hr manual single

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Industry Icons say ….

"Take our 20 best people and virtually overnight we become a mediocrecompany." - Bill Gates, Microsoft

"If we don't get the people thing right, we lose; it is the most importantthing in all our businesses."- Jack Welch, General Electric

"Take my assets, leave my people, and in five years I will have it all back."- Alfred Sloan, General Motors Corporation

"Respect is important. What gets respect is living a set of values, creatingvalue for customers, building an organization people feel excited to workfor, consistent performance and being a good citizen."- Azim H. Premji, Chairman, Wipro

HR Manual Single.qxp 6/22/2006 2:23 AM

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Dear Partners,

Being an entrepreneur yourself, I am sure you will recognise the immensevalue of human potential and the role of a strong team in businesses andcorporations in today's challenging and competitive era ofcommercialization and globalization.

We have attempted to compile a user-friendly HR Policy Manual for yourreference and use which would help you design and define a HR frameworkand policies for creating an engaged and high performing workforce.

Organizations aspiring to be big & profitable invest in strong peoplepractices, that help in the creation of a healthy work culture, which attractsand retains good performers, who inturn contribute towards organizationalgrowth and success, thus see their career aspirations grow along with theorganization.

In the new context of delivering business, people management starts rightfrom the time of interviewing the candidate (do we check Attitude?),placing him the right role and empowering him to focus his hiddenstrengths in leveraging business opportunities. In doing so, we discoverthat there is a tremendous inner capability to stretch targets towardsachieving outstanding goals and the immense power of team work.

Commensurate with achievement, it has also become necessary to explorepay options that reward performance and overall contribution, which bringsabout not only continuous improvement but also excites the entire teamtowards reaching the stretch goals. In a scenario such as this, peerpressure is also exerted to ensure that every employee participates inreaching the goal, as everyone has a stake in the final result

Our business is based on relationships. 60% customers who decide to buy4 wheelers take recommendation about product or a dealership from afriend, relative, mechanic, and user. Relationships …. Or what we call"Rishta" are also built with individuals working for our dealerships,Rishtedaars feel comfortable interacting with a known employee.Interacting with a different or an unknown face during each visit does notcreate a lasting impression in our Rishtedaar's mind, especially at ourservice centers where Rishtedaar’s are likely to visit for at least 3 to 4years to maintain his vehicle.

Identifying an oustanding performer depends greatly on your recruitmentprocess, however retaining him/her depends purely on the overall businessculture of your dealership.

Policy notes provided in this manual are mandated by M & M Auto Sectorand it is expected of you to honour the same

We feel that each one of you are much better placed to set benchmarks incustomer handling, provided you have performing and long servingemployees, so all the best to you in your endeavors.

Best Regards

Rajesh Jejurikar

Executive Vice President Customer Management

Automotive Sector, Mahindra & Mahindra Ltd.


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CONTENTS

Dealership Business

• Who is a Dealer Principal 09

• What is an Automobile Dealership 10

• Dealership Business Model 11

Manpower Planning

• Organisation structures 18

• Employee Categories- Bands and designations 23

• Job Descriptions 27

• Recruitment Process 55

• Induction Process 75

Reward Management

• Compensation Structure 79

• Reward and Recognition 83

• Incentive Plans 84

Performance Management System

• Objective Setting 94

• Review/Feedback Mechanism 96

Training and Coaching

• Importance of Training 104

• Training Need Identification 106

• Training Calendar 106

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Separation Process

• Exit Interview 111

Employee Handbook

• Introduction 119

• Employment Policies and Procedures 120

• Employee Benefits 123

• Health and Safety Policies 124

Looking Back

• From the desk of Mr. Prince Augustin 127

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Seperator1


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Dealership BusinessThis section covers the following:

Who is a Dealer Principal?

What is an Automobile Dealership?

Dealership Business Model

Who is a Dealer Principal?

A Dealer Principal is an individual who seeks to engage with the automobileindustry and leverage the gains of investing in it. They are entrepreneurswho display the ability to foresee the bright future of the Indian automobileindustry which is still in a nascent stage in comparison to other Asian,European and American countries. These are individuals who have the willto take the necessary risks and have a strong self-belief of making it asuccess based on (but not limited to) following few presumptions;

• The Indian economy will grow minimum at 8% hence also business

• The car/ thousand population in India is a mere 7 (China 14, USA550,Brazil 170, South Africa 200)

• The prediction that 1.3 billion 4 wheelers will be sold in India per yearfrom year 2030 from a level of 1 million now.

• The road infrastructure today is just 3.3 million kms and expected todouble till 2020.

• Cities are spreading far and wide and this will increase usage of 4wheelers

• Finance availability will continue to soften in lines with other developedmarkets.

• Corporate India will continue to perform profitably with growth inindustries

• Consumerism in life style will grow

• 4 wheelers are the key expression of growth in lifestyle

Thus it would be appropriate to say that these individuals like to challengethemselves on making a success of this business, aiming to gainrecognition for himself/herself as an individual and creating a strong brandfor the dealership organization.

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What is an automobile Dealership?

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Credit?

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All the responses clarify that a dealership is thus many things in one. Andall the above components should be available in the right order to enabledealer to realize its full potential. There is yet another aspect of what aDealership stands for...and that is...

CREATION OF PROFITS!

Profit is the end; all other points above are means to the end.

Therefore understanding the dealership business model, and giving it theright structure and accountability and the right level of supervision and astrong review mechanism can ensure that all the means are contributingtowards the end. This represents a major part of a Dealer Principal's job.

Dealership Business Model

Automobile dealerships of today are capital intensive business and no lessthan that of a level of a big or medium corporate house. Look at thefollowing few factors and you will realize why they are considered big ;

• Initial cost of setting up dealership

• Number of people employed

• Promotions and advertisement costs you incur

• Statutory obligations you that need to be fulfilled (employee benefits,taxes)

• Importance of your identity in market place Goodwill and Image in themarket

• Wide Customer base you have

• Policies and Processes you follow

• Inventory Levels you carry

• Your Gross turnovers

• Social or community obligations

All of the above are comparable or at times higher than variousprofessional companies listed in your local stock exchanges! For thatmatter there are few automobile groups whose shares are traded in thestock exchange. It is therefore very important that automobile dealershipsare run professionally befitting to the size of establishment and turnovers.


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The fundamental premise when running an automobile dealership is toquickly create a huge database (both demographic & phsycographic)of current and potential new segment customers in a cost-effectivemanner. A comprehensive database would be very useful both for salesand service department of dealerships, as all activities of customerrelationships would revolve around it.

The second key strategy is to establish what is considered as thedealerships fixed expense (not including direct sales expenses i.e.discounts, incentives, scheme adverts, specific field visit expenses,inventory holding cost etc) per month and calculate how quickly it canbe covered by workshop gross profits of a work shop.

• This is the concept of Service Absorption and the dealershipshould very quickly write down a strategy to get 100% ServiceAbsorption.

• A dealership with 100% Service Absorption would not be undulybothered by cyclic nature of new vehicle sales and can always keepsales teams focus to work towards expanding the pond.

Dealerships who are strong in the areas of generating "ProspectData" and have ensured 100% "Service Absorption" will continuedelivering high performances when compared to dealerships that lagbehind in these two areas.

The third key strategy for a dealership is to capitalize on various alliedrevenue generation channels that are linked to automobile sales:

• Insurance on new vehicle sales

• Insurance renewals

• Financing of new vehicles

• Accessory sale

• Sub contracting body shop

• Towing services

• Used vehicles sales

• Annual maintenance etc

This complex nature of business offers plenty of opportunities togenerate revenue provided if one is able to create a loyal customerbase of people who not only repeatedly use dealer services, but also isa strong advocate of the dealership to his / her friends and relatives.


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Seperator2


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Manpower PlanningManpower planning is the process of arriving at the appropriate numberof trained manpower that is required at the dealership. This calculationshould be aimed at achieving the business volume planned and providinggood "Customer Experience''.

The starting point of this process is finalizing the organization structureand ends at making job descriptions for all the positions in the structures,post, which starts the hiring process.

POLICY NOTE :

1. Every dealership should review during the yearly business planningprocess, its structure and manpower requirements. In case of businessexigencies the manpower requirements should be reviewedimmediately.

2. The manpower requirements need to be finalized by the 1st month ofnew financial year in consultation with the Area Office personnel.

3. Inadequacy of manpower would reflect poorly on business and also onthe various audits carried out by the organization, and appropriateaction would be initiated if the agreed norms are not adhered to. Pls.Ensure that the manpower requirement s are maintained as per theratio mentioned in the table below. Geographical spread mightnecessitate additional manpower for better coverage.

Role Holders Ratios to be maintainedService Advisor For every 8 vehicles / day in workshop

Service Supervisor / Min 1 Co Tech (Logan) and 1 each tech splCo Tech / Tech Spl and 1 supervisor for every 8 veh.

Technician 1 For every 2 cars / day in workshop

Showroom sales Consultant Avg. productivity of 8 new vehicles / month

Field Sales Consultant Avg. productivity of 6 new vehicles / month

ICR(Service) Min 3 in personal W / S and 2 in prosper W / S

ICR (Sales) Min 3 in personal S / R and 2 in prosper S / R

Hostess Min. 1 for personal S / R

Hospitality Manager Min. 1 for personal W / S

Manager 1 each for Sales , Service and Parts

Cashier Min. 2 in Workshop (1 for every 15 RO's)

4. Quality of manpower should be judged by Attitude, Behavior, Actionand Delivery, such that they are able to deliver a Superior Experienceto customers at all stages of interaction.

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Organization Structure

Is a diagrammatic representation of the manner in which decision is takenand tasks gets done in an organization. It provides clarity on the reportingstructure and the interrelation of all the jobs existing in the organization.

For your reference and ready use we have detailed out the followingstructures.

a) Dealership organization chart (Top line)

b) Sales structure in a dealership

c) Service structure in a dealership

d) Back office structure in a dealership


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TYPICAL DEALER DEPARTMENTAL ORGANIZATIONAL CHART


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TYPICAL DEALER SALES ORGANIZATION CHART


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TYPICAL DEALER SERVICE ORGANIZATION

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TYPICAL DEALER BACK OFFICE ORGANIZATION CHART


Employee Categories -

Bands and Designations

In a dealership the employees can be categorized into three bands. Thedetails are mentioned in the table below.

Grading systems provides growth opportunity to employees, therebykeeping them motivated to perform well. This in turn results in SuperiorCustomer Experience.

Band Level Employee Category

Operational (O) Trainee to O1 Semi Skilled, Skilled and Highly Skilled

Business Associate BA 3 to BA1 Supervisory / Technical / Sales

Business Partner BP 1 to BP 4 Management / Dept Heads

Employee Category 1: Operational - Semi Skilled, Skilled andHighly Skilled

Level Designation Qualification /Years Salary Details Nature of Jobof Experience

Trainee Fresh ITI /Diploma 2000 Stipend Help in

__ overhaul section, Oil change

O5 Junior 12 month exp + M&M 2500-250-3750 Routine Mechanic Quick Hit Trg EB-350-5500 Service and

oil changes

O4 Mechanic 24 Months exp + M&M 3500-350-5250 Suspension Basic Trg @ MILE EB-400-7250 and brake /

electrical

O3 Technician 24 Months exp + M&M 4000-400-6000 Engine, FIP,upgrade Trg @ MILE EB-500-8500 Gear box,

Differential, HVAC

O2 Expert 36 months exp + M&M 5000-500- Expert Technician Master Trg @ MILE 7500 EB-700- Diagnostic

(Electrical, Electronic, 11000 in particular Dignostic) area

O1 Master 48 months exp + Pass 6000-600- Diagnostic,Technician Evaluation Test 9000 EB-750- Power Train,

(Practical & Theory) 12750 Drive Line, Chassis

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Employee Category 2a: Business Associate Category (Advisor)

Level Designation Qualification/Years Salary Details Nature of Jobof Experience

_ Trainee Fresh Degree / 2500-5000 Repair cost and Diploma+ M&M stipend time estimate, Quick Hit Trg home installation,

Service Mktg

BA3 Junior 06 months exp + 4500-600-7500 Repair cost and Service Mile Ser Adv Trg EB-750-11250 time estimate, Advisor home installation,

Service Mktg

BA2 Service 24 months exp 5500-700- Repair cost andAdvisor 9000 EB-800- time estimate,

13000 home installation,

Service Mktg

BA1 Senior 24 months exp + 6500-750- Repair cost andService M&M basic Trg 10250 EB-850- time estimate,Advisor 14500 home installation,

Service Mktg

Employee Category 2b : Business Associate Category(Sup/Tech Spl/Co Tech)

Level Designation Qualification / Salary Details Nature of Jobof Years Experience

_ Trainee Fresh Degree / 2500-5000 Job Scheduling, Diploma + M&M stipend Diagnostic,Quality,Quick Hit Trg Road Trial,Concern

Reporting, Productivity, Efficiency.

