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Quality Circle Activities at Hindustan Zinc Lilmited

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A PROJECT ON VALIDATING “COMPETENCY MAPPING” FOR ATTAINING THE BEST “QUALITY CIRCLE PRACTICES” AT HZL

Executive Summary

Successful quality circles offer a wide variety of benefits for businesses. They talk about the perceptions as well as employee's awareness, increase management's awareness of employee ideas, as well as employee awareness of the need for innovation within the company. Adding on, quality circles can improve a business's competitiveness by reducing costs, improving quality, and promoting innovation.HZL with the above motives, implemented the Quality Circles. The Quality Circles lead t self development, mutual development, quality improvement , cost reduction, waste reduction, productivity improvement, improvement in safety, job satisfaction , problem solving opportunities, people involvement and participation in team building. But, at present the Quality Circles are not able reciprocate the same.

Therefore the present study aims at two basic objectives

Phase I:

  • To understand the Quality Circle activities at Hindustan Zinc Lilmited.
  • To understand the perceptions of the Quality Circles facilitators and leaders in respect to the formation of the of the Quality Circles

So the quality circles being not up to the mark ,the project aims to streamline the Quality Circle activities at Debari and to provide impetus so that the members get onto self-motivated mode. Further, to facilitate the environment for the activities and conduct appropriate guidance structures at Hindustan Zinc Limited .There must be support based on the respect of humanity, aiming at participation by everybody .Also, to develop capabilities and capacities of the Quality Circle members and to make the work place full of vitality.

Phase II:

The second phase explored Competency Mapping of the employees.Competency plays an important role in shaping up the perceptions of the employees.It is basically a measure to avoid making the mistake of hiring a round peg for a square hole. One of the underlying principles of Competency Mapping is finding the right person for the right job (specially the Facilitators of the quality circles).

After the detailed study on reasons behind the non effectiveness of Quality Circles, Competency Mapping Study was taken up. The facilitator's competencies were taken into account for the same. An effort was taken up to relate the individual competencies to the competencies required for the best Quality Circle Practices at HZL.

Identifying, assessing and linking people competency with the Quality Circle competency from the core mapping. Competency Mapping is a process of identifying key competencies for a particular position in an organization. Therefore, the executive's opinion about the competencies required for the Quality Circles was taken into account. The relevance and role of HR Managers is going through a flux. The new generation HR Manager attempts to link their individual competency with those set of competencies, which make them successful in their leadership role. In the present study, executives from various departments were selected randomly and were included in the sample. Questionnaires were filled by only those executives who had a free will. The find outcome of this project is in the development of a suggested framework to unable them to bridge the gap between the prevalent and required set of competencies. Hindustan Zinc Smelter (Debari) at present is not making use of the Competency Mapping tool. Therefore the executives were made aware of this tool of HR and to make them know the benefits of Competency Mapping as a tool to help their growth in an organization. Various formats to get the Quality Circles get streamlined are also suggested which include Evaluation Criteria, Format for the meetings and the minutes ,Introduction for of the commandments of QC's, relating awards and recognition to the same. As a result the company organized a Quality Circle gathering with a lunch in which a briefing for the Quality Circles was again given ,besides bags to all the quality circle members were given so as to give them recognition by differentiating them from the non members.

Certificate From Industry Guide

Certificate From Faculty Guide

This is to certify that, Ms Arushi Chauhan from MBA (HR) class of 2009 is a Bonafide student of Amity Business School, Amity University - Uttar Pradesh and is presently pursuing a Post Graduate Programme in Management.

Under my guidance, she has submitted her project titled “Validating Competency Mapping for Attaining Best Quality Circle Practices at HZL”, in partial fulfillment of the requirement for the summer internship project from Hindustan Zinc Limited, Udaipur, from May 1, 2008 to June 30, 2008 during the Post Graduate Programme in Management.

This report has not been previously submitted as part of another degree or diploma of another business school or university.

