individual project table of content_hero honda

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Individual Project Table of Contents 1. Introduction 2. HR Department and its functions 3. HR Policy 4. HR Planning A) Issues in HR Planning B)Measures undertaken to address the issues 5. Recruitment & Selection a) Issues in Recruitment & Selection b) Measures undertaken to address the issues 6. Employee orientations 7. Training and Development a) Issues in Training and Development b) Measures undertaken to address the issues 8. Career Planning a) Issues in Career Planning b) Measures undertaken to address the issues 9. Performance appraisal a) Issues in Performance Appraisal b) Measures undertaken to address the issues 10. Mentoring and Coaching 11. Compensation a) Issues in compensations b) Measures undertaken to address the issues 12. Employee relations 13. Outsourcing HR Services 14. Conclusions 15. Suggestions 16. Appendix: Filled in questionnaire 1

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As some of the students are asking for table of contents for individual project we upload it in AIS

Individual Project

Table of Contents

1. Introduction

2. HR Department and its functions

3. HR Policy

4. HR Planning

A) Issues in HR Planning

B) Measures undertaken to address the issues

5. Recruitment & Selection

a) Issues in Recruitment & Selection

b) Measures undertaken to address the issues

6. Employee orientations

7. Training and Development

a) Issues in Training and Development

b) Measures undertaken to address the issues

8. Career Planning

a) Issues in Career Planning

b) Measures undertaken to address the issues

9. Performance appraisal

a) Issues in Performance Appraisal

b) Measures undertaken to address the issues

10. Mentoring and Coaching

11. Compensation

a) Issues in compensations

b) Measures undertaken to address the issues

12. Employee relations

13. Outsourcing HR Services

14. Conclusions

15. Suggestions

16. Appendix: Filled in questionnaire

1. Introduction Human resources is one of the most valuable and unique assets of an organization. According to Leon C. Megginson, the term human resources refers to the total knowledge, skills, creative abilities, talents and aptitudes of an organizations workforce, as well as the values, attitudes and beliefs of the individuals involved. Management as a process involves planning, organizing, staffing, leading and controlling activities that facilitate the achievement of an organizations objectives. All these activities are accomplished through efficient utilization of physical and financial resources by the companys human resources.

Before the 1980s, personnel administration was characterized by standardization, and consistency and conformity were the hallmarks of the management policy. However, today, flexibility has become a significant aspect of a companys corporate human resource strategy. Though an organizations physical assets are major factors in determining its success, it has now been accepted that its employees or human resources, are equally critical assets. The successful management of an organizations human resources is an exciting, dynamic and challenging field, especially at a time when companies are globalizing, and employing increasingly larger numbers of knowledge workers.

There is a vast difference between modern HRM and the personnel management that was prevalent decades ago. By the end of the twentieth century, the managerial philosophy that has defined the personnel function has undergone radical changes. Over the past eighty years, the scientific management approach and the human relations approach appeared and then disappeared too. The human resource approach has gained prominence in the recent times.

Hero Hondas approach

Hero Honda has adopted the human resources approach, which treats the organizational goals and employee needs as being mutual and compatible, and which can be pursued in unison.

Research in behavioral sciences during the 1970s suggested that treating people as resources rather than as factors of production or as human beings who act on the basis of emotions alone, would lead to real benefits for the organization as well as for the employee. The companys approach is based on a number of principles, some of which are:

Employees are assets to an organization. The time and resources employed in managing and developing them are an investment that the organization makes for better returns in the present and in the future. Policies, programs and practices must cater to the needs of employees and should help them in their work and also in their personal development. It is necessary to create and maintain conducive work environment, to encourage the employees to develop and harness their knowledge and skills for the benefit of the organization.

HR policies and practices should be in alignment with the goal of balancing individual and organizational needs. This can be achieved through a mutual process where the organization and the employees help each other to achieve their goals.

2. HR Department and its functions HRM functions can be broadly classified into two categories:

1. Managerial functions

2. Operative functions

Managerial Functions

Managerial functions of the human resource department are planning, organizing, staffing, directing and controlling. All these functions have an impact on the operative functions.

Planning

Planning involves formulating the future course of action. Planning includes determining in advance the personnel programs and changes required that would contribute to the achievement of organizational goals.

It also includes identifying human resource requirements and forecasting personnel needs, foreseeing the changes in employee attitudes and evolving effective ways of handling these changes.

Organizing

Organizing involves establishing an intentional structure of roles for people in an organization. Structural considerations such as the chain of command, division of labor, and assignment of responsibility are part of the organizing function. Careful organizing ensures effective use of human resources. According to J L Massie, an organization is a structure and a process by which a cooperative group of human beings allocates its task among its members, identifies relationships and integrates its activities towards a common objective. The organizing function establishes relationships among employees so that they can contribute collectively towards the attainment of an organizations goals.

Staffing

This is the process of obtaining and maintaining various positions at all levels, it broadly encompasses manpower planning, recruitment, selection, placement, induction and orientation, transfer, career progression and separation.

Directing

It is the process of directing all the available resources towards the common organizational goals. Thus, direction is a vital management function, which ensures maximum employee contribution and also helps in establishing sound industrial human relations. it also involves coordination between different departments to ensure maximum utilization of all resources including human resources.

Controlling

The measurement and rectification of activities to ensure that events conform to plans is known as controlling. This function measures performance against goals and plans, identifies deviations and by placing the process back on track, helps in the accomplishment of plans. Previous experiences and knowledge sharing help avoiding repetitive problems, reducing the need for controlling.

After planning, organizing, staffing and directing the various activities of HRM. Performance is verified in order to ensure that the FIRM functions comply with the plans and directions. Auditing training programs, analyzing labor turnover records, directing morale surveys, and conducting exit interviews are different ways of controlling the HRM function.

Operative Functions

The operative functions of HRM are related to specific activities of FIRM, viz. employment, development, compensation and employee relations. Since the human resource function is unique to each organization, the activities of the HR department differ from one organization to the other.

3. HR Policy HR policies define the role of the HR department in an organization. These policies are derived from the organizational and HR objectives and guide the decision-makers. They should aim at achieving both employee satisfaction and organizational objectives, without any conflict between the two, The HR policies of an organization should be based on ground realities and be employee-friendly. HR policies that are based on individual decisions of some top management staff would lead to employee frustration and their subsequent alienation from the organization.

HR policies can be defined as the set of guidelines that determine the way in which employees are to be treated in the organization. They are based on the organizational culture and the external environment, apart from the organizational objectives. For example, if an organization believes that its employees are its most important assets and that it needs to keep them happy, then its HR policies would be employee- friendly. Similarly, if an organizations goal is to grow rapidly in the market on the strength of its employees, this would be reflected in its policy to train and develop and invest in the employees. However, in an organization where human resources are treated as just factors of production, the HR department would have a very limited role to play. In a competitive environment, where companies are all vying for the same talent, the responsibility and demands on the HR department are immense.

Good HRM policies enable the management to keep the workforce secure, satisfied and motivated. They also help the management in deriving better employee performance, in better management and also in cost-savings. For example, the organizations policy on rewarding performance would enable the organization to get higher standards of performance from its employees and also keep them motivated. HR policies also help in maintaining uniformity in administration across different units and departments in the organization, as the guidelines are already set. They lead to better control and coordination. For example, the leave policy keeps track of employee regularity and the transfer policy of the organization supports better organizational management.

