LG Electronics India Pvt. Ltd.

, a wholly owned subsidiary of LG Electronics

(LG), South Korea, was established in January 1997 in India. One of the
most formidable brands in the consumer durable and home appliances
segment, LGEIL has an impressive portfolio of Colour Televisions,
Washing Machines, Air-Conditioners, Microwave Ovens, Refrigerators
(Direct Cool and Frost Free), PCs, Vacuum Cleaners, Audio Systems,
DVDs, PDPs, optical storage devices, Laptops and GSM mobile phones.

What kickstarted as a simple-minded initiative to build a happy workforce

with little resources has grown over time into a 1,750 workforce completely
dedicated to its 21st century vision of becoming a true global digital leader
who can make its customers worldwide happy through its innovative digital
products and services. The HR practices at LG reconfirm the company’s
belief that culture building is integral to work practices. The most frequently
used words at LG are targets, transparency and performance.

Management Philosophy

Our management style is a mixture of both the Korean style and the Indian
way of managing organisations. There are committees within the factory that
handle various issues concerning an employee. Any request they have is
presented to the HR department in a formal forum and then debated upon.
No issue takes more than a few days to be solved satisfactorily as both the
parties are actively involved in providing the solution.

Work Culture At LG

We have a very open and a boundary less open work culture where our HR
coordinators are in constant touch with the team leaders and the shop floor
employees. Within the shop we have introduced the ‘mentor’ concept where
each team leader has to train his team members one new area once every
week. You would be surprised to know that some boys who can't even talk a
single word of English know how to operate a laptop and make
presentations. We also have an in-house journal, which carries articles,
industry information, general tips written by our employees and their
families.

The HR Challenges In Consumer Durable Industry

The consumer durables industry is a very competitive industry. Every year

couple of new players are entering and they are all global players and the
 competition is to that extent that if the company doesn’t perform it can go
down the drain in one to one half years time. To survive in this environment
unless the employees are highly innovative and highly performance driven
the company will not retain its position. Therefore, HR has one important
job, which is to create a performance driven culture. And second to provide
training, education, counseling and lot of other things to change the mindset
of the employees.

On Training Initiatives

We are a learning organisation and our people are provided training

beginning from induction to the function specific training. We have
quarterly training programs for all our employees. Each year, the company
provides 13 man-days of training to every employee. In addition, we have
monthly 'melt-ins' within the department on any evening. This ensures
proper teamwork. High-performing employees are also sent abroad for
training, to our HQ, to benchmark and set stretched goals

On Performance Appraisals

We believe that fair and free appraisals is essential to good employee

management. Employees need to know how they have performed, how they
have measured up to the expectations of the management. LG has an annual
performance appraisal system, which allows employees to assess their
worth, the value addition they bring, and their understanding of themselves
both functionally and behaviourally, and as individuals and team members.
Recognising and rewarding is the best tool for helping employees realise
their worth in the organisation. In addition, a half-yearly performance
evaluation is used to give a half-yearly bonus.

Rewards And Recognition

LG feels the pulse of its employees through organisation-wide climate

surveys, consensus management, a bi-annual rating by customers and the
performance management system. The company does not have a
performance club. Nonetheless, high performance is recognised through
bonuses and fast-track promotions. LG Electronics employees has designed
performance incentives which are cash-based. These are awarded twice a
year which can be as high as five months of base salary every six months for
superlative performance.
 Attrition Rate In LG

Attrition rate in LG is 6pct. I believe that 4 to 5 pct attrition rate is a must.

Because that shows that you are better than others. And it also helps people
to get promotion and also welcomes people with fresh ideas.

Retention Policies

Once key staff have been identified, the next step is to focus on how you
will retain them. In this scenario, the employer must be aware of the
employee's objectives and career roadmap and work towards these. This can
be done through training programs, frequent feedback and monitoring, and
of course, good top-down communication.

Incentivisation

Money is a great motivator! If the industry demands good pay why should
people work for you for less? Therefore, we believe in offering good
compensation better than our competitors to our employees. In append, we
provide them benefits like club benefits, health plans and constant festivities
for we want employees' families to be happy too so that family pressure to
stick on will be an added boost to HR retention initiatives!.

Hiring Strategies

Any right-thinking organisation must hire the best it can afford, so the search
should never be rushed. We at LG, look for certain important attributes i.e a
great attitude, team-spirit, an open personality, good domain expertise and
an ability to give of himself to others. Having found the right people with
the right profile, the process has to be swift. We believe in hiring people
who will `fit' in with the culture of the organisation.

Recruitment Policy For Management Trainees

For management trainees we do visit engineering and management schools.

As far as campuses are concerned we do not visit "A" grade institutions, but
select the best from "B" grade institutions.

Mid-career Recruitment
 People with potential from within the organisation are given the first
preference. After that we look for candidates from outside. We normally go
through our own data bank and employee referrals. In case that is not
available then we go through consultants and also refer
http://www.naukri.com/ch/"http://www.naukri.com/" for headhunting our
candidates.. Normally, we do not go through the press.

Postings/ Transfers

Our employees are posted at our works in Greater Noida and in Pune and at
all our 48 Branches and 78 area offices. We do transfer people from one
location to another based on requirements.

Jobs On Offer Right Now

Currently, we have jobs for the manufacturing of GSM mobile phones.

These lines are primarily being set up for exports requirements.