(Date July 24, 2008)

Dr. R. Sujatha

Senior Faculty (HR)

Amity Business School

CHAPTER: 1

INTRODUCTION

  • Company Profile
  • Introduction to Quality Circles & Competency Mapping
  • Objective & Rationale

COMPANY PROFILE

VEDANTA GROUP

Welcome To The Vedanta Group

  • Vedanta an over US $ 8.2 billion, Vedanta Resources plc (“Vedanta”) is a London listed FTSE 100 diversified metals and mining major. The group produces aluminium, copper, zinc, lead and iron ore and also commercial energy. Vedanta has operations in India, Zambia and Australia and a strong organic growth pipeline of projects. With an empowered talent pool of 30,000 employees globally, Vedanta places strong emphasis on partnering with all its stakeholders based on the core values of entrepreneurship, excellence, trust, inclusiveness and growth.
  • Chairman - Mr. Anil Agarwal
  • Deputy Chairman - Mr. Navin Agarwal
  • Chief Executive Officer - Mr. Kuldeep Kumar Kaura
  • Vedanta Group is a well established name in the corporate world.
  • Vedanta has a strong track record in managing operations and improving costs and output. Its zinc and copper operations rank in the top quartile of global cost efficiency.
  • Its principal operations are located in India, where they have a major market share in each of their main metals: aluminum, copper, zinc and lead. There are also substantial copper operations in Zambia and a copper mine in Australia.
  • Vedanta Resources plc was listed in London in December 2003.
  • At the time of listing, Vedanta set out a carefully structured strategy, to which the board and management remain committed.
  • The group comprises three major businesses: Aluminium - comprising bauxite mining, alumina refining & aluminium smelting operations in India. Copper - comprising smelting & refining operations in India, copper ore mining in Australia, & an integrated copper production in Zambia. Zinc - comprising zinc-lead mining & smelting operations in India.
  • Sterlite Industries is an important segment of Vedanta Group.
  • Sterlite Industries (India) Limited was acquired in 1986, bringing together several metal related activities managed by the Agarwal family.  In 2001 it acquired a 26% stake in Hindustan Zinc Ltd., an integrated zinc and lead producer, from the Government of India and a further 20% through a compulsory open market offer.
  • Vedanta is successfully operating in India in collaboration with Hindustan Zinc Ltd (HZL).
  • The Zinc business of Vedanta is managed within Hindustan Zinc Limited.  HZL is India's only integrated Zinc Company, operating from mine to finished metal and supplied around 80% of India's zinc requirements in 2007-08.

Vedanta Resources Plc - A Snapshot

  • National presence
  • Hindustan Zinc Limited (HZL)
  • Sterlite Industries (India) Ltd (SIIL)
  • Bharat Aluminium Company Ltd (BALCO)
  • The Madras Aluminium Company Ltd (MALCO)
  • Vedanta Aluminium Ltd. (VAL) Lanjigarh
  • Sesa Goa Limited
  • Sterlite Energy Limited

2) Global presence

  • Copper Mines of Tasmania, Tasmania
  • Konkola Copper Mines, Zambia

3) Sterlite Group has also strong presence in Optical cables business through

Sterlite Optical Technologies Ltd. (a non Vedanta Company)

4) A leading producer of key commodities in India

  • FY2007-08 Group turnover :

US $ 8,203 million

  • FY2007-08 Group EBITDA :

US $ 3,010 million

  • $7.5 billion investment programme. First phase of $2.2 billion completed on time and within budget. The next phase of $5.3 billion under implementation and on schedule.

STERLITE INDUSTRIES

Sterlite Energy Limited (SEL) is a part of Vedanta Resources plc , a London listed metals and mining major with Aluminium, Copper, Zinc and Iron ore operations in India, Australia and Zambia, and a subsidiary of Vedanta group flagship company, Sterlite Industries (India) Limited. SEL was established to develop, construct and operate power plants and seeks to become one of India's leading commercial power generation companies. SEL is well positioned to capitalize on India's economic growth, power deficit and large coal reserves to develop a commercial power generation business. It shall benefit from Vedanta group's experienced and focused management with strong project execution skills, experience in building and operating captive power plants, substantial experience in mining activities and the capacity to finance world-class projects.

Various objectives of Sterlite group regarding HZL are:

  • To make Chanderiya Smelter, Rampura Agucha mines known for its world class operations.
  • To make Zawar mines, RDM, ZSP and ZSV internationally competitive

HINDUSTAN ZINC LTD. PROFILE

  • Hindustan Zinc Limited (HZL) is one of India's leading Zinc-lead producers and exceptional in its extent of its technology coupled with vertical integration in other non-ferrous metals.
  • Hindustan Zinc Limited was incorporated from the erstwhile Metal Corporation of India on 10th January 1966 as a Public Sector Undertaking.
  • Hindustan Zinc is a vertically integrated company with mining and smelting operations located mainly in the State of Rajasthan and in the State of Andhra Pradesh.
  • Hindustan Zinc is India's only integrated producer of Zinc and Lead and is among the world's leading integrated Zinc and Lead producers.
  • Its metal production capacity is currently 754000 tones per annum.
  • The smelters are situated at Chanderia, Debari and Visakhapatnam .The mines are situated at Zawar, Dariba and Rampura Agucha

VISION OF HZL

  • To be a world-class zinc company, creating value, leveraging mineral resources and related core competencies.