BA3 Junior 06 months exp + 4500-600- Service Mile Ser Adv Trg 7500 EB-750- -”-Supervisor 11250

BA2 Service 24 months exp 5500-700- Supervisor 9000 EB-800- -”-

/ Tech 13000

Specialist

BA1 Senior 24 months exp 6500-750- Cotech specificallySupervisor + M&M basic Trg 10250 EB-850- for ACTIS,shopfloor / Tech 14500 technical training,

Specialist diagnostic and / Co-Tech concern reporting.(Logan)


Employee Category 2c Business Associate Category - Sales

Level Designation Qualification/Years Salary Details Nature of Jobof Experience

Trainee Fresh Degree / 2500-5000 Sales of Vehicles, __ Diploma + M&M stipend finance,

Quick Hit Trg insurance, accessory etc

BA3 Junior Sales 06 months exp 4500-600- Sales of Vehicles, Consultant + Mile Sales Con 7500 EB-750- finance,

Trg 11250 insurance, accessory etc

BA2 Sales 24 months exp 5500-700- Sales of Vehicles,Consultant 9000 EB-800- finance,insurance

13000 accessory etcBA1 Sr Sales 24 months exp 6500-750- Sales of Vehicles,

Consultant / 10250 EB-850- finance,

Team Leader 14500 insurance,

accessory etc

Employee Category 3 : Business Partner Category - Sales,Service, Spares, Administration, F&I

Level Designation Qualification / Salary Details Nature of JobYears of Experience

BP4 Asst Manager Degree / Diploma 7500-900-12000 Dept Head MktgEB-1000-1050- Sales, Service, 17250 Parts

BP3 Manager Degree / Diploma 10200-1000 Dept Head Mktgwith 5 years exp 15200 EB-1250- Sales, Service,

21450 PartsBP2 Sr Manager Degree / Diploma 15200-1200- Dept Head Mktg

with 7 years exp 21200 EB-1500 Sales, Service,28700 Parts

BP1 General Degree / Diploma 35000-5000- Dept Head MktgManager with 10 years exp 50000 EB-7500- Sales, Service,

87500 Parts

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POLICY NOTE

"Levels and designations need to be in line with the suggested structure''.

The movement from one level to another should happen on the increaseof skill or on gaining experience / expertise in the performance of presentjob. There would be a change from one level to another only if anemployee displays the required attitude and competencies to perform thenext level job.

The dealerships need to adhere to the given level and level structure, asit needs to be uniform across dealerships.

The movement of people across levels needs to be vetted by the AOpersonnel.

Movement between levels can happen only if employee clears necessaryevaluation criteria.


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Job Descriptions

Job descriptions are written documents that provide information on theduties and responsibilities of every role holder in the organizationalstructure. The template recommended by us also focuses on the PersonProfile - which details out the educational qualification, experience andskills required for performing the role.

Job descriptions for key rolls are provided for your reference and use.


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GENERAL MANAGER (SALES OR SERVICE) JOB DESCRIPTION

KEY PURPOSE

The primary role of a General Manager (Sales or Service) is to manage theentire dealership or either Sales or Service operations and achieve theoverall dealership objectives of Customer Satisfaction & Business Results

DUTIES AND RESPONSIBILITIES

• Able to developed dealership business plan and departmentalobjectives.

• Ensure all dealership targets are achieved as per plan.

• Should be able to look at operations from macro perspective.

• Able to guide his Managers and provide them proper directions.

• Ensure all customers who come in contact with any dealership staffhave a pleasant experience.

• Able to review various MIS reports and JD Power reports and takesnecessary corrective actions.

• Improve CSI / SSI , RDI or any other customer satisfaction scores

• Meets customers and employees regularly to understand groundrealities.

• Able to create a "customer friendly" culture in the organization.

• Have good contacts in the industry and business circle.

BAND

This job is placed in BP band

SKILLS REQUIREMENT

• Should be a strategist.

• Needs to be analytical.

• Good communicator

• Should be very good leader.

• Must be a good motivator.

• Should be good in public relations.

• Needs to be good organizer.

• Needs to manage time effectively.

• Must have business acumen.

• PC literate (MS Word, Excel, Power Point).

EDUCATION

• Graduate

• Engineering / Management qualification preferred.

EXPERIENCE

• Should have headed a small to medium business organization.

• Minimum 10 years in a role of a Manager.

• Automobile exposure preferred.


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SALES MANAGER JOB DESCRIPTION

KEY PURPOSE

The role of a Sales Manager is to lead and manage his team and ensurethe set sales and customer satisfaction targets for the department areachieved.


• Ensure all targets are achieved as per plan.

• Ability to motivate and lead a team.

• Ensure all customers are kept happy and have a pleasant 'in-dealership' experience.

• Improve SSI , RDI or any other customer satisfaction related scores

• Able to coach and mentor subordinates.

• Create a conducive atmosphere for working at the dealership.

• Ensure all reports are generated on time.

• Able to analyze reports and takes corrective actions.

• Ensure all processes are adhered to.

• Regularly meet customers and take informal feedback.

• Mystery shops and understands competitor activity.

• Must be able to analyze dealership SSI scores and take correctiveactions.

• Responsible for inventory management and training and development.

• Liaise with manufacturer w.r.t vehicle ordering, finance, schemes,activities etc.

• Liaise with financial institutions, insurance, RTO and allied businesses

BAND


SKILLS REQUIREMENT

• Should be a strategist.

• Must have finance acumen.

• Needs to be analytical.

• Should be very hospitable.

• Must be a good motivator.

• Should be good in public relations.

• Needs to be good organizer.

• Needs to manage time effectively.

• Should be a team builder.

• Must have good business acumen and leadership skills.

• Should be a customer-oriented person.

• Must be PC literate (MS Word, Excel, Power Point).


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EDUCATION

• Graduate.

• Engineering / Management qualification preferred.

EXPERIENCE

• Minimum 5 to 7 years of experience in Sales function.

• At least 2 years in a team leader or department head role.

• Knowledge about automobile industry desirable.


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SALES CONSULTANT (FSC/SSC)JOB DESCRIPTION

KEY PURPOSE

The Sales Consultant is responsible for selling new vehicles with theobjective of achieving Volume and Customer Satisfaction standards. Assistcustomers in determining vehicle needs and completing financingpaperwork, wherever applicable. Build customer loyalty and increaseCustomer Satisfaction through professionalism, trustworthiness, sincerity,positive attitude and a business-like appearance in every customer touchpoint.


• Greets all customers promptly; provides timely professional service.

• Completes Customer Records (CDIF) promptly and accurately.

• Provides excellent customer service by listening to customer inquiriesand requests, asking questions to identify needs, resolving customerconcerns, and sells additional services when appropriate.


• Builds customer loyalty and promotes the dealership brand image.

• Is accurate and timely in completing paperwork and assigned tasks.

• Sells accessories, Insurance and Finance products.

• Delivers vehicle to customers in a positive and memorable way.

• Effectively prospects by phone, mail, e-mail and face-to-face to meetprospect generation targets.

• Identifies repeat customers and treats them accordingly.

• Contacts previous customers, especially those who are ending theirfinance tenure, about new product arrivals.

• Notifies prospects of upcoming special programs and promotions.

• Calculates and tracks progress of sales and prospect goals and salesdeals.

• Shifts priorities and goals as work demands change.

• Maintains composure and courtesy in dealing with customers andfellow employees.

• Ensures that work is completed on time and as required

• Acts quickly to implement plans; organizes work efficiently; follows upto ensure successful implementation.

• Identifies and supports opportunities for methods/processimprovement (for example, monitoring inventory levels and trackingshowroom traffic).

• Identifies ways to improve operations and customer service.

• Maintains an effective customer contact system that encourages new,repeat, and referral business and contributes to customer satisfaction.

• Reference existing manuals, publications and other written documentsto obtain needed information.

• Keeps up-to-date on Mahindra products and competitor products.

• Meets or exceeds monthly income and sales goals.

• Maximises recommendation sales

• Tracks competition performance for his assigned territory


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BAND

This job is placed in BA band

SKILL REQUIREMENTS

• Explains the price of the vehicle in a way that the customer focuses onthe value of the vehicle, rather than the price.

• Effective and accurate with finance calculations.

• Effective problem solving skills.

• Adaptable and flexible.

• Able to perform multiple tasks effectively.

• Empathetic to customers and their problems situations.

• Communicates effectively, especially in problem situations by phone,mail, e-mail, and face-to-face.

• Exhibits a team attitude towards management and peers.

• Able to effectively negotiate.

• Able to effectively sell at a retail level.

• Applies active listening techniques.

• Able to effectively resolve conflicts.

• Manage time productively.

• Maintains composure and perspective in difficult situations.

• Plans and organizes effectively.

• Communicates effectively via phone, e-mail and face-to-face.

• Utilizes basic PC and software skills.

• Objection handling skills.

• Product knowledge

• Competition knowledge

• Driving

EDUCATION

• Graduate (Technical / Non-Technical) / MBA

• Sales and Marketing qualification would be added advantage.

EXPERIENCE

• Marketing or Sales experience (counter / door to door).

• Auto industry (4W) experience preferred.

• Should possess 4W driving license.


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CORPORATE SALES CONSULTANT (CSC) JOB DESCRIPTION

KEY PURPOSE

The Corporate Sales Consultant is responsible for selling new vehicles toCorporate and Fleet operators at objective of achieving Volume targets.Builds customer loyalty and increases Customer Satisfaction throughprofessionalism, trustworthiness, sincerity, attitude and a business-likeappearance in every customer experience.


• Should make effective presentations to corporate (power point).

• Meets or exceeds monthly income and sales goals.

• Draft offers, quotations, bids

• Maintains excellent relationship with all his existing customers.

• Builds customer loyalty and promotes the dealership brand image.


• Is accurate and timely in completing paperwork and assigned tasks.

• Effectively prospects by phone, mail, e-mail and face-to-face.

• Shifts priorities and goals as work demands change.

• Maintains composure and courtesy in dealing with customers andfellow employees.

• Ensures that work is completed on time and as required

• Acts quickly to implement plans; organizes work efficiently; follows upto ensure successful implementation.

• Maintains an effective customer contact system that encourages new,repeat, and referral business and contributes to customer satisfaction.

• Reference existing manuals, publications and other written documentsto obtain needed information.

• Keeps up-to-date on Mahindra products and competitor products.

BAND


SKILL REQUIREMENTS

• Able to perform multiple tasks effectively.

• Empathetic to customers and their problems situations.

• Communicates effectively, especially in problem situations by phone,mail, e-mail, and face-to-face.

• Able to effectively negotiate.

• Applies active listening techniques.

• Able to effectively resolve conflicts.

• Manage time productively.

• Maintains composure and perspective in difficult situations.

• Plans and organizes effectively.

• Utilizes basic PC and software skills.


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• Objection handling skills.

• Product knowledge/FAQ

• Competition knowledge

• Driving

EDUCATION

• Graduate (Technical / Non-technical) / MBA.

• Sales and Marketing qualification would be added advantage.

• Should possess (4 wheeler) driving license

EXPERIENCE

• One year in Corporate Sales with notable sales record.


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FINANCE AND INSURANCE EXECUTIVE JOB DESCRIPTION

KEY PURPOSE

Primary role of a Finance and Insurance executive is to sell finance andinsurance to retail customers.


• Provide tailor made finance options to customers to suit theirrepayment capabilities

• Work closely with Sales Consultants to get leads for finance cases.

• Facilitate finance documentation with high customer satisfaction


• Provide MIS reports.

• Liaise with financial institutions

• Collect MIS on competition finance offers

BAND


SKILLS REQUIREMENT

• Good telephone etiquette and persuasive in nature.

