ACKNOWLEDGEMENT

It is in particular that we are acknowledging our sincere feeling towards our mentor who graciously gave
us their time and expertise.

They have provided us with the valuable guidance, sustained efforts and friendly approach. It would have
been difficult to achieve the results in such a short span of time without their help.

We deem it our duty to record our gratitude towards the Project Supervisor Ms. Roshni Tijoriwala who
devoted her precious time to interact, guide and gave us the right approach to accomplish the task and
also helped us to enhance our knowledge and understanding of the project.

With sincere regards,

Ruksar Ansari

Ravi Dhingani

Parth Khatri

Lopa Pandya

Abhilasha Solanki

Mit Vaghela

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 TABLE OF CONTENTS

Sr No. Title Page No

1 Acknowledgement 1

2 Introduction of Company 3

3 HR Policies of Company 8

4 Findings and Learning 19

5 Conclusion 20

6 Recommendation 21

7 Bibliography 22

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 CHAPTER 1: INTRODUCTION

Maruti Suzuki India Limited, commonly referred to as Maruti and formerly known as Maruti Udyog
Limited, is an automobile manufacturer in India. It is a subsidiary of Japanese automobile and
motorcycle manufacturer Suzuki. Maruti was incorporated in 1981 as a government company. They
started production in December 1983 with collaboration of Suzuki of Japan. Initially Suzuki had 26%
equity which has since increased to 40%.

PRODUCT RANGE OF MARUTI SUZUKI INCLUDES:

It offer full range of cars– from entry level Maruti 800 & Alto to stylish hatchback Ritz, A star, Swift,
Wagon R, and sedans DZire, SX4 and Sports Utility vehicle Grand Vitara.

 Maruti 800

 Alto

 Omni

 Gypsy

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 Zen Estilo

 Wagon R

 Versa

 A– Star

 Ritz

 SX4

 Dzire

 Grand Vitara

. LIFE AT MSIL

The company that leads the Indian auto industry and defines the way India drives rides on the quality and
competence of its people. It’s a great place to discover all that you can be and maximize your potential.

From a genuinely equal opportunity work culture, a sense of team spirit that goes right down to a
common lunchroom, to a feeling of oneness as senior managers and their teams sit together in an open,
wall-free environment, this is an uncommon place to work and excel.

MARUTI is fast and flexible, resilient and responsive, as they’ll as decisive and responsible. It is a place
where your voice will be heard & valued.

Their people make them a company ready to meet the challenges of the dynamic auto market. They value
discipline and punctuality, and obsess over maintaining a safe & healthy work environment. They like
people who have an obsession to delight customers, and they leave them free to take decisions in complex
situations.

MARUTIANS

 Innovation

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 Dedication
 Responsibility
 Ownership.

These are the virtues that connect a Marutian to the organization. Maruti Suzuki offers a unique
opportunity for professional and personal growth as part of a multi-faceted organization where all work as
one. To most Marutians, their colleagues have been part of an extended family.

With mix of generations and nationalities working together as one team, they provide the perfect balance
of energy, experience and exposure. At Maruti Suzuki, while excellence is an integral part of our work
culture, they are steadfast in an ethical approach in all its dimensions.

OCCUPATIONAL AND HEALTH POLICY

Maruti Suzuki India Limited (MSIL) is committed to ensure a safe and healthy working environment for
all employees, visitors, contractors, vendors and persons present at MSIL sites by prevention of work
related injuries and illness.

To meet the responsibilities, they are maintaining a safe working environment and have an Occupational
Health and Safety Management System (OHSMS) in place to:

 Manage Risks – by identifying all workplace hazards, undertaking assessments, internal &
external audits, and taking all necessary actions for prevention & control of injury, ill-health, loss
or damage by following safe work practices in operations as theyll as while procuring new plant,
machinery & equipment.

 Comply with legal and other obligations – by ensuring that our business is managed in
accordance with relevant occupational health and safety legislations, standards and MSIL
occupational health and safety policies & procedures.

