Importance of Leadership, Customer Satisfaction and Benchmarking in Total Quality Management (TQM)

Implementation of TQM:

* The management’s contribution is essential in any successful TQM implementation, especially of CEO.

* Next step is to form a quality circle, providing a vision, mission and quality statement. Middle managers are needed to be actively involved in the implementation.

* If there is any union present in the organization, representatives from it should be involved in the process.

Role of senior management:

Senior management must practice the philosophy of Management provided by Wandering Around or MBWA. They must let the employees think themselves. They must be informed of the topics of quality improvement by generating good reading habits. They must celebrate success in the organization. They must organize seminars, coaching etc. Customer listening is another parameter. Good and regular communication with feedback is again required with employees and consumers.

Characteristics of Quality Leaders

* The quality leaders take the matters with respect to customers and work on the changing requirements of the customers.

* Quality leaders are such that they have total control over the work of their sub-ordinates.

* Quality leaders believe in improvement more than in maintaining the current position.

* These leaders are more likely to prevent any mishap rather than waiting for them to happen.

* Quality leaders develop the skill of mutual co-operation rather than mutual competition.

* Quality leaders believe in working with the team, helping them from time to time.

* They believe in the concept of quality after learning from problems. They strive to improve the ability of dissemination of information.

Leadership Concepts

* A leader is well acquainted with the fact that all employees need independence along with security.

* Even though rewards and punishments matter to a large extent, self-motivation is highly followed.

* It is a common tendency that people like to hear well about themselves. They should be appreciated for their achievements.

* A leader is also required to make things easily understandable.

* Self-confidence is more trustworthy than the statistical data.

* People don’t obey a leader if his words contradict.

The 7 Habits of highly Effective People

* The first of these habits is to be proactive which means to look at alternatives and take decisions rather than wait for things to happen.

* Secondly, one must begin keeping the end in mind. One should be true to himself in taking any step in life.

* Thirdly, one must put first things first which is an inclusion of self-management.

* Fourthly, one must think win-win. This suggests that one should always be optimistic.

* Next, one must think such that he can understand what others say rather than seek to be understood by all.

* Sixth, one should believe in synergy such that he can achieve a goal with a feeling of togetherness rather than an individualistic approach.

* Finally, one must look forward to sharpen the saw. This means that one must enhance the four dimensions of nature namely-physical, spiritual, mental and social or emotional.

Quality Council:

Quality council comprises of CEO, senior managers of functional areas like finance, production etc. A regular meeting should be organized to discuss and plan issues like:

* Developing a vision, mission and quality statement,

* Developing a long term goal strategy

* Education and training plan

* Determining performance plan

* Determining processes that improves the present ones

* Establishing multifunctional project and group based work culture, developing a reward system etc.

Core Values and concept:

Some core values in TQM include customer driven quality which considers:

* It is end user who determines the quality of the product not any manager

* Second is leadership which states that

o Leaders need to set directions

o Continuous improvement and learning process in the organization and employees

o Valuing employees

o A more dynamic market response mechanism

o Emphasizing design quality and preventing waste through developing quality in the products

o Long term orientation rather than seeking short term opportunities

o Management by facts

o Developing partnership

o Understanding corporate and citizen responsibility and focusing on end result.

Shared Values:

Shared values process is composed of eight principles. They are:

* Treating others with truth

* plentiful trust on co-workers and associates

* Creating learning atmosphere with unselfish mentoring (employee to management and vice versa)

* Invites new ideas

* Take personal risks for the sake of organizational benefits

* Appreciate people wherever possible

* Honesty

* Put other’s interest before your own


Organization must leave cause of unethical behaviour and should manage ethical management program.

Quality Statement:

It includes vision statement: It is what an organization will seek to achieve in near future, mission statement: mission statement states that what is the organization is all about, who are the consumer, how it work etc. and the important one that is Quality policy statement: it is a type of guide for everyone in the organization to know how to provide service and service to the consumers.

Strategic planning:

Strategic planning is for about three to 10 years. It comprises of

* Goal and objectives: Goals are ultimate aim and objectives are intermediate checkpoints.

