l

t-

l- Strategic Human Resources Manugement in a Merger

tr
l- i

1-
IJ
rj

ofessor Virendra Shulda, S.P. Jain Institute of

i. The Author has developed this case solely as a
intended to serve as an endorsement, source of
ctive or ineffective management.

07 June20ll
f-
Strategic Human Resources Management in a Merger
I
{

The young chairman of Renaissance Group was in deep thought. He had taken over the
J
{

role under very dfficult circumstances of a sudden personal loss of his illustrious father {
who had laid the foundations of a global business in diverse areas of textiles, non ferrous {
metals, cemenl, chemical and carbon blach. In his mind, he was thinking of the slrateg/
and the challenges of expanding these businesses and creating globalfootprints. His vision
J
was to see each business emerge as a world leader in its segment and acquisition strategt
was to drive thaL
J-l
The acquisition of Cemenlco, the cement arm of Largesse Industries Ltd, had come
through a protracled slruggle but he felt it was worth it as il was the huge step for the
JJ
JJ
cement business to assume leadership position in the global cemenl business.

He viewed his nexl challenge of integration of both, the organisation, his company Great
Co ltd and Cementco, laler rechristened as Ultra B Ltd. He wondered how the human
resources function would support this integration

Introduction
^ J
..l
The Indian economic environment was changing around the year 1999-2000 and after a four
year period of tight monetary policies and economic stagnation, there was a major emphasis -l
:.l
by the government on infrastructure development which was to drive a higher growth
trajectory for the next decade and beyond. The cement capacity in India in 2005-06 was J
around 150 million tons and was projected to grow to 350 millions tons by 2015-76 at a
J
CAGR of 12Yo as per Cement Manufacturers Association estimates. The cement division of
Great Company Ltd which was created after merger of Indian Industries cement division had
a combined capacity of 13 million tons and had a CAGR of 10% between 2000-2004.The
JJ
growth opportunities and the position that the cement business of the group was to reckon
was a great challenge. JJ
ln 2004, Largesse Industries Ltd hived off its cement division viz Cementco, having a
capacity of 17 millions tons annually for Rs 2200 uores to the Renaissance Group. It was J
rechristened as Ultra B Ltd. With this major acquisition, the cement business of the Group
nor.v at 30 million tons became a major player in the country having 20o/o market share.
During this time, multinational players too saw a huge potential and international cement
JJ
majors like Holem Internationai. H-Berg Intemational etc were looking to have a presence in
rne lndian market. Holem lnternational bought in a stake in Ganga Ltd and Akash Ltd and
also had a similar capacity in its fold. By 2005, about 60Yo of the cement capacity rvas
J
JJ
rnanaged by multinational including the Renaissance Group. A shift from promoter driven
business to MNC driven. Annexure I

JJ
J
J
 Business Integration

The business head set up an integration team of senior executives in April 2004 across both
the comparries to evaluate all areas where synergy could be operationalised at the fastest.
Common marketing, purchasing, logistic were the first phase of the integration. Thereafter,
the business HR role was evolved to drive the HR lntegration with the support of the
Corporate HR.

HR Integration

In April 2004, after the announcement of the take over of Cementco, (which was renamed
Ultra B Ltd subsequently), there was some uncertainty and anxiety since the takeover had
happened after a protracted struggle with the erstwhile Largesse Ltd management. The
Cementco managers and staff had many doubts relating to what would their roles be, level
IJ of professionalism in the new situation, treatment and view about loss of privileges and

l. perquisites and compensation, their job security and their future etc. The business head and

E corporate HR team decided to hold a communication meeting with all the senior management
of Ultra B and Great Co. This meeting clarified many of the apprehensions and ther.e was a
feeling amongst the managers of having boarded the cement business safely and pdsitively.

E
r
The cement business team and the corporate HR of the Group also laid out some perspectives
of how this integration was likely to be achieved.

The cement business organisation reporting structure is illustrated in Annextre 2.

As an organisation policy, every year in March-April, each business head in the Group
presents a business plan to the Chairman. The corporate HR also seeks inputs from various
business heads to plan Group HR policy which is presented to the Chairman. Annexure 3.

E
r
In 2004-05, keeping the strategic goals of achieving integration of business operations,
various task forces from both the companies were formed to derive synergy and cost

I
optimisation. The business HR team also laid out a plan to achieve synergy and integration by
reviewing the HR strategy, organisation structure and job levels and polices to drive people
performance.

Indian economy was upbeat. A GDP growth of about 8.5% had the economy on a roll.
Companies were drawing ambitious plans to be a part of the economic growth never seen
earlier. Companies were envisaging talent shortages and they resorted to giving substantial
compensation increases never witnessed before. With inflation around 6-5yo, a 12-159ir salary
increase across the companies became a norrn. Compensation and talent retention becarne a

E critical human resources challenge for businesses and now became CEOs / Business Heads
strategic agenda.
 {
J
Great Co Ltd had not done any compensation survey since 1999 when the cement business of
J
{
Great Co and Indian Industries were merged. Adhoc increases were given based on cement
{
J
wage board increase for the workers to keep the difference between officers and workmen .It
had undertaken a compensation survey in 2004 but held back the revision in view of the
impending merger with Ultra B Ltd.

Human Resources Planning

JJ
During 2003-2004, while reviewing the human resources function in the Group, the J
Chairman challenged the Corporate HR team to build processes and policies which could be
benchmarked with world class practices. The businesses had grown and needed to be
managed with profit centre responsibility and the Group was expanding beyond the
JJ
traditional commodity businesses portfolio. To enable integration of the HR policies across
various businesses, the Corp HR team had begun to evolve common directions in line with
global human resoruces practices. Ln2004, the Group outlined a vision and value framework
JJ
which would align all the businesses and people and be a driver over the decades. All senior
management teams went through these workshops to build a corlmon ethos which would
drive performance and managerial leadership behaviour. Annexure 4 and 4A
J
{
{
J
J
The cement business HR team made a presentation to the Business Head and Chairman
outlining the contours of the strategic implementation after a thorough diagnosis. It integrated
the Group HR Initiatives and the Business HR objectives. Annexure 5
.{
In 2005, the initial phase of integration was done with the integration of the offrces of the
cement business. A new office location in the suburbs was found to house the cement
business operations and the staff was relocated by April 2005. The marketing and
--l
{
manufacturing divisions of the erstwhile Great Co Ltd already existed and therefore this
J
relocation was a step in the integration of the both marketing and manufacturing operations.

Organisation Structure and .Iob Evaluation

JJ
The Chairman had already initiated a process of job evaluation across the businesses in India
and overseas to create sorne parity of job roles, promote job rotation and seamless movement
of managers across the businesses. Hay Consultants in view of the global experience had
IJ
been appointed in 2000 to relook at organisational structures and evaluate jobs across various
J
businesses. Annexure 6.

They set out with evaluating jobs of Chairman and Business Heads in each sector and by
J
J
2003-2004, the process had been fairly established with its review mechanisms. Thereafter, at
periodical intervals, each business was in the process of evaluating jobs across managerial
J
levels and the job evaluation process became critical to the human resources development
process in the group's businesses. Annexure 7 JJ
JJ
J
J
 The integration of the cement business provided an opportunity to conduct job evaluation

L: exercise and a steering committee was set up. The revised organisation strucfure was drawn
and job analysts were identified in the business and trained by Hay Consultants. Thereafter, a
L: major effort was made in writing job descriptions by trained job analysts for 280
ti benchmarked positions at various levels covering about 2600 management staff of the

t business. Job Bands were given based on the evaluation after an iterative process with the
Central job evaluation committee by December 2005. During the course of the evaluation,

lLL
the organisation processes were reviewed and job roles were refined and an optimum strength
of each position was determined to meet the business goals. This process enabled a lot of
clarifications and participating managers brought in an objective view of the role,
responsibilities and accountability based on the job description and application of Hay
Methodology consistently. During the implementation, manager's concerns were also
addressed at various levels and by April 2006, almost all management staff had been give a
Job Band as confirmed by the job evaluation committee.

L
l-
Compensation

The compensation review was due in July 2005 for both the companies. It has beeq stated

l. earlier that in Great Co Ltd the survey was done l.ll,2004 but the correction was held back in

l.
l{
back in view of the impending merger. MNCs entry had c.hanged the complexion of.the
compensation market during this period and companies had given 20%-30% increase to its
employees across the board and much higher at senior management levels to retain and attract
talent. The cement sector in India was witnessing a 'talent war'. During this phase of
integration, the turnover of managerial personnel was around 74Yo pt annum and therefore a
market study was required. Cerebrus Consultants was hired in April 2005 to advise the

E
l-
management accordingly.

After a review, a compensation correction was done from 1.10.2005 covering 4278 *Non

r- CMA employees - primarily in the managerial and officer cadre. The increase in cost was

Itjl-
22%o on CTC of 136 crores and if Non CMA employees are covered, it was 16%o on lotal
CTC of Rs 166 crores. This covered 54%o of its total employees .However, a part of the
proposed compensation of Rs 13 crores was in the form of variable pay and the balance 85%
in fixed pay increase. Annexure 8.

L
l- *\-on CMA are stofi'and managers not covered b1, Union agreement between Centenl
-llanufacrurers Association India (tuhich enters into settlement wiih Cement workers ttnion
,epresenting 2i Cement companies and l, 25 000 workrnen)

E
s
 J
Variable pay plan proposed by Hewitt in 2004 had been implemented in Great Co covering
IJ
about 30 managers at the level of Vice President and above. Cementco also had a PLR
{
(Performance Linked Rewards) plan for variable pay out. During the Arrnual performance
J
J
review, which happens in July each year, the PLR bonus was paid to Cementco employees
and variable pay to Great Co Ltd managers for the financial year 2004. The challenge was to
enlarge the scope of the variable pay plan for all the managers and officers in the integrated
business for a payout in July 2006 based on FY 2005. A note for implementation was J
prepared to share it with all the Units covering 2800 management and offrcers who were to be
J
covered in December 2005. Annexure 9.
.-l
In July 2006, the variable payout for all employees was done after the Annual Performance
J
review. The variable pay policy had been fairly well implemented for 2800 managerial
employees in the business and revised designations had been given to all the 4500 employees.

