HONDA Motor Company LTD

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HONDA Motor Company Ltd

Assignment NO: 03
Submitted By
Azba Ramzan
Submitted To
Mame Maria
Class
BBA5th M1
Roll No
025
Subject
Global HRM
 Questions and answers of Honda
Company
Introduction OF Honda Motor Company Ltd
Honda is the most successful company existing in the market now days
with the latest technology in the automobile industry with luxury cars to
sports to family car they have a vast range of cars and motorbikes.

Honda, (2010) In October 1946, Soichiro Honda established the Honda


Technical Research Institute in Hamamatsu, Japan, to develop and
produce small 2-cycle motorbike engines. Two years later, Honda Motor
Company, Ltd. was born, and in 1959 Honda opened its first storefront in
Los Angeles with six industrious employees. Honda opened there first
U.S. plant in 1979 and have evolved into a company that directly
employing more than 25,000 Americans.

More than 100,000 workers are employed at authorized Honda


automobile, motorcycle and power-equipment dealerships in the United
States. Tens of thousands of additional Americans are employed by more
than nearly 600 U.S. suppliers from which Honda purchases parts and
materials.

Now we will solve our questions related to Honda


Motor Company Ltd:
QUESTION NO 01
How Honda HR structure built and how it function?
The structure of HONDA HR that includes functional areas such as
recruiting and staffing, benefits, compensation, employee relations,
HR compliance, organizational design, training and development,
human resource information systems (H.R.I.S.) and payroll.

The structure functions are:


 Human resource planning
 Recruitment and selection
 Performance management
 Learning and development
 Career planning
 Function evaluation
 Rewards
 Industrial relations
 Employee participation and communication
 Health and safety
 Personal wellbeing

QUESTION NO 2
Honda culture
orientation? Is it
centralized or
decentralized ?
In its philosophy, which was developed in 1956, Honda Motor Co. Ltd
outlines two main principles encompassing its fundamental beliefs.
According to Furlan (2002), these are “respect for individual and ‘the
three joys’” (p. 36). Initiative, trust, and equality constitute the values in
the organization’s belief for respect of individuals.
The second belief – ‘the three joys’, borrows from the first belief. It
focuses on the creation of satisfaction amongst the organization’s
stakeholders, viz. customers, society, and employees. This aspect
defines the organizational culture for Honda Motor Co. Ltd to constitute
appreciation and value for all people in driving its success.
Team orientation and how Japanese culture affected
evolution of Honda
Since the establishment of Honda Motor Co. Ltd in 1948, the
organization has been pursuing the strategy of remaining competitive
amid the sophistication of the business environment dynamics. In a bid
to acquire sustained growth in an environment characterized by intense
competition from rival organizations such as Toyota, Hyundai Motor
Group, and General Motors among others, Honda Motor Co.

Ltd pays incredible concern to enhancing competitive advantage through


creativity and innovation. The company holds that this aspect occurs
when people are organized in the form of work teams to encourage
knowledge sharing (Furlan, 2002). This understanding has fostered the
development of teamwork-oriented, creative, and innovative work force
for the organization across its global manufacturing plants.
Culture orientation: Organizations adopt values and beliefs, which are
then shared by all employees and business associates. This aspect helps in the
harmonization of goals, objectives, and mission of an organization in its
different operating units. This paper discusses the Honda Motor Co. Ltd’s
organizational culture. Honda’s employees and customers are from diverse
backgrounds ethnically, professionally, and in terms of nationalities. This
aspect forced the company to adopt an organizational culture emphasizing on
the importance of people, viz. employees, customers, and the society in
contributing to its success.

Centralized or decentralized
Certainly Honda has had slip-ups. For example, the road into China, which
Honda pioneered among Japanese companies, has been thorny (as it has been
for most multinationals), although Honda appears to be on the verge of
succeeding, and the devastating Japanese tsunami in 2011 caught the
company unawares and vulnerable to the shortage of a single but critical part.
But because of its uniquely downsized corporate culture, Honda has adroitly
used those failures as vehicles for continuous improvement.
By contrast, Honda is a decentralized organization that gets its strength from
independent decision making at each of its facilities. Honda is decentralized.