* Seven steps of strategic planning including consumer need, positioning, predicting future, gap analysis, alignment, closing the gap and implementation.

* Yearly quality improvement process


Interactive form is best when communication is between workforce and immediate supervisor, formal communication includes printed and electronic communication which includes graph, posters etc. Feedback adds to the soundness of effective communication.

Decision making:

Here seven habits are highly efficient:

* Being proactive

* Keep the result in the mind

* Prioritizing

* Think “win/win”

* Try to understand first than to be understood

* To be in race (sharpen the saw) and

* Synergy.

Leadership survey:

This is a tool to evaluate the leader’s performance.

Customer Satisfaction

Who are customers?

A person who employs the service or buys the product is often termed as consumer or customer. Two types of customers are identified by the customers: External and Internal.

* Internal customers are those lying within the organization like engineering, order processing etc and

* The external customers are those who are outside the organization and buy products and services of the organization.

Consumer perception of quality:

As the customer’s need, expectation and values keep on changing, there is no such picture of customer’s quality need. As according to ASQ, survey, important factors for purchase for the customer are:

* Features

* Performance

* Price

* Service

* Reputation and

* Warranty


TQM requires customer feedback to be continuously monitored. It is required to identify costumer dissatisfaction, needs, opportunities for enhancement and comparison with substitute in the market.

Methodology for feedback involves comment card, survey, focus group, toll free numbers, report card, internet, customer visits, employee feedback and using standard indexes like ACSI of “American Customer Satisfaction Index”. ASCI allow contrast in between company and industry averages.

Using customer Complaints:

Studies suggest that the customer who did not complain is most prone to switch to another product. Every individual complaint is needed to be entertained. Results also suggest that half of the dissatisfied-customers will buy again if they feel that their complaint had been addressed.

Service Quality:

Research suggests that elements of customer service are:

* Customer care: A firm must revolve around the customers.

* Communication: Communication with customers is essential.

* Organization: Such that same level of quality can be delivered to everyone.

* Front-line people: Only the best employees should be allowed to communicate with the customers.

* Leadership: Involvement of management is essential in any quality management process.

Translating needs into requirements:

Kano model is the most basic conceptualization of customer requirement. There are three lines-red, blue and green to explain its ideology. The red line shows innovation, blue shows spoken and expected requirement and green line shows unspoken and expected requirements.

Kano model is based on an assumption that a customer buys when he needs something, however is it not completely true, an organization must overflow the customer needs. This can be understood by “Voice of the customer” concept.

Customer Retention:

It is more powerful and efficient in company’s point of view as with customer satisfaction. It is involved with the activities which basically are related to customer satisfaction in order to increase the loyalty of the customers towards the company.

It moves customer satisfaction to next level by determining what is actually important for the customer.

Quality Management Systems

Quality Management Systems like the ISO are required to facilitate the exchange of goods between customers and sellers across different nations worldwide.

Benefits of ISO Registration

* After the inclusion of ISO in the products, it was observed that most of the attributes of internal quality like scrap were measured to be better.

* The reliability of the production also increases as a matter of fact.

* Even the external qualities that were measured by customers were highly improved after the inclusion of ISO standards.

* The time performance of the system also increased vastly as a result of this.

* The cost of producing poor quality also decreased after including ISO standards.

ISO 9001 Requirements

* Scope: ISO 9001 is essential to meet the customer’s requirements such that customer satisfaction is attainable.

* Normative Reference: The fundamentals and vocabulary provide the normative references.

* Terms and Definitions: In addition to the standard terms and definition, the chain starting from supply to organization to customer is required in the terms and conditions.

* Quality Management Systems (QMS): The organizations should look to establish, document, implement, and maintain a QMS for effectiveness.

* Management Responsibility: ISO 9001 guarantees management control, customer focus, quality policy, planning, responsibility, and a review by the management at the general level.

* Resource Management: This includes provision of resources, human resources, infrastructure, and a proper work environment in order to achieve the goals.

* Product Realization: This section of ISO 9001 secures planning of product realization according to the requirements of the QMS, customer related process, design and development, purchasing, production and service provision, control and monitoring and measuring devices.