It was decided as a policy to review compensation every year in view of the dynamism of the
JJ
economy, inflation and market reference which was changing very fast. Mercer Consulting
J
was appointed to do the market reference in Jan 2001 . The job evaluation and Job Bands had
provided an easy reference. Annexure 10. J
l
J
In April 2007, the integration of the Job Band compensation structure was implemented
including revised increments policy and the variable pay which applied for the Performance
J
-l
Appraisal process in August 2007 for the performance cycle of FY 2006.

Human Resources Policy

:.l
The HR Policy of the integrated business was to support the Iong term business which was {
slated to growto over 100 million tons by 2015116. The Group's values served as a binding
J
force for all managers and officers and the policy drew its strength from the core values of
integrity, commitment, passion, seamlessness and speed. The code of conduct adopted during J
the value workshops became a vehicle to drive managerial behaviour. During the integration
J
meetings with all the HR heads, all HR policies and practices were evaluhted and revised to
meet the needs of the business and also in line with the vision to be a 'people sensitive' J
organisation e.g.application of the group insurance policy to about 1000 supervisory cadre
person below the level of managerial cadre employee viz Job Band I 1. JJ
A common HR Policy Manual for the Cement Business was circulated
Annexure 11.
in April 2006.
J
J
O'.,er 30 policies tvere re'.'iewed and recast to rneet the needs of business and a common
policy was armounced on l.l .2006 and others r.vould be evolved based on the needs as the HR
processes fell into place. Over 4500 managerial cadre employees \\,ere covered by these
J
JJ
policies.

JJ
J
l
L
 l\

E An annual review mechanism was put into place to periodically test the efficacy of these

l: policies.

t: Job Bands were implemented. for all the managerial cadre employees and facilitated

t: coverage of 2800 such employees in the variable plans with whom the plans have been

ti shared across each ruriVoffice locations druing February and March 2007.

Performance Planning and Appraisal

\:

It Before 2005, the performance planning and appraisals was a 'paper and pen' exercise and its
implementation was very varied across the Group. A steering committee for Performance
Planning was formed to represent all businesses to implement it on people soft platform
'Totalinf 'covering over 12000 management staff. The cement business management staff

L viz 23%o of the total was also to be covered. The objective was to do the performance
planning for managers for FY 2006-2007 and appraisals in May/June 2007. Over 2800

t: managerial employees covered by Job Bands were trained to set goals and objectives and

t: review their perfornirrce on the Totalinf platform. In July 2007, the first cycle was
completed after a grueiling trial.but managers expressed satisfaction since it became very

t: friendly after the initial apprehension.

t:
l{
Human Resources Information System

t: A challenge for the cement business at the time of integration was to have a uniform MIS to
track about 8000 employees (of which 4500 were in the offrcer's cadre) at 14 units across the

t- country and in Sri Lanka. The Totalinf platform facilitated the MIS for the Job Band covered
mgt staff viz 2800 which was to cover the balance in the subsequent year viz 2007-08. Since

t- the Units were having the own legacy system, it was decided to apply the software platform

t- 'Samband' which was working well with the marketing division of Great Co Ltd. It was
evaluated and found to serve the requirements for the cement business and could be scaled up

t-
ltjL
to meet future requirements. The job evaluation, compensation structures, HR policies etc
which were finalised around this time facilitated this. Thus, the HRIS for the Cement
Business in July 2006-2007 was'on two platforms, 'Totalinfl for the management level and
'Samband' for non mauagement which was on the home grown but outsourced one. Now, the
information needs of human resources was available 'real time' in integrated manner to the
management for effective analysis and decisions and a similar access to employees across all
locations with a web based 'real time' accessibility.

L
L
Voice of the employee

In Iine rvith the Group's Value of being 'people sensitive'. the group HR has a policy of
t-
I
listening to 'Voice of Employee' (VOE). Gallup was hired in 2003 to conduct such surveys
across the businesses for managerial staff every 2 years and for the integrated cement
business was also covered in 2005. The integration process had a bearing on the VOE. The
reP(an \\'as presented by the Gallup team and man)' insights were drawn which became the

s
 <
-J
-J
basis for action planning by respective works units and corporate teams. This feedback also
J
became the basis for making HR policy changes like providing women mimagers, facilities
J
for taxi when they travelled to work locations, better community life at works locations like
improving schooling standards, Tata Sky connectivity, city like shopping and cultural
J
prograrnmes etc. The Ql2 scores provided feedback on the 'employee engagement' at
various locations and where the scores were low, plan for improvement was drawn to be
implemented and improved upon based on yearly reviews.
JJ
Talent Management J
T
By December 2006, the HR integration was nearing completion. The management team was
an integrated whole expected to drive Renaissance Group cement business which had begun J
to invest in greenfield and brown field expansion keeping the Vision of 2010-1 1 of being a
55 millions tons entity and a market leader. However, a major challenge for the Group and
the business was to attract and retain managerial talent to meet the leadership challenges of a
JJ
growing business.
J
There was a talent process already in existence for very senior levels. Now the scope had
J
enlarged to cover various managerial levels, career paths and competencies. Annexuie 12.
J
Since the improvement of the compensation policies, the cement business in view of its
expansion became an attractive proposition for managers from other business in the Group. J
The Internal promotion policy of the Group now allowed managerial talent to move
seamlessly across the business.
-J
-J
An exercise to map talent in the business was completed in October 2006. About 400
J
managerial staff were identified as talent and mapped to meet future roles. An assessment
development centre was used to supplement the decision. As a first step in individual J
development, plans were drawn for each identified talent and reviewed on a quarterly basis to
ensure that development was on course.
J
-J
The challenge of retaining talent was becoming a priority across the Group. To meet the
J
needs of the businesses, a deferred compensation plan was evolved by the Group. In January,
the cement business identified about 30 managers in the talent pool to be covered by the
deferred plan. The talent pool was reviewed at the Chairman's level for each business yearly.
J
-J
Productivity and Industrial Relations J
One of the ma-ior challenges of this integration at the Units was the productivity, work J
practices and union relations. The works units were practically in all the states of the countrl,
and were affected by local unionisation and politics .The wages were governed by the CMA
J
industry based wage agreements. Therefore, about 3500 'cement wage board covered'
employees across various unit locations were covered by these agreements. However, with a
large deployment of contract workmen, about 8000 across the various unit's local practices,
J
=J
unionisation and politics had a major impact on the industrial relations in the units. ..J
J
J
L

)
h-
--l
t:
r-
\
Over manning and relative poor work practices existed and the units had dealt with them
- based on their historical experience.In2003, Great Co's Ltd units were overrnanned. After
: an industrial engineering study by an external consultant, one of the works in the North India
had downsized its manpower with a voluntarily retirement scheme which was finally
:
implemented with a great deal of persuasion. A productivity scheme bonus scheme was also
: implemented with the agreement of the Union for a 3 year period based on an output-
L. manpower formula. The worker had gained regular and higher bonus payments on account of

t-. this.

L
l-
In 2005, during the integration, the same consultant was hired to complete the study for all

L the Ultra B works. About 20Yo of the workmen were assessed to be surplus and were required
to be redeployed and./or given a VRS. Annexure 13.

L In some of the work units, bonus and industrial relations were still governed by the power
L- play and disruption of production took place during the festive season of Diwali each year.

L- Finally, it was decided to implement the productivity based bonus formula on long term basis
in all units.
L:
L- The same formula was offered to unions in the respective units and over a period of time all
units signed a 3-5 years agreement except one by 2001. The industrial relations had improved
t_ and all plants had achieved a high level of utilisation, productivity and production to meet the

t{ marketing requirements. In one unit, this agreement was achieve through a protracted go slow

tj of 4 months.

l- I\{easurin g Business HR effectiveness

L
l-
Each year the HR performance was tracked on various measures based on the objectives at
rhe beginning of the year linked to 3 year targets. These measures covered each zrspect of the
irinction and were reported for each business at the Business and Corporate FIR review held

l- ;, l,larch and goals and action were planned for the next financial
:r.irsures of effectiveness of the divisions is attached. Annexure l4
1,ear. A sample of the

t_
L
IJ
Epilogue

.: lr-107. on 2nd July, quarter review was done to assess the HR Integration of the Cement

L
L
r --:.:e SS. Had it met its goals? Annexure 15

- ..,:eqration
was more Lir less complete. Some llR Processes like tlre talent review', the

L
l-
.' :i nerformance appraisals on Totalinf has been conrpleted and the revised l,early
' , -rlents and awards have been amounced on l" August 2001 . The IDPs for junior level
.r..-'.,:S€rS are being revierved at the
various locations. Those identified fbr defened

l- - : .-:ensation have been paid out. There is a proposal to give equitl, shares a-s a Group policy
' ;r,. senior managernent talent who have shown superlative performance in FY 2006-07.
l- ..icrs have been sent to international training as identified in their individual
:' - ,inlent plans.

F
Some people from the talent pool in the for meeting Group's
business have been identified
II
leadership roles. The indusrial relations have largely been peacefi.rl and productive .The
Gallup survey is being planned to be completed by October 2007. Job evaluation review is
planned to be completed by October 2007, in view of many jobs in ready mix concrete
business becoming as a profit centre.

The challenges of attrition remains at the lower management level as the economy expands
j
{

and is expected to be around 10% but senior level retention has shown a positive trend.

In Jan 2008, a review of the HRM in cement will be conducted and the next phase will be
planned to meet the businesses goals in line with the business vision 2010-l I with a
JJ
{

leadership presence in the cement sector in the region.

