emprical evaluation of hrm in construction

8/4/2019 Emprical Evaluation of HRM in Construction

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Contents

Introduction

L&T

Gammon

Face to Face - L&T and Gammon (HRMISSUES)

Conclusion

Reference



INTRODUCTION

“Infrastructure does not create economic

potential, only develop it whereappropriate condition exist”

It contribute to raising the quality of lifeby creating amenities, providingconsumption goods and contributing to

macroeconomic stability



L & T Larsen & Toubro Limited (L&T) is a technology,

engineering, construction and manufacturingcompany. It is one of the largest and mostrespected companies in India's private sector.

ECC – the Engineering Construction andContracts Division of L&T is India‟s largestconstruction organization with over 60 years ofexperience and expertise in the field.

ECC figures among the World‟s Top Contractorsand ranks 35th among top global contractors and60th among international contractors as per thesurvey conducted by Engineering News Recordmagazine, USA (August 2008).



ECC today is organized in to four Operating

Companies to allow for more in-depthtechnology and business development as wellas to focus attention on domestic andinternational project execution.

Each Operating Company is further split intodifferent Business Units (BUs) to take care ofthe specific needs of various customers. TheOperating Companies (OC) includes:

Buildings & Factories Operating Company (B&F OC) Infrastructure (Infra OC) Metallurgical, Material Handling & Water (MMH &W

OC)

Electrical & Gulf Projects (E&GP OC)



GAMMON GAMMON originated from a construction businessfounded in India in 1919 by John C. Gammon.

Several branches spread across Asia, the Middle Eastand Africa.

In 1958, it decided to establish a permanent presence

in Hong Kong, thus company was formed as GammonConstruction Limited ("Gammon").

Jardine Matheson Group and Balfour Beatty are twoshare holder of GAMMON Construction Ltd.

Gammon Construction Limited was formerly known asGammon Skanska Limited. Gammon ConstructionLimited was founded in 1958 and is based in HongKong.

Gammon Construction Limited provides constructionservices in Asia. It develops, builds, and servicesphysical infrastructure projects for living, working, and

traveling.



MISSION

“To build for a better quality of life

and living environment in a safe and

sustainable manner”.

With local presence, but global

strength



Health and Safety

We promote construction safety to astandard of „Zero Harm‟ in the

workplace, and for those affected by ourworks. Our targets by the end of 2012are:

Zero fatalities

Zero permanently disabling injuries

Zero injuries to members of the public



The company offers construction services for arange of project types, including commercial andresidential properties, industrial facilities, M&E

and rail, ports, roads, bridges, tunnels, andwater and wastewater plants.

Its service ranges over the full project life-cyclefrom initial site survey and design throughconstruction to commissioning and ongoing

maintenance.

Notable Projects in Singapore

• Institute of Technical Education (ITE) College WestCampus, Singapore• Upgrading of Woodsville Interchange, Singapore• Chinatown Station and Associated Tunnels and Downtown

Line, Singapore• Bukit Panjang LRT



HRM Policies in Gammon

Recruitment○ It employs 50% of Diploma Holders in Specific

Construction works

○ From Top Leading Universities

Training○ It is mandatory that on Thursday, between 12 -

1.15 am orientation Program for top level to

lower level of management is provided○ Specific on-job Training is also provided

Pay Scale○ Skilled & Unskilled Workers



Recreation Facilities○ Gammon Staff Recreation Club (GSRC) – It is

Self-managed by employees

○ Gammon would provide Fund to theemployees

○ The GSRC Club is opened only on Sunday

Ex : Dragon Boat Team for Basket Ball

Appraisal○ Performance Management System

○ Face to Face

○ Written Agreement

○ Once in a year

Non-Monetary Benefits○ Free Medical Claim

○Petrol Allowance



Decision Making

○ Day to Day decisions made my the Middle Level

Managers○ Major Decision such as Business Expansions,Investments are made by Exco-community

○ Exco community consists of :Executive Directors of 5 main Branches

CEOCFO

Labor Union○ Labor union & Trade union is present but it is not

active

○ Ex:Building Construction & Timber IndustriesEmployees' Union (BATU) – Singapore

Termination of Employees○ Dismissal is done by Senior staff and it is

executed by HR Managers



Unique HR Policies

For Lower Level Employees :

○ Safety Measures called as PersonalProtective Measures

○ Morning Exercises○ Morning Fruits (Friday in a week)

○ Afternoon 3 am - Sweetened Drinks(Everyday)

Every Sunday is holiday and alternativeSaturday is holiday

Near Miss Reporting System



HRM Policies in L&T

Height Allowances

Motivation

Recreation Facilities

Trade Union

Training○ Middle Level Managers being sent to IIM‟s

○ Top Level Managers being sent to IIM A only

HRM POLICIES G L&T



HRM POLICIES Gammon L&T

Labor Union Not Active Active

Motivation Giving more work Load Class Room Training

Strategy Build-Operate-Transfer Build-Operate-Transfer-Maintains

Recruitment 50% Diploma Holders Engineering

Superior-Subordinate

Relationship

Open Door Policy Close Door Policy

Apprentice Scheme This scheme is for Non-graduate recruits

They don‟t follow such

scheme

Incentives More Emphasis on

Monetary Benefits

More Emphasis on Non-

Monetary Benefits

Culture Rigid Adaptive



Recommendation -Gammon Giving more emphasis to HR

Department

Retirement Benefits Ex: Pensions

Acquiring Retired Employees asConsultants

To Motivate employees to perform well,instead of giving them more work to gainconfidence

Staff Development Program



Recommendation – L&T

Open Door Policy, so it strengthensuperior-subordinate relationship

Providing personal protective

equipments

Giving opportunity to foreman, workersso that collective decision making is

done To Adopt Near miss reporting system



Conclusion

To survive in the market, constructioncompanies are eliminating HR department‟s cost and delegating the related tasks of thesame to other departments.

But it is not so, the humanresource planning in the decision makingprocess ensures that enough competentpeople with appropriate skills can be able to

perform jobs where and when they will beneeded. It defines the organization's need andassessing the available pool of people todetermine the best fit. Thus Human ResourcePlanning in Construction Industry will always

work if implemented constructively.



References

Direct Interview withMr.Sundaram,Project ManagerGammon, Singapore

www.gammonconstruction.com

Direct Interview withMr.Chockalingam,General Manager

Southern Region,ECC Division, India www.lntecc.com

emprical evaluation of hrm in construction

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