Assignment-2

MBA (2020-22) -MHRM

FabIndia Case Study Analysis
Submitted by- Udgeeth Agnihotri
IMB2020020

Q. What were the priorities of the HR Executives?

FabIndia has seen tremendous growth since 2005. It has opened at multiple locations
and hired a lot of employees in just a few years. For a developing company, it was
important for the HR’s at FabIndia to hire the right employees, train them and retain
them. To fulfil this objective of the company, HR personnel uses 7 core values
dependent on the experience and feedback of their workers. Here is how the HR at
FabIndia works based on their core values for the fulfilment of their priorities:-
A. Hiring the right people-​ HR at FabIndia uses different tools to evaluate the right
candidate for their company. Tools such as behavioural event interviews are
used to identify if the abilities of the candidate match with the requirements of the
company. The candidates are also incorporated with the company’s ideologies
such as Indian handicraft and artisan connect, through induction and orientation.
Further, the hired employees are put on a probation period of 6 months and a
mid-term review of their performance.
B. Training and development- FabIndia pays a great number of its resources to the
training and development of their employees and it starts right from the beginning
when the employee is hired in a company through the process of induction and
orientation. The majority of employees in FabIndia are relatively young and are
not highly qualified which requires a lot of training to understand the company’s
core value and culture. They believe that training and development programs are
necessary for every newly hired employee regardless of their position and to
ensure this the senior employees also get trained when starting a new role.
C. Retention of employees- FabIndia motivates their employees through leadership
training, employment opportunities, and positions at the leadership level. They
have an encouraging 1.78:1 male: female employee ratio throughout the
company. However, interestingly at the executive level, 76% of employees are
female which motivates and empowers women n the organization. Also, around
76% of employees at FabIndia owns the company’s shares which builds a sense
of responsibility and ownership in them and develops a sense of loyalty towards
the company. Employees are also provided with entrepreneurial opportunities
and impressive incentives for great performance.