J
J
:.l
J
{
J
{
-{
.{
{
J
J
J
{
JJ
J
{
J
 .'

Renaissance Case Study Annexure 1

Cement Business - Some Highlights

o Global consumption of Cement is > 2 billion tpa

The Export-Import Trade is 140+ million tpa or 6.5Yo of consumption

Cross Border Trade driven by shortages, and not by Cash Cost of Goods

E Asia's Share has grown progressively from 42% n '90 to > 630 in '04

L
L
o 2 largest markets ..

...
- China from l9+o/o in '90 to 45Yo in '04

India ftom 4+%o in '90 to 6+%o in '04

L.
f- New Capacities upto 2010 arc30%o of Global Consumption, 80oZ in Asia

rl- Global Market Share of Top 6 has moved frorn 9% n '88 to 38% in '05

r
Majors will seek to improve their Share in China/India to maintain Global ranltings

Opportunity for Asian players to move up in Global Top l0

Capacities Controlled

We are Ranked Joint 9th with 3 other Companies

RMC Business

E Indian Cement Market: Size is doubled every decade. 2005-06 Indian Market 135

r
L. rnlt and 221 rn/t by 2010 and by 2020 abotfi 600+ m/t

l Global Per Capita Consumption 307 kg

India 125 in 2005-06 to 185 in 2010 to 400+ in2020. Growth is around l}Yoper year

MNC focus on China, India and the Middle East where they do not dominate

Particular attraction of China & Middle East to control Global Trade

H Indian Coastal Markets will attract Trade Flou,s; from China /Middle East

A25% share will require 55 million tpa by 2010 and 90 million by 2015 for us

Capacity Consolidation

.A.ll India share of Top 2 Groups from23Yo in FY '01 to 43Yo in FY '06

-\ll India share of Top 5 Groups from 51o/oin FY '01 to 63Yo in FY'06

L1)
Cement Capacity under MNC control
I
{

{
All India share from 5Yo in FY '01 to 29o/o in FY '06
{
: North 3l%, South l9% J
JJ
Crutent Share 27Yo,East 5002, West

Lafarye lltalcementi in' 0 1, Holcim/Ilei delberger since

Net Sales : Rs.15,000 cr in 2010 and Rs.30,000 cr in 2015

We are Not in the commodity business

JJ
Retention of Managerial Talent
J
Compensation Review to align with market every 213 yea,rs

* Will need to move to 75th percentile for select Functions e.g. TPP
J
{
Revisit Job Bands and align with established Plant Work Flows
{
* Defer Compensation-linked to Job Bands to 1.4.07 {
Visible Action to be Demonstrated On Career Cycle of Selected Managers J
* Update Talent List for GMs & Above every 2 years {
a. Recognize Retention Hazards < GMs, Increasingly > GMs as well -{
{
Provide Mainstream Career Growth for Critical Sub-Functions
J
* e.g. Technical Services /Logistics
J
Build World Class Ability
J
Identify critical skills where International Cement experience a positive
J
* Fill this gap thru' Expatriate Managers, Retainers & Consultants J
Establish Manageriayskill Profile for Key Jobs (JBl

*
- JB5) JJ
J
Provide relevant preparation to identified candidates

Hold Relevant International Prograrnmes in India exclusively for Us

J
Build Specialists, in-house, with specific Retention Programme

N{oye torvards '6Multi-National" Team for Cement in India

J
JJ
2ndl3rd World Cement Experience a necessary assel

72
JJ
{
1
 Renaissance Case Study Annexure 2

ClidMataioe0ftc SrtrcPrcslalBuChirfMartourngOftr CillFireialOfrra CnidPcopL0fta CIO

l.
l- RM Eme ?ropct Cdal.Accord Erad -Corp Pcml&.4,&

l-
rusL
Htad Bm& Epoft Trchrd/R &D Corpuan Ta Erad-Coopdiod?M5 Appn,ir"
I

r.
EadCmial ?PC Cuponrlimc
Ead-TalrrMag@ld
Eead Logshs Malai*
I

i--r ERlmd -MKT 1 EREcad-MFG 2

ll
Great Co Ltd U}raB ltd
UoiEcads UnilEads

m. Matrts8 wil adEillfalvEly rpon lo CMO ed fi@timrry to CPo

E
m.M@frtung witr a&iisbalicdyreport to qMO ad furlioury b C!0

r
-\pmiral htccg
lrhteling - FwtiodEcads -> CMO' -> CEO
(IorCmau[ willbat mprts iom CIO)
Mada*mS - Fuctoorl EcadJ -- > CMO --> CEO
ftttgpnisr CMO. Rni*r CIO)
R'EcadsUa iqrtsiomC?0

Fimm Era& Uritsinr* tm CIO

N
I
13
 Renaissance Case StudY Annexure 3
T
{

Buiress Priorities: Ir 2005-08

Rarisut
f
{

(EItr\'I prim rlfocus st

th.nedto&tdop
I
{

J
to uder*ald tre
a stcog denad &e fonosilg : {
srcqSea our Grrr
aDakN*d
is *disit'e&hr"al @r'ituir komotior is uot &e

Contradors iuit Hea[s. ]tea& d of recopitiot

{
.l
kalFuclims ad

ir-esmenthLta
fuKryto Srccess, to inprort
(r)
eddfuse-1 sihbo&be$

{
orren ifli, dou
J
J
SpeciaEt, ard
ahba,lSmtx
Subj*t SpcciaL$ iI trem eryosr<

89peciftflnctimsi be bx in dcs
bdd fie R\{C
ins offseas. xld.
toasigiftai
*ihaR,s, l,W0 a lt *ep to coryetitin e-dre and to .{
Eg*fsrFY'0-4.10
tn
tiei
.{
J
Sem in' to
mrhgeata
Codinrols iryroremen
i) sedhemx

J
- ald an occasioml

Protisional Trrini"g

JJ
\{ataial,?rocrs; to for uch r:lass
ng ,lni bridis

tonmte bloch as Iradt cha:ads

ei6a da'elop su&
iuriicart daurd End-lrsus :-uth

r e brrone Se

JJ
[rao &e othu

J
J
e r,il reed tc l,aouodCo4hte
Job Ertfuation

Cement niti a
J
J
to harnorire

looi'ihdge btt JJ
J
J
J
)
l-
Er

E
l- Renaissance Case Study Annexure 4

lJ
l: Renaissance Group

l{
F Our Vision

L
L
To be a premium global conglomerate with a clear focus on each business.

r.
l..
Our Mission

To deliver superior value to our customers, shareholders, employees and society at large.

l{
r
.i

Our Values

I Integrity

o Commitment

I
. Passion

r Seamlessness

. Speed

.{nd

Being a people sensitive organisation

E
15

N
 I
{
{
Value Touch points
R.nriss!ncG rEc siudy Anndur 4A {
{
{
Making Values Work

J
{

J
J
{
J
{
J
Value Touchpoints : Communication
Role of the Value Leader

Expectations

. {
-l
Role model values
. Make $re thal the dirwt repons obseryc ud promote values
. Take orectivc action in w of depmurc from Valus
Group Vuion, for intml
cirolation
. Provide clarification on Value dilemmas and challenges
Mission & Values
. Lo6l Translrtions ' Postcrs ' Set the tone for the New Employees (lnduction)
. . .
{
J
FAQS on ABG Screen savqs Be the custodian ofGroup Values
Values website . fungtons

ToMenegem.nl Cadm
J
J
Employee only

JJ
Deviations of Values Value Violations
J
' Resolving Yalue Dilemmas
- Forsell, p€ers and others i0 lhe team
Value Champions'Committee would be set up ar rhe unit level,
business level and the Group level
J
" Yalue Departures .\,1 one noticing rlepanure lrom / non conformance to company
stadards on Values should highlight the same lo the Vahe
J
J
- Minor orfrst time deviation in individual behaviour, (on account oI Champion's cohmittee at his unit/ business
lack ofselfawareness)
- The complainam should make note ofthe,jcviation, the
- lndividual hrbitual conducl that irriteter but dots nor lramper ream perpetuators, critical incidcnts aod thc rictinsl ifanr) in
uorking or orguistion processes wririnS ar thc 6diesr

. Value Yiolations
-
The actionsofthe person knowing ofvalue \rolations, bul no!
rcponing would alsi be teams as value violalton
J
J
Aciions that impact perlomance ofcompany sandards
- Signilicant i individual dcviations that impacr ream tnrsl and lvorl.ing

JJ
J
J
J
la
t:
t-
t-
t-
lj Values Reinforcement Value reinforcement through HR Processes

i ln Recruitment: Do value fit analysis either tkough

l-
Value Vouchers:
intewiew or psychomelric Prepare specific questiom for
"Valw Vouchers" classi{ied r "Exemplary", "Hig}" and "Positive" ro be intewiewers Starl it for all recruitments to jobs in Band
available with ach employ€ in MmSement @dre (or MMgds ild 5 -1.

lj
above) to givc to dy one whn thqy noti@ u appropriate lwel ofValuc
obwue ii InAppraisal: Redesign appraisal process to also capture
rating on value adherence. Give 20Yo weightage to start with
- Each ofthese will erry sprcified points, i e 1000,750 ild 500
and increase over next 3 prcrformance years. Start for all
will lad lo r@ipt of ReEi$ue

E
- A@mulation of l0oO0 points a
Managers in Band 5 and above fiom performmce year 05-
Value Ladq Awud from tlp Corporatc
06.

t- Value Pins:
To be given io all Maragement edre employ*s They need to wa it in
the Vajue Obsmne Wek All new mployees to be given the we
4 point Value Adherence to be inlroduced:
- Role Models;

L
- High Vdue orienlalion;
. Avmgc Value orientdion;
- Low Valu6 orientaiion

L
l-
l-
t:
1- Lssons
LEARNINGS / LESSONS in Chrnge

I-earniog:
. MovG
'i. Large scale charge demands more lrcm peBon to

lj .:.
thar skill

Quick wins are imponanl - sense of

proc6t
. K@p chippinS.l th.

