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Honda Motorcycles and Scooters India LTD

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By Group 7 4/10/12

HMCL Producer of scooters & motorcycles The Honda way Good HR policies
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P E S T L E
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Companys management lobbying with government Support of union leaders affiliated to AITUC Wages raise dispute Arbitration by Haryana Chief Minister Government regulations on labor wages

Media coverage of the labor unrest Language and cultural barriers between Indians and Japanese Post Fordist production system

Police intervention

Gheraoing of management by workers Non compliance of HR policies by Indian management

ISSUES WITH HUMAN RESOURCE MANAGEMENT


Egoistic management Lack of communication Language and cultural barriers Arrogant VP misbehaving Disrespect of religion Use of coercive power Objection to formation of union Lack of skilled industrial relation personnel Payment of ex-gratia is refused
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UNPOPULAR HR POLICIES

Movement restrictions Overstay policy Reluctance in granting leave Strict in offering flexible working hours

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ISSUE WITH WORKERS

Gheraoing of management by workers Unreasonable demands Slow-down production & refuse overtime
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AND SITUATION GOT WORSE...


Workers refused hike in monthly pay Management against union Intervention by AITUC chief and MP Conciliation failure Management denied entry to workers Stone throwing by masked men Police brutality against qorkers Truce after arbitration by Haryana CM

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POST VIOLENCE SCENARIO


More cooperation between employees and mgt Increased Monetary Benefits Monitoring of Management- employee relations Scrapping of overtime Recognition of employees by management Inclusion of workers families Feeling of ownership by workers Celebration of achievements 4/10/12

CEOS CONCERN

Undo the bitter feelings amongst workers. - Change in culture Restore companys image Decision whether to expand production capacity
4/10/12 Maintain and Enhance productivity

ROAD AHEAD FOR HONDA

TIME FOR CULTURAL CHANGE!! Culture needs to change from control to collaboration Better trained managers
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CREATING HIGH PERFORMANCE TEAMS

Need to make small teams A common purpose A common goal 4/10/12

CREATING HIGH PERFORMANCE TEAMS

Common working approach Mutual accountability Teams with complementary skills 4/10/12 `

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4/10/12