HR Interventions

Business Partners
5th Feb 2012

Glance at Indian Economy

Opportunity for Construction Equipment Industry

4th Fastest growing economy in the world Amongst Top 10 GDP contributors in the World Contributing 3% of Worlds GDP Third-largest by Purchasing Power Parity (PPP) Worlds Second largest Labour Force Infrastructure is second-largest contributor to Indias GDP Indian Economy Indicators
# Figures 2010 by IMF

Glance at CE Industry
Globally India is expected to be amongst Top 3 Strong focus on Infrastructure growth in India Potential Growth of 6-7 Times Increase Market Reach Increase in Volumes & sizes

New Talent joining the Industry By 2020

2010

$ 3.3 Billion

Globally India is placed at No. 10

CE Construction Equipment Source : Accenture Analysis

JCB India
(Challenges & Opportunities)

Continuous Increase in Manpower

Cultural Diversity
1,50,000 Machines PA Grow & Lead in the Industry Increase in Sizes & volumes of Business New Competition Average Machines / Dealers - 3000
Approx Nos.

Manage Talent
By 2020

54% 2011
(Current Market Share)

27417
(Machines)

Average Machines / Dealers - 500

JCBI Performance
30000 20000 13074 10000 0 2009 2010 2011 200

Machine Sales27417
Sales

30%

600 400

Parts Sales
Sales

26%

21081

429 340

268

0
2009 2010 2011

Attachment Sales
80 60 40 20 0
Sales

Lubes Sales
60
30%

300

19%

Sales

46

200
100 0

185

220

24

121

2009

2010

2011

2009

2010

2011

YOY Figures in

Cr

Glance at Dealer Manpower

Dealer Manpower 15000
Manpower

11000 5800

10000 5000 3000 2005

0
2010 2015 P*

Average Manpower/Dealer

Average Manpower/Machine Park

300
Average Manpower

208

200 100 0 60

109

20 15 10 5 0

Average Manpower

12

15

2005

2010

2015 P*

2005

2010

2015 P*

Approx Figures P* - Projected Nos.

People
People are DNA of every Business
Technology

People are the key People differentiator Process

Information

People are lifeline of our Business

People Our Belief

Need
The JCB Connection

Our Business functions are Interlinked

The Link-Pin between JCB & End Customer

Long Term Impact

People Care

People Management

People Contribution
Right People at Right Place Employee Skill Building Employee Motivation Talent Identification Talent Retention Customer Satisfaction Increase in Revenues

People Development

People Morale

Continuous Learning Environment

JCB Team to assist you !!!

The Ecology of Failed Systems

Work overloads Siloed functional processes

Lack of measures & defined processes

Unmanaged commitments Inconsistent procedures for identical tasks

11

Inconsistent materials Cascading rework Unintegrated best practices

P-CMM

Level V - Optimized Level IV - Predictable

Capability Management Change management

Level III - Defined

Business Line Management

Level II Managed
Work Unit Management

Level I Initial
Inconsistent management

P-CMM - Process Areas

Staffing Compensation

Work Environment

Performance Management

Training & Development

Communication & Coordination

Outcome
Sound Manpower accounting

Structured Compensation System

Ease in Recruitment & Selection Reduction in Attrition Systematic mechanism for communication

Employee Development thru T&D initiatives

Assessment of performance thru efficient systems

Roadmap
Phase VI Way Forward & Replicate Phase V Standardize Phase IV Execute

Phase III Diagnose & Design

Phase II Understand

Phase I Communicate

Phase I - Communicate

Internal Communication Identification of Dealers for Pilot Study

Completed

Action Plan on Way Forward

Internal Communication on Way Forward

Krishna Automobile Chandigarh Rajesh Motors Jaipur

Continental JCB Dehradoon

Delhi Patliputra Equipment Patna Oja Earthmovers Guwahati

Gadre Engineering Nagpur

Suyaan Nasik

RNS Motors Bangalore

TRR Chennai

Phase VI Way Forward & Replicate Phase V Standardize Phase IV Execute

Phase III Diagnose & Design

Phase II Understand

Phase I Communicate

Phase II - Understand
To visit identified Dealers for a day

To understand HR functioning
To understand Aspirations on HR front

To understand Expectations with JCB HR

Importantly to Synchronize the Thought Process !!!

Chandigarh 22Feb Delhi Jaipur 23Feb

Dehradoon 21Feb

Guwahati 16Mar Patna 15Mar

Nagpur 16Feb

Nasik 15Feb

Bangalore 13Mar

Chennai 14Mar

Phase VI Way Forward & Replicate Phase V Standardize Phase IV Execute

Phase III Diagnose & Design

Phase II Understand

Phase I Communicate

Phase III - Diagnose & Design

To Analyze & synchronize the Feedbacks, Thoughts & Ideas collected during Phase II

To design a Competitive HR Framework basis interactions with Dealer HR during Phase II

To organize One Day interactive Workshop along with Dealers HR representatives To share & understand Thought process HR representatives at Dealer Location to develop Execution Plan HR representatives at Dealer Location to share Execution Plan To review & improvise Execution Plan

Phase VI Way Forward & Replicate Phase V Standardize Phase IV Execute

Phase III Diagnose & Design

Phase II Understand

Phase I Communicate

Phase IV - Execute
HR representatives at Dealer Location to execute plan

To visit at Dealer location to review & facilitate Execution Plan

To share Dealer HR Best Practices with other Dealer HR

To review & facilitate at every step on continuous basis

Chandigarh Dehradoon Delhi

Jaipur
Guwahati Patna

Nagpur

Nasik

Bangalore

Chennai

Phase VI Way Forward & Replicate Phase V Standardize Phase IV Execute

Phase III Diagnose & Design

Phase II Understand

Phase I Communicate

Phase V - Standardize
To Audit HR processes To suggest changes for betterment To design standard HR manual

To collate experiences
To Share Best practices with other Dealers

Phase VI Way Forward & Replicate Phase V Standardize Phase IV Execute

Phase III Diagnose & Design

Phase II Understand

Phase I Communicate

Phase VI - Way Forward & Replicate

To start Level II - HR Intervention for rest of the Dealers

To reward & recognize Best Dealer on "Implementation of HR processes"

To create Model Dealers To share Best Practices with other Dealers

Our Expectations !!!

Support from the Dealer Principal
Dedicated & empowered HR Team
Focus on Development of HR Matrix Stringent Analysis of Market Dynamics for deputation of Manpower

Thank You