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HR Practices

In
Manufacturing Industry

Submitted by
Arun Pawar (68)
Abhijeet Singh Kadiyan(66)
Karan Chopra (67)
Gajender Singh Yadav (69)
Introduction
Human Resource is a term used to describe the individuals who comprise the workforce of
an organization, although it is also applied in labour economics to, for example, business
sectors or even whole nations. Human resources is also the name of the function within an
organization charged with the overall responsibility for implementing strategies and policies
relating to the management of individuals (i.e. the human resources). This function title is
often abbreviated to the initials 'HR'.

In simple terms, an organization's human resource management strategy should maximize


return on investment in the organization's human capital and minimize financial risk. Human
Resources seeks to achieve this by aligning the supply of skilled and qualified individuals and
the capabilities of the current workforce, with the organization's ongoing and future
business plans and requirements to maximize return on investment and secure future
survival and success. In ensuring such objectives are achieved, the human resource function
purpose in this context is to implement the organization's human resource requirements
effectively but also pragmatically, taking account of legal, ethical and as far as is practical in
a manner that retains the support and respect of the workforce.

Key functions

Human Resources may set strategies and develop policies, standards, systems, and
processes that implement these strategies in a whole range of areas. The following are
typical of a wide range of organizations:

 Recruitment, selection, and on-boarding (resourcing)


 Organizational design and development
 Business transformation and change management
 Performance, conduct and behaviour management
 Industrial and employee relations
 Human resources (workforce) analysis and workforce personnel data management
 Compensation, rewards, and benefits management
 Training and development (learning management)

Implementation of such policies, processes or standards may be directly managed by the HR


function itself, or the function may indirectly supervise the implementation of such activities
by managers, other business functions or via third-party external partner organizations.

HRM strategy

An HRM strategy pertains to the means as to how to implement the specific functions of
HRM. An organization's HR function may possess recruitment and selection policies,
disciplinary procedures, reward/recognition policies, an HR plan, or learning and
development policies; however all of these functional areas of HRM need to be aligned and
correlated, in order to correspond with the overall business strategy. An HRM strategy thus
is an overall plan, concerning the implementation of specific HRM functional areas.
An HRM strategy typically consists of the following factors:
 "Best fit" and "best practice" - meaning that there is correlation between the HRM
strategy and the overall corporate strategy. As HRM as a field seeks to
manage human resources in order to achieve properly organizational goals, an
organization's HRM strategy seeks to accomplish such management by applying a
firm's personnel needs with the goals/objectives of the organisation. As an example,
a firm selling cars could have a corporate strategy of increasing car sales by 10% over
a five year period. Accordingly, the HRM strategy would seek to facilitate how
exactly to manage personnel in order to achieve the 10% figure. Specific HRM
functions, such as recruitment and selection, reward/recognition, an HR plan, or
learning and development policies, would be tailored to achieve the corporate
objectives.
 Close co-operation (at least in theory) between HR and the top/senior management,
in the development of the corporate strategy. Theoretically, a senior HR
representative should be present when an organization's corporate objectives are
devised. This is so, since it is a firm's personnel who actually construct a good, or
provide a service. The personnel's proper management is vital in the firm being
successful, or even existing as a going concern. Thus, HR can be seen as one of the
critical departments within the functional area of an organization.
 Continual monitoring of the strategy, via employee feedback, surveys, etc.

The implementation of an HR strategy is not always required, and may depend on a number
of factors, namely the size of the firm, the organizational culture within the firm or the
industry that the firm operates in and also the people in the firm.
An HRM strategy can be divided, in general, into two facets - the people strategy and the HR
functional strategy. The people strategy pertains to the point listed in the first paragraph,
namely the careful correlation of HRM policies/actions to attain the goals laid down in the
corporate strategy. The HR functional strategy relates to the policies employed within the
HR functional area itself, regarding the management of persons internal to it, to ensure its
own departmental goals are met.
Manufacturing Sector
Manufacturing is the use of machines, tools and labour to produce goods for use or sale.
The term may refer to a range of human activity, from handicraft to high tech, but is most
commonly applied to industrial production, in which raw materials are transformed
into finished goods on a large scale. Such finished goods may be used for manufacturing
other, more complex products, such as aircraft, household appliances or automobiles, or
sold to wholesalers, who in turn sell them to retailers, who then sell them to end users – the
"consumers".
Manufacturing takes turns under all types of economic systems. In a free market economy,
manufacturing is usually directed toward the mass production of products for sale
to consumers at a profit. In a collectivist economy, manufacturing is more frequently
directed by the state to supply a centrally planned economy. In free market economies,
manufacturing occurs under some degree of government regulation. Modern manufacturing
includes all intermediate processes required for the production and integration of a
product's components. Some industries, such as semiconductor and steel manufacturers
use the term fabrication instead.

