Ananya
Mukherjee
HRM
Issue 8.2
The
Aditya Birla Group is a US$ 28 billion conglomerate
in the League of Fortune 500. With operations
in 20 countries, across 17 businesses and
a workforce of 100,000 employees, how does
the Group's HR department function consistently
across borders? HRM's Ananya Mukherjee
discovers the secret formula to this success
story.
No
matter how big or small your corporate empire
is, it is not easy being an 'employer of
choice', especially when your business is
vast, diverse and spread over several time
zones. Being a conglomerate, consistently
applying common practices is tough, agrees
Dr.
Santrupt B Misra, director, HR &
IT, Aditya Birla Management Corporation
the strategic apex of Aditya Birla
Group. "The location of the bulk of
our people in remote areas makes it tougher,"
he admits.
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Yet,
Aditya Birla Group has been recognised for
consistency in its people practices and
declared India's Best
Employer in 2007 by Hewitt Associates.
The main factors that Misra believes contributed
to the Group's status as best employer include
"the capability to leverage talent
from a wide variety e.g. from basic
to rarest of rare, from own nurtured to
acquired, from domestic to international/expatriate
etc; the ability to address multiple employee
needs in multiple situations in a comprehensive
manner e.g. from basic needs to security,
education to development needs through multiple
roles/task forces; well-designed plans to
reach beyond the employee to their family
through employee wellness programmes; reaching
out with a network of schools to the families
and the community around our plants; and
multiple rewards and recognition process
which include small recognitions like a
smiley, employee of the month and the group-wide
team and individual recognitions at the
Chairman's level".
What
works best in Aditya Birla Group
Having an aggressive growth plan with structured
people processes that provide flexibility
for individual creativity has worked well
for the Group, says Misra. "The organisation's
strength has been its high quality talent
and strong financials, which help to further
build on their leadership positions; and
the freedom for employees to charter their
career path of choice across businesses
spread across 20 countries in six continents
where Aditya Birla Group has a presence."
The
Aditya Birla Group also has a structured
set of processes to support this. Its internal
recruitment scheme, global mobility policy,
talent management, job analysis and evaluation
and opportunity for continuous learning
have proven to be sound employee propositions.
Beyond that, there is a strong emphasis
on employee engagement, says Misra. The
Group, he shares, regularly monitors employee
engagement at all levels across the Group
through the biennial organisation health
study (OHS), which is led by the chairman.
Subsequent actions are taken based on the
outcome of the study, which gives employees
a unique opportunity to anonymously and
frankly express their opinions on a range
of issues. The last OHS was conducted across
the group in 2006, in which almost 15,600
employees participated. "The employees
also have the perception that Aditya Birla
Group continuously works towards enhancing
individual competence and keeping them employable,"
Misra says. This was reflected in the last
OHS, in which 67 per cent of respondents
stated that they would recommend Aditya
Birla Group to others looking for a meaningful
career. 69 per cent stated they would like
to continue work in the same business even
two years from the time of the survey, and
71 per cent felt that they received adequate
training to do their job well.
Key
HR initiatives
One of Aditya Birla Group's approaches to
building their employer of choice brand has
been through considering employees as a Group
resource, Misra emphasises. "This helps
to create a feeling of bonding and oneness
amongst them, while maintaining continuity
of service across the Group. This also reinforces
the multiple options available to employees
across geographical locations and businesses,
from which they can choose (based on personal
choice, risk appetite, career stage, etc)
their career development," he says. "A
common set of values and a code of conduct
are applicable to all management cadre employees
across the group. This helps to clearly articulate
the expected standard of professional behaviour
from each employee, irrespective of geographies
and business."
Recognising
human endeavours and applauding employees
across all units of the Group including
the joint venture companies through The
Aditya Birla Awards for Outstanding Achievement
has also been a key engagement factor,
says Misra. "This process was launched
in 1996, and today has become an institutionalised
form of recognising excellence across the
Group. During the awards, a number of Group-wide
competitions are conducted. Over the years,
competitions like Vision 2015, Oh! Not So
Smart, Aditya Birla Group value leaders
poll, etc, have been conducted. These competitions
are open to all employees of the group."
Creating
a common portal in which employees can access
information about the Group has also been
useful. Aditya Birla Group has a single
portal which provides various job opportunities
across levels, businesses and geographical
locations of the Group. The company also
celebrates its achievements, for example
the title of Best Employer in India and
Asia. "This was celebrated throughout
the Group by sending a commemorative pen
(Cross) with the Chairman' s signature and
the inscription 'A Moment to cherish - 2007'
to the 20,000 management cadre employees
of the Group. Along with the pen, a personalised
message from the Chairman was also sent
to every employee. Celebrations were carried
out across all Group locations with a specially
composed song 'We are the Best' and an audio-visual
presentation."
Other
HR schemes
Aditya Birla Group classifies its various
HR initiatives over the last five years into
the following categories: recruitment and
staffing, nurturing talent, performance management,
opportunities for learning, rewards and recognition,
Group-wide people process, quality of life
beyond work, and integrating effectively.