 Establish targets and review mechanism - They shall manage our obligations using coordinated
occupational health and safety plans for each area and site, with challenging targets to measure
progress
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SWOT ANALYSIS

Maruti Suzuki is the market leader in India and has amazing brand equity. Maruti is known for the service
it provides and is synonymous with Maruti 800 – the longest running small car in India. Here is a SWOT
of Maruti Suzuki, its strengths, weaknesses, opportunities and threats.

Strengths
 Maruti Suzuki is in a leadership position in the market with a market share of 48.74

 Major strength of Maruti Suzuki is having largest network of dealers and after sales service
centers in the country.

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 Good promotional strategy is adopted by Maruti Suzuki to transfer its thoughts to the people about
its products.
 Maruti Suzuki recorded highest number of domestic sales with 9,66,447 units from 7,65,533 units
in the previous fiscal. It recently attained the 10million domestic sales mark.
 Strong Brand Value and Loyal Customer Base are big strengths for Maruti Suzuki

 There are around 15 vehicles in Maruti Product portfolio. Has good product lines with good fuel
efficiency like Maruti Swift, Diesel, Alto etc
 Alto still beats the small car segment with highest number of sales

 Maruti Suzuki is the first automobile company to start second hand vehicle sales through its True-
value entity.
 Maruti Suzuki has good market share and hence it’s after sales service is a major revenue
contributor.

Weaknesses
 Low interior quality inside the cars when compared to quality players like Hyundai and other new
foreign players like Volkswagen, Nissan etc.
 Government intervention due to having share in Maruti Suzuki.

 Younger generations started getting a great affinity towards new foreign brands

 The management and the company’s labor unions are not in good terms. The recent strikes of the
employees have slowed down production and in turn affecting sales.
 Maruti hasn’t proved itself in SUV segment like other players.

Opportunities
 Maruti Suzuki can start R&D on electric cars for a much better substitute of the fuel.

 Maruti’s cervo 600 has a huge potential in tapping the middle class segment and act as a strong threat
to Nano
 New DZire from Maruti will capture the market share and expected to create the same magic as
Maruti Esteem(currently not available)
 Export capacity of the company is giving new hopes in American and UK markets

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 Economic growth of the country is constantly increasing and the government is working hard to
increase the GDP to double digit.

Threats
 Maruti Suzuki recently faced a decline in market share from its 50.09% to 48.09 % in the previous
year(2011)
 Major players like Maruti Suzuki, Hyundai, Tata has lost its market share due to many small
players like Volkswagen- polo. Ford has shown a considerable increase in market share due to its
Figo.
 Tata Motors recent launches like Nano 2012, Indigo e-cs are imposing major threats to its
respective competitor’s segment
 China may give a good competition as they are also planning to enter into Indian car segment

 Launch of Hyundai’s H800 may result in the decline of Alto sales

CHAPTER 2 HR POLICIES OF COMPANY

HR VISION

Lead and facilitates continuous change towards organizational excellence; create a learning organization
with high sense of pride amongst it members.

HR INITIATIVES

 Prepare MUL Strategies Business Plan to achieve the Vision and Goal.
 Improve the Performance Appraisal System
 Improvements in Internal and external training and its effective utilization
 Systematic career planning
 Periodic communication meeting at various levels
 Retention of Talent

2.1 RECRUITMENT

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Recruitment is an important part of an organization’s human resource planning and their competitive
strength. Competent human resources at the right positions in the organization are a vital resource and can
be a core competency or a strategic advantage for it.

The objective of the recruitment process is to obtain the number and quality of employees that can be
selected in order to help the organization to achieve its goals and objectives. With the same objective,
recruitment helps to create a pool of prospective employees for the organization so that the management
can select the right candidate for the right job from this pool.

Recruitment acts as a link between the employers and the job seekers and ensures the placement of right
candidate at the right place at the right time. Using and following the right recruitment processes can
facilitate the selection of the best candidates for the organization.