The manufacturing sector is closely connected with engineering and industrial design.
Examples of major manufacturers in the North America include General Motors
Corporation, General Electric, and Pfizer. Examples in Europe include Volkswagen
Group, Siemens, and Michelin. Examples in Asia include Toyota, Samsung, Tata
and Bridgestone.
Manufacturing Categories
Various categories that than be considered in the manufacturing sector are:-
 Chemical Industry
 Pharmaceuticals
 Construction
 Aerospace Manufacturing
 Tyres
 Automobiles
 Electronics
 Engineering
 Energy
 Industrial Designing
 Metal working
 Textile
 Telecommunications
 Plastics
 Jewellery
 Metal casting
 Food and beverages, etc.
All these industries have requirement for employees with some specific skill set. Also
different departments would also have different skill requirements. The HR function is to
take care of all the aspects possible that might affect the employees.

Human resource management in these industries involves several processes. Together they
are supposed to achieve the above mentioned goal. These processes can be performed in an
HR department, but some tasks can also be outsourced or performed by line-managers or
other departments. When effectively integrated they provide significant economic benefit
to the company.

 Workforce planning
 Recruitment (sometimes separated into attraction and selection)
 Induction, Orientation and On-boarding
 Skills management
 Training and development
 Personnel administration
 Compensation in wage or salary
 Time management
 Travel management (sometimes assigned to accounting rather than HRM)
 Payroll (sometimes assigned to accounting rather than HRM)
 Employee benefits administration
 Personnel cost planning
 Performance appraisal
 Labour relations

We will now discuss some of the above mentioned categories and the HR practices followed
in one of the well known organization in that category.
Chemical Industry
The chemical industry comprises the companies that produce industrial chemicals. It is
central to modern world economy, converting raw materials (oil, natural gas, air, water,
metals and minerals) into more than 70,000 different products.

Polymers and plastics, especially polyethylene, polypropylene, polyvinyl


chloride, polyethylene terephthalate, polystyrene and polycarbonate comprise about 80%
of the industry’s output worldwide. Chemicals are used to make a wide variety of consumer
goods, as well as thousands inputs to agriculture, manufacturing, construction, and service
industries. The chemical industry itself consumes 26 percent of its own output. Major
industrial customers include rubber and plastic products, textiles, apparel, petroleum
refining, pulp and paper, and primary metals. Chemicals is nearly a $3 trillion global
enterprise, and the EU and U.S. chemical companies are the world's largest producers.
The largest corporate producers worldwide, with plants in numerous countries, are BASF,
Dow, Degussa, Eastman Chemical Company, Shell, Bayer, INEOS, ExxonMobil, DuPont,
SABIC, Braskem and Mitsubishi, along with thousands of smaller firms.

Du Pont
DuPont is an American chemical company that was founded in July 1802 as
a gunpowder mill by Eleuthère Irénée du Pont. DuPont is currently the world's second
largest chemical company (behind BASF) in terms of market capitalization and fourth
(behind BASF, Dow Chemical and Ineos) in revenue. Its stock price is a component of
the Dow Jones Industrial Average.

In the 20th century, DuPont led the polymer revolution by developing many highly
successful materials such as Vespel, neoprene, nylon, Corian, Teflon,Mylar, Kevlar,
Zemdrain, M5 fiber, Nomex, Tyvek, Sorona and Lycra. DuPont has also been significantly
involved in the refrigerant industry, developing and producing the Freon (CFCs) series and
later, more environmentally friendly refrigerants. In the paint and pigment industry, it has
created synthetic pigments and paints, such as ChromaFlair.

DuPont is often successful in popularizing the brands of its material products such that
their trademark names become more commonly used than the generic or chemical word/s
for the material itself. One example is “neoprene”, which was intended originally to be a
trademark but quickly came into common usage.

HR Practices at Du Pont

Du Pont encourages its employees to balance their work and personal responsibilities,
through programs like the following:

 Family Leave
 When you need time off to meet changing family responsibilities and respond to
different life events, Family Leave provides options and allows you time away from
work without hurting your career or your benefits coverage. Family Leave is available
to all full-service employees for maternity, paternity, adoption, or placement of a
foster child, or to deal with the serious illness of a parent, spouse or child. This
unpaid leave of absence is in addition to paid time off for disability or vacation.
Benefits continue at the same level as they were prior to the leave, and there is an
option to earn credit for part-time work with service. A commitment to return
employees to the same or similar job of comparable pay and status is part of this
program.

