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HUMAN RESOURCE MANAGEMENT

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On-Site Medical Clinics: Perks or Teaching Note Available • To understand how Google has been
Productivity Boosters? Struc.Assig. Available successful in making its employees brand
ambassadors.
This case study helps in analysing how Keywords
companies can derive benefits from a Industry Internet search and Navigation
On-Site Medical Clinics, On-Site clinics, Reference No. HRM0040
mandatory cost to enhance savings. The Company Doctors, Health Insurance,
case also helps in understanding the Year of Pub. 2009
Employee Health, Medical Costs in the Teaching Note Available
importance of On-Site clinics in the era of US, Outsourcing Healthcare Management
exorbitant medical costs, ever escalating Struc.Assig. Available
healthcare-related expenses of the Keywords
employees and companies and enables a
discussion on whether this model is Employees as Brands: The Case Google, Brands, Employees, HRM, Culture,
sustainable. Or will it meet the fate of its of Google Motivation, Compensation, Employee
predecessor – the Company Doctor, Retention, Talent Management, Best
abandoned during 1960s. This case is written primarily to raise an practices, work culture, Organisational
interesting arguement over a simple, yet, culture, Innovation
For many observers, 'On-Site' medical thought-provoking concept – how can
clinics are the refined version of Company human resources be leveraged as a source
Doctor – a practice that has long been out of competitive advantage? Illustrated
fashioned by high maintenance costs. through the example of Google, this case Microsoft: Reshaping HR
However, for the HR executives, 'On-Site' raises many intriguing issues. In a span of a Strategies
medical clinics are a novel concept that decade, Google has emerged as a
Founded in the year 1975, Microsoft is the
improves the morale of the employees and technological powerhouse with two
worldwide leader in software, services and
for top managers, this is a cost item which extraordinary innovations, ‘search’ and
solutions. Employees at Microsoft are
has the potential to boost revenues. ‘adwords’, to its credit. The company
recognised as the intellectual fuel and are
However, in essence, it is a basic healthcare attributes this enviable rise to glory to its
provided with various benefit plans and
facility provided by the companies to most valued assets – the Google employees.
resources, which are designed to retain them.
employees and their dependents in the Since its inception, the company has
Lisa Brummel, who joined as the chief of
factory premises. Companies through constantly hired only the best talent in
human resources at Microsoft, in the year
setting up On-Site medical clinics want to the industry, preferring creativity to work
2005, started reshaping the company’s HR
control the soaring medical costs, improve experience. Striving to attract and retain
strategies. She began to innovate the HR
the productivity of the employees besides bright and inspiring employees, Google
system and tailored it to meet the needs of
enhancing the quality of treatment for the focused on motivating its employees by
individual employees. The case helps to
employees. The On-Site medical clinics creating a challenging yet fun-filled work
analyse the importance of innovation in
model provides better returns for the environment coupled with a wide array of
HR practices of an organisation. The case
companies on employee health-related perks ranging from free food and a gym to
also offers a backdrop to debate whether
investments compared to any other employee stock options. Additionally to
the reshaped HR strategies of Microsoft
existing model. Some healthcare experts foster innovativeness, Google has adopted
help to satisfy, retain and motivate the
advice that On-Site medical clinics should the ‘70/20/10’ model, to encourage
employees at Microsoft.
not be confined only for controlling the Googlers to spend 20% of their work time
medical costs and improving the on a project of their choice. These efforts
productivity of the employees but also paid off and Google emerged as the most Pedagogical Objectives
focus on improving personal health and sought after place to work for two • To analyse the significance of employees
creating community awareness on disease consecutive years (2007 and 2008). in a knowledge-based industry
prevention and management. This model, However, can a company that has focused
hailed by one and all, however, has its on small teams and individual interaction • To analyse how companies attract the
Achilles Heel – safety and security of with all employees cope up with the same best-knowledge workers and retain
employees' health records from the when its meteoric climb to success has employees in a competitive
managers. The possibility of managers captured the interest of many competitors? environment
using personal medical records of The appreciation of Google’s
• To analyse the HR practices at Microsoft
employees for undue benefits can neither achievements has been accompanied by
be ruled out nor can be overlooked. increasing apprehensions about the long- • To analyse the reshaped HR practices
term sustainability of Google’s informal implemented by Lisa Brummel
Pedagogical Objectives and fun-filled culture. Whether Google’s
success is a result of its much hyped work • To analyse whether the new HR Strategy
• To analyse the significance of On-Site culture or vice versa, continues to be an helps to satisfy, motivate and retain
medical clinics to the companies in the unresolved enigma. employees at Microsoft.
times when medical costs are ever
Industry Software Services
increasing in the US Pedagogical Objectives Reference No. HRM0039C
• To analyse how the On-Site medical • To analyse the role and essence of HR
Year of Pub. 2008
clinics reduce the medical costs and Teaching Note Available
management across different industries
improve the productivity of employees Struc.Assig. Available
and their contribution in building
• To debate whether On-Site medical successful organisations Keywords
clinics model will be a successful • To analyse factors contributing to Microsoft; HR Strategies; Reshaping HR
Healthcare model or it will be withdrawn Google’s meteoric rise in a short span of Stratgies; Google; Lisa Brummel;
like Company Doctor. time Knowledge-based industry; Comparitive
Industry Health Care Analysis; Steve Ballmer; Mini-Microsoft
• To examine Google’s HR practices and
Reference No. HRM0041 Blog; mymicrosoft 1.0; HRM Case Studies;
debate on the replicability and
Year of Pub. 2009 Next Generation Work Place
sustainability of these practices

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Innovative HR Practices at innovative breakthroughs in the experiencing closures affecting thousands

