Professional Documents
Culture Documents
MSIL
MSIL
ABOUT
Maruti Suzuki India Limited (MSIL), formerly known as Maruti Udyog Limited, is an Indian
automobile manufacturer headquartered in New Delhi. It is a subsidiary of the Japanese
automotive manufacturer Suzuki Motor Corporation. MSIL Limited is a holding company.
The Company is engaged in the manufacture, purchase and sale of motor vehicles, components
and spare parts (automobiles). The other activities of the Company comprise facilitation of pre-
owned car sales, fleet management and car financing. Its service offerings include Maruti
Finance, True Value, Maruti Genuine Parts, Maruti Genuine Accessories, Maruti Suzuki Auto
Card and Maruti Driving School.
It has approximately five plants, located in Palam Gurgaon Road, Gurgaon, Haryana, and at
Manesar Industrial Town, Gurgaon, Haryana, with an installed capacity of over 1.5 million
vehicles per year.
HISTORY
Maruti Udyog Limited was founded by the government of India on 24 February 1981, only to
merge with the Japanese automobile company Suzuki in October 1982. The first manufacturing
factory of Maruti was established in Gurugram, Haryana, in the same year.
The company was formed as a government company with Suzuki as a minor partner to make a
people's car for middle class India. Over the years the company's product range has widened
ownership has changed hands and the customer has evolved. On October 2, 1982 the company
signed the license and joint venture agreement with Suzuki Motor Corporation Japan.
In the year 1983 the company started their productions and launched Maruti 800. Four years
later, in 1987 the company forayed into the foreign market by exporting first lot of 500 cars to
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Hungary. In the year 1992 Suzuki Motor Corporation Japan increased their stake in the company
to 50%. Subsequently in 2002 Suzuki Motor Corporation increased their stake in the company to
54.2%.
Maruti Suzuki made sure that the MD/CEOs of the vendor companies participated in this
programme along with their HR heads, as it was crucial to make them understand the importance
of the HR development plan. The five-step project had two checkpoints at the second and fifth
month, to ensure everything was moving as planned. This intervention by Maruti Suzuki India
brought about a significant transformation, not just in its vendor organizations but in its own
business growth as well. While its market share grew from 42 per cent in 2014-15 to 46 per cent
in 2015, its vendors became more people oriented and HR focused.
The Indian business landscape is marked by uncertainty, turbulence, hyper-competition and non-
linear growth. The arena of the automobile sector epitomizes this changing scenario. Increasing
competition from foreign born automobile organizations and homegrown organizations such as
Tata Motors are posing a threat to the market leader - Maruti Suzuki India Ltd. A fierce battle for
market share is ensuing among these automobile giants.
In spite of this, Maruti Suzuki has succeeded in maintaining its leadership position. However,
with more companies venturing into the bastion of Maruti Suzuki - the small car segment - the
threat to their market share is looming larger than before. Maruti Suzuki had to undergo multiple
changes from being a public sector undertaking and a monopoly, to one capable of competing
with world class automobile companies.
The challenges range from having to create a performing workforce, changing the mindset of the
employees, to coping with many cross-cultural issues. The most difficult challenge is to engage
in breakthrough innovation. HR needs to create an organizational culture that not only supports
this endeavor but also helps retain the human resources.
LIFE AT MSIL
This is the car company that leads the Indian auto industry and defines the way India drives on
the quality and competence of its people. It's a great place to discover all that you can be, and
maximize your potential.
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From a work culture that provides genuinely equal opportunities, a sense of team spirit that goes
right down to a common lunchroom, to a feeling of openness as senior managers and their teams
sit together in an open, wall-free environment- Maruti Suzuki offers an uncommon place to work
and excel.
They claim to be fast and flexible, resilient and responsive, as well as decisive and responsible. It
is a place where customer’s voice will be heard and valued. Across history, the people have
made Maruti Suzuki a company ready to meet the challenges of the dynamic market.
Till senior manager and AGM level promotion is almost constant after that promotion depends
upon vacancy at upper level but as I mentioned earlier that no. of departments are also increasing
at great extent so you can see that sometimes people directly got promotion from SMGR to
DPM. In broad perspective I have seen that person who has joined around 2000 - 2003/4 as Get
are mostly at DPM/ DGM position, people who has joined around 1995–1998/99 as Get( GET or
graduate of that time and joined after as lateral) are at DDVM/GM level.