QUESTION NO3
How Honda decided upon going Global discuss the factors behind
this decision?
That’s really the globalization story, in terms of Honda. Most companies,
when they globalize, will set up operations in other countries. But they
cannot decentralize their most critical operations. Where in most cases
R&D, design, engineering, all of those critical aspects of the vehicles are
still determined at the home office.
Honda sets up an autonomous subsidiary operation wherever it goes. So,
Honda China, Honda of North America, Honda Europe are each
independent. They’re run by local people, so Honda China is led by
Chinese people. They get input from Japan. Quickly, they’re running on
their own and developing cars and designs for the local market.
They once found that people in Saudi Arabia are very concerned about the
cleanliness of the cars on the outside because of the environment, with so
much sand. When they started selling cars there, they got all these
complaints that this car doesn’t work. It’s not as promised. The dealers
thought it was mechanical. It turned out that the real complaint was that it
gets dirty. So they had to create ways that it kicks up and throws off dirt to
fix it for that market.

Each market determines for itself which cars it’s going to sell, which new
designs they want to make. How they’re going to run their operations. How
they’re going to build their factories. To the point that Honda becomes a
local company wherever it goes.

Due to the fact that Honda was a late entrant in the automobile industry and
therefore had difficulties in competing in Japan, Honda had to diversify its
sources of sales (Daniels & Radebaugh, 2001). So, Honda pressed with its
internationalization ahead and therefore it had to see the world as its market.

We ensure Honda vehicles work well across the world by conducting research
and development on all continents. We of course have far-reaching R&D
facilities in Japan, and major projects are led from our headquarters. But we
are just as proud of the research and development done at our other global
facilities.
New vehicle models and features and in conceiving fresh techniques for
building them faster and better.

 FACTORS
1. Don’t Globalize, Localize
2. Encourage Your Employees to Questions the Status Quo
3. Don’t Rely on Robots
4. Listen to Engineers
5. Focus on Factory Flexibility

QUESTION NO 4
How Honda do strategic planning ,decision making ,SHRM?
Global employment Honda strives to raise the total strength of its global
workforce by developing these associates to be a core of Honda’s human
resources who will drive its global business in the future. 2 optimizing work
hour; As a result, total working hours averaged 1,954 per associate in FY2017,
and associates averaged 19.0 paid vacation days, putting Honda at the top level
of the automobile industry in terms of reducing actual working hours.
Going forward, Honda will work to further reform work styles primarily
through awareness-raising and a review of operating processes.

3'Personnel Evaluation System


In accordance with Respecting Initiative and Ensuring Fairness based on the
Three Principles of Personnel Management, Honda has introduced to Regional
Operations in the six regions human resources evaluation programs adapted to
the needs and conditions of each region.

4 :Occupational Health and Safety


Honda strives to create a safe and healthy workplace in order to maintain a working
environment in which people can work with a sense of security.

5:Global Administration for Safety


Head offices in each region are taking the lead in implementing global controls for safety. For
production activities, in particular local offices are leading activities strongly focusing on
implementation of an occupational health and safety management system.

6:Associate Survey
Honda conducts an associate survey in all regions to solicit worker feedback for building a
healthier work environment.

QUESTION NO 5
What GHRM approach they took ?Reason
HRM may be discussed from the different approaches. These approaches define HRM from
different perspectives.
...
These approaches define HRM from different perspectives.

 Strategic approach.
 Management approach.
 Human resource approach.
 Commodity approach.
 Proactive approach.
 Reactive approach.
 System approach.
Reason; HRM evolved in response to the significantly increasing competitive pressures
that American companies began to face in the late 1970s due to factors such as
globalization, deregulation and rapid technological change.

QUESTION :6

What steps they take to have K W , JC, Job ENG,JOB ENL, engage and loyal
employees?

 Characteristics of Knowledge Workers


Knowledge workers possess the following characteristics:
1. Factual and Theoretical Knowledge
Knowledge workers undergo several years of formal training to master the
information needed to perform certain specialized roles. At a minimum,
most knowledge-based positions require a college degree and their learning
process is continuous even after being hired.
2. Accessing and Applying Information:
Knowledge workers must know how to identify important information from a large
database of information that they need to be familiar with. They should be in a position
to weed out less important information and focus on essential information that will help
them solve problems, answer questions, and generate ideas. Knowledge workers use
analytical reasoning and relevant judgment to address customer service issues and new
situations.

3. Communication Skills:
Knowledge work involves frequent communication between the knowledge worker and
customers, co-workers, subordinates, and other stakeholders. They must be able to
speak, read, and write, and hold discussions with workmates and deliver a presentation
when needed.