HR policies need to find a balance between a number of factors like organizational objectives, individual expectations, market demands, etc. Therefore, they are difficult to formulate and implement. In other cases, the positive aspects of a policy could get shrouded by individual fallacies at the implementation stage. In some other cases, a policy designed earlier might no longer be relevant or desirable. HR policies need to be updated to match the changing needs of the organization and the employees. For example, in earlier times, pay was linked to the length of service but in todays highly competitive environment, it is related to employee and organizational performance.

HR policies should be easy to understand and implement. They should favor the employees of the organization and not leave room for any discrimination among them. For example, if the performance appraisal policy of the company implies that everything is in the hands of the immediate superior, then it might lead to a host of problems like individual biases of the boss, special favors, employees concentrating on pleasing the boss and unhealthy competition. HR policies should therefore be designed and implemented with utmost care.

HR procedures help the management in implementing the HR policies. They are specific applications or actions. For example, suppose the performance policy of an organization states that performance is to be rewarded. The procedure that aids in implementing this policy is payment of annual/quarterly incentives based on employee performance.

4. HR Planning It is a process by which an organization ensures that it has the right number & kind of people at the right place and at the right time, capable of effectively and efficiently completing those tasks that help the organization achieve its overall objectives

HR Plans are mainly divided according to the period of applicability:

a)Strategic Planning - 5 or more years

b)Intermediate Planning - 3-5 years

c)Operational planning- 12 months

d)Activities Planning - daily and weekly

Strategic Planning: Analysis of issues raised by external factors. Employment demand projection, manpower supply analysis and projection.

Intermediate Planning: Forecasting total staffing level, Forecasting number of managers and key personnel, Forecasting net changes in managers and key personnel, year on year.

Operational Planning: Detailing of HR activities that are incorporated in the one-year business plan.

Activities Planning: Day-to-day HR activities

A) Issues in HR Planning However good the planning is, the Human resource department always faces challenges of retaining the best talent. The issues faced with HR planning can be broadly classified are as below:

What exactly the company expects from its people?

HR has to ensure, people work as per their targets and business objectives of the company

Bring Commitment, Competencies and Culture

Deal with trade unions

B) Measures undertaken to address the issuesThe above challenges are overcome by having proper, well written HR plan in place that covers:

Strategic Objectives of the organization and HRs role in ensuring synchronization

Assessing Demand and Ensuring adequate Supply

Forecasting Staffing Needs and creating HR Inventory

Conducting Job Analysis

Creating Job Description with Job Specifications

Revaluating Strategic Plan from time to timeNegotiating with trade unions and ensuring organization goals do not get greatly affected

5. Recruitment & Selection

Recruitment and Selection aim to search and hire suitable candidate to fill vacancies in Hero Honda with the view to satisfying human resources needs. The search may be internal and/or external.

Any position within Hero Honda that becomes vacant will be filled, on completion of a requisition form by the immediate supervisor. Restructured on newly created positions will only be activated upon approval from the board.

The success and adaptability of a Company depends upon the recruitment of employees who are flexible, adaptable and committed to the success of the Hero Honda.

Objectives

This section aims to promote and maintain high standards of professional recruitment practice by encouraging recruiters to adhere to best practices.

Its purposes are to:

a)Ensure that recruitment is considered an essential part of the human resource

b)Strategy and consequently an integral part of the overall business strategy

c)Ensure and explain best practice for all types of recruitment;

d)Maintain professional standards whether recruits are easy to find

e)Ensure that equality of opportunity is considered an integral part of good recruitment practices and procedure

Recruitment Authorization Procedure

Authorisation

All authorisation procedure detailed below must be completed prior to the commencement on any recruitment procedure.

a)Prior to the employment of any employee the Employment Authorisation Form must be completed.

b)The employment of all individuals for budgeted positions within Hero Honda must be authorised by the Department Head.

c)Employment of Personnel to the position of Manager of Departments will require the authorisation of the Factory Head or Chief Executive Officer.

Procedure

a)The Department Manager will complete the Employment Authorisation form.

b)The Department Manager is responsible to ensure correct authorization procedures have been complied with.

c)The Department Head will provide the Human Resources Officer with a fully authorized Employment Authority Form and instruct commencement of Recruitment.

d)The Human Resources Officer will control that the correct authorisation has been obtained.

When all is in order they shall commence the recruitment process.

Newly Created or Restructured Positions

Authority shall be vested in the Board to consider request for the activation of a newly created or restructured position.

a)Activation of a position shall be allowed by the submission of an Employment Authorisation Form by the Department Manager to the Human Resources Officer.

b)Once the need to fill a vacancy has been identified, the Department Manager will submit a motivated recommendation to the Board for the activation of the position.

c)Internal Advertisements shall be sent via e-mail or other means to all employees by the Human Resources Officer, while external advertisements shall be placed in specified local newspapers.

Employment Procedure

a)The Human Resources Officer shall receive all applications for employment and shall acknowledge receipt thereof in writing. All applicants for employment shall be addressed to the Human Resources Officer.

b)The Human Resources Officer shall sort all applications that meet the minimum appointment requirements as advertised, and then forward these applications to the Department Manager concerned, together with a full list of all applications received.

c)The Department Manager, in consultation with the Human Resources Officer, shall draw up the shortlist of candidates for interviewing.

d)The Human Resources Officer shall invite the short listed candidates for interviews, and will ultimately make a recommendation to the Factory Head or Chief Executive Officer for appointment.

e)Hero Honda shall bear subsistence and travel and travel expenses of short listed candidates from places other than the duty station. A summary of the interviews shall be prepared by the Human Resources Officer and kept for record purposes.

f)The Human Resources Officer shall ensure that Reference Check on shortlist candidates is done, and then the employment offer in consultation with the relevant Department Manager to the selected candidate which upon acceptance shall be followed by an appointment letter signed by the Factory Head or Chief Executive Officer or his/her delegate. Once the selected candidate has accepted the employment offer, the Human Resources Officer shall send regret letters to all the unsuccessful candidates.

Employment Interview Panel

The Employment Interview Panel shall be provided with the ground rules of and procedures for interviewing (by the Human Resources Officer) prior to the actual commencement of interviews.

The Panel shall consist of the following persons:

a)The Department Manager concerned

b)The Human Resources Officer

c)For Management Positions the Factory Head or CEO or any of the selected Board Member shall attend

Age

Hero Honda does, in terms of section 42(b) of the Labour Act 1992 Act 6 of 1992), not employ any person under the age of (16) years.

Applicants of sixty (60) years and older can only be appointed on approval by the Chief

Executive Officer or by the Board. Employees so appointed can only be appointed can only

be appointed in a temporary capacity, and such cannot become members of the pension Fund.

Appointment

All staff will be appointed by the Hero Honda Board of Trustees or as delegated

Letters of Appointment: The formal letter of appointment will bear the signature of the Chief Executive Officer or as delegated. The letter shall require the signature of the appointee before the appointment is considered effective.

Job Description: On appointment, an employee shall be given a job description. This shall specify the scope and terms of reference for their position. Each member of staff is expected to devote their time and attention to their work and not engage in activities that may conflict with Hero Hondas interests or negatively affect their performance. Job Descriptions shall be reviewed yearly.

Probation: Any appointment made on Hero Honda shall be subject to a probation period as specified in the letter of appointment. One month towards the end of the probation period, employees immediate supervisor shall make an appraisal report recommending a confirmation or termination of the employees services. Where necessary, the probation period may be extended as considered necessary by Hero Honda. An employee who is on probation may have his appointment terminated at any time without notice. In the event of such termination, the employee is paid for the period worked up to the time of termination.Confirmation of appointment:On recommendation from the immediate supervisor, the Chief Executive Officer shall in writing, confirm the appointment

Duration of employment: Unless otherwise stated, employment for all staff shall be on permanent basis subject to satisfactory completion of the probation period and availability of funds.