People who have joined around 1991/92 as BE fresher are at DVM/ vice president. There could
be few exceptions also but broadly this is the pattern. Some of the position at DVM/ DDVM/
DPM are occupied by people who joined as Junior Engineer trainee and later done BE through
correspondence or so, for them you can consider their joining 4–8 yrs. earlier.”
Hiring(AIEH), for Experienced Professionals and Workmen Hiring. This can be termed as Job
Classification which has been done by the HR at MSIL with the purpose of classifying the job to
enable the firm/company to determine the level of skills required for each group of jobs.
Subsequently, the next step comes Job Description and Specification. A detailed overview for
AIEH above showcases the selection process and eligibility criteria such as the selection
procedure for the said job and the bare minimum requirements to be eligible for the same.
Job description provides information about job title and alternate titles, duties, authorities,
responsibilities, accountabilities, reporting authority, relationship with other jobs, working
conditions, and job summary. Job specification, on the other hand, is a statement about the
appropriate skills, knowledge, qualification and other characteristics required for the effective
performance of the duties and responsibilities associated with the analyzed job.
In the changing labor market scenario, organizations are competing with one another to devise
strategies to attract and retain their best workforce. Companies no longer depend on the
conventional method of monetary benefit alone to retain their employees. They effectively use
intrinsic motivational techniques like job design, job enrichment and job re-engineering to offer
the necessary job satisfaction.
Recruitment is an important part of an organization’s human resource planning and their
competitive strength. Competent human resources at the right positions in the organization are a
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vital resource and can be a core competency or a strategic advantage for it. The objective of the
recruitment process is to obtain the number and quality of employees that can be selected in
order to help the organization to achieve its goals and objectives.
With the same objective, recruitment helps to create a pool of prospective employees for the
organization so that the management can select the right candidate for the right job from this
pool. Recruitment acts as a link between the employers and the job seekers and ensures the
placement of right candidate at the right place at the right time. Using and following the right
recruitment processes can facilitate the selection of the best candidates for the organization.
A methodical recruitment policy can ensure the availability of suitable persons at the appropriate
time with the least disturbance to the production schedule. Factors like the image of the
company, labor market conditions, government regulations, and the economic situations may
also contribute to the success of the recruitment policy.
Training Academy at MSIL
Maruti Suzuki India Limited has been a pioneer in the automotive industry and being an industry
leader in the passenger car segment it has given utmost priority to developing capabilities of its
people across the value chain.
To
meet this objective, Maruti Suzuki Training Academy (MSTA) was established in the year
2012.MSTA ensures holistic development of its employees, dealers, vendors and all its partners
by focusing on behavioral, technical and functional skills. Job analysis also helps in determining
the training needs of the employees holding different positions in the organizational hierarchy.
By providing information about the future potential skills required for the job, job analysis also
helps the organization in deciding the long-term development programmes for its managerial
personnel.
OCCUPATIONAL AND HEALTH POLICY
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Maruti Suzuki India Limited (MSIL) is committed to ensure a safe and healthy working
environment for all employees, visitors, contractors, vendors and persons present at MSIL sites
by prevention of work-related injuries and illness.
To meet the responsibilities, they are maintaining a safe working environment and have an
Occupational Health and Safety Management System (OHSMS) in place to:
Manage Risks – by identifying all workplace hazards, undertaking assessments, internal
& external audits, and taking all necessary actions for prevention & control of injury, ill-
health, loss or damage by following safe work practices in operations while procuring
new plant, machinery & equipment.
Comply with legal and other obligations – by ensuring that our business is managed in
accordance with relevant occupational health and safety legislations, standards and MSIL
occupational health and safety policies & procedures.
Establish targets and review mechanism - They shall manage our obligations using
coordinated occupational health and safety plans for each area and site, with challenging
targets to measure progress
HR INITIATIVES
Prepare MSIL Strategies Business Plan to achieve the Vision and Goal.
Improve the Performance Appraisal System
Improvements in Internal and external training and its effective utilization
Systematic career planning
Periodic communication meeting at various levels
Retention of Talent
Automobile market today is very dynamic & competitive with a range of players and products.
