PEOPLE MANAGEMENT

GROUP 3
INTRODUCTION

• Subsidiary of Honda Motor Company Limited

• 120 Manufacturing Facilities in 30 Countries
• Largest Manufacturer of 2 Wheelers in the World
• Established on Oct 20th 1999 in Gurgaon
• 52 acres state of the art facility with 100,000 Scooters production capacity
• Expected to reach 600,000 Scooters by end of 2005
• 3000 Employees| 2000 Workers | 1000 Supervisor/Managers
• 700 Trainees | 300 Apprentices
A SWEET DREAM…
 WHATS GOOD AT HMSI?

DEVELOPING INDIVIDUAL’S
2 – 3x HIGHER PAY SCALE
CAPACITY

EVERYONE GETS A JOB SIMILAR UNIFORM

RESPECT FOR INDIVIDUAL

3 JOYS + JOY OF CREATING
DIFFERENCES
 WHATS GOOD AT HMSI?

TRAINING PROGRAMMES &

APPRAISAL FOR EVERYONE
FACILITATE CULTURE BUILDING

QUARTERLY NEWSLETTER
RS. 400 – RS. 1400 INCREMENT
“DREAM TEAM”

NO BONUS BUT STILL GET A

HONDA WAY – SAFETY & QUALITY BONUS – PAYMENT OF BONUS
ACT 1961
 WHATS GOOD AT HMSI?

WORKS COMMITTEE – 15
HOSPITALISATION
WORKERS & 5 MANAGEMENT
REIMBURSEMENT FOR ALL
REPS – IDA 1947

SUBSIDIZED CANTEEN SPORTS CLUB

TRANSPORTATION AT SUBSIDIZED FOUNDATION DAY – A FAMILY

RATES EVENT
 WHATS GOOD AT HMSI?
DIDN’T QUALITY FOR EMPLOYEE
STATE INSURANCE. DON’T WORRY IN FINANCIAL TROUBLE –
PARAMOUNT HEALTH CARE WE GOT YOU COVERED
FACILITY IS HERE.

