This document discusses the need for Indian companies to make focused learning investments to build sustainable competitive advantages against global competitors. It outlines several challenges, including complex automotive supply chains, the need for multiple functional competencies, and global OEMs having more developed capabilities. Higher education in India is noted as needing to better serve industry needs. The document proposes establishing organization-wide competency models and mapping competencies to roles. It advocates for a learning management system and curriculum to develop these competencies over time through training courses. The goal is to move employees from "present ready" to "future ready" through continuous learning and development.
2. Background
Indian economy - abundant opportunities yet in a highly
competitive environment
Indian companies compete with global players both at home
and International markets
Global players have sound business model, mature business
processes, core competences & strong brand equity.
Scale and sustainable competitive advantage is essential for
long term survival and growth
Indian companies have a large gap in competence with
reference to global players
Focused leaning investments are essential for building
sustainable competitive advantage
3. Challenges
Automotive industry has a complex supply chain – Tier 1, 2,
3 Suppliers, Distributers, Dealers, Service points
Weakest link determine the throughput and effectiveness
Multiple functional competencies relating to
Products, Manufacturing processes, Supply chain & logistics, Network etc.
Design, testing, QC/QA, Manufacturing, Procurement, Sales, Service etc.
Global OEMs and Tier 1 suppliers design & develop their
products in their Global Development Centers
Design & installation of manufacturing plants are carried out
by experts in their head office
Large number of expats run their business in India
Indian companies need to acquire matching capabilities
4. Higher education in India
Higher education need to serve as strong driver for progress
IT and ITES sector led the sudden proliferation of
engineering education
This has happened at the cost of quality of education
Takes 2/3 years to become fully functional in the roles in
design and manufacturing
Start the career as an amateur and learn, move to next role
as amateur; this continues…..
Employees lack curiosity for continuous learning to keep
pace with rapid technological developments
Before we think about „Future ready‟, the priority is to get
them „Present ready‟ .
5. Organization wide Competencies
Established functional competencies for engineering
functions, front end functions, HR/IR functions
Leadership competency model is established
Engineering competencies Marketing competencies Leadership competencies
Sl Sl
Category Competency Category Competency
No. No. Sl No Competency
16 Brand Management
1 Product Awareness
17 Market Activation
3 Personal leadership
2 Product Engineering
Product 3 Product Verification
18 Retail Sales Process 4 Rigor in execution
4 Design Verification 19 Dealership Management
5 Engineering Materials 20 Retail Finance 5 People leadership
Sa l es
6 Manufacturing Process 21 Network Expansion
Mfg
22 Information Systems
6 Emotional Intelligence
7 Manufacturing System
8 Quality Control 23 Logistics 7 Customer centricity
QM 9 Quality Assurance 24 Institutional Sales
10 Measurements & Metrology 25 Finance 8 Business Accumen
Tools & 11 Project Management 26 Product Service
Techniques 12 Problem Solving
Servi ce
27 Customer Service
9 Managing and leading change
13 Purchase Management Customer-led Product
Supply Chain
28 10 Long term perspective
14 Procurement Management Development
Ma rketing
15 Product Cost Management 29 Brand Development
30 Brand Activation
6. Functional Competency
Product Engineering
Study and understand design inputs of parts/sub-system and prepare drawings and 3D
models as per standards
CL1 Understand and utilise design guidelines for preparing drawings
Verify the part design and drawings against requirements of standards
Prepare design input sheet for parts considering quality characteristics of the sub-system
Create multiple concepts of part design confining to layouts meeting requirements and
propose the best using trade-off matrix
CL2
Evaluate the design for relevant attributes such as structural strength, stiffness, durability
etc
Identify and incorporate critical chracteristics and tolerances
Prepare subsystem layouts meeting attractive and must be quality characteristics
Prepare design input sheet for sub-system considering quality characteritics of the
CL3
system and product
Verify design for DFX- design for assy, mfg, cost, reliability etc
Prepare product layout/architecture for new product
Forecast trends in product technologies and identify technology development
CL4
requirement
Visualise mutiple platforms and commonise sub-system/parts and technologies
7. Leadership competency model
Rigor in Execution: Implements strategies with a sense of urgency by ensuring
rigorous planning of processes and resources. Demonstrates self initiative,
anticipates and removes obstacles in execution
Senior Management Middle Management Junior Management
Communicates strategy effectively
Understands the strategy and aligns Delivers work plans and adheres to
across the organisation and sets
his goals timelines
stretch goals
Establishes rigorous work plans,
Ensures rigour in review and control Escalates problems and looks for
resources and accountabilities to
of work plans speedy resolution
realise goals
Communicates a sense of urgency
Effectively identifies and removes Adheres to established systems and
and removes obstacles to effective
bottlenecks processes
execution
Ensures speed by complexity
Utilize IT effectively for timely Displays high energy levels and a
reduction, clear direction and
execution and efficiency strong bias for action
effective use of IT.