There are many reasons for the impressive growth of the Indian passenger car Industry. Some of
these are easy availability of vehicle finance, attractive rate of interest and convenient
installments. In today‘s cutthroat competition it is very difficult to survive. Stiff competition has
forced manufacturers to be innovative and responsive to customer demands and needs. Maruti
Suzuki India Limited is a leading company in Indian Automobile sector that occupies prominent
place due to its innovative strategic marketing and effective HR policies.
Some of the valuable facts and experiences are as follows:-
MSIL is also going for “OUTSOURCING”.
Company also conducts “EXIT INTERVIEWS” at the time when any employee is
leaving the organization. In this he is free to say anything what he/she feels like about the
organization and its members.
Initial training given to workers is of approx. 2-3 months and for managers 1 month.
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COMPETITOR
MAHINDRA AND MAHINDRA
The company Founded in 1945, Ludhiana and Part of Mahindra Group, an Indian conglomerate.
A federation of companies, bound by one purpose – to Rise. Inspired by this spirit, our legacy
and values, our goal to always positively impact our partners, stakeholders, communities and the
world at large, remains unshakeable. Mahindra & Mahindra Limited (M&M) is an Indian
multinational automotive manufacturing corporation headquartered in Mumbai. It was
established in 1945 as Mahindra & Muhammad and later renamed as Mahindra & Mahindra. Part
of the Mahindra Group, M&M is one of the largest vehicle manufacturers by production in India.
What began as a steel-trading venture seven decades ago steadily turned into a global brand,
spanning nations and industries. This is a story with an upward curve, narrating how an Indian
company paved its way to become a global powerhouse.
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Purpose –
We’ve made humanity’s innate Values –
desire to rise our driving purpose.
We challenge conventional
thinking and innovatively use our Our set of core values is the
resources to drive positive change compass that guides our
in the lives of our stakeholders actions, both personal and
and communities across the corporate.
world, to enable them to Rise.
The Human Resource Policies prove to play a significance role in a organization. These policies
and functions are concerned with proper grouping of the personal activities, assignment of
different group of activities to different individuals and delegation of authority.
The policy of Human Resource comprises measuring the employee’s performance, correcting
negative deviations and assuring accomplishment of plans efficiently. This is done through
review reports, records and personal audit programme etc.
Organizations require improving organizational performance by seeking changes in attitudes,
organization structure and managerial practices which is accomplished by Human Resource
Policies.
1. Recruitment Policies: - In Mahindra & Mahindra recruitment is done basically through
referred 85% and walks-in 15%, for walk-ins the advertisement is done in local newspaper
considered as one of the best companies for a fresher.
• Conducts campus drives and off-campus recruiting.
• 3 step recruitment procedure:
a) Online Aptitude Test
b) Technical Interview
c) GD+PI
• Tete a tete with potential employee is conduced to check person organization.
• A number of programs are initiated by Mahindra for external audience to observe internal
work ethic and environment.
• The programme aims at generating thought-provoking dialogue with tutors and fellow
participants in order to develop new approaches and insights into leadership.
• Mahindra believes communication through mutual trust is essential for in house
development.
• Senior level executive meetings (Blue chip conference) are held annually along with
employee get together and employee family gatherings.
• Employee gatherings are held thrice each year:
a) Goal Setting (Jan),Annual
b) Communication (April),
c) Family Meet (Oct).
4. Rotation policy for the employees:- Mahindra follows policy of job rotation which
implies moving of employees from one job to another without any fundamental change in the
nature of their job.
Drive positive change in the lives of customers and communities:- Company expect
everyone at Mahindra to work for the greater good, to advance humankind, and make the
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world a better place. A significant part of our job is to create lasting, positive change in
the lives of the communities and customers they serve.
Empowering Environment:- Company promote a proactive workplace, one where you are
encouraged to make your own decision and take ownership of their ripples and
ramifications. It empowers our people, and in doing so, encourages individual
responsibility.