* Measurement, Analysis and Improvement: In general, the statistical technique and the extent of use should also be reasonable by the concept of ISO 9001. Under the monitoring and control there should be customer satisfaction, an internal audit, monitoring and measurement of processes and also products and services. This also includes control of nonconforming products, analysis of data, and improvement continuously by taking corrective and preventive action.


The next important factor to understand in this context is the implementation of the quality management system. This can be done in the following steps:

* Top Management Commitment: It is highly essential that there is total support of the higher level authority of the organization.

* Appoint the Management Representative: After the top management is contented with the procedure, it is important that the correct representative is appointed so as to follow the quality system with care.

* Awareness: It is also required at this point of time that the organization spreads awareness of the quality systems as it effects all who are attached with the organization.

* Appoint an Implementation Team: Once the levels are all made aware of the quality systems, the organization should form an implementation team such that it is kept visible to all the employees in the future.

* Training: All the above mentioned teams should be trained in order to produce the best results.

* Time Schedule: There should be a time schedule such that the activity is followed in the correct time sequence and the results expected of the implementation of the quality systems are achieved as desired.

The other processes to follow are selecting of the element owners, reviewing the present system, writing the document, installing the new system, internal auditing, and management review, pre-assessment and registration.


One must appreciate the fact that the quality systems are meant to be recognized by all. This implies that it is very important to have simplicity rather than complexity in understanding. It should follow the following four principles:

* Policy: This defines as to what would be done and why would that be so. This should be done extremely carefully as it is the root of the documentation on which the entire quality system depends.

* Procedure: Next, one must decide the methods that would be required in order to achieve the task. It includes making decisions related to when the tasks are to be done etc.

* Work instructions: This gives the detail of the documentation. Based on the readings of the work instructions, the readers would come to know of the idea behind the quality systems.

* Records: In order to keep an account of the actions on a specific product, it is required to keep the record.

* Document Development: In order to provide a proper document, it is required to gather all the policies, procedures, work instructions and forms that are being used presently. This will form the basis of the new work.

Internal Audits

The purpose of internal audits can be seen as follows:

* It will compare the actual performance of the quality system with the one that had been documented.

* It would take the corrective measures for the same.

* All those items that were non compliant previously, would be followed

* It would provide continuous improvement through the feedback to the manager.

* It would also create a further chance of improvement by generating a cause to think.

This internal audit would be done by the auditor by using the techniques of examining the documents and following the procedure of the audit plan.


If Quality systems are assessed by a third party called as a registrar, it is referred to as registration.

A registrar is chosen based on the qualifications and experience, certificate recognition like approval from RAB, the registration process according to the organization’s needs under the time and cost constraints and the auditor’s qualifications.

It is essential to mention at this point that registration is not a compulsion. It is rather a provision such that the nonconformities are solved.


Finally Benchmarking is done to measure performance as a comparison with those adopted by the best organization in the industry.

Reason for benchmarking:

It is a tool to achieve competition and corporate goals. It is a tool for organizations to reduce its weakness and to enhance its strengths. Benchmarking requires external orientation as it greatly reduces the uncertainty offered by global and external competition.

It is time and cost efficient and provides working model of a better process.

The primary weakness of benchmarking is attaining the best practices is just like catching a moving target. Key threat is continuously improving technology.


Organization that adopts benchmarking, take the process to adjust with the present culture and needs. Six steps that are crucial are as follows:

* Estimate present performance

* Decide what the organization can benchmark

* Apply a study on others

* Try to understand form the data collected

* Plan

* And utilize the findings

Two famous industrial standards are those of Xerox and AT&T’s 12 step process. Let’s have a close discussion on the above headings.

Deciding what to benchmark:

Most organization has a strategy to decide that which benchmarking strategy to adopt. This is mainly highlighted in terms of vision and mission statement. These statements determine the “critical success factors”. Thus when deciding what to benchmark, it is best to start with analyzing vision statement and critical factors.

Understanding present performance:

To apply benchmarking that requires applying outside policies in organization, it is essential to analyze own policies and performance first. Current performance can be understood by various methods such as cause and effect diagram and flow diagram.

