HRM ASSIGNMENT: TRAINING

AND DEVELOPMENT FUNCTION

OF HPCL

SUBMITTED TO: SUBMITTED BY:

Prof. Meenakshi Malhotra Ankit Kumar

UBS, Panjab University Yash Kumar
Harmanjit Dhillon
Minal Singla
Shreshth Chugh
(MBA-2nd Sem, Section-B)

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Introduction

HPCL is a Navratna Status, and a Forbes 2000 and Global Fortune 500 company. It had
originally been incorporated as a company under the Indian Companies Act 1913. It’s CIN
No. L23201MH1952GOI008858.

It is listed on the Bombay Stock exchange (BSE) and National Stock Exchange (NSE), India.
HPCL owns & operates 2 major refineries producing a wide variety of petroleum fuels &
specialties, one in Mumbai (West Coast) of 7.5 Million Metric Tonnes Per Annum
(MMTPA) capacity and the other in Visakhapatnam, (East Coast) with a capacity
of 8.3 MMTPA. HPCL also owns and operates the largest Lube Refinery in the country
producing Lube Base Oils of international standards, with a capacity of 428 TMT. This Lube
Refinery accounts for over 40% of the India's total Lube Base Oil production. HPCL in
collaboration with M/s Mittal Energy Investments Pte. Ltd. is operating a 9 MMTPA capacity
Refinery at Bathinda with 49% equity and also holds an equity of about 16.95% in the 15
MMTPA Mangalore Refinery and Petrochemicals Ltd. (MRPL).

HPCL has the second largest share of product pipelines in India with a pipeline network of
more than 3370 kms for transportation of petroleum products and a vast marketing network
consisting of 21 Zonal offices in major cities and 128 Regional Offices facilitated by a
Supply & Distribution infrastructure comprising Terminals, Pipeline networks, Aviation
Service Stations, LPG Bottling Plants, Inland Relay Depots & Retail Outlets, Lube and LPG
Distributorships.

Consistent excellent performance has been made possible by highly motivated workforce of
over 10,500 employees working all over India at its various refining and marketing locations.
HPCL is committed to achieve the economic, ecological & social responsibility objectives of
sustainable development consistently through varied operations and activities. HPCL’s focus
areas are in the fields of Child Care, Education, Health Care, Skill Development &
Community Development, touching lives of weaker section of society.

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Definition: Training and Development

Training and Development is a subsystem of an organization which emphasize on the

improvement of the performance of individuals and groups. Training is an educational
process which involves the sharpening of skills, concepts, changing of attitude and gaining
more knowledge to enhance the performance of the employees. Good & efficient training of
employees helps in their skills & knowledge development, which eventually helps a company
improve.

Training is about knowing where you are in the present and after some time where will you
reach with your abilities. By training, people can learn new information, new methodology
and refresh their existing knowledge and skills. Due to this there is much improvement and
adds up the effectiveness at work. The motive behind giving the training is to create an
impact that lasts beyond the end time of the training itself and employee gets updated with
the new phenomenon. Training can be offered as skill development for individuals and
groups.

Organizational Development is a process that “strives to build the capacity to achieve and
sustain a new desired state that benefits the organization or community and the world around
them.” (From the Organizational Development Network website).

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Relation between Training and Development

There is a relation between training and development, and there is clear difference between
the two based on goals to be achieved. Development is made to answer the training
problems:

TRAINING DEVELOPMENT

Training is meant for operatives Development is meant for executives

It is reactive process It is pro- active process

AIM: To develop additional skills AIM: To develop the total personality

It is short term process It is continuous process

OBJECTIVE: To meet the present OBJECTIVE: To meet the future need

need of an employee of an employee

Initiative is taken by the management Initiative is taken by an individual.

Importance of Training and Development

For companies to keep improving, it is important for organizations to have continuous

training and development programs for their employees. Competition and the business
environment keeps changing, and hence it is critical to keep learning and pick up new skills.
The importance of training and development is as follows:

• Optimum utilization of Human resources

• Development of skills like team management, leadership etc

• To increase the productivity

• To provide the zeal of team spirit

• For improvement of organization culture

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• To improve quality, safety

• To increase profitability

• Improve the morale and corporate image

Need for Training and Development

Training and development of employees is a costly activity as it requires a lot quality inputs
from trainers as well as employees. But it is essential that the company revises its goals and
efficiencies with the changing environment. Here are a few critical reasons why the company
endorses training and development sessions.