• Knowledge about various finance schemes and EMI options.

• Knowledge about competitor activity in finance sphere.

• Good basic arithmetic knowledge.

• Should be alert and receptive.

• Must be very organized professional.

• Knowledge about Excel.

• Basic Product knowledge

EDUCATION

• Graduate in any discipline.

• Knowledge of finance terminology.

• Finance qualification would be an added advantage.

EXPERIENCE

• 1 to 2 years experience in retail finance industry.

• Prior automobile industry experience desirable.


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SERVICE MANAGER JOB DESCRIPTION

KEY PURPOSE

The role of a Service Manager is to lead and manage his team and ensurethe service revenue and customer satisfaction targets for the departmentare achieved.


• Make a business plan for the department.

• Supervise all personnel in the Service Department.

• Interacts with Parts in charge, Hospitality Manger and Body Shop incharge.

• Utilize job description, including performance criteria to communicateexpectations, monitor and measure individual effectiveness

• Improve CSI , RDI or any other customer satisfaction related scores

• Communicate Customer Satisfaction Service Standards to all servicepersonnel.

• Monitor top box ratings

• Monitor results of the CSI Survey [JD Power] and implement processstrategies to continually improve customer satisfaction ratings.

• Establish and maintain a Consumer Relations Policy that ensurescomplete customer satisfaction. Also provide a customer record andfollow up system, resolve customer complaints and build loyal clientelefor the dealership.

• Ensure technical ability is maintained at the highest level to improveFTR capability.

• Establish the facility requirement, manpower requirement andimparting training to the people.

• Ensure profitability of the Service Department by attaining servicedepartment financial objectives and achieve service absorption.

• Monitor and take corrective actions based on the Workshop Monthlyperformance report [including service absorption]

• Manage departmental expenses effectively.

• Initiate housekeeping, safety and security procedures that result in asafe and attractive work environment.

• Utilize personnel management system that incorporates dealershippolicies on recruiting, hiring, orientation, staffing levels and pay plans(including incentives and fringe benefits).

• Control Workshop process effectively.

• Maintain dealership equipment in effective and safe working condition.

• Ensure proper functioning and utilization of DMS

BAND

This job is placed in BP Band


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SKILLS REQUIREMENT

• Ability to make Business Forecast and Budget for the ServiceDepartment.

• Able to analyze data and take corrective actions if required.

• Maintain effective interpersonal relationship with all people.

• Ability to control costs within allocated budget.

• Able to train, develop and motivate department employees.

• Eye for detail and be a process champion.

• Understand DMS

• PC Literate (MS Word, Excel, PowerPoint)

EDUCATION

• Engineer

• Management qualification preferred.

EXPERIENCE

• Minimum 5 to 7 years of experience in automobile workshop Servicefunction.



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WORKS MANAGER JOB DESCRIPTION

KEY PURPOSE

The Works Manager is primarily responsible for the overall supervision ofshop floor activities of the service centre, both mechanical and body shop.


• Ensure all workshop work is completed on time.

• Responsible for keeping the productivity of the workshop high.

• Ensure FTR in the workshop.

• Ensure facility upkeep and availability of all tools and equipments.

• Improve CSI , RDI or any other customer satisfaction related scores

• Expose technicians on to various levels of training and ensure alltechnicians are trained / certified.

• Initiate housekeeping, safety and security procedures that result in asafe and attractive work environment.

• Maintain dealership equipment in effective and safe working condition.

• Hire contract workers as and when required.

• Daily MIS updating to control MIS

• Liase with allied business agencies

BAND

This job is placed in BP Band

SKILLS REQUIREMENT

• Should be a troubleshooter.

• Should be a good team leader.

• Maintain effective interpersonal relationship with all supervisors / technicians.

• Able to train, develops and motivate technicians and shop supervisors.

• Should have sound working knowledge of automobiles and latest technology.

• Must be PC literate (MS Word, MS Excel).

EDUCATION

• Engineer graduate / AMIE / Diploma

• Must be PC literate.


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EXPERIENCE

• Minimum 5 to 7 years of experience in floor of a workshop.



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PARTS MANAGER JOB DESCRIPTION

KEY PURPOSE

The primary role of a Parts Manager is to ensure all vehicle parts areadequately available at the workshop and proper inventory managementto ensure high fill ratios.


• Ensure availability of parts in the workshop.

• Ensure proper stock control mechanisms are in place in the workshop.

• Closely monitor movement of fast moving parts and quickly order suchparts once the reorder level is reached.

• Ensure speedy disposal of obsolete parts through some marketingcampaigns/deals.

• Liaise with the manufacturer to ensure there is no 'stock out' situationat service outlet.

• Should be able to rotate parts inventory value at least 5 to 6times/year to achieve high "parts turn" ratio.

• Ensure proper functioning and utilisation of DMS

• Daily MIS updation to control MIS

• Ensure catalogues remain updated

• Outstanding management

• Liase with manufacturers on claims and promotions etc

• Liase with allied business associates

BAND


SKILLS REQUIREMENT

• Should have knowledge of inventory management.

• Should know to work on computerized inventory management.

• Must have a thorough knowledge about various parts theirapplications.

• Must be PC literate (MS Word, Excel).

• Should possess skills to quickly grasp the contents in various technicalbulletins.

EDUCATION

• Graduate

• Diploma / AMIE preferred.

EXPERIENCE

• Minimum 5 to 7 years of experience in Parts management of aworkshop.



41

PARTS SUPERVISOR JOB DESCRIPTION

KEY PURPOSE

The primary role of a parts supervisor is to ensure that the technicians getthe right parts as per their Parts Requisition (PR)


• Ensure that correct parts are picked as per RO.

• Inform Parts Manager about slow moving parts, so that correctiveactions can be taken.

• If certain parts are frequently found to be found to be having concern,escalate the same to the manufacturer through Parts Manager.

• Ensure technicians properly fill in the PR so that correct parts can begiven to them.

• Maintain proper inventory control.

• Stock all parts in a systematic way and label bins/racks properly.

• Manage parts related claims with insurance companies andmanufacturers

• Analyze DMS MIS for corrective actions

BAND


SKILLS REQUIREMENT

• Must be process oriented.

• Should be good in housekeeping and parts storage.

• Must be PC literate.

• Knowledge about automobile parts essential.

EDUCATION

• AMIE / Diploma in automobile engineering desirable.

EXPERIENCE

• Minimum 1 to 2 years of experience in Parts department of aworkshop.


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SERVICE ADVISOR JOB DESCRIPTION

KEY PURPOSE

The Service Advisor is responsible for recording the service needs of thecustomers and ensuring that the vehicles are delivered on time aftercompletion of all repair works as per the RO.


• Promptly acknowledging the customer on arrival.

• For appointment customers, should be aware of vehicle history.

• Listen to customer concerns and note it down in the RO.

• Coordinate with tech specialist for vehicles that need to be taken onroad test to identify certain concerns.

• Prepare RO with customer needs clearly written with symptoms andoccurring conditions

• Able to provide a realistic time and cost estimate for the RO by usingDMS.

• Pass on the RO to floor supervisor explaining him the nature of job tobe done.

• If any delay foreseen in delivery of vehicle, promptly informing thecustomer through ICR.

• Ensure the vehicle is in a clean condition before it is delivered to thecustomer.

• Explaining the work done and the cost to the customer.

• Able to sell other workshop services to the customers.

• Promote accessory sales.

• Deliver high customer satisfaction CSI by following all JD Powerparameters

BAND


SKILLS REQUIREMENT

• Should be receptive and an excellent listener

• Must exhibit customer friendly attitude.

• Possess good communication skills.

• Be a proactive person.

• Should be a solution provider.

• Read, write and speak English.

• Knowledge of automobile working essential.

• Work on computers

EDUCATION

• Graduate (technical qualification will be added advantage.)

• Engineer/Diploma

EXPERIENCE

• Prior experience in automobile industry desirable.

• 2 to 3 experience in customer handling.


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TECHNICIAN JOB DESCRIPTION

KEY PURPOSE

The primary role of a Technician is to ensure "First time right" (FTR).


• Ensure that vehicles are repaired as per RO specification.

• In case any extra repair needs to be done, inform Service Advisor andtake his concurrence before doing the same.

• Share best practices with the team in meetings.

• Ensure high quality of work and care for customer's safety to improveCSI.

• Minimize repeat repair.

• Improve workshop productivity and efficiency.

• Ensure all processes are adhered to.

BAND

This job is placed in O band

SKILLS REQUIREMENT

• Should be meticulous in his workmanship.

• Should show high degree of accuracy.

• Must be very disciplined.

• Should exhibit confidence and curiosity to learn.

• Must possess good diagnostic skills.

• Should have analytical capabilities.

• Should have speed in work.

• Strong technical knowledge.

• Able to read technical information in English language

EDUCATION

• ITI or Diploma in automobile engineering or AMIE.

EXPERIENCE

• Minimum 1 to 2 years experience with any auto garage as atechnician.


44

SERVICE SUPERVISOR JOB DESCRIPTION

KEY PURPOSE

The primary role of a service supervisor is to ensure the Quality of workcarried out by the technicians is of high standard to ensure First TimeThrough (FTT), through good job scheduling


• Supervise all the technicians in the workshop.

• Interact with the Service Advisor, Receptionist and Technical specialist.

• 100% Completion of all the services/ repairs listed in the repair order.

• Ensure Technician follows right diagnostics.

• Ensure Technicians use tools / equipment and literature in correctmanner.

• Ensure adherence to repair schedule scheduled in the workshopscheduling board.

• Interact with Service Advisor to understand the exact customerconcern.

• Ensure the start time and end time of each job as per the workshopscheduling board.

• In case of any delay in the completion time, inform the service advisorwith complete information and reason for delay, in order to takeapproval from the customers.

• In case of any jobs identified during the work process, inform theservice advisors in order to take approval from the customers.

• Issue the parts requisition slip to the technicians for taking the partsfrom the stores.

• Promote effective usage of special tools / Workshop Manuals and otherliterature for diagnosis and quality of repairs.

• Productivity and efficiency improvement.

• Improve Customer Satisfaction CSI

BAND

This job is placed in BA Band

SKILLS REQUIREMENT

• Troubleshooter.

• Good people management skills.

• Analytical thinker.

• High process orientation.



EDUCATION

• Engineer

• Diploma in automobile engineering or AMIE.

EXPERIENCE

• Minimum 2 to 3 years experience with any auto garage as atechnician.


45

TECHNICAL SPECIALIST JOB DESCRIPTION

KEY PURPOSE

The primary role of a technical specialist is to road test vehicle pre andpost job done to ensure that the verbatim expressed by the customerduring interaction with Service Advisor is pin pointed to an exact technicalcause and resolved to customers satisfaction.


• Check 100 % of the vehicles after the completion of the job and usethe Optimal Vehicle Performance check sheet to record.

• Ensure Quality workmanship on 100% vehicles.

• Avoid customer complaint holding dealership responsible for notpointing out concerns in the vehicle during services/ repairs.

• Interact with Service Advisor, Workshop Supervisor and Technicians.

• Accompany Customers for the road test.

• Training technician on the job

• Cascading technical information to technicians

• Improving Customer Satisfaction CSI

BAND


SKILLS REQUIREMENT

• Troubleshooter.

• Good communicator.

• Proactive person.

• High process orientation.

• Eye for detail.



EDUCATION

• Engineer

• Diploma in automobile engineering or AMIE.

EXPERIENCE

• Minimum 2 to 3 years experience with any auto garage as atechnician/supervisor.


46

CO-TECH (LOGAN)JOB DESCRIPTION

KEY PURPOSE

Improve diagnostic capability of technicians. Constantly upgradesknowledge & skill level of team through on the floor training andupdating them on various technical circulars & bulletins. Developing abilityto write technical reports.


• Usage of electronic dignostics tools

• On the job training & diagnosis help to technicians

• Knowledge proliferation (ICT, Tech Bulletin etc)

• Technical concern reporting

• Helps in complex dignostics

BAND

This job is placed in BA band.

SKILLS REQUIREMENT

• Help in diagnostic jobs on the shop floor

• Trouble shooter

• Good communicator

• Proactive person

• High process orientation

• Eye for detail

• Read, write and speak English

• Strong technical knowledge

• Ability to train and coach technicians

EDUCATION

• Engineer/AMIE.

