WHISTLE BLOTHEYR POLICY As a conscious and vigilant organization, Maruti Suzuki India Limited believes in the conduct of the affairs of its constituents in a fair and transparent manner by adopting the highest standards of professionalism, honesty, integrity and ethical behaviour. In its endeavour to provide its employee a secure and a fearless working environment, Maruti Suzuki India Limited has established the "Whistle Blotheyr Policy". The purpose of the policy is to create a fearless environment for the employees to report any instance of unethical behaviour, actual or suspected fraud or violation of the Company's code of conduct or ethics policy to the Ombudsman. The framework of the policy strives to foster responsible and secure whistle blowing. This policy should be read in conjunction with applicable regulations & existing policies & procedures of the Company. You can also contact the Secretarial & Legal Department if you have any questions or need any clarifications. RECRUITMENT FOR FRESHERS They recruit fresh Graduates from premier T-Schools and B-Schools across the country in order to build our future leadership talent pipeline. . At MSIL, they give ample opportunities for learning & growth through hands-on experience & rigorous training sessions. The young talent undergoes a structured induction, buddy & umbrella mentoring sessions, periodic management inputs and cross functional exposure. With their exciting career paths coupled with hard work & dedication from your end, they believe that you will keep on creating success stories in MSIL. Recruitment Process: RECRUITMENT PROCESS FOR EXPERIENCED PRO For the last three decades, they have established themselves as the Market Leader in Automobile sector in India. They appreciate the Knowledge & expertise that the experienced professionals bring with them, and they come from diverse backgrounds to strengthen the business pillars and explore new horizons with us. They invite applicants, who Are excellent performers with enthusiasm for constant improvement Have intense desire to be a member of the organization and its success with a constant yearn to learn Are star performers, put in extra effort & are committed to engage in work that contributes to business success Recruitment Process: 7 FRAUDULENT RECRUITMENT POLICY AT MARUTI The company’s attention has been drawn by certain members of the public that they have received communication through e-mails for job interviews in our Company wherein they are amongst other things, demanding cash deposit(s) in certain specified bank(s) before the actual interviews. These individuals/recruitment companies are also wrongfully using the company's registered trademark as theyll as using the names of certain officials of the company to lure innocent members of the public to fall into this trap. They like to categorically state that these communications are purely made with intend to defraud the public and the company has not authorized any person to require any payment /cash deposit to be made by any candidate to our company and/or to any individuals in the recruitment process. They urge the public not to be misled by such communications purportedly made by our company including through e-mails. Should you require any further information about genuinity or otherwise of such communications which you may receive, you are requested to please get in touch with our official e-mail address: recruitment@maruti.co.in or our aforesaid address. SELECTION It is the process of searching the potential candidate. It is negative in nature in the Indian context. But it is positive in the US context. Steps in Selection Process of Maruti Udyog ltd Selection process consists of a series of steps, at each stage, facts may come light which may lead to the rejection of the applicant. It is a series of successive hurdles or barriers which an applicant must cross. These hurdles or screens are designed to eliminate an unqualified candidate at any point in the selection process There is no standards selection procedure to be used in all organizations or for all jobs. The complexity of selection procedures increases with the level and responsibility of the position to be filled. 1} Preliminary Interview (screening applications) 2} Application Form 3} Selection Test 4} Employment Interview 5} Medical Examination 6} Reference Checks 7} Final Approval 8} Employment 9} Induction 10} Follow – up (Evaluation) 9 TRAINING AND DEVELOPEMENT Maruti have invested about Rs 12 crore in their training program .recently they took a decision to establish a world class Maruti training centre which might come up on a 6-8 acre plot. This kind of infrastructure will operate in decentralized manner. It will have a residential facility, an e learning facility and will look at the perspective of developing our own technician level guys for which campus recruitment take s place. Maruti arranges training at several intervals. The training is mandatory for all the employees. The training schedule is maintained by the Hr manager. TRAINING AND DEVELOPMENT is a subsystem of an organization. It ensures that randomness is reduced and learning or behavioural change takes place in structured format. TRADITIONAL DEVLOPMENT AND MODERN APPROACH OF TRAINING AND Traditional Approach – Most of the organizations before never used to believe in training. They are holding the traditional view that