4. Motivation:
Knowledge work requires continuous growth, due to the need to keep up with
technological developments. Workers must be interested in finding new information and
applying it in their work. With new technologies being released every day, they must
improve their skills to handle complex tasks and integrate the latest technologies into
their work

 Steps in Job Enrichment:


The process of job enrichment consists of the following steps:
(i) Job Selection:
(ii) Identifying the Changes:
(iii) Change in Contents of Jobs:
(iv) Employees Counseling:
(v) Job Integration:

QUESTION NO:7
Do Honda value CSR? What additions Honda is making for society ? Also
explain Green HR policy strategy?
CSR activities based onGreen HR is when the field of HR focuses on
expanding its role to support the organisation in the pursuit of
sustainability. In green HR, HRM policies are used to stimulate and
support the sustainable use of resources and preserve the natural
environment.

Green HR focuses on the development, implementation and


maintenance of all activities aimed at making staff members
supportive and committed to sustainable goals. Initiatives
encompass HR processes of staffing, performance management
and appraisal, training and development, and employment relations
Green HR initiative:
.Green HR initiatives range from promoting double-sided
photocopying to using ethical and fair practices. Green employers
can witness several benefits as a result of green HR
implementation, including increased employee motivation,
engagement and confidence. Employees are not only likely to show
increased productivity but they are also likely to become more loyal
to the organization. This would in turn lead to less staff turnover.
The value of green programs in promoting social responsibility is
widely recognized and the use of green HR can attract high-quality
employees as a green business is regarded as more appealing.
More efficient business processes and improved product or service
quality also flow from green HR.

How to implement green HR


First, it’s important that HR practices and procedures align with the
sustainable goals; employees will then increase their awareness
and commitment toward sustainability. The shift toward sustainable
business practices involves HR in an important role: to steer
change in the organization and bring together HR and CSR to
create synergies between the organization’s strategic mission to
become a sustainable organization and equip all employees and
stakeholders to implement this in everyday business practice.

The Honda philosophy having embraced the goal of becoming a


company that society wants to exist by sharing joy with the people of
the world based on the Honda philosophy, Honda is pursuing a range
of corporate activities in order to create new value, expand value,
and fullfill our commitment to the future.

while cultivating freedom of associates to seek out a better way, a


willingness to rise to the challenges of the future, and a spirit of
collaborative creativity. “Creating the Joys” means continuing to
dream and create new value ahead of the times with free-spirited
thinking to enhance The Three Joys. ”Expanding the Joys” means
realizing

 dreams with more people and contributing to local society


 Expand The Three Joys around the world. “Ensuring the joys
for
 the next generation” means working toward the sustainable
 development of society and achieving the highest level of
 environmental and safety performance to ensure The Three
Joys
for the next generation.
Green Human Resources Management:
Green Human Resources Management – Performance Management
(PM) Performance management (PM) is the process by which
employees are prompted to enhance their professional skills that
help to achieve the organizational goals and objectives in a better
way.
Main Objective : The main objective of green HRM is to make the
employees aware of the intricacies of environment management i.e.
what action is needed, how it functions, and how does it help the
environment. The exercise really motivates the employees and
develops a sense of pride in them for being a part of the going green
program.
Green HRM involves undertaking environment-friendly HR initiatives
resulting in greater efficiency, lower costs and better employee
engagement and retention, which in turn, help organizations to
reduce employee carbon footprints by electronic filing, car sharing,
job sharing, teleconferencing, and virtual interviews.
QUESTION NO: 8
How they perform environment analysis ? What techniques they
adapt for this purpose? PESTOL or SWOT why?
Honda PESTLE Analysis examines the various external factors like
political, economic, social, technological (PEST) which impacts its
business along with legal & environmental factors. The PESTLE
Analysis highlights the different extrinsic scenarios which impact the
business of the brand. The environmental analysis process consists of
the following steps:
Identify environmental factors. To conduct an environmental
analysis, start by selecting environmental factors to evaluate. ...
 Gather information. ...
 Evaluate your competitors. ...
 Forecast the impact. ...
 Assess your strategies. ...
 Political. ...
 Economical. ...
Analysis: The analysis consists of four sequential steps: Scanning:
It involve information gathering for assessing the nature of the
environment in terms of uncertainty, complexity and dynamism.
Monitoring: It involves tracking environmental trends and events.
Forecasting: It lays out a path for anticipated changes.
Environmental Analysis :
Environmental analysis offers the following benefits:
 Environmental analysis makes managers aware of the
linkage between an organization and its environment and
keeps them alert and informed.
 Environmental analysis helps the company to identify the
threats and opportunities before it.
SWOT Analysis:
Analysis is one very effective tool for the analysis of environmental
data and information – for both, internal (strengths, weakness) and
external (opportunities, threats) factors. It helps to minimize the
effect of weaknesses in your business, while maximizing your
strengths.
Weaknesses of Honda:
Decrease in sales revenue – Due to the pandemic, a steep fall is
witnessed in the sale and demand for the products and services of
Honda. The company's sales dropped down by 25.2% according to
the September 2020 census due to the decrease in sales revenge in
all its business operations.
QUESTION NO:9
How Honda manage their workers performance ? What steps they
take to ensure employee well being?
There are a number of ways you can support employee
development: individual coaching, workshops, courses, seminars,
shadowing or mentoring, or even just increasing their
responsibilities. Offering these opportunities will give employees
additional skills that allow them to improve their efficiency and
productivity.