HUMAN RESOURCE MANAGEMENT


Southwest: Can they be technology front, but is also known for its of employees, KDHPCL with 13,000
Sustained? unique culture and innovative Human employees could not only recover within
Resource (HR) policies. In a survey a year the loss of $ 24 million run up by
With 35 consecutive years of profitability, conducted by BusinessWeek magazine, Tata Tea, but could also register a post tax
the Dallas-based Southwest Airlines had Google was the most sought after company surplus of $ 50,000 as on March 31st 2006.
been the most successful low-fare, high by college students, MBAs, women, However, when Tata Tea went onto
frequency and point-to-point carrier in the engineers, and diverse individuals. Google implement a similar model in the North
US. Southwest is known not only for its ranked 1st on the 10th annual ‘100 Best India Plantation Operations, it met with
innovation in operations but also for its Companies to Work For’ list of Fortune, a considerable resistance. The case discusses
HR practices which were nurtured by its well-known international business about the crisis that was facing the tea
long-standing CEO, Herbert D. Kelleher. magazine. HR practices at Google is named industry in India, the role played by Tatas
He developed a culture aimed at fun and ‘People Operations’, which is designed to in the formation of the KDHPCL and the
employee satisfaction. He also devised underline the fact that it is not a mere challenges faced by the employees of South
numerous employee-oriented administrative function, but ensures to build Indian Plantations Operations in
organisational practices, training and a strong employee-employer relationship. accomplishing this unique business model.
motivational programs. His fun loving way Google’s HR practices clearly reveal the
of treating employees and charismatic impressive results of the company’s Pedagogical Objectives:
leadership qualities made him a supreme approach, which help in increasing
hero among them even after he stepped employee productivity. The case facilitates • To understand the crisis facing the Indian
down from the CEO post in 2001 and discussion on whether the ‘Best Place to tea industry and to debate on measures
became its chairman. But in May 2008, Work For’ culture at Google is to really required to regain its lost leadership
Kelleher announced that he will step down attract and motivate the employees or if position in world markets
from the post of chairman. Following the it is with a business motive. • To analyse the case and find out the
announcement, the entire airline industry reasons behind the success of KDHPCL
is skeptical about the sustainability of Pedagogical Objectives
Kelleher ’s innovative HR practices at • To identify the causes behind a similar
Southwest. The case discusses how a leader • To analyse how employees help a model facing resistance while being
influences the HR practices of a firm with company in differentiating itself from implemented in the North
his own leadership style. It also allows for its competitors in knowledge-based
industries • To debate and identify whether the same
discussion on whether it is the right move
model can go forth in the North or an
for a company to follow HR practices • To analyse how companies attract the alternative scheme needs to be developed
which are highly influenced by a leader. best-knowledge workers and retain there.
employees in a competitive
Pedagogical Objectives environment Industry Beverage
Reference No. HRM0036B
• To trace out the distinguished HR • To analyse the innovative HR practices Year of Pub. 2008
practices of Southwest Airlines and the 'Best Place to Work For' culture Teaching Note Available
• To discuss Herb Kelleher ’s role in at Google Struc.Assig. Available
Southwest’s HR practices • To analyse the future implications of Keywords
• To analyse the positive impact of Google’s HR practices in the long run.
Employee buyout; plantation agriculture;
Southwest’s HR practices on its Industry IT Industry Tata Tea; Tea Industry; Employee
operational and financial performance Reference No. HRM0037C motivation; private incentive; HRM Case
Year of Pub. 2008 Study; agribusiness model
• To evaluate a leader’s role in influencing
Teaching Note Available
HR practices of a company.
Struc.Assig. Available
Industry Airline Industry
Reference No. HRM0038C
Keywords Schultz’s Return to Starbucks: To
Year of Pub. 2008 Google; HR Practices; Innovative Work
Fend off Rivals?
Teaching Note Available Culture; Benefit Packages; Retention; In January 2008, eight years after quitting
Struc.Assig. Available Recruiting Machine; Competition for as the CEO of Starbucks, Howard Schultz
Keywords talent; Knowledge-based industries; HRM again took over Jim Donald as the CEO of
Case Studies; Workplace Design; Employee Starbucks. It was a challenge for Schultz to
Southwest Airlines; Herbert D. Kelleher; Benefits turnaround an ailing company which he
Charismatic Leader; US airline industry; had earlier run as a profitable coffee retail
Southwest’s Business Model; Best HR giant. The main focus of Schultz was to
practices; HRM Case Studies; Southwest
Tata Tea and the Employee Buy improve Starbucks’ sales in the US by
sprit; Motivational Programs; Innovative;
Fun work Culture; Kelleher; Gary Kelly
Out Model providing higher customers satisfaction,
slowing down the pace of opening new
(Kelly); Coolen Barrett (Barrett); HR The case discusses about the employee buy outlets, streamlining management and
Dilemma out business model adopted by Tatas on accelerating expansion. It was felt though
their exit from plantation business in their that reassuming the role of CEO may not
southern plantations operations in Munnar solve the underlying problems at Starbucks.
Google's HR Practices: A district of Kerala in India. Tata Tea had
Strategic Edge? sold off 17 tea estates in the south to the Pedagogical Objectives:
company formed by its employees named
Google, based in Mountain View, California, Kanan Devan Hills Plantation Company • To understand the role of leadership in
is the world’s most popular search engine. Pvt. Ltd. (KDHPCL). In sharp contrast to the success of a company
The company was not just known for its the situation in the tea industry

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• To understand the challenges in replacing Keywords against a cost cutting strategy to shore up
a successful CEO profits. Instead, he focuses on human
Trade Unionism; Global Trade Unions; resource (HR) management to turn the
• To understand the role of a CEO in the Trade Unions and Globalisation; Labour ailing company around. Eckert
performance of a company. laws; Amicus; Transport and General commissions a global internal survey to
Workers Union ( T&G); United Steel understand what Mattel has been doing right
Industry Food and Beverage industry
Workers; Trade Union Movement; HRM and what it has been doing wrong from the
Reference No. HRM0035B
Case Study; Trade Unions in Developing perspective of workers. He tries to unify
Year of Pub. 2008
Economy; Trade Unions in Developed the workforce by creating tangible
Teaching Note Available
Economy; Evolution of Trade Unions development programmes to generate a
Struc.Assig. Available
more skilled and competitive workforce
Keywords and establish metrics to understand how
Howard Schultz; Jim Donald; openeing new Costco's Employee Loyalty the workforce is performing. He also sets
outlets; competition; McDonalds; Strategies up a systematic succession strategy to retain
Leadership; succession planning; Coffee; Mattel’s homegrown talent.
Costco Wholesale Corporation (Costco),
instores experience; HRM Case Study;
the seventh largest global retailer (as of Pedagogical Objectives:
commoditization of brands; sliding sales;
2007), stands out in the crowd as an
iconic brand; Michael Dell; Romance and • The case discusses Mattel’s human
exceptional retailer, which adopts
theatre resource (HR) strategy and debates what
distinctive employee welfare strategies.
The company develops programs and Mattel has been doing right and what it
employee benefits that motivate its has been doing wrong from the
Formation of Global Trade employees and strives to create an perspective of workers
Unions: Prospects and environment that fosters employee
• It outlines Mattel’s new HR development
Challenges loyalty. While offering excellent
programme which aims at generating a
employees benefits is not viewed very
Globalisation has become a cliché of a more skilled and competitive workforce
favorably by the investment community,
modern economy. The flexibility created and establishes metrics to understand
Costco's CEO, Jim Sinegal, firmly believes
by open trade between countries has a direct how the workforce is performing
that keeping employees satisfied and loyal
impact on the labour force with changing will result in profitability for the • The case also outlines the company’s
labour market practices. The moment has organisation in the long-run. This is in stark succession strategy to retain Mattel’s
arrived, when, the trade union movement contrast to the HR policies followed by homegrown talent.
has to spearhead towards a global front. Wal-Mart, the world's largest retailer and
The global trade union movement analysts doubt if Costco's HR policies will Industry Toys & Games
showcases an intercontinental presence actually pay-off. Reference No. HRM0032P
with a single voice. However, the history Year of Pub. 2007
of international trade unionism had been Teaching Note Not Available
Pedagogical Objectives:
marked with adversities such as division Struc.Assig. Not Available
and closure. On April 8th 2007, a stepping • To understand the various employee
Keywords
stone for the 21st century global union strategies followed by Costco
was laid, when Amicus of the UK and Mattel; Workforce strategy; Toys and
• To discuss whether in the prevailing
Transport and General Workers' Union Games; Barbie; Hot wheels; Fisher-price;
competitive retailing scenario, a
(T&G) of the UK and Ireland signed an Robert Eckert; Supply chain; HRM Case
successful retailer has to focus on
agreement with United Steelworkers Study; Human resources management;
creating stakeholder value or
(USW) operating in the US, Canada and Performane management system; Talent
shareholder value.
the Caribbean to form a transatlantic management system; Leadership; Mattel's
union. This proposed union faces a Industry Retail turnaround; Toy commerce; Inventory
Herculean task of organising international Reference No. HRM0033C management
solidarity among the labour force. Whether Year of Pub. 2008
the transatlantic trade union will rise to Teaching Note Available
the occasion or not is to be seen. Struc.Assig. Available
Labour Unrest at Toyota: The
Keywords Decision Dilemma
Pedagogical Objectives
Human Resource Management; HRM Case Toyota Motor Corporation (TMC), the
• To understand the trade union
Study; Employee Loyalty; Employee world’s second largest automobile
movement across the globe
Benefit Strategies; HR Model; Firms of manufacturer, had entered into the Indian
• To analyse the role of trade unions in a Endearment(FoE); Cult Stock market in 1997 through a joint venture
rapidly globalising world with Kirloskar Group. The new entity was
called Kirloskar Motor Private Limited
• To analyse the prospects and challenges (TKM). TKM established its manufacturing
in the formation of a truly global trade Mattel’s Workforce Strategy
facility at Bidadi near Bangalore in the
union. Mattel, the world’s largest toy company Indian state of Karnataka. The case deals
Industry Not Applicable designs, manufactures, markets, and with the labour unrest in the Bidadi plant.
Reference No. HRM0034C distributes a wide variety of toys and games The workers of the plant went on strike,
Year of Pub. 2008 in 150 countries. CEO Jill Barad’s (Barad) which was followed by a lockout by the
Teaching Note Available growth-by-acquisition strategy has misfired company. The conciliation process failed
Struc.Assig. Available and the company has posted hefty losses. to resolve the dispute. Hence, the
Robert Eckert (Eckert), who replaces government, in order to maintain its
Barad as the CEO in May 2000, has decided investor-friendly image, prohibited the