Personal Data

On acceptance of an appointment, the new staff member is required to complete the Employee Personal Data form. New employees must also furnish Hero Honda with a declaration of dependants, that is spouse and own children; next of kin and provide photocopies of certificates and other testimonials.

Any changes in personal status shall be reported promptly to the Human Resources Officer by completing a fresh Personal Data Form. Staff records and related correspondence shall be treated confidentially at all times.

Induction

All new staff shall undergo induction training to assist them in the process of becoming integrated to the institution within the shortest time possible. The respective immediate supervisor in collaboration with the HR Officer shall conduct induction training. See checklist for induction as Annexure:

A) Issues in Recruitment & SelectionIn a manufacturing industry where trade unions play a significant role in functioning of that set up, organizations have to respond quickly to requirements for people. Hence, it is important to have a well-defined recruitment policy in place, which can be executed effectively to get the best fits for the vacant positions. Selecting the wrong candidate or rejecting the right candidate could turn out to be costly mistakes for the organization. Selection is one area where the interference of external factors is minimal. Hence the HR department uses its discretion in framing its selection policy and using various selection tools for the best results.

There are a number of issues faced in the recruitment and selection process and they can be:

Wrong job description: Starting the recruitment process with a unclear Job Description is the first mistake most organizations do.

Alternate interviewing panel Main interviewer not being present or not participating

Non compliance to defined recruitment and selection process

Wrong recommendations by internal employees

Demand by trade unions

B) Measures undertaken to address the issues

The recruitment process is an annual affair at Hero Honda carried out in two phases.

Phase one comprises hiring managerial and engineering recruits under the supervision of corporate HR, in addition to a plant representative (either the HR head or a General Manager). Campus recruitments and advertisements are main sources of hiring these people.

Phase two involves shop floor hiring, for which the plants HR is solely responsible. Hero Honda has put in considerable effort to drive its recruitment process at the plant level. Pre-requisites have been laid down for positions at the plants. A diploma from Industrial Training Institutes (ITIs) and experience determine a candidates rank in the organisation. Prior to the interview process, a written exam is held to assess candidates technical / professional knowledge, IQ and general aptitude. Traits like honesty, earnestness and integrity are assessed during the interview. The companys internal sources are exercised for filling in senior level hiring needs. Employees from company competitors are also considered seriously.

Following are the basic steps that need to be conducted for all the levels:

Preliminary interview

Selection tests

Employment interview

Reference and background analysis

Selection decision

Physical examination

Job offer

Employment contract

Evaluation

6. Employee orientations The human resources (HR) department serves as a link between management and employees. Specific responsibilities of HR Dept include

Defining positions and related Roles

Defining HR Policies and Guidelines

Hiring and Recruitment

Payroll

Employee Career Management

Employee Training

Salary & Compensation

Employee recreation

Motivational Activities

During the orientation phase, all the above are covered in brief, with more stress on the policies such as:

Leave Policy

Attendance Policy

Performance appraisals

Trainings

Compensation & Salary

Employee Recreation

Etc

We also explain the appraisal process in brief:

The performance review is done bi-yearly in the organization and we explain how do we access the employees and how promotions are handled depending on the following points: How well an employee performed in his / her present job How much potential an employee has for future responsibilities.

How much additional knowledge he / she have acquired for further advancement.

Personal attribute, work habits, attitude towards self and others, ability to get along with the team, leadership qualities, personal contribution to the success of the company determines his / her competence for promotion.

Feedback given by all those who work with the employee such as his / her superiors, subordinates, peers and the customersWe explain the work culture in brief, covering: Dress Code

Language

Employee Addressing

Email Utilization

Feedback Culture

Working Days

Mobile use

Etc

The main objective of an orientation programme is to welcome a new joinee and make him/her comfortable with the new environment. This ultimately helps in getting the best out of an employee as he/she is given the right direction from the very first day in Hero Honda.

7. Training and Development We at Hero Honda, assess the training needs as below:

TRAINING NEEDS ANALYSIS

DEVELOP TRAINING OBJECTIVES

REVIEW AVAILABLE TRAINING METHODS

DESIGN/SELECT TRAINING METHODS

DESIGN TRAINING EVALUATION APPROACH

IMPLEMENT TRAINING PROGRAMS

MEASURE TRAINING RESULTS

Training plays an important role in man-power development even at the level of industrial unit.

Every organization needs to have well trained and experienced people to perform the activities that have to be done.

Trainings are divided into two categories:

Trainings with tangible benefits: These comprise mostly of technical trainings and the results are tangible like increase in productivity etc.

Trainings with intangible benefits: Actual returns cannot be fully measured, the RoI could perhaps be estimated in terms of indicators such as longer tenure; promotions to higher levels of responsibility and cross transfers, and also the success of employees at these higher levels of responsibility.

Identification of training needs :

- Self assessment by the employee

- Training needs identified by the reporting officer as per the appraisal process

Nomination policy for internal and external training programs

Monthly training calendar is prepared by HR and nominations are given by respective head of departments as per the training need matrix prepared.

Training facilities available in the organization

Special training facility, by the name of Gurukul, has been developed by the organization. It takes care of all the technical trainings given to the operators. Special model machines and simulators are used for the purpose. These trainings are imparted by internal staff members.

There is no written policy regarding the minimum number of training days .

We use the following evaluation criteria to assess training effectiveness:

Feedback form given to the trainees for rating the trainer based on:

- Contents of the training

- Knowledge of the trainer

- Communication skills of the trainer

- Linkage or relevance of the training to present job.

- Duration of the training

- Pace of the training.

A) Issues in Training and Development

There are number of issues faced by every organization pertaining to Training and Development. It all depends on how serious the management is on training their people. Many organizations feel that training is a non value added activity as they can not see immediate results. Good organizations like Hero Honda stresses very much on Training as this is the only tool that helps an individual excel in his/her career and therefore the overall organization as a whole. It is an investment and not a cost to any organization.The three major issues faced are:

Retention of knowledge

Attrition

Training is seen as a cost and not as investment by managers

B) Measures undertaken to address the issues To overcome this phenomenon Hero Honda has taken a new initiative. Each training programme now is accompanied with a small project of 8 to 10 weeks that the trainee has to manage along with his/her daily activities. The objective is to apply what is learnt in the training to the day to day activities, thereby implementing the new learning.

We also conduct something called as quarterly knowledge evaluation tests (KET), to evaluate retention of knowledge after the training and usage in the day to day operational schedule. The scores form the basis of subsequent trainings and a part of the performance management system.

We, at Hero Honda conduct various personality effectiveness training for people below the ranks of managers to enhance their productivity, soft skills etc. At the same time, we conduct leadership training/workshops for the senior management to align them well for the organization objectives and their individual growth aspirations. Today, we have a set up called Gurukul, used for our investments on people and their growth plans.8. Career PlanningIn order to retain the best talent, career planning and progression is very important. Many surveys have shown that money is not the real motivator for people to leave the company, but the opportunities. Hero Honda follows a clear career planning strategy that ensures upward/linear movement of its employees based on performance and certain other criteria.

