This document discusses human resource development (HRD) initiatives at IndianOil Corporation. It summarizes key HRD initiatives including opening up performance appraisals, developing competency frameworks, introducing leadership centers and 360-degree feedback, creating job descriptions, revising promotion and career path policies, and increasing opportunities for foreign postings, training, and recruitment. The overall goal is to make HR processes more transparent, promote accountability, develop leadership capabilities, and ensure the right people are placed in the right jobs.

1. 1
Unleashing Human Potential In
Challenging Times
Biswajit Roy & Shailesh Tiwari
Saturday, 27 September 2014

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IndianOil’s Vision...

3. 3
Vision
...an inspirational picture of the future

4. 4
Vision

5. 5
The operating philosophies or principles that guide an organization's internal
conduct as well as its relationship with external stakeholders
Values

6. 6
Values

7. 7
Impact of Human Capital on Firm’s Performance
Human Capital
Investment
· Training
· Education
· Knowledge
· Skills
Human Capital
Effectiveness
Firm Performance
· Financial performance
· Non-financial performance
'A significant portion of the nation's wealth resides in its people’
Adam Smith

8. 8
Role of HR...
Business Savvy
Key Change Agent
Managing Talent
Effectively

9. 9
fairness
equity
transparency
openness
A Globally
Admired
Company
HRD
At the core of HR processes...

10. 10
HR 2.0 in a PSU
HRD Initiatives in IndianOil

11. 11
HRD Initiatives
Opening up Annual Performance Appraisal Ratings (APAR)
Competency & Leadership Development
Introduction of Leadership Centers (LCs) and 3600 feedback
Developing Job Descriptions (JDs) for all roles
Review of promotion policy
Revisiting Career Path Model (CPM) and Transfer Policy (TP)

12. 12
Policy for foreign postings /deputation/ JVs/ Subsidiaries
Executive Manpower Study / Introduction of A0 grade
Training & Development / On boarding & Mentoring
Foreign Training Policy
Employee Engagement Survey
HRD Initiatives

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Opening of Confidential Reports
 Annual Performance Appraisal Report (APAR) made open and
transparent
 final ratings made open from AY 2010-11,
 entire report made open to individual officers from 2011-12
 A move towards openness, transparency, equity and fairness
 More accountability leading to more objective evaluation

14. 14
Competency Identification Process
Organizational
Strategy and
Context
Competency
Identification
• Analyze Pivotal Roles and
Processes
• Gather Data
• Deliberate
• Evolve
Generate
Competency
Framework
Validate, Refine
and Implement

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Competency Development
• Finalization of Leadership Competencies
o Competencies identified for assessment and development of
leadership capabilities of current and future talent pool in the
organization
1. Strategic leadership,
2. Business Result leadership,
3. Talent leadership,
4. Change leadership,
5. Relationship leadership,
6. Operational leadership,
7. Content leadership, and
8. Customer leadership

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Competency Development
• Personalized Development Plans
o Feedback data from assessment
centres shared with participants
o Interventions in terms of training
programmes at organizational as well
as individual level
o Specific development plan suiting an
individual in the talent pool as against
a generic ‘one shoe fits all’ plan.
• Leadership Centres to identify competency ‘gaps’
o ‘Leadership Centres’ for the talent pool, through external experts, to
assess their competencies – existing vis-à-vis desired level.

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What Research Says ?
Validity
Coefficient
1.0
0.65
0.45
0.40
0.35
0.15
0.10
0
Graphology, Astrology, Phrenology
Random Prediction
Educational Qualification
Employee Interview / Single Scale of Personality
Behavioural Event Interview / In-Tray Exercise
Group Exercise / Composite Personality Scales
Ability Tests/ Job Sample Tests
Assessment
Centres
Perfect Prediction
Examples of Content
 Psychometric tests
 Group discussion
 Intray exercise
 Behavioural event interview
Source : “A Guide to (Corrected) Validity Coefficients from Meta Analysis”
M Smith – UMIST, 1986

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Assessing Competency through
Leadership Center
Leadership Center Characteristics:
• A standardized evaluation of behavior based on multiple inputs.
• Multiple trained observers and techniques are used.
• Judgments about behaviors are made, in major part, from specifically
developed assessment simulations.
• Evaluation of characteristics / attributes / behaviour
around eight leadership competencies (Leadership
Competency Framework)

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Leadership Competency Framework
Leadership
Strategic
leadership
Business
Result
leadership
Talent
leadership
Change
leadership
Relationship
leadership
Operational
leadership
Content
leadership
Customer
leadership

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Score on
individual
Competencies
Individual
Development
Plan
Results of Observation
Through the
Assessment Center
Competency Assessment and Rating
Leadership Competencies
 Strategic leadership,
 Business Result
leadership,
 Talent leadership,
 Change leadership,
 Relationship
leadership,
 Operational leadership,
 Content leadership,
 Customer leadership