In this is competitive global world and increasing flexibility in the labour market, recruitment is
becoming more and more important in every business. Therefore, recruitment serves as the first step in
fulfilling the needs of organizations for a competitive, motivated and flexible human resource that can
help achieve its objective

RECRUITMENT PROCESS FOR FRESHERS:

They recruit fresh Graduates from premier T-Schools and B-Schools across the country in order to build
our future leadership talent pipeline. .

At Maruti Suzuki, they give ample opportunities for learning & growth through hands-on experience &
rigorous training sessions. The young talent undergoes a structured induction, buddy & umbrella
mentoring sessions, periodic management inputs and cross functional exposure.

With their exciting career paths coupled with hard work & dedication from your end, they believe that
you will keep on creating success stories in Maruti Suzuki.

RECRUITMENT PROCESS FOR EXPERIENCED CANDIDATE

For the last three decades, they have established themselves as the Market Leader in Automobile sector in
India. They appreciate the Knowledge & expertise that the experienced professionals bring with them,
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and they come from diverse backgrounds to strengthen the business pillars and explore new horizons with
us.

They invite applicants, who

 Are excellent performers with enthusiasm for constant improvement

 Have intense desire to be a member of the organization and its success with a constant yearn to
learn

 Are star performers, put in extra effort & are committed to engage in work that contributes to
business success

2.2 SELECTION

It is the process of searching the potential candidate. It is negative in nature in the Indian context. But it is
positive in the US context.

Steps in Selection Process of Maruti Udyog ltd

Selection process consists of a series of steps, at each stage, facts may come light which may lead to the
rejection of the applicant. It is a series of successive hurdles or barriers which an applicant must cross.
These hurdles or screens are designed to eliminate an unqualified candidate at any point in the
selection process There is no standards selection procedure to be used in all organizations or
for all jobs. The complexity of selection procedures increases with the level and responsibility
of the position to be filled. .

1} Preliminary Interview (screening applications)

Initial screening is done to weed out totally undesirable/unqualified candidates at the outset. It is
essentially a sorting process in which prospective candidates are given the necessary
information about the nature of the job and the organization, at the same time, the necessary
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information is also elicited from the candidates about their education, skills, experience, salary
expected and the like. It helps to determine whether it is worthwhile for a candidate to fill up
the application form.

2} Application Form

Application form is a traditional and widely used device for collecting information from candidates.
It should provide all the information relevant to selection, where reference for caste, religion,
birthplace, may be avoided as it may be regarded an evidence of discrimination.

3} Selection Test

Psychological tests are being increasingly used in employee selection, where a test may involve some
aspect of an individual’s attitudes, behavior and performance. Tests are useful when the number of
applicants is large, as at best it reveals that the candidates who scored above the predetermined cutoff
points are likely to be more successful than those scoring below the cutoff point.

4} Employment Interview

Interview is an essential element of selection and no selection procedure is complete without one or more
personal interviews, where the information collected through application letter or application forms and
tests can be cross-checked in the interview, where candidates demonstrates their capabilities and strength
in relevant to their academic credentials. Selection in interview serves three purposes:

a) Giving information to candidates about the company, the specific job and human resource
policies; and

b) Establishing a friendly relationship between the employer and the candidate so as to motivate the
successful applicant to work for the organization.
However, in practice interview becomes a one-sided affair serving only the first purpose.

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5} Medical Examination

Applicants who have crossed the above stages are sent for a physical examination either to the
company’s physician or to a medical officer approved for the purpose. Such examination serves
the following purposes:-

 It determines whether the candidate is physically fit to perform the job, where those who are
physically unfit are rejected.
 It reveals existing disabilities and provides a record of the employee’s health at the time of
selection. This record will help in settling company’s liability under the workmen compensation
Act for claim for any injury.
 It prevents the employment of people suffering from contagious diseases.
 It identifies candidates who are otherwise suitable but require specific jobs due to physical
handicaps and allergies.

6} Reference Checks

The applicant is asked to mention in his application form, the names and addresses of two or more
persons who know him well. These may be his previous employers, heads of education institutions or
public figures. These people are requested to provide their frank opinion about the candidate without
incurring any liability. In government and public sector organizations, candidates are generally
required to route their applications through their present employers, if any. The opinion of referees
can be useful in judging the future behavior and performance of candidate, but is not advisable to
rely exclusively on the referees because they are generally biased in favor of the candidate.