Exceptions should be identified. Units of measure must be determined and proper documentation is required here.


After identification of process and documentation, next step is to plan the way to conduct the study. A team known as benchmarking team is needed to be selected. It is the responsibility of the team to decide what kind of benchmarking is to be carried out. The team also prepares time-line for the process to decide the desired result from the study carried out.

Studying others:

Studies related to benchmarking concept seek two types of data. They are details of best practices and results that can be measured from these practices. Information needed form others in benchmarking may be present publicly and may not need to research down. But there remain few things that are tough to investigate form open sources. For these kinds of information, team can conduct site visits; questionnaire and can apply the focus group etc to determine the desired information.

Learning form data:

Benchmarking studies can reveal 3 basic kinds of outcomes like

* The result of external process’s supremacy over the internal process

* They may be equal

* Internal process can be better than the founded and explored external process

In this analysis, important thing is parameters of judgement of the process.

Using the findings:

If the study of benchmarking standards reveal the gap between the internal process and the observed process in negative, the next task to bridge the task by appropriate steps.

Pitfall and criticisms:

Most important pitfall is benchmarking is like copying others. Question here is how can an organization become the best if it copies from the best? Innovation is lagging in benchmarking.

Thus benchmarking is not a substitute of innovation but is just a source of successful ideas.

Overall, we can see that if the ultimate motive is customer satisfaction; leadership and benchmarking should be deployed in conformity with Quality Management Systems to manage the system well.

Talent Management, Acquisition and the Importance of Role Consultancy


In all businesses today, aligning human resource management with business strategy has become an important element to succeed. Organisational restructuring, managing key resource requirements, performance management systems, career and succession planning have all been re-aligned to form synergy with the company’s overall business strategy.

With increased competition, changing workforce demographics, talent shortages and increased globalization, many organizations are now proactively studying leadership, demographic and economic trends, to prepare for their future workforce needs. HR departments are developing comprehensive workforce plans and talent management strategies centered on attracting, assessing, selecting, engaging, and retaining talent

The practice of Talent Management is more important in today’s economy than it has ever been. Now in the new millennium, we find ourselves in the talent age. In the new millennium the only unique asset that many companies have to maintain a competitive edge is their people. In the global market place and every industry around the world, it is the talent and its management that differentiates and sets the tone for success or failure

To achieve organizational goals, one must synchronize their business strategy and human capital strategy. Successful organisations have the right talent in place at all levels – people who look beyond the obvious and take the business into the future. The basis for ensuring this is an integrated approach to talent management.

Finding and keeping the right people has an enormous effect on one’s organization’s financial performance. Identifying these talents and hiring people whose talents are similar to those of top performers are crucial steps toward achieving individual and organizational success Talent management and leadership development remain the biggest Human Resources challenges. The two issues are rated “highly critical for success” Talent management means aligning talent strategies with organisational needs; attracting and selecting the right people, identifying and shaping their potential and fuelling their enthusiasm and commitment

Effective talent management is a critical business goal for all leading organisations in today’s economy. Human resource management is a process of bringing people and organizations together so that the goals of each other are met. The role of Human Resource manager is shifting from that of a protector and screener to the role of a planner and change agent. The knowledge age moved the basis of economic value to information assets through integrated communications and computer technology. Now the competitive battlefront is for the best people because they are the true creators of value. PEOPLE provide unique knowledge, an inherent component of the value-proposition that PEOPLE bring to an organization; knowledge gained through education, training, and experience. Investment in PEOPLE will position organizations for continual innovation in an increasingly diverse, competitive and ever-changing climate

Human capital is the most vital resource in any organization and also the most difficult to manage. Today the success of Human Resources professionals is directly linked to the quality of talent and its productivity and they are being held accountable to deliver on stringent and measurable performance metrices. Building a competitive talent pool is a function of attracting, engaging and retaining the right mix of competencies. Companies are also increasingly hiring employees whose personalities and values reflect those of the organization

Talent Management is more and more business critical to organizations, bringing with it, new visibility and challenges. For Human resources people, employees are the face of company’s brand and the most vital asset of one’s business. They drive organisation’s productivity and profitability. Aligning Talent Acquisition to the organization’s strategic objectives is imperative to the success of the organization and Human Resources tend to concentrate in recruiting those key people and focus their attention and resources on developing them. Indian organizations are also witnessing a change in systems, management cultures and philosophy due to the global alignment of Indian organizations. There is a need for multi skill development.