 Guidance Resources
 Guidance Resources helps you manage your work/life responsibilities with practical
advice, useful materials and local referrals. You can obtain personalized and
confidential consultation with experienced counsellors on topics such as:
 Parenting
 Education information and college planning
 Caring for adults, parents and older relatives.
 Caring for yourself
 Career planning

 Flexible Work Practices


 Flexible Work Practices have been designed to help better balance the needs of both
the business and the employee. We encourage the use of Flexible Work Practices
because they can help employees juggle their personal obligations while managers
try to seek a creative and productive means of meeting the business needs. With the
help of your immediate supervisor, a variety of options can be assessed.

 Dependent Care Spending Accounts (DCSA)


 Spending accounts enable you to pay for childcare with pretax dollars. You may
select this benefit yearly by choosing the DCSA option during the annual BeneFlex
change period.

 "Just in Time Care"


 "Just in Time Care" is currently available at selected sites. This emergency/ backup
service links employees to a variety of dependent care options such as in-home
dependent care, drop-in center-based care for children and elders; work-site or
near-site school holiday and snow day care; and center-based sick care.

 Adoption Assistance
 This program is designed to assist employees with the expenses incurred when they
legally adopt a child. Covered expenses include agency fees, legal fees, court costs,
temporary foster care before placement of the child, medical expenses of the birth
mother and medical expenses of the child.

Training and Development


Learning is a continual process in DuPont. As your career progresses, there are opportunities
to enhance your professional and personal skills. A formal process, known as Targeted
Development, helps you and your supervisor in planning your development to meet both
business and personal goals.
DuPont recognizes the effectiveness of experiential learning and values "on-the-job"
training as a primary means of development. The company's collaboration with many
leading universities, research institutions, companies, and industry & professional
organizations also often present unique developmental experiences.

Formal training is another important avenue for gaining new skills. Each business within the
company has ongoing training programs that are designed specifically to maximize the
performance of its employees in meeting business objectives. The DuPont University taps on
the expertise of external training providers and the company's own functional experts to
offer a wide range of courses in areas such as Leadership & Management, Sales &
Marketing, Finance, Manufacturing, Human Resources, Information Technology, Personal
Skills, and Safety & Health.

Other development opportunities include training sessions and seminars presented by


industry or professional organizations. DuPont also offers a program that provides financial
assistance to employees pursuing courses at academic institutions.
Pharmaceutical
The pharmaceutical industry develops, produces, and markets drugs licensed for use
as medications.[1] Pharmaceutical companies can deal in generic and/or brand medications.
They are subject to a variety of laws and regulations regarding the patenting, testing
and marketing of drugs.

Some of the top pharmaceutical companies are:-


 Novartis
 GlaxoSmithKline
 Johnsons & Johnsons
 Pfizer
 Sanofi-Aventis
 AstraZeneca
 Bristol-Myers Squibb
 Boehringer Ingelheim
 Hoffmann–La Roche
 Daiichi Sankyo
 Novo Nordisk
 Procter & Gamble

GlaxoSmithKline
GlaxoSmithKline plc often abbreviated to GSK, is a global pharmaceutical, biologics,
vaccines and consumer healthcare company headquartered in London, United Kingdom. It is
the world's third largest pharmaceutical company measured by revenues (after Johnson &
Johnson and Pfizer). It has a portfolio of products for major disease areas including asthma,
cancer, virus control, infections, mental health, diabetes and digestive conditions It also
has a large consumer healthcare division which produces and markets oral healthcare
products, nutritional drinks and over-the-counter medicines, including Sensodyne, Horlicks
and Gaviscon.

HR Practices at GSK
Here are a few of the ways GSK works with its employees to help them achieve their full
potential, although not all of these initiatives are available in every country in which GSK
operates.

 The GSK Experience


 Career development starts on the first day. This includes career and personal
development planning and "The GSK Experience", an interactive, global induction
programme they provide in the UK and US.

 Performance and Development Planning


 Their global Performance and Development Planning process (PDP) is there to help
employees at all stages of their career. PDP is a powerful tool for matching personal
success to the success of the business. Throughout the year, both the employees and
their manager will work together on this process to set you challenging objectives
and identify career development needs.
 Career Innovation Zone
 Career Innovation Zone is an online resource that employees can access freely at any
time from work or home. It offers a wealth of interactive tools and tips to help them
work out the potential career directions and choices that would be right for them.