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strike. On receiving the news, the company flow backs. GM management declared its packages to all of its 75,000 unionized blue-

HUMAN RESOURCE MANAGEMENT


lifted the lockout, but placed the condition plan expecting to reduce 30,000 blue-collar collar workers in the US. This case deals
that workers resuming duty will have to jobs by Jan.1, 2007 which was about two with the details of employee separation
sign a good conduct declaration. The years ahead of schedule. On Monday, 26th plan of Ford Motors vis-à-vis GM. It also
declaration stated that the workers would, June, 2006 GM’s management announced unfolds how this initiative can be
henceforth, maintain discipline in the plant that 35,000 workers had already opted to strategically beneficial in Ford’s turnaround
and ensure full production. The union leave the company voluntarily, surpassing plan and also enlightens HR aspects of this
agreed to call off the strike, but declined to initial targets and allowing the automaker Early Separation Plan.
sign the declaration. The company, to increase its targeted savings to US $8
however, strictly mentioned that if the billion annually by the end of 2006. The Pedagogical Objectives:
workers did not sign the declaration, they overwhelming response of the employees
would not be allowed to enter the plant. for the accelerated separation plan • To discuss the automobile industry
According to the union representatives, if surprised many people, including GM’s • To analyse the restructuring strategy of
both the parties remained rigid on their management Ford and GM
stands, it would again lead to lockout. TKM
management was in a dilemma over Pedagogical Objectives • To discuss the different phases of Ford’s
handling the situation. The case discusses employee separation plan
in detail, the dispute between the TKM • To analyse the problems faced by the
management and the workers’ union and world’s largest automobile maker • To debate on Ford’s turnaround strategy
through job cut of its employees.
the developments with respect to it. It will • To understand the efforts made by GM
help the students to discuss on the possible to turnaround itself Industry Automobile
ways of resolving the dispute by the Reference No. HRM0029K
management. • To get an overview of the global Year of Pub. 2007
automobile industry Teaching Note Not Available
Pedagogical Objectives • To debate whether GM’s efforts would Struc.Assig. Not Available

• To discuss about the issues of labour unrest pay off. Keywords


at Toyota’s Bidadi plant Industry Automobile Ford; General Motors (GM); HRM Case
• To discuss about the government’s Reference No. HRM0030K Study; Corporate downsizing; Manpower
intervention to resolve the dispute Year of Pub. 2007 rationalisation; Early separation; White-
Teaching Note Not Available collar; Blue-collar; Turnaround; North
• To discuss on the initiatives taken by Struc.Assig. Not Available America; Redundancy; Flagging business;
Toyota Motor UAW; Alan Mulally; Job cut
Keywords
• To debate on Toyota’s decision dilemma.
General Motors (GM); Organisational
Industry Automobile restructuring; Manpower
Reference No. HRM0031K McDonald’s: Revamping Its Poor
rationalisation;HRM Case Study; Early
Year of Pub. 2006 separation; Delphi flow backs; Voluntary
Employer Image
Teaching Note Not Available retirement; Accelerated separation; McDonald’s is a leading fast-food giant in
Struc.Assig. Not Available Detroit; Lay-off; Other post employment the world. Since the 1980s, the company
Keywords benefits fund (OPEB); Pension and benefit has been in the eye of the storm as a poor
fund; Automobile industry; The employer and for exploiting workers. The
Toyota Motor Corporation; Kirloskar International Union, United Automobile, company faced several protests, boycotts,
Group; Toyota Kirloskar Motor; Strike; Aerospace and Agricultural Implement pickets, strikes, lawsuits and campaigns.
Lockout; Conciliation process; Workers of America (UAW); International In June 2003, a popular publication,
Misconduct; Disciplinary action; Union of Electronic, Electrical, Salaried, Merriam-Webster’s Collegiate Dictionary
Suspension; HRM Case Study; Dismissal of Machine and Communication workers of included a word, ‘McJob’ and defined it as a
labour; Labour court; Trade Union; America (IUE-CWA); Blue-collar ‘low-paying, unskilled, dead-end job’. It was
Industrial dispute; Industrial peace and also mentioned that such jobs were pre-
harmony dominantly found in the fast-food industry.
Corporate Downsizing: The Ford Being the world’s largest fast-food
and GM Approaches company, McDonald’s initiated a campaign
GM's Employee Separation Plan: to redefine ‘McJob’ in 2005. The campaign
Overwhelming Response from Ford, the third largest US based automobile focused on dispelling the misconception
company (after GM and Toyota) planned among people about McDonald’s image as
Employees
to retrench its manpower in US in 2006. a bad employer. A poster campaign in June
General Motors Corporation (NYSE:GM), This announcement came after couple of 2006 highlighted the company’s
the world’s largest automaker was founded months of GM’s manpower investment in people status, flexible
in 1908 in Flint, Michigan of US. In 2006 rationalization. Where GM mainly working hours for parents, competitive
GM was in a horrible tangle as the company concentrated on cutting the blue collar jobs, pay, promotion options and health
lost $10.6 billion in the previous year Ford planned to cut 14,000 white collar benefits. Despite all these efforts, critics
(2005). To counter this GM had initially jobs in North America as it tried to turn continued to call a ‘McJob’ an un-
planned for organizational restructuring. around its flagging business. It had also stimulating, low-paid job with few
As a part of the organizational planned to close 16 factories by 2007, opportunities to grow. It was also pointed
restructuring the company planned 30,000 instead of shutting 12 by 2012 as previously out that the company had a high staff
job cuts and close down of 12 plants by announced. Ford expected these measures turnover rate. It remained to be seen if the
2007. The plan of manpower reduction would help it to reduce annual costs by fast-food giant’s efforts to revamp its
comprised with the hourly workforce about $5bn (£2.65bn) by the end of 2007. image as a good employer would pay off.
reduction of 6,500 hours in 2005 and Earlier in 2006 Ford announced it would
estimated replacements, including Delphi offer redundancy and early retirement