Displays high energy levels and a
Ensures consistent achievement of strong bias for action to achieve goals
goals to relentless PDCA
10. Courses to develop competencies
Competency and Training Course Matrix
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Chassis system fundamentals
Metrology and Measurements
Cost drivers and part costing
Quality Management Basics
Product Engineering Basics
Automotive manufacturing
Automotive Fundamentals
Project Management tools
Supplier part development
QC Story and 7 QC tools
Fit & finish fundamentals
Procurement processes
Manufacturing Systems
Power train engineering
Automotive electrical &
Competency
Testing fundamentals
Training Course
Chassis engineering
Supply chain basics
Power train system
electronics system
Applied Statistics
fundamentals
fundamentals
processes
Competency Description
Basics
Basics
Understand basic working principles of automobiles and their sub
P
systems
Read drawings , understand functions and key part characteristics
CL1 P
Product Awarness
of the assigned parts
Understand the effect of part non conformance on the product and
P
customers
Understand functions and quality characteristics of given
P P P P
subsystem
Understand the relationship the quality characteristics has with
CL2 parts characteristics and process parameters P P P P
Understand the variation of part/quality characteristics and effect of
P P P P
it on product and customers
Study and understand design inputs of parts/subsystem and
P
prepare drawings and 3D models as per standards
Understand and utilise design guidelines for preparing drawings
CL1 P
Product Engineering
Verify the part design and drawings against requirements of
P
standards
Prepare design input sheet for parts considering quality
P P
characteristics of the sub-system
Create multiple conepts of part design confining to layouts meeting
P P
requirements and propose the best using trade-off matrix
CL2
Evaluate the design for attributes such as structural strength,
P P
stiffness, durability etc
Identify and incorporate critical chracteristics and tolerances
P P
14. ‘Present readiness’ to ‘Future readiness’
During year 1, employees took 50% of the courses for
current role
During year 2, employees took 100% of the courses and
qualified for the role
During year 3, employees qualified for current role, started
taking up courses for future roles
Leverage on continuing education and executive education
Selection of employees ready for the future role in future
through IJP.
Get entry level employees „Role ready‟ during first year
itself
Integrate individual/elemental skills and aligning with core
competence and organizational competence
15. Collaborative program for ‘Future readiness’
„Role readiness‟ from entry level with collaborative education.
Select the students in the first year in a polytechnic &
engineering college
Fully sponsored and residential program
Internship during every vacation
„Role readiness projects‟ during last semester and
qualification
Assigned to handpicked managers and assigned aspirational
goal, coached for superior performance
Focus on building „Aspiration‟, „Engagement‟ and „competency‟
Focus on life skills as well
This is a high investment and efforts initiative
17. Continuing education
Nomination for higher studies in Universities in UK and India
Masters program at University of Warwick, Cranfield University, Imperial
college, Loughborough University, Leeds University
Collaborative MTech in Automotive technology at IIT, Chennai
Masters program at IISc, IIT-K, NITIE
PhD program at IISc, IIT, Warwick
About 20 nominations/year
Nomination for executive education programs
Stanford, Harvard, Michigan, NUS, AOTS, JUSE, JIPM, ISB, CCL
Nomination to International conferences, Auto fairs,
Symposiums
SAE Congress, Milan Show, Tokyo Motor Show,
19. Total Employee Involvement
100% participation of employees
Suggestion Scheme – 45 Suggestions/Emp/Year
Quality Circles – 1000 projects/year by 370 Quality circles
Cross function teams – 400 projects/year
Task force – Upto five task forces/year for breakthrough
improvements
Training on 7 QC tools, QC story(Problem solving
methodology), Statistical techniques, M7 tools
Introduced certification with Green belt, Black belt
21. Need an integrated approach
Attract from
Hiring process target segment
Career planning & Need communication.
Total Rewards
Succession Transparency and
philosophy fairness
management
Recognize,
Engage, Reward, Retain Performance
Engage, Reward
Management Retain
system
22. Way forward…..
Launch total rewards philosophy formally with cascade
communication
Integrate with relevant HR processes
Realise the returns on learning investments; Sometimes
such investments improve employability
Enable employees earn their role by learning and equipping
themselves with „future ready‟ competencies
25. Potential
High potential is about aspiration to rise to, and succeed in more
senior and critical positions
Aspiration is advancement, recognition, financial rewards and
overall enjoyment one seeks to achieve in their life or career.
Ability - Innate ability and learned skills
Engagement is about how well they engage to learn the skills
and work towards their aspiration
Align the aspiration with innate ability and engage to learn the
skills
1. Innate ability
2. Learned skills
26. Competence
“Competency is an underlying characteristic of an individual that is
causally related to criterion – referenced effective and/or superior
performance in a job or situation”. Characteristics of competency:
Motives: The thing a person consistently thinks about or wants that
cause action;
Traits: Physical characteristics and consistent responses to situations
or information;
Self-Concept: A person‟s attitude values or self-image
Knowledge: information a person has in specific content areas
Skill: Ability to perform a certain physical or mental task
Innate ability
Learned skills
27. Aligning Comp & Benefits
In general, manufacturing followed compensation based on
large number of grades with time based promotions
Roles were not clearly defined and aligned with grades
sharply
Competencies were not clearly established with courses
and certification
Concept of internal job posting was not actively practiced
Employees were not clear what it takes to learn, contribute
and grow
28. Aligning Comp & Benefits
During 2004, carried out job evaluation and established
work levels
Established compensation philosophy
Annual increases were carried out based on market
benchmarking
Last year, re-evaluation of jobs carried out
Roles were mapped against work levels and grades
Salary bands are being established, outliers are being
analyzed
Total rewards philosophy is established
Communication to employees established
Planning to launch this end of this year