The beginning of the present study
states about the history of Indian Railways , conceptual framework of Human Resource
Management (HRM), overview of Human Resource Management in public and private
companies, orientation of HRM practices in Indian railways etc. It also gives a
brief description about problem statement, objectives of the research, research
methodology, and significance of this research and further explores important
findings of the study.
1.1 ORIENTATION TO THE STUDY
Indian Railways (IR) is a great national
asset. The Indian Railways (IR) is the second largest system in the world under
a single management and 7th largest employer in the world. The first
Railway line in India ran between Boribunder
(Bombay) and Thana was opened to traffic on 16th April, 1853, just 28years after the World’s first train that
ran successful between Stockton and Darlington in England in
1825. Indian Railways is a mammoth organization carrying 140 lakh passengers
and 14 lakh tonne of freight daily, and employs more than 15 lakh staff1. Though,
IR in last two decades has remained under-invested whereas the road sector has
witnessed a surge in investments. Statistics have been shown in the below table
1.1 Share of Transport Sector in
Overall GDP (%)
Overall share of transport sector in
overall GDP has remained stable from 2008-09 to 2012-13. Road transport plays
an important part in the overall GDP, railways comes after the road transport. The
share of IR in overall GDP has been static at 1% and has, in fact, gone down to
0.9% in 2012-132.
Although the Traffic Density on IR is quite high as per
1.1 Traffic Density
The above graph 1.1 portrays the traffic
density of India in comparison with some top class countries’ traffic
statistics. After China and Russia, India is considered third largest country
in terms of traffic density. The Indian Railways continuously increases growth
of the network is order to commensurate with the growth of the traffic.
Any industry or organizations succeed,
or fail, based on the quality and effectiveness of their employees. The success of India’s railway industry majorly
depends upon the employees working under its roof. Currently railway industry
of India accounts for 1.334 million
committed and dedicated employees3.
The core aim of Human Resource Management is
to attain the organization effectiveness that can only be achieved with the
satisfaction of employees working in the sector.
Today all over the
world companies have realized the importance of Human Resource management
practices and its direct relation with productivity. In a huge organization
like Indian Railways Human Resource management has to be kept on top
priorities. Humans are the most complex of all organisms on the earth. Managing
humans is not an easy task. The core
competency of any organization depends upon its human resources. Human Resource
management is an important part in any organization. Companies are coming up
with more and more innovative methods of Human Resource management practices.
Human Resource management involves various activities from recruitment,
selection, training, appraisal, welfare, promotion, compensation and
retirement. Human Resources are the art of managing people. The major
challenges in front of an Indian Railways Human Resources manager are to
recruit and attract new talented employees, to retain them, come up with
competitive packages, working on the welfare programmes for the employees, managing
workforce complexities, designing appraisal, etc. Indian Railways is the
largest sector employing lakhs of employees. The below chart explains the
number of employees increased over the years in the Indian railways.