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Pedagogical Objectives Pedagogical Objectives Creative Employee Involvement, in the
face of stiff Resistance to Change offered
• To understand the HR issues in the fast- • Managing human resource in an by large traditional organisations
food industry organiastion
• To learn about the strategies for the
• To study the problems faced by • Understanding the challenges of training survival and renewal of organisations
employees at McDonald’s human resources.
• To develop an understanding about
• To analyse the efforts of McDonald’s in Industry IT
different kinds of stress experienced in
changing its image as a poor employer Reference No. HRM0027A
organisational roles
Year of Pub. 2007
• To understand whether the initiatives Teaching Note Not Available • To illustrate how ISO 9000
taken by McDonald’s would help change Struc.Assig. Not Available Implementation leads to System
its image as a poor employer. Improvement
Keywords
Industry Fast-Food Retailing
• To understand how ISO 9000
Reference No. HRM0028B HRM Case Study; Tata Consultancy Implementation works as a Stress
Year of Pub. 2007 Services; TCS; IT Industry; India; human Leveler in the organisation
Teaching Note Not Available resources; Training; Recruitment; Attrition;
Struc.Assig. Not Available Learning and Development; Technopark; • To demonstrate how a Contingency
diversified talent pool; initial learning Variable alters the relationship between
Keywords program; leadership development program the given independent and dependent
Fast-Food; Exploitation; Workers; Flexible variables
working hours; low-paid jobs; McDonald’s; • To understand how ISO 9000
HRM Case Study; McJob; Image; Revamp; ISO 9000 Implementation: Can Implementation emerges as a Structural
Protests; Burger King; Wendy’s; Ray Kroc; System Improvement Lower role Intervention for Organisational
McExploitation
Stress? Development.

Based on the professional experience and Industry Indian Public Sector Manufac.
Reference No. HRM0026B
Tata Consultancy Services: true incidents, the case relates to a public
sector manufacturing industry that Year of Pub. 2006
Building talent pool Teaching Note Not Available
flourished in the protected Indian market.
In 2007, Tata Consultancy Services (TCS) After liberalisation of the economy, Struc.Assig. Not Available
one among the leading global information survival of the company came under threat Keywords
technology consulting, services and business due to fierce global competition. The
process outsourcing organisations, had over company implemented ISO 9000, the Structural Theory; OB; Contingency
62,000 employees worldwide and had international standard for quality Theory; Resistance to Change; Managing
aggressive plans to raise its head count management system, to streamline the Change; HRM Case Study; Role Stress; OD;
further. systems, processes and procedures for OD Process; Work Redesign; System
improving the quality of products and Improvement; Structural Intervention;
TCS gave utmost importance to its human services. Successful implementation of ISO Employee Involvement; Operations;
resource functions and considered 9000 resulted in system improvement. TQM; ISO 9000; Strategic Management;
recruitment as an ongoing process. TCS Since systematic working reduces Impact of Globalisation; Public Sector
employed directly from campus as well as difficulties encountered in role Downfall; Public Sector Revival; Strategy
had off-campus recruitments. The performance, it was expected that ISO for Survival and Turnaround
company has been investing more than 6 9000 implementation would result in
per cent of its annual revenues in training, lowering the stress experienced in
learning and development. In 1997, it set organisational roles. Role stress was
up a state-of-the-art training centre, Talent Management: The GE
measured, before and after ISO 9000
‘Technopark’ at Thiruvananthapuram implementation, followed by statistical Way
which offered training to new recruits and analysis of the pre and post ISO 9000
TCS staffers at various levels. As many companies were expanding their
samples. Contrary to the expectation, the operations on a global scale, human talent
‘Technopark’ provided the employees with relationship between system improvement
three kinds of training programmes- assumed prime importance under such
and role stress had manifested itself in three expansion. An increasing number of
technology, attitudes and management. different ways, presenting a dilemma. The
TCS had a Manpower Allocation Task companies had started focusing on
case illustrates how the change was nurturing and retaining its talents. General
Committee (MATC) which determined the successfully managed to arrest the
career path for employees. Electric (GE) was a leading global
downtrend for the company. conglomerate with varied businesses. The
The attrition rate at TCS in 2006 was company had more than 315,000
10.6% which was the lowest in the Indian Pedagogical Objectives employees and its operations were spread
software and IT industry. But as TCS over 100 countries. In 2006, Fortune
• To understand about the rise and fall of
continued to expand globally, it faced the magazine placed GE on the top of the list
public sector; how globalisation
challenge of grooming and retaining a of the ‘500 most admired companies’ and
challenged its survival
diversified talent pool. Also with rising Financial Times rated it as the ‘most
manpower requirement, TCS was • To understand how the right kind of respected company’. Such recognition was
increasingly hiring non-technical science leadership by a functional head in the due to GE’s innovative talent management
graduates, which posed a challenge for it organisation can enable the process of practices. The case discusses the changing
to groom and bring them on a common organisational renewal paradigm of GE’s human resource
platform philosophy and its present day innovative
• To demonstrate how change can be talent management practices. It states how
successfully implemented through the systematic process of recruitment and
selection had helped GE in picking the right

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person for the right job. Its training and Keywords and sales at SAS had seen continuous

HUMAN RESOURCE MANAGEMENT


development processes were so formulated growth for almost three decades. The
to impart the right measure of technical Employer Branding; Tata Group; Ratan reason for all these was the company’s focus
and managerial skills to its employees. Its Tata; JRD Tata; Corporate Branding; on managing the creativity in employees
compensation packages were developed to TBEM; TCS; Tata Steel; Tata Motors; and reducing the hassles that employees
provide incentives for superior Balanced Score Card; Brockbank Model; faced while at work. SAS encouraged
performances and align the employees’ and Tata Work Levels; Performance Ethics; creativity, emphasized on an egalitarian
the share holders’ interests. The Quality of Work Life; Emploee Retention. atmosphere and also had day care and
company’s policies were also directed health care centers, recreation facilities and
towards providing support to the flexible working hours for its employees.
employees so that they could take care of Non-compete Clause - Microsoft The case discusses the HR strategies
their families. Sues Google Over Hire adopted by SAS and highlights its policy of
creating satisfied employees to create
Pedagogical Objectives Microsoft, one of the worldwide leaders in satisfied customers.
software, services and solutions that helped
• To discuss the Talent Management people and businesses had started The case provides ample scope for
strategies of GE. introducing non-compete clause in service discussion on whether SAS’ successful
contracts after quite a few of its employees policies and strategies can be adopted by
• To discuss the changing HR philosophies other companies across the world, where
left its services to join Google, a pioneer
and policies of GE’s CEOs. attrition has been a cause of grave concern.
in web search technologies. The case in
• To discuss the various HR tools used at point was the first instance when Microsoft
GE. took matters to court. Pedagogical Objectives

