Philippine Mineral Industry: A Re-examination May 2011
Transformation of HR in last 3 1:2 decades
1. Transformation of HR in
last 3 & ½ decades
Deepak Garnaik
Vice President – HR & CC
2. Transformation of HR – a practical
perspective in last 3&1/2 decades
• Based on my practical experience 10 real
life events.
• Expectation from HR roles & Challenges :
a 360 degree prospective.
• Brief recital of the events.
• Challenges faced.
• Expectation from HR.
• Solution/ Interventions / action by HR.
3. Examples being cited
1. 1981 -85: Contract labour problem in Company.
2. 1986-88: BODO agitation 100 - 1000 hours strike.
3. 1990-94: LTS clinching scenario / Multiskilling of
technicians.
4. 1996-98: Introduction of KRA based PMS in Refinery.
1999: Local interference in Lakwa, ASSAM.
6. 2007: Kidnapping of Indian Expatriates (first time) in
Nigeria.
7. 2009: Local staff unrest incident.
8. 2010 -14: Reime top & bottom line strategy.
9. 2014: LCV accident & Worli Naka incident
10. 2015: SMG role and board expectation prospective
4. 1981 / 1985 – Contract labour issues
The incident – Mob behavior PF issue leading to
“Gherao” and lightning work stoppage.
Demands: Release leaders from custody.
Owner expected: resolution in three hours.
Solution: Discussion with key personnel, Personal bond,
promise for PF records.
Two CL strikes in Refinery – Canteen & PSF shop floor.
Demands: take back workman removed on Disciplinary
Grounds / PF from Mgt over & above Min wages.
Mgt expected – No work stoppage at any cost.
Solution: Immediate alternative arrangement made and
law & order on stand-by. It died down on second day.
5. 1986 -88 BODO agitation
The incident – 100 to 1000 hours public
bandh – no shops open no transport on road
etc.
Demands: Separate BODO state - Employee
should not attend duty showing support.
Mgt Expectation: Production of essential
goods (ATF & Kerosene) should not stop.
Solution: Met the BODO leaders got special
pass for 20% staff to keep the essential units
on production. Minimized staff movement took
Police help to escort staff buses.
6. 1990 -94 LTS clinching scenario
The incident – Reached a no go w r t LTS as the
BPE/Govt directive was 15% max and union was
not agreeing – lead to strike notice.
Demands: Immediate signing of LTS. Many
benefits would accrue on signing only.
Mgt Expectation: Sign it within the BPE / DPE
guideline. No hurry.
Solution: Took Union into confidence and
explained how their expected level of benefits
would flow in due course and as at the cut off
date implication can be shown within as 15%.
Multiskilling was agreed by union for extra 1%.
7. 1996 -98 KRA based PMS
Scenario: Increments had no link with
performance. Appraisals were used only for
determining time period for promotion. KRA was
not a part of Performance Mgt/ Appraisals.
Mgt desired: KRA with KPIs to form part of
Appraisal process.
Challenges: Heavy resistance due to risk of
individual weaknesses getting exposed.
Intervention: Involvement of external agency IIMA
in 2 years time it was put it in place – first year it
was not so measurable though.
8. 1999 – Local interference incident - Lakwa
Contract Awarding issue.
Volatile scenario : Interference by insurgency
outfits.
Challenges: Lack of understanding culture /
communication / Ego.
Intervention: took charge and took decisions on
spot much beyond jurisdiction/ power in order to
defuse the situation.
9. 2007 – Kidnapping of Indians (Nigeria)
The Scenario: Two instances of kidnappings
Challenges: To maintain motivation levels after
the first kidnapping and to sustain operations after
second. To decide appropriate strategy.
Mgt Expectation: Keep operations running.
Intervention: Assessment of what Expats feel and
then decided strategy to send Expats and family
home for two months. Got expats released and
planned for slow but steady start up schedule.
Terms for employment changed as a strategy.
10. 2009 – Local staff unrest (Nigeria)
The Scenario: Sudden instance of unrest.
Challenges: Arising out of Group vrs local culture
Threats: Production loss, Endangering safety and
security of plant.
Intervention: Risked a strong stand “resume duty
to continue operations” as a pre-condition to start
dialogue, simultaneously interacted with the central
T Us for unionization. Adopted local culture closely
linked to social culture of Jr staff / Sr staff.
11. 2010-13 – Top & bottom line strategy
(Sub-Saharan Africa)
The Scenario: Business Growth strategy & plan.
Challenges: Too short a period to get @ 2 fold
growth. Too optimistic growth prediction by main
client. High HC and OOH cost
Intervention: set a deadline for CEO to show and
validate topline followed by change to bottom-line
based strategy and re-structuring plan. HR tasked
to partner new CEO to achieve country based
bottom-line. HC & OOH cost cut by 350K $ a month
i.e. by 60%.
12. 2014- LCV & Worli naka incident(Mumbai)
The Scenario 1 : Fatal accident by LCV
Challenges: HR asked to be the team lead in
incident investigation.
Scenario 2: Worli naka gas leak.
Challenges: HR carrying out cross functional
tasks. HR asked to standby for the CEO.
13. 2014-15 Contribution to Business model &
Ownership of bottom-line
HR as Strategic Management Group member & its
role in all strategic business issues like:
Monthly pricing review including its impacts from a 360
degree angle.
Business plan.
Business expansion strategy.
Reviewing bottom-line periodically.
HR role in view of CA 2014 making Independent
Directors accountable for issues in HR space.
14. Transformation of HR role
1983 to 1993 - services
delivery Role
• Manage Labour issues
• Manage Compliance
• Hire for skill
• Reactive Crisis
Management
2004 to 2012 -
Business Partner
• Hire for attitude
• Build capacity
• Retain talent
• Understand P&L
1994 to 2004
-Performance delivery
• Efficiency
improvement
• Multi skilling
• Drive Compliance
• External issues Mgt
2013 onwards ……..–
Business Ownership
• Own P&L jointly
• Contribute in
Business Expansion
decisions
• Cross functional
leadership