It would be apt at this juncture to recapitulate on the nuances on Talent Acquisition and Recruitment

Recruitment and Talent Acquisition are used synonymously but there is quite a lot of difference between the two. Recruitment involves the process of filling up of the vacancies where as talent acquisition shows the strategic hiring of talent not only for the current requirement but also planning for future. McKinsey & Company (1997) that coined the term ‘the war of talent’, predicted that there is high demand for managerial talent in future. The survey report insisted on five elements for tapping the successful talent such as talent mindset, growing great leaders, employee value proposition, continuous top talent recruitment and differentiation. Hence the companies need to be forearmed to anticipate and determine the talents.

Recruiting- been viewed as a transactional, commodity based business function to fill job openings with qualified people. In contrast, Talent Acquisition is distinct elements of the Talent Management continuum, a proactive, strategic function, procuring talent for the organization’s value add. Talent Acquisition is no longer a silo in the human resource function, but collaboration with specialists from other functional areas within Talent Management to posture a company for talent who will evolve and become strategic partners within the organization. Talent Management/Acquisition asks: do we have a strategy in place to attract and retain qualified employees; do we know what business is in the pipeline, what the staffing needs are for the next six-twelve months, bill rates that determine potential candidate salaries, etc

On moving to a Talent Acquisition model there is a significant difference between those organizations that practice recruiting and those that have a talent acquisition practices

Recruiting- To identify & select a person for a position.

Talent – A special often creative, artistic or mental gift.

Acquisition – To gain possession of something as a result of effort or experience.

Strategic Talent Acquisition takes a long-term view of not only filling positions today, but also using the candidates that come out of a recruiting campaign as a means to fill similar positions in the future In the most enlightened cases of Strategic Talent Acquisition, clients will recruit today for positions that do not even exist today but are expected to become available in the future. Recruiting is involved on the front end of the process; Talent Acquisition would be as a collaborative business partner. Aligning Talent Acquisition to the organization’s strategic objectives is imperative to the success of the organization

Role of Consultancy in Talent Acquisition and Talent Management.

The Talent Acquisition needs of companies are becoming more and more intricate – which means more focus and effort for proper functioning. Cross location, multiple skills, blend of technologies and personal attributes makes the hiring process a very involved effort

By outsourcing Talent Acquisition function, the organisation can focus on core business issues, while they have a reliable framework of Talent supply. This is a new emerging paradigm which is making a lot of companies tread this path. Nurturing Human Capital via Talent Management, would be the focus of Talent acquisition and recruitment. Recruitment Support includes activities from pre- and final- screening, interview management, Offer Management and Data Management. Recruitment is integral to talent management and requires considerable executive management mindshare. Recruiting is changing fast, with myriad challenges facing those responsible for attracting, hiring and retaining top talent.

The role of human resources has shifted within most leading organizations and Human Resource practitioners are now required to demonstrate value to the business. Talent acquisition platform can be configured to fit the size and structure of any recruiting organization Working closely with the business, Talent Acquisition Consultant- would manage all Experienced Hire Recruitment

Talent Acquisition Consultancy would work in cohesion and coordinate with the respective & assigned business function(s) to source, recruit and select the best Talent for the organiation

Talent Acquisition Consultancy – would work in the role of a partner to align strategies that would support business objectives and create processes, tools and cultures that attract, motivate, engage and retain strong, high-potential Talent.

Talent Acquisition Consultancy- with the background and exposure of global competence in executive recruiting, and also country specific knowledge; will be in position to play a critically important role in identifying high profile executives and recruiting top global talent. Talent Search Service would range from single assignment to regional or global and could include multiple positions in various locations

Talent Acquisition Consultancy Would Play A Significant Role In

Identifying Top/Senior level Talent for all business groups and be responsible for identification, recruitment and on-boarding of senior level leaders throughout the organization utilizing direct sourcing techniques including personal networking, online search, and leveraging internal tools and resources

Responsible for providing creative sourcing solutions to customers in a consultative role. Recruiting through a variety of sources, including Internet, professional associations, networking, advertisements, job fairs, university relations, etc. Function as a full business partner to develop staffing processes, identify business issues and recommend innovative solutions.