Objectives

To identify replacement needs

To provide opportunities for high potential workers (retention)

To increase pool of promotable employees

To support implementation of business plan

To guide individuals in their career paths

To encourage the advancement of diverse groups

To improve ability to respond to changing environmental demands

To improve employee morale

To cope with the effects of downsizing, attrition, retirements

Procedure

Assess the potential vacancies in leadership and other key positions (who is of retirement age? Which positions/departments/divisions are most affected? Etc)

Assess the readiness of current staff to assume the positions (competencies, IDPs discussed under Training and Development)

Develop strategies to address these needs based on the skill gaps.A) Issues in Career Planning

The key issue faced by companies is attrition. It is largely contributed by the following factors:

Organisational priorities are unclear to employees

No clear development plans in place

Performance is not the criteria for promotions

No challenges, no job rotation

Trade Unions demand for retention, despite poor performance

Most manufacturing organizations face imbalance of organizational priorities and individuals aspirations, and hence face issues in career planning.

B) Measures undertaken to address the issuesIt is very important to assessing the employees needs and organizational needs. Therefore, common goal setting is very important.

It is very critical to understand how far & how fast can employee move on career path. So, the transition plan plays a key role here. It relates to changes expected to a career goal, analyzing transition factors, setting goals and a timetable and other career planning options like normal advancement, lateral movement, and flexibility of change to upper/lower grade and Job Enrichment.

With the above approach, one can clearly determine and calculate the risks attached as to how well it will pay off. Therefore, we believe that career planning is not leaving the decision to luck, or getting information but never deciding or going along with someone elses plans. We understand it as OUR EMPLOYEEs future.

9. Performance appraisalFollowing guidelines are laid down; all concerned follow the same guidelines in Hero Honda:

Importance of Annual Appraisal:

It is in the interest of the Company as also of the employee that the value of a proper Appraisal System is recognised by all concerned. Three main purposes of appraisals are as under:

Career Progression

Placement and

Training and Development

Appraisals are also used for:

Regularisation after probation

Manpower Planning

Succession Planning

Salary Progression

Merit Awards and

Discharge, Demotion, Early Retirement and Termination

Form and Content of Appraisal Report:

Appraisal is to be recorded on the form laid down by the Company, from time to time. In all cases, where the work of an appraisee has been graded as Outstanding, the particular features of work of the appraisee, standard must be applied before Outstanding grading is given to any appraisee.

Similarly, examples should be given in case of those appraisee whose performance has been graded as Fair or Poor.

Period and Frequency of Appraisal Report:

Appraisal should be recorded bi-annually, for the financial year i.e. from April 1 to March 31 next year. Appraisal should also be recorded when either the Reporting Officer or the Appraisee is transferred within the period of the appraisal. In such cases, each appraisal report should indicate precisely the period to which it relates. The appraisal for the earlier part / parts of the year should be recorded at the time of transfer or immediately thereafter and should not be deferred till the end of the year. No Appraisal Report should, however be recorded unless a Reporting Officer has at least three months experience about the work and conduct of the appraisee to base his report on. The Reviewing Officer should also have three months experience on which to base review of the Appraisal Report.

Objectivity in Appraisal:

In order to minimise the operation of the subjective human element of conscious or unconscious bias, the Appraisal Report of every appraisee should contain the assessment of more than one Appraiser, the only exception being in cases in which there is only one level above the appraisee, such as Junior Staff.

Channel of Appraisal Report:

Appraisal Report will be recorded by the Site Incharge for the J1, J2, S1 and S2. All appraisal report above the site incharge will be done by the Factory Manager or General Manager.

GUIDELINES TO REPORTING OFFICER: Each factor should be weighed on its own and not linked to other factors in the appraisal form All ratings should be done at one sitting and in a relaxed frame of mind.

Appraisee should be assessed for his / her performance for the performance period only.

Appraisal should be based on ones own Judgement and not on what is heard Qualities should be judge with fairness.

Isolated instances should not be allowed to influence the rating.

Assessment should be made objectively and must have clear proof and supporting documents The appraisee should be given the kind of indulgence the appraiser would like for himself.

Communication of appraisal result:

Every Reporting Officer must realise that it is his duty not only to make an objective assessment of his subordinates work and qualities but also to give him at all times, necessary advice, guidance and assistance to correct his faults and deficiencies. If this part of duty is properly performed by the Reporting Officer, there should be no difficulty about recording adverse entries because these would only refer to defects which have persisted despite efforts on the part of the Reporting Officer to have them corrected. Accordingly, in mentioning any defects / faults, the Reporting Officer should also give an indication of the efforts he has made by way of guidance, advice, admonition etc. to get the defects removed and the result of such efforts.

No adverse remarks relating to an alleged failing will be made in the Appraisal Report of any employee unless the same has been earlier brought to his notice. As soon as a defect / failing is noticed in an employee by the Reporting Officer, the same should be brought to the employees notice verbally and, in more serious cases, the same should be conveyed in writing, with the copy of the same, duly signed by the employee concerned, to be placed on the personal file. Such warning on the personal file of the employee will be sufficient justification for recording adverse remarks in his / her Annual Appraisal Report.

A) Issues in Performance AppraisalIn sophisticated, well-managed organizations, performance appraisal is the single most important management tool. No other management process has as much influence over individuals careers and work lives. Used well, performance appraisal is the most powerful instrument that organizations have to mobilize the energy of every employee of the enterprise toward the achievement of strategic goals. Used well, performance appraisal can focus every persons attention on the companys mission, vision, and values. But used poorly, the procedure quickly becomes the butt of jokes and the target of Dilbert lampoons. Make no mistake. Performance appraisal is difficult. Doing performance

appraisal is like being in the Olympics of management. Few people ever get the chance to participate; even fewer are true masters.

So, it is imperative to understand the overview of why performance appraisal is an incredibly powerful but underappreciated management technique. Understand the four phases of an effective performance management system: performance planning, execution, assessment, and review.

Then the performance appraisal form. Yes, there is an ideal form. Then a clearly defined, and the most effective performance appraisal process. B) Measures undertaken to address the issuesWe follow a four-phase model to address the issues:

Phase 1: Performance PlanningAt the beginning of the year, the manager and individual get together for a performance-planning meeting. In this hour-long session they discuss what the person will achieve over the next twelve months (the key responsibilities of the persons job and the goals and projects the person will work on) and how the person will do the job (the behaviors and competencies the organization expects of its members). They typically also discuss the individuals development plans.

Phase 2: Performance Execution

Over the course of the year the employee works to achieve the goals, objectives, and key responsibilities of the job. The manager provides coaching and feedback to the individual to increase the probability of success. He creates the conditions that motivate and resolves any performance problems that arise. Midway through the yearperhaps even more frequentlythey meet to review the individuals performance thus far against the plans and goals that they discussed in the performance-planning meeting.

Phase 3: Performance Assessment

As the time for the formal performance appraisal nears, the manager reflects on how well the subordinate has performed over the course of the year, assembles the various forms and paperwork that the organization provides to make this assessment, and fills them out. The manager may also recommend a change in the individuals compensation based on the quality of the individuals work. The completed assessment form is usually reviewed and approved by the appraisers boss. Othersperhaps the department head or the compensation managermay also review and approve the assessment.

Phase 4: Performance Review

The manager and the subordinate meet, usually for about an hour. They review the appraisal form that the manager has written and talk about how well the person performed over the past twelve months. At the end of the review meeting they set a date to meet again to hold a performance-planning discussion for the next twelve months, at which point the performance management process starts anew. Of course there may be many individual variations on the basic theme, but most sophisticated companies generally follow this four phase process like Hero Honda. Figure 1-1 illustrates the basic four-phase process

10. Mentoring and Coaching The result of most appraisals are training and coaching. Also, it plays an important role in mapping the organizational requirements to the skills of the employee. So, coaching and mentoring plays an important role in the post appraisal phase.

