs to be carried out with sensitivity as people's learning is important to them, and the
26
reputation of the Organization is also at stake. Identification of training needs is important from both
the organizational point of view as well as from Nestle
3.3 Need of the Study
Training need identification is a tool utilized to identify what educational courses or activities should.
Be provided to employees to improve their work productivity. Here the focus should be placed on
needs.
As opposed to desires of the employees for a constructive outcome.
To examine the effectiveness of training in overall development of skills of the employees
To examine the impact of training on the workers.
To examine the changes in behavioral pattern due to training.
Importance of training need identification we can focus on the following areas:
To decide what specific training each employee needs and what will improve his or her job
performance.
To differentiate between the need for training and organizational issues and bring about a match
between individual aspirations and organizational goals.
Identification of training needs (ITN), if done properly, provides the basis on which all other training
Activities can be considered. Also requiring careful thought and analysis, it is a process that needs to
be carried out with sensitivity as people's learning is important to them, and the reputation of the
Organization is also at stake. Identification of training needs is important from both the organizational
point of view as well as from
An individuals point of view from an organisation's point of view it is important because an
Organisation has objectives that it wants to achieve for the benefit of all stakeholder members,
Therefore people must know what they need to learn in order to achieve organizational.
Goals similarly if seen from an individual's point of view, people have aspirations, they want
Develop and in order to learn and use new abilities, people need appropriate opportunities, resources,
and conditions.
Therefore, to meet people's aspirations, the organization must provide effective and
Attractive learning resources and conditions. And it is also important to see that there is a suitable
match between achieving organizational goals and providing attractive learning opportunities
3.4 Rationale of the Study
27
This study is conducted to assess the information of the customer on effectiveness of training and
development process provide by Nestle. This study is conducted in consideration of the trainingprovided to
different employees according to their specialisation. This study contains data and tables of the cases so
studied. Along with these are the specific interpretations of the said information. Using these data, the
researcher shall be pinpointing the strong points of the cases of the consumer who purchase product.
Moreover, the study shall be a patent tool in providing information of the services to their customer and
study their perception towards company as well
3.5 Justification of study
This study will help to know how the training and development programs are conducted at NESTLE. It will
help the researcher to know which category of employees is targeted for training, to know the quality of
training imparted to employees. It will also help to know about training based appraisals given to employees
as well as the degree of interference during the training session. This study will help the researcher to gain
practical knowledge which is not possible through books.
3.6 Objectives of Study
Summer Training is indispensable part of MBA program. It links student with the real world situation and
offers opportunities to gain practical knowledge. The objective of this internship report is To present the
experience on how Nestle provide training to their employees.
The following list of objectives has been extensively reported in literature discussing internship programs.
To study the effectiveness of the training imparted at Nestle India Pvt. Ltd and its result in the
performance of the employee.
To gain knowledge about the training methods followed by the company and perception of the
employees regarding these methods.
To study how skill gap analysis forms an integral part in identifying the training needs how the
organization is responding to these gaps and what barriers to skill development the facing and how
these can be addressed.
To identify how training assists the employee acquires skills, knowledge, and attitude. Also enhance
the same which in turns helps in brightening the carrier prospects.
28
To study whether training helps to motivate employee and improve their performance minimizing
mistakes
3.7 Scope of the Study
1. The scope of study is limited to the respondents are selected from samalkha
2. The project is carried out for the period of 48 days.
3. The sample unit was 70 respondents.
3.8 Research Design
A research design is the arrangement of conditions for collection and analysis of data in a manner that aims
to combine relevance to the research purpose with economy in procedure. Research design is the conceptual
structure within which research is conducted. It constitutes the blueprint for the collection measurement and
analysis of data. Research design includes an outline of what the researcher will do from writing the
hypothesis and its operational implication to the final analysis of data. A research design is a framework for
the study and is used as a guide in collecting and analyzing the data. It is a strategy specifying which
approach will be used for gathering and analyzing the data.
The research design used in this project is Descriptive in nature. Descriptive research includes surveys and
fact-finding enquiries of different kinds. The main purpose of this descriptive research is description of the
state of affairs as it exists at present. The main characteristic of this method is that the researcher has no
control over the variables; he can only report what has happened and what is happening. Descriptive research
is pre-planned and structured.
3.9 SOURCES OF DATA COLLECTION

