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HR and IR in JAPAN and INDIA

After world war-II (1945), Japan faced severe economic crises and tremendous industrial relations problem. During the era of 60s, there was severe Industrial Relation Problems led by communist. But in 1974 the oil crises opened the eyes of union leaders as inflation was very high. Unemployment rate recorded historical highest and average wage level was also going down. Judicious union leaders began to say Consistent theory and many followed. In 70s, Japanese Union came up from the state of confrontation to collaboration. There was business realisation among Worker, Union. Last strike in 1976 Today, out of 60 million labours 12 million labours are unionised and 48 million are non unionised Innovation to find out new frontiers (New Product) Reduction of total cost including personnel expenses Education and training of employees Full utilisation of the brains of employees Initiatives were taken by Industries in the field of Industrial Relations and Human Resource Management to make the industry more competitive and profit making. These initiatives worked as catalyst to bring out the change. Union shop system was introduced wherein only one union can operate in a factory. Contract labour was not the part of union system. Different communication methodology were introduced like a) Management council: Matters on production planning, commissioning and shutdown programme, alteration and abolition of jobs. Meeting once in three months.

Explaining labour unions and exchange of opinions carefully on the matters having serious influence on working conditions. Company has the final enforcement right even if no agreement is reached. b) Labour Management Committee: Matters on monthly production planning, Relocation and transfer, matter on welfare facilities, accident etc. Meeting one or twice in a month. Company has the final enforcement right even if no agreement is reached. C) Collective Bargaining: Matters on the establishment, alteration and change of service condition, agreement, working hours, holidays, leaves, wages, compensation etc. Company has no enforcement right unless an agreement is reached. Generally union accepts by give & take. Before the collective bargaining process is initiated proper homework is done to reach to a meaningful understanding and agreement. Unofficial meeting are organised with union to communicate the expectation of management. Wherever unions have been dismantled, the Association was formed in place of union. Structured Training programme for union leaders on Business, Behaviour and Benchmarking (3 B). At least one programme in each quarter. Change of union leadership / Office bearer after certain period of time. Union also prepares Annual Goal & give to the Management for a financial year i.e. commitment of contribution. Reduced the multiplicity of union and favour to co-operating union. Training of union on collective bargaining and negotiation. Involve union in company image building, corporate responsibility and other social activities. Different company visits for union leaders.

Educating union on different HR Practices.


Annual standardization of existing HR system Do some new. Recruitment of new employees based on global requirements and more on qualitative than quantitive.

Detailed goal setting exercise of individual, department and company. Difficulties are also rated. Efforts made is recorded and appreciated. Paradigm shift on Pay for Performance from Seniority Basis at all levels. Compulsory training to enhance behavioural and technical competencies. Section Skill Evaluation was introduced and monthly report is displayed on the notice board of each section. One research per person campaign and every employee is provided company notebook with the information of corporate philosophy, yearly event, budget plan, etc. Plan, Do, check, Act (PDCA) has become the culture of workplace. TQM and Quality Circle are effectively practiced. Each employee given training, How to become Creative. Employees contribution are communicated to the families and societies. Employees are shown movies on company philosophy, achievement, challenges and way forward. These movies are of maximum 15 minutes and shown to every employee at every level.

Different HR Practices in Participating Countries


While interacting with HR professionals of the different countries, we had an insight into different valuable HR System. High sense of learning (Different HR Conferences at inter plant level, sharing problem etc.) Company organises Sharing Dealers Experience on the product and consumer behaviour with the manufacturer (Workmen / Managers). This is organised at factory level.

Developing Floor Manager as HR Manage


Introducing HR Clinic Case Studies
Different HR Practices

No instruction to employees but leads their mind to be aligned with the concern of the management to the best interest of the company. One person 3 Roles concept Operator as Operator

More emphasis 3-P Model (Position, Person and Performance) Bottom up type management Strengthening the Shop Floor Operation. Internal Recruitment by Assessment Center and Organisational Development Center

What we need to learn


Short Term Plan Explanation to Middle and Junior level management about the work culture in Japan, which includes Technical & Behavioural approach. Sharing with all Union Leaders on the system and practices of Japanese Industry and the role of unions. Business orientation programmes for union leaders Educating them on business realities Department meetings with Union Representatives, Managers on regular interval to avoid misunderstanding and clear communication Meeting on regular intervals with senior union leaders. Long Term Plan Preparing union for change, keeping in view the long-term settlement. Preparation of Training modification modules for upgrading Skill and behaviour

Involving union and families in development programme etc.

different image

building,

community

Developing and practicing different small group activities. Training programmes for Middle and junior level management on problem solving, work culture and commitment. Organising Get together with Section Managers and Union Representatives to have better inter personal relationship.

INDUSTRIAL RELATION

In JAPAN
From confrontation to collaboration Unions are aware about business realities. Performance linked pay is welcomed by both parties

In INDIA
Change is in process. Unions still have not accepted the business realities Reluctance to adopt this pay system

Highlights
Two way communication between union and management. Union shop system (Single union) rather than Open Shop system A planned Labour Association is preferred than a Labour Union Educational and Attitudinal training programs for union office bearers Union should be perceived as working partner rather than Problem creator

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