Industry Conglomerate This case examines the relevance of the • To discuss about best practices in HRM
Reference No. HRM0025K non-compete clause in IT industry in view and success story of SAS
Year of Pub. 2006 of the rapidly changing scenario. The case
• To highlight the reasons for low attrition
Teaching Note Not Available traces the proceedings of a lawsuit filed by
rate in SAS.
Struc.Assig. Not Available Google and Kai-Fu-Lee for violating the
non-compete agreement that Lee had Industry Software Business Intelligence
Keywords signed with Microsoft. Reference HRM0022C
Year of Pub. 2005
Talent management; General Electric(GE); Pedagogical Objectives Teaching Note Not Available
Jeffrey Immelt; CrotonvilleManagement Struc.Assign. Not Available
Training School; Recruitment and • The relevance of Non –compete clause
selection; Action learning; Six Sigma; in service contracts in IT industry Keywords
Vitality Curve; 9 Block; Accomplishment SAS Institute; Human asset management;
• To analyse the growing IT industry and
analysis; Stock appreciation rights; Change Employee retention; Creative capital;
need of introducing work norms.
acceleration process; Work out; Attrition management; Employee benefit
Compensation management; Performance Industry Software Services and
schemes; Employee training and
appraisal. Solutions
motivation; Egalitarian work culture;
Reference HRM0023C
Customer satisfaction; Customer retention;
Year of Pub. 2005
Best HR practices; Forbes’ Best companies
Tata: The Most Admired Brand Teaching Note Not Available
; Best companies for working mothers;
Struc.Assign. Not Available
Business Intelligence software provider.
The Tata Group had grown into one of the
Keywords
top 100 global brands and the most admired
Indian company mainly by adopting some Microsoft; Google; Non-compete clause;
of the best HR practices. It had evolved Non-compete agreement; Non- The Tata Group: HR Challenges
various HR models and methodologies competition agreement; Non-compete The Tata Group, one of the largest and
which enabled it to achieve this, thereby covenant; Order; Employment contract; most respected business conglomerates in
carrying forward the legacy of its founders. Lawsuit; Employee. India, had an outstanding heritage of
This had helped the group in its expansion adopting some of the best HR practices.
and growth. It remained to be seen if the Over the years, the Group had expanded
group could maintain its brand values while
growing as a global company. Human Asset Management at rapidly and a common HR platform was
SAS – A Success Story needed across the group. A Group HR
The case documents the best practices and Strategy was formulated and implemented
HR initiatives adopted by the group. Human resource management had been a across the group, with great success. With
great success at SAS Institute, the world’s many Group companies expanding globally,
largest privately held software solutions executing the HR policies across the
Pedagogical Objectives provider, based at Cary, North Carolina. various entities would be a challenge. It
Since inception, the company designed remained to be seen if the Tata Group would
• To discuss the best practices and HR innovative methods and benefit packages maintain the founding ethics and values in
initiatives adopted by the group to retain employees. Attrition was always its quest for growth and global expansion.
• To discuss how companies can use good maintained at less than 5% at SAS, while
the industry average was about 20%. For The case allows for discussion on challenges
HR practices to build a successful brand. faced by large conglomerates in adopting
every vacancy announced by SAS, there
Industry Conglomerate was an overwhelming response from standardized HR policies. It also allows
Reference HRM0024C prospective employees. The customer discussion on issues pertaining to employer
Year of Pub. 2006 retention was also high at SAS and was branding and how the brand equity could be
Teaching Note Not Available reflected in the 98% subscription renewal sustained in a globalised scenario.
Struc.Assign. Not Available of SAS’ software by its clients. The profit

7
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Pedagogical Objectives Employee attrition in IT/BPO forth the issue: whether they work to live
• To discuss Tata’s HR initiatives as a model Sector: Cost and Consequences or live to work?
employer There was a heavy exodus of employees Pedagogical Objectives
• To discuss how the Tata brand equity from one organisation to another especially
could be sustained in its quest for growth in the IT/BPO sectors in India and the • To discuss about the effect of 24/7 work
across the globe and if the brand would biggest challenge for the HR managers were culture in the US
suffer dilution in its pursuit for growth. to retain employees.
• To understand the implications of the
Industry Business House The battle for head hunting had become 24/7 work culture on individuals
Reference HRM0021C fierce and the organisations adopted all
• To understand the alternatives adopted
Year of Pub. 2006 possible means to recruit the available
by various companies against the 24/7
Teaching Note Available talent pool. The rampant practice of
work culture in the US.
Struc.Assign. Not Available poaching and bulk recruitment with
lucrative offers was important catalysts to Industry Not Applicable
Keywords accelerate the high attrition rates. The Reference No. HRM0018B
mushrooming placement consultancies and Year of Pub. 2005
Employer Branding; Tata Group; Ratan
job web websites had played a big role as Teaching Note Available
Tata; JRD Tata; Corporate Branding;
catalyst too. Formulation of amicable Struc.Assig. Not Available
TBEM; TCS; Tata Steel; Tata Motors;
retention strategy was a good option but,
Balanced Score Card; Brockbank Model;
there was no clear cut formula to devise keywords
Tata Work Levels; Performance Ethics;
the strategy. A particular strategy could Work time; work hours; organisational;
Quality of Work Life; Employee
work for few organisations and could fail culture; technological change; leisure;
Retention.
for others. health hazards; family life; flextime; shifts;
Therefore, was the employee supposed to alternative work pattern; job sharing;
shoulder the entire blame for attrition? In women; full-time; part-time; leave.
Google’s HR Dilemma
the years to come; it would be really
Google’s high growth rate is creating new interesting to see how the answer to this
HR challenges for the company. Google question would evolve. HR at Genentech – A Veritable
has built a culture where a well-chosen elite Paragon
accommodates flexibility, shifting roles Pedagogical Objectives
and, above all else, urgency. As Google grows Genentech, Inc. is a leading biotechnology
in size and strength, it is a challenge to • To discuss about the Indian IT sector company that discovers, develops,
maintain the pace of innovation and and how outsourcing has changed the manufactures and markets human
convey a sense of empowerment to trend in Indian software industry pharmaceuticals for significant unmet
Google’s engineers and product managers. medical needs. The company has
• To understand the reasons for attrition
There is a risk of the organisation losing headquarters in South San Francisco,
and ways to improve the turnover rate
its dynamism and becoming more California and is traded on the New York
in Indian IT-ITES sector.
bureaucratic. The case discusses Google’s Stock Exchange under the symbol DNA.
recruitment process, its efforts to entice Industry IT BPO Genentech Tops the Fortune’s 2006 “100
the best talent in the industry, its unique Reference No. HRM0019B Best Companies to Work For.” This case
work culture and its efforts to maintain Year of Pub. 2006 discusses in detail the nature of
the pace of innovation. Can the fast Teaching Note Not Available biotechnology industry and the role of
growing company also develop an Struc.Assig. Not Available human resources in the industry. The case
inventive streak in human resources as it further details the work life at Genentech
keywords and the role of its culture, recruitment and
competes for an increasingly tight supply
of search-programming talent? IT/BPO Sector; MNC; Employers concern; benefits offered in making the company a
Employees perspective; initiatives of chosen place to be worked for.
Pedagogical Objectives retention; reasons for attrition; cost of
turnover; Employees’ psychology; Sagar Pedagogical Objectives
• The case traces Google’s HR policy, Chakraverty; HR Challenge.
recruitment, work atmosphere and its • To discuss the nature of the
efforts to manage innovation biotechnology industry
• It also discusses Google’s efforts to 24/7 Work Culture in the US: • To elucidate the work culture at
Genentech.
maintain the feel of a small team, the Working to Live or Living to
innovative edge and the challenges it
Work? Industry Biotechnology
faces in the process.
Reference No. HRM0017B
The case focuses on the increasing work Year of Pub. 2006
Industry Online Company
pressure and the demands of the job for Teaching Note Not Available
Reference No. HRM0020P
employees working 24/7 in the US. The Struc.Assig. Not Available
Year of Pub. 2006
40 hour weeks once thought to be the path
Teaching Note Not Available
to glory are now practically considered part keywords
Struc.Assig. Not Available
time. Family, health and leisure - time for
Biotechnology industry; Human resources;
keywords things critical to human flourishing is being
squeezed by longer hours of work. Though work life; organizational culture; values;
Google; HR; Team; Innovation; Supply of the trend of alternative work schedules in recruitment; interview process; diversity;
talent; Search programming; Recruitment the US is on a rise still the competition in employee benefits; HR challenges;
process; Work atmosphere; Stock options; the fast globalizing world economy communication system; health care
Employee retention programme; Data- demanded long working hours. This 24/7 facility; flexible work; time; campus
based discussions; Hiring; Business. work culture amongst the Americans puts recruitment.