With
regards to recruitment and staffing, Misra
says: "When hiring in markets and varied
sectors across the globe, we grapple with
a variety of local market realities. Appreciating
ground realities in various geographies
includes complying with local laws, understanding
business practices and customs, as well
as respecting social norms. In the last
two years, over 3,400 new hires (not including
acquisitions) have joined our businesses
in the management cadre."
The
Group has a multi-pronged recruitment approach,
Misra explains. Policies are common at the
Group level, while execution is tailored
to meet the needs of individual businesses.
To ensure a fit with Group values, senior
level potential recruits meet with the Chairman
before an offer of employment is made. Also,
all openings are offered to existing employees
via the Group intranet. "Employees
compete with external candidates for suitability
in terms of competency and qualifications,"
he says. "We aim to make the recruitment
process as transparent as possible and a
warm experience for those who apply".
The Group is particular about honouring
commitments made during the hiring process.
HR partners with immediate supervisors,
departrnental heads and peers to make the
transition smooth and help new employees
become productive as early as possible.
At the unit level, families are included
in the onboarding process to ensure easy
assimilation into the Aditya Birla Group
family.
However,
Misra notes that with mergers and acquisitions
becoming the order of the day, staff often
face new challenges in terms of quick turnaround
on turnkey projects and hiring for key positions
arising out of acquisitions.
| Opportunities
for learning |
The learning channels deployed by Aditya
Birla Group to transform into a learning
organisation are:
Gyanodaya
The Group varsity for management
learning: The vision is, "to be
at the core of an effective learning
network, that as a strategic business
partner harnesses knowledge and intellectual
capital to contribute to the Group's
vision of being a premium conglomerate,
with a clear business focus at each
business level", says Misra. Over
the last five years, 7,000 managers
across a range of businesses have participated
in managerial and strategy programmes,
conducted by the leading academics from
Indian and overseas business schools
like London Business School, Harvard
Business School, Indian Institute of
Management, Kolkata etc.
The
virtual campus GVC: The
main objective was to reach out to 20,000
managers and provide them with the "freedom
to learn at their own pace and time".
The GVC's 'E-facilitators' in the units
work to support the 'E-learners'. Over
250 online courses spanning areas such
as leadership, sales, marketing and
engineering are available on the learning
network.
Knowledge integration programme (KIP):
These foster learning from within
and across the Group's businesses and
provide a platform for the sharing of
best practices. About 400 managers have
participated in 20 KIPs in the last
three years. These KIPs have covered
topics such as marketing, manufacturing
excellence, human resources, research
and technology, legal, information technology,
etc.
Continued
learning mid-career education:
This facilitates continuing education
of management staff. In partnership
with Universitas 21, a Singapore based
e-university, the Group offers online
MBA programmes.
E-360 degree instrument Pratibimb:
This is an online 360-degree feedback
tool to heighten self awareness. Managers
receive feedback on group values, global
leadership competency and career stage
competency. Launched in April 2006,
Aditya Birla Group has more than 80
senior managers who have enrolled in
this process.
Knowledge @ desktop Gyandhara:
A knowledge portal which offers three
unique services: 1) A research assistance
facility which guarantees less than
72 hours' response time; 2) E-books
to help managers stay at the cutting
edge of thought leadership; and 3) A
bi-monthly e-newsletter focusing on
industry updates, latest industry news
and management updates.
The Group intranet Adityadisha:
The Group intranet is the information
gateway for the businesses and the corporate,
which serves as the repository of organisation
information and the channel for organisation
communication. It hosts features like
career helpdesk, management circulars
and access for multiple learning micro
sites.
Organisation case studies
Anubhav: This captures the tacit
learning of managers across various
businesses of the Group. It is a knowledge
repository of over 600 cases documenting
the success stories, as well as learning
from practical problems and issues from
real-life experiences and their solutions
by practising managers of the Group. |
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| Nurturing
talent |
| The
Group has developed the 'talent management
framework', which encompasses eight
career stages and 17 career-stage specific
behavioural competencies. The key steps
in the process are:
Development
assessment centres (DACs): DACs
have been designed to support managers
in assessing and developing their
capabilities. Over 1,200 managers
across all management levels have
participated in the DACs since 2003.
Post-DAC, the developmental goal for
an individual, in terms of priorities
for learning and development experiences
to move to the next career stage,
is captured through the individual
development plan (IDP). These are
monitored on a real time basis for
tracking implementation on the Peoplesoft
platform.
Talent
reviews: A three-tier annual talent
review process, held at the unit level,
business level and Group level, ensures
a focused approach to the implementation
of lDPs. The review discussions provide
meaningful input into the career and
succession planning process.
Talent
engagement: Business heads anchor
programmes aimed at developing leadership
potential and are personally involved
in the design of specific courses.
Other initiatives, such as the Chairman's
Challenge and Ideas Unlimited, provide
in depth engagement opportunities
with hi-potentials.
Career
moves and succession plans: Three-tier
succession planning ensures that there
is adequate leadership bench strength
for all critical positions. Over 300
managers have moved into identified
business critical roles at the senior
and middle management levels as a
consequence of their individual development
plans. Most business critical positions
have identified succession plans.
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