 MyLearning
 Employees will also have access to myLearning, its online course catalogue.
myLearning allows employees to work with their manager to create a customised
learning plan and to take advantage of the wide variety of instructor-led and
eLearning courses, including a number of customised Leadership Development
offerings.

 Coaching and feedback


 GSK foster a culture of ongoing coaching and feedback for all employees. A variety of
formal and informal resources are available to help employees, including a 360-
degree feedback process and external coaching. Employees will also be encouraged
to take part in either a formal or informal mentoring relationship.

 On-the-job development
 On-the-job development is part of the way GSK works. Opportunities for "stretch"
assignments, secondments, and access to their cross business job posting database
are a few of the resources available to employees.

Work-life balance
GSK wants all their people to be able to do their best work. And want them to do it in a way
that meets not only the needs of the business but their own personal needs as well.
That's why they take flexible working so seriously. The approach is to support flexible
working arrangements wherever they can make life better for their employees, while
ensuring business needs are met. The Flexible Working Policy, which applies to all their staff,
covers a variety of working patterns, including home working, part-time working, annualised
hours and term-time working. Of course, these kinds of flexible working options are
particularly attractive to parents and care-givers. But reduced or redistributed hours or
home working arrangements can also support people's religious observances, civic duties
and further education commitments, along with a whole host of other interests and
responsibilities outside the workplace.
Electricals and Electronics Industry
The worldwide electrical and electronic and computers industry is the most flourishing and
extremely diversified sector consisting of manufacturers, suppliers, dealers, retailers,
electrical engineers, electricians, electronic equipment manufacturers, and trade unions.
This sector has been growing at a rapid pace with the invention of innovative technologies
and an ever-increasing customer inclination towards electronic goods and services.
The global electrical and electronics sector is highly fragmented, comprising of various
auxiliary sectors namely electronic components, computer and office equipment,
telecommunications, consumer appliances and industrial electronics.

Comprises of various establishments engaged in designing, manufacturing, marketing,


supporting, selling and distributing of broad range of electronic components such as bolts,
clamps, fasteners, rivets, lighting, semi conductor, integrated circuits, microprocessors,
cables and wires, switches, sensors, keyboards, sockets, timing devices, laser modules, solar
devices, test and inspection equipment, scientific and technical instruments etc. US, Japan,
Europe, China, Taiwan, and Hong Kong are the leading markets of electronic components in
the world. Semiconductor sector is the largest and highly profitable sector. The global
semiconductor industry is worth $248 billion, of which China accounts for $ 63 billion. China,
United States and Japan are the largest semiconductor producing countries in the world.

General Electric
The General Electric Company is an American multinational conglomerate corporation
incorporated in the State of New York. The Company operates through five segments:
Energy Infrastructure, Technology Infrastructure, NBC Universal (NBCU), Capital Finance and
Consumer & Industrial. In 2010, Forbes ranked GE as the world's second largest company,
based on a formula that compared the total sales, profits, assets, and market value of
several multinational companies. The company has 304,000 employees around the world.
GE's divisions include GE Capital, GE Energy, GE Technology Infrastructure, NBC
Universal and GE Home & Business Solutions. Through these businesses, GE participates in a
wide variety of markets including the generation, transmission and distribution
of electricity (e.g. nuclear, gas and solar), lighting, industrial automation, medical
imaging equipment, motors, railway locomotives, aircraft jet engines, and aviation services.
It co-owns NBC Universal with Comcast. Through GE Commercial Finance, GE Consumer
Finance, GE Equipment Services, and GE Insurance it offers a range of financial services as
well. It has a presence in over 100 countries.

HR Practices in General Electric


Here are a few of the ways GSK works with its employees to help them achieve their full
potential, although not all of these initiatives are available in every country in which GSK
operates.
 Operating with Integrity
 How we deliver results is as important as the results themselves. GE seeks to lead in
workplace and marketplace integrity by respecting the human rights of everyone
touched by our business, and by enforcing legal and financial compliance.
 These commitments are detailed in our integrity policy, The Spirit & The Letter,
which every employee supports with a signed pledge. They are further enabled by
our ombudsperson process, which encourages any employee to report integrity
concerns without fear of reprisal.

 Rewards and benefits


 GE strives to provide competitive employee benefits packages in the regions and
industries in which we have a presence. Our wide range of employee services,
retirement, health and other benefit plans are designed to help eligible employees
make the best decisions for themselves, their family, and their lifestyle.
 GE offers innovative programs to help our eligible employees gain more value from
their healthcare benefits. Through HealthAhead, GE has further committed to
improve the health of our employees and their families by creating a 'culture of
health' which will deliver onsite and on-line programs, education, tools and services.
We have also developed a global, industry-leading site certification program that will
recognize excellence in worksite health.