• When management thinks that there is a need to improve the performances of employees

• To set up the benchmark of improvement so far in the performance improvement effort

• To train about the specific job responsibility and skills like communication management,
team management etc

• To test the new methodology for increasing the productivity

Advantages of training and development

Training and development has a cost attached to it. However, since it is beneficial for
companies in the long run, they ensure employees are trained regularly. Some advantages are:

1. Helps employees develop new skills and increases their knowledge.

2. Improves efficiency and productivity of the individuals as well as the teams.

3. Proper training and development can remove bottle-necks in operations.

4. New & improved job positions can be created to make the organization leaner.

5. Keeps employees motivated and refreshes their goals, ambitions and contribution levels.

Disadvantages of training and development

Even though there are several advantages, some drawbacks of training and development are
mentioned below:

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1. It is an expensive process which includes arranging the correct trainers and engaging
employees for non-revenue activities.

2. There is a risk that after the training and development session, the employee can quit the
job.

Training and Development Process

Training and development is a continuous process as the skills, knowledge and quality of
work needs constant improvement. Since businesses are changing rapidly, it is critical that
companies focus on training their employees after constantly monitoring them & developing
their overall personality.

Steps for training and development processes are:

1. Determine the need of training and development for individuals or teams

2. Establish specific objectives & goals which need to be achieved

3. Select the methods of training

4. Conduct and implement the programs for employees

5. Evaluate the output and performance post the training and development sessions.

6. Keep monitoring and evaluating the performances and again see if more training is
required.

Hence, this concludes the definition of Training and Development along with its overview.

Training and Development of HPCL

HPCL has a full-fledged Corporate Training Department, to augment the learning and
development requirements of its officers.
The HR Department's Vision is “Excellence in harnessing the full potential of all employees
for becoming a World Class Energy Company”.
With this Vision in focus, the Corporate Training Department's vision is to “Create value
through enhanced competencies and be a strategic partner to business by enabling employees
realize their full potential through innovative and progressive learning initiatives”.

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Objectives
 Improve the performance of Employees in their respective assignments

 Enhance competencies to take up higher responsibilities

 Strengthen the Leadership Pipeline

 Bring cultural change from Command & Control to Team based structure

 Leverage technology in human resources development

 Facilitate learning in the organization and build a "Learning Organization"

The specific training needs of individual employees are identified through Competency
Mapping Exercises. The Training Department interacts with all Business Units / functions to
identify and design training programs to cater to these needs. These programs enable
employees to enhance their skills and realize their full potential.

Training Policy

The Training Policy at HPCL provides broad directions to guide the learning solutions and initiatives.

 Management Staff

o Entry level: Samavesh - (Induction/ orientation Training) facilitates a new employee

to build a sense of belongingness.

o Supervisory level: Employee is equipped with function specific inputs and job related
technical skills.

o Managerial Level: Employee is exposed with the principles of Management which

will help blend theory with practice, with focus on leadership development. HPCL
has developed "Project Akshay" for development of leadership pipeline.

o All training initiatives are planned in order to address new needs required by change
in the market scenario.

 Non-Management Staff

o Trainings with focus on Safety at locations, Skills relating to job requirement -

(technical, computer operations, team spirit etc.).

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Identifying Training Needs

 Individual Level: Mainly through recommendation from the Performance Appraisal System

 Functional / Departmental Level: Customized Training programs are developed for the
departments in consultation with the SBU/Functions

 Organizational Level: Individual Development Plan obtained from the Competency mapping
exercise is used to provide specific Training to bridge the observed the employee skill gaps

 Other Training Plans for enhancement of the officers' competencies are scheduled

Project Akshay

Project ‘Akshay’ is leadership development programme, where multiple methodologies like

executive coaching, 360 Degree Feedback based on Emotional and Social Competency
Inventory, Classroom sessions by experts, experiential learning through mentoring
opportunities and group projects etc. are entwined together and deployed in well designed,
co-ordinated and aligned manner.