MISSION OF HZL

  • Be a lowest cost zinc producer on a global scale, maintaining market leadership
  • One million tones zinc-lead metal capacity by 2010
  • Be innovative, customer oriented and eco-friendly, maximizing stake-holder value

Introduction to Quality Circle

A Quality Circle is a small group in which people who work in the first line work place, continually improve and maintain the quality of products, services, job.

This small group promotes the activity in such a way as to autonomously administer it, utilize the QC concept and technique and others, display creativity and make self development and mutual development.

This activity intent to:

•Develop workers capability; perform the self-actualization for QC Circle

members, make the work place full of brightness and vitality.

•Enhance customer satisfaction and make a social contribution.

The executives and the mangers in order to make QC Circle activities successful, contribute to improving the enterprises, constitute and implement company wide TQM or similar one by themselves. Facilitate the environment for the activity and continually, conduct appropriate guidance and support based on the respect for humanity, aiming at the participation by everybody and positioning the activity as important for human resources development and work place utilization

Quality Circles Functioning:

A typical quality circle consists of 5 to 10 members from the same working area. A leader is either elected by the members or the senior most people assumes the leader's role.

The quality circle meets once every week, usually outside working hours. The meeting lasts for half hour to one hour.

The quality circle is assisted by a facilitator or a coordinator, who is from the executive cadre.

The facilitator helps in ensuring that the requirements for the quality circle meetings are met. He also is the contact between the quality circles and the senior management. In many cases, the facilitator helps the team in case they face difficult in solving a problem.

MANAGEMENT ACTION FOR SUCCESSFUL IMPLEMENTAION OF QUALITY CIRCLE CONCEPT

  • FORMATION OF APEX LEVEL STEERING COMMITTEE.
  • ABOVE COMMITTEE WILL DECIDE TO FORM ZONE WISE STEERING COMMITTEE (TWO TO FIVE SUCH COMMITTEES MAY BE FORMED DEPENDING UPON ORGANISATIONAL SET UP).
  • NOMINATE ZONE CHAIRPERSON FOR EACH ZONE. ZONE CO-ORDINATOR AND OVER ALL CHIEF CO-ORDINATOR.
  • DECIDE DATE/DAY OF MONTHLY AREA STEERING COMMITTEE MEETING. APEX LEVEL STEERING COMMITTEE MEETING MAY BE HELD BI-MONTHLY.
  • PROPOSED AGENDA MAY BE:

ADOPTION/FOLLOW-UP OF PREVIOUS MEETING MINUTES.