The Manager as Coach

The production manager is a person who supervises a number of operators. His/her situation is almost identical to that of the athletic coach in many ways. First of all, the manager must get the best effort and performance from each employee and is constantly trying to help employees improve, both for their own benefit and for that of the organization. In many situations, the manager is concerned with a team of workers, as well as with the performance of each individual worker. This is similar to the situation of coaches of team sports like basketball, football, and hockey. Other times, the manager is primarily concerned with individual workers because each person pretty much works alone, as in sports like swimming, track, tennis, and golf.

If employees performing under a manager dont like the situation, they have available options such as letting up on performance, complaining, causing dissension among the other workers, and quitting.

Athletes can do all these things, too. Managers have some employees who are better than others and who therefore receive higher rewards than others. Sometimes the employees make more money than the manager does. Managers are under constant pressure to produce with the people and resources available. Sometimes, accidents, sickness, and other problems reduce these resources. Like coaches, managers are concerned about competition. In order to stay in business, they must meet or beat the competitionwith whatever resources, they do have.

Finally, managers have the same opportunities to give rewards that coaches have, and they face the same limitations. Most managers are limited in how much money they can give, but they have ample opportunities to give nonfinancial rewards such as praise, additional responsibility, additional freedom, and special job assignments and to solicit team members ideas.

Coaching Approaches and Techniques

The terms coaching and counseling are frequently used to describe the on-the-job conversations that take place between manager and employee. Some organizations use the words interchangeably to mean the same thing. Others differentiate between the two words.

Counseling:

1. The employee usually initiates discussion.

2. Counseling takes place when a problem arises or when the employee feels a problem needs solving.

3. The problem can be personal or job oriented.

4. Emphasis is on listening on the part of the manager.

5. The manager avoids giving specific advice and helps the employee solve his or her own problem.

6. The objectives are to solve a specific problem and/or to relieve tension on the part of the employee.

Coaching:

1. The manager usually initiates discussion.

2. It is done on a regular basis.

3. It is job oriented.

4. It is positive or corrective, with emphasis on telling, training, and teaching by the manager.

5. The manager frequently gives specific advice on what to do and how to do it.

6. The objective is to improve the job performance of the employee as an individual and the team.

What Coaching Is Not

Managerial coaching is not a specific set of instructions that a manager has developed about activities or behavior of the employee. It is not a set of tasks to be performed with demands for vaguely determined outcomes such as hitting the ball. And it is not some action or policy that inhibits movement, requires sitting overly long in one position, or extols the virtues of patience and humility.

The following examples represent what is often the bulk of the activities of the manager who imagines that he or she is coaching employees:

The plant manager who daily calls her staff together and pours forth wisdom about the mistakes of the day before, with somber warnings of Lets watch that one, is seriously attempting to coach but is lamentably ineffective at it

The sales manager who uses staff meetings to divulge deep insights about top-management goals and thinking, in the form of ten-minute speeches, is often doing nothing more than using communication as a club to beat down any incipient new ideas or change from employees.

The staff manager who counterpunches with employees, insisting that they produce new ideas but shooting these full of holes when they appear, may be utterly sincere but is also utterly incompetent in coaching

What Coaching Is

The effective coaching function is more apt to take the form of working on forward-looking plans and objectives for employees in a way that keeps them moving constantly toward new areas of experience, new demands for personal skill development, and application of ingenuity and problem solving. On-the-job coaching improves job performance in two ways, and the principles and approaches involved are the same for both. First, day-to-day coaching takes place whenever the need arises, and it bolsters the relationship between the manager and the employee. If an employee makes a mistake, the manager helps the employee correct it, and this coaching should prevent the same mistake from happening again. If, on the other hand, the employee does an especially good job, the manager compliments the employee. This is also part of the coaching process.

The other reason for coaching is to help the employee implement the performance improvement plan that was developed as part of the performance review program. The manager should periodically see how the employee is progressing and provide help in implementing the plan.

Day-to-Day Coaching

The manager must play a day-to-day coaching role, which is based on observing the performance of the employee. If the employee performs well, the manager provides positive reinforcement. If the employee fails to do so something that should be done, the manager calls it to the attention of the employee to find out why it wasnt done and to see that it is done. Or the employee may do something that should not be done.

This requires the manager to find out the reason for the mistake and to take whatever action is appropriate. The key to effective coaching is to handle problem situations without causing resentment on the part of the employee. Resentment can easily be created by an eager coach who is overly anxious to correct an error. For example, a direct approach to pointing out the mistake and an order to the employee to do it right could well cause resentment. To avoid resentment, a tactful approach is usually required.

If the manager sees an employee making a mistake, there are four possible courses of action to take:

Ignore the situation and hope that the employee will see the mistake and correct it.

Call immediate attention to the mistake and ask the employee to do the right thing.

Use an indirect approach such as, How are things going? If the employee knows about the mistake, she may frankly admit the mistake and tell the manager, dont worry. Ill take care of it. If the employee doesnt realize that a mistake has been made, the answer might be, Fine. No problems! In this case the manager will have to call attention to the mistake and ask, what can we do to correct it?

Use the sandwich approach. This means to praise the subordinate for good work, call attention to the mistake, and end up with a positive statement such as, Im sure that this wont happen again.

So, the overall objective of Coaching and Mentoring brings out the following outcome:

People will start to find their own answers

People will become more resourceful

People will start to integrate a coaching approach into their behavior

The manager will have more time and space for the strategic part of his job

The manager will be able to work more effectively with his peers and others

So, the framework followed at Hero Honda looks as below:

11. Compensation The compensation rules in Hero Honda are as per the manufacturing industry. Scale of Pay:

The scales of pay of various posts in the Company shall be such as may be laid down by the Company, from time to time.

The scales of pay, at present, are as per the Wage Structure.

The designation of posts with their scales of pay are given in Wage Structure

Drawl of Pay:

Unless otherwise provided, an employee shall draw pay and allowances attached to his post from the date he assumes the duties of the said post and shall cease to draw them as soon as he ceases to discharge the duties.

Provided that if he assumes the duties at the place specified in the afternoon of the date, he shall commence drawing pay and allowances of that post from the following day.

Fixation of pay of an employee on Initial Appointment:

Initial pay of an employee, on joining the Company, shall normally be fixed at the minimum of the pay scale of the pay scale of the post to which he is appointed.

Fixation of pay in excess of the minimum of the pay scale and grant of premature increment(s) shall require the sanction of the Management Committee.

Fixation of pay of an employee on Promotion / Appointment to a Higher Post in the Company:

Where an employee is promoted or appointed to another post carrying duties and responsibilities of greater importance than those attached to the post held by him, his initial pay in the pay scale of the higher post shall be fixed at the stage next above, his pay at the time of promotion by granting one increment at the stage at which such pay has accrued, or at the minimum of the pay scale of the higher post, whichever be more.

Drawl of Increment:

An increment shall be drawn on the basis of recommendations of a committee to be constituted by the Chairman, each year, for this purpose, and unless it is withheld, it shall be granted on the 1st of April each year.

Fresh entrants joining the Company during the year shall earn their first increment with effect from April following the month of their joining but payment thereof with effect from April shall be made only after completion of six months of service and issue of orders in regard to satisfactory completion of their period of probation.

The increment may be withheld if the conduct of an employee has not been good or his work has not been satisfactory, after following procedure laid down in the Conduct and Discipline Rules. Premature increment(s) may be granted to an employee for sustained meritorious work, by the Chairman.

Deputation Abroad:

No deputation abroad shall be sanctioned without previous approval of the Management or its appointed nominee.

