Monday, July 30, 2012

What Maruti teaches Management ?


Terrible incident at Manesar Maruti plant leaving one HR manager dead and 100 injured. Plant is locked down for 3 weeks now. Waiting period for Dzire is 5 months now. With no clear picture on when the plant is going to operate Maruti will lose its valuable customers. What went wrong with Maruti?

Maruti are known for reading customers minds. They know the Indian market very well than any other competitor. How they lost their way in not knowing their workers? Is it because of too much importance to profits and bottom line growth and negligence towards workers. Arresting people based on criminal acts won't solve the issues. Workers won't be driven to such utmost mayhem unless there is serious issue. This is a much deeper problem where management has to be blamed. I feel this may open new ways in management.

1. Importance to Industry Relations
With services industry growing fast for past 2 decades, IR job is over looked. There has not been good talent groomed in this area. Shop floor roles are neglected by HR people. Time has come to revamp the strategies in manufacturing sectors.

2. People Management
People management has always been an important skill for any manager. Understanding workers requirements and managing them is the priority. Managers have a serious task of coping with foreign board and Indian workers. Foreign top management are at times restrained in knowing workers. Its the responsibility of Indian managers to address workers issues at right time.

3. Relationship and Trust
Relationship with the workers is the only way to move ahead without any problems. Trust with the management has to be created with the managers. The valid demands have to be addressed in unbiased way. Suspending and kicking out people won't solve the issue.  

4. Social discontent
Profit motive alone won’t let a company prosper. It is the social life of workers that help sustain the company in long term. Workers are discontent with the top management earning a lot and it is their hard work which is increasing their salaries. Salaries at top are better off and workers wages are increased only marginally.

It is time to make some serious changes to the policies and bring in some public mode of administration for better managed systems. Changing policies and mode of recruitment for contract workers may or may not solve the issue. Only when people's interest are satisfied real problem will be solved.

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