IJ
Block
movement
. Quicl ainr zr
.l

l:
Nothing is a small matter import.na

.l 'CEdibility &
Expectations surge and need to be Commiametri invok€
rnanaged rpotrsa

l:lj
. Livc to liBhl anoth.r da)
'i One person cannot do it all . Smzll l,hings mattcr

lj
t-
l_
lj
lj
L
l_-
l'
E
]j
lj 1.-i

F
 LOl26l2OL2

Rensirsrncc ils.31udy Anndur 5

What is likely to take up majority part of my time
in the next year

Retention of manageria[ talenl

Presentation to Chairman
Institutionalizing HR systems & processes

I
I
Productivity Focus
Human Resources
Building World Class Capability
Cement Business
Improving Quality of Work life -OHS
I
I
I
l
t
Retention ofTalent
Challenges / Hurdles Challenges / Hurdles

I
Cemot S&tor rcmpeting for talent mongst other'Nw Agc'
saore ud inoesing demd for skills relevant to the
Workmen and Contract Labour

Deployment, improvement ofquality .efety and edu@tion -h2ve

I
I
requirements Md alF interior l@1ions Building a Brud Equity Few md invest in training-t}e value ofhuman wonh gos a long way
of bautiful md self - sufficient world clos tomshjps

Organizing for the Future

Institutionaliztion of HR Svstems. Policies & Processs
Cerent Busins cxp€ricnce of integalion - rGolving sttuctunl
isue of rcls bcd on JEIJB ud Rrclving isoe to enure
Need to shift fro
planning . for a
smegic f@s dd
sralagy' throlgh
I
I
benchffik ng o ed manns lo met
sysmatic implmcntation md Group wide initiativs of Poomat4 stategic business solution provider
Talent Mg1 Performe Chupions, OHS etc Tle choie
betwen few imlDnant md many initiativ* - IIR maurity

I
I
I
I
Challenges / Hurdles Sr No- Objdivd Adion Plrnning Pcriod R.m.rlc
J
l
Valum RElmtion ol e. Cmpsurtion ReYision O.r'05 / Tumover in
ChallenS$ oIintegratiory'Alignment uith workJife processcs ud''common Mrnaptrial Jm'06 cnginccring and
Tehnt <107" preds -
face" of ladership for action Continuous review betwes behavioural b, lmplem€nlstion of
in Cemcnt

l
Much'06 Cqebrus
contradiction, goals and action to build commitment to the managerial process Busina! Retotim Schmc outlincd
l5-l 8 % t!'lkt
Apolitical behaviour, a Do-nonsense approach to common, ' loose'references to by CHR
people actions and direo assenive dialogres and panicipation process l0-12% othcrs

l
(ale b met
Grouo
Global }lanaqerial Leadership c lddlificalrro of Hrgh Requiremots )
Etrilding gener.l management leadership u'ith global minCset an)! mulicultural Potcntial Manag.rs 2003 Jan 06
ethos- GO GLOBAL - ACT GLOBAL - lacilitative conversation and

I
IDP's prcparcd ior appror al
interuiewing and inleradion skills, process based derelopment intenenrion like
ofCN'!O s and CEO 55 CETVDETS
lSABs, improvinB HRM capability
I recruiLcd in 200J
d Updalion ofTa)cnt Lisl March'06 / 70 GETS/DETS
CSR - Board Asenda for Gat Co and prcparation
bcing Mruitcd

J
Slrategic Results and lransfomation orientarion to improve social 2006 tor Ultr! B
for Ultra B
life around all Works Unil to create model "neighbourhood" I'lanagerial

l
and leadership including young Talent involvemen( in such iniiiatives

l
l
18

i )
J
IE
l-
\
t-
\
i\
I
-
\r
Fcb/lr,ttr IJITA B JE
.loh Evrlurlion r Raiew &
Impl@dbtion bY Job 06
Mpldcd
EvalutidC@i@ PdLcd , Mid yd RdiEw Oct'05 - Jm'M
- Daignatim
Biv6 in ScPt'05
@mpld.d in Grdl Co
&ulm B
omplcrd in
Juty 05 /scpt 05

upto Sr lael July'M

: "Mmgrg
b RcvicwofPAforall
be.d cmoD PA
r\ b. Rcvisit ofJob Bards drugc thn buY-
Buirc
in of
Uni6
fmat ard
on

Pr6
I.C@MfgShdN Had & Sair
2 Comn salx f(E Mgmr T@"
\ agmisatim N.d b'
Poivcd fair"

!
t-
t:
t_
L- Sr. No. Objctirc Adioo Ptuing Pcriod Roerks
mwmcwrryn

L: 4 Comrroalion
Rwie
4500

about
cmployH

I 800
Produdivih
lmorovmcnt
I
I
a.ComPlaion of
IF Stildv at
Ulh B PlanE
CWNCCL
HCW bY JulY
in
&
Fds
Acw

L:
cmplry6 Oci05-
MKT/I{O Apnl 07
b Propcci for

l{ ( Prcdudivity Linked
BonN b all PlsG
oca06 RilOAC/CR,/SDCC/
&l 05
In UK €WNCCL

l{
E
(DisgaSc mffig6 Eom 5y
Bonus /Ex-gratia)
JB based./ ComP

t:
Shclur! WS 6l VCAPnI-05
d-VRS aLACW works
proposcd to be Majo leu on Laol
implemcnkd in
2007 RdrriotrRd+lo)me

l--
l.
t:
t_.
L
lj
\rodd Oasi
CspBb;lill
s Esiablishffit ot
lrrMauerial Profilc tor KcY

L
Jobs
b ldenLificauon ot Ocr'0G I For FH ild abolc

cMdidrtG as Sucsors 07 I b! 2006

for cnlica, pNitioro

L
Jan 06 | P.e*ntarron bY Comorlilron lc IE
r DcvelopmenL o[ r!a;laHe b, ,f d Fcb'r'l
Srorcgic Training Plon
d RccrurmenL/ RctaiDin! Corl)oril. II k'a(i\r!.

L
2661i,-i'; I Drrfr Notc bcrnP
I under discrsston 1o nrel Ccilrcnt b!sincss

#r# i

rf
L. I

L9

H
 II
I
I
Sr No.

9
Obicctiv6

oHs 2flt5
Aclion Plrnning

L Revid in Grol Co Unib

Pcriod

Ja'06/
RaDrrks
Sr. No.

0
Obj{rriv6

Critic.l
CIIR
Inirirdv6
Aclim Plrnning

.. Vrlu6 Workihop
Covqngc of.ll Mg Sufi
I
lcriod

Mucl/
Apnf06
Rrnrrkr

II
I
Adion April'06
Phnnint b, Partomnc clrahpions: Much'06 BW findiFd GR
3 hrvc ba ldcntilicd fs hprB

r
b- Ibricw in Ultsr B QEly Rdicw Nc.& CmcdBEilBAdimplN HRIVOPA./
!o bc
Utrits imp@ed in Ulr. ElldwhiE lGEr IMKT VA

.. Totrllnf

J
s06 Populatd wit[
dsut
Sttrrm/Rola

i
{

{
{

i
{

{
{
-t
{
J
J
-J
_/
r
-J
-t
l
-/
-t
J
J
J
a
 R
E
t:
L
l-

L: Rdri$rncc .i* stody Anmrurc 6

Job Evaluation Job Evaluation Process & Measurement Scale

L: Job Evaluation can be described as a process wherein the

relative irnportance ofajob is determined by taking into amount FEvaluate jobs md the way it is presently.

L- the size or ajob. Size is measured by the knowledge and skills

required, level of responsibility, level of decision making and
impact on end results
)Thorough Understanding ofthe job through Job Analysis
)Evaluation not in isolation but should be viewed in
organi?ztional conlext

L- Since Job Evaluation is based on arulysis about ajob, it helps in

developing a high performance cultue in relation lo skills,
competence and impact on a job, an equitable pay structure and
)Should be based on the following nolions ofKrow How
(lnput), Problem Solving (Processing) andAccountability

L: a systematic approach to changinB organization structures and

(Outpu0
)Jobs should be evaluated on the above factors md

L
roles- quantified using an empirical geometric scale.
Jobs are basically measued against 3 major factors : )The scale is based on the concept of "Just Noticeable
Krow How (KH) - Inputs Difference" representing the l5% step i.e I5olo increase of

L
Problem Solving (PS) - Processing the previous number and doubles every fifth number
Accountability (A) - Outputs

l-
1:
t: Evalualion Faclors

1- IfiOWHOW

l- Know How is the sum ofevery kind

of knowledSe, skill md experiercc
sb

l{
acquired ud neded forjob

ILl-
perfow KnowHowh6the
followiog 3 Dimensions :

>Tehtrirl Xtro- Hor : Proccd[6,

Tebdqq ud Kmwlcdgc dilizcd iD 0E
mpuird l-rclds and prcfsioal
fwtimrl
>Brdth o[ Mrn!go.nl : Plmin&
Orguizing Excurlng, Evlluating &
Conrolling
>Hullu B.hiioN Skius : Aclivc pds
to pffi skilh in \vork sithin or
the orgmiatio

lL
1_
K{OW HOW
M NACEMSTDRUDTtr truua REuTtoN sxrL6
ruilGto

IJ
LEW rYPE I *o,.,.n. N LE\EL DE'INNION WPLE LIlET DEfINITION

"tlcld to Con$lhnr
Head" - 5

Tehnical
'Hqto Hff'
al $+D do - Highcst lcrel
skills still
predominatc ofinrcrpcBorol