  • IN APEX LEVEL STEERING COMMITTEE CHAIRED BY HEAD OF PLANT, CHAIRMEN OF AREA STEERING COMMITTEE WILL PRESENT THE STATUS OF QUALITY CIRCLES STATUS IN THEIR RESPECTIVE AREAS.
  • STATUS OF CIRCLE ACTIVITIES IN EACH ZONE FOLLOWED BY IMPLEMENTATION STATUS OF APPROVED PROJECTS.
  • TRAINING PROGRAMME/REFRESHER PROGRAMME STATUS.
  • PROJECT FOR APPROVAL
  • ANY OTHER POINTS
  • IN CASE OF “PROJECTS FOR APPROVAL” CIRCLE WILL PRESENT ONE BY ONE. THEY WILL SIMPLY EXLAIN THE PROJECT TAKEN, HOW THEY HAVE SOLVED AND GAINS (WITH IN 5 TO 7 MINUTES). A GROUP OF NOMINATED EXECUTIVES WILL AUDIT THE SAME AT WORK PLACE. THEY WILL ASK FEW QUESTIONS TO THE EMPLOYEES OF THAT AREA TO ENCOURAGE THEM. PROJECT MAY BE APPROVED AFTER SEEING THE IMPLEMENTATION STATUS, IF NO FURTHER MODIFICATION IS REQUIRED.
  • IF PROJECT IS APPROVED, THIS SHOULD BE PRESENTED IN PROPER WAY. A TOKEN GIFT MAY BE GIVEN TO EACH MEMBER INCLUDING FACILITATOR/ DY. FACILITATOR. THIS GIFT MAY BE RESTRICTED TO THOSE WHO HAVE ATTENDED 60% OR MORE MEETINGS HELD FOR THIS PROJECT DURATION. THIS WILL ENCOURAGE THE MEMBER TO ATTEND MAXIMUM NUMBER OF MEETINGS.
  • AFTER APPROVAL OF THE PROJECT, STEERING COMMITTEE OF THAT ZONE WILL ASK THE HOD OF THAT ZONE, TO MAKE TENTATIVE PLANNING OF IMPLEMENTAION OF PROJECTS IN TOTALITY.
  • EVALUATION OF EACH AREA AND BEST CIRCLE IN EACH AREA MAY BE DONE EVERY SIX MONTHS VIZ. JANUARY TO JUNE AND JULY TO DECEMBER OF EACH YEAR AS PER PRE FIXED CRITERIA.
  • A RUNNING SHIELD TO BEST, AREA AND PRIZES TO BEST CIRCLE IN EACH AREA MAY BE GIVEN ON THE BASIS OF SIX MONTHLY EVALUATION ON 15TH AUGUST AND 26TH JANUARY RESPECTIVELY.
  • QC MELA, QUIZ COMPETITION, KAVI SAMMELAN, POSTER/ESSAY/SLOGAN/POEM COMPETITION ETC. MAY BE ORANISED BY QUALITY CIRCLE INITIATIVE
  • TRAINING/ REFRESHER PROGRAMME, FACILITATORS MEET, LEADERS MEET ETC. MAY BE ORGANISED AT REGULAR INTERVAL.
  • TO CREATE QUALITY CIRCLE ENVIRONMENT, TRY TO ENCOURAGE QC IN HOME, COLONY, HOSPITAL, SCHOOL TEACHER, STUDENT ETC.
  • SURRONDING VILLAGES MAY BE TAKEN TO IMPLEMENT QC CONCEPT IN VILLAGES

Quality Circle Policy at Hindustan Zinc Limited

Introduction:

This policy provides objectives of the Company's Quality Circle Program and outlines a broad framework for operations of quality circles in the company for its continuity and consistency amongst the units. It provides the strategic direction for the efforts to achieve sustainable operations of quality circles in the company and qualitative aspects embedded in the company's vision and mission statements. It incorporates the basic approach of quality circles concept appropriately to improve the work culture.

Objectives:

The quality circles will have the following objectives:

  • To enhance employees job satisfaction and belongingness.
  • To provide an effective platform to the employees to contribute through their ideas & knowledge in a healthy environment so as to use their full potential.
  • To promote team work and improve communication at all levels.
  • To develop problem solving analytical approach at shop floor to solve day to day problems.
  • To improve work culture through reduced waste and enhanced quality and productivity.
  • To further expand employee development through education and awareness.

The Set Up:

QC BASICS

  • Quality circles will have four to eight workmen of same work area involved in doing similar kind of activities as members.
  • They will meet as per schedule preferably at least once in 21 days, and identify, select, prioritise the problems.
  • Analyze the causes of problems after discussions in the meetings and then make recommendations of solutions through discussions a nd /or brif Presentations.
  • The QC members will then work together to implement the approved solutions in their work area & would be facilitated by the management wherever necessary.

Role of QC Leader

  • The leader of the QC will be chosen from the group by the group members only.
  • QC can have different leaders for different problems.
  • The leaders of the QCs will be given necessary inputs by the shop flor facilitator so the leader becomes competent enough to take responsibility for the operation of the QC and can explain proper uses of QC techniques to the circle members.
  • The leader should ensure that the meetings are held as per schedule and a report of each QC meeting is made covering all aspects.

Role of Facilitator

An executive of shop floor will facilitate each QC.This executive - The Facilitator - will be responsible in following ways:

  • Be primarily an advisor to the QC of his department /Section/Sub Section.
  • Be active and helpful to the extent the group wants his involvement and keep him informed through interactions / reports of the QC meetings etc.
  • Constantly promote & encourage the circle concept & extend all facilities to QCs for organizing meeting as per schedule. These facilities will include meeting place, stationary & other material for arranging presentations.
  • Maintain liaison, contacts and provide feedback on requests in a timely manner towards ‘Solutions-implementation.'
  • Educate & encourage other employees of the area to join the QCs /Form new QC.

