Azher Project

8/4/2019 Azher Project

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Introduction

Organizations mostly succeed by virtue of their workforce, work culture,

organizational values and their policies and practices. If any of these factors are

lacking in the organization then the organizations fail in achieving their objectives

and goals & all these factors could be maintained if we are able to manage theresources of the organization(employees, shareholders, stakeholders and investors)

thus human resource management is quite essential in accomplishing the goals of

the organization.

Human Resource is a basic need of any work to be done.

According to ARTHUR LEWIS:

There are great differences in development between countries which seem to haveroughly equal resources, so it is necessary to enquire into the difference in human

behaviors .

Importance of Human Resource Management

Make organization policies Make organization strengthen by enlisting regulations and roles to its people Ensure health and safety at workplace Handle change in the organization Attract highly qualified and competent people Ensure thats the selected candidate stays longer with the company. Make sure that there is match between cost and benefit. Helps the organization to create more culturally diverse workforce

Moreover, when recruitment fails to meet organizational needs for talent, a

typically response is to raise entry level pay scales. This can distort

traditional wages and salary relationship in organization, resulting in

unavoidable consequences. Thus the effectiveness of the recruitment process

can play a major role in determining the resources that must be expended on

other HR activates and their ultimate success.

This report is based on the in-depth analysis of the human resource practices of the

two organizations from different sectors namely HUL (FMCG SECTOR) and

NESTLE and these organizations are compared on the following parameters:


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Human resource practices Leadership styles Organization culture Types of teams / groups at workplace Power differentials

Organizations profile: H.U.L & NESTLE

1- Hindustan Unilever ltd.

Chairman: Mr. Harish Manvani

CEO: Mr. Nitin Paranjpe

Hindustan Lever Ltd (HLL) is India's largest Fast Moving Consumer Goods

(FMCG) Company. With over 35 brands spanning 20 distinct categories such as

soaps, detergents, shampoos, skin care, toothpastes, deodorants, cosmetics, tea,

coffee, packaged foods, ice cream, and water purifiers, the Company is a part of

the everyday life of millions of consumers across India.

In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati

Manufacturing Company, followed by Lever Brothers India Limited (1933) and

United Traders Limited (1935). The three companies were merged in November

1956 and the new entity that came into existence after merger was called as


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Hindustan Lever Limited. HLL offered 10% of its equity to the Indian public, and

it was the first among the foreign subsidiaries to do so. Currently, Unilever holds

51.55% equity in the company while the rest of the shareholding is distributed

among about 380,000 individual shareholders and financial institutions.

HULS brands :It constitutes - food care , home care, health care, personal care, nutrition, water ,

health hygiene & beauty care brands . The brands like Lifebuoy, Lux, Surf Excel,

Rin, Wheel, Fair & Lovely, Pond's, Sunsilk, Clinic, Pepsodent, Close-up, Lakme,

Brooke Bond, Kissan, Knorr-Annapurna, Kwality Wall's are household names

across the country.

Its Principal Competitors:Nirma Ltd.; Jocil Ltd.; Nahar Industrial Enterprises Ltd.; Shrihari Laboratories P

Ltd.; Ruchi Infrastructure Ltd.; Procter & Gamble Hygiene and Healthcare Ltd.;

Amrit Banaspati Company Ltd.; Henkel SPIC India Ltd.; K S Oils Ltd.;

Ultramarine and Pigments Ltd.; Vashisti Detergents Ltd.

Sustainability strategies: HUL s sustainability lies in the following pointsdiscussed below-

Unilever Sustainable Living Plan: it believes in small actions , bigdifference. Thus the Plan contains over 50 concrete targets that will-

-Help more than one billion people improve their health and well-being

-Halve the environmental impact of our products

-Source 100% of our agricultural raw materials sustainability

Society & csr activities : Creating a positive impact


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In 2009, HUL contributed INR 30 crores towards community related initiatives.

Its contribution in 2009, went either to long-term community investment

partnerships or to commercial initiatives, with mutual benefits for both -business

and partners.

It also identified water conservation as an issue we would like to focus our

energies on. So hul worked in close partnership with its stakeholders to conserve

precious drops of water. Water management has been a key area of focus for HUL

across the entire value chain. Therefore it engaged in community projects to

conserve water. It aims to conserve more than 20 billion liters of water by 2015.