L
daY ro drv skill d$elop€d
but requira
handling
tlMdling u dcrsLrnding
thc and
pl.nnirS 6k

l-
workload 6ntrolling BudgcrinS
raths rh6n poplc in rnJ
cortlmS Nl sitnatioN in
tasks Docs ordcr to cloke

l-
i Ssn rsponsc cnd
Progrrmc monag6ial changc
(t) skills rtliludq E (,. Rclo cd olrhe
t0) (ID

l-
l{
21

E
 iI
lJ
KNOW HOW KNOWITOW
xuul ruuTloN I
IJ
xuruturtd EgNlrunovf,ow *tu
UiAGTNInxffi mu WAGIMNNWH
rutclq ENM
EE IB l,Er DENIIION ru?u UB HNIlOX
uEl ilPE mmoNs
ox
rVEL D[m[toN UAWT rv[L DETINITION

Hifns CEO of
MDgqEd trg6
Pqitiru [E r/ Inicgatiffi
Rr[di,on ofrll

l
vfro pmvi&
imgmtiu il
ofdl cmd.tivc l[.
fuci@ iD. Prcfe o havlodgG orguiatio
Spcidi!
d Ery BDd n rchiryc Prcfsim
E/CEO roJq @r d
ixcarain of
of
liiE G\1 maL
1o
IMlffi 5.
of
J
Scercd
F Profsio Medir Diye EEI{ql S6ocd OnguxtinB
fltu} Els Fim fllD fuct_@ Profgiqub t dlcdgp /
Uniqu lEtqDtihrl

J
S-Eirlist

J
T
iI
PROBLEM SOLWNG
Prcblm SoMng is thc mut of
origiml slf srnirg lhinking rcquircd
Pmblcn Solvioq
i
I
by the job for thc ualytic' eElutive, Lvd FrEdom lo Thhl Thinkine Chlhr@ T.m
mtiv. @ning usrd in uiving ar
RouliG
ard rrking @mlsiom Prcblm @iDtrMat
soMng utiliz* loDw how ad hoe Thhl hu minimircd R.p.iitivc : Th6c jobs
it is trEld a r p@t&gc utili2zlion and lrb apply Orc KmHo and
ofknow how. BoO judgm@ts dc holdqs e told how dilrdly b do 0E
skill T6ds to bc
@mbircd to uivc 8t a cdl whse tle to slvc uo* with lidc nc.d to @tivc Shon b
T
I
defnitiou inlmccl Problm slving A-C 0Eir Eobldx reiriudmca McdimT@
ha thc follwing 2 Dimensiors : Sbnd.rdi.cd : Job Prnchcd : Thcy h.rc
FECdon ao Think : EDvironment hokLs N t|mally mdtiplc choie but
whcE $c thinking taks pl8@ guidcd how to slvc ttrough pnio aporrc c
Rc0cas hiorclry ud Magement drcii problm and qpqimc bavc l6med
pr@ opqatr eithin which choicc ii m6l
!Ttirking Chellcngc :Challense lo
D dimificd pracduc apmrilc to dk sitElio
T
I
dc6rc thc siturtion ild tMld
adivity ao @lvc dE problo
M@r6 @mplexity of iss iom

I
rNtine lo @mplq

I
I
Pmblcn Solvinq t
Lvel Fridom to Think ThinUng Chillengc

Ad.ptivc Thesiluati@
Ttm
I
I
to
berulvcd include
Brcrdly Dclincd Thejob r circumshccs,fEL and
holdcr m,sr stablish *lrat i*E thlt !E dillGnt frem
s
I
thc problm ec, 6 wcll prior apoicnces, ho lo
deidc what to do about aonsidd vtriN possible Tcnds to bc
th6, dcminc drc al6.tivB lnd think rbout proilhc
prioritis End the prGcsscs th.ir coGequ.nccs bcforc Mcdium or long
F to lchidc thc obj.ctivcs makinq ! final deision lcm
I
I
I
I
22
I
I
I
E- \
ti
L:
L.
Li
L: ACCOUNABILITY

L: falcl FGdon to Thbl

Pmblem Solvins

Thinking Chrllcngc Tem

To assess the impodece ofobjectives
throu8h the coDsideratioo of Freedom
toAct for produc.ing or achieving o
identifiablg m@rable end rslt

L{ Gcocrrlly Dcfucd:
oroida
ltcy A@ountsbiliiy refers to the etrd rcsult,
Dot the @s Accountability hs l
dimensiore to it

L:
whd &tviti6 rut bc
urdauko within majc
a >FEdoo to Acl i Mon importot
fdidal @ in ordd lo 6peci ild is trEurcd by uislere or
rhiwc thc B@ls of thc abscna ofpersoml or proeduml

L: G

Unchrd.d: Thcdeisioro
@ntrol orguidaM anilablc to a
position

L
>Impeca & Magtritudc illave to be
re mEoncd with thc
Abstr.caly D.fincd : unkmm Oritinsting Iw
oroiderei together Magnitude is a
Thinling abort lhc mtuc , @c.pE ud apprcachs reprBenhtivc ofthe snle ofimpao,
t}e pm upon which thejob hs rcme

L
sizc md growth mc of tl* withdr 8uidtu€ from
H buines otlre impact Magniilde is mruured in
Dyrmic Dollus - Amalized
revenue or expenditure

l-
t_
IJ
tj
]j Rrmou : Tsk Oricnud
*tEr M@ ot dE
St.n&rdi*d
prccdB 6
: Jobs
drity
ed
wdl

l{ PEcribcd i Grv6
IdrutiN Told'Wh!t',
mrt bcbg perlmed
rcquircd liulc o no
rwgnitio mpucd
0- Minimi : Dc d
fltcd bcy6d l.b.
bais ard rouls rc
apaed
No
by tlrc
&vraion
sr+aviw.
lim sardrd

l{
'H@" & -Wh6' to t,t dpul prodrr.d pdiEbdilsr.P

PriDry : lhp&t
fond mainly in

lJ
I - Ver] Smsll Impd opcnlioml od
th. ilmcdirtc PqI mmgerial positioro
srup of which dry conhllinB impact
Solc

l-
l. Dl€dium Relatc
p.nidln lacl in Lhc lartq $an thc small
frEMrAlron dcptucnr (J 7 ?
million ro S77 million)

l.
l{
lj
L
lJ L6.l Frtadom to Act
Ac.ountsbiliry

TyDc of lmDacr
Are. of
Impsct(Podion)
(Mersurcd in
Drnrrnic DolLrs)

L
I Dinacd : Furctioal
] *go" s*io,I
Lidrv;dral mribdm stm
j E givm tlrc deg@ of

L
oJ.pcnd.ne to ..[icvc
iFati,rg obj{tjvs
--18 jobs ddminc how 4 - Lnrgc Jobs ,mpEl
:il uin tlc r6ui6 will lrgcr dcprrmmls (S

l-
P xli.\.d l!'londrh 77 million to S770
-Str!teE;r Cuidrnce i
Nlillion)
CcEnl pidBnce fronr top
Cftnllv Dircct.d Job mosl mmlgcment To do

li
',-ijss rcpdl to the hcads \!hal males scNc in thc
:: rujLT oPdallng d.as
.:l}i tir!l furction
:6@ of qd r6ult must
: :-rm r spm ofsir
1i'J3 a\car "Wb $c

r--
ro

l{
s
23
 OTHER FACTORS
Refl ections for Implcmentation
)Get thejob in the right slot
)The three factors are
representation of the job.
important for a
)Problern Solving never equals or exceeds Know How
proportional
I
)Thc distribution must add up ro 100%
)Job Shapes are generally characterized as "Accountability
I
Oriented" (PS<Acc), "Level" (PS=Acc) and '?roblem Solving
Orienled" (P$Acc) I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
l
I
a
I
l
l
l
I
I
I
l-
1.
E
lj
i

,!
i
rt
I
'--
I
x

l{
a
I
i -.--
E

!
I
t
't.
i
4
'i

E
Irr.
€
E
oJ
oJ
<_)
e
e
€
d
>
H
E

25

F
Renaissance Case Study Annexure 8
II
I
Mr. S Misra,
December 15,2005
I
Mumbai -l
J
Compensation Review: Cement
J
A. Background
J
l. There has been no market related adjustment in Managerial Compensation in the Cement
Business, at least from 1.4.99 when the Cement Business of Great Co and Indian J
Industries Cement Division were integrated.
J
During this period, supervisory and managerial levels upto Deputy General Manager were
J
given adhoc adjustments in line with the Wage Settlernent conducted by the CMA for
non-managerial employees. This was intended to maintain the differential with the non-
J
managerial employees.
In addition, periodic case-by-case adjustments were occasionally made for GMs & above, J
though compensation for Unit Heads & Zonal Heads was substantially aligned with
J
J
market.

2. A market survey was conducted by Hewitt in JanlIvlar '03 and showed the need to make
significant adjustments for Managers below the rank of Senior VP. Corrective action was
J
deferred in the belief that this should be done after the Cemento Cement acquisition was
completed. J
Cerebrus Consultants have now completed a Compensation Review with reference to l5 J
companies (but excluding Telecom and Banking Sectors). The reference companies
J
include Cement Holem Int and H-Berg etc apart from Asian Paints, Bajaj Auto and Tata
Motors.
JJ
J
B. Objective

1. Recent developments in the Indian economy and the opening up of the job market have
resulted in a significant increase in the managerial turnover. The manpower tumover in
the management cadre is as follows: JJ
In Great Co Manufacturing, it increased from 4.660/o in 2004-05 to 6.20%o in April -
J
J
September 2005.
In Greal Co Marketing, this increased from 8.l}Yoin2003-04 to 16.6%o in 2004-05. For
the period April to November 2005, turnover is already 11.5%.
In Ultra B (Manufacturing and Marketing), the turnover was 4.lYo in 2003-04 which
J
increased to 9.060/o in 2004-05 and is already 6.7Yo drtring April to November 2005.