When an employees is, with prior approval of the Management, deputed for duty out of India, temporarily, he will be allowed to draw, during the period of deputation, the same pay which he would have drawn had he remained on duty in India.

An employee, on deputation out of India, may also be granted a Compensatory Allowance / Foreign Allowance of such amount as per the policy prevailing on deputation.

The Foreign Exchange equivalent of the pay and Foreign / Compensatory Allowance shall be calculated at such rate of exchange as determined from time to time by the Government of India

The typical compensation structure has the following components:

The typical salary statement looks as below:

A) Issues in compensations

Compensation can be volatile and subject to large revisions in

Wages and salaries

Increasing impact of irregular pay

Stock options

Bonuses

Pensions

Lack of timely, consistent source data

Trade Union Demands:

Demand of hike irrespective of performance

Managing layoffs and compensation to laid off personnel

B) Measures undertaken to address the issues:

Without doubt, one of the most contentious elements of running a business is that of employee salaries. Why, then, have I lost count of the number of people who complain to me about their salary situation and their suspicions, or often outright knowledge, that others at the same level receive more?

Similarly worrying are those who havent received a pay rise in years, despite the ever-increasing cost of living, and who dont feel able to discuss the issue with their boss for fear of coming across as money-grabbing. While most of us aim to find a job that fulfils us emotionally as well as financially, we all deserve to be paid a fair wage.

In reality, when handled from an ethical standpoint, salary requests need not be the bane of your life and the cause of upset to your team.

The starting point is to do your research and find out the average pay for someone in a similar position elsewhere in the country. If you cant compete on this level, for whatever reason, think about offering a range of non-financial benefits that will prove equally as attractive. People are increasingly concerned about their work/life balance, so initiatives such as flexible working, duvet days, charitable involvement or a great holiday package can help to swing the balance in your favour.

One may also wish to consider a bonus or profit share scheme in addition to a basic salary. In this way, everyone is aware that their success is directly linked to that of the company and their role within that growth.

Once the foundations are in place, its important to agree and publicise the pay structure for each level. This may be a flat pay band for each job description, or could include a level of flexibility that is dependent on peoples performance. If you choose the latter route then you need to provide clear guidelines as to whats required to achieve the highest salary for each position. Wishy-washy excuses wont cut the mustard here and neither will continually moving the goal posts.

We decide whether we will run an annual or purely progress-based pay rise system (or both); then implement a regular appraisal structure where people are fairly evaluated against their job description and personal objectives, agreed between the employee and their manager.

Appraisals should include feedback from colleagues at all levels to ensure they are not being judged purely by one person whose view will be very subjective. This approach will also weed out those people who present a positive impression to their senior managers but fail to show the same respect to more junior members.

Maintaining open levels of communication at all levels, combined with clear expectations, will ensure that everyone knows where they stand and the conditions upon which their next pay rise will be based.

12. Employee relations All superiors and Department Managers take up responsibility for personnel who report to them. Management staff contribute to the maintaining of cordial relations with the work force and develop a healthy working relationship, especially in an environment where trade unions play a significant role in production and therefore the profitability of the organization.

For this to be possible, the managers are made familiar with

Terms of settlement

Important provisions of labour laws

Types of misconduct and action to be taken

Art of handling grievances

Management staff keep the Site Personnel Department fully informed of any significant development on a daily basis that is likely to lead to poor Labour Management Relations.

Supervisors are made careful and discriminate in acts that are directly work related and attempt to resolve it along with their Managers, keeping the Site Personnel Department well informed. Any matter that is likely to gravitate is immediately communicated to the Site Personnel Department.

The Site Personnel Department, being specialist Staff will provide information to the Line Managers and educate them on labour matters at meetings and on a regular basis through programs.

Some of the guidelines to employee relations are laid out in the following policies: Leave policy

Conduct and Discipline policy

Uniform policy

Meals policy

Grievance policy

13. Outsourcing HR ServicesAt Hero Honda, we have outsourced Payroll administration, benefits administration, recruitment and risk management activities.Payroll administration: Produce checks, handle taxes, and deal with sick time and vacation time

Employee benefits: Health, Medical, Life, 401(k) plans, cafeteria plans, etc

Recruitment: Candidate sourcing, short-listing and background interviewsRisk management: Workers' compensation, dispute resolution, safety inspection, office policies and handbooksThe HR department used to be treated as a cost-consuming function. Management understands that a Human Resources department is a critical component of employee well-being in any business, no matter how small. This has led to HR Outsourcing Services tasks like payroll, benefits, education/training, recruiting, personnel administration, organizational development and workforce management.

HR Outsourcing Services generally fall into three categories: Professional Employer Organization, Business Process Outsourcing and Application service providers or e-services. When one outsources HR functions, some HR Outsourcing Services go with the "all-or-nothing" approach, requiring that they handle all your HR functions or none at all.

HR Outsourcing Services help clients resolve this dilemma, by helping you outsource the activities that get in the way of the things necessary to support growth. HR Outsourcing Services are able to offer a complete range of HR outsourcing services along with a full complement of HR consulting services. Their operations serve organizations from 5,000 to 500,000 employees across virtually every industry.

One of the reasons to use HR Outsourcing Services is to streamline processes and make them more transparent to employees. Technology is usually a key in achieving it. HR Outsourcing Services also help preserve the sanctity of information between employee and employer. HR Outsourcing Services offer a strategic initiative to cut costs and access to intellectual capital not available in-house.

HR Outsourcing Services are becoming more sophisticated. CEOs are involved to ensure the long-term success of strategic off-shoring decisions. On their part, suppliers understand that they must compete globally and that outsourcing will play a more transformational and strategic role for the client.

14. ConclusionsHuman resource management is one of the most complex and challenging fields of modern management. A human resource manager has to build up an effective workforce, handle the expectations of the employees and ensure that they perform at their best. He/she also has to take into account the firms responsibilities to the society that it operates in.

Traditional approaches to personnel management emphasize command and control. These have now given way to new approaches characterized by greater freedom and support to the employee. This transformation is almost complete and many successful companies today empower their employees to manage most aspects of their work.

Your employees are the biggest asset you have. Their performance and attitude can result in the success or failure of your business. The most difficult part of any manager's job is people management. He or she is required to lead, motivate, train, inspire, and encourage. On the other hand, he or she is also responsible for hiring, firing, disciplining, training and evaluating. These functions seem to be at odds, but a successful manager can integrate both the positive and negative aspects of these tasks to create a positive, productive work force.

People management, also known as human resource management (HRM), encompasses the tasks of recruitment, management, and providing ongoing support and direction for the employees of an organization. These tasks can include the following: compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training.

When managing the people within an organization, a manager must focus on both hiring the right people and then getting the most out of these people. New personnel must provide the organization with the best talent available that meets the needs of the business. The organization must look ahead to how a new employee can be used to their fullest. Getting the most out of an employee means a business has consistent policies and practices in place to provide its people with appropriate training and development. Employees are involved as "partners" in the business.

Probably the most important task a manager will face when dealing with the people under his direction is that of bringing out the best in them. Unlocking people potential is often seen as the key to any business's success. When an employee's talents are not channeled correctly, their behavior can seriously compromise the success of an organization. Some of the roles that an employee who is not being used to his potential can take on are as follows: procrastinator, martyr, gossip, manipulator, backstabber, narcissist, a deer in the headlights, black hole, stonewalled, curmudgeon, bully, and predator.