 Learning and leadership


 GE believes in developing the talent of new employees with programs designed to
give in-depth experience and build skills that are crucial to our long-term success.
Our heritage is built on continuous learning, which is why we invest more than $1
billion annually in training and education offerings. In addition to the GE Global
Learning Program, employees can take advantage of tuition reimbursement benefits
to help improve their skills, grow their career, or get a loan to help pay for their
family's higher education.

 Diversity and inclusiveness


 As a global company with operations in more than 100 countries, diversity isn't
merely a noble idea — it's the reflection of our business. Every day, GE works to
ensure that all employees, no matter where they are located in the world and no
matter where they come from, have an opportunity to contribute and succeed.
 One of the key ways for encouraging dialogue and progress in our diversity efforts
are GE's affinity networks and employee groups:
 African American Forum
 Asian Pacific American Forum
 Gay, Lesbian, Bisexual, Transgender and Ally Alliance
 Hispanic Forum
 Veterans Network
 Women's Network

Work and Life Balance


Naturally, the passion that our people bring to their work extends to their own private
worlds, and GE is committed to enabling a healthy balance between the two. GE encourages
our people to meet their work commitments while balancing their own life responsibilities.
To support this balance, flexible work arrangements are an integral part of the way we
conduct business. The Company also offers many programs and resources to support
employees including financial management, family counselling and more.
Steel Industry
Steel, the recycled material is one of the top products in the manufacturing sector of the
world.
The Asian countries have their respective dominance in the production of the steel all over
the world. India being one among the fastest growing economies of the world has been
considered as one of the potential global steel hub internationally. Over the years,
particularly after the adoption of the liberalization policies all over the world, the World
steel industry is growing very fast.
Steel Industry is a booming industry in the whole world. The increasing demand for it was
mainly generated by the development projects that have been going on along the world,
especially the infrastructural works and real-estate projects that has been on the boom
around the developing countries. Steel Industry was till recently dominated by the United
States of America but this scenario is changing with a rapid pace with the Indian
steel companies on an acquisition spree.

TATA Steel
Tata Steel formerly known as TISCO and Tata Iron and Steel Company Limited is the world's
seventh largest steel company, with an annual crude steel capacity of 31 million tonnes. It is
the largest private sector steel company in India in terms of domestic production. Ranked
258th on Fortune Global 500, it is based in Jamshedpur, Jharkhand, India. It is part of Tata
Group of companies. Tata Steel is also India's second-largest and second-most profitable
company in private sector with consolidated revenues of 132,110 crore (US$29.72
billion) and net profit of over 12,350 crore (US$2.78 billion) during the year ended March
31, 2008.
Its main plant is located in Jamshedpur, Jharkhand, with its recent acquisitions; the company
has become a multinational with operations in various countries. The Jamshedpur plant
contains the DCS supplied by Honeywell. The registered office of Tata Steel is in Mumbai.
The company was also recognized as the world's best steel producer by World Steel
Dynamics in 2005. The company is listed on Bombay Stock Exchange and National Stock
Exchange of India, and employs about 82,700 people (as of 2007).

HR Practices in TATA Steel


At Tata Steel, there is a continuous effort of staying in touch with employees to ensure that
there is the right culture to engage them in consistent performance improvement. There are
well-established and effective arrangements at each business location for transparent
communication and consultation with Works Councils and Trade Union representatives.
Further, the Company has always registered steady quality improvement and productivity
enhancement through dedicated efforts of the Company’s Performance Improvement
teams, focused on technical best practice transfer and the value of knowledge networks.

Towards the well-being of employees Tata Steel has put into practice many initiatives,
events and programmes that have helped to create not only an enduring loyalty amongst
employees but also enabled them to have a more fulfilled life.
 Special Benefits provided for Employees
 Medical facilities: Free medical facilities for employees and their family, which
continues even after retirement.
 Housing facilities: Subsidised electricity, water and housing facilities to all
employees.
 Higher studies: Monetary incentives to employees acquiring higher qualifications in
a related field along with study leave, scholarships etc. when necessary.
 Holiday Homes: Tata Steel has five holiday homes for benefit of employees during
vacation.
 Tata Steel Officers’ Beach Club: All officers of Tata Steel are eligible to be members
of the Beach Club that offers holidays in elite hospitality chains.
 Family Benefit Scheme: In the tragic case of a fatality in the Works, a monthly
pension equal to the amount of the last drawn salary of the deceased is given to
the legal heir until the time the deceased would have attained the age of 60.

