Professional Documents
Culture Documents
manufacturing tubes and pipes made of stainless steel, carbon, and exotic metals.
STPL has a workforce of 1,300 blue-collar workers and around 700 white-collar employees.
STPL has garnered recognition for the quality and reliability of its products
It also has the advantage of location, which is a quintessential success factor in a competitive
world.
EXPANSION
■ The strategy of STPL to enter into international markets entailed modernization and
professionalization of all its major functions, practices, and processes.
■ On the face of which, STPL did everything that was desirable in such circumstances.
It hence recruited a vice president of HR (VP-HR) from the open market, who had
experience of working with a family-owned pharmaceutical manufacturing business
that had undergone similar transformation.
■ The new VP had to modernize the organization while retaining the elements of faith.
He brought system in the HR function, by creating formal hiring plans through open
recruitment, with an aim to hire good talent.
■ The new workforce included senior persons for managerial positions, who were
being offered compensation above market rates, qualified accountants, and
Graduate Engineer Trainees (GETs).
■ While recruitment was easy, integration gave trouble. New employees, particularly
GETs, wanted logical answers for every ritual, practice, and belief.
RESOLUTION OF CONFLICTS
■ The VP-HR believed that the root cause of this conflict was sense of insecurity
among existing employees, and there- fore planned to build confidence in them.
■ Under this plan, all the existing employees were given an opportunity to enhance
their educational qualifications and attain the next higher level of capabilities.
■ As a second measure, continuous mentoring at various levels was introduced. Along
with periodic monitoring of mentoring, rewards, incentives, and even promotions
were linked to the appraisal of mentoring.
MANAGEMENT OF CHANGE
■ Diversification of business
■ Approval to supply pipes to nuclear power corporation
■ They starting liaising with international customers
■ Availability of unskilled and skilled labour
New HRM Strategy and execution
■ Increase in workforce
■ Hired vice president for HR
■ Recruitment process managed internally
■ They only selected qualified employees
Clash of culture