• Cleared Renault BCT

EXPERIENCE

Min 3 years experience as Asst Mgr or Supervisor in car dealership withhands on usage of electronic diagnostic tools.


47

HOSPITALITY MANAGER JOB DESCRIPTION

KEY PURPOSE

The primary role of a Hospitality Manager is to drive continuousimprovement through existing customer feedback systems.


• Acknowledge the customer and handle guests well.

• CCF closure

• Administer CSI in-dealership Survey.

• Customer Satisfaction level analysis.

• Drive for Corrective and Preventive Actions.

• Monitor Customer satisfaction Trend and Top Box ratings

• Increased Customer Retention.

• Improve customer loyalty and referrals.

• Maintain high standards of house keeping.

• Assist in CRM activities.

• Maintain good relations with existing customers.

• Conduct customer events / clinics.

• Increase CSI/SSI/RDI

BAND


SKILL REQUIREMENTS


• Show high level of empathy.

• Should be very calm person.

• Must possess very pleasing manners.

• Good analytical skills.

• Ability to resolve concerns amicably.

• Impart soft skills training

• Telephone etiquette's

• Soothing

• Charming

• Well informed

• Alert

• Receptive

• Organized

• Inviting

EDUCATION

• Graduate.

• Hospitality industry qualification would be added advantage.

EXPERIENCE

• Two years in a customer service position preferred with a notable trackrecord of customer satisfaction.

• Preferably from hospitality industry background.


48

HOSTESS JOB DESCRIPTION

KEY PURPOSE

The primary responsibility of a Hostess is to receive all customers with awarm and friendly welcome.


• Acknowledge the customer and handle guests well.

• CCF closure

• Administer SSI in-dealership Survey.

• Customer Satisfaction level analysis.

• Drive for Corrective and Preventive Actions.

• Monitor Customer satisfaction Trend and Top Box ratings

• Home installation co-ordination.

• Delivery ritual implementation.

• Maintain high standards of house keeping.

• Assist in CRM activities.

• Maintain good relations with existing customers.

• Conduct customer events / clinics.

• Increase CSI/SSI/RDI

BAND

This job is in placed BA band

SKILL REQUIREMENTS


• Show high level of empathy.

• Should be very calm person.

• Must possess very pleasing manners.

• Good analytical skills.

• Ability to resolve concerns amicably.

• Impart soft skills training

• Telephone etiquettes

• Soothing

• Charming

• Well informed

• Alert

• Receptive

• Organised

• Inviting

EDUCATION

• Graduate.

• Hospitality industry qualification would be added advantage.

EXPERIENCE

• One year in a customer service position preferred in a front office position.

• Preferably from hospitality industry background.


49

ICR (RECEPTIONIST)JOB DESCRIPTION

KEY PURPOSE

Primary role of an ICR is to receive customers and find out whom theywould like to meet.


• Warm greeting to all customers.

• Inform the concerned authorities of customer arrival in dealership.

• Responsible for maintenance of dealership databases.


• Increase CSI/SSI

BAND


SKILLS REQUIREMENT

• Be soothing and charming to customers.




• Telephone handling skills.

EDUCATION


• Any training in customer care industry.

EXPERIENCE

• 1 to 2 years experience in service industry.

• Telephone handling experience preferred.


50

ICR - SALES (TELE-MARKETING)JOB DESCRIPTION

KEY PURPOSE

Primary role of an ICR in a Tele-marketing role is to generate enquiry andclassify the prospects as Hot / Warm / Cold. Generate test drive requests.


• Generate enquiry / prospects at dealership by inviting customers todealership.

• Pass on leads to Sales Consultants.

• Ability to qualify customers by their Intention to Purchase (ITP).

• Responsible for maintenance of dealership databases.


• Contribute to action planning for developing various customersegments

• Increase SSI

BAND


SKILLS REQUIREMENT





• Good voice modulation.

• Clarity in speech.

EDUCATION


• Any training in customer care industry with telephone handling skills.

EXPERIENCE


• Tele- marketing function for at least 6 months.


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ICR - SERVICE (SERVICE MARKETING)JOB DESCRIPTION

KEY PURPOSE

Primary role of an ICR in a service-marketing role is to increase job inflowfor workshop.


• Generate enough business at workshop for optimal utilization of shopfloor / technician.

• Increase productivity and revenue by selling dealership services tocustomers.

• Call loyal and lost customers for dealership events

• Conduct events / activity at dealership.

• Sell insurance renewals and accessory package offers.


• Assist in event planning for service customers

• Increase CSI/SSI

BAND


SKILLS REQUIREMENT





EDUCATION


• Any training in customer care industry with telephone handling skills.

EXPERIENCE


• Tele- marketing skills for at least 6 months.


52

ADMIN AND HR EXECUTIVE JOB DESCRIPTION

KEY PURPOSE

Primary role of an Admin and HR executive is to assist the Manager inoverall admin and implementation of HR policies.


• Maintaining a database of employees with all relevant information.

• Preparation of pay roll / leave record etc.

• Assist new employees by providing proper orientation to dealershippolicies.

• Ensure adherance to yearly training plan.

• Help in performance appraisals.

• Generate MIS on employee satisfaction survey / exit interview.

BAND


SKILLS REQUIREMENT

• Good interpersonal skills.

• Shows empathy to employees.

• Knowledge statutory requirements.



• Knowledge about Word and Excel.

EDUCATION

• Graduate in any discipline with PG or specialization in HR.

• Knowledge of IR policies and procedures will be added advantage.

EXPERIENCE

• 1 to 2 years experience in IR or HR.

• Prior HR experience desirable.


53

CASHIER JOB DESCRIPTION

KEY PURPOSE

Primary role of a cashier is to ensure speed of response for various cashtransactions with customers in dealership and maintain a ledger of thesame.


• Ability to handle all cash transactions with speed and accuracy withcustomers.

• Handle the petty cash transactions of the dealership.

• Maintain the book of accounts for all daily transactions.

• Update all transactions in the software promptly.

• Provide cash flow statement.

• Ensure high customer satisfaction with payment process.

• Audit SOP of “bills explanation” process.

BAND


SKILLS REQUIREMENT

• Speed and accuracy in dealing with cash.

• Should be alert and responsive.

• Systematic and organized professional.

• Practical knowledge of accounting software.

EDUCATION

• Commerce graduate / Post graduate .

• Financial qualification would be added advantage.

EXPERIENCE

• 1 to 2 years of handling cash transactions.

• Prior accounting and book keeping experience.

• Hands on experience of accounting software packages.


54

POLICY NOTE

1. Every role drawn in the organizational structure should have a writtenjob description (Some sample job description are given at thebeginning of this section to facilitate your discussion with AO teambefore finalizing the job description for your dealerships.)

2. When we hire a person we should adhere to the documentedqualification, experience and skill requirements. Any discrepancy tothe agreed norms needs the approval of the concerned RSM / RCCM /ZH for hiring at the Business Partner band

3. Every new employee must be given a copy of his duties andresponsibilities and the same explained to him by his immediatesuperior.

4. Each job description will have the vital elements of customer focusbuilt in. A portion of the performance incentive will be tied up to TopBox ratings, RDI or SSI / CSI scores as applicable.


55

RECRUITMENT PROCESS

This process ensures that the organizational structure is staffed with theright candidate to deliver the dealership objectives.

GETTING STARTED TO RECRUIT

Once the business planning numbers have been finalized, we have to startlooking at "manpower planning". Ideally speaking you need to haveadequate manpower to achieve your business plan numbers and providegood after sales service.

As a thumb rule your Sales force should be directly proportional to targetvolume of Sales and Service team should be directly related to projectedRO's per day. However there could be exceptions, where you need tocover a large territory and hence a larger sales force and more serviceoutlets.

IMPORTANCE OF CORRECT HIRING

As a dealership organization we need to understand the importance ofcorrect hiring. If we over hire, there would be loss in productivity and weunder hire, there would be loss in business opportunity. Hence we need toarrive at a right number of staff with the appropriate qualification andexperience. Also care needs to be taken while hiring people who have theright attitude and aptitude towards working in a competitiveenvironment that having many challenges and opportunities with longhours of work.

LOSS DUE TO WRONG HIRING

In case we do not hire the right person, they would quit us. This will leadto again going through the process of hiring. It should be noted that theamount of INVESTMENT in man-hours of training and coaching aconsultant to bring them to their optimal performance, is LOST if wecannot identify the "right" candidate during the hiring process. As adealership organization we need to spend a lot of time in identifying theright kind of profile who would fit in the role and hire them or else we willbe spending our precious resources in only training new recruits, whowould leave us. The implications are quite serious in terms of dealershiporganization not being able to achieve its optimal efficiency.

THE RECRUITMENT PROCESS

1. Identification of vacancies

2. Types of hire

3. Sources of candidates

4. Short listing of resumes

5. Conducting the Interview

6. Making an Offer/Appointment Letter

7. Joining Formalities

8. Induction Process


56

1. IDENTIFICATION OF VACANCIES

This is a stage where you will identify the gap between the requirementv/s actual and then arrive at the number of vacancies that you will needto hire for. Please esure that you maintain the ideal staffing ratiosmentioned in the previous pages. We have also enclosed the Jobdescription templates that you can use while recruiting candidates for thevacancies in your dealership.

2. TYPES OF HIRE

PERMANENT

Permanent employees are on the pay rolls of the organization. They areeligible for all company benefits.

All key role holders in the organization come under this category, whichinclude:

• Vice President

• General Manager

• Deputy General Manager (DGM)

• Sales Manager / Service Manager / Parts Manger / Works Manager /Hospitality Manager

• Parts Supervisor

• Service Advisor

• Technician

• Service Supervisor

• Technical Specialist

• Sales Consultant

• Corporate Sales Consultant

• Hostess

• ICR

• F&I Executive

• Admin and HR Executive

• Cashier

• Driver

TEMPORARY

Temporary employees are staffs who are hired for a short period, say 3-6months. They are usually put on special assignments that are specific innature. Some of the assignments that would need temporary staffsinclude:

• Events / display

• Data entry

• Research on particular segment

• Accounting during year end

• Mystery shoppers


57

CONTRACT

Contract staffs are those who are on pay rolls of third party (Contractors)who provide us with specific services, for which a monthly fee is paid.Usually any contract is for a period of 11 months and is extendable. Someof the role holders that would fall in this category include:

• Vehicle Washing boys

• Housekeeping

• Security staff

• Pantry

TRAINEE

Are appointed from local colleges, ITIs or vocational institutes to fill updevelopmental positions for sales / service / marketing roles. Thesecategories of employees are typically paid monthly stipends.

3. SOURCES OF CANDIDATES:

a. News Paper Advertisements

b. Employee Referral schemes

c. Internet Search

d. Walk-Ins

e. Tie up with local ITI.s, vocational institutes for summer training orapprentice scheme

f. Campus interviews at local colleges for sales positions

We must follow a consistent recruitment policy and a rigorous procedurewhile selecting candidates that can be identified through advertisements innewspapers or radio, internet search or through Employee Referral. Wehave enclosed advertisement templates for your reference and also a noteon the scheme.


58

SALES CONSULTANT JOB ADVT. SAMPLE

SERVICE ADVISOR JOB ADVT. SAMPLE

Sales Consultant

Exciting opportunity for Sales Professionals…!

Successful candidate must possess excellent customer relations andcommunication skills, thorough understanding of the automotivemarket, ability to achieve challenging sales and customer satisfactiontargets. Ability to drive 4 wheeler would be added advantage.

We offer basic pay, attractive incentives and flexible hours of work. Ifyou're the person we're looking for, contact:

[Name, Title

Phone Number

Address of dealership

Fax Number]

Service Advisor

Are you excited with the auto industry but didn't have the technicalskills to apply for a job? If so, keep reading. We have an opening for aService Advisor.

We're looking for someone with excellent communication & listeningskills, attention to detail, a strong customer service orientation, and theability to work independently and efficiently.

We offer basic pay, incentives, benefits and the opportunity for trainingand advancement. If this sounds like the chance you've been lookingfor, stop by to fill out an application at:

[Contact information

Name, Title

Phone Number


Fax Number]


59

ICR JOB ADVT. SAMPLE

ICR

Are you convinced there is a better way to serve customers? If so, we'dlike to hear from you.