 Developing People
Valuing its people as a great asset, Tata Steel is committed to their development,
both in order to benefit the individual and to benefit the Company through
increased knowledge and skills. In order to leverage maximum potential of human
resource to achieve business objectives the Company recognises that enrichment of
people will help retain a motivated workforce in a competitive environment.

 Skills Development - Non-officers


 Skill training is a process that begins at the time of an employee joining the company
and continues throughout his or her career. Employees work in clusters of multi-
skilled workers and move across and within clusters on improving their skills levels.
The Technical Training Institute imparts vocational and basic skills training; the
departments impart on-the-job training.
In order to promote self-directed learning, the Company has introduced e-learning
whereby employees can access electronic courses from their departmental e-
Learning centres.
 Skills Development – Officers
Tata Steel Management Development Centre conducts a number of managerial and
functional competency based programmes for officers and supervisors. The
objectives of these programmes are:
 To build individual capability by enhancing managerial and functional competencies
which are critical to operations, service and support functions.
 To build a leadership pipeline in the organisation to prepare the people to meet the
challenges of growth, globalisation and change.

 Equal Opportunities Practices


 Tata Steel is an equal opportunity employer and does not discriminate on the basis
of race, caste, religion, colour, ancestry, marital status, sex, age or nationality. The
Company’s Affirmative Action Policy promotes equal access to its employment and
opportunities and all decisions are merit based. Respect for equal opportunities as
set out in the Tata Code of Conduct is followed. The HR Policy and Affirmative Action
Policy are monitored by the Ethics Counsellor and supported by an effective
grievance redressal mechanism.
Tata Steel encourages female employees to advance their career with initiatives
dedicated towards personal development and professional advancement. The
Women Empowerment Cell examines and addresses the issues and concerns of
female employees and ensures that they do not miss out on any growth opportunity.

 Freedom of association and collective bargaining


 Tata Steel respects the employees’ right to exercise freedom of association and
collective bargaining and provides appropriate support for this. There is an
established system of joint working and collective bargaining, which ensures that
every employee is able to exercise this right without any fear. Pioneering the
concept in India, a system of Joint Consultation has been in place in Tata Steel for
more than 50 years.
Heavy Machinery Industry
Heavy industry does not have a single fixed meaning as compared to light industry. It can
mean production of products which are either heavy in weight or in the processes leading to
their production. In general, it is a popular term used within the name of many Japanese
and Korean firms, meaning 'construction' for big projects. Example projects include the
construction of large buildings, Nuclear Power Plants, Thermal Power Plants, chemical
plants, the H-IIA rocket and also includes the production of construction equipment such as
cranes and bulldozers. Alternatively, heavy industry projects can be generalized as
more capital intensive or as requiring greater or more advanced resources, facilities or
management.

BHEL
Bharat Heavy Electricals Limited (BHEL) is one of the oldest and largest state-
owned engineering and manufacturing enterprise in India in the energy-related and
infrastructure sector which includes Power, Railways, Telecom, Transmission and
Distribution, Oil and Gas sectors and many more. It is the 12th largest power equipment
manufacturer in the world. BHEL was established more than 50 years ago, ushering in the
indigenous Heavy Electrical Equipment industry in India. The company has been earning
profits continuously since 1971-72 and paying dividends since 1976-77. 73% of the total
power generated in India is produced by equipment manufactured by BHEL. It is one of
India's nine largest Public Sector Undertakings or PSUs, known as the Navratnas or 'the nine
jewels'.

HR Practices at BHEL

 People focus
 At BHEL, professional attitude and efficiency of work effort is what one believes in.
The organization maintains a judicious balance between the interests of its clients &
employees and that of its own. BHEL exceeds everyone’s expectations through its
efficiency driven processes and teams of committed professionals. Integrity forms
the heart of the organization and is upheld under all circumstances. It maintains high
standards in all its endeavours and undertakings to ensure a world class service to all
its clients. Employees at BHEL are motivated to work as a team and guide one
another, whenever and wherever the need exists

 Environment
 At BHEL, professional attitude and efficiency of work effort is what one believes in.
The organization maintains a judicious balance between the interests of its clients &
employees and that of its own. BHEL exceeds everyone’s expectations through its
efficiency driven processes and teams of committed professionals. Integrity forms
the heart of the organization and is upheld under all circumstances. It maintains high
standards in all its endeavours and undertakings to ensure a world class service to all
its clients. Employees at BHEL are motivated to work as a team and guide one
another, whenever and wherever the need exists
 Learning and Development
 At BHEL, we believe in keeping our talent pool updated with the latest of the
Industry. Hence we mentor and train them to develop their abilities and enhance
their existing knowledge and upgrade it to the next level. Thanks to our Learning and
Development endeavour, we have:
 A motivated pool of Employees who deliver efficiently and effectively.
 A senior leadership that characterizes and drives the growth and profitability
 A customer focused work environment
 Processes that are aligned to business goals and objectives.

