HR Policies of Eicher Group of CompaniesPresented By

Name Roll No.

Mr. Prasad Satam 67

Eicher Group is a conglomerate of the firms Eicher Goodearth Ltd., Eicher Ltd., Eicher Motors Ltd., Eicher International Ltd., and ECS Ltd., based in New Delhi, India. Eicher Motors is a commercial vehicle manufacturer in India. The company's origins date back to 1948, when Goodearth Company was established for the distribution and service of imported tractors.The Eicher Group experienced a gross sales turnover of over INR 19,000 million ($US 424 million) in 2005–06.

About Us

The Eicher Group has diversified business interests in design and development, manufacturing, and local and international marketing of trucks, buses, motorcycles, automotive gears, and components. Eicher has invested in the potential growth areas of management consultancy services, customized engineering solutions, and maps and travel guides.The activities of the group are divided into the following business units:o Eicher Goodearth Limited.o Eicher Motors Limited .

Eicher Motors – Commercial vehicle. Eicher Engineering Components – Gears.

o Eicher Limited – Investments in group companies.o Eicher Engineering Solutions – customized engineering solutions.o Goodearth Publications – city maps and travel guides.o ECS Limited – management consulting.

Group Structure

Board of Directors

o Eicher Started Operations in Faridabad, New Delhi in 1960.o Manufacturing Tractors was the Prime Business. Initially the company was running with difficulties and uncertainties.o 1974 a study conducted by an reputed external consultant firm.o Finding was lack of Professionalism in the company.o Massive recruitment of Professionals done to comply this.o 1980-81 company perform well due to favorable Market condition.o 1974-81 turnover increased more than 23 times.o In 1982 the company again struggled a lot to make profit due to change in Government Policy.

An Overview

o Eicher Tractors Limited (ETL).o Eicher Motors Limited (EML).o Eicher Exports Limited.o Eicher Span Financial Limited.o Eicher Consultancy Services Limited.o Capol Farm Equipment Limited (CAFÉ).o Eicher Research Centre, Faridabad.

Group Companies of Eicher

o Total Strength - 3700.o Executives - 444o Staff - 1567o Workmen - 1695o Hierarchy

GM - DGM - Senior Manager - Manager - Deputy Manager - Asst. Manager - Supervisor. Grades - 1 to 7

Man Power & Hierarchy

Products

Products

“ It shall be our endeavor by delighting our customers by achieving world class quality in all that we do and

by the involvement of each and every member of the Eicher family to become the largest Tractor

Manufacturer in India, to treble our share of the commercial vehicle market to reach export of one fifteenth of turnover and to commit to one new

project at least every three years. “

Vision Statement

Defination: Human Resources Development (HRD) as a theory is a framework for the expansion of human capital within an organization through the development of both the organization and the individual to achieve performance improvement.

Human Resource Development is the integrated use of training, organization, and career development efforts to improve individual, group and organizational effectiveness. HRD develops the key competencies that enable individuals in organizations to perform current and future jobs through planned learning activities. Groups within organizations use HRD to initiate and manage change. Also, HRD ensures a match between individual and organizational needs.

Human Resource Development

o Creation of Role Model by Top Executives of the company.o Sensitive to HRD.o Emphasis on Development of Employees.o Free culture across the company.o Concept of just Management.o Believe in Professionalism and Quality product.o Believe in people.

Evolution of HRDin Eicher

o Training.o Total Quality Management.o Performance Appraisal.o Counseling & Feedback.o Communication & Interpersonal Relation.o Decision Making, Team Work and Recognition.o Role of Top Management.

HRD Activities

o Types of Training : Behavioral Training - For all level. Functional Training - For all level. Potential Related Training - For all level. Multi-Skill Training - Workmen & Jr. staff. Training for Dealers - To deal with customers. Training Schools - Skill development. International Exposure - Sr. Level Executives to establish TQM.