WORKER MOTHER AND FATHER BIRTH | MARRIAGE | DEATH

ARE INSURED UPTO RS. 150,000 CASH ALLOWANCE
THE BITTER
REALITY…
 HOW IT ALL STARTED

1 CULTURAL CONTEXT – SMALL VALUE GIFT OF RS. 600 ON DIWALI

2 RUMORS ABOUT HERO HONDA GIVING REFRIGERATOR

3 MOVEMENT SHEET – SOUNDS FAMILIAR?

4 EXTREME CASE - FIRED

5 HIGH LEVEL OF STRESS – MULTIPLE MACHINE AT A TIME

 HOW IT ALL STARTED

6 STRICT AT LEAVE POLICY – EVEN IN SERIOUS CIRCUMSTANCES

7 THREATS OF TERMINATION

8 AUTHORITATIVE MANAGEMENT – FEAR OF MANAGEMENT

9 FAVOURITISM FROM MANAGERS – POSTING OUTSIDE PRODUCTION LINE

10 COMMUNICATION GAP CREATED BY MANAGERS

 HOW IT ALL STARTED

11 VP MANUFACTURING – STRICT DISCIPLINARIAN – UNPREDICTABLE PERSON

12 2 EVENTS – 2 MINS LATE | SIKH OFFICER CAP

13 DISSATISFIED EMPLOYEES AND THE 50 DEMANDS

14 REASONABLE OR UNREASONABLE DEMANDS?

15 MANAGEMENT COUNTER – RS. 3000 INCREMENT & NO UNION

THE POWER GAME!
 THE RISE OF UNION

1 WORKERS RAISING FUNDS FOR UNION ACTIVITY

2 INTERNAL OFFICE PRESSURE

3 LETTERS TO FAMILY – UNDESIREABLE

4 MANAGEMENT HIRE ENFORCER - THREAT

5 LOBBYING WITH GOVT. TO PREVENT FORMATION OF UNION

 THE RISE OF UNION

6 WORKERS RESPONDED WITH GO SLOW STRATEGY | NO OVERTIME

7 MANAGEMENT TAKE ON THIS | BREACH OF DISCIPLINE | 4 SUSPENDED

8 REFUSED TO TAKE SOME TRAINEE ON BOARD

9 TRAINEE | SUSPENDED WORKERS | DISCONTENT WORKERS – TIME BOMB

10 GHERAO – ONE SENIOR MANAGEMENT MANHANDLED & BEATEN UP

 THE RISE OF UNION

11 BREACH OF DISCIPLINE – SUSPENDED 50 MORE – DISMISSED PREVIOUS 4

12 MANAGEMENT TAKE ON THIS | BREACH OF DISCIPLINE | 4 SUSPENDED

13 GAME CHANGER | AITUC CHIEF GURUDAS DASGUPTA | INDIAN PARLIAMENT

14 SIX CONCILIATION MEETING & NO RESULTS | NO LEGAL OBLIGATION

15 CONFIDENTIAL FALIURE REPORT TO HARYANA GOVT. – JULY 19TH 2005

 THE RISE OF UNION
MANAGEMENT OFFER | SIGN A STATEMENT OF GOOD CONDUCT AND NO
16 UNION ACTIVITY

17 HIRED TEMPORARY WORKERS FROM VENDOR COMPANY

18 JUNE 2005| BOTH PARTIES AGREED | BATCH OF 400 | NO REINSTATEMENT

19 HSMI FEAR SIMILAR CONSEQUENCES HAPPENED TO HERO HONDA

20 WORKERS DISRUPT THE WORK DONE BY TEMPORARY WORKERS

 THE RISE OF UNION

21 BACKING OUT OF AGREEMENT | POLICE PROTECTION

22 TENSE SITUATION | WORKERS RUNAWAY | 38 LEFT | SHUTDOWN

23 PRODUCTION DROPPED TO 10% | NEWSPAPER AD FOR HIRING

24 THE POWER OF PEOPLE | RALLY TO PRESS DEMAND | STAGED?

25 PAYBACK TIME FROM THE POLICE | RETALIATION IN LEGAL WAY

 THE RISE OF UNION

26 700 INJURED | 70 CRITICAL | ARREST | JALIANWALA BAGH GEN. DYER

27 THE ROLE OF MEDIA & POLITITIONS

THE SETTLEMENT
 TERMS OF AGREEMENT

1 NO MORE DEMANDS FOR A YEAR

2 REINSTATEMENT OF FIRED AND SUSPENDED WORKERS ON CONDITION

3 FULL SALARIES WERE GIVEN DURING DISPUTE PERIOD

4 ABSORB TRAINEES WHO COMPLETED THEIR INTERNSHIP

POST SETTLEMENT
 THE ROLE OF UNION

1 CONVINCED MANAGEMNET TO NOT TERMINATE 200 CONTRACT WORKERS

UNION LEADERS HAVE FREEDOM NOT TO WORK | INDUSTRIAL RELATION

2 ISSUES

3 MAKED SURE INJURED EMPLOYEES ARE GETTING PAID

4 MONITORING WORKER SUPERVISOR RELATION

5 COMPENSATION PROVIDED BY WORKERS

 THE ROLE OF UNION

6 HIKE IN COVERAGE OF MEDICAL INSURANCE SCHEME

7 WORKERS RELATED ISSUE | MANAGEMENT TAKING UNION ONBOARD

8 SCRAP OVERTIME COMPLETELY | WHY?

9 SEPT 9 2005 | FIRST TIME 1000 SCOOTERS TARGET ACHIEVED AFTER UNION

10 FOUNDERS DAY REVIVED | HOW?

 THE ROLE OF UNION

11 RISE IN DIWALI BONUS AND INCENTIVE BONUS

12 HOW UNION CONTROL CONFLICT IN POST SETTLEMENT

13 APPRECIATION FROM MANAGEMENT

THE RATIONALE
 OUR PERSPECTIVE

LANGUAGE BARRIER CULTURAL CONTEXT

03 04
EMPLOYEE
AUTONOMY ISSUES
02 05 PERSPECTIVE
ISSUES FROM HR
PERSPECTIVE
JAPANESE
01 06 HIERARCHY
MANAGEMENT KNEW
CONSCIOUSNESS
WHAT WAS HAPPENING
 OUR PERSPECTIVE
LACK OF EXPERIENCE IN
THE POWER OF UNION
INDUSTRIAL RELATION
09 10
WHY HMSI AFRAID OF
LACK OF DIRECTION
UNION? 08 11
ISSUES FROM HR
PERSPECTIVE
DIFFERENT
07 12
MANAGEMNET VIEW COMPANY CULUTRE
FROM EMPLOYEES
 HOW IT COULD HAVE BEEN AVOIDED

  
HIRE THE RIGHT PARTICIPATIVE ACTION NOT AUTHORITARIAN MERIT BASED
PEOPLE LIKE MANAGEMENT WORDS TO DEMOCRATIC JOB AND WORK
D.P. SINGH STYLE

DEPARTMENTATION OF HR