 Work Culture
BHEL’s work culture encourages transparent channels of communication, open work
environment, teamwork, and respect for new ideas and thoughts. New inductees are
always encouraged to voice their ideas by their seniors. Peers facilitate the strength
through their undying support and encouragement. BHEL is the place where there is
an occasion to celebrate every single day. Employees are treated like family
members and it is made sure that support is extended to all those who require it.

Employees speak for BHEL


 Ashok Bhatnagar (IIT Roorkee) - GM, Corporate Information Technology
 "I graduated as Electrical Engineer from IIT Roorkee in 1975 and joined BHEL as
Engineer Trainee at Haridwar Plant. I grew with the organisation, developing
knowledge at various levels of Electrical Design group of large AC motors. After a 14
year stint at BHEL, I took study leave to do M.Tech in Computer Science and
Technology. I joined back Haridwar in its Application Specific IC (ASIC) design group,
where I worked extensively as head of CAE and CAD group. In all my years spent at
BHEL, each day has been more inspiring than the last and has enriched me in more
ways than one."

 Rajiv Garg (BITS Pilani) - GM (Enterprise Resource Planning)


 "After completing my graduation from BITS Pilani, I joined BHEL in 1978 year. During
my tenure at BHEL, I have been exposed to multiple areas of learning and my
knowledge has always been elevated to the next level at all junctures. It has been a
very enriching and fruitful journey with BHEL. My seniors always encouraged me to
try my hands at new ideas and peers were extremely supportive and helpful in all my
endeavours. I have passed on the same culture to my juniors with the hope of
making the BHEL journey for all a productive one."

 Rajiv Bhatnagar (DCE) - AGM(HR), Corporate Office


 "My journey in BHEL has been momentous. The 26 years of service in BHEL has
transformed me from a Civil Engineer to a Power Engineer to an HR executive. It has
provided me with ample opportunities to be continually in a learning mode by not
only engaging me in challenging tasks but also by sponsoring for higher studies.
Working here feels like creating assets for the nation and contributing to the
mankind. I take pride in giving credit to our company for everything that I am worth
today in my life."
 Ritesh Yadav (FMS) - Deputy Manager, Mergers & Acquisitions
 "Its been a great experience working with BHEL - A perfect career launching pad. The
global exposure w.r.t the customers, suppliers, technology has been amazingly good.
After completing my BE (Comp. Science Engineering) in 1999, I was youngest in my
Batch (21) to join the great company as Engineer Trainee in 2000. In almost a decade
of great experience at BHEL, I worked in Power Sector-IT on cutting edge IT
technologies like MPLS etc and gained invaluable experience in Information Security
arena wherein got enormous exposure to implement and audit pan-BHEL
Information Security Management Systems. My long cherished dream came true
when I got a chance to pursue MBA in 2004 from FMS Delhi, one of the premier B-
Schools of India. Now I am Deputy Manager/Mergers & Acquisitions and working at
Corporate Office, New Delhi. Truly speaking BHEL provides such an immense work &
job satisfaction that rarely people think to leave it. At Mergers & Acquisitions, I am
able to apply business acumen gained by my MBA and strong foundation of
technology acquired during my experience in BHEL. In a nut shell I enjoy coming to
office every day & It’s a Great Company to work for."

 Gaurav Kumar Rusia(IIT Roorkee) - Advanced Research Projects Division,


 "Unlike many other public sector companies in India, BHEL has been a strong
competitor right from its inception and has delivered gloriously in the past 50 Years.
It has given me the platform to build myself, take the challenges and perform
successfully. The people here encourage you to experiment new ideas without
fearing the possibility of failure."

 Brajesh S. (IIT Delhi) - Advanced Research Projects Division


 "Working at BHEL gives me immense feeling of satisfaction, happiness and joy of
work. People here are very co-operative & knowledgable. For me, it’s been a place
where we learn lots of things which link our engineering knowledge with the
practical environment. Most of the power plant equipment which we learn about
during our engineering days can be seen at BHEL. Its a moment of pride when
components designed by us are put to real use for producing electricity to light up
the homes in villages and Corporate Information Technologies spread across the
country. This pleasure is the epitome of all and can't be equated to anything."