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Grooming Future Leaders: The was tremendous, retaining the workforce school; campus connect; corporate

HUMAN RESOURCE MANAGEMENT


Infosys Way was a significant challenge and the industry training center; over-all development.
suffered from high attrition rates. Also the
The case highlights the leadership dynamic nature of the industry required its
development initiatives at Infosys workforce to upgrade frequently in
Technologies (Infosys), one of the most
“J-THREE” (Japan’s Big Three
technology and skills. Infosys Technologies
reputed IT companies in India. Infosys Limited, one of India’s biggest IT & Automakers) in US: From
Leadership Institute (ILI) established in software companies provided IT services, Japanese Style to American
2001 was fully dedicated to this initiative solutions and consultation globally and Style
and every year over 100 potential leaders employed over 49,000 employees
were groomed. There was a systematic Many Japanese companies operating in the
worldwide. Infosys has remained successful
selection process to shortlist candidates for US prefer to hire Japanese executives in
over the years in keeping the attrition rate
the three year leadership development senior management positions than
lower as compared to the industry average
program at ILI. The interventions and Americans since their style of management
and has been recognised world over for its
leadership development program was based differs. However, of late, the J-Three
efforts in training its employees.
on the ‘nine-pillar’ model and formulated (Japan’s Big Three Automakers - Toyota,
incorporating the best practices in This case discusses and describes in detail Honda and Nissan) have been hiring many
leadership development followed by how Infosys trains its employees, specially American executives for senior
successful global companies. the fresh recruits. The selection criteria of management positions for their operations
Infosys and various stages of its in America. The fact that both the
According to a study in 2002, it was recruitment process have been identified. management styles differ, presents a
estimated that by 2006 most global The 14 ½ week rigorous training module challenge to these companies as to how
organizations would lose 40% of their top for freshers which Infosys conducts at best they can integrate both the styles.
executives. The case also discusses the Infosys U, one of the largest corporate The case examines the various differences
leadership development initiatives training centers in the world has been between both the styles of management
undertaken by many global and Indian described. The training module and also analyses the reasons behind
companies. On August 20th 2006, N.R. encompasses both technical and soft skills J-Three’s preference of Americans over
Narayana Murthy, the co-founder of training and gears the fresher for a the Japanese.
Infosys, who turned 60, the retirement age challenging career. Infosys imparts
at Infosys, stepped down from the post of continuous training to its employees based Pedagogical Objectives
Chairman. How successful the leadership on specific requirements as they progress
development initiatives at Infosys would in their career paths. It was rated as the • To discuss the growth of the ‘J-Three’
be in grooming future leaders who could fit ‘Best Employer in India’ in 2001 and 2002 (Japan’s Big Three Automakers) in the
into the shoes of its founders? by leading Indian business magazines and US automobile market
as the world’s best in employee training • To understand the differences between
Pedagogical Objectives and development by The American Society American and Japanese styles of
for Training and Development for management
• To discuss the leadership development consecutive three years 2002, 2003 &
initiatives undertaken by Infosys and 2004. These and various such recognitions • To analyse whether the growth of
other global and Indian IT & software have been the testimony of Infosys’s Japanese automobile companies in the
companies commitment towards its employees. US has been the result of Japanese style
• To highlight the ‘nine-pillar’ model at of management
Infosys Pedagogical Objectives • To analyse the rationale behind Japanese
• To debate how successful the leadership • To emphasise the importance of companies hiring American executives
development initiatives at Infosys would continuous training in an organisation • To discuss the problems the companies
be in grooming future leaders. at various hierarchical levels especially would face in integrating both the styles
in the IT and software industry of management
Industry Information Technology &
Software • To discuss the spin-offs of massive • To discuss as to what would be the most
Reference No. HRM0016A investments in training employees, appropriate style that J-Three should
Year of Pub. 2006 particularly the fresh recruits. adopt given their aggressive growth plans
Teaching Note Not Available in the US.
Industry IT & Software industry
Struc.Assig. Not Available
Reference No. HRM0015A Industry Automobile
keywords Year of Pub. 2006 Reference No. HRM0014
Teaching Note Not Available Year of Pub. 2006
Infosys; India; Narayana Murthy; Infosys Struc.Assig. Not Available Teaching Note Not Available
Leadership Institute; human resource
management; leadership development; keywords Struc.Assig. Not Available
Nine pillar model; training and
Infosys; India; Narayana Murthy; software keywords
development; mentoring; best practices;
industry; recruitment; training; Management styles; Competitive
interventions; overall development;
development; demand; software advantage; Keiretsu; Decision making by
attrition.
professionals; attrition rate; up-gradation; consensus; Relationship management;
technology; skills; human resource; Lifetime employment; Product
behavioral competencies; technical development; Leadership; Impact of
Infosys Technologies: Training competencies; technical training; culture; Change management; Recruitment;
for Retaining behavioral training; soft skills; e learning; Toyota; Honda; Nissan.
quality process training; personal
The annual demand for the software and effectiveness; Infosys leadership institute;
IT professionals in India had skyrocketed Infosys U; global business foundation
since the last two decades. While demand Culture Change Management