 Most candidates are employed at the time of their application, and do not wish their employers to
know they are looking elsewhere.
 Because of a prospective employer would be breaking a confidence if he or she asked for a
reference before an offer of a job had been made and accepted.
 By the time an offer has been accepted, selection is over and the reference is too late to affect it.
 An offer may be made ‘subject to satisfactory references’, but as most references are received
after the candidate has started work, they can only be used to warn managers of possible faults in
the candidate which in serious cases may eventually lead to warnings followed by dismissal.

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 Employers giving references are usually extremely cautious; many references merely state the job
title, the date of employment, and reasons for leaving.
 References are occasionally biased, giving a good reference to hasten an employee’s
departure or a poor one because of a grudge.
 Therefore, the best references are obtained in person, where there is a chance to see whether
nonverbal behavior matches what is said. If such a meeting cannot be arranged, telephoning
is the next best alternative.

7} Final Approval

In most of the organizations, the human resource department carries out selection process, where the
decisions of the department are recommendatory. The executive of concerned departments or units
finally approves the candidates shortlisted by the department.

8} Employment.

Employment is offered in the form of an appointment letter mentioning the post, the rank,
the salary grade, the date by which the candidate should join and other terms and conditions in
brief. In some organizations, both the candidate and the representative of the organization sign a
contract of service. It is at this point where a selected applicant is handled with a letter of offer for a
job:

 The wage or salary offered must not only be appropriate to the job and attractive to the candidate
but consistent with the earnings of present employees.
 The job must be named and any special conditions stated, for instance, the first year you
will be under training at the head office, then you will be transferred to up-country branches.
 The candidate must know the essential conditions of employment, such as hours of work,
holidays, bonuses and fringe benefits.
 Any provisos must be clearly stated, for example, your employment will be subject to satisfactory
references and medical examinations. Appointment is generally made on probation of one or two
years, where upon satisfactory performance during this period, the candidate is finally confirmed
in the job on the terms employed with, whether permanent or contractual basis.

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 9} Induction.

The process of receiving employees when they begin work, introducing them to the
company and to their colleagues, and informing them of the activities, customs and traditions of the
company is called induction. At this juncture various induction courses are done to new recruit in
order to acclimatize them with the new working environment.

10} Follow – up (Evaluation)

All selection should be validated by follow-up, it a stage where employee is asked how he or she
feels about progress to date and the worker’s immediate supervisor is asked for comments,
which are compared with the notes taken at the selection interview. If a follow-up is
unfavorable it is probable that selection has been a fault; the whole process from job specification to
interview is then reviewed to see if a better choice can be made next time.

Selection Process for Fresher’s:

Selection Process for Experienced Candidate:

2.3 TRAINING AND DEVELOPEMENT

Maruti have invested about Rs 12 crore in their training program. Recently they took a decision to
establish a world class Maruti training centre which might come up on a 6-8 acre plot.

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This kind of infrastructure will operate in decentralized manner. It will have a residential facility, an e
learning facility and will look at the perspective of developing our own technician level guys for which
campus recruitment takes place.

TRADITIONAL AND MODERN APPROACH OF TRAINING AND DEVLOPMENT

Traditional Approach – Most of the organizations before never used to believe in training. They are
holding the traditional view that managers are born and not made. There are also some views that training
is a very costly affair and not worth. Organizations used to believe more in executive pinching. But now
the scenario seems to be changing.

The modern approach of training and development is that Indian Organizations have realized the
importance of corporate training. Training is now considered as more of retention tool than a cost. The
training system in Indian Industry has been changed to create a smarter workforce and yield the best
results

Importance of training

 Optimum utilization of resources

 Development of human resources
 Development of skills of employees
 Productivity
 Team spirit
 Organization culture
 Quality
 Health and safety

T&D aids in organizational development. Organization gets more effective in decision making and
problem solving. It helps in understanding and carrying out organizational policies.