Primary Data: The data is collected for the first time hence is fresh and happens to be original in nature
Secondary Data: The data is collected and processed information by some other person or organization
Primary data was collected from the existing employee working at Nestle in Samalkha.
Secondary data are gathered from the official website of the company and from reference books
3.10 SAMPLING TECHNIQUES
Universe: All the employees who are working in Nestle.
29
Sample Unit: Employees of Nestle.
Sample Size: 75
3.11 Statistical Tools used

Graphical and Tabular analysis
The tools used for the analysis are as follows.
1. Tables: Tables are used to represent the response of the respondents in a precise term so that it become
easy to evaluate the data collected.
2. Pie Chart: Pie charts have been used to express that what percentage of the respondents response towards
a particular option.
3. Chi-square Test: The Chi-square test is an important test amongst several tests of significance developed
by the statisticians, symbolically written as X 2 , is a statistical measure used in the context of sampling
analysis for testing the significance of population variance. As a non-parametric test, it can be used as a test
of goodness of fit and as a test attributes. Thus, the chi-square test is applicable to a very large number of
problems in practice.
Where O is observed value &E is expected value.
3.11 Limitations The hindrances and limitations the researcher came across during the entire journey
were
Some information being very sensitive as far as organization is concerned is left untouched and not
mentioned in any way.
Top-level strategic type of decisions and information too are not taken under study to avoid any
favor to the business counter parts.
30
The data presented here is taken by prepared questionnaire (closed ended) and information and
feedback received from the management.
No research has been conducted on this topic for the purpose of this project thus holds a complete
field research and development.
Due to Time Constraints, the researcher was not able to touch all aspects of training and
development.
Due to security reasons, the researcher could not attend the training conducted which would give me
a practical experience.
In some cases one to one interaction with the employees to whom the questionnaire was
administered not possible as the plant area is a restricted area.
4. DATA ANALYSIS AND INTERPRETATION