Honda hopes that all of its associates remain healthy in


the same way we strive for safety. Honda is cultivating the
self-awareness that each associate is responsible for managing his or
her own physical and mental health in order to establish comfortable
work processes and environments. Toward achieving this goal,
Honda has formulated clear policies and has been strengthening
various health promotion measures, including raising self-awareness
for health, educating managers and supervisors and providing
occupational health education.
Medical Checkups:
With the aim of maintaining the health of its associates, Honda
provides options to receive cancer examinations (stomach, bowel
and uterus) in addition to legally mandated periodic health checkups.
For associates aged 50 and 55, Honda also provides an opportunity
to receive a more thorough medical checkup, which includes detailed
brain and lung examinations as desired. Measures for Prevention of
Adult On-Set Diseases In order to help associates maintain good
lifestyle habits so that each can shine and work with pride, Honda
has been undertaking various initiatives matched to the needs and
conditions of each workplace, including health awareness events and
individual health guidance.
Creating working environment criteria Honda stipulates workshop
environmental criteria in its Comfortable Workplace Guidelines and
Hazardous Operations Management Regulations. In accordance with
the three basic items of work and health management*, the
Company performs periodic inspections and improvements to
appropriately maintain and manage its working environments.
Health and Safety Education and Training .The corporate
headquarters, responsible for supervising health and safe.
Ways to Improve Employee Well-Being
(i) Create a Comfortable Work Environment. ...
(ii) Introduce the Concept of Mindfulness to Your Employees. ...
(iii) Realize the Importance of Work-Life Balance. ...
(iv) Support Social Outreach Programs. ...
(v) Encourage Staff to Cycle to Work.
QUESTION NO:10
What technique Honda use to do performance appraisal ?
Techniques Honda uses are:
Rating Scale Forced Choice Techniques, Critical Incident and Self-
Assessment. Performance appraisal is a development activity
undertaken by the company for improvement of the skill, knowledge,
ability, personality of the people at work.
From the first perspective of “Creating the Joys,” Honda will work on
“creating value for 'mobility' and 'daily lives.” The Company will focus
on three areas, namely mobility, robotics and energy, in order to
provide people with the “joy and freedom of mobility” and “joy of
making their lives better.”
According to Honda Motor Co., one of its main objectives is "to
conduct all our business activities with the overall objective of
serving society." Honda strives to meet this objective by protecting
the environment, developing technologies to create a more efficient
use of the world's energy, boosting the local economy.
Dedication :

We are dedicating our work to our parents and respected teacher


Mr. Naveed Ahmed Bhutta, who have played a vital role in our
studies and have guided us at every step with their precious ideas.
No doubt this dedication is insufficient and we can never repay for
the role they have played in our studies but we are sure that their
work will prove itself an asset in our life

ACKNOWLEDEGMENT:
We are very thankful to human resource department of Honda atlas car,
which gave us valuable information. We pay gratitude to Honda atlas H
R manager giving valuable information. We are also very thankful to Mr.
Imran Farooq (human resource manager of Honda atlas car) who helped
a lot us by giving up to date information. We are very proud of our
teacher Mr. Imran Ahmed Buhta, whose help and instructions enable us
to bind papers into project manner. We are very thankful to him.
PREFACE
“ The most beautiful things we can experience are the mysterious .It is source
of all true art and science ”
(Albert Einstein, 1930)

This project is based on the topic, which is assigned to us by our respected


teacher Mr. Naveed Ahmed buhta, the organization that we took for research
is:

“ Performance appraisal system of Honda atlas car ’’


In the project, we have tried to cover all the topics, which were assigned by
our teacher. Mr. Naveed Ahmed buhta have studied related to management
and how Honda atlas car applies these all methods in their organization for
the achievement of their goals and how he motivate their management staff
and the non-management staff and what are they getting improvements in
performance appraisal system.