HUL has embarked Dadra &

Awards & recognition: These are some highlights of recognition HUL hasreceived from external bodies on its social, economic and environmental

performance during 2009 and 2010-

Awarded for Best Corporate Social Responsibility Practice at the Social &Corporate Governance Awards 08-09 by BSE, Nasscom Foundation and Times

Foundation

Awarded as top Indian company in the 'FMCG' sector for the third consecutiveyear at Dun & Bradstreet-Rolta Corporate Awards, 2009

2- NESTLE

Nestle India Limited is an India-based company engaged in the food business. The

food business includes milk products and nutrition, beverages, prepared dishes and

cooking aids, chocolates and confectionary. The Company is a part of the Nestle

Group. The Companys brands include NESTLE EVERYDAY Dairy Whitener,

NESTLE EVERYDAY Ghee, NESTLE Milk, NESCAFE CLASSIC, NESCAFE


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SUNRISE Premium, NESCAFE SUNRISE Special, MAGGI 2-Minute Noodles,

MAGGI Sauces, MAGGI Bhuna Masala, NESTLE KIT KAT, NESTLE KIT KAT

CHUNKY, NESTLE MUNCH and NESTLE MUNCH POP CHOC. On January 1,

2010, the Company completed the acquisition of the healthcare nutrition business

from Speciality Foods India Private Limited.

Competitors of Nesle

ConAgra, Danone, and Kraft Foods are the top 3 competitors for Nestle

Engro foods and Haleeb foods also competitors of nestle

Nestle India Limited

Nestle is planning to invest Rs 6 billion in India in 2009 for expansionof its business in the country.The company which has allotted an

investment of Rs 3 billion in the Indian market in 2008, would be

doubling the investment in 2009 as part of its business strategy. Nestle

International is reinvesting and expanding in India and Nestle India

will have all the financial resources to expand and grow from the

parent company.

Nestle India reported a good increase in its standalone net profit for the

second quarter.During the quarter, the profit of the company rose

26.54% to Rs 1,210.90 million from Rs 956.90 million in the same

quarter, last year. The company posted earnings of Rs 12.56 a shareduring the quarter, registering 26.61% growth over prior year period.

Net sales for the quarter rose 23.45% to Rs 10,356.30 million, while total

income for the quarter rose 23.78% to Rs 10,423.40 million, when

compared with the prior year period.

COMPARATIVE ANALYSIS BETWEEN HUL AND NESTLE

ORGANISATION STRUCTUREHUL

The Board of Directors asrepositories of the

corporate act as a guardian

to the Company as also the

NESTLE

The fact that Nestl is morepeople and product than

systems


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protectors of shareholders

interest.

This Apex body comprisesof a Non- ExecutiveChairman, four whole time

Directors and five

Independent Non

Executive Directors.

The Board of the Companyrepresents the optimum

mix of professionalism,

knowledge and experience

oriented is reflected in the way

HR

is functioning and is organized.

HUMAN RESOURCE POLICIES & PRACTICESHUL

It focuses on its organizational

values that is sustainable strategies

in order to retain its employees ,

maintain stability in the society, csr

activities that makes the corporate

recognition

NESTLE

Its main focus is the human

resource policies

Dealing with People Work/Life Balance Professional

Development

Industrial Relations HR Organization


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DETAILED HR Practices OF HUL

TRAINING & DEVELOPMENT

HUL is employee focused organization. Training includes Job related training or Personality development training. Some of the programmes are as follows: Business Leadership Training programmes. There are 2 firms for training of employees. Accenture deals with Job related training which employee must needed for

better performance.

UDICHEE is dealing with personality development issues and conduct 2-3days workshops at respective training centers. ( Mumbai: CBD /Belapur).

Leadership development programmes TRAINING MODULES: Classroom Training . Audio-visual based Training. E-modules.


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Outdoor training.HEALTH AND SAFETY PRACTICES:

HUL undertakes various practices to ensure Health and Safety of employeeon the job as well as off the job.

HUL Focused on mainly 3 Types of Safety:-Personal level.

-Occupational safety

-Behavior-based safety:

Personal Level Safety Practices:

This includes wide periodical activities such as one-to-one discussions, well-

being workshops and awareness campaigns.