Instead of dealing with employees that develop defense mechanisms to mask their dissatisfaction with their work situation, let's look as some ways to encourage effective behavior at work. After a problem behavior has been identified, address the employee immediately. Discuss taking responsibility for the ineffective behavior, how the behavior manifests itself, and the effect the behavior is having on the organization. Next, give the employee alternatives to his current behavior. In other words, teach him or her how the principles of achievement:

* Cooperation * respect * self-motivation * trust * self-discipline

Now that the employee has alternatives to their current behavior, draw up a performance improvement contract in which he or she agrees to specific actions to change his or her ineffective behavior. After the contract is signed, a manager needs to stay involved and committed to the process of change. He or she cannot assume that the problem will be automatically fixed now that it has been brought to light. The employee will require praise and reinforcement of any progress that they are able to make. If positive change is to occur, it will be evident soon after the initial confrontation. If this does not occur, a termination meeting must be scheduled quickly. One employee's toxic behavior can quickly spread throughout an organization if it is not dealt with quickly and efficiently.

When evaluating an organization's workforce, there are several areas that must be addressed. First, the staff must have the tools and resources that they need to do their jobs effectively. Employees cannot be blamed for an organization's inefficiency if they are not provided with the equipment necessary to perform adequately. Next, get to know each employee as an individual and make sure that they are aware of their specific role within the organization. Clarify their responsibilities and goals. Also, involve each employee in making decisions which affect their area of expertise. This will result in the employee feeling that they "have a say" in what goes on in the organization and he or she will feel a sense of ownership. Finally, make sure that employees have an opportunity to have fun with their coworkers at appropriate times.

People Empowerment can be a very effective tool within the field of people management. This technique can be used to involve employees in any improvement program within an organization. Authority, accountability, and responsibility are delegated to the employees for improving the processes which are under their control without first having to obtain permission from management before making changes. This can be successful only when employees are recognized, congratulated, and rewarded for their commitment to problem solving.

15. SuggestionsPlease write as you feel. This can be even two points (based on what you feel at your company), or you can cut a couple of paragraphs from above and paste it here.

16. Appendix: Filled in questionnaireHuman Resource Management Practices in Hero HondaIntroductory information:

1. Name of the organization (optional): Hero Honda Motors Limited2. Year of inception: 1984

3. Ownership of the organization (Please tick the appropriate):A) Public Sector

B) Private sector

C) Joint Venture (public & private)

D) Joint venture (private & private)

4 Locations of business:A) Single location

B) Multi location

5. Nature of Business (tick the appropriate):

1. Automobiles 9. Hospitality

2. Banking

10. IT

3. Cement

11. ITES

4. Chemicals & Fertilizers

12. Petrochemicals

5. Electronics& Telecommunications 13. Power

6. Engineering

14. Processing

7. Pharmaceutical

15. Retail

8. FMCG

16. Textiles

17. Others (please specify)6. Total number of employees (Headcount) of the organization in your present location (please tick the appropriate)

A) Less than 500

B) Less than 5000

C) Less than 10,000

D) Less than 20,000

E) 20, 000 and above

7. HR Department

1. Year of inception of HR department: 19952. The designation of present head of the HR department : G.M 3. The location of HR department in the organizational set-up: Independent/a department in a division ( Please specify)

4. Number of employees in HR department.

CategoryNumber of employees

Managerial04

Supervisory8

Clerical7

Others 3

8. Please give the following information regarding the managerial cadre employees of HR department? CAN NOT PROVIDE as CONFIDENTIALSN

Designation QualificationsMode of Entry*Experience in yearsFunctions

HR Exp.Non HR Exp

1

2

3

4

5

6

*Direct recruitment/transfer/promotion

9. Does the company have a formal policy and procedure for aligning HR practices with the strategic goals of the organization? YES/ NO10. If yes, how often do you undertake this process?

- Beginning of the year

- Middle of the year

- End of the year

11. How do you undertake this process and who are involved in this?

Goal Setting This is the period where organizational objectives are linked with strategic initiatives of each functionKRA and KPI setting

KRA DeploymentSame are forwarded to the H.R. for necessary action where required.

Apart from this monthly OPCOM is held where the current status of the yearly Business goals of the company is discussed by the respective department heads.Human Resource Planning 1. Does the organization undertake human resource planning?

YES/NO

2. If yes: Short term/long term/ both3. What are the reasons for manpower demand?

a. Long-term strategic plans

b. Immediate business goals

c. Employee quits

d. Sales forecasts

e. Expansion of production

f. Technological changes

g. Others (specify)

4. Presently your organization is: over staffed /understaffed/optimally staffed Some individual departments are understaffed

5. Please state reasons in either caseIn some functions (particularly like machine maintenance), specially trained persons are required.Regular technical trainings are organized for them. If a person from such a function leaves, it becomes very difficult to replace him/her. Not only it is costly to train a new person, it is also difficult to find experienced people.

6. What are the problems the organization faces with respect to human resource planning? a) High Attrition rate of GETs: To take care of its long term plans company recruits GETs directly from the campus. But the attrition rate is very high among them. Company invests on them for first couple of years and all that goes waste if they leave.b) As the company is now more than 25 years old, the no. people attaining the retirement age every year has increased.7. Mention the measures taken to address the problems

For high turnover rate among GETs:

Increased remuneration in GET period.

Extending the facilities like new vehicle loan in GET period.

Promoting the GETs to Assistant Manager grade directly after they complete one year GET period. Earlier they were taken as Engineers/officers after they completed the GET period.

Recruitment & Selection

1. Please state the overall recruitment and selection policy of the organization?

The recruitment process is an annual affair at Hero Honda carried out in two phases. Phase one comprises hiring managerial and engineering recruits under the supervision of corporate HR, in addition to a plant representative (either the HR head or a General Manager). Campus recruitments and advertisements are main sources of hiring these people.

Phase two involves shop floor hiring, for which the plants HR is solely responsible. Hero Honda has put in considerable effort to drive its recruitment process at the plant level. Pre-requisites have been laid down for positions at the plants. A diploma from Industrial Training Institutes (ITIs) and experience determine a candidates rank in the organisation. Prior to the interview process, a written exam is held to assess candidates technical / professional knowledge, IQ and general aptitude. Traits like honesty, earnestness and integrity are assessed during the interview. The companys internal sources are exercised for filling in senior level hiring needs. Employees from company competitors are also considered seriously.

2. The sources of candidates at various levels

Level

CampusEmployment

ExchangeAdvertisementPlacement

AgenciesInternet

InternalNetworking

& ReferralsOthers

(Specify)

Managerial

Staff

operators

Others

(pl. Specify)

3. Please mention the steps in the process of selection of employees at different levels.

Following are the basic steps for all the levels:

Preliminary interview

Selection tests

Employment interview

Reference and background analysis

Selection decision

Physical examination

Job offer

Employment contract

Evaluation

4. Please indicate the priority of methods used for different levels

LevelTechnical

TestingPsychological TestingInterviewsReference ChecksOthers

(Please Specify)

Managerial

Staff

Operators

5 What is the final criterion for selection? Choose all the criteria and indicate the order of important for each 1 is most important; 10 is least important.

