Organisational culture


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organisational culture....with two examples tata & ford motors by comparing them

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  • for its valuable contribution towards economic, community development and Corporate Social Responsibility. Various economic developmental schemes under Tata Motors Grihini Udyog, Industrial Cooperatives started its activities.
  • , vocational traning for women and youth, adult education,sports and cultural committees.
  • Organisational culture

    3. 3. "...We believe that organizationswill ultimately get only as far astheir organizational culturestake them."
    4. 4. Definition The basic pattern of shared assumptions, values, and beliefs considered to be the correct way ofthinking about and acting on problems and opportunities facing the organization.The Philosophy that guides an Organizations policy towards employees & customers.
    5. 5. Organisational cultureThe culture of an organization representscertain predefined policies which guide theemployees and give them a sense of directionat the workplaceThe culture decides the way employees interactat their workplace.
    6. 6. Importance of Organisational culture The Culture decides the way employees interact at their workplace. The organization culture brings all the employees on a common platform. It is the culture of the organization which extracts the best out of each team member
    7. 7. Importance(contd…)The culture of the workplace also goes a long wayin promoting healthy competition at theworkplace.The culture of an organization represents certainpredefined policies which guide the employees andgive them a sense of direction at the workplace
    8. 8. Culture and perception“Ones own culture provides the "lens" throughwhich we view the world; the "logic"... bywhich we order it; the "grammar" ... by which itmakes sense. ““In other words, culture is central to what wesee, how we make sense of what we see, andhow we express ourselves.”
    9. 9. • for example : When you shape a round finger, it means ‘zero’ in Indonesia but in Brazil that is rude.
    10. 10. OVERVIEW OF TATA AND FORD MOTORSJamsetji Nusserwanji Tata Henry Ford
    11. 11. • Jamsetji Nusserwanji tata started a private trading firm laying foundation to the tata group in 1868.• Tata motors was established in 1945 as a locomotive manufacturing unit.• It tied up with Dailmer-Benz and entered commercial vehicle segment in 1954
    12. 12. Jamsetji Nusserwanji tata started a private tradingfirm laying foundation to the tata group in 1868.Tata motors was established in 1945 as alocomotive manufacturing unit.It tied up with Dailmer-Benz and enteredcommercial vehicle segment in 1954
    13. 13. TATA MOTORS(contd..) Leadership with trust To be a competitive value provider ininternational business for group companies andall our partners. become a globally networked enterprise seizing opportunities worldwide to generate USD 25 million annual profits by 2008.
    14. 14. TATA MOTORS(contd..) Values Integrity Excellence Responsibility Unity Understanding
    15. 15. FORD MOTORSFord motors began with a young man Henry Fordin year 1903.Ford motors is a symbol of success for othermotor companies in the world.Ford owns a small stake in Mazda in Japan andAston Martin in UK and its former subsidiariesJaguar and Land rover were sold to Tata motors.
    16. 16. FORD MOTORS(contd..)• Vision• To become a leader in motor vehicles for products and related services.• MissionTo provide products for superior quality thatimprove the living standard of customers notharmful for environment.
    17. 17. Culture – (broader perspective)• Fmc employees of today enjoy a workplace with a more open communication policy than their predecessors that might affect them .• Employee opinion is valued and is heard through surveys the company sends out .
    18. 18. • CEO of ford is working hard to change work habits of employees.• Wants managers to think more about customers than their own careers.• Top priority is to encourage leadership team to admit mistakes, share more information and cooperate across divisions.
    19. 19. • Tata’s follow a very strong culture giving much importance to ethics and moral values.• Tata companies also extend social welfare activities to communities around their industrial units.• Very strong employee relationships.
    20. 20. The role of CEOs is unique in that they stand at the top of the pyramidand all the other members of the organization take cues from them.Building a strong and committed top team.Role-modeling desired mind-sets and behavior.Relentlessly pursuing goals.
    21. 21.  Tata Motors created several breakthrough products in the past which changed the market dynamics and helped in providing a new customer experience. INNOVATIONS 407 platform in 1980s: Indica in late 1990’s ACE NANO
    22. 22. • Ford’s use of Assembly lines was a revolutionary method.• Use of light weight,durable,easily machined,stronger metal like Vanadium.• Introduced left hand drive configuration.
    23. 23. Principles, values, and beliefs that define what is right and wrong behavior
    24. 24. Every employee of Tata motors shall exhibit culturally appropriatebehaviour in the countries they operate in,and deal on behalf of thecompany with professionalism, honesty and integrity, whileconforming to high moral and ethical standards.
    25. 25. • Every employee of a Tata company shall preserve the human rights of every individual and the community, and shall strive to honour commitments.• Every employee shall be responsible for the implementation of and compliance with the Code in his / herenvironment. Failure to adhere to the Code could attract severe consequences, including termination of employment.
    26. 26. MANAGING ETHICAL LAPSESETHICS COUNSELLOR• Investigators shall derive their authority and access rights from the Ethics Counsellor / Audit Committee when acting within the course and scope of their investigation.• If an investigation leads that an improper or unethical act has been commited the Ethics Counsellor shall recommend to the management to take disciplinary or corrective actions.• The Ethics Counsellor shall submit a report to the Chairman of the Audit Committee on a regular basis about all Protected Disclosures referred to him/her since the last report together with the results of investigations, if any.
    27. 27. FORD’S CODE OF BUSINESS ETHICS• Relationship of company with third parties.• Compensation from non company sources.• Gifts• Personal use of company assets.