Role of Convenor

For overall coordination & facilitating jobs at unit level, the HOD of Unit I.E. Dept. will act as the UNIT convenor (s) to expedite the coordination process. He will be responsible for:

  • Smooth and uninterrupted operations of Unit Quality Circle Program.
  • Education / Training to facilitators, Leaders and Members.
  • Coordinating circle operations by acting as an interface between facilitators /circles and Unit Steering Committee Unit Management.
  • Providing feedback to steering Committee and extend help as and when required by the facilitators/circles.
  • Maintaining records of all QCs of the unit based on QC meeting.
  • Helping facilitators /HODs in evaluation of QC performance.
  • Organizing Unit's Annual QC Convention preferably in the quality month i.e. November and declaration of the best quality circles of the year.
  • Attending circle meetings occasionally and organizing QC leader meetings periodically.
  • Coordinating with Convenor of Corporate QC Steering Group.(CQCSG)
  • Sending a monthly report to the convenor of CQCSG i.e. HOD of Corporate IE Department Corporate office giving all the details regarding Unit Quality Circle operations .The details will include number of QCs ,their strength ,meeting frequency ,areas identified / approved for analysis, Q.C. Techniques employed, presentations made, No. of improvements effected & their brief details ,designation of Sr. Level Officers of the unit who extended visible support ,the evaluation sheets of QCs performance etc.

Unit Steering Group (USG)

  • USG will be chaired by Unit Head and will consist of HODs of major functions of the unit viz. production, maintenance, personnel, accounts, stores etc.
  • USG will be responsible in conformance to unit's operational requirements consistent with broad guidelines of QC Policy.
  • USG shall provide guidance & direction to QC program within the unit.
  • USG will also publicize the circle activities /achievements within & outside the unit .Their objective will be to promote QCs in all areas of the unit.
  • The members of the group will show their visible support by attending meetings regularly with the facilitators and the circle members for encouragement & advises. They will also allocate higher priority for attending presentation of quality circles as & when requested.

CQCSG:

Corporate support to all QC activities in the Units would be extended through a Corporate QC Steering Group.

The Operative Framework:

  • The membership of the circles will be open to all workmen on voluntary basis
  • QC members will work in coordinated team manner to accomplish the activities taken on their own initiative by sharing responsibilities among themselves.
  • QC members will identify, select, prioritize and analyze the problems.
  • QC members will participate in all QC activities including presentation & set for other fellow workmen to emulate.
  • QC members will be in constant touch with the facilitator.
  • QC members will set up schedules for meetings and presentations within the framework of known company work loads in consultation with the facilitator & send minutes of meetings promptly to the Unit Convenor with a copy to the facilitator.
  • The circle will maintain continuous communication amongst all members.
  • QC members will present the identified problems along-with alternative solutions to management for acceptance.
  • QC members will pursue to implement the solutions of the problems as approved by management.
  • QC members will make presentation on the progress of implemented solutions to management.
  • Circles will not address the following subjects:
  • Employees Complaints
  • Personal Grievances
  • Personality related issues

Role of Unit Steering Group:

  • USG may participate in circles' actions and will address to circles' requests.
  • USG will also support all implementation activities.
  • USG may also suggest problems to the quality circles for further exploration.
  • USG will encourage formation of quality circles on other areas of the unit.

Performance Evaluation:

The performance of each quality circle will be evaluated based on following guidelines:

  • Evaluation Period: 1 Year
  • Parameters Weightage %

(a) No. of Meetings (Frequency at least once 15(Maximum 17

in 21 days) meetings in a year)

  • Attendance of members 15

(in percentage)

  • Regular submission of minutes of 10

meetings/reports to Unit Convenor

  • No. of new problems identified and their 10

selection process

  • Analysis ,effective use of QC tools, 10

workload distribution among the members

  • Quality of solved problems with respect to 10

potential of the groups

(g) No. of solutions implemented 10

(h) No. of presentations made, quality of 20

presentation, participation of members

special features in the presentation.

Comparison among circles will be done on the basis of the marks scored by different QCs of the unit.