9
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Programme (CCMP) at partnerships; Culture; Training; Learning; However, he was not successful and to
Cyberabad Police Challenges for CCMP. turnaround the fortunes of the company
Commissionerate, Government Anne Mulcahy (Mulcahy), a Xerox
veteran, was appointed as the new CEO in
of Andhra Pradesh, INDIA
2001. Mulcahy brought about several
Peter F. Drucker – Business
In 2003, for the first time in India, the organisational changes, which resulted in
Management and Beyond steady increase in the company’s profits.
Cyberabad Police Commissionerate
initiated ‘Culture Change Management Peter Drucker is phenomenal. He is widely
Programme’ or CCMP. The programme recognised as the ‘father of modern Pedagogical Objective
faced age-old inertia from the police management’. He has inspired countless
personnel who had been trained to follow number of management practitioners, • To discuss the organisational change
the service manuals developed in the 19th entrepreneurs and academicians of nearly brought by Anne Mulcahy, which resulted
century by the erstwhile British rulers. The eight disciplines. His authority on in Xerox’s turnaround.
manuals were developed with a specific ‘management’ is so comprehensive that Industry Photocopier
intention to use the police as an oppressive many CEOs of Fortune 500 companies Reference No. HRM0011
force and alienate it from the Indian masses think, ‘when in doubt, consult Druckez’. Year of Pub. 2006
to maintain the British stranglehold on This case is intended to serve as an Teaching Note Available
India. The CCMP was adopted to ensure introduction to Peter Drucker ’s Struc.Assig. Available
quality policing in the Cyberabad management philosophy and his views on
Commissionerate by making the police contemporary and emerging societies. The keywords
people-friendly and improving the working case attempts to cover Drucker’s seminal Xerox Corporation; Need for turnaround;
environment at the police stations. Under thoughts on various management Palo Alto Research Centre; Business
the programme, Cyberabad Police dimensions and discusses the two sets of strategy; Small Office Home Office
embarked on a vision of achieving fundamental assumptions regarding (SOHO); Document centre; Accounting
excellence in service delivery and management, as a discipline and a practice, mis-statements; Cost reduction;
improving the image of police through and why Peter Drucker came out with a Organisational change; Bankruptcy;
enhanced practices, supervision new set of assumptions. Securities and Exchange Commission;
procedures, decentralisation of power,
Employee retention; Six Sigma; Output
creation of a system to enforce Pedagogical Objectives management solutions; Strategy and general
accountability apart from changing the role
• To discuss the management fads and the management.
and functions of the police in the society.
The transformation entails redesigning and need to give up the ‘one solution fix it
redefining of workflow processes and all’ mentality
ushering in an attitudinal change among Hiring the CEOs: The Changing
• To discuss the merits of Peter Drucker’s
the police personnel. CCMP has yielded
new set of assumptions regarding
Paradigms
quite a few tangible results with much of
management when compared with the For years, companies like GE (General
the potential yet to be realised.
two old assumptions. Electric Inc.), Unilever and McDonald’s
had been grooming internal candidates to
Pedagogical Objectives Industry Not Available
Reference No. HRM0012
take on the responsibility of CEO’s (chief
• To understand the historical context of Year of Pub. 2004
executive officers). At the same time,
Indian police system Teaching Note Not Available
many other companies were finding that
Struc.Assig. Not Available
the experience of their top management
• To understand how a very important arm candidates was not preparing them for the
of a government machinery can be keywords jobs they were expected to fill. With the
corporatized in terms of articulating a increasing rate of failure among top
vision, setting goals/objectives, Peter Ferdinand Drucker ’s philosophy; executives, more and more companies were
measuring the performance vis-à-vis the Management by objectives; Theory and looking for outside candidates to manage
goals, etc. practice of management; Management the business enterprise successfully. The
thinkers; Fundamental assumptions; turnaround of IBM (International Business
• To elucidate the importance of ‘Quality’ Business management; Core competence;
leadership in any Change Management Machines Corporation), under the
Information based organisation; Evolution leadership of Louis Gerstner, an outsider,
Programme of management; Management balanced was one of the best examples. By 2004,
• To delve into Customer Relationship score cards; Management fads; Knowledge the trend had been to prefer an outsider
Management in public utility services. society; Taylor; Gilbreths; Gantt; Weber; rather than an internal candidate for the
Fayol; Mayo; Maslow; McGregor; Skinner; top positions. But research studies showed
Industry Not Applicable Lewin; Likert; Argyris. that the internal candidate at the top
Reference No. HRM0013
position was likely to perform better than
Year of Pub. 2006
an outsider. With the rising accountability
Teaching Note Not Available
Xerox’s Turnaround: Anne to the shareholders and falling supply of
Struc.Assig. Not Available
Mulcahy’s “Organizational able managers, the pressure was tremendous
keywords Change” on the directors of a company to select
the right candidate.
Change management; Resistance to Once a leader in the copier industry, Xerox
change; Indian policing; Culture Change Corporation was losing market share due Pedagogical Objective
Management Programme (CCMP); Vision; to increase in competition from Japanese
mission and goals; Attitude change; companies. Rick Thoman, an ex-IBM • To discuss the changing trends in CEO
Corporatisation; Cyberabad Police executive, was brought in 1999 to bring an recruitment.
Commisionerate; ISO certification; First outsider’s perspective to the company and
ISO certified Police Station; Community Industry Not Applicable
to return the company to profitability.
Reference No. HRM0010

10
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Year of Pub. 2005 Pedagogical Objectives keywords

HUMAN RESOURCE MANAGEMENT


Teaching Note Available
Struc.Assig. Not Available
• To discuss the human resource practices Information Technology enabled services
of Allen & Co. in India; Indian BPO (business process
keywords outsourcing) sector; Call centres in India;
• To discuss the role of relationship Employee attrition in Indian call centres;
Recruitment; CEO (chief executive marketing in the making of a firm. Reasons for attrition in Indian call centres;
officer); Internal succession; Recruiting Stress in Indian call centres; Work related
Industry Banking and Financial
outsiders; Jack Welch of GE (General disorders in Indian call centres; Top Indian
Services
Electric Inc); Unilever; McDonald’s; Coca- call centres; Manpower versus revenues of
Reference No. HRM0008
Cola; Douglas Ivester; Jacques Nasser Indian call centres; Retention strategies in
Year of Pub. 2004
(Ford); Richard Thoman; Louis Gerstner Indian call centres; Rewards and recognition
Teaching Note Not Available
of IBM (International Business Machines to retain call centre employees; Innovative
Struc.Assig. Not Available
Corporation); Steve Jobs (Apple approaches towards employee retention.
Computers); C Michael Armstrong; Giorgio keywords
Armani; Walt Disney Co.; Michael Eisner
Allen & Co.; Investment banking; High
networth individuals; Asset management Indian Call Centers (A): Rising
BP: Evolution of a New Corporate
companies; Sun Valley conference; Employee Attrition
Relationship managers; Herbert A Allen;
Culture Venture capital financing; Money This is the first of a two-case series (204-
management; People as profit centres; 132-1 and 304-389-1). In 2004, call
BP (British Petroleum) has traversed a long centres were the fastest growing segment
Relationship marketing; Entrepreneurship;
path from being a typically old-fashioned of the Indian Information Technology
British company in the 1970s and 1980s, Employee compensation; Investment
management. enabled services (ITES)-BPO (Business
to a modern, aggressive corporate entity. Process Outsourcing) sector with historic
By 2004, BP has become the second largest growth rates of 112% in revenues and
company in the world with operations in about 75% in employees. The competitive
more than 70 countries. Indian Call Centers (B): advantage that India enjoyed was the
Addressing Employee Attrition combination of a huge pool of technically
Pedagogical Objective qualified English speaking graduates who
This is the second of a two-case series (204-
• To discuss the transformation of BP’s 132-1 and 304-389-1). The Indian call were willing to work for lower pay than
organisational culture that has helped centre industry faced the problem of their counterparts in the US or the UK.
transform it into the world’s biggest increased employee attrition; 30-35% in However, the Indian companies now faced
energy company. 2003, compared to 20-25% and 10% in the problem of increasing attrition among
2002 and 2001 respectively. The major its workforce – 30-35% in 2003, from 20-
Industry Energy and Utilities
causes for attrition included lack of job 25% in 2002 and 10% in 2001. This
Reference No. HRM0009
enrichment, erratic work timings, work problem, if left unchecked could seriously
Year of Pub. 2004
load, work-related stress and ailments, etc. affect India’s competitive advantage of
Teaching Note Available high quality, low-cost service offering.
Struc.Assig. Not Available
Pedagogical Objectives
keywords Pedagogical Objectives
• To discuss the various strategies
BP (British Petroleum); Corporate culture; employed by the Indian companies to • To discuss the challenges being faced by
Organisation culture; Work culture; check the high levels of attrition Indian call centres with the emergence
Restructuring; BP transformation; Change of attrition problems and whether or not
in culture; Project 1990; Performance • To discuss attrition as a consequence of this would affect India’s current
contracts; Parallel fast track; Corporate the high growth in the industry competitive advantage
governance; Liberal work culture; • To evaluate the current retention • To discuss the issues related to
Knowledge sharing initiatives; BP’s strategies and to suggest new ideas compensational and non-
knowledge management framework. compensational factors of attrition and
• To discuss on the widespread opinion which of these needs greater attention
that the nature of the job is such that in retention strategies
the current breed of employees are not
Allen & Co.: People as Profit motivated to stay for long, thereby • To discuss if the inherent nature of the
Centers discuss whether this problem could be job is causing attrition in call centres,
mitigated if the nature and processes of then what should be done by the
Allen & Co., one of the leading investment
jobs are altered companies to reduce attrition.
bankers specialises in forging long-lasting
and lucrative relationships with the • To discuss whether the same problem Industry Information Technology
corporate leaders. Ever since its inception, could surface in smaller cities, where Enabled Services (ITES)
the firm believed in people and their companies are setting up offices Reference No. HRM0006
capabilities. Allen & Co.’s unique business perceiving an increased job loyalty. Year of Pub. 2004
proposition was its operating style that Teaching Note Available
treated the senior bankers of the firm as Industry Information Technology
Struc.Assig. Available
‘profit centres’. With this unique Enabled Services (ITES)
relationship marketing, the company was Reference No. HRM0007 keywords
able to strike many historical deals that Year of Pub. 2004
Teaching Note Not Available
Information Technology enabled services
made it the leading broker in the in India; India BPO (business process
entertainment and technology sector. Struc.Assig. Not Available
outsourcing) sector; Call centres in India;
Employment in Indian call centres;