J
2. While a good number of our lnanagers were movrng to other units in the Group,
especialll, from Great Co manufacturing units, we were unable to attract managers from
other units. We believe that our relative poor compensation was one of the factors which
JJ
J
26

J
)
 led to this increased manpower turnover and accordingly we commissioned this survey to
help us take a view on the compensation trends in the market.

C. Proposal

l. This proposal covers all permanent employees not covered by the CMA Wage
Settlement.

2. The total number of such employees, impacted by this proposal, is as follows :

Great Co 2,173 employees, which is 59Yo of 4,728 permanent employees.

Ultra B 1,505 employees, --- do ---
47%o of 3,176 --- do ---
Total Grey Cement 4,278 employees, --- do ---54Yo of 7,904 --- do ---

E
f-
The following comments are relevant:

:
l- The difference of 11268 employees between Great Co and Ultra B, covered under

rri this proposal, is attributable to

(a)200 employees on account of Ready Mix Concrete Operations in Great Co,
(b) 523 employees doing comparable jobs in Ultra B are covered by CMA Wage

r
Settlement
(c)265 sales and technical roles are outsourced in Ultra B. In Great Co, this is done
by employees on Permanent roles. And balance may be distributed in Great Co
manufacturin g/marketin g.

A separate study is being conducted on employee productivity including contract

labour; and IE Associates have commenced the study which will cover all Ultra B -
plants (following a similar study covering Great Co plants earlier). The initial report
for APCW identifies a25%o surplus, including contract labour.

E We will introduce a common set of personnel policies for the Cement Division at the
time of introducing these changes. This will facilitate movement of managers within
the Cement Business.

3. We have evaluated 3 Options arising from the Cerebrus Study, based on the following :

Non-CMA Option I Option 2 Option 3

Emnlovees
: Category l/3'" in 75"'pct, Nil in 75'pct, All at
'A'Managers ll3'd in66s pct, l/3'd in 66th pct Median
ll3'd atMedian 213'd atMedian

= Category l/3'd in 66b pct. ---- do --- do

'B'Managers '213'd atMedian

: Category l13" at25 %o ncrease in CTC ll3'" at 20 o/o

,\llat 15 %
'C'Managers ll3'd at20 Yo ncrease in CTC increase in CTC increase in
ll3'd at 15 Yo ncrease in CTC 213'd at 75 Y, CTC
increase in CTC

2l
 a I

-
-
I

Note: Category'A' Managers - from Senior Manager to Joint Executive President (in Ultra I

B, Mgr. to GM)
Category 'B' Managers - from Senior Officer to Manager (in Ultra B, Sr. officer to Asst.Mgr) a
Category 'C' Managers - from Officer and below (in Ultra B Offrcer and below)
{ l

E
In Ultra B, middle management i.e. Category B and Manager level in Category A, is already
in higher percentile. Therefore no correction may be required. However to maintain equity,
we may give increase in existing CTC upto 15 %.
-'
4. The financial impact of these Options is as follows :
!
I

Non CMA Present Annual Option 1 Option 2 Option 3 -

=
Wage Cost To Incremental Incremental Incremental
Employees Company Annual Cost Annual Cost Annual Cost :
(CTC)
+Rs.20.74 cr +Rs. 18.50 cr +Rs. 16.32 cr
-
Great Co Rs. 78.64 cr
(

(including .l
SDCC) I
t
Ultra B Rs.57.84 cr +Rs. 9.24 cr +Rs. 8.04 cr +Rs. 7.37 cr tI
(including
NCCL) aI
L

tI
Total Rs.136.48 cr +Rs.29.98 cr +Rs.26.54 cr +Rs. 23.69 cr
i
i
ohage +2l.9Vo +l9.4Yo +l7.4yo
Increase
over
current I
CTC I
a
The impact of these Options on total employee cost, including employees covered by the j
CMA Settlement is as follorvs:
I
a

All Present Annual Option I . Option 2 Option 3 \

1

Employees Cost To Incremental Incremental Incremental I

Companv (CTC) Annual Cost Annual Cost Annual Cost
/
Great Co Rs. 107.64 cr +Rs. 20.74 cr +Rs. 18.50 cr +Rs. 16.32 cr I
Ultra B Rs. 80.98 cr +Rs. 9.24 cr +Rs. 8.04 cr tRs. 7.37 cr
Total Rs.188.62 cr +Rs.29.98 cr +Rs. 26.54 cr +Rs. 23.69 cr
o/oage +l5.go +l4.lo/o +12.6"/0
Increase
over
current
CTC

5. It is now intended to limit the Fixed Component, across the managerial cadre to 85% of
the proposed compensation, with the balance linked thru' achievement of targets to
variable Pay.

28
t_ As a result, the increase in the Fixed Component under Option I is expected to be +16,70/o as

tj follows:

Non- Current Annual Proposed Annual Proposed Proposed

]- CMA CTC (including CTC under Option Annual Fixed Annual
Employees variable pay) 1 Component Variable Pay

Great Co Rs. 78.64 cr Rs. 99,38 cr Rs. 90.40 cr Rs. 8.98 cr

E
ll.
Ultra B Rs. 57.84 cr Rs. 67.08 cr Rs. 63.02 cr Rs. 4.06 cr

Total Rs.136.48 cr Rs.166.46 cr Rs.153.42 cr Rs. 13.04 cr

o/"age Increasein Fixed +16.7o/o

Component

1.
lj D. Sanction Requested from Management Sub-Committee
l{ We request approval to adopt Option I as it enables us to place l/3'd of our category 'A'
.

l{
1.
managers in the 756 percentile and another l/3'd in the 66ft percentile; though it is
estimated that more than about 60 % of our total managerial /supervisory strength will
still fall in the revised Median category.

The total financial impact on a quarterly basis, including target linked Variable Pay, is as
follows:

E
r. Impact per Option I Option Option 3

It
2
Ouarter
Great Co Rs. 5.19 cr Rs. 4.63 cr Rs. 4.08 cr

Ultra B Rs. 2.31 cr Rs. 2.01 cr Rs. 1.84 cr

Total Grey Cement Rs. 7.50 cr Rs. 6.64 cr Rs. 5.92 cr

\
l
l{.
We recommend adoption of this change with effect from 1.10.05.
This ri,ill be applicable for those still on the rolls of the Compan,v and who have not
communicated their intention to exit.

I 29

N
 I
The impact on the consolidated PBDIT of Great Co (with SDCC) and Ultra B (with NCCL)
Il
in the current financial year will be as follows:

PBDIT FY '05 Budget PBDIT EStiMAtEd PBDIT Impact of : J

FY'06 FY'06 Option I on
As per 3'd Advance FY'06 -
Tax J
Great Co
incl.
519 742 685 r0.22
J
SDCC
-
Ultra B 476 620 s48 5.64 :i
incl.NCCL
J
J
3. A separate sanction is being sought for introducing the
White Cement division
same compensation change in
J
{
4. This proposal does not cover executives in Ultra B and Great Co, like Unit Heads and key
direct reports of CMOs in Job Band 3 and above. Their CTC revision proposalspre being
sent separately. The increase in cost is estimated to be around Rs 1 crore per annum. i
{

r
{

{
T
I
T
I
I
I
I
I
I
I

30
L
E
l-
!! Renaissance Case Study Annexure 9
LJ
l-
L VARIABLE PAY PLAN DESIGN FOR GREY
I- , CEMENT BUSINESS (GREAT CO AND ULTRA B)
E.

I Backsround:
\
ay scheme that is called PLR (Perfornance Linked
dividual performance and form a substantial portion of
icularly at senior levels.

L On the other hand, Great Co has no variable pay scheme except for fi.rnctional heads in
I fr4arketing ancl Manufacturing, which covers a total of about 30 employees.
l- -
I As part of the overall integration of Ultra B
of policies and processes including variable
-l- by the business also reveals that most manu
compensation levels within the cement business and
at middle and junior management levels.

likely to bridge this gap to some extent. *

heme:

linked.

of target variable pay as well as weightages for

llows:

s based at plant locations and not part of any central

3l

s
 I
Manufacturing: (Part of CMO Cells) I
Job Band Target variable pay (as a 7o Weightages I
of Fixed Compensation
without Housins) I
Business Overall
manufacturing
Individual
I
performance I
2 and3 20%
t8%
20 60 20
I
4.5 and 6
7, 8 and
9
t5%
15
10
50
40
3s
50
l
10 and
below
L2% 5 25 70 I
I
Marketing: (For all individuals in marketing and not part of any central cell for the I
Cement Business)
t
I
Job Band Target variable pay (as a 7o of Fixed Compensation
without Housins)
Weightages
I
4and5 t8%
Business Zone Resion
20 60 Nil
Individual
20 t
6 andT
8and9
75v,
t3%
l5 20
l0
45 30
I
10 and t2%
10
Nil 5
30
25
50
70 I
below
I
Marketing: Gart of Central Marketing Cells) I
T
Job Band Target variable pay (as Weightages I
a 7o of Fixed
T
Compensation without
Housing) I
Business Overall Marketing Individual I
Performance
4and5 t8% 20 60 20
I
I
I
6 andl t5% 15 50 35
I
8and9 t3% 10 40 50
j
10 and 12% 5 2s 70
below I
I
!

I
I

I
 3. The proposed meastues for each component is proposed as follows :

a. Business Performance:
l. Sales (Target v/s Actual)
2. PBDIT (Target v/s Actual)
Point for consideration: Should we also include RoCE as a measure? We may make the
plan too complicated but if the business is making / plans a significant investment, it might be
worthwhile considering this option as well.

b. Marketing / Manufacturing Measures: To be compiled at an ovetall business

level, all targets to come from the P&B Exercise for the business each year.
c. Unit / Zonal / Regional Measures: To cascade from the business level, all
targets to come from the P&B Exercise for the business each year.
d. Individual Performance: On the basis of the individual rating of the employee.

