Professional Documents
Culture Documents
practices : Aditya
Birla Group
By: Mentored By:
Abhishek Ranjan
Ankit Dubey Dr. Urvashi Sharma
Chhavi Duggal
Kanchan Kumari
Siddharth Gusain
Case Background
The longitudinal case study provides This article analyzes a longitudinal
a snapshot of the dynamic and case of organizational redesign and
turbulent nature of the new the emerging role of HRM during this
liberalized Indian economic redesign of Aditya Birla Group, the
environment and how an third largest diversified business
organization such as Aditya Birla group in India, that grew from US$1.5
Group needed to brace itself from billion in 1995 to US$7.59 billion in
competition through innovative HR 2006
practices.
Problem statement
◇ Having taken over the business KM Birla decided to consolidate entire group’s
companies under one umbrella of “Aditya Birla Group”
◇ KM Birla was criticized as a soft and shy person who lacked assertiveness and
expertise.
◇ An unapproachable management and his misplaced priorities resulted into
investors started selling off their shares.In 1996 the market value of group’s four
largest company Grasim,Rayon,Hindalco and gulf fertilizer suddenly decreased
by 37%
◇ So KM Birla took several initiatives to prove his critics wrong
Innovation
in Hr
Practices
Rising Sun!
Creating Identity
◇The symbol of the Rising Sun brought different
parts of the Group together, helped them as an
organization to reenergize ourselves, cross the
bridge, and to get started on the path of change.
◇ K.M.Birla also brought in some managerial changes in the group. Before K.M.Birla
took the chairmanship, the hierarchy in the group was determined by seniority
instead of merit. He instituted a performance appraisal system. He decided to
implement performance management systems, reviewed compensations and
accentuated on training to bring meritocracy.
Humanistic
Attitude
250 people
work to raise literacy levels, take health care to the hut-step of the villagers, and train them
to eke out a sustainable livelihood, empower women, provide basic amenities, and espouse
social reform
500 widows
have been remarried. The third community work is promoting widow remarriages and
dowryless marriages
Conclusion
◇ This case study ◇ Within a
explained how an hypercompetitive and
emerging Indian MNC turbulent environment,
redesigned itself within HR itself demanded that
a span of 10 years the organization
through its HR function develop new capabilities
to keep up with the aligned to the
accelerating pace of organization’s business
change in the external strategy
and internal
environments.
ThankYou