QUESTION NO :11
What is Honda initiative towards OD?
Honda Motor Co., Ltd. today introduced the technology
development direction the company is currently pursuing for the
challenges Honda is taking on in new areas while leveraging its
core technologies. This direction leads to the fulfillment of
Honda’s 2030 Vision of serving people worldwide with the “joy
of expanding their life’s potential.”
Honda Takes on Challenges in New Areas Leveraging Its Core
Technologies
While solidifying its existing businesses as the foundation of the
company, Honda is thoroughly committed to contributing to the
realization of a society with zero environmental impact and zero
traffic collisions, and also new initiatives that enable Honda to
take on challenges in new areas. In addition to research on
advanced environmental and safety technologies, Honda R&D
Co., Ltd., which takes a lead role in Honda’s technology
research and development, is pursuing outside-the-box
research on technologies that will bring about new value for
people by expanding the potential of mobility into the 3rd
dimension, then the 4th dimension which defies the constraints
of time and space, and ultimately into outer space.
These new initiatives are made possible by core technologies
Honda has amassed to date, including technologies in the
areas of combustion, electrification, control and robotics.
Through the comprehensive utilization of such technological
strengths, Honda will strive to realize the joy of expanding
people’s life’s potential in new areas in addition to existing
business areas.
These new areas include an electric vertical take-off and
landing aircraft, avatar robot with a goal to expand the
range of human ability and a new challenge in the field of
outer space.
1. Honda eVTOL (electric vertical take-off and landing)
aircraft will make mobility in the skies more
accessible for people.
・Honda eVTOL leverages Honda’s electrification
technologies for its gas turbine hybrid power unit.
・Adoption of the hybrid power unit enables the extension
of range, which will enable Honda eVTOL to provide inter-
city (city-to-city) transportation, where the market size is
expected to grow in the future.
・Honda will create a new “mobility ecosystem” featuring
Honda eVTOL at its core, connected with mobility
products on the ground.
2. Honda will strive to create new value for people by
establishing a “mobility ecosystem” featuring eVTOL
aircraft at its core, coordinated and integrated with mobility
on the ground
QUESTION NO :12
Discuss their actions towards development of people .skills

structure and technology?

On September 30, 2021, Honda announced its challenge to expand the

potential of mobility into the 3rd dimension, then the 4th dimension which

defies constraints of time and place, and ultimately into outer space. To be more

specific, Honda introduced the direction to pursue three areas, namely Honda

eVTOL, Honda Avatar Robot, and a new challenge in the field of outer space.

Keiji Ohtsu, President and Representative Director of Honda R&D Co., Ltd., explained

why Honda takes on challenges in these new areas and the passion and aims of the

research and development being conducted by Honda R&D. We Build the

Future

ーーーー It has been six months since you assumed the presidency. What are your
thoughts on the roles Honda R&D plays within Honda?
After the founding of Honda in 1948, Honda R&D was established in 1960 as a

company independent of Honda Motor so that it can concentrate on research

and development with a more freewheeling approach to thinking without being

influenced by the short-term business results of Honda. We research and

develop technologies that help people based on our belief that helping each and

every customer, make their dreams come true and expand the sum of the “joys”

will ultimately make our society a better place.

Honda R&D had been in charge of all of Honda’s research and development

activities including the development for our mass-production models and the

development of advanced technologies. Over the past few years, we have

transferred all of the development for mass-production models to Honda Motor,

allowing Honda R&D to concentrate on preparation for future growth, or advanced

areas, without being bound by existing business areas, to further strengthen our

creation of new value through exploring the unknown.

This understanding has been penetrated into the mindset of each and every

associate, and Honda R&D is becoming filled with the passion that we are all

building the future ourselves. In areas of both eVTOL and robotics, I can feel that

our development speed is accelerating. It is difficult to make a simple comparison,

but I believe we would not have been able to make such smooth progress in

development in new areas under our previous operational structure.

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