4. Scale of performance and multiplier :

a. For Business Performance: The proposed scale would be as follows:

Actual Achievement( as a Yo of tarset) Payout

Less than 75oZ Nil
More thanTSYo and upto'95% On a linear scale from 75Yoto 99%o
95ohto 105% t00%
>l05Yo and uoto ll5% 120%
>ll5y, 140%

b. For Overall Manufactuing lMarketing / Unit I ZonaU Regional Performance

The proposed scale would be as follows :

Actual Achievement( as a 7o of tareet) Payout

Less than 75oZ Nil
More than 75%o andupto 95Yo On a linear scale from 75Yo to 99%o
95Ynto 105% l00Yo
>l05Yo and upto ll5% t20%
>115Yo t40%

c, For Individual Performance: The proposed scale would be as follows :

[-P"rforrance Rati, ut

ICC

EA

5. Effective date: The above proposal would be effective 2005-06 for the Cemenl
Business.

33
 I
-
l\
I

a
I
I
Next Steps: I

o Do simulations / what if
scenarios for 2005-06 assuming full level performance to I
a
!
estimate the payouts to be made at business level on account of variable pay.

Post the computation; seek feedback and in-principle approval on proposal from Mr.
S Misra and Dr Misra on the proposal - preferably by November 10, 2005. :
a
I
Present to the Senior Management team of Great Co and Ultra B and seek views to
finalize the Unit I Zone performance measures. Plan this latest by November 20,
:
2005.
a

Finalize presentation for all employees, in the form of a PowerPoint presentation and
a word document by November 30, 2005. :
I
Rollout the plan design and communication to all employees in the period December
1-15,2005. I
I
I

I
I
I
I
I
/

>

34
I
TJ
Rilirs!n.e crsc study AnnduE l0
Background

. Market coneclion done in January '06 based on Cerberus

Report
. Mercer Consulting did another study with a similar set of
Compensation Benchmarking Study comparators lhis year ppltpp!
. Cerberus Study was designation based while Mercer study is
comparingjobs
A study by Mercer . Last time we had 3 categories viz (A) Jt President to Sr. Mgr,

E
@) Manager to Sr. Officen, (C) Othen.
2007 . This time also we have 3 categories viz (A) Job bands 3-7, (B)

l-
Job bands 8-10, (C) Job Bands I I md below

l.
l-
lj
li Background
Compensation Philosophy

l- .

.
Jo'b Band 7 and rbove
-
-
-
The top pcrfoma ( 2 EA's +) bc positioncd at thc 75%ile
The nut ba (2 HA's +) bc positioned at 66%ile
The nw enployc be givcn a 15 to20'lo ineeu
Job Band &10
i

li
- The top perfomas ar 65%ilc ro Mcdim Fange
- The next b6i d Mcdid
- The new mployecs be givcn a 15 to 2flo inqw
. ll

Irj
Job Band and 12
I
- Entry level md profsionals like diploru holders ac
- Top Mo etegorics get nd ro M.did il
- The new emploles be givcn a l5 to 20DZ in66se
- Others also be given ircreses in line wirh 2006 cofieclions rl

Options Options

E
lr-li
Ootion lI
Job Band 3- l0
. Calegory I at 75%ile, Cal tr d 66%ila ed Car m at i!4ediM
. Mo4gs ui$ "P'ratings in lu 3 yws get placed beween 257oilc ad
Medim
Job Band ll and 12
. CarI, [. m Ba to ilre MeCis
' \luqem with "P'ratings in l6t .l yars get placed beues 250,;ile md ' Muagers rith "P" ratings in ld I yeils gd placed beu,ecn 259'.ile md
1 \lcdiin. NIedih
' .:ob Bmd lJ gets no increde . Job Bud i3 gcc incr66 reging fron 7 ro l5%
New Emplovces
' ' \* Emolovee Cet ro tie ltlediu except at bud ll where dry l0% incre;r.e
' .l=.-;T. M.di'--- Ber

Total Cost
I R-*?2c* Total Cost
R!. 75.40 Cmm

E
N
35
 l
I
I
I
1

Job Band 3.7

OPtions

Ootion III
Options
l
Ootion IV
- C.t€gory I rt 75%ile Cat Il81 66%ile
Job Band &10
ad Cat lll at Mediil
Job Bgnd !7 :
- Cdegorf I d 1 s%i|', Cd Il at ('6y"ile nd Cd Itr at Medie
-
C.r I md II gel to 56%ilc ad cal m gets to Medid Job Band &10
- "P" ratcd Managcn Ber to bciwen 25%ilc md Mcdian - C.r I urd tr g€a io M.diil Pla ud Cd m 96 b 7elo of Medie :
Job Bard ll ond below - 'P" ried MrEg6 get b beu6 25oloile ad Medim
- Irueas ruging from 25%-50% in ,ob bild ll ud 12 Job Bandll and bclow a
- Ire mging from 7% io 15% in Job Band 13 - Irurc mging fiom 25o/e5tr/o n lob bud I ed I I 2
t
New Emolovees
- Inorc mging froo 7/.to lJ% b Job Bod 13
Nry Emolovs
- l3U"b20/.inc.@ Bsd
in b8nd 12 md abovc l0% in 13
- 15%to 2elc inq6c in bud 12 ud aborc l0l. in Bad I3
:
Total Cost Toaal Cost
Re 53 CmE
R!. 61.65 CroB
:
:
a
I
.l
I
Our Recommendation Our Recommendation
j
There are some concems in the recommendedoption as well \
We prefer Option

-
III because:

lt ldequatcly recognia pcrfomne ud plre

Mamgcn rirably
as otheE too.
I
-

-
It als addrEs
whsc CTC
[t al$
thc onm
inqws .frgc
hrs token inqmes for
of the middlc Magemcot ai buds 8-10
fiom 25Yo lo 1V/n
the lower lrcls non mgerial staf
-

-
ThG study dc mt provide us e opportunity to addres the
qitical seton like Power Plil6 ad RMC
Thc positioning of mamgas will rBult in M@gers in Bild 6 aod 7
gctting rclrtively lowq incras thn the Bild 8 mege$
mnms of
I
-
-
It providc some relief to the new mployes
Thc
u well
poitioning of the bud l0 ud above will malrc us competitive in
the market
-
-
Catc3ory III Mrygqs in bud 6 ud 7 will get nar rcro incre*
Sine thc lw mployes uc well bclow thc m*d median, the gaps
will persis ao post @retion
I
T

I\
i
)
t
I
MARKET \/s. CEITIENT DATA
NO. OF EMPLOYEES - CEMENT BUSINESS k in tod p-o-

, M.rh.l
JO
Lati
t3
t5t *3 34fi
3{ 4
5
t16 $ 172 16 aa r5 70 t5s
M 66 23 E

9 13 D9 69 p 16
0 163 I 9g
t3 a76 A
12 33
I3 E 293 345

12 34S 3q 512 252

l3 2m
t{ Renaissance Case Study Annexure 11

II CEMENT BUSINESS

l-: April 26,2006

Chiet Marketlng Officer/Chief lvlanulactudng Offi@r/Chie{ Financiai Oflicer/Sr Erc

L
To
President,,'Unit Heaos./HR Hcad Mark3tint/HR Head Marrutacturing/HR Head
HOlUnit HR Hcads '

l.
E
lj
HR POLICY IV1ANUAL

lj
L Dear ColleaEUes,
AleanrotHRHeds.oydlhelalf€vm, thsold€liheratiorEhfteb€ertrbletot\(ttogether
Madrl co\,.ri18Gray irld Whha{6tent8!rh"is of ou.Groilpin hrdia

Iro,U t'/ifi dE Compensaliil Acvisitr done ar rDU.rT 2m5 it ,?s o(r htotirh to le'/fte tlD rrtier8y
ot hlent i1sil. dx B{ri1€rr bv providinS (ornrndr polci6 dor3 drf; Cmcni 6usin6 cr..vrirE U€al
llrisHR

Co & Ufi 8, whi6 will enableDov€nroloJ EIRlir€a rd StJffteaml.]rlf, i66 viiq6 urits and
fumioDs This Merrrel also conr Dli* all the Dolijes hcm (orpmE H R I t ir our hop€, fiar drs lrll
proli(le e ore pDirt rdrm(e to f.iilit t€ e,fEti!. (lecisim rDditi datilg b k(u tives ild Sralf

llilrurth€rlaled lhat{llpolkies2restbiedtoalungeovsaprioiloftilrewcwilldlsorei/e,!rhe
pr,li(i6pEiodi,:ellv,rolh.rdDpold€ir.rririn(or)lrrnlxrrybrrr€eittpvirion.ndfi('Jrol our
BuiirE3. We yrill do rhir tlroudh vilr faedbill and also barcd on our karniro hy benchnt.rkiu !virh

E
lhe besl - E- dars pr{ctlls r"illdryklp

ne.it b be.rxphalized tfRr De polids nrorl bc iDplrmdled in iB nr. vdil6 ot l},e

ri
I I

Group 6 enunciered by lhe ClBlm an,nlust be dle B0idirrg pril(Dle Nhm inrpl€ntentirrg
ItErn lldre/akaaonlliatofinterfretinonr)rappliBriot,orryalu4mustIedret,askfor
t.kin3 (lNrlhDr il Cl trnes

,'v€ hop: \rith dris Foli(v lrlanilrl, '-ve vill be takirl: J frtr dr€r slrp o, brinBirB oril p?o!l€
pra(rir e( ro uorld clds$ l€relr ir) :rp ;"itlr ou r 6roIp's HE virioI

E
E
L
l-
l{. CC Chief Executive Officer

E
)1

N
 T
I
Renaissance case study Annexure
12
I
Career Paths are classified
as under: I
I
EnterPrise Manager
l
l
'1
GrouP Manager :
I
Business Manager ,l
\
i
I