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360 degree feedback...
• Multi-rater feedback system
oIn addition to the competency-based assessment and development, 3600
feedback mechanism has been introduced from this year for officers in the
middle management and senior management levels.
Appraisee
(Officer)
Control
ling
Officer
Senior
Peer
Subord
inate
Senior
Peer
Subord
inate
Colleag
ue
Selected
by
HR
Selected
by
Appraisee

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Shift from Single Rater to Multi-rater Appraisal
“Unleash the power of the many and loosen the stranglehold of the few...”
Employees First, Customers Second – by Vineet Nayar

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Leadership Development
• Succession Planning
o Assessment of potential & measurement of
performance to be the cornerstone of succession
management and leadership development

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Creation of Job Descriptions (JDs)
• Creation of job description for all executives,
incorporating:
 Job Details (Job Nomenclature, Division,
Function, Area, etc.)
 Job Objective (Brief purpose of the Role/Job)
 Organizational Relationship (Indicative
Reporting Relationship)
 Major Responsibilities (Under various job
areas)
 Tasks (KRAs) and Deliverables (KPIs)
associated with the job
 Personal Attributes and Competencies
required for the job
 Key Experience Indicators (KEIs) related to
the position.

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Review of Promotion Policy
• An inter-division task force of senior executives
from line and HR functions reviewed the impact of
the earlier promotion policy on the present and
future organizational strategy, structure and
systems a decade from now and recommend
changes to make it more contemporary and
performance oriented
• The new policy, implemented from 2013,
considers advancement, both as
(i) recognition of contribution and
(ii) an opportunity for actualization of potential
• It aims at fast tracking exceptionally outstanding
executives with a view to create a pipeline of
trained and competent leaders at all levels of
organizational hierarchy

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Career Path Model
Career Path is a series of positions that one must go
through in order to achieve a certain position in the
company.
The ‘path’ is based on the position competency profile that
an employee must have to be able to hold a position.
What Is
Career
Path?

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Revisiting Career Path Model (CPM) and
Transfer Policy (TP)
• Career Path Model was first introduced in IndianOil in late 1980s. The
business processes and also the aspirations of people have undergone a
sea change during this period
• A cross-functional task force of senior officers drawn from line functions
and HR constituted with the objective to align CPM and TP with the
organizational business plans and employees’ expectations
• Revised framework devised
Human Resources
Grade
A
Grade
B
Grade
E
Grade
D
Recruitment &
Induction of
Officers
• Intra Region/
Inter state
preferable
• Change of sub-
function desirable
Grade
C
• Intra or Inter
Region/
• Change of
state or sub-
function
Grade
F
• Inter Region/
inter division
(if not done
earlier);
• Cumulative.
experience of
min 2 sub-
functions in
HR
Cum. experience of
• Min 2 regions( or
division) ,
• 3 sub-functions of
HR, staff and line
role
• Preferably
functional head in
SO/RO
• Inter Region/
Inter Division/
• Experience of
2 sub-
functions in
HR
From other functions/sub-functions
To other functions (on completion of tenure)A Sample Career Path...

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Policy on foreign postings
• To extend equal opportunities to all and select the best from the pool of
eligible and willing officers
• Overseas vacancies announced on intranet; application directly by
officers; evaluation against objective criteria
 “Criteria for posting in Foreign
Offices / Subsidiaries of the
Corporation” & “Scheme for
Foreign Training / Conference /
Seminar / Workshop”
announced. Please visit
http://www.indianoilxpress.com
---> Your Company ---> HR Policies
Pipelines Intranet

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Policy for posting of officers on deputation/
JV/ outside organizations/ subsidiaries/ BD/IT
• A move towards giving equal opportunities to all
• Suitable replacement along with repatriation after stipulated 5 years
• Vacancies hosted on intranet for obtaining nomination from suitable and
willing candidates
The policy for "Nominations for
deputation/ tenure of officers to
outside organizations, JVs, and
subsidiaries: Criteria for
evaluation of applications
advertised through intranet"
announced. Please visit
http://www.indianoilxpress.com ---
> Your Company ---> HR Policies
Refineries HQ Intranet

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Executive Manpower Study
 Comprehensive organization-wide study to assess the optimum
manpower requirement in the new business scenario
 Resulted in creation of ‘manpower dashboards’ for various Divisions,
through a scientific and comprehensive assessment of optimum
resource requirement
 The study took into account the business plans, changes in the systems
and processes, technological interventions and benchmarking to arrive
at the short-term, medium-term and long-term executive manpower
requirement in the Organization

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Introduction of A0 grade
• All jobs do not require professional qualification
• For day to day operations, officers will be recruited in A0 (lower than
grade A, but higher than highest staff grade)
• Qualifications considered – M.Sc in Physics, Chemistry, Maths, M.Com
for finance discipline, wherever applicable
Advertisement for recruitment of
Post Graduate as assistant
officers through GATE-2013

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Training & Development
• IndianOil believes in growing its own timber, i.e. filling all levels of
managerial positions by developing officers recruited at entry level of
management hierarchy.
• Development of officers for occupying these positions and making them
job fit, attributable to a series of measures taken towards training &
development of the talent pool.