Remarks

MSOPROSelection Criterion

998 Lowest price (salary demanded)

887 Knowledge about the local culture and environment

165 Functional competence

274 Previous experience with a similar organization

353 Best fit between the person and the job

736 Best fit between the person and the organization culture

522 Ability to learn

619 Potential of the person to take up responsible position in future

441 Attitude of the persons

Others (please specify)

M = Managerial, S = Staff, Opr= operator, O = Others

6. Do you link selection process to the overall business strategy? YES/ NO

7. If yes, Please mention the linkage

CAN NOT PROVIDE as CONFIDENTIAL8. What are the major challenges faced by the organization with respect to recruitment and selection

Availability of talent pool

Retention of talent pool

Salary standards and high expectations

9. Mention the measures taken by the organization to address these challenges

Campus interviews and tie ups

Creation of Gurukul, a dedicated training institution for talent development and replacement planningOrientation1. Does the organization have orientation programs for the new employees?YES/ NO

2. If yes, please mention the length of the program for different cadres of employees

CategoryDuration

Managerial

One week

Staff

One week

GETsThree months

Others ( pl. specify)

3. Does the organization link the orientation program with the overall business strategy? YES/NO

4. If yes, please briefly explain CAN NOT PROVIDE as CONFIDENTIALTraining and Development

1. Methods and procedures of assessing the training needs of employees

Training plays an important role in man-power development even at the level of industrial unit.

Every organization needs to have well trained and experienced people to perform the activities that have to be done.

Trainings are divided into two categories :

Trainings with tangible benefits : These comprise mostly of technical trainings and the results are tangible like increase in productivity. Trainings with intangible benefits : Actual returns cannot be fully measured, the RoI could perhaps be estimated in terms of indicators such as longer tenure; promotions to higher levels of responsibility and cross transfers, and also the success of employees at these higher levels of responsibility.

Identification of training needs: - Self assessment by the employee.

- Training needs identified by the reporting officer as per the performance appraisal process2. Nomination policy for internal and external training programs

Monthly training calendar is prepared by HR and nominations are given by respective head of departments as per the training need matrix prepared.

3. Training facilities available in the organization

Special training facility, by the name of Gurukul , has been developed by the organization. It takes care of all the technical trainings given to the operators. Special model machines and simulators are used for the purpose. These trainings are imparted by internal staff members.

4. Training days for different carders of employees as per the policy of the company

There is no written policy regarding the minimum number of training days. However, it is as per the defined training calendar prepared as derived while performing the appraisal process5. Training budget for the last year

CAN NOT PROVIDE as CONFIDENTIAL6. The levels of evaluation and procedure adopted to evaluate training

Feedback form is given to the trainees and they rate: Contents of the training Knowledge of the trainer Communication skill of the trainer

Linkage or relevance of the training to present job

Duration of the training. Pace of the training.

7. Does your organization link employee training to the overall business strategy?

YES / NO

As discussed earlier, the training matrix is made according to the business objectives of the company.

8. What are the major challenges faced by the organization with respect to training and development

After the training completion, a person is charged up for a few days, but as he comes into the cycle of his routine chores, the enthusiasm dies and whole training is washed out. This is a common phenomenon for all the trainings conducted.

9. Mention the measures taken by the organization to address these challenges

To overcome this phenomenon the company has taken a new initiative. Each training is now accompanied with a small project of 8 to 10 weeks which the trainee has to do along with his daily chores. This helps in registering the contents of the training into the minds of the trainees.

Career Development and Performance Appraisal

1. Does the organization have a career planning for your employees? YES /NO

2. If yes, please explain it briefly.3. Does your organization link career development of employees to the overall business strategy? YES / NO4. If yes, please explain in brief

CAN NOT PROVIDE as CONFIDENTIAL5. What are the major challenges faced by the organization with respect to career development

6. Mention the measures taken by the organization to address these challenges

7. Periodicity of performance appraisal: Once in a year/ twice a year/ others (please specify)

Once in two years

8. Who does the appraisal; Immediate boss & head of the department/ any other (please specify)As per org structure, appraiser does the appraisal for appraise

9. Briefly describe the Method of appraisal

Supervisor-Subordinate appraisal

Bell Curve method for final evaluation

10. Applications of performance appraisal: a) promotions b) transfers c) training needs

d) pay increase e)discipline f) others ( pl specify)

All the above

11. What are the major challenges faced by the organization with respect to performance appraisal

Timely completion

Biased feedback

Subjective assessment

12. Mention the measures taken by the organization to address these challenges

Deadlines set for KRA deployment to performance appraisalObjective KRA settingDefault rating on non compliance13. Does the organization have mentoring and coaching programs?

YES/NO Yes

14. If yes. Please explain the process

15. Does the organization link these systems with overall business strategy? YES/NO

Yes

16. If yes, please explain the process in brief

CAN NOT PROVIDE as CONFIDENTIAL

Employee compensation

1. Methods of salary determination

CategoryMethod

Managerial CAN NOT PROVIDE as CONFIDENTIAL

Supervisory CAN NOT PROVIDE as CONFIDENTIAL

Associates and staff CAN NOT PROVIDE as CONFIDENTIAL

Others CAN NOT PROVIDE as CONFIDENTIAL

2 Does the organization have the schemes of pay for performance? YES /NO

Yes3. If yes, please give the details

It is a part of salary structure, paid depending on individual and companys performance.

4. Salary Range or average cost to the company per annum

CategoryAverage

ManagerialCAN NOT PROVIDE as CONFIDENTIAL

SupervisoryCAN NOT PROVIDE as CONFIDENTIAL

Associates and staff CAN NOT PROVIDE as CONFIDENTIAL

Others CAN NOT PROVIDE as CONFIDENTIAL

5. Please give the list of employee benefits

CAN NOT PROVIDE as CONFIDENTIAL6 Does the organization link the employee compensation system with overall business strategy? YES/NO

Yes

7. If yes, please briefly explain

CAN NOT PROVIDE as CONFIDENTIAL8 What are the major challenges faced by the organization with respect to employee compensation

Uneven grading (Work Experience versus salary) Trade Union pressure

9 Mention the measures taken by the organization to address these challenges

Standard salary structure depending on education background, work experience and achievements

Standard scale of pay for employees in the trade unionEmployee Relations

1. Please mention major areas of employee grievances in your organization

CategoryAreas of grievances

ManagerialNA

SupervisoryNA

Associates and staff NA

Others Factory workers in Union Yes

2 Which category of employees raises more number of grievances?

Factory workers, those who are part of Trade union

3. Please briefly explain the procedure of redressing employee grievances in your organization

As per HR policy on Employee relations management

4. Please mention the major nature of misconducts committed by employees

CategoryNature of misconduct

ManagerialNA

SupervisoryNA

Associates and staff NA

Others ( pl. specify )Factory workers Strikes

5 Which category of employees involve in more incidents of misconducts?

Factory workers involved in trade union6 Briefly explain how you manage employee discipline

Please mention

7. Extent of Unionization among employees

More than 40% of staff are in the union

8 What is the present rate of employee absenteeism?

Please mention9. Please indicate the measures adopted to reduce the rate of absenteeism

Please mention

10. What is the present rate of employee quits?

Please mention

11 Please indicate the measures adopted by the organization for employee retention

Please mention12. Does the organization have a practice of conducting exit interviews? YES/NO

Yes13. Does the organization link the employee relations with overall business strategy? YES/NO

Yes

14. If yes, please briefly mention CAN NOT PROVIDE as CONFIDENTIALOut sourcing of HR Services

1. Please mention the HR services that are outsourced by your organization

HR Service Agency Reasons

Pay roll administrationCAN NOT PROVIDE as CONFIDENTIAL

BenefitsCAN NOT PROVIDE as CONFIDENTIAL

Risk ManagementCAN NOT PROVIDE as CONFIDENTIAL

10.2 Does the organization provide HR services to other organizations? YES/NO

No10.3 If yes, please give the details

Type of HR serviceYour client organization

NANA

Any other pertinent information

Thank you for your time and valuable inputsPAGE 1