Find, assess, engage, hire, and on-board the highest quality candidates, especially in the critical skill areas. Assess candidate skills, background and fit so as to predict performance levels and styles with a high degree of accuracy.

Manage the full life-cycle of the recruiting process – Recruit / Source, contact, screen candidates.

Assess candidate’s competency to include job fit, motivational fit and culture fit.

Source, identify, and screen candidates to determine if their technical ability, attitude and personality make them a fit for the Client’s culture

Develop candidate talent pipelines through sourcing channels, recruitment campaigns, internet searches, networking groups, social media, database search

Talent Management

Once the Talent Acquisition process is completed the human resource professionals have to concentrate on the next level of Talent Management- Talent Development. It is necessary to develop the skills of the employees through Training and Development Talent Management in organizations is not just limited to attracting the best people from the industry but it is a continuous process that involves sourcing, hiring, developing, retaining and promoting them while meeting the organization’s requirements simultaneously

Talent Management, as the name itself suggests is managing the ability, competency and power of employees within an organization. The concept is not restricted to recruiting the right candidate at the right time but it extends to exploring the hidden and unusual qualities of one’s employees and developing and nurturing them to get the desired results. Hiring the best talent from the industry may be a big concern for the organizations today but retaining them and most importantly, transitioning them according to the culture of the organization and getting the best out of them is a much bigger concern

To achieve success in business, the most important thing is to recognize the talent that can accompany one in achieving one’s goal. Attracting them to work for you and strategically fitting them at a right place in your organization is the next step. It is to be remembered that placing a candidate at a wrong place can multiply one’s problems regardless of the qualifications, skills, abilities and competency of that person

Talent Acquisition and Talent retention are like the two sides of a coin that are critical in the human capital management. Innovative technologies are to be adopted to enhance the process of Talent Management. With the dynamic situation prevailing in the global employability status, the role of human resource managers is very imperative in maintaining the talent balance. Holistic cum participatory approach is to be followed for harnessing the real benefits of Talent Management system. The Talent Management system that acts as a driver to performance excellence has to be integrated with the rest of the areas in the company and through effective Talent Management strategy.

The practice of talent management would involve no of strategies used in the management of human capital resources and their application. We shall dwell on few critical issues that are imperative in the management of talent and their significance:- i. e for Talent Management Best Practices:-

Key points & factors

Talent Acquisition

  • Assessing organizational talent readiness and execution capability
  • Identifying talent gaps
  • Identifying mission critical positions
  • selection- identification- & recruitment- of right people
  • assessment- assessing competencies of apt profile

Retaining Talent

In the current climate of change, it’s critical to hold onto the key people. These are the people who will lead the organisation to future success, and the organisation can’t afford to lose them

Employees are more likely to join stay within an organization if they believe the prospects are good for longer-term career and leadership development

To realise this and to attract and retain Talent -Organisation need to have a

Workforce planning ·building a road map for implementation

Diversity programmes designed to develop, retain and promote diverse Talent

Career Planning- – scope of advancement in career for employees- their effort being valued and recognized-

Selecting Talent:- Management should implement proven Talent selection systems and tools to create profiles of the right people based on the competencies of high performers. It’s not simply a matter of finding the “best and the brightest,” it’s about creating the right fit – both for today and tomorrow.

  • Coaching and Mentoring- development of-new competencies.
  • Using development to drive business objectives
  • Building an effective development plan
  • Development of employees – for a elevated and key position

Developing processes for Succession Planning and Talent pipelines

Managing Succession: Effective organisations anticipate the leadership and Talent requirement to succeed in the future. Leaders understand that it’s critical to strengthen their Talent pool through succession planning, professional development, job rotation and workforce planning. They need to identify potential Talent and groom it.

