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TATA GROUP OF COMPANIES

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TATA GROUP OF COMPANIES

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Introduction :Leadership with trust:Founded by Jamsetji Tata in 1868, Tata’s early years were inspired by

the spirit of nationalism. It pioneered several industries of national importance in India: steel, power, hospitality and airlines. In more recent times, its pioneering spirit has been showcased by companies such as TCS, India’s first software company, and Tata Motors, which made India’s first indigenously developed car, the Indica, in 1998 and recently unveiled the world’s lowest-cost car, the Tata Nano.

Tata companies have always believed in returning wealth to the society they serve.

Tata International is an international marketing company Largest export houses in India Sourcing products to delivery Business lines include leather, engineering and

pharmaceutical products Major markets are Europe, Africa, America, India, South East

Asia and West Asia Won the Rajiv Gandhi Award for Environmental Protection Won TERI Corporate Environmental Award

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India's largest business group and multinational company. ◦ Tata Capital, a wholly-owned subsidiary of Tata Sons Limited, the apex

holding company of the Tata Group.◦ Tata Communications, also known as Tata VSNL, a communication

company acquired in 2002.◦ Tata Consultancy Services, one of the World's leading IT Services

companies.◦ Tata Elxsi, another Tata IT company.◦ Tata Interactive Systems (TIS), is a provider of performance support

systems and e-learning platforms.◦ Tata Motors, world's eighteenth largest automobile company, and

manufacturer of the Tata Nano◦ Tata Power, India’s largest private sector electricity generating

company.◦ Tata Steel, World's 5th largest steel company.◦ Tata Tea Limited, World's second largest tea business, owner of Tetley.◦ Tata Teleservices, India's second CDMA telecom company.◦ Tata DoCoMo, a GSM based mobile company with alliance with NTT

docomo◦ Tata Chemicals◦ Tata Sky, a Direct To Home service company in alliance with

British Sky Broadcasting.◦ Tata Sons, the holding company for many Tata companies and the

owner of the Tata brand.

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Objectives of HR model For workforce Alignment Assignment Engagement Empowerment Pride of workforce

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HR policies Talent management

Performance management Rewards and recognition policy Career progression Employee development & motivation

Employee engagement

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Talent management at Tata

At every level from top to bottom

10 % Training Courses

20 % Interaction with People Coaching, Mentoring,

Experts, Collueages

70 % Challenging Jobs

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Annual Performance Review & Development need discussions with individual employees

Manager / EmployeeApr - Jun

Talent Review within Business Unit/Function

BU Leadership TeamJun - Jul

Presentation of Talent Review by BU / Functional Leaders to MD/CEO

BU Leadership Team & CEOJul - Aug

Talent Review at Company level

Identification of HPMs and their Development and Movement Plans

CEO & HR HeadAug

Group discussions

Agree on Development & Movement plans

CEO & Head HR and GCC / Peer MD / Group HRSep – Feb

Implement Development & Movement plans•In Company•Cross Company / Group Level

CEO & HR HeadSep - Mar

Implement agreed cross company Movement plans & Group level Development programs

CEO & Head HR and Group HROct – Sep

2 3

4

5

6

7&8

Talent Management Schedule

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Performance Management Annual EE survey-DARPAN Key performance indicators(key

business levers) Revenue Profit maximization/cost optimization Cash flow Customer satisfaction Employee engagement

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IDP is a fact sheet about the individual.

Is prepared by the manager of the employee.

Is endorsed by the Function/SBU Head and finally signed off by the CEO of the company.