These are the Job Descriptions and Specifications mentioned in the official website of Mahindra
& Mahindra which very is similar to Maruti Suzuki India Limited. From the perspective of HR, I
feel Mahindra & Mahindra have done a better job of stating job description and specification on
their website. Proper classification has been done to avoid any misunderstanding with extensive
After briefly analyzing both the companies, I feel Maruti Suzuki has laid a great foundation with
respect to HR Policies over the years given its rich history and collaboration with Suzuki. From
the perspective of JD & JS, I feel the user interface of M&M has an edge over MSIL. The
strategic management of people who either individually or collectively or in both ways,
contribute to the progress of an organization and to the achievement of its long and short-term
objectives; can be rightly called Human Resource Management.
The people at the department of Human Resource Management realize that all the employees of
the organizations have their own individual personalities, perceptions, goals, preferences and so
they cannot be perceived as a whole. They realize that a company must be aware of the needs of
its employees and also, understand and evaluate these needs in order for the employees to
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perceive their jobs as their duty and not merely as an obligation. HR Management helps the
organization to achieve its strategic goals by attracting, retaining and developing employees.
I got to know the HRM practices followed by MSIL by going through an interview posted online
with a HR manager at MSIL, Delhi, from point of Job Description to recruitment to training and
development of an employee in the organization. The HR manager emphasized on the
requirements that the HR manager should have in it to efficiently manage the organization with
the certain proficiencies.
But one aspect that MARUTI overlooked was that an employee of the organization should have
right attitude towards the vision and objectives of the organization and also the employee of an
organization is satisfied with their roles and position of responsibility in the organization. We
find that the recruitment process of the organization is comparatively has a parity.
It is evident that in MSIL there were proper policies, processes and procedures that was a part of
HRM practices mentioned by HR department and was implemented quite effectively in all the
levels of hierarchy in organization. This proper and effective implementation of policies enabled
the company to effectively manage all the priority functions of organization. The effective
policies enabled the positioning of the right person for right job and aided the personnel of the
company to bring it among the leading automotive industries of India, which holds the major
chunk of Indian market.
In a one-to-one article with Vijay Kalra (SVP, Manufacturing Operations, Auto Division) and
Vijay Nair (VP-ER, Auto Division & Head-AFS Administration, Mahindra & Mahindra), I
deducted several HR Policies at Mahindra & Mahindra which were absent in MSIL. For
example:
Employee Satisfaction Survey
These surveys are conducted on an online system, set up by corporate team, where all levels of
employees input their preferences on a 70-question long survey. The results not only helps us
gauge the satisfaction level of the employees, but also work as a performance report for
leadership effectiveness.
Young Mahindra Program
Young Mahindra Program is the forum where youngsters participate to form a parallel governing
council. Here, they debate on company issues and come up with solutions, while also
participating in cultural programs and conduct initiatives. Their recommendations are
communicated through various programs that we run and are duly noted by senior management.
Rise i4 Ideation Program
Every week, two hours are especially allotted for ideation for all teams where they can
brainstorm and discuss about how to bring about better productivity, reduce cost, increase safety
at their stage and sustainable operations. Points are given on the basis of these parameters and
there is a central competition for the best ideas given. There is a visible projection of the
participants in front of the entire sector which serves as a great recognition platform.
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I find such HR Policies necessary in today’s time where cutthroat competition often requires
equal compensation in various ways, which in turn only boosts morale of the employees. This
ultimately promotes growth within the company by way of conducting HR Practices mentioned
above. While going through HR Policies/Practices of MSIL, I found that no new programs as
such were initiated by the management to oversee an employee’s growth. My suggestion for
MSIL HR Policies would be to revamp their outdated HR Practices and bring them at par with
other MNCs in the present day.
REFERENCES
https://www.marutisuzuki.com/
https://www.marutisuzuki.com/corporate/careers
https://www.glassdoor.co.in/member/home/index.htm
https://www.business-standard.com/company/maruti-suzuki-5496/news
https://www.marutisuzuki.com/channels/arena/all/
https://www.marutisuzuki.com/corporate/careers
https://www.academia.edu/20427104/Hr_policiesof_maruti_3rd_sem
https://rspublication.com/ijrm/2019/mar19/1.pdf
https://www.mahindra.com/
https://www.mahindra.com/careers
https://www.mahindra.com/resources/investor-reports/governance/policies/Code-of-Conduct.pdf
https://economictimes.indiatimes.com/news/company/corporate-trends/mahindra-mahindra-
rejigs-hr-processes-to-enhance-team/
https://www.peoplematters.in/article/employee-relations/grooming-its-employess-11613