1-Ergonomic design of work-stations has also helped in minimizing work

related muscular or skeletal disorders

2- HUL has introduced an initiative called the Vitality Index which covers

all our employees and colour codes (green, amber and red) them based on

their state of health

Occupational Safety Practices:1-Safety is driven top-down and supported by demonstrated leadership.

2-Safety performance is governed through the Central Safety Health and

Environment Committee (CSHEC) which is responsible for strategic

direction on occupational safety and health issues.

3-All manufacturing units conform to Unilever's internal safety, health andenvironment Framework Standards (FWS) modeled on ISO-14001 and

OHSAS 18001

BEHAVIOR BASED SAFETY:


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1-HUL has partnered with DuPont to achieve leadership and excellence in their

safety performance.

-HUL has established systems for 'safety engagement with employees' to

proactively identify unsafe acts and unsafe conditions.

-All managers and executives in the factory have leading indicator targets

for behavioral audits, Safety Action Meetings (SAM), hazard identification,

and system checks. The target for leading indicator is more than one safety

engagement per employee, per month.

HUL maintain good communication channels with employees throughcompany based information and consultation procedures.

-CEO report back: Quarterly performance updates from the CEO to theemployees. Conducted at the Head Office, webcast to all sites

-Annual Review: All managers are invited to the Annual Review in four

major metros

-Young Managers Lunch with CEO: Every month the CEO meets about 10-

15 young managers and has informal chat sessions about the organization and

receives their feedback.

Ur Say: an online portal through which employees can give suggestionsaddressed to the Management committee on any aspect of the organization

Hamara: Our in-house magazine provides a platform to employees toconnect, bond, inspire and express

DETAILED HUMAN RESOURCE POLICIES & PRACTICES AT NESTLE

PEOPLE ENGAGEMENT:

The Nestl Management and Leadership Principles describe the management style

and the corporate values of the Nestl Group, specifically in the area of

interpersonal relations. Their respect

calls for specific attitudes which deserve to be outlined in the present policy:


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-A prerequisite for dealing with people is respect and trust. There can be no room

for intolerance, harassment or discrimination of any kind as they are the expression

of an elementary lack of respect.

- Transparency and honesty in dealing with people are a sine qua non for efficient

communication. Based on facts and on a sincere dialogue, such transparency is the

only solid basis for boosting continuous improvement.

- This is to be complemented by open

communication with the purpose of sharing

competencies and boosting creativity. It is

particularly relevant in a flat organisation to

convey systematically all information to

those who need it to do their work properly.

Otherwise no effective delegation orknowledge improvement are possible.

_ To communicate is not only to inform.

It is also to listen and to engage in dialogue.

Every employee has the right to an open

conversation with superiors or colleagues.

_ The willingness to cooperate and to help

others is a required basis for assessing

potential candidates in view of a promotion.

_ In case of discord between an employee

and her/his superior or another employee,

the possibility must be offered for a fair

hearing. The HR staff will provide assistance

to ensure that the disharmony is dealt

with impartially and that each party has the

opportunity to explain her/his viewpoint

regardless of hierarchical position.

Worklife balanceNestl is willing to support employees who wish to take an active part in the life

of the community or by assuming responsibilities in professional, civic,


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cultural, religious or voluntary organisations it being understood that any

activity during working hours be first approved by the Company.

In the same spirit, Nestl

Encourages flexible

working

Conditions whenever

possible and

Encourages its

employees

to have interests and

motivations

outside work.

PROFESSIONAL DEVELOPMENTLearning is part of the Company culture.

Each employee, at all levels, is conscious of

the need to upgrade continuously her/his

knowledge and skills

Training programs organised at the

International Training Centre Rive-Reine

aim at developing and sharing best

practices of the various management

disciplines practised in the Group. They

also strive to strengthen corporate

cohesion as well as to promote networking

throughout the Group.

It is necessary to make optimal use of

e-learning programs as a complement to

or a substitute for formal training programs.

According to needs they should be madeavailable at shop floor level and enlarge

the access to training.

It is the role of each manager to assess

progress achieved as a result of training

programs.


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Assessing and Developing

Each employee is in charge of her/his

own professional development. However,

the Company endeavours to offer the

opportunity to progress for those having

the determination and the potential to

develop their capabilities

Industrial relations

Documents

Azher Project