Recognition & Facilitations Aspects:

The efforts of circles attract non -financial awards only which could be in terms of recognition /publicity and the others as outlined below:

i) At the time of formation & registration of quality circles:

  • Inauguration of QC by Unit Head.
  • Introduction of QC members to Unit Head in presence of their Departmental Head.
  • Displaying the details of newly formed QC on all notice boards of the Unit.
  • Provision of stationary (writing pad, pen/pencil) to QC members.

ii) After 10 meetings or completing at least one useful project whichever is

later - inviting QC members with spouse on a ‘tea” by HOD.

iii) After 1st presentation to HOD of Respective Department, a certificate would

be given to all QC members on a tea-get-together of the department.

iv) Presentation of selected QCs to Unit Head in presence of all QCS of the unit

where certificates shall be awarded to circle members signed by Convenor &

chairman of USG together.

v) Honour at important occasions where QC member could be invited with the

spouse.

vi) QC page will be included in monthly departmental and unit report giving

highlights of implemented solutions.

vii) After annual performance review of QCs in the unit publication of details of

completed projects by QC members with their photographs for circulation in all

the units of HZL.

viii) Two best QCs will be selected in the unit convention after 1 year of their

operations based on performance criteria & will be awarded accordingly

(Preferably in quality month i.e. November).

ix) Awarding QCFI membership to members of best two circles judged by evaluation

committee constituted by Unit Steering Group Subject to eligibility.

x) Sending Unit's best two QC's to other units for presentation on some important

occasion of the unit.

xi) Recognition to QCs standing 1st or 2nd in Unit consecutively for two years by

CQCSG.

xii) Best quality circle judged by CQCSG at Corporate level matching with corporate

image be considered for sending for participation in national competition

organized by QCFI when the opportunity comes.

Introduction to Competency Mapping

In the modern competitive world, business managers are required to improve the efficiency and effectiveness of the business operations. As there are several factors that affect efficiency and effectiveness of operations the improvement is required to be carried out in every factor. These factors are required to bring every factor in synchronization with other factors. To improve synchronization between different elements is an important approach to improve effectiveness and efficiency of the operations.

Manpower, technical and managerial abilities are the most important resource of any organization .The most important resource is the most difficult to manage as no two persons are similar. Every person has different Qualities, attitude, motives, personality traits, skills, knowledge etc. which has effect on their performance at work. Organizations in order to facilitate excellence in the performance of the people in the organization are required to identify the right person for every job. This matching between jobs and people is an important avenue for organizational improvement efforts.

HR professional are entrusted with the responsibility for selection, training and development, administration deployment support, performance appraisal and performance diagnostics of the employees. The most important part of these responsibilities is assessment of the individuals for their superiority for different functional tasks, and development of their potential to be effective and excel in the assigned tasks.

Currently most of the organizations are using personal interview, written tests and group discussion for the purpose of assessment. These approaches were mostly based on personality tests/psychometric tests. These tests have improved assessment of candidates but still the reliability of the results is not adequate to forecast effectiveness of the selected candidate for the job.

Research conducted by Industrial and organizational psychologists have found that effectiveness of a person to carry out a job depends not only on single or isolated factors but on set of many different factors. Such set of factors that help the possessor to be effective in a particular job is termed as competency for that particular job is termed as competency for that particular job.

HR function entrusted with the responsibility of finding right person for every job and development of the employed person to do the assigned job effectively, have found competency mapping assessment as a very effective tool.

Definition:

Competency mapping is the process of identification of the competencies required to perform successfully a given job or role or a set of tasks at a given point of time. It consists of breaking a given role or job into its constituent tasks or activities and identifying the competencies (technical, managerial, behavioral, conceptual knowledge, an attitudes, skills, etc.) needed to perform the same successfully. Competency assessment is the assessment of the extent to which a given individual or a set of individuals possess these competencies required by a given role or set of roles or levels of roles. Assessment centers use multiple methods and multiple assessors to assess the competencies of a given individual or a group of individuals. In order to enhance objectivity they use trained assessors and multiple methods including psychometric tests, simulation exercise, presentations, in-basket exercises, interviews, role-plays, group discussions etc. The methods to be used depend on the nature of competencies.

Psychometric tests or instruments:

These are scientific methods of assessing personality traits, attitudes, qualities, abilities, aptitude, interpersonal styles etc of individuals in an organization. Psychometric tests can be used effectively to develop individual and organizational excellence. Psychometric instruments are essentially diagnostic in nature. They are useful in assessing the intellectual, managerial, social and emotional competencies of individuals.

Typically these tests are used as a starting point for individual/team development. They enable individuals in organizations to identify strengths and areas of improvement. Hence, they provide directions for developing specific competencies. Some organizations use these for evaluating individuals; others apply these for driving change or for developmental purposes. Many organizations today use these tools to enhance their mentoring systems, team building initiatives, managerial and leadership effectiveness and leadership development.