Work & Career Details

Performance Data

Personal Details: Age, Education

Tata Leadership Practices Data

Development PlanIDP

Tata WorkLevel

9

Individual Development Profile

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Rewards and recognition Decided at circle and corporate level by

R&R committees Spotlight (on-the-spot recognition) Star of the month Super stars for achievers Customer first reward and valuable award Long service award(after 5 and 10 years)

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Career progression policy

Based on : performance rating tenure in the role & potential for growth SPARK assessment center results

Career advancement center Job rotation policy Internal job posting

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Employee development & motivation•Geography benefit for employees posted in remote areas.•Sports and recreation activities for employees•Cultural and sports activities for children•Career counseling & corporate sustainability initiative.•Fun activities and games(indoor and outdoor)

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Training Innovative workshops Cross functional teams

Employee encouragement & development Mind beans Six sigma(propel) Promising practices E-learning portal-GYAN JYOTY & GYAN TARANG

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Interaction with senior management

Regular town halls at corporate & circle level. Initiatives such as lunch with MD, phone your MD

& MD online. Chief and local ethics officer to deal with ethical

issues. Women's welfare committee comprising senior

women employees.

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CSR Activities by employees

Tie-ups with NGOs like SOS children's village & National association for the blinds.

Partner with various schools under SAMVEDNA initiative.

Eco club-PRAKRITI Tree plantation drives Energy conservation Wealth out of waste initiatives

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Benefits Distinction of being an employer of choice PM policy-Aligning entire organization towards vision,

mission & business plans R&R policy-Institutionalizing culture of openness,

transparency & meritocracy. Career Progression-Building leadership pipeline by

“grooming talent” from within. EE-Supporting an encouraging & supportive

environment. Interaction-Creating mutual relationship between

employer & employee. Employee development-Encouraging to come up with

innovative ideas and thus employee motivation CSR-Gaining trust & ensuring & ensuring an environment

of enthusiasm & commitment.

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TATA CODE OF CONDUCTThe fountainhead of the corporate governance of the Tata Power Company is the Tata Code of Conduct. The Company is committed to abide by it, in its letter and spirit. And the Company has earned the Tata Brand name by virtue of this commitment. It draws its strength from the five Tata values:

• Integrity • Understanding • Excellence • Unity • Responsibility 

In Tata parlance they stand for –

IntegrityWe must conduct our business fairly, with honesty and transparency. Everything we do must stand the test of public scrutiny.

UnderstandingWe must be caring, showing respect, compassion and humanity for our colleagues and customers around the world, and always working for the benefit of India.

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ExcellenceWe must constantly strive to achieve the highest possible standards in our day-to-day work and in the quality of the goods and services we provide.

UnityWe must work cohesively with our colleagues across the group and with our customers and partners around the world, building strong relationships, based on tolerance, understanding and mutual cooperation.

ResponsibilityWe must continue to be responsible, sensitive to the countries, communities and environments in which we work, always ensuring that what comes from the people goes back to the people many times over.

The name of TATA says it all. It encompasses the lowest common Tata denominator – the way others see the Tata Group.

Trust AcceptabilityTransparencyAccountability 

1. NATIONAL INTEREST.A Tata company shall be committed in all its actions to benefit the economic development of the countries in which it operates. It shall not engage in any activity that would adversely affect such an objective.It shall not undertake any project or activity to the detriment of the nation's interests, or those that will have any adverse impact on the social and cultural life patterns of its citizens.

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HRM / Organizational behavior Case Study

Abstract: The Tata Group, one of the largest and most respected business conglomerates in India, had an outstanding heritage of adopting some of the best HR practices. Over the years, the Group had expanded rapidly and a common HR platform was needed across the group. A Group HR Strategy was formulated and implemented across the group, with great success. With many Group companies expanding globally, executing the HR policies across the various entities would be a challenge. It remained to be seen if the Tata Group would maintain the founding ethics and values in its quest for growth and global expansion.

The case allows for discussion on challenges faced by large conglomerates in adopting standardized HR policies. It also allows discussion on issues pertaining to employer branding and how the brand equity could be sustained in a globalised scenario.