 Piyush Gupta (IIT Guwahati) - Advanced Research Projects Division,


 "I feel great pleasure & pride in working for India's largest PSU. A lot of opportunities
are available to learn & to work simultaneously. Grooming of Executives is carried
out very exhaustively and in a very effective manner. I remember the statement of
SDGM from my Corporate Information Technology Training at EDN Bangalore. The
treatment and humility, we get from our seniors will be transferred by us to our
juniors. Though, BHEL is my 5th company & the experience I have gained here in 6
years has been more than satisfactory with respect to economical, social & technical
platform."
Recommendations

 Safe, Healthy and Happy Workplace


 Creating a safe, healthy and happy workplace will ensure that your employees feel
homely and stay with your organization for a very long time. Capture their pulse
through employee surveys.

 Open Book Management Style


 Sharing information about contracts, sales, new clients, management objectives,
company policies, employee personal data etc. ensures that the employees are as
enthusiastic about the business as the management. Through this open book process
you can gradually create a culture of participative management and ignite the
creative endeavor of your work force.. It involves making people an interested party
to your strategic decisions, thus aligning them to your business objectives. Be as
open as you can. It helps in building trust & motivates employees. Employee self
service portal, Manager on-line etc. are the tools available today to the management
to practice this style.

 Performance linked Bonuses


 Paying out bonuses or having any kind of variable compensation plan can be both an
incentive and disillusionment, based on how it is administered and communicated.
Bonus must be designed in such a way that people understand that there is no
payout unless the company hits a certain level of profitability. Additional criteria
could be the team's success and the individual's performance. Never pay out bonus
without measuring performance, unless it is a statutory obligation.

 360 Degree Performance Management Feedback System


 This system, which solicits feedback from seniors (including the boss), peers and
subordinates, has been increasingly embraced as the best of all available methods
for collecting performance feedback. Gone are the days of working hard to impress
only one person, now the opinions of all matter, especially if you are in a leadership
role (at any level). Every person in the team is responsible for giving relevant,
positive and constructive feedback. Such systems also help in identifying leaders for
higher level positions in the organization. Senior managers could use this feedback
for self development.

 Fair Evaluation System for Employees


 Develop an evaluation system that clearly links individual performance to corporate
business goals and priorities. Each employee should have well defined reporting
relationships. Self rating as a part of evaluation process empowers employees.
Evaluation becomes fairer if it is based on the records of periodic counselling &
achievements of the employee, tracked over the year. For higher objectivity, besides
the immediate boss, each employee should be screened by the next higher level
(often called a Reviewer). Cross - functional feedback, if obtained by the immediate
boss from another manager (for whom this employee's work is also important), will
add to the fairness of the system. Relative ratings of all subordinates reporting to the
same manager are another tool for fairness of evaluation. Normalization of
evaluation is yet another dimension of improving fairness.
 Knowledge Sharing
 Adopt a systematic approach to ensure that knowledge management supports
strategy. Store knowledge in databases to provide greater access to information
posted either by the company or the employees on the knowledge portals of the
company. When an employee returns after attending any competencies or skills
development program, sharing essential knowledge with others could be made
mandatory. Innovative ideas (implemented at the work place) are good to be posted
on these knowledge sharing platforms. However, what to store & how to maintain a
Knowledge base requires deep thinking to avoid clutter.

 Highlight performers
 Create profiles of top performers and make these visible though company intranet,
display boards etc. It will encourage others to put in their best, thereby creating a
competitive environment within the company. If a systems approach is followed to
shortlist high performers, you can surely avoid disgruntlements.

 Open house discussions and feedback mechanism


 Ideas rule the world. Great organizations recognize, nurture and execute great ideas.
Employees are the biggest source of ideas. The only thing that can stop great ideas
flooding your organization is the lack of an appropriate mechanism to capture ideas.
Open house discussions, employee-management meets, suggestion boxes and ideas
capture tools such as Critical Incidents diaries are the building blocks that can help
the Managers to identify & develop talent.

 Reward Ceremonies
 Merely recognizing talent does not work, you need to couple it with ceremonies
where recognition is broadcast. Looking at the Dollar Check is often less significant
than listening to the thunderous applause by colleagues in a public forum.

 Delight Employees with the Unexpected


 The last but not least way is to occasionally delight your employees with unexpected
things that may come in the form of a reward, a gift or a well-done certificate.
Reward not only the top performers but also a few others who are in need of
motivation to exhibit their potential.
References

 Human Resource Management by Gary Dessler and Biju Varkkey.


 www.ge.com
 www.tatasteel.com
 www.bhel.com
 www.dupont.com
 www.gsk.com
 www.google.com
 www.tcl.com
 www.wiki.com

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