Competency mapping is essentially an in-house job. Consultants can at best give the methodology and train line managers and HR staff. Consultants cannot do competency mapping all by themselves because no consultant can ever have all the knowledge required to identify the technological, managerial, human relations and other conceptual knowledge, attitudes and skills required for all jobs in a firm.

Where consultants are excessively relied upon, the data generated is likely to enrich the consultants and consulting firms much more than the commissioning firm itself. The lower the consultant's involvement, more the work needs to be done internally and higher the intellectual capital generation and retention within the organization.

Objective and Rationale

The objective behind taking up this project was mainly to develop a optimistically positive attitude in the employees. This would lead onto a self motivated mode to give them an impetus to get the Quality Circles streamlined. This attitude development task could be done by mapping the present competencies of the executives and knowing their level of participation in the various HR Practices taken up at HZL.

The associated objectives taken up in the two phases during the project are :

PHASE I

Quality Circles

A.Self Development through Change in attitude:

  • From “I don't care” to “I do care”.
  • Continuous improvement in quality of work life through humanization of work.
  • Bring out the hidden potential of the people by imparting additional skills.
  • Improved organizational Culture through Development of Team Spirit:
  • Individual Vs Team - “I could not do but we did it.”
  • Eliminate interdepartmental conflicts.
  • Positive working environment with higher motivational level.
  • Total involvement of people at all the levels.

This is based on two ideas: that employees can often make better suggestions for improving work processes than management; and that employees are motivated by their participation in making such improvements. Thus, implemented correctly, quality circles can help HZL reduce costs, increase productivity, and improve employee morale (the most challenging factor). Other potential benefits that would be realized besides this include greater operational efficiency, reduced absenteeism, improved employee health and safety, and an overall better working climate.

PHASE II

Competency Mapping

A. To identify the concept of competency and competency based HR practices.

A1. By learning how to develop the mapped competencies (to streamline the

Quality Circles)

A2. By validating the various approaches towards building Competency Model.

B. Defining the factors for success in jobs (also QC ) and work roles within

the organization.

B1. Mapping succession possibilities for employees within the organization.

B2. Assessing the current performance and future development needs of

persons holding jobs and roles

  • To develop an understanding about the Competency Mapping HR Tool

amongst the chosen and assigned executives.

C1. Defining the concept of Competency Mapping and its symbiosis

with leadership role (aligning with the Quality Circles)

C2. Getting the Questionnaire filled up to know an individual's competency

and his willingness to enhance the workings of Quality Circles at HZL.

The project is taken to develop theoretical and application -oriented inputs on competency mapping and develop mapped competencies. HZL Debari does not have a Competency Mapping framework presently thereby having no competencies defined for any role. The challenge was to formalize the competency analysis process starting from identification of workforce competencies required to streamline the Quality Circles to utilization of competency information for activities like training &development, staffing and competency development.

CHAPTER: 2

LITERATURE REVIEW

  • Review of Quality Circles
  • Review of Competency Mapping

Review of Quality Circle

After the Second World War, Japan was one of the devastated countries. The quality of products they produced was nothing worth mentioning. In addition the bombing of two important cities had left the country bereft of cable manpower and resources.

The Japanese emperor called a meeting of all his senior industrialists to discuss what could be done to make things turn for the better. Amended was given to study what other countries were doing to be successful.

One factor which immerged after studies was that in USA manufacturing organizations were following the advice and teachings of some persons known for their contribution to Quality. Two names that stood out were Deming and Dr. Juran.

The emperor invited these two eminent gentlemen for a lecture tour of Japan .The Japanese manufacturing concerns learned two important lessons from them:

  • Reduce variability
  • Strive to manage for quality through executive leadership.

The Japanese workforce embraced the teaching of Dr. Deming and Dr. Juran and put these teachings into practice. Their first foray into quality was to copy electronic goods. And they did it not only to perfection but even better. This story was repeated in the auto mobile industry. The Japanese .helped by the oil crisis, were able to export their small automobiles to the USA. These cars soon gained a lot of preference & popularity. What happened after that is history.