Pedagogical Objectives: To discuss Tata's HR initiatives as a model employer To discuss how the Tata brand equity could be sustained in its quest for growth

across the globe and if the brand would suffer dilution in its pursuit for growth. Keywords : Employer Branding, Tata Group, HRM Case Study, Ratan Tata, JRD

Tata, Corporate Branding, TBEM, TCS, Tata Steel, Tata Motors, Balanced Score Card, Brockbank Model, Tata Work Levels, Performance Ethics, Quality of Work Life, Employee Retention

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Scope for Innovation : India's Tata Group has made innovation part of its DNA,

setting up a way for handling new ideas and making creative thinking a performance criterion

Tata Consultancy Services, a firm belonging to India´s Group, makes internal innovation corporate culture top priority. Several strategies have been implemented in order to build a culture of innovation and stimulate employees to think innovatively. These strategies involve e.g. creative thinking as one of nine performance categories on which employees are evaluated as well as making innovation an essential component of all trainee programs. Furthermore five hours of the 45-hour week can be used by employees for developing ideas on new concepts and product improvements. An internal social network that permits employees to post, comment and vote on ideas supports the idea generation process. 

  Celebrating the spirit of innovation in Tata Motors, Jamshedpur June 23 2010

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It is no more that an Organization has a choice to be innovative or not, it is today a requirement. In this world of fierce competition, only those who innovate will survive, rest will perish. This holds for Tata Motors as well.

What  is an innovation? Innovation in simple terms means Creativity + Change. To qualify as an innovation, a change must be visible to others, must offer a lasting impact and add value to an organization or the society. Innovation does not happen only in the closed doors of a researcher’s laboratory or comes to the minds of great scholars and inventors….it can happen anywhere and by anyone including you and me…

With these thoughts in mind, feeling the urgent need of encouraging, promoting and rewarding innovations among all in Jamshedpur, Plant Head, Jamshedpur, Mr. S B Borwankar declared the Financial Year 2009-10 as the Year of Innovation in Jamshedpur Plant on the 1st of April, 2009.

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• Key Results1. Increase in Growth and Innovationa. ‘Innovation Intensity’ (i.e. the percentage of revenue derived from products/services which are less than 3 years old) has increased for large firms andSMEs, with SMEs registering a greater increase in Innovation Intensity thanlarge firms. 42% of the large firms and 17% of the SMEs are also ‘HighlyInnovative’ firms (i.e. firms who have introduced ‘new to world’ Innovationsduring the course of business in the last five years.)b. Nearly half of the large firms and SMEs attribute more than 25% of changein the following factors to Innovation: increase in competitiveness, increase inprofitability, reduction in costs and increase in market share. For large firmsInnovation has the most significant impact on competitiveness, while for SMEs,Innovation has the most significant impact on increase in market share.c. 17% of the large firms rank Innovation as the top strategic priority and 75% rankit among the top 3 priorities. All the large firms in our sample agree (of which81% strongly agree) that Innovation has gained importance as being critical togrowth and competitiveness since the start of economic liberalization in India. Allthe large firms agree (of which nearly half strongly agree) that they cannot surviveand grow without investment in Innovation. An overwhelming 96% of large firmsin our sample see Innovation spending increasing over the next 3-5 years.

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2. Innovation Strategya. Area of business: For large firms, Innovation is most highly concentrated inoperations and sales and marketing.b. Factors influencing Innovation: More than half of the increase in marketshare, competitiveness, profitability and reduction in costs due to Innovationhas occurred in SMEs due to three types of Innovation – new products, newprocesses and new services. At the same time, the customer is the primaryexternal factor that leads more than half of the large firms to innovate.c. Breakthrough and Incremental: 37.3% of large firms have introducedbreakthrough Innovation, while 76.4% have introduced incrementalInnovation, which may be an indication that large firms in India are stillin the mindset of incremental Innovation as compared with breakthroughInnovation.d. Timeframe: The average timeframe (from idea generation to market) ofInnovation projects for half of the large firms is 1 – 3 years. Innovation projectsin manufacturing firms have longer gestation period than in services.‘Innovation Intensity’(i.e. the percentage ofrevenue derived fromproducts/ services whichare less than 3 years old)has

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Conclusion"Attracting and nurturing talent has become the single most dominant force in business." TATA recognizes human resources as a backbone for its long-term success.They aim to be the best employer, attracting and retaining the best employees as people are

their biggest differentiator.It therefore hires the best professionals brimming with ideas and develop them for future leadership positions.

They have focussed on conserving the best aspects of their unique culture and on perpetuating what attracts people to join, and remain, at TATA.