4.1 Awareness level of various training Program conducted at company.
No. of
Scale Employees Percentage%
Strongly Agree 20 20
Agree 15 15
Neither Agree Nor Disagree 10 10
Disagree 10 10
Strongly Disagree 20 20
Table- 4.1
31
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure- 4.1
INTERPRETATION: This graph shows that 20 % of employees are strongly agree about the point , 15% of
employees are agree on the point , 10% are neither agree nor disagree , 10% are disagree and rest 20% of
employees are strongly disagree. Awareness level of various training Program conducted at company.
4.2 Training is helpful in developing employees skill for career growth.
No. of
Agree 10 10
Disagree 5 5
Table- 4.2
32
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure - 4.2
INTERPRETATION: This that graph shows 10 % of employees are strongly agree about the point , 10% of
employees are agree on the point , 20% are neither agree nor disagree , 5 % are disagree and rest 20% of
employees are strongly disagree. Training is helpful in developing employees skill for career growth.
4.3. The time limit of training program was sufficient.
No. of
Agree 15 15
Disagree 10 10
Table -4.3
33
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure- 4.3
INTERPRETATION: This graph shows that 15% of employees are strongly agree about the point, 15% of
employees are agree on the point, 20 % are neither agree nor disagree, 10% are disagree and rest 5% of
employees are strongly disagree. The time limit of training program was sufficient
4.4. The Employees are nominated for Training Programmers on the basis on their Training needs.
No. of
Agree 28 28
Disagree 17 17
Table- 4.4
34
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure -4.4
INTERPRETATION: This graph shows that 13% of employees are strongly agree about the point , 28 % of
employees are agree on the point , 12 % are neither agree nor disagree, 17% are disagree and rest 5% of
employees are strongly disagree. The Employees are nominated for Training Programmers on the basis on
their Training need.
4.5. Change in the personality after undergoing training programmed.
No. of
Agree 30 30
Disagree 11 11
Table- 4.5
35
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure- 4.5
employees are strongly disagree . Change in the personality after undergoing training programme.
4.6 The training program focuses on the challenges faced by employees on regular basis on during
work process
No. of
Agree 11 11
Disagree 8 8
Table- 4.6
36
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure -4.6
INTERPRETATION: This graph shows that 15% of employees are strongly agree about the point , 11% of
employees are agree on the point , 19 % are neither agree nor disagree, 8 % are disagree and rest 22% of
employees are strongly disagree rest . The training program focuses on the challenges faced by employees on
regular basis on during work process.
4.7 Enough practice is given during training program.
No. of
Agree 13 13
Disagree 13 13
Table- 4.7
37
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure-4.7
employees are strongly disagree. Enough practice is given during training program.
4.8. Effectiveness of the Training program.
No. of
Agree 15 15
Disagree 10 10
Table- 4.8
38
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure-4.8
employees are strongly disagree. Effectiveness of the Training program.
4.9. The training programs were relevant to employees developmental needs.
No. of
Agree 12 12
Disagree 12 12
Table- 4.9
39
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure-4.9
employees are strongly disagree .The training programs were relevant to employees developmental needs.
4.10 Increase the performance of employees.
No. of
Agree 30 30
Disagree 11 11
Table- 4.10
40
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure- 4.10
employees are strongly disagree .Increase the awareness level of employees
4.11 The training program leads to experience fruitful changes in working after being trained.
No. of
Agree 11 11
Disagree 8 8
Table- 4.11
41
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure -4.11
INTERPRETATION: This graph shows that 15% of employees are strongly agree about the point , 11% of
employees are strongly disagree rest .The training program leads to experience fruitful changes in working
after being trained.
4.12 The training aids were useful in improving the overall effectiveness of the program.
No. of
Agree 13 13
Disagree 13 13
Table- 4.12
42
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure-4.12
employees are strongly disagree. The training aids were useful in improving the overall effectiveness of the
program.
4.13 The number of training program organized during the year was sufficient for employees.
No. of
Agree 15 15
Disagree 10 10
Table- 4.13
43
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure-4.13
employees are strongly disagree. The number of training program organized during the year was sufficient
for employees.
4.14 Training leads to creating innovative ideas.
No. of
Agree 12 12
Disagree 12 12
Table- 4.14
44
No. of Person
Strongly Agree
Agree
Neither Agree Nor
Disagree
Disagree
Strongly Disagree
Figure-4.14
employees are strongly disagree . Training leads to creating innovative ideas
TESTING OF HYPOTHESIS
The theory of testing of hypothesis parameters employs various statistical techniques to arrive at such
decisions on the basis of the sample study. In attempting to arrive at decisions about the population on the
basis of sample information, it is necessary to make assumptions about the population parameters involved.
Such assumptions called a statistical hypothesis which may be true or not.
Non Parametric Tests
Non Parametric Tests do not require any assumptions about the parameters or about the nature of population.
By non parametric tests we mean those statistical tests which do not depend either upon the shape of the
distribution or upon the parameters of the population mean, standard deviation, variance etc. In addition to
these, non-parametric tests do not require measurements as strong as requires by parametric tests.
CHI SQUARE TEST
45
The chi square test is the most important and most used method in statistical test. The purpose of chi square
test is known as the difference between an observed frequency and expected frequency. This test, sometimes
is also used to test the difference between the two or more observed data. Its value can be calculated by
using the given observed frequency and expected and expected frequency.
The chi square is denoted by Chi-square (X 2) the formula is given as:
(OE) 2
x 2=
E
Ref -Table- 4.9. Employees are no longer feeling valued for their work.
Ho: There is no specific different between observed and expected data.

H1: There is different between observed and expected data.
In order to test the above hypothesis 5 relevant questions are taken:
Satisfaction level No. of Person Percentage%
Strongly Agree 3 3
Agree 4 4
Disagree 22 22
Table no 4.9
Level of significance = 5%
46
Calculation of Expected Frequency:
Row Total X ColumnTotal

