REG NO: 4711310031NAME: SHERIN SCARIA CLASS: MBA 2ND YEAR SUBJECT: SEMINAR BATCH: 20013-2015 TOPIC: HR policy of Aditya Birla group 1 HR policy of Aditya Birla group INTRODUCTION The Aditya Birla Group is a multinational corporation based in Mumbai, India with operations in 25 countries including Thailand, Dubai, Singapore, Myanmar, Laos, Indonesia, Philippines, Egypt, Canada, Australia, China, USA, UK, Germany, Hungary, Brazil, Italy, France, Luxembourg, Switzerland, Bangladesh, Malaysia, Vietnam and Korea. A US$ 28 billion conglomerate, with a market capitalization of US$ 31.5 billion, over 50 per cent of its revenues flow from its operations across the world. The group is a major player in all the industry sectors it operates in. The Hewitt-Economic Times and Wall Street Journal Study 2007, has adjudged the Group the best employer in India and among the top 20 in Asia. The origins of the group lie in the conglomerate once held by one of India's foremost industrialists Mr. Ghanshyam Das Birla. He bequeathed most of these companies to his grandson, Mr. Aditya Vikram Birla – the father of the current Chairman of the group, Mr. Kumar Mangalam Birla. Mr. Kumar Mangalam Birla is the grandson of Mr. Basant Kumar Birla, who heads his own independent business conglomerate. Several other members of the Birla Family own and run their independent business groups MISSION: To deliver superior value to our customers, shareholders, employees and society. 2 HUMAN CAPITAL: Among Human Resources initiatives taken during the FY 2007- 08 to retain and groom talent are: 1. Created new channels of communication. 2. Geography wise HR partners to aid employee interaction. 3. PSI Buddies for all new hires on their date of joining the organization. 4. Initiated Speak your Mind: projects interface with HR 5. Various spot awards and informal rewards recognizing deserving PSIans 6. Training boot camp for freshers 7. Strengthen the Training and Competency function introducing the Monthly training calendars 8. Employee integration activities to foster fun at workplace 9. Routine medical checkups of project team members. HUMAN RESOURCE DEVELOPMENT:- The future success of any organization relies on the ability to manage a diverse body of talent that brings innovative ideas, perspectives and views to work. The challenge and problems of workplace diversity is turned into a strategic asset if an organization is able to capitalize on the available talents and your Company continuously works towards achieving this objective. The total number of employees as on March 31, 2007 was 684 as against 573 employees at end of previous year. The attrition rate of the Company has reduced to 18% as against last year’s rate of 24%. Your Company plans to increase its thrust on human resource development with ‘People centricity’ as its Human Resource theme in FY 07-08 across the globe. Your Company has taken several initiatives to retain and groom talent at all levels of the organization. 3 PURPOSE OF HR POLICIES:- HR policies allow an organization to be clear with employees on: • The nature of the organization • What they should expect from the company • What the company expects of them • How policies and procedures work at your company • What is acceptable and unacceptable behavior • The consequences of unacceptable behavior The establishment of policies can help an organization demonstrate that it meets requirements for diversity, ethics and training. In order to fire a person it may be necessary to show cause compliant with employment contracts and collective bargaining agreements; the establishment of HR Policies to document steps in procedures, including displinary procedures, is now standard. HR POLICIES OF ADITYA BIRLA GROUP . Drug-Free Workplace: The use and misuse of drugs and alcohol can threaten Company ABC and its clients. The possession, use or sale of illegal drugs, (including drug paraphernalia) is prohibited. The misuse of any legal drugs and/or the use of alcohol, while on Company time or during breaks or meals, is strictly prohibited.Any employee under the influence of alcohol or drugs that may impair judgment, performance or the safety of the employee or others while on Company property, Company business, or during work hours, is subject to discipline including termination. Employees are required to promptly notify Company ABC if they are taking any medication that may affect their judgment, performance or behavior. 4 Group Growth policy: Having an aggressive growth plan with structured people processes that provide flexibility for individual creativity has worked well for the Group, says Misra. "The organization’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." Standards of Professional Conduct: The Employer ABC Code of Professional Responsibility provides that employees shall: • Comply with and abide by all rules and regulations. • Comply with and abide by all State and Federal laws and regulations. • Maintain the highest professional standards. • Commit no act of forgery or alteration of ABC documents or records. • Commit no act of theft, damage or destruction of Employer ABC's or property. • Cause no physical harm to any employee of ABC. • Engage in no activity that obstructs the administration of disciplinary procedures or review • Make no unauthorized commitments or promises binding Employer ABC or any of its employees 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. 5 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. 6 Conclusion The main advantage of implementing a human resource policy is that it can help prevent costly litigation fees in the future. A human resource policy should create avenues for employees to report any misconduct to superiors. If the company is able to resolve the dispute internally, it could save costs on lawsuits and may also spare the loss of employees. Other benefits of a human resources policy include increased communication in the workplace, reduced management expenses, and a more cooperative work environment. 7