If you have a strong focus on quality and customer satisfaction and theability to work independently and efficiently, you are the person we'relooking for.

We offer competitive compensation and benefits. And you can takeadvantage of additional training and certification opportunities that canadvance your career. If you think you can do the job, fill out anapplication at:

[Contact information

Name, Title

Phone Number


Fax Number]


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EMPLOYEE REFERRAL SCHEMES

PURPOSE : Employee referrals schemes are very cost effectiverecruitment tool. Referral schemes encourageemployees to refer good applicants for job openings andreward them monetarily upon successful placement.

ELIGIBILITY : Regular full-time and part-time staff employees.

Employees not eligible include:

a) Professional members of the Human Resource function

b) Dealer Principals and General Managers

POLICIES : 1) When a regular full time or part time employeerecommends a qualified individual for a job opening, andthe referral is hired as a full time employee by theCompany, a bonus will be paid, after the new employeehas been confirmed in service.

2) The bonus is not paid for referring temporaryemployees or for employees who had left the organizationless than two years.

3) The name of the referring employee must be clearlyindicated on the New Employee joining form andemployment application form.

INCENTIVE : A bonus of Rs. XX/- will be rewarded per referral, providedthe above policies are followed.


61

EMPLOYEE REFERNAL SCHEME COMMUNICATION

Date :

To : DEALERSHIP EMPLOYEES

From :

Subject : Employee Referral Bonus Plan

We believe that our existing employees are a great source for recruitingnew employees. Thus we are pleased to announce a new employeeReferral Bonus Plan for the year xxxx. Effective [XX], we will rewardemployees who recommend [Dealership] as a great place to work. For allreferrals hired, [Dealership] will award Rs.XXX/- to the employee makingthe referral once the appointed person gets confirmed on job aftersuccessful probation.

In order for us to determine the source of the referral, you need to adviseanyone you refer, to the dealership to use your name on the application.

We hope that all employees will take advantage of this opportunity to buildthe [Dealership] team!


62

4. SHORTLISTING OF RESUMES

This process is critical in sifting resumes from a large pool of applicationsthat can be called for the interview process. You may want to undertakethis short listing based on some criteria like Age, Qualifications, Years ofExperience. This process saves interviewing time and also improves hitrates.

5. CONDUCTING THE INTERVIEW

Broadly speaking we can classify interviews into 3 types:

1. Walk ins

2. Response to newspaper advertisement

3. Response to advertisement in the internet

Let's see what process needs to be in place for each of the above. We havealso enclosed interview templates for your reference and use.

WALK IN INTERVIEW:

Step 1 : Ensure that a separate room is kept for the interview.

Step 2 : A waiting area should be kept for the candidates, whereinadequate chairs should be available

Step 3 : One staff needs to keep track of the participants by havingtheir names taken in a sheet as they walk in and send theminside the interview room as per their walk in nos.

Step 4 : The interviewer should have adequate copies of the interviewsheet with him so that he can capture uniform informationand then take an objective decision.

Step 5 : Thank the candidates for their time and let them know thenext steps i.e. by when they will know the outcome of theinterview.

RESPONSE TO NEWSPAPER ADVERTISEMENT:

Step 1 : Segregate all the applications received based on minimumeligibility criteria.

Step 2 : Out of the short listed applications, decide how many can becalled on a weekday as per Managers workload andcandidates preference.

Step 3 : Follow from Step 1 of "walk in interview".

RESPONSE TO ADVERTISEMENT IN THE INTERNET:

Step 1 : Download all the CVs from the internet.

Step 2 : Follow from Step 1 of "response to newspaperadvertisement".


63

INTERVIEW TIPS : STRUCTURE THE INTERVIEW

Open the Interview • Be friendly, Introduce yourself, Make small talk

". . . Hi! I'm _________. Please have a seat.I'm going to be conducting the interview."

Points to cover • Let the applicant know what to expect eg

when telling... ". . . I'll be asking you about your previouswork experiences, and I'd like your answers tobe as specific as possible."

". . . To be fair and consistent, all applicants areassessed against the same skills."

". . . I will be taking notes."

". . . The goal of this interview is to gatherspecific information about you and yourexperience. There are no right or wronganswers."

". . . The interview will last approximately __minutes." (Note: This will depend on thenumber of questions you ask. Estimate 5minutes per question.)

". . . I will leave time to answer any questionsyou may have about the job or the dealership."

Tell and sell • Answer the applicant's questions about the job

the applicant... • Sell the applicant on the benefits of the job

• Use a stronger sell for an applicant whoimpresses you

Points to emphasize... • About the company

• Specific job duties (i.e., show the applicant thejob description)

• Hours of work

• Advantages and challenges of the job

• Job fit

• Sources of job satisfaction

• Opportunities for applying skills and abilities onthe job

• Benefits and organizational perks

• Opportunities for growth

Close the interview... • Let the applicant know if there is anotherinterview or when and how you will get back tohim/her

• Thank the applicant for his/her time

TTee

llll

SSee

llll

CCll

ooss

ee


64

Here are some tips to keep in mind while conducting interview:

1. Try to make the candidate comfortable before starting the interview.

2. First always ask questions that are open ended like, 'tell us somethingabout you'.

3. Always use structured templates to capture information duringinterview.

4. At the end of the interview, ask if the candidate would like to knowmore about the job and your organization.

TYPICAL QUESTIONS

Tendency while conducting an interview is to learn about knowledge ofbusiness environment, product, target achievement, training undergoneetc. It is very important to also bring out behavioral traits of individuals.Thus the set of questions given ahead.

• Give an example of an operational or business decision you made thatsignificantly impacted your organization

• Give an example of a time you established a new policy or procedureor enforced an existing one

• Please describe a recent task that required a good deal of problemsolving and planning.

• Describe an important and/or difficult decision you made between twoor more equally attractive choices

• Describe a time when you had to deliver services to a difficultcustomer.

• Most of us have been in a situation where it was up to us to get amajor task started or completed. Describe a situation when you feltyou had to get things moving.

• Sometimes it is necessary to manage, direct, and facilitate others toensure that work is completed on time. Describe a time when you leda group in managing its workload

• Describe a time when you coached, mentored, trained, or gavefeedback that led to an improvement in the performance of anemployee(s).

• We have all had to work with people who are very difficult to get alongwith. Please describe a situation in which you had to resolve a conflictwith someone to continue working together productively

• Describe a time when changes in technology, equipment, or workmethods led to a change in the way you performed your job.

• We have all worked in teams where members had different interests,backgrounds, or viewpoints. Describe a time when you had toovercome these kinds of differences to get something done.

• Describe a time when you had to explain a product, procedure, orsituation to a customer or coworker who was unfamiliar with it.

"it's the attitude and not aptitude that

determines the altitude of people"


65

6. MAKING AN OFFER/APPOINTMENT LETTER

Once the candidate is selected for the role. A formal offer and appointmentLetter needs to be issued to the candidate, which confirms his selectionand entry into the dealership. Ideally an appointed doctor should screenthe candidate for medical fitness, before he joins the dealership.

7. JOINING FORMALITIES

Once the employee joins the dealership, you will need to complete hisjoining formalities, eg issue of I D Card, making a personal file for him/herand taking all the relevant proofs, certificates & past experience lettersand then introduce him to the team before planning out his Induction(covered in the next section)

LETTER OF APPOINTMENT (Specimen)

Dealership Name and Address Date...............

To

(Name and Address of candidate)

Dear Mr./Ms.

Letter of Appointment

Pursuant to our discussions it gives us great pleasure in offering you thepost of ……………………….in our organization. You will need to join us by………….at the following address: ……………………………………………

You will report to.……………

You will be on probation for a period of XX months. On successfulcompletion of your probation, you will be made a permanent employee ofthe organization.

In case you abstain from duty without notice for more than 7 days youremployment will automatically cease.

Your Salary details are mentioned in attached sheet.

Kindly sign this appointment as a token of your acceptance of this offer.

Let me take this opportunity to welcome you to our organization and hopethat we have a mutually beneficial association!

Wishing you all the best!

Yours truly,

For XYZ

HR Manager)

Salary break-up

Basic Rs.

House Rent Allowance (HRA) Rs.

Conveyance Allowance Rs.

Uniform Maintenance Allowance Rs.

Medical Rs.

Subsidized Lunch Allowance Rs.

Shift Allowance (if applicable) Rs.

Bonus Rs.

Provident Fund (PF) Rs.

Employee State Insurance (ESI) Rs.

Total Cost to Company (CTC) Rs.

I accept the letter of appointment.

------------------- -------------------- --------------------Signed Place Date


66

POLICY NOTE

"Recruitment is a very important activity that needs the involvement of theDealer Principal''

1. The dealerships may use recruitments method like newspaperadvertisements, job sites, walk in interview or employee referrals forhiring the appropriate candidates.

2. While releasing a newspaper advertisement the formats provided needto be used.

3. The dealer principal and the Area Office personnel should interviewevery candidate being hired for the dealership if the role is in BP band

4. Customer focused Attitude should be verified before hiring anyindividual.

5. The interview assessment sheet has to be signed by the area officepersonnel before the appointment letter is issued to any candidate.Sample interview sheets are enclosed for your reference.

6. Dealerships can hire people either on a permanent basis for a long-term association or on contract for a temporary basis for a period lessthan 240 days or through a local service provider for support services.None of the Managerial / Supervisory roles of the organization shouldbe other than on a permanent basis.

7. Every selected person should be issued an appointment letter in theenclosed format a copy of which should go to the personnel file of theemployee.

8. The personal file needs to be maintained at the dealership and alldocuments related to the employee should be documented.

9. Employee Separation / Addition or role change should be updated onTeam Mahindra portal on a regular basis.

10. Employee information if not updated in full in Team Mahindra wouldnot be taken into consideration for manpower calculation / audit /evaluations


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Ingenious Interview Template for General / Service / Works Manager


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Ingenious Interview Template for Sales Manager


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Ingenious Interview Template for Sales Consultant


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Ingenious Interview Template for Service Supervisor


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Ingenious Interview Template for Hospitality Manager


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Ingenious Interview Template for Hostess (Sales)


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Ingenious Interview Template for Tele Mkltg / Receptionist / Ser Mktg.


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Induction Process

Once the candidate joins the dealership it is critical to organise a quick andeffective induction for him/her. A concious effort must be made to ensurethat the first few days of experience for a new employee is made pleasant,informative and memorable.

As the saying goes "First impression is the best impression". Thisexperience goes a long way in retaining the employee for a longer periodof time in the organization. Hence we need to have a process in place fororientation of new employees.

Please refer to the new employee Orientation Desired Effect Check Sheetthat is to be used for planning induction of any new employee. This formneeds to be handed over to the employee on day one of joining by the HRdepartment.


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REWARD MANAGEMENTUnder Reward Management we will cover the following three keycomponents:

Compensation structure

Reward and Recognition

Incentive Plans

Now let us look in detail on all the above three components.

Compensation structure• Importance of Compensation Planning

• Components of compensation

• Compensation for permanent employees

• Compensation for temporary employees

• Compensation for contract employees

• Employee Benefits

IMPORTANCE OF COMPENSATION PLANNING

Compensation plans that satisfy employees and can increase employeetenure are based on,

3

a) Personal Performance objectives

• Tied to employee's yearly

objectives

• Explained verbally and in writing

• Simple to understand so that the

employee can easily forecastearnings

• Tied to clearly understood goals

as outlined in a written jobdescription

• Sufficient to provide basic needs,

especially in the beginning beforethe employee is trained and fullyproductive

• Tied to performance factors

which are measurable, verifiable,and within the employee's control

• Based on clear metrics

b) Business Objectives (Forecast)

• Cost effective and easy to

administer

• Fair as compared to those of

fellow employees and communitypeer groups

• Planned adequately before being

implemented

• Designed to reward performance

promptly

• Founded on mutual trust

between the employee andmanagement

• Stable, but flexible enough to

allow for market fluctuations


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A dealership organization needs to plan its compensation in order todemark each role holders contribution to the organization and hence pavethe way for career path for its employee that would be commensurate withappropriate compensation.

Ideally this would begin with creating roles and responsibilities along witha band in which similar role holders in various departments are at samelevel.