T&D helps in developing leadership, motivation, loyalty, better attitude, and other aspect that workers
and mangers usually display.

TRAINING PROCESS FOR SALES EXECUTIVES: -

INDUCTION: - aims to provide an understanding of the industry, its policies and products.

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PRODUCT PROGRAMS: - imparts complete knowledge on Maruti Suzuki and its competitors.

SELLING SKILLS/CONSULTIVE SELLING PROCESS: - enables understand customer’s needs;

sales processes and enables apply learning in actual selling.

CUSTOMER CARE: - positive attitude and the ability to move is a pre requisite for excellent
performance in any world. Program aims at helping one to build a positive attitude and interpersonal
skills and to enable better customer handling.

ADVISOR FOR LIFE PROGRAM: -in this changed competitive environment, role of dealer sales
executive is seen more than a person who is selling cars to the customers. He is expected to be the
customer’s for life .he has to be “single window interface” with his customers on all matters related to
cars, that is, finance, insurance, Extended warranty, service etc.

The training program on’ Delivery Process’ has been developed as delivery now has the maximum the
right age in the new factor structure. Delivery is not the end of a sale but a beginning of a relationship.

TRAINING PROCESS FOR SALES MANAGERS / GENERAL MANAGERS/ BRANCH HEADS

1. Dealership Management Program: -For second generation dealers, and GM’s and executives on how
to manage entire Dealership Operations. Financial Management, staff management, motivation, tie
management planning are covered.

2. Sales Managers/Team Leaders Program: The Training covers issues like Sales management (target
setting and achievement, enquiry management, resource and time management), Supervisory skills,
Practical Coaching skills, knowledge of Maruti Finance, Maruti Insurance Extended warranty, MGA,
True value and car advisor for life concept.

3. Branch managers Program: many of the dealers have multiple outlets. While the owners sit any one
outlet and control the others from there, different branch heads that managers the day to day operations of
the outlet manages the other outlets

4. The training covers topics like- making the business plan, Fundamentals of DBP, Hr management,
Team building and supervision skills, ability to motivate the team and get a buy in on the business plan,
time management/ prioritizing etc.

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2.4 RETENTION EMPLOYEE WELFARE:

Employee retention is a process in which the employees are encouraged to remain with the
organization for the maximum period of time or until the completion of the project. Employee retention is
beneficial for the organization as well as the employee.

EMPLOYEE WELFARE:

 Residential Colonies for Employees – Chakkarpur

 Hospitalization Reimbursement – on actuals without Ceiling

 Vehicle Loans

 Household Equipment Loans

 House Building Advance

 Annual Advance

 M
 UL PF Trust – for better Mgt., Service & speedy redress

 Proposed MUL Pension Scheme

 Learning Opportunity - Benchmark in Auto Technology

 Professional Value addition through Training

 O
 pportunity for foreign training at SMC, Japan

 J ob Rotation & Job enrichment

2.5 PERFORMANCE APPRAISAL

Maruti adopts `360 degree' appraisal system

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It would seem that there is no corporate human resources policy that has not had its share of controversies
for being biased. With an increasing number of qualitative factors that affect employees at the workplace,
the performance appraisal process to make it as fair as possible has been the dream of every HR manager.

And now qualitative factors are not just at play in the services sector, but also in manufacturing. With
cubicles giving way to open offices, the top-down approach to employee performance appraisal is also on
its way out.

One company that has set itself on course to further demonstrating and opening up its employee
evaluation process is car market leader Maruti Udyog.

The company has introduced a unique 360-degree feedback system, starting with its senior leadership.
The new system has been co-developed with Ernst & Young and has been put in place recently.

Under the 360-degree feedback system, the employee is rated not just by his superiors, but also by his
peers and subordinates.

"We are starting the 360-degree feedback process with employees in the top management such as chief
general managers and general managers, whose performance will now be assessed based on feedback
from their peers and junior management employees within the same department. Till last year, their
performance was being appraised only by the Directors and the Managing Director," says Maruti's Chief
General Manager (HR), Mr S.Y. Siddiqui.