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Training & Development
• IndianOil - An ‘Academy Company’, having a full-fledged state of the art
“Learning and development” centre - IndianOil Institute of Petroleum
Management (IiPM) for both short-term and long-term developmental
training programmes for executives at various levels in the hierarchy.
• Divisional Training Centres for imparting
functional and developmental inputs
specific to their areas, to update
technical skills and build up the
capabilities of the operating personnel
towards ensuring safe, efficient and
environmental friendly operations.

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On-boarding & Mentoring
• Structured on-boarding process developed for the new inductees.
• Training module for entry level officers consists of five stages - Common
Corporate Induction Module (CCIM), Divisional Orientation Programme, Plant
Familiarization, Functional Training Inputs and On-the-job training.
• In addition to structured training
mechanism, interaction with top
management and assignment of mentor on
the first day of joining an assignment forms
part of the on-boarding process.
• Mentoring process institutionalised,
ensuring regular meetings of new recruits
with their mentors, structured feedback
system and regular workshops/ skill-
updation programmes for mentors.

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Formulation of foreign training policy
• New policy formulated to align individual development and business
requirement; policy hosted on intranet for openness and transparency
• Premium training programmes finalized for executives - General
Management/ High Potential programme of Harvard Business School, Global
CEO programme at Wharton Business School for different levels of
executives, Basic Management programme at Asian Institute of Management
(AIM), Manila, etc.
• MDPs planned through premiere management institutes in India
• Feedback mechanism to review the programmes periodically

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Employee Engagement
 To ascertain the engagement level of employees on various drivers of
engagement and draw action plan for meeting employees’ expectations
Drivers of
Engagement
Employee
Engagement
Employee
Behaviour
Organizational
Performance

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Engagement Drivers
Work-life balance-Whether the organization
is helping to maintain work-life balance
Leadership-Leaders are objective, impartial
&systematic in their dealings besides empowering
subordinates & providing timely feedback
Career opportunity-Opportunities for
individual growth
Learning & development- Adequate facilities for
training & overall development
Communication-Open & transparent
communication channels - horizontal as well
as vertical
Learning organization-Organization pursues goal
of continuous improvement of its products,
processes & people.
Co-workers-Adequate mutual trust &
understanding among fellow employees
Pay-Perceived attractiveness of pay & allowances.
Not the absolute quantum, but in relative value.
Decision making-Empowerment & support
down the line to take decisions
Recognition-Practice of recognition & appreciation
of employees who come up with creative ideas
HR alignment-HR function is aligned with
corporate plans & business strategy of
IndianOil
Stakeholders-The extent to which organization is
discharging its responsibilities to its stakeholders
Job content-Employees find job content
intrinsically satisfying.
Benefits-Monetary or non-monetary benefits over
& above pay.

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Leader’s Vision
Expectations of Chairman, IndianOil
 “HR group to come out with a fresh
thinking on important personnel matters
such as identification and positioning of
dynamic executives in key positions (Key
Executives); Succession Planning;
Promotion Planning & Policy including fast
tracking exceptionally outstanding
executives and skill/ talent nurturing”.
 Chairman also desired that the whole exercise should be aimed at
“rejuvenating the organization through dynamic hierarchy of executives”

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Road ahead...
Vision for HRD
 Moving towards competency based HRM
 Provide a clear foundation for desired
performance and development in an open
and transparent manner.
 Developing individualized development
programme (IDP) by designing programmes
at individual and organizational level
 Placement of officers by matching ‘individual’
and ‘positional’ competencies
 Long term Organizational Performance and
Growth
 ‘Transparency’ and ‘Openness’ to be at the
core of all future HR interventions

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HR Framework
HR Strategy, Organizational Change,
Employee Morale and Motivation, Training, Processes & Systems
Competency-Based HR Policies & Processes
The Energy of India - A Globally Admired Company
Vision Values
Long term and Short term Strategy, Performance Indicators, Tasks & Benchmarks
IndianOil
Driving Performance Culture
Deliver HR Operational Efficiency
Aid in achieving organization strategies
Competency based
Selection Process
Competency Based
Performance
Management
Competency Based
Compensation
Competency Based
Training
Competency
Career
Management

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Anything on which the rays of the sun fall directly...
cannot stay hidden or unnoticed for long
The Sunshine Principle
Elucidated by Prof. Samir K Barua, IIMA
India Today, November 12, 2012