managers are born and not made. There are also some views that training is a very costly affair and not worth. Organizations used to believe more in executive pinching. But now the scenario seems to be changing. The modern approach of training and development is that Indian Organizations have realized the importance of corporate training. Training is now considered as more of retention tool than a cost. The training system in Indian Industry has been changed to create a smarter workforce and yield the best results Importance of training Optimum utilization of resources Development of human resources Development of skills of employees Productivity Team spirit Organization culture Quality Health and safety T&D aids in organizational development. Organization gets more effective in decision making and problem solving. It helps in understanding and carrying out organizational policies. T&D helps in developing leadership, motivation, loyalty, better attitude, and other aspect that workers and mangers usually display. TRAINING PROCESS FOR SALES EXECUTIVES.: INDUCTION: - aims to provide an understanding of the industry, MUL, Its policies and products (2days). PRODUCT PROGRAMS:-imparts complete knowledge on MU and its competitors. Various programs are Segment A1, Segment A3.(2 days ) SELLING SKILLS/CONSULTIVE SELLING PROCESS: - enables understand customers needs, sales processes etc and enables apply learning in actual selling (2 days ) CUSTOMER CARE: - appositive attitude and the ability to move is a pre requisite for excellent performance in any world. Program aims at helping one to build a positive attitude and interpersonal skills and to enable better customer handling. ADVISOR FOR LIFE PROGRAM:-in this changed competitive environment, role of dealer sales executive is seen more than a person who is selling cars to the customers. He is expected to be the customer’s for life .he has to be “single window interface” with his customers on all matters related to cars, that is, finance , insurance , Extended warranty , service etc.( 2days ). The training program on’ Delivery Process’ has been developed as delivery now has the maximum the right age in the new factor structure. Delivery is not the end of a sale but a beginning of a relationship. TRAINING PROCESS FOR SALES MANAGERS / GENERAL MANAGERS/ BRANCH HEADS 1. Dealership Management Program: -For second generation dealers, and GM’s and Ro executives on how to manage entire Dealership Operations. Financial Management, staff management , motivation, tie management planning are covered. 2. Sales Managers/Team Leaders Program: The Training covers issues like Sales management( target setting and achievement, enquiry management, resource and time management etc), Supervisory skills ,Practical Coaching skills, knowledge of Maruti Finance, Maruti Insurance Extended warranty, MGA, True value etc and car advisor for life concept.(2 days ) 3. Branch managers Program: many of the dealers have multiple outlets. While the owners sit any one outlet and control the others from there, different branch heads that managers the day to day operations of the outlet manages the other outlets 4. The training covers topics like- making the business plan, Fundamentals of DBP, Hr management, Team building and supervision skills, ability to motivate the team and get a buy in on the business plan , time management/ prioritizing etc. MAT TER USUALLY DISCUSSED IN THE MARUTI INDUCTION Overview of Maruti Suzuki. Building understanding of the car market in India and various segments. Understand MUL. Product range and positioning in each segment. Understanding the basics in the automobile industry. Role of financing as a sales tool and the various financing options available. Ensuring personal effectiveness. PERFORMANCE APPRAISAL MUL to change gear on performance appraisal -- 100% link between pay, productivity RENEWING its efforts at cutting costs and improving productivity, Maruti Udyog Ltd (MUL) has drawn up a new human resources policy, which for the first time, entirely links performance to pay packets for all its executives and managers. MUL has traditionally had a performance-based component of about 30 percent in its compensation package for its executives. But now it has gone the whole hog and decided that in addition to the hike in individual perquisites, increments to even the basic salary will now depend on the employee’s performance during the year. The new performance appraisal and compensation system is likely to affect over 1,000 employees -- executives and senior and middle level managers. Company officials said the changeover to a completely performancebased compensation system has been under discussion amongst MUL's senior management and directors for quite some time now. So, the new appraisal process has not come as a surprise for most of the employees and has been accepted by them, the official said. Over the past, the principle underlying the new system has been communicated at length throughout the company and feedback has been obtained. In the run-up to the new remuneration system, the company has also developed a new performance measurement and development method along with the noted consultant, Mr M.B. Athreya. The performance measurement process will complement the new remuneration s ystem.MUL sources said rather than appraise employees through confidential reports; the new performance