Ernst & Young, in consultation with Maruti, has listed a set of leadership competencies that are expected
in a general manager. Based on that, it has prepared a questionnaire to which peers and subordinates can
respond online.

Although acknowledged as an effective tool for leadership development in the West, Indian companies
have been shy of introducing such a feedback system for fear of disturbing traditional hierarchical
structures.

HR consultants feel that the critical issues in implementing such a system include assuring respondents
that their feedback will remain confidential and convincing the person receiving the feedback that this is a
development tool and not an appraisal tool. Maruti has handled this by getting E&Y and other consultants
to make detailed presentations to the senior management personnel before the process got under way. The

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company has a committee of general managers, called Human Resource Inter Divisional Committee
(HRIDC), which is consulted on all major HR issues.

The initiative has been unveiled with an e-mail by Maruti's Managing Director, Mr Jagdish Khattar,
asking people to support the online questionnaire process. The 360-degree feedback system will also
include a self-appraisal by the general manager. At the end of the process, he can compare his self-
appraisal with the assessment of his subordinates and peers.

One of the benefits that Maruti is hoping to get out of the 360-degree feedback process is the sense of
empowerment and importance felt by subordinates, when they are asked to offer their feedback about
their superiors. Maruti currently has over 4,000 employees on its rolls.

CHAPTER 5 FINDINGS AND LEARNINGS

 They treat all employees equally

 They tries their best to increase the efficiency of the employee by providing them with different
motivational programs
 They make new recruits aware about the company and working conditions
 Maruti Suzuki has finite recruiting and training procedures.
 Having different recruitment process for different departments of the organization
 They provide different types of training to the different department according to the need of the
people
 They take feedback from their employee on regular basis
 Maruti have adopted 360 degree method of performance appraisal for their employees
 There are quality circles which can motivate employee and employer relationship

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 CHAPTER 6 CONCLUSION

Automobile market today is very dynamic & competitive with a range of players and products. There are
many reasons for the impressive growth of the Indian passenger car Industry. Some of these are easy
availability of vehicle finance, attractive rate of interest and convenient installments. In today‘s cutthroat
competition it is very difficult to survive. Stiff competition has forced manufacturers to be innovative and
responsive to customer demands and needs. Maruti Suzuki India Limited is a leading company in Indian
Automobile sector that occupies prominent place due to its innovative strategic marketing and effective
HR policies.

Some of the valuable facts and experiences are as follows:-

 MUL is also going for “OUTSOURCING”.

 Company also conducts “EXIT INTERVIEWS” at the time when any employee is leaving the
organization. In this he is free to say anything what he/she feels like about the organization and its
members.
 Initial training given to workers is of approx. 2-3 months and for managers 1 month.
 Training also helps in Morale-Boosting and increase in efficiency of employees.
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 In Financial Incentives company offers-“PRODUCTIVITY LINKED” and “RETIREMENT
BENEFITS”.
 In Non-Financial Incentives company offers “SOCIAL WORK IMPORTANCE” and “JOB
SECURITY”.
 MUL adopts “PARTICIPATIVE MANAGEMENT STYLE”.

CHAPTER 7 RECOMMEDATION

 Maruti Suzuki should focus on each and every department

 The complexity of the Selection Process should be minimized
 The company follows the exit interviews before the employee leaves the job; it is the better way to
improve the various problems occurring in the company. But the company should conduct the
interviews where the employers can discuss their problems and the problem of leaving the job will
not occur. So time to time interviews with employees is also a necessity.
 The company should give freedom to employees to form the informal groups; it can help the
company to know about the thinking of the employees easily through rumors.
 The company should give promotion to employees, it can help in increasing their morale

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 BIBLIOGRAPHY / REFERENCES

 www.wikipedia.com
 www.marutisuzuki.com/company-profile.aspx
 www.marutisuzuki.com/life-at-msil.aspx
 www.marutisuzuki.com/freshers.aspx
 http://www.studymode.com/subjects/hr-policy-maruti-page1.html

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PHOTOGRAPH:

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