The cost of replacing a valued employee is enormous. Organisations need to promote diversity and design strategies to retain people, reward high performance and provide opportunities for development.

It’s imperative to assess existing talent within the organization. Talented and ambitious people are more likely to stay with their current employer if they receive positive development, motivation and encouragement to reach their potential

Organisation need to focus on managing the needs of individual employees, in alignment with organizational objectives, while identifying and deploying top performers accordingly.

a) For the individual: Coaching and mentoring based on discovered needs.

b) For the work team: Identifying top performers, or “stars,” and capitalizing on their talent.

c) For the organization: Maximizing return on investment by putting the right person with the right skills in the right job at the right time

Identification & selection of – high performers- represent the requisite competencies of the organisation and also inspiration to others to follow suit.

Focusing on Core Talent

Companies are increasingly looking at bringing exceptional talent on board for those roles that are core to their business and·building a business case for inclusion in the organizations strategic policy

In an increasingly global business world, where teams work across borders, understanding different work cultures is the key to success.

In India, there is a high demand for good talent and hence a lot of attention is being given to retaining and engaging that talent. Retaining talent for Indian companies has become a key factor in their growth strategies.

We shall just give a brief sketeh of talent management systems adopted in an Indian organisation.

Mahindra and Mahindra — A US $12. 5 billion multinational group based in Mumbai, India, with more than 137,000 people in over 100 countries, in the business of utility vehicles, information technology, tractors, and vacation ownership- – created a robust Talent Management system to attract, nurture and promote employees.

Anand Mahindra, the group’s 57-year-old vice-chairman and managing director has been grooming some key leaders to replace the ageing stars. A Talent Management programme conceptualised in 2004 to chart out the succession plan for top executives, has already produced eight key leaders.

For the group, organisational restructuring posed the greatest challenge keeping in mind the changing dynamics in the business especially the tractor and automotive division. the re-alignment was necessitated by changing dynamics in the business environment. the objective was to grow leadership positions in the UV and tractor market and developing successful businesses in relatively new business areas like IT, financial services, realty and infrastructure development and also service industries like Time share (Club Mahindra). “Keeping in mind the new business objectives the challenge was to re-orient the human resource management towards these objectives. “

To achieve these objectives the company began a full reassessment of organisation and management structure with the help of consultants like Mckinsey’s, Arthur Anderson and Korn Ferry. The outcome was, clear roles and responsibilities were identified and the competency required for each role was mapped. The officers went through individual assessments of competencies against the requirement of each role. External consultants as well as internal assessors ran assessment centres and each individual was then placed based on competency and role fitment

THE RETIREMENT OF ARUN NANDA (Executive Director – 2 Years ago) marked the beginning of the end of a long reign of stalwarts. New leaders are already rising and showing every sign that the group’s succession planning initiatives will help fill the void. Most are in their forties, rising rapidly and are being thrown into different roles in the group – clues that they are being groomed for greater responsibilities.

Many emerging leaders were inducted onto the group’s apex-decision making body Group Executive Board in 2010 in preparation for the retirement of six members on the board.

Anita Arjundas, the 44-year-old head of the real estate business and the lone woman member of the group executive board, mirrors the emergence of a quiet transition that is taking place inside the automobile-to-aviation group.


Today, companies have become fiercely competitive when it comes to attracting and retaining Talent. The present scenario with abundant opportunities has triggered a wave of employees, perpetually “on the move”, forever seeking better opportunities whenever, wherever and however they can

Talented people want to be a part of something they believe in and not just a fat pay package. A culture of commitment is the key to employee retention- a culture that concentrates on vision, mission, values and ambitious goals to attract and hold on to talented people. This culture of commitment can only set in if there are guiding principles or core values that are of intrinsic importance to those in the organisation.

Cultural dimensions as a tool to retain talent zeroes in on functional, technical and control aspects, while simultaneously dealing with inspiration, emotion, energy, enthusiasm, collaboration and camaraderie, openness and a sense of belonging

At the end of the day, creating and delivering a great employee value proposition is clearly the best way to retain good people. Research shows that companies which have recognised the need to give priority to its people management-driven strategies are the winners