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COMPONENTS OF COMPENSATION

As a dealership organization we need to understand the fact that we needto provide the basic amenities to our staff, what we call as the "HygieneFactor" in management. If we can provide these, the chance that ouremployees will shift to a competitor is unlikely.

Broadly we can classify compensation as:

• Fixed

• Variable

• Statutory

Now lets look at various sub-components in the above classification.

FIXED

Component Things to Consider

Basic When determining Basic Salary, ask...

• How much basic salary can your dealership afford to payeach role holder?

• How much are my competitors paying as a basic salaryfor each role holder?

• Should all employees in a particular grade receive thesame basic salary?

• What percentage of the total package can I allocate forbasic salary?

The other fixed components could be:

• House Rent Allowance (HRA)

• Uniform allowance

• Conveyance allowance

• Medical

• Cell phone

• Subsidized lunch etc

Each of the above could be fixed as per the level of the employee.

VARIABLE

Following are the components that may be considered for variable pay:

• Incentive

• Bonus

Each dealership organization can devise their own packages as per thepolicy agreed.

STATUTORY

Following two are mandatory for all permanent employees of anyorganization:

• Provident Fund (PF)

• Employee State Insurance (ESI)

Note: Kindly refer to "Industrial Employment Standing Order Act"for details.


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COMPENSATION FOR PERMANENT EMPLOYEES

Permanent employees of the organization should be given all the threecomponents of compensation i.e. Basic, Variable and Statutory.

Kindly refer to Employee categories-Bands and Designations (Pg 23) thatwould give you a basic salary range for each role holder.

COMPENSATION FOR TEMPORARY EMPLOYEES

Certain assignments are temporary in nature. The compensation for thesestaff can be either on a daily basis or a fee can be fixed for the entireproject that can be paid as per agreed installments.

COMPENSATION FOR CONTRACT EMPLOYEES

We need to keep certain role holders on contract for the following reasons:

• To counter continuous absenteeism

• Non productive and unskilled labour is involved

• We can get professional supervision

• More accountability

• Most roles involve shift work

• Difficult to find staff on permanent roles

• Productivity is more if through contract

• Union reasons

• Better control

Some of the role holders who would fall under this category are:

• House keeping staff

• Water servicing / washing / certain staff from body shop

• Security

• Cleaners of vehicle

• Pantry boy

The payment is through Contractors, who are registered with the Labourdepartment. We need to pay them a consolidated fee.


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Reward and Recognition

As an organization we need to take care of our employees and theirfamilies. Following are some of the benefits that can be considered subjectto meeting minimum monthly performance norms :

• Dinner coupon at a good restaurant for family at end of 1st year

• Discount vouchers for shopping in home stores in dealership city

• Company approved doctor for cashless consultation

• Company approved barber for cashless haircut

• Railway / bus coupons

• Company approved gift shop for cashless purchase of birthday gifts forchildren up to age of 10 as mentioned in company records / joiningform, of pre fixed value.

• Pair of School uniform for technicians children going to school up toage of 10 years.

• White good worth Rs XXX. for family at end of 2nd year (EMI to be paidby dealership).

• 2/4w loan at end of 2nd year , 50% emi to be borne by dealership +50% from salary

• Eligibility for school tution fees for 1 child at end of 2nd year

• Financial support for education / vocation of employees child directlypayable to institution

• Life Ins for Rs 1 lac, yearly premiums to be paid by dealership at endof 3rd year

• Mediclaim for Rs 1 lac , yearly premiums to be paid by dealership atend of 4th year

• Long serving employees family dinner with management with citationto employees.

• Long serving employee board with photographs

• 1 week paid vacation to employee and family to a tourist destination.

• Job offer to employee's next kin after completion of 10 years inservice.

All the above will help you create sense of belonging / loyalty and retainyour employees for a longer time.


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Incentive Plans

Under Incentive let's look at the following sections:

• Why are incentives necessary?

• Who should get incentives?

• Incentives for Sales

• Incentives for Service and Parts

WHY ARE INCENTIVES NECESSARY?

Incentive is for motivation of employees to excel in their area of work andgetting rewarded for that. It ensures that once the employees meet orexceed their targets, the company shares its profits with employees whocontributed towards the profit - for the rest, there is salary.

In this scheme, the individuals can calculate the approximate earnings atthe end of a particular month / quarter / half year / year. It is hoped thiswill motivate people to put in that little 'extra' effort to reach the nexthigher level, to increase their earnings, thereby improving theperformance of the organization, which is the underlying theory of theIncentive Scheme.

Group incentive schemes can be formulated by keeping three parametersmandatory for attainment, viz,

1) Individual (the individual will have to attain his target, eg bayproductivity / units sold)

2) Group (group or department or functional area have to meet its overalltarget, eg overall bay productivity / overall units sold )

3) Organization (the total organizational target has to be achieved too,eg total labour revenue / gross profit from units sold).

Various weightages can be assigned to each of the parameters and theincentive calculated.

WHO SHOULD GET?

Incentive is a tool to keep your staff motivated and retaining them. Ideallyit should be given to all 'Customer interface' role holders. But it is observedthat as any operation is teamwork, it is a good practice to share a portionof the 'kitty' with all the stakeholders at the dealership.

For example, if we pay a token amount to the showroom attendant whoprepares the new vehicle for delivery, he is enthused to do his routine joband hence we can keep our customers happy, as they will get a shiningcar!


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SALES

Sales incentive - Remuneration offered to sales dept personnel for exceeding some predetermined sales goal.

Special incentive - An additional payment (or other remuneration) to employees as a means of increasing output.

SALES INCENTIVES (Example)

• Volumes target

• Gross profit target

• Finance and insurance penetration target

• Accessory target

• Prospect generation target

• Test drive targets

• Corporate deal targets

• Top Box Rating

SPECIAL INCENTIVES (Example)

• Aged stock liquidation

• Volume linked to manufacturers discount

• Price protection

• Accessory packs

• Bulk deals

• Milestones achieved (eg 100 club / 150 club), etc.

• SSI target

• MDEP score

• RDI score

WHO ARE THE BENEFICIARIES?

• Sales Consultants

• Finance Consultants

• Accessory Consultants

• Administrative Staff (Hostess, Back office, Telemarketing, Reception)

• Managers

PROCESS

• Agreed beginning of month and announced in writing

• Payable by 15th of following month / spot

• Cash or cheque

SHARING OF INCENTIVES BETWEEN CONSULTANTS

Sales Consultant A generated the lead recorded in CDIF. Lead closed bySales Consultant B without knowledge of consultant A or the lead reallocated to Sales Consultant B by Manager for operational reasons.

Decision on credit for sale will be held in abeyance till close of month andtaken by the Manager.

In such case the credit for closing the sale will be evaluated based onfollow-up comments on CDIF of both consultants. If follow up efforts foundto be equal, credit for sales will be halved. Manager's decision will be final.


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SERVICE AND PARTS

WHO ARE THE BENEFICIARIES?

• Technicians

• Service Advisors

• Service Supervisors / Technical specialist / Co Techs

• ICRs

• Back office staffs

• Parts Manager / Parts supervisor

• Works Manager

• Service Manager

• Hospitality Manager

MONTHLY INCENTIVES (Example)

• Service Absorption target

• Additional Service Sold

• Accessory targets

• Labour revenue

• Spares revenue

• 3rd, 30th, post service contacts

• Appointment rates

• Concern resolution rate

• Vehicle on time ready rate

• Top box rating

• Instant feedback card

• Productivity target

• Efficiency target

• First Time Right target

• Cost estimate

• Time estimate

• Contact rate

• Satisfaction rate

SPECIAL INCENTIVES (Example)

• Campaign / Clinic / Event target based

• Milestones based

• Accessory packs

• Service Contracts / AMCs

• Dead Stock Liquidation

• CSI target

• MDEP score

• RDI score

PROCESS

• Agreed beginning of month and communicated in writing

• Payable by 15th of following month / spot

• Cash or cheque


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TEMPLATES FOR INCENTIVES

• Budgeting template Service incentives

• Budgeting template Sales incentives

• Communication template

IMPORTANT NOTES AND TIPS:

• Productive staffs (Consultants / Technicians) should be on lower basesalary and very attractive commission or incentive on productivity.This will motivate them to deliver more.

• Base Salary and commission calculation should be made with anaverage talent individual in mind. The first slab for commission orincentive should be easily reachable. This coupled with base shouldgive the employee the basic minimum sustenance money.

• Higher percentage of base salary for Managers enables to focus onmanagement duties developing employees and managing processes.Incentive or commissions for higher levels should always be linked toprofitability / customer satisfaction / process adherence.

• Service Advisors should be given higher base salary and incentives tobe linked to CSI and hours sold per RO.

• Paying on hours per repair order encourages Service Advisor todevelop habit of inspecting vehicles in detail (also adds to CSI) andselling of maintenance for additional needed repairs.

• Commission based on Sales Gross and additional revenue (accessory/insurance) for Sales Managers helps to ensure focus on businessgrowth and profitability.

• Bonus pay outs focuses on long-term objectives; yet, this is off set bythe quarterly commission based on gross profit.

• Paying out bonus on a yearly basis focuses employee on longer termgoals.

• Every employee should be given long serving bonus.

• Training and Development activity targets provide the managerincentive to develop skills and implement action plans

• Higher proportion of pay in commission exposes manager to greaterrisk as well as greater opportunity to make/lose money.


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POLICY NOTE

"Compensation of an individual plays an important role in attracting theappropriate talent to the dealership. The same needs to be competitivecompared to what is offered by other competing dealerships''.

1. The compensation needs to be divided into three parts a fixed part,second statutory components and finally a variable part linked toperformance and customer satisfaction scores.

2. The compensation to the person should be within the bands / levelsprovided for each role incumbent.

3. The fixed component should be revised on an annual basis based oncost of living increase and in benchmark to what is offered in themarket to people with similar skills and competencies. The sameshould normally increase in change of band and level.

4. The variable component of the salary should be directly linked to theindividual performance targets set at the beginning of the month.

5. All employees should be paid before the 7th of the month the salaryaccrued to him for the last month.

6. The variable payments either announced by the dealerships or byMahindra need to be paid by the 15th the subsequent month.

7. All payments made should be recorded and subject to audit once every6 months by the AO personnel.

8. Incentive (Variable component) should be announced in writing andacknowleged by the concerned employees at the beginning of themonth.


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100%

1000

100%

100%

95%

95%

98%

100%

98%

98%

98%

100%

NB : Similar template can be used to plan incentives for Showroom


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PERFORMANCE

MANAGEMENT SYSTEM (PMS)

WHAT IS PMS?

It is a formal, structured system of measuring and evaluating anemployee's job related behaviours and outcomes to discover how and whythe employee is presently performing on the job and how the employeecan perform more effectively in the future so that the employee and thedealership both

Under Performance Management System, we will be looking at thefollowing two areas:

Objective setting

Review / Feedback Mechanism / Promotion Norms

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Objective setting

We need to set performance objectives in all the three departments of thedealership organization, which is:

• Sales

• Service

• Parts and Accessories

Frequency of review of the objectives for key role holders on somesuggestive(not exhaustive) parameters

General Manager (overall) Frequency

Sales Volume and Market Share Monthly

Net Profit from new vehicle sales Quarterly

Service Absorption Monthly

Manpower Retention Half Yearly

CSI Yearly

SSI Yearly

MDEP Yearly

RDI Monthly

General Sales / Sales Manager Frequency

Volume and Market Share Monthly

Accessory revenue Monthly

Field Productivity Monthly

Gross profit Quarterly

RDI Yearly

SSI Yearly

Finance revenue Monthly

Insurance revenue Monthly

TOP BOX rating / Instant feedback Monthly

Sales Consultant

Model wise volumes Monthly

Gross profit per sales Monthly

Finance penetration Monthly

Insurance penetration Monthly


Prospects target Monthly

Test Drive Vs prospect target Monthly

Kill ratio Monthly

Recommendation sales Monthly


SSI / RDI Monthly

General Service / Service Manager Frequency

Repair Order numbers (overall

and post warranty) Monthly

Service Absorption Monthly

Concern resolution Monthly


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Productivity Monthly

CSI Yearly

MDEP Yearly

RDI Monthly


Service Advisor Frequency

Lab revenue Monthly

Accessory sales Monthly

Add service sales Monthly

On time rate Monthly

CSI Yearly

RDI Monthly

TOP BOX ratings / Instant feedback Monthly

Cost and time estimate Monthly

Service Supervisor / Tech Specialist / Co Tech

Labour revenue Monthly


Efficiency Monthly

Right on Time Monthly

First time right Monthly

On time delivery Monthly

CSI Yearly

Technical Reports Monthly

Training Sessions Monthly

Technicians



Efficiency Monthly

CSI Monthly

First time right Monthly

Parts Supervisor

Spares revenue Monthly

Lines fill rate Monthly

Parts Turn rate Monthly

CSI Monthly


ICR

Concern resolution rate(CCF) Monthly

3rd and 30th day contact rate Monthly

Post service contact rate Monthly

Service reminder rate Monthly

Appointment hit rate Monthly

CSI Monthly

Home installation rate Monthly

Back Office (Cashier/ Clerk)

CSI Yearly


Timely vehicle delivery Monthly


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Review / Feedback Mechanism

In this section we will cover the following:

• Importance of performance review and feedback

• Interval for review

• Documentation for review

IMPORTANCE OF PERFORMANCE REVIEW ANDFEEDBACK

Companies look forward to comments from Board of Directors or stockmarket shifts on how the company's performance is being seen by theowners of the company (ie share holders), likewise employees working forany organization also are keen to know about how they have performed inthe eyes of their owner (ie Dealership management) .