E= Grand Total
S. No. Satisfaction level No. of Person

1 Strongly Agree 3
2 Agree 4
3 Neither Agree Nor Disagree 10
4 Disagree 22
5 Strongly Disagree 31
Total = 70
E =70/5 = 14
Applying X2-test
O E (O-E) (O-E)2 (O-E)2/E
3 14 -11 121 3.64
4 14 -10 100 7.14
10 14 -4 16 1.14
22 14 8 64 4.57
31 14 17 204 20.64
Total= 41.53
Where,
O = observed frequencies
E = expected frequencies
47
Degree of Freedom (DF):
Df = (r-1) (c-1)
Where,
r = number of rows
c = number of columns.
Df = (5-1)(2-1) = 4
Research decision:
Calculated Value of Chi Square (Xc2) = 41.53
Table Value of Chi square for degree of freedom 4 at 5% level of significance = 41.5
INTERPRETATION:
Since, the calculated value of X2 is more than the table value we reject the hypothesis and conclude that the
employees preferences are in accordance with the FMCG. . The purpose of chi square test is known as the
difference between an observed frequency and expected frequency. . In attempting to arrive at decisions
about the population on the basis of sample information, it is necessary to make assumptions about the
population parameters involved. Such assumptions called a statistical hypothesis which may be true or not.
48
5.1FINDINGS
The study shows that the majority of the employees are satisfied. 60% of the employees are satisfied
and 40% are not satisfied with their designation.
The Employees are satisfied with the training given to them. The (90%) of the employees are of the
view that training sessions conducted actually help them in enhancing the skills and improving the
efficiency at the current job position.
Only 6% of the employees believe that training does no good to them, and does not help them at the
positions they hold. Most of the employees view that performance appraisal is good because they can
measure their skill, communication and work efficiency.
Company considers training as an integral part of its policies and leaves no stone unturned to train its
employees so they organize many programs and gives its employees time off with pay for the
purpose of training
The (74%) employee prefer workshops as the best method of training over other methods like
classes, briefings and games of the employees only (6%) believe that other on-the job methods of
training should also be used.
43% of the employees agree strongly and 44% employees agree to a great extent that time, money
and interest play a major role in training and development right from the selection of an appropriate
training method. Only 1% of the employees do not consider it as an important factor.
The company provides the employees work off for training with pay and encourages them to
participate more and more in the training programs.
49
5.2 RECOMMENDATIONS
Team about the needs and proficiency of each and every employee before an organizationinvests its
effort, time & money on training.
Its better to identify the needs &shortcomings in an employee before actually imparting training to
him/her.
Experienced & skilled trainer, who possesses good amount of knowledge & understandingabout the
organization's objectives, individual abilities & the present environment, should givetraining.
Active participation from the trainees should be encouraged. There should be a two-way
Communication between the trainer & trainee.
Focus of training should be on priority development needs and to produce strong motivation to bring
change in employees.
The cost incurred on the training program should not exceed its benefits.
The method or type of training should be. very cautiously selected by the organization depending
upon the organizations resources & an employees individual need for training. Thus, training is a
vital tool to cope up with the changing needs & technologies, & ever-changing environment. It
benefits both the organization as well as the employees.
50
5.3 CONCLUSION
The existence of any organization depends on the profits earned by it. The profits depend on the efficiency
of the employees. For an employee to be efficient it is very important to train them so that they meet the
requirements of the company. Training is conducted by Nestle as per the requirements for both new staff and
the existing staff. A skill matrix is created to identify the training needs and on the basis of this further action
is taken. On the basis of the results obtained from the questionnaire it is observed that the employees are
satisfied with the training programs conducted bq1y the company. The company provides the employees
work off for training with pay and encourages them to participate more and more in the training programs.
No doubt Training is a very powerful tool for the smooth functioning of the organization, but it needs to be
used with care in order to derive all the benefits. The present training programmed provided by company is
effective and free from bias as found during the research. It is observed that there is a change in personality
of the employee of Company after undergoing training and development programmed. The existing training
and development programmed in company is helpful for the development of knowledge and skill of the
individual in their respective work. It is found that the present training and development programmed in
company is able to motivate the employees.
51
5.4 FUTURE DIRECTION
There are few future directions which should be kept in mind for the next time:-
The time should be ample, so as to study all the areas of training.