Training

Details Workers J r.Staff Sr. Staff ExecutivesReceived any Training at Eicher 90 90 92 88Individual needs 50 39 44Organisation's perception as Individual need 70 23 76Organisational Need 81 50 58 48

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Workers Jr.Staff Sr. Staff Executives

Received any Trainingat Eicher

Individual needs

Organisation'sperception asIndividual need

Organisational Need

Employees Feedback on Training

o Concept of TQM came to Eicher in 1989 with the following understandings:

Machine can not do miracle, system & software are of equal importance. Role of human resources are of paramount importance to derive the best out of Machines.

o In 1989 to Popularize the concept of TQM an experienced Faculty invited to train the People and later on appointed as adviser to the Chairman.

Total Quality Management

o Quest for excellence in Quality - Supported by all level.o Need for Sustained growth - Worker & Jr. Staff.o Need to be competitive - Sr. Staff.o Decision & Initiatives of Top management – Executives.

Motive of Implementation of TQM

o Customer Delight.o Teamwork & Participation.o Continuous Improvement - “ Kaizen “.o Quality Consciousness.

Meaning of TQM in Eicher

o To ensure Zero Defects Products.o Suggestion from Employees to improve their initiative.o Recognition for better suggestions.o Implementation of Suggestions.o Sharing of Kaizen experiences with seniors and peer groups.

Kaizen - Continuous Improvement

Details Workers J r.Staff Sr. Staff Executives

Implementation 89 70 92 100Sharing of Kaizen 61 43 62 63Carrear Growth 63 70 58 80Achievement 57 57 60 60

What Employees Think of Kaizen

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Workers Jr.Staff Sr. Staff Executives

ImplementationSharing of KaizenCarrear GrowthAchievement

Employee’s Feedback on Kaizen

o Introduced in 1977 and Reviewed in 1979, 1981,1984, 1986 & 1991.o Executives:

Reviewed by Career Development Groups (CDG). Under Annual Development Review (ADR) Process.

o Features of Present Appraisal System for Executives: Customer Orientation:

Expectations of internal & external Customers. Review will be based on the job and off the job development requirement.

Emphasis on Potential development: Acceptances of more responsibilities. Individual Potentiality.

Performance Appraisal - An Overview

o Non Executives: 6 Points Rating Factors:

Sincerity and Willing to work. Intelligence and Grasping power. Knowledge. Presentation & Clarity of expression. Dynamism, Association, Attendance & Initiative. Discipline.

o Assessment Centre: Started in 1984 to undertake promoting staff to executive positions.

Performance Appraisal - An Overview

o More than 60% employees are agreeing to have more Responsibilities.o More than 70 % executives are agreed discrepancies between Appraiser and Appraise.o Less than 40% of Workers and Sr. Staff and more than 60% of Jr. staff are saying that superior are discussing with them about the rating and accept suggestions. o Average 60% of workers, Jr. Staff & Sr. Staff are accepting the secrecy of Appraisal Systems.

Employee’s Feedback on Appraisal Systems

o Based on Carl Roger’s Model of Person Centered Approach.o Personal Improvement will be paramount importance.o Appreciation of Counseling approach in the development process.o Developing an understanding of the core conditions / Philosophy of the counseling process.o Exploring one’s Style in counseling and its impact.

Counseling & Feedback

o Communication has given top priority in Eicher.o Improvement on Communication done through:

Meetings. Workshops & Training Programs. Brain Storming Session. Presentation. Media - In house journals “ Footsteps ”.

Communication & Interpersonal Relations

o Persistent effort by Management to improve Team work.o People are trained as Team leader and facilitator.o Manifestation of Team work:

Understanding the goals of employees. Contribution to new ideas. Maintaining Transparency. Average 70% of employees appreciate the work culture and treatment of the employees in Eicher.

Decision Making, Team Work & Recognition

o Achieve excellence in Quality.o Delegation of Authority and Responsibility.o Developing Ownership among the employees.o Involvement and commitment of development of employees.o Freedom to take initiative.

Role of Top Management

o Believe about people are shared by all levels of Managerial hierarchy.o CEO was seen as a Role Model.o Personal Practices are development oriented.o Employees are serious about training.o Authentic communication and consultation helped to develop positive outlook.

Eicher - A Learning Source