    28. 28. • Taking for themselves personally opportunities related to company’s business.• Using the company’s property,information or positions for personal gain.Directors should maintain the confidentiality of informationentrusted to them by the Company and any other confidentialinformation about the Company that comes to them, fromwhatever source.
    29. 29.  Compliance with laws, rules and regulations; fair dealing. Encouraging the reporting of any illegal or unethical behaviour. Compliance procedures. Stringent action against unethical acts.
    30. 30. • Customer service is the provision of service to customers before and after a purchase. “your most unhappy customers are your greatest source of inspiration.”
    31. 31. TATA’S PERSPECTIVEWith the basic objective of increasing customer satisfaction andloyalty, the Customer Service is always at work to exceed thecustomer expectations. The customer service department worksas a strong link between the company and the customer.
    32. 32. PROVISIONS FOR CUSTOMERS• Qualified and trained technicians ,service advisors and customer relationships officer.• 24 hours helpline and a breakdown helpline vehicle.• Strong chain of dealers and Tata Authorised Service Stations(TASS).• Recently Tata Motors has launched “Service Edge” to up customer service.
    33. 33. FORD’S PERSPECTIVE• Customer satisfaction is their primary objective.• Keep innovating and serve the customer with best quality in least price.• Aims at making “Life easy” for their customers by providing them what they need.“BUILT FORD TOUGH”“BUILT FOR THE ROAD AHEAD”
    34. 34. CUSTOMER PROVISIONS• 24x7 roadside assistance.• Interest free payment.• Different types of maintenance plans.• Owner advantage rewards.
    35. 35. PERFORMANCE APPRAISAL• Formal system of review and evaluation of individual or team task performance.• The aim of performance appraisal is to determine the gap between the actual performance of the employee and that required or desired by the organization.
    36. 36. Tata’s system of appraisal• Annual with semiannual updates.• Appraisal is done by immediate supervisors.Goal Sheet, Target Achievement, Quality of work, Ethics used intarget achievement, Ethics used in target achievement.
    37. 37. Ford’s system of appraisal Annual system of appraisal. Employees are given ratings on the basis of there performance as A ,B,C. One year at the C level meant no bonus and two years could lead to dismissal or demotion. Forced system is followed.5%of managers should must get poor grades.
    38. 38. • Ford establishes Greenhouse Gas Reduction Plan.• Automotive Industry Action Group (AIAG)• Participation in the fight for ‘labour’ rights of workers across the world.
    39. 39. Ford motors(contd..)Ford will not tolerate any of their suppliersabusing workers, no matter the country.Ford is leading the automotive movement for lessdependence on foreign resources.Ford is the only automaker among the top 25 ofthe 50 companies demonstrating best practices incorporate social responsibility.
    40. 40. Ford also was the first in theautomotive industry todevelop, implement and report aCode of Basic Working Conditions.
    41. 41. • Organise cultural events for colleagues and their family members.• Participation in ongoing voluntary activities.• Identify potential areas for employee voluntering and organise training programmes.
    42. 42. CSR(TATA MOTORS) Tata Motors being the leading automobile industry in India bagged the Golden Peacock Award for the year 2004. The rural developmental programmes at Pune started in 1977.
    43. 43. Tata motors(contd..)Jan Parivar Kalyan Sansthan (JPKS) – It wasregistered in September 2001 for healthrelated issues.Samaj Vikar Kendra (SVK) –It worked oninfrastructure and safe drinking water, treeplantation programme, entrepreneurshipprogramme.
    44. 44. Benefits to Employees• Superannuation-• Employees covered by this plan are prospectively entitled to benefits computed on a basis that ensures that the annual cost of providing the pension benefits would not exceed 15% of salary.• The monthly pension benefits after retirement range from 0.75% to 2% of the annual basic salary for each year of service.
    45. 45. TATA MOTORS(contd..)• Bhavishya Kalyan Yojana(BKY)-• The benefits of the plan accrue to an eligible employee at the time of death or permanent disablement, while in service, either as a result of an injury or as certified by the appropriate authority.• Severance Indemnity-• The plan provides for a lump sum payment to all employees with more than one year of employment equivalent to 30 days’ salary payable for each completed year of service.
    46. 46. TATA MOTORS(contd..)• Gratuity-• A defined benefit retirement plan covering eligible employees.• The plan provides for a lump sum payment to vested employees at retirement, death while in employment.• Vesting occurs upon completion of five years of service.• Tata Motors and some of its subsidiaries account for the liability for gratuity benefits payable in the future based on an actuarial valuation.
    47. 47. Ford Motors Company• Ford A/Z Plan(For current or retired Ford employees):• All regular part-time hourly and salaried employees who are eligible to receive medical benefits.• Salaried retirees who retired under the General Retirement Plan, including salaried employees who terminate between the ages of 50-55 and who are eligible to receive certain deferred retirement benefits, are eligible while they are receiving benefits.• Employees of approved subsidiary companies and approved affiliated companies as eligibility are defined at the time of approval.
    48. 48. • Ford D Plan(For employees of Ford Dealerships)-• Two new products per calendar year may be purchased/leased.• Cross-buying/leasing is allowed. For example, an employee of a Ford dealership may obtain a Lincoln or Mercury product and vice versa.• Vehicles should be purchased/leased from the sponsoring employees dealership. However, if this is not practical, eligible relatives may purchase/lease their vehicle from any participating Ford or Lincoln Mercury Dealership.
    49. 49. • Ford X Plan(For employees of Ford partners)-• An eligible Ford employee or retiree may sponsor up to four (4) PINs per calendar year to be used towards the purchase/lease of a new vehicle for a friend or neighbor as noted below (see PIN Generation for details):• Selected individuals sponsored by a Ford Motor Company employee or retiree such as an extended family member, friend or neighbor.• Sponsors must know the individuals they are sponsoring.