During the year 2011, 21 senior executives of HPCL undertook Project Akshay. This
programme has regular feedback loops, defined milestones and measurement mechanisms to
gauge the progress towards the required leadership competencies.

The selected participants are divided in groups of 3 each and provided with specific business
projects. This provides the participants:

 With a simulation on working with peers towards a common objective and

consciously examine their own interactions with peers

 To explore for themself their reactions to different situations as they present

themselves

 To observe how their behaviors impact others and

 To identify their own strengths and areas for development

Further, each of the participants was assigned with mentees, who, in groups undertook
different projects under their mentorship. This provided a real life simulation to the

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participants to enhance their leadership skills in guiding and inspiring their team towards
achieving determined outcomes.

During the year 2012, Project Akshay aims to build leadership competencies among 27 senior
executives by way of various self-development tools, business projects and through
mentorship of 108 mentees.

Logo of Project Akshay

 The word ‘Akshay’ which means eternal, immortal and indestructible depicts that
this process creates a leadership pipeline that is eternal

 The Stars depict the organizational vision, mission and strategy

 The human figures depict the process of leaders creating leaders

 The red branches on either sides depict the branching out of leadership
competencies at individual levels and also across levels through the process of
mentoring

 Overall, the logo conveys an academic symbolism representing the process of

learning based on scientifically validated processes

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Training Plans:

In-Company Programs

The In-company programs are conducted through internal faculty, external faculty and
external courses. Focus is given to the development of core internal faculty members, who
will effectively train employees at different levels of the Corporation.

HP Management Development Institute, (HPMDI) Nigdi

HPCL has a full-fledged, well equipped Training Institute at Nigdi, Pune, standing testimony
to the value that HPCL places on training. Away from distractions, it is the “Temple of
learning” by virtue of its perfect learning ambience. HPMDI is equipped with the best
infrastructure conducive for effective learning. It is also having adequate recreational
facilities to keep the employees occupied before / after learning hours.

The faculty is largely drawn from premier institutes or reputed independent training
consultants. They are academicians and professionals who are well versed with the updated
techniques and changing trends in the field of professional training. Tools like Group
discussions, Role plays, case studies, presentations etc are used in the training.

Customized Programs

The training plan for the year for each Business Unit/Function is finalized after mutual
discussions with them. The SBU specific requirements due to the change in market scenario
and thereby required competencies are delved upon. Then suitable Consultants/practitioners
are identified and customized programs are designed in consultation with line functions.

Training Plans: External Seminars/ Conferences

HPCL nominates officers for external seminars and conferences in connection with their
functional requirements.

Foreign Training

Advanced Management Programs are organized for officers of levels DGM and above, by
reputed Business Schools like ASCI- Hyderabad, MDI- Gurgaon, ISB- Hyderabad and IIM-
Kolkata, including visit to select foreign countries.

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HPCL also sponsors Study Tour for employee groups to enrich their knowledge and skills, a
few employee groups for select foreign training to enrich their knowledge and skills, in the
form of select foreign training.

E-Learning

Various e-learning programs on defined competencies, including Online certification courses

on Project Management, Supply Chain Management, different e learning resources on
various behavioral areas are facilitated.

Learning Centers

Learning Centers are available in all Zones and Corporate HQO for accessing information
through internet, books and CDs. leading to learning.

Education Refund Plan (ERP)

Education Refund Plan (ERP) enables the employees to undertake academic courses to
further their self-development process, in relation to Corporation's requirement.

Study leave policy

For employees interested in higher studies, to further on their own, Corporation has a detailed
Study leave policy.

Training Effectiveness

Based on the post-training evaluation, the Training department continuously monitors the
effectiveness of the facilitator and relevance of the content. Alterations / modifications take
place on this basis. Similarly Participant assimilation of training is also recorded.

Summer Internship/Training for students

Students undergoing Graduate / Postgraduate professional courses from reputed Management

and Engineering Institutions will be engaged for Summer Internship for a period of 6 to 8
weeks during April-June every year.

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