To be fair on employees and prevent appraisals from getting biasedbecause of a most recent episode or because of some relationship issues,it is always recommended that performance reviews have right mix ofobjectivity and subjectivity.

A performance review is objective on

• Business parameters (ie objective Vs delivery).

• Sales Volumes

• Model Mix

• Prospects

• Accessories

• Repair Orders

• Revenue

• Gross Profit

• Service Absorption

• Etc, etc

It is subjective with respect to

• Employees description on his contribution towards transformation andgrowth of business

• Supervisors comments on leadership and other areas

Thus professionally run organizations do not keep expectations tointerpretation. Objectives of key role holders are jointly agreed anddocumented at beginning of year. Objectives can be reviewed midway incase business environment demands. Such an approach providesopportunity to an employee to show performance vis a vis expecteddeliverables.

Performance Reviews are recommended at 6/12 month's intervals. Thesereviews are conducted on structured formats and documented byimmediate supervisors with respect to comments on performance,suggestions and action plans for improvements, and next review.


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INTERVAL FOR REVIEW

Ideally speaking we can do an informal review every month and a formalreview every six months. For an informal review we need not capture anydata, but for formal review it is mandatory that we capture information intemplates.

Promotion Norms

Please refer to the employee promotion template given at the end of thissection.


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ACT ACT ACT ACT ACT


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Training sessions conducted


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POLICY NOTE

1. It is important to review your employees for three main reasons.

• How much has he/she contributed to the dealership objectivesfor the period under review.

• Identify training needs.

• Identify employee potential for growth / change in role.

2. The review mechanism should be conducted on a 6 months and 12months basis as per the template enclosed. This form should bementioned in the personal file of your employees.

3. 6 / 12 month review teplate is an auditable document should be filedappropriately in employee file


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TRAINING / COACHINGWe will cover the following topics in this section:

Training & its Importance

Training Need Identification

Training Calendar

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Training & its ImportanceSuccessful candidates placed on the jobs need training to perform theirduties effectively. Workers must be trained to operate machines, reducescrap and avoid accidents. It is not only the workers who need training.Supervisors, managers and executives also need to be developed in orderto enable them to grow and acquire maturity of thought and action.Training and development constitute an ongoing process in anyorganisation. This chapter is devoted to a detailed discussion on the natureand process of training and development in a typical industrialestablishment.

Training is a tool to "sharpen the saw". Hence it has to be conductedat frequent intervals. Training can be classified into 3 broad categories.

• Training for skills

• Training for knowledge

• Training for attitude

Under Skills training we can have focus on teaching a skill:

• The Meeting/Greeting/Self introduction

• Selling skills

• Soft skills (actuation, communication, customer care and businessetiquettes)

• Telephone handling/etiquettes

• Perception enhancement training

Under Knowledge training we can have focus is on providing info / data ona particular subject / topic.

• Product training (Company, Products and Competition)

• Process training

• Technical training

Under Attitude training we basically need to understand others and self inthe total perspective.

Attitudes represent feeling and beliefs of individuals towards others.Attitudes affect motivation, satisfaction and job commitment. Negativeattitudes need to be converted into positive attitudes. Changing negativeattitudes is difficult because- (i) employees refuse to change, (ii) they haveprior commitments, and (iii) information needed to change attitudes maynot be sufficient. Nevertheless, attitudes must be changed so thatemployees feel committed to the organisation, are motivated for betterperformance, and derive satisfaction from their jobs and the workenvironment.

To compare training in IT terminology, "Skills" is like the 'User-interface',"Knowledge" is like the 'Operating system' and "Attitude" is the 'CPU'. Likein IT if any one of these tools does not function properly, then the PC getshung. Similarly every person has to have the right 'attitude' to leveragehis 'knowledge' by applying the 'appropriate' skills.

When "Skills", "Knowledge" and "Attitude" are in perfect harmony, we cancreate "Habits", which should be the ultimate objective of any Training!

"No Training can deliver guaranteed results unless traininginformation is translated into application in day to day work".


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To understand our self better through various tools / exercises /questionnaires and work towards consciousness of things we need to focuson to make ourselves more effective of efficient.

Coaching is a process wherein the coach helps the coachee to recognizehis / her areas of them to development and guides in a structured way tohelp him work on his develop areas of coverage strengths.

Let's look at the 5 steps in coaching:

Coaching Step Definition

Step 1 Get agreement that a Coaching can occur to improve poorproblem or opportunity performance, which is most often con-exists. sidered a problem. Coaching can also

occur to further enhance goodperformance, which is referred to asan opportunity. In either situation, theperson being coached shouldunderstand why coaching is the toolyou will be using to improve/enhancehis/her performance.

Step 2 Mutually discuss After the employee agrees to the alternative solutions problem or recognizes the oppor-

tunity, both of you should worktogether to discuss the ways toimprove or enhance the performance.Suggestions may be new workexperiences, training, increased jobresponsibilities, or other methods.You are simply generating a list ofalternatives in this step. Ask for andlisten to suggestions from youremployee. Do not offer solutions, theyneed to come from coachee.

Step 3 Mutually agree on the Discuss the benefits and drawbacks toaction to be taken each proposed solution. Then select

the solution that both you and youremployee agree will give the resultsyou both want. Remember that youare facilitating the discovery of asolution, not telling the employeewhat to do.

Step 4 Follow up to ensure that Set specific dates to follow-up withthe agreed-upon action the employee on his/her progress. Behas been taken sure to tell your employee the date,

but offer to meet with him/her earlierif necessary. The employee shouldalways feel comfortable approachingyou with any struggles oraccomplishments at any time duringthe coaching relationship

Step 5 Positively reinforce any Your employees will respond best whenachievement you demonstrate that you genuinely

care about them. Be open andgenerous with your praise when theemployee makes progress toward thegoal.


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Training Needs identification (TNI)TNI has to be conducted in order to arrive at a training calendar. Typicallyin a TNI we have to map the Skills, Knowledge and Attitude of theemployees and then decide which training needs to be given to a person.

We can have a department training plan as follows:

Type Description Who Should What is The When Should Are There of The Be Trained? Outcome of Training Be Any

Training Training? Completed? CertificationRequirements?

Skills training

Knowledgetraining

Attitudetraining

Department manager should submit the TNI form to the HR dept and gettheir approval to intimate employees of the likely training months/travelrequirements

Training nomination form should be filled up and submitted

Post the training session, the employee must submit a one page report &also conduct a 30 minute session for his / her peers/ sub-ordinates on atleast 1 or 2 key leanings of the program attended.

Training Calendar

Every organization needs to have a training calendar for its employee. Itneeds to be prepared at the beginning of the year and circulated to allemployees through the respective department heads. It should be mademandatory that the appointed employees attend the training without fail.No operational excuses should be allowed.

At M&M, Mahindra Institute of Learning Excellence (MILE) preparesa training calendar for the dealership staff at the beginning of the year andinforms the same through our Area Offices and a copy of the calendar isalso sent to all the dealerships. This calendar includes the technical andnon-technical training for all dealership staff.


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SALES

The following programs have been identified for employees in sales.

• SSI / 6006 training

• Product training

• Selling skills- Sales story

• Communication skills

• Sales process training

• Basics of automobile

• Basics of finance

• DMS

SERVICE

The following programs have been identified for employees in service.

• CSI / 6006 training

• Customer Care- Process training

• Communication skills

• Warranty

• Product and technical knowledge

• Troubleshooting

• Attitude training

• DMS

SPARES

The following programs have been identified for employees in spares.

• Inventory management

• Housekeeping techniques

• DMS


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POLICY NOTE

"Training of employees is the key to enhance the productivity of theindividual. All dealer organizations need to have a Standard training planfor their employees''.

1. No technician should be allowed to independently work on acustomer's vehicle, unless he undergoes in- dealership training andevaluated by M&M Service Engineer.

2. Every technical employee should undergo MILE training within 6months of joining dealership.

3. Every sales employee should attend Level 1 course within 30 days ofjoining dealership and get certified within 6 months of service withdealership.

4. No untrained employee will independently interact with customerunless he/she has undergone in-dealership training approved by M&Marea office and accompanied calls with trained dealer employee.

5. TNI form is auditable document and hence filed for review.


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SEPARATION PROCESS

EXIT INTERVIEW

OBJECTIVE

Just like at the time of an employee joining some transactions areundertaken, we also need to follow some actions when an employee isleaving the organization.

The employee must be released after all his dues are settled dealership.

We must also ask the exiting employee to fill up the exit interviewquestionnaire & then conduct a one on one exit interview. This provides aforum through which the departing employee and HR meet to discuss thereasons for the employee's decision to quit the organization.

This provides an opportunity for diagnosis and taking suitable measures,based on the feedback given by the departing employee on various aspectsof the organization. Please refer to the exit interview questionnaireattached here; you may want to customise it for your dealership.

"Most employees quit bosses not jobs".It is very important for you as an owner to know the accurate reason ofyour employee turnover. Exit interview is a simple tool to be executed byyour HR team.

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POLICY NOTE

Feedback from the existing employee must be captured and maintained.This information must be analyzed on annual basis to capture key reasonsfor the separation so that corrective measures can be planned for.

MIS on Exit Interview should be made by HR and available for verification

This information needs to be maintained both as hard and soft copies foraudit purposes.


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117

Guidlines for

Employee HandbookDear ……………….

We are pleased to welcome you to dealership M/s ………………...........Myresponsibility is to ensure that as my employee, you get competitivesalaries, safe and healthy work environment, get treated with respect anddignity, and grow based on performance.

Similarly your job also carries with it certain obligations .These includeabiding to our process manuals , providing most courteous service to allcustomers, cooperating with fellow employees and your supervisor,meeting your business targets , quality workmanship and abiding by therules and regulations which are necessary for the benefit of all dealershipand its employees.

Our success hinges on providing desired services to customers better thanour competition.

Again, welcome to our dealership. I hope you find your employment herea rewarding experience.

You are requested to go through this employee handbook that will answermany questions you would be having with respect to your new workenvironment.

Feel free to speak to your immediate supervisor if you have somequestions.

In case you desire to talk to me or write to me please contact my secretaryMr/Ms ……

Best Wishes

Dealer Principal

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TABLE OF CONTENTS

Introduction

Employment Policies and Procedures

Employee Benefits

Health and Safety Policies


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Introduction

DEALERSHIP MISSION STATEMENT

Insert your dealership's mission statement here.

EMPLOYMENT AT WILL

Your employment with ………………………………………………………….. is at will, notfor a fixed term. This means that your employment is not guaranteed forany length of time and is subject to satisfactory performance and abidingby rules and regulations as mentioned in this employee handbook.

EQUAL EMPLOYMENT OPPORTUNITY

The dealership provides opportunities on the basis of an individual'squalifications and abilities to perform a job without regard to age, sex,religion as these factors as irrelevant to an individual's ability to performhis or her job effectively.