The applicant should be made comfortable that, whatever information they will provide would be
kept confidential.
The larger area of population should be covered to get more exact information.
If possible the researcher should be present at the time when training is actually being imparted to get
true and exact information.
52
BIBLIOGRAPHY
Journals and paper
Derek Torrington, Laura Hall, and Stephen Taylor (2004). Human ResourceManagement. Pearson
Education. pp. 363. ISBN 0-273-687131.
Rosemary Harrison (2005). Learningand Development. CIPD Publishing. pp. 5 ISBN 1-84398-050-9.
William J. Rothwell and H. C. Kazans (2004). The Strategic Development ofTalent Human Resource
Development Press. pp. 4. ISBN 0-87425-752-2.
Books
Aswathappa K. "Human Resource and Personal Management" Text and Cases, Tata McGraw Hill
Publishing Company Ltd., New Delhi.
Chhabra T.N. "Human Resources Management Concepts and Issues, Fourth Edition", Sham pat
Rai& Co., Delhi.
Gupta, C. B. (2004), "Human Resource Management", Sixth Edition, Sultan Chand & Sons, New
Delhi.
Kothari, C. R. (2005), "Research Methodology", Second Edition, New Age international Publishers,
New Delhi.
Cooper and Schindler: Business Research Methods, 8th edition, Tata McGraw Hill.
Boyd & Westfall: Marketing Research, Prentice Hall.
Kothari, C. R.: Research Methodology, New Age International Publishers.
Michael R.Czinkota: Marketing Management, Thomson, South Masaaki Kotabe Western.
Philip Kotler: Marketing Management, Pearson Prentice-Hall. Kevin lane Keller
Capital Market module (NCFM) 71
Web sites
WWW. Nestle .com
ANNEXTURE
Dear Respondent,
53
I, Priyanshi Singh student of MBA in SAMALKHA GROUP OF INTITUTIONS affiliated to
KURUKSHETRA UNIVERSITY, Kurukshetra. I have been assigned project on the topic A Comprehensive
study on significance of Training and Development program at Nestle India Limited. As part of my project I
am collecting data through this questionnaire for the Project. The information provided by you will remain
confidential and be used for academic purposes only.
Please read the following statements and tick the number that most accurately reflects the reason behind
Training and Development from particular training in 5 scales -
(1-Strongly Agree, 2- Agree, 3- Neither Disagree nor Agree, 4- Disagree,
5- Strongly Disagree)
1. Awareness level of various training Program conducted at company.
A) Strongly Agree B) Agree C) Neither Disagree nor Agree
D) Disagree E) Strongly Disagree
2. Training is helpful in developing employees skill for career growth.
3. The time limit of training program was sufficient.
4. The Employees are nominated for Training Programmers on the basis on their Training needs.
5. Change in the personality after undergoing training programmed.
54
6. The training program focuses on the challenges faced by employees on regular basis on
during work process
7. Enough practice is given during training program.
8. Effectiveness of the Training program.

9. The training programs were relevant to employees developmental needs.
10. Increase the performance of employees.
11. The training program leads to experience fruitful changes in working after being trained.

55
12. The training aids were useful in improving the overall effectiveness of the program.
13. The number of training program organized during the year was sufficient for employees.
14. Training leads to creating innovative ideas.
56
57
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1.1.1THESE ARE THE PRODUCT WHICH COMES IN FMCG INDUSTRY

Fabric wash (laundry soaps and syntheticdetergents);

HOUSEHOLD CARE household cleaners (dish/utensilcleaners, floor cleaners,

Health beverages; soft drinks; staples/cereals; bakery

PERSONAL CARE cosmetics and toiletries; deodorants;perfumes; feminine

1.1.2 FMCG INDUSTRY

1.1.3. MAJOR PLAYERS IN THE FMCG INDUSTRY

3. Amul (Anand Milk Union Limited), formed in 1946, is a dairycooperative movement

1.2 Introduction of the Company

1.2.1 Culture and religious practices.

1.2.2 THE TEN PRINCIPLES OF BUSINESS OPERATIONS

Nutrition, Health and Wellness

Quality Assurance and Product Safety

Nestle is committed to responsible, reliable consumer communication that empowersconsumers to exercise

Human Rights in Business Activities

Leadership and Personal Responsibility

Supplier and Customer Relations

Agriculture and Rural Development

1.2.3. MISSION AND VISION

1.2.4 NESTLE SAMALKHA FACTORY

Organization Structure of Nestle India Pvt. Ltd.

Executive Vice President and Chief Technology Officer

A Comprehensive study on Training and Development as a function concerned with organizational

Training needs arise at three levels:

Appraisal and performance review

1.3.3 METHODS OF TRAINING

1) Lectures/Conferences: - This approach is well adapted to convey specific information, rules,

1.3.4 Training and Development Policies at Nestle

A. Training programs at Nestle

1) Based on the requirements, employees may be nominated for external trainingprograms/seminars

In - House Training / External Training:

Self Education Scheme

Gathering data from the market.

Major steps in the research process are as following:-

Step 1- Defining the research objective.

Step 2- Developing a research plan.

Step 3- Collecting data from relevant source.

Step 4- Analyzing and interpreting the data.

Step 5-Making Final Report.

3.2 Statement of Problem

3.3 Need of the Study

Importance of training need identification we can focus on the following areas:

3.4 Rationale of the Study

3.5 Justification of study

3.6 Objectives of Study

3.8 Research Design

3.9 SOURCES OF DATA COLLECTION

3.10 SAMPLING TECHNIQUES

Universe: All the employees who are working in Nestle.

3.11 Statistical Tools used

The tools used for the analysis are as follows.

Where O is observed value &E is expected value.

4. DATA ANALYSIS AND INTERPRETATION

Neither Agree Nor Disagree 10 10

4.2 Training is helpful in developing employees skill for career growth.

Neither Agree Nor Disagree 20 20