11
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Employee attrition in Indian call centres; losses following the September 2001 • To discuss the events that consistently
Reasons for attrition in Indian call centres; terrorist attacks, Southwest was successful added to the synergy of the team.
The growth of call centres in India; in posting modest profits. Moreover, when
Industry Software Consulting
Functions of a call centre; Categorisation the major carriers started laying off
Reference No. HRM0003
of Indian call centres; Stress in Indian call thousands of employees, Southwest kept
Year of Pub. 2004
centres; Work-related disorders in Indian recruiting. Many credited this competitive
Teaching Note Available
call centres. edge of the company to its founder Herb
Struc.Assig. Not Available
Kelleher, who had instilled a unique culture
of ‘fun at workplace’. He strongly believed keywords
that a happy workforce was a productive
Employee Retention in Indian MindTree Consulting; Team building; Best
workforce and hence put his employees
BPO Industry: The New Initiatives ahead of even the customers. employers in India; SEI-PCMM level 5;
The Indian BPO (business process Subroto Bagchi; Business plan; Social
Pedagogical Objective responsibility; People function; MindTree
outsourcing) industry faced an attrition rate
houses; Most admired management team;
of 30% to 40%, costing the industry Rs.
300 crore in recruitment and training. To discuss the following issues: (1) Hewitt’s study; Ashok Soota; MindTree’s
Added to these were the costs of failed Southwest’s faith in human resources class values.
service levels. The total loss due to attrition (HR) as a means for competitive
advantage; (2) the concept of HR
was estimated to be 25% of the annual
branding for one to be an employer of
revenue. A synergy between incentives, Ricardo Semler’s Employee
choice; (3) the importance of
higher education programmes, career
organisational culture in shaping HR
Empowerment Strategies at
growth programmes, selection of right
practices; (4) Southwest’s empowerment Semco
person for the right job and changes in the
and individuality processes; (5) if having Antonio Curt Semler founded Semco in Sao
organisation environment helped fun at work was a great motivator, why
organisations in bringing the attrition rate Paulo, Brazil in 1953. The company was
is that we have not heard many such primarily into the production of marine
under their control to some extent. But all success stories at higher levels; and (6)
these efforts had cost implications. The machinery. After his son, Ricardo Semler,
compare and contrast Southwest’s became the chief executive officer, Semco
high cost involved in employees’ retention management style with that of other
was eroding the cost competitiveness of diversified into other businesses like
companies such as SAS Airlines, Semco, banking, environmental services and
Indian BPO companies. People Express, etc. e-business. Ricardo desired to change Semco
Industry Airlines into a democratic organisation for which
Pedagogical Objectives he adopted the philosophy of employee
Reference No. HRM0004
• To discuss the efficiency of the measures Year of Pub. 2004 empowerment. Ricardo was against the
undertaken to curtail employee attrition Teaching Note Available autocratic style of management, and was
in the Indian BPO industry Struc.Assig. Not Available for participative management. Under
Ricardo, Semco’s revenues rose from $35
• To discuss the alternative measures to keywords million in 1990 to $160 million in 2003.
curtail the attrition without eroding the Semco soon came to be known as the
cost competitiveness. Southwest Airlines; People management;
‘unusual kind of workplace’.
Herb Kelleher; Corporate culture;
Industry Business Process Outsourcing Southwest spirit; Competitive advantage
Reference No. HRM0005 through people; Southwest’s recruitment Pedagogical Objectives
Year of Pub. 2004 policy; Training; Graveyard video; Spirit • To discuss the role of top management
Teaching Note Available weaver. in employee empowerment
Struc.Assig. Not Available
• To discuss how Ricardo Semler’s belief
keywords in employment empowerment helped
Team Building at MindTree
BPO (business process outsourcing); him in developing his business and made
Consulting Semco a preferred place to work.
Recruitment and training; Attrition rate;
Compensation, bonus; incentives; Career MindTree Consulting, now a big name in Industry Marine Industry Machinery
plan and growth; Job rotation and the IT industry in India, was awarded the Manufacturing
enrichment; Promotion and motivation; prestigious SEI-PCMM level 5 in the year Reference No. HRM0002
Higher education; Employee turnover; 2003. It was also among the top three best Year of Pub. 2004
Employee retention initiatives; Human employers list of the Hewitt study in India. Teaching Note Available
resource management; Pay package; Subroto Bagchi, now the COO and Struc.Assig. Not Available
employee compensation; HCL President of US operations, sowed the seeds
Technologies; GTL; Tracmail; Vertex for the company in 1998 that was formally keywords
India; Wipro Spectramind; Progeon; launched in August 1999.
Employee empowerment; Brazil; Marine
Daksh; Psychometric tests.
machinery; Democratic organisation;
Pedagogical Objectives Ricardo Semler; Leadership; Organisation
• To discuss how Bagchi and Krishna structure; Autocratic management; Semco;
Southwest Airlines: Generating Kumar, the founders of the company Participative management; Maverick;
Competitive Advantage through could build the team of like-minded Matrix organisation; Unusual kind of
Human Resources Management people to start the next generation workplace; Brazilian economy;
software service company delivering Organisational change.
Texas-based Southwest Airlines was
knowledge-based services to its
considered the most successful airline
customers
company in the US. While the entire US
airline industry was reeling under heavy

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Karoshi

HUMAN RESOURCE MANAGEMENT


The Japanese word ‘karoshi’ means ‘death
from overwork’. The first reported case
of karoshi was in 1969. The victim, a 29-
year-old male married worker in the
shipping department of Japan’s largest
newspaper succumbed to a stroke. In the
1980s, deaths of several high-ranking
business executives still in the prime of
their lives were reported. Since then the
‘karoshi’ phenomenon has drawn media
and public attention in Japan. In 1982, a
Japanese doctor labelled this phenomenon
‘karoshi’. By the 1990s ‘karoshi’ had
become a buzzword. The National Defense
Council for the Victims of Karoshi
estimated that annually about 10,000
workers were victims of karoshi. Most of
the victims died of heart failure and a few
were driven to suicide. The main reason
for the incidence of karoshi was the
disproportionately long working hours in
Japan, which is rooted in the very nature
of the Japanese Production Management
system itself.

Pedagogical Objectives
• To discuss the business implications of
the karoshi phenomenon, the need for
a change in the working hours and
whether there is a need to change the
nature of the Japanese Production
Management system
• To discuss the flaws in HR Practices of
Japanese companies.
Industry Not Applicable
Reference No. HRM0001
Year of Pub. 2003
Teaching Note Not Available
Struc. Assign. Not Available

Keywords
Karoshi; Dentsu; Oshima; Death from
overwork; Overwork; Suicide; Overtime;
Workaholism; Unpaid overtime; Stress;
Globalisation; Bubble economy; Japanese
Production Management; Toyota; Kaisen.

13
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