Functional Manager
I

Manager of Managers I

- Charan' Drotter & Noel

Source: Leadership Piperline

38
l.
t:
tj
tj Renaissance Case Study Annexure 13

ti
l{
IJ
I nit tr{anpowe

r Cost Cost
ilIarpower Cosl

I{anpower Ihnpower
of Cost
Ilarpover ilIanpowe {verage
cost of r
Manpower

I'Ianpove fPermanaut) Manporer

{renge

lj $auege
/Da-r.ord (Manage r Cost Cost

lj nenl nt Cadre (Rr.'000) enployees menl J}{aoage perna.uent

Il-
Cadre) enfloyees putrILT Cadre) nml 0uployees)
Rr1000) oerHLT [Rs.'lX)0) ilrdrpl Xs.'000)

i\.C -BP 4.20 eu30 21.145 ?04,815 ,18.765 28! 316 99i 205

AC l.i5 57.9i4 33,117 I 10,687 63.250 168 145 498 l2)

IJ
ri \,L ).06 46.765 22,701 88,97? +3.r90 1l ,110 ,t
1Ll
1?
x08

E
l.
GS

?.4-l
1.03

4.00
42,M3

99.483 24,8i1
72,m0

?1i,99?
69.961

53.S9
8J

1d( .100
199

$t 134

SXC. 108 +0.601 31,594 115.615 11i 3?5 569 203

3-30 39.043 I 1.83 I 6i,84i 1)'. 320 ))l

E
l{
3.40 11.240 12.129 I 08,515 31.919 9! 417 511 201

I
l-
lj
:_: _-:. - --i?.f\\:
5-30

3.50

1.50
14.5 I 9

25.290

26.335
8,400

1?.55 7
113.183

-t4.1i1

65,688
2

?
i.155

1.19:

43.792
r1(

97

9t
331

1(0
581

il2

35i
194

Ii6

184

l- i.:r Co fonl I{.12 3i8,176 26,793 808,166 57J36 1.034 366 3.it4 218

L
lJ
.

.--
-3Totil

'}oenl Total
I i.00

3I.12
l?6.427

554.603
10,3i8

ii,82l
4:7.416

1135.582
25,1{2

39.704
532

1.566
331

354
2.55i

6,37i
l6l

li
194

t east

oost
farouable

ta'ouable

I 39
 <
Renaissance Case Study Annexure 13
Ii
l'larprer per llillior Tor
JJ
[il Capcacib' Pover lirm I'Luponu [unberof I{anporu Iuub$ of Ilanporer \unbu of ilIerpower [umber ol
J
ll,trT) plant $amgement
hdre)
[Iaaageuelt

)dle
mployem
leruauut) Peruamrt
uployees

wMIT
Contnct) Conhct

rmployees

lullLT
Iohl

[Pernmert
tContac$
Iotd

lemrnertt
loatect)
JJ
nril{LT) mfroyeespr

-J
J
IITT

J
\iC + BP 110 l 69 231 80t i9? I 805 430

AC li5 Y r6t 96 498 285 41\ lir 93 515

J
GC 206 I 55 D1 107 t?{ 159 15: 16i
J
)0( J
J
GS 103 Y I 86 290 r03 50 191

RC

SDCCT
-H 400

1.08
Y 1
1;l(

lli
a 924

569
2ll 9l( 110

l6l
184(

i4':
460

688
JJ
\t J
J
ACW 330 I 1
t)'. 11 7fl 218 168, 5t0 1/.1t

HCt +JCIV'\IBCW i10 I H ?9 511 159 2101 6i9

J
GC\[ j'r0 Y ) tl 581
Q-1(
l4l l JJ
APC\!: ^{RC\\i 150 1 ,,1 28 ,1)l rzl 6il 188 t0t! 108

J
i'iCCLJM=MGD-R]} l)u 9t 65 i)i t38 48i ln 81( 560
J
,, ' ,l6i J
J
Great C0 Tohl 11 12 l0 3,114 261

'rln
tiltra B lotal Ii 0c I rn dtav '319 ,f5

-J
fjre,r CemenlTohl 3t 12 li 1.566 50 6J7I 205 8le3 266 14.664 471
J
J
lea,l favouable

mostfnowable J
J
40 J
J
,)
E
t:
t: Renaissance Case Study Annexure 14
LT
L:
L-
t:
L:
t:
L
L
1-
t;
lJ,
1:
l{.

I
F
H
L.
rr
E
4T

N
 Rdirranc as iudy Aradur 15

HR Review

HR Review 07-08
Quarter I
A. TALENT
B. INSTITUTIONALISATIONOF
JAE/COMPENSATION

Cement Business C. PRODUCTTVITY & INDUSTRIAL RELAIIONS

D. POLICIES,PROCEDTJRESANDPROCESS
Ju,ly 25,2007 E. IIR CHALLENGE 2OO7- 08

Review - Ql 07 - 08
Review - Qf 07 - 08
ITALENI 200641 Qrr I qt Il
,LTAEvf 2M Qrr I Qrr lI
> GdrOppilrilb > Thbla !' '/
lE9th86'ttdbUd/D6ipriN
- PlEftu!Trini4 lIP|e f6I,IDF
- wnc. IDF! re qld.d
;D TEbtial Fwtiod I
JOo+(15%IEilg6 bug iildJpgEdd
- GgEiz. & Nmie fr btlEEti(ill Plrslu
- - lrreNmirtisfahTniningPrqnfu
hi'tulRai? I
- 6lrydmirJFrsBlio >Rmiits
PLo birB filli.d I
b bd - Eddl Rmi@! All po.itiE of F@i@l
- T!l€, Sqffitio lbd &.boE hlE ba Dm.d .J
mddfotutuirt 'l
ll2 Ory d l0 BW m.lwiru 6,E sbg6 r@ld
- Reoihd of 2 HR ltadt in @W & ACw n
- 12 HoD roEndJBT r D b b. filLd
dru IRS,lnlrDl, h.i&nir8 & En R@ih6t .i
- 24 inlA3Bd2A6Ed JB 7.Dd
.boElEEgm0mDAc n
- IDB &.m up &d dildid b h.pF I

Review - Ql 07 - 0E Review - Ql 07 - 08

,{P6{' QTN T QTR U

Itm7 QTN I QTR II

> Job Ev.tldon / JoD EDd. . Enky lftl Cmp6$ri6 'J

. lolPla@blim of DEfsEd Coftpastim '/
. JobEElutio.mdddblddcMSME ./ . Rdiiil CmFsdd Raia (McE Shdy) n blir \'
- irtnuiduing / Mr*diq A oih6 A Plrposl ru tq Cmtmtim clGio i! bing
. EEqbom on JobEhlurio / BoDdr ro UniL. {Ein8 'l \l 6n!li!.d fr lpFou! fii' Ek
olq L50o MIEF (hady V.rirtl. hy Pbn ffi lm ryloycG
. RI'lcJoh &n& b b. fiMlid i .nd qillo*r 2200 mployEd uflo JB I I
Propl fd hi8)r6 vdgc of vsdobl. Ply !t ach JD
lacl t6 2m7a8)
]a
tJ
lj
l{
lj
l{ Review - 07 - 08 Review'Ql 07'08
Ql

l- > Y+.Er PdBttvlt, SbdY

IE gudy ryHd in Ulri B dEy' ACw
Qrr ll

>
PRODUmIyIT/ INDUSTRhL Rf,LATIoNS

Pdu.rlvl., L&d tu
- lmpl6Hd at rx PlanB eiq"l
20H? Qtr I Qrr ll

l-.
- 'J
Gcr@ csM '/
- 5msurplG to baborb.d in
wriu rynsio pjetr > lndulrLl HbE
- I 50 @y n.cd !o b ai6 vRs t,1Eadk

lj
- Acw!ffitob.s'@ld"
AcWidaEl$ffitihifiB ricb.iuilenBd ! 'l
-
2F m to tc tmllY 'l PryEriNmftr!loqhlolum
&dDid inrEfuly !d will b tu bb fd tum qd;rio -ruMgffi / wdk r ffiI. is hish
td hdElivily d hB, ail sEplE ruy nd lo b. giH WS
sndy srHO Mhb.iro b. oryl.rd 'l

1_
-
- hid Cmhd tpl@61 at sch unt 1'

L
l-
E
lj
lj Review - Qf 07 - 08 Review - Ql 07 - 08

r{ Q'I rII

r{
Q
2m? Qlr I Qrtl
>Tolffd hbDd lDphahtu! >CtuolBtumPoEf
. CffiPolici€fnCclrd
. T&id lrsb6iryldd
tujE ffiipElen '/
- lArymar FfolltE* apFliel Mdihotrm tui4 tuFr rl
k h n rysid Syn*6izr wjh (Policy &cilibrB d6 rclhnr
tu $rtud hroll inplffibtim ot rum86 lqB [E BEi'B)
.c k.N bib . tuulB6E dis4thud lor Mod86
& sbtr .l
. AllaBbndins Cffi Policia Sll &
ryl.r.ly mpldm'd duq 6rs
@trlruuonffilim

E
If
\

HR CHALLENGE
2007-08

I
Trldt Rr&nlion
ilhud 6 ircreNrng
l'IE cmDt lndEtry ;s ui& ottrition
i-cts dMd IJ- 20r" in Manufacturing
Ed IjEIE in other sElos
;r \{rllio tons capscirt_ 0ddition in 3
'isrNs*a plarers hale lhc glcsts
:mrn foi Tale,rr l6ss Md alrition
-.. Ertl bc hrrhd
t rli 6ck
C}r.l]rB.
':!.JnE Lo Eoplc or
t nir Hcrd i Fun.tronrl Head
\ -r=r - rhs hr'c lhc
r:m.r irr Job Chanrc
- SrcraircJ SkrlIs uhosc marteL
highest

].-ls s. hish likc Powcr.

I \troe'itrtelent - *'ho arc likclr to
\ . -!:ft rots hiehcr omDmsot;on.
. 1 irJro" ard forirorl prclcrence rn
._- sEiors
-s:i.

N
43