Maruti bosses to be evaluated by juniors

As much as it loves to maintain hierarchical structure in the car market by holding on to its numero uno position, Maruti Udyog Ltd (MUL) is trying to be just the opposite when it comes to human resource management.

The company has hired global consulting firm Ernst & Young for a new human resource (HR) programme that involves online evaluation of employees, not just by superiors but also by peers and subordinates.

Even company Managing Director Jagdish Khattar, who kicked off the programme through an e-mail, could be assessed by someone at the paint shop under the programme.

"We are starting the 360 degree feedback process with functional heads. This will be followed by Directors and the MD," MUL Head, Human Resource, R.S.Y Siddiqui, said.

While many western companies have adopted such an approach as effective tool for leadership development, Indian companies have been shying away from introducing it for fear of disturbing hierarchy structures.

MUL is trying to challenge it and its new HR programme is aimed at bringing a paradigm shift in people management by incorporating best international practise.

As per the new programme, E&Y in consultation with MUL, will frame a list of leadership competencies that are expected at Senior Management level. Based on that a questionnaire would be prepared to which superiors, peers and juniors can respond online.

The programme by E&Y also ensures that junior MUL employees are protected when they assess their superiors.

"The critical issues in implementation are assuring respondents that their responses will remain confidential and convincing the person receiving feedback that this is a development tool, not an appraisal tool," said an HR consultant.

The 360-degree feedback process will also include a self-appraisal by functional heads. At the end of the process, MUL employees can compare their self-appraisal with the assessment of their superiors, juniors and peers.

The process is also aimed at giving a sense of empowerment and importance among juniors, when they are asked to give feedback to their superiors, a company official said.

MUL is also looking at E&Y's follow-up system that utilises learning from the feedback process to be used by the functional head to make a self-development plan. — PTI