EMPLOYEE STATUS

A regular full-time employee ordinarily is scheduled to work xx hours perweek on a regular basis. A regular part-time employee ordinarily isscheduled to work a minimum of xx hours a week on a regular basis.(Please refer to for relevant laws mentioned in the Shops andestablishments act)

PROBATION

Any new employee has to be under probation for 90 to 180 days with thedealership depending on role / level. This period may be extended by thedealership based analysis of your performance during probation period.Upon completion of this period, you will become a regular employeeeligible for fringe benefits (if any) offered by the dealership.

PERFORMANCE REVIEW AND PROMOTIONS

Purpose of the appraisal is to plan your future development. While youmay receive pay increases or promotions based on your performances, nopay increase is guaranteed.

As the dealership business grows, new job opportunities and roles may becreated. We will try to select qualified current employees for positions ofhigher responsibility before recruiting outside the dealership. Some of thefactors considered in such promotion decisions are:

• qualifications

• performance appraisals history

• job role demands

• consent of business partners


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Employment Policies and ProceduresWhenever people work together, some rules and guidelines for conduct arenecessary. We have not attempted to list every dealership rule or policybut instead have listed some basic rules. The dealership will discipline, upto and including discharge, for violations of any dealership rule or policyincluding the following, or for any other inappropriate conduct or action:

1. Dishonoring dealership instructions or rules (including safety rules), orother policies.

2. Interference with business, inefficiency, in competency, or neglect ofduties.

3. Repeated tardiness or absences from work without notice.

4. Dishonesty and other integrity issues.

5. Abusive or discourteous language, threats, fighting or injury to theperson or property of dealership personnel or others doing businesswith or seeking to do business with the dealership.

6. Being under the influence, possession, sale or use of alcohol duringdealership working hours.

7. Soliciting or distributing literature in violation of dealership policy.

TERMINATION

An employee may terminate employment or be terminated by thedealership at any time, during or after the introductory period, for anyreason, subject to applicable law.

EXIT INTERVIEW

Exit interview is conducted for the purpose of gathering information on theemployee's perceptions about the dealership as an employer .

WORK HOURS

Due to the nature of our business, working hours varies in order to satisfycustomer needs. Your departmental manager will inform you of your hoursand weekly offs/holidays.

PAYMENTS

Pay periods are as follows:

Salary to employees Monthly ( by 5th of following month)

Incentive to employees Monthly ( by 15th of following month)

Payments will be presented only to the employee unless written / standingrequest is made for special handling.

OVERTIME

Whenever overtime is necessary the manager will give as much advancenotice as possible when needed beyond normal hours. Overtime slip is onlyauthorized for payment only when signed by the manager.

ATTENDANCE

All employees are expected to mark attendance on arrival. Few workshopemployees are required to keep a time record which shows the actualhours worked each working day. Any violation of this procedure will resultin disciplinary action.

LUNCH TIME AND TEA BREAKS

xx minutes lunch time and two xx minutes tea breaks are offered duringthe day. The timings may vary on seasonality factor or work load.


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CUSTOMER (RISHTEDAAR) RELATIONS

This dealership's image is influenced by its employees interfacing withcustomers. We treat customers as "Rishtedaars". Never argue or showyour dissent to customers. Maintain your clam and remain courteous andpolite even if instigating words are used by Rishtedaars. If you cannotsatisfy a rishtedaars, refer him or her to your manager. Efforts to honour6006 promise should be your prime focus.

DRESS CODE

Personal grooming and dress code is very important as it speaks fordealerships image in front of Rishtedaars and hence it must be inaccordance with the dealership's policies.

DEALERSHIP TELEPHONES / E MAIL / FAX

It is important to keep telephone lines free for business call. Telephonesshall not be used for personal calls, except in the case of an emergency.Please make your personal calls during free time / non working hours.

PERSONNEL RECORD

You will be responsible for providing immediate change information aboutyour address, contact number etc to HR cell. Failure to provide thisinformation will be seen as violating rules.

DEALERSHIP PROPERTY

Huge amount of money is invested by your dealership in various assets(building, furniture, computers tools and equipment etc). Employees areexpected to take care of dealership property. Negligent use or abuse ofdealership assets will be dealt strictly which might include penalty ortermination from work. Theft of dealership asset will mean immediatetermination without any benefits.

Removal of salvageable materials without the consent of the Dealer will beconsidered to be theft.

PART TIME JOBS

If you pursue other part time / off day employment you have to inform HRdepartment in order to determine whether the other job will have anyconflict of interest with your responsibilities here.

CONFIDENTIAL INFORMATION

All dealership information and documents are to be treated as confidential,unless you are otherwise instructed by management. Failure to follow thispolicy will result in disciplinary action, including discharge from job.

SUGGESTIONS

Suggestions are most welcome and may be submitted on printedsuggestion forms kept with HR .Because the dealership is interested inimproving its efficiency and the quality of service which we provide for ourcustomers, we will review all suggestions.

NOTICE BOARDS

The dealership maintains bulletin boards located in the common rooms tofurnish you with up-to-date information. Please pay careful attention toposted notices. The company bulletin board is only for written materialwhich has been approved by the Dealer. Personal notices or other materialmay not be posted without prior approval.


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SMOKING/ALCOHOL

You may use the designated smoking areas outside of the building during yourregularly scheduled breaks.Smoking is not permitted in the presence of a Rishtedaaror in dealership owned vehicles. Alcohol is strictly barred in dealer premises.

LONG SERVICE AWARDS

Various service awards will be presented in acknowledgment of your longrelation with us.

CUSTOMER VEHICLES

Every precaution should be taken to drive Rishtedaar vehicles as carefullyas possible, obeying all traffic regulations, including the use of seat belts.Rishtedaar vehicles may only be driven for road testing purposes asrequired by your job. Any other use of Rishtedaar's vehicles may begrounds for immediate termination. When leaving a Rishtedaar's vehicle,be sure that all windows have been closed and the vehicle is properlyparked and secured in the service compound. Smoking, eating or playingthe radio in a Rishtedaar's vehicle are not permitted.

DEALERSHIP VEHICLES

Some employees may be requested to drive an automobile owned by thedealership. It is important for our insurance coverage that only licenseddrivers be permitted to drive dealership automobiles. We request that youreport any violation to your supervisor.

Dealership automobiles are to be operated legally at all times. Therefore, anywhich you incur while driving a company vehicle is your responsibility unlessother arrangements are made. In the event that you are in an accident in adealership-owned vehicle and are found to be at fault, you may be required topay all or a portion of the cost of repairs and may be discharged. Everyaccident, no matter whose fault and no matter how slight, is to be reported toyour supervisor immediately.

Employees are required to use seat belts while driving or riding in dealershipowned vehicles and to observe the law concerning the use of child restraints.Smoking, eating or playing the radio in a Rishtedaar's vehicle are not permitted.We require you to report a seizure / lapse of your driver's license to yoursupervisor at once. The revocation or your driver's license may affect yourcontinued employment status. Those employees who are provided demos willfollow the rules stated in the demo agreement. Any deviation from any of theserules could result in termination.

DEFINITION

Employee means everyone employed by our dealership in any capacitywhatsoever (including management), and any employees working for oursub-contractors / trainees.

Illegal or unauthorized item or substances means any item or substance:

(a) use, possession, or sale of which is illegal; or which cannot legally bepurchased over-the-counter,

Alcohol means any alcoholic beverage or substance containing ethylalcohol.

"Under the Influence" means having one or more of the following mental ability has been affected;

(a) judgment is impaired;

(b) emotions are visibly excited; or

(c) lost control of bodily actions.

Dealership Premises means all areas in which the dealership has aninterest, including, but not limited to, all dealership property, facilities andvehicles owned, leased or used by the dealership.


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Employee Benefits

HOLIDAYS

Paid holidays are set aside each year for full-time regular employees. Theactual dates will be determined yearly and posted. The holiday schedulemay include the following days:

Generally, all departments will be closed on the above holidays; however,the sales department may be scheduled to be open. Individual employeesin other departments may, on occasion, be required to work on a holiday.

LIFE INSURANCE

All employees who participate in the group medical program are alsoprovided with term life insurance, at dealership expense.

ACCIDENTAL DEATH OR DISMEMBERMENT PLAN

Each eligible employee is also insured for Accidental Death orDismemberment Insurance. The full cost of this coverage is paid for by theDealership.

LEAVE OF ABSENCE

Any request for a leave should be submitted in writing to HR cell inadvance as far as possible. For any extended leave of absence a writtenextension request to be submitted and approved in advance of the originalexpiration date. Prolonged absence without approval beyond xx days willautomatically cease your employment with us.

Bereavement In the event of the death of an employee's near or dear oneapproval of special leave will be taken on case to case basis at discretionof management.

EMPLOYEE REFERRAL BONUS PLAN

Open positions will be posted on our notice board. If you know of someonewho would like to work here, we will be pleased to evaluate. Inform yoursupervisor and be sure the individual mentions your name when contactingthe dealership.

Should your referral be appointed and that person satisfactorily completes90 days of employment, you will receive a Rs.xx bonus for an executiveposition referral or a Rs.xx bonus for a non executive position referral.This bonus entitlement does not apply to individuals who are normallyresponsible for the recruiting and hiring functions.

EMPLOYEE COMPENSATION

The dealership provides workers' compensation coverage to all employeesfor injuries arising out of and occurring in the course of employment. Thiscoverage provides disability benefits, medical benefits and other benefitsthat are reasonable and necessary to cure or rehabilitate the employeefrom the effects of their occupational injury.

STATUS OF BENEFITS AT TERMINATION

At the time of separation from the dealership, benefits will be administeredas follows:

• Any unused earned vacation time will be paid to you. This paymentwill be included in your last pay check.

• Any unused sick days will be forfeited and will not be paid.

• An employee may elect to continue their usual health benefits for aperiod of time by paying the group rate insurance cost. Thedealership's COBRA administrator can explain costs, paperwork, andcontinuation and coverage details.


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Health and Safety Policies

SAFETY

We strive to maintain a safe and healthful working environment for allemployees. In order to do so, we count on you to keep your work area ingood condition. In addition, we also rely on you to report to yoursupervisor if you observe what you consider to be an unsafe workingcondition or practice or if you discover unsafe tools or equipment.

Example of Several important safety rules are:

• never run machinery or equipment unless trained and authorized

• Use proper lifting techniques for heavy loads

• Never store flammable and hazardous waste materials in nonapproved locations

• Power off equipment not in use

• Keep first aid kit locations free from clutter and know how to use them

• Dial xxxx for reporting emergency-


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MANAGEMENT STATEMENT

I have read the Employee Handbook and approve the policies included.The management of our dealership will use these policies in conductingtheir day-to-day operations. The policies apply to the entire dealership.

Dealership Principal General Manager Office/HR ManagerSignature Signature Signature

Date Date Date


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Employee Pulse Survey


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Dear Partners,

We are what we repeatedly do; Excellence then is not an act but a "Habit".Good "Habits" come out of Good "Acts", which is an outcome of "RobustSystems & Processes". In today's competitive scenario what differentiatesthe "Good" from the "Great" are "Robust Systems and Processes" that helpin delivering value to the "Customer".

Value delivery to the "Customer" is a direct function of how our people areable to engage effectively with the customer in order to give them anexhilarating experience both at our workshops and at the show rooms.This would mean that they are kept engaged through effective HRSystems & Processes. Talent in this context therefore is the differentiatorthat help us to get the competitive edge to deliver value to customer. Theneed therefore is to have sound systems and processes to manage Talenteffectively.

I am happy to note that all our dealerships have decided to adopt asystems approach to managing talent so that "Engagement" levels go upsignificantly. Engagement of the Employee is crucial in customer attraction& retention as for every dis-engaged employee you need 10 engagedemployees. Hence Productivity is a function of how our employees connectto business as otherwise the efforts required to manage the fallout indisengagement is disproportionately high. The HR Manual that is beingadopted therefore is a right step in this direction. The process ofRecruitment, Reward & Recognition etc. will help in Attraction & Retentionand go a long way to make our dealerships a Great Place to Work.

My best wishes to all our Partners in their endeavour towards progressingfrom "Good" to "Great".

Regards,

Prince M. Augustin

Sr. Vice President - Human Capital

Mahindra & Mahindra Ltd

Automotive Sector


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