Training & Development leads to

Sustainable development in MNC

subsidiaries in India

Authors:
Dr. Fehmina Khalique
Dr. Poornima Madan
Ms. Geetika Puri
 INTRODUCTION
HR policies and practices are the backbone of
success for leading Multi National Corporations
(MNCs)
It is a daunting task for HR managers to implement
these policies and practices across geographies
Training and development (T&D) plays a critical role
in successful implementation of these policies and
practices at global level
T&D forms an integral part of HR practices and
leads to improvement in the skill-set of employees
thereby aligning the Sustainable development goals
(SDG) with organisational strategies.
 RESEARCH OBJECTIVES

To identify innovative T& D practices

carried out by MNC subsidiaries in India.
To find out the sustainability
development practices implemented in
the MNCs.
To find out the factors influencing T& D
in the MNC subsidiaries.
 LITERATURE REVIEW
 MNCs put their stake in T&D for better output and to
gain competitive advantage (Holden, 1991) and tailor
T&D programmes in order to build a positive
perception of the MNC for its employees (Wong et al.,
2001)
 In the context of sustainable development of
organisations Kola (2013) concludes in his research
that there is an opportunity to integrate and orientate
sustainability practices in developing executives;
training and development processes are appropriate
mechanisms that enhances corporate sustainability.
 Jithendran and Baum (2000) asserted that effective
HRM practices leads to sustainability. Also,
development of resources and preservation of
environment at local as well as global level comes
under the purview of HR development.
 RESEARCH METHODOLOGY
The study focuses on the 8 IT/ITeS foreign MNC
subsidiaries located in NCR, mainly Gurgaon and
Noida .
Research Tools for data collection and
Analysis
 Secondary Data: HR manuals and annual
reports have been collected from Company
websites and scanned for relevant information.
The data has been presented in the form of
caselets in the research paper that encapsulates
the T&D practices and sustainable development
initiatives.
 Primary Data: self-report questionnaire with a
targeted sample of 350 (N=270). Independent
variables (education, age, years of establishment
and size of the company) have been identified
 INNOVATIVE T& D PRACTICES
 The T&D programme at Alpha computers, USA help
employees to discover career opportunities, plan a
course of action and maintain their progress as they
move ahead in their professional path.
 At BizCom, USA the new candidates on board are
provided with a dashboard on HR intranet. The
dashboard helps the new employees to sign in or
update their LinkedIn profile, get to know their
colleagues and line of reporting, training programmes,
and meeting schedules.
 At CompuSoft USA through its online interactive
channel of “Infopedia” the company provides training
about its line of products, competitors, requirement of
training, schedule of training and recommended
training.
 The unique “Leadership curriculum” at Gentech
 SUSTAINABLE DEVELOPMENT
GOALS (SDG)
The policy at Globe system regarding sustainability is
to develop the ability to measure and reduce all Scope 3
emissions by working with their suppliers, encouraging
employees to commit to public transportation and zero-
carbon commuting and to reduce employee travel
through programmes like ‘Skip a Trip: use Connect (or
digital meetings) instead’.
At Quantum Electronics about 10,000 employees
attended leadership trainings and trained 8,700
additional employees on Lean methodology in 2017. The
company also achieved the milestone of 500,000
trainees in 26 countries during the year. Moreover,
100,000 students participated in the Foundation’s
Informatics and Computer Basics classes.
 SUSTAINABLE DEVELOPMENT
GOALS (SDG)
At SpectraNet, the company fulfills the social goals
in alignment with the United Nations SDGs the 2030
agenda of the United Nations for Sustainable
Development through balanced workforce diversity
and workplace safety for its employees.
WebLogic is committed towards inclusion and
workforce diversity and has dedicated internal
resources who volunteer to lead the CSR activities in
their Indian subsidiary. Through the Weblogic
foundation created for CSR activities, the employees
can participate in several programs designed to
strengthen the communities where they work and
live.
 T&D AT MNC
SUBSIDIARIES
84.8 percent executives have attended training programmes.
Development programmes are also carried in MNCs (93.6 percent
executives report).
The training needs are determined by the immediate supervisor
(64.7 percent ) followed by HR department (32.2 percent).
77.2 percent of executives have undergone training for a week or
less. In contrast, only 22.8 percent of executives in the MNCs have
undergone training for duration of more than a week.
The training programmes held for the executives were held in the
subsidiary location itself (in India) confirmed by 99.5 percent.
Larger the size of the company, the longer is the duration of the
training programme (C = 0.260; χ 2 = 13.248; df = 4; p<0.010).
Employee development programme is carried out extensively in
very large companies as compared with small companies ce (C =
0.415; χ 2 = 48.828; df = 4; p < 0.0001).
Average aged executives are the ones who undergo employee
development programme more often than any other age group (C =
0.248; χ 2 = 16.366; df = 4; p < 0.003)
 CONCLUSION
Best HR practices in terms of T & D are
followed at subsidiaries under study, some
of them innovative and unique.
T & D helps in aligning the subsidiaries with
the SDG laid down by the UN.
There are various factors like age of the
MNC, size of the MNC, age of the executives
etc. that influence the T & D programme.
Organisations investing in T&D help build a
competitive workforce.
 IMPLICATIONS OF THE
STUDY
The study would help the HR managers to
design T&D pragrammes aligned with SDGs that
would help them gain competitive advantage.
European and North American MNCs in India
best T&D practices along with SDG which
deserves to be adapted and adopted by
indigenous corporates.
HR policies and practices in general and T& D in
particular derived from Fortune 500 companies
becomes a benchmark for other start-ups or
new companies.
 REFERENCES
Helen M. Haugh and Alka Talwar(2010). ‘Sustainability in
Management Education’. Academy of Management Learning &
Education . 9(3), 384-396
Holden, L. (1991) ‘European trends in training and
development’, International Journal of Human Resource
Management, 2(2), 113-131.
Jithendran, K. J., & Baum, T. (2000). ‘Human resources
development and sustainability—The case of Indian
tourism’. International Journal of Tourism Research, 2(6), 403-421.
Kola-Olusanya, A. (2013). ‘Embedding Environmental Sustainability
Competencies in Human Capital Training and
Development’. Mediterranean Journal of Social Sciences, 4(4), 65.
Wong, C. S., Wong, Y. T., Hui, C., & Law, K. S. (2001) ‘The significant
role of Chinese employees’ organizational commitment:
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of World Business, 36(3), 326-340.
THANK YOU