measurement system involves an interactive process of goal setting, review and counselling by managers throughout the year. It incorporates qualitative aspects, along with quantitative targets. The employees are being put through workshops to train them on the various aspects of the system developed with Mr Athreya. The new system will take effect from this year. The new system is expected to help enhance managerial performance and skills, while making the organisation more capable of assessing its costs and returns.MUL, which has been beleaguered by low margins and a falling bottom line, has also been forced to take a hard look at its costs this year. For the first time, MUL has slipped into the red and recorded a loss during the year 2000-01. MUL has also drawn up a voluntary retirement scheme (VRS) for its employees. The VRS programme received in-principle approval from the board last month. While the VRS proposal is yet to be formally notified and offered to the company's employees, it is expected to apply equally to all the staff members, including the shop floor workers, company sources said. MARUTI ADOPTS “360 DEGREE” APPRAISAL SYSTEM Maruti has introduced a unique 360-degree feedback system, starting with its senior leadership. The new system has been co-developed with Ernst & Young and has been put in place recently. Under the 360-degree feedback system, the employee is rated not just by his superiors, but also by his peers and subordinates Employee to be evaluated not just by the superiors but also by the peers and subordinates. It would seem that there is no corporate human resource policy that has not had its share of controversies for being biased. With an increase in the number is qualitative factors that affect employee at the workplace, the performance appraisal process to make it as fair as possible has been the dream of every manager. Its initiative is to empower young people in terms of free and frank feedback to their seniors, to the people who manage them. Each senior gets a sample feedback from a group of 12-14 people, out of which 5-6 would be juniors , 5-6 colleagues and 2-3 their superiors. This is done through an online process to maintain confidentiality. The person also evaluates himself. After that, profiles would emerge. Based on this, there would be aggregate profile versus self profiles. The 360-degree feedback system will also include a selfappraisal by the general manager. At the end of the process, he can compare his selfappraisal with the assessment of his subordinates and peers. One of the benefits that Maruti is hoping to get out of the 360degreefeedback process is the sense of employment and importance felt by subordinates, when they are asked to offer their feedback about their superiors. Maruti currently has over 4,000 employees on its rolls. FINDINGS They treat all employees equally They tries their best to increase the efficiency of the employee by providing them with different motivational programs They make new recruits aware about the company and working conditions Maruti focus on each and every department of the organization Having different recruitment process for different departments of the organization They provide different types of training to the different department according to the need of the people They talk feedback from there employee on regular basis Maruti have adopted 360 degree method of performance appraisal for their employees PROMOTIONAL POLICIES Exit interviews, when employees quit, are common practice in many companies. But automobile major Maruti Suzuki (MSIL) is using 'stay interviews' to cement a long-term tie with its employees. For the past three years, MSIL has regularly reached out to its employees to understand their aspirations, problems and expectations. It has subsequently come up with several changes in the performance ratings scale, career progression policy and employee referrals. It makes sense to probe employee minds while they are still working in the company and take their feedback for changes rather than asking for it after losing them to competition. For the first time this year, for instance, it altered its performance ratings scale. The previous four-grade rating scale, which was: excellent (top 10%), very good (next 30%), good (next 50%) and fair (last 10%), was revised to a five-grade scale: exceptional (top 10%), star performer (next 25%), high performer (next 25%), performer (next 15%) and average (5%). Employees perceived a 'good' rating as 'not-so-good', meaning, the rating's connotation was not representative of performance. Also, adhering to the bell curve was becoming difficult with ratings primarily being distributed only in the first three categories. "Wording makes a lot of difference about how people feel. For instance, someone who gets the grade 'exceptional' will think he has contributed a lot towards the firm's performance and will continue to perform well," says Prateek Duhan, 28, manager, steering and suspension, supply chain division. "They made our employees happy by making an emotional connect and removing grades such as 'good'," adds Mr Siddiqui. Based on the feedback, the company has also changed its career progression policy last year. The company shortened career tracks by offering promotions at the junior management level if employees notched up the topmost grade for two, instead of three consecutive years.