During this period what happened in Japan was spectacular. The executives and managers in the Japanese organizations felt that the teaching of Dr. Deming Dr. Juran should also be made useful to the workers. The foremen were given the responsibility to impart training in Quality to workmen .In addition the whole nation took on a responsibility of generating quality awareness. A course in quality control was broadcast

over the radio. This course of 91 lessons was broadcast everyday for 15 minutes. This was followed by a television lecture series. All this happened between 1956 and 1961.

The 1st group of quality circles then known as quality control circles was launched in 1962.

The then basic principals of Quality circles were:

  • The membership consisted solely of people at bottom of the company organization - non supervisors and working supervisors.
  • Membership was voluntary.
  • The work of the circle was mostly conducted outside the regular hours.
  • Compensation for this out - of - hours varied from full time pay to nothing.
  • A few years back (1998), there were over 408000 registered quality circles in Japan with about 3.12 million members and still rising.

Review of Competency Mapping

A team of Educationists lead by Benjamin Bloom in the USA in mid fifties laid the foundation for identifying educational objectives and there by defining the knowledge attitudes and skills needed to be developed in education. The task force lead by Bloom took several years to make an exhaustive classification of the educational objectives that were grouped under the cognitive domain.

David McClelland the famous Harvard Psychologist has pioneered the competency movement across the world. His classic books on "Talent and Society", "Achievement Motive", "The Achieving Society", "Motivating Economic Achievement" and "Power the Inner Experience" brought out several new dimensions of the competencies. These competencies exposed by McClelland dealt with the affective domain in Bloom's terminology. The turning point for competency movement is the article published in American Psychologist in 1973 by McClelland titled where in he presented data that traditional achievement and intelligence scores may not be able to predict job success and what is required is to profile the exact competencies required to perform a given job effectively and measure them using a variety of tests.

Latter McBer a Consulting Firm founded by David McClelland and his associate Berlew have specialized in mapping the competencies of entrepreneurs and managers across the world. They even developed a new and yet simple methodology called the Behavior Event Interviewing (BEI) to map the competencies. With increased recognition of the limitations performance appraisal in predicting future performance potential appraisal got focused. And Assessment centers became popular in seventies. The setting up of an Assessment center was in integral part of the HRD plan given to L&T by the IIMA professors as early as in 1975. L&T did competency mapping and could not start assessment centers until much latter as it was not perceived as a priority area.

CHAPTER: 3

RESEARCH METHODOLOGY

Materials and Methods Used

An exploratory research design was used .Data was collected from both Primary & Secondary sources.

Primary Research

The primary research involved the conduction of interviews with personnel from various Quality Circle Facilitators and Leaders. In addition interviews were conducted with other HR executives(chosen and given to me), asking their opinions about the working of the Quality Circles. Personnel's from other HR Programs like Six Sigma were contacted who gave a briefing as to what are the loopholes on the part of the management because of which the quality circles are lagging behind & how would the competency mapping tool streamline the same.

Secondary Research

The secondary research undertaken was by study of reports and policy of HZL regarding workings of Quality Circles and from information available on the public domain from the company websites and other sites from Internet.

The two phases of the project were managed as follows with the help of primary & secondary research.

The actual mapping was carried out on a very small scale for this project. To do the mapping the following steps were taking by me in mapping out competencies:

  • A structured questionnaire (appendix) was designed for the employee and part “b” was for his subordinates. The same questionnaire was administered to both for getting the rating. Each question was designed to elicit behavioral examples from the candidate which demonstrate the use of one or more key behaviors underlying each competency that is accounted for in the interview.
  • The employees were first given a briefing about what is competency mapping concept exactly.
  • Then the employees who agreed to fill up the Questionnaire at their free will were asked to rate his/her own competency level in the questionnaire.
  • Another Questionnaire was prepared for the Quality Circle Facilitators/Leaders to know the present working scenario and thereby finding out the major loopholes in backlog.
  • The questionnaire for the laborers was built to bring forth the following:

5.1 To collect information about employment related factors of contract laborers.

5.2 To study the working condition of contract laborers data on employment work undertaken, working conclusions, work hours, wages & allowance & deduction (if any) welfare, social security etc. of contract laborers are collected and analyzed.

5.3 To there any promotion of contract workers.

For Phase II ,as people could hardly give time, more emphasis was placed on individual ratings rather then on superior subordinate or peer rating which would have made the process less biased. The ratings thus commuted can be used to link competencies to any other HR system.

Competency mapping began with identification of the working competencies required to perform the organizational business activities(along with Quality Circles). Once the competencies were identified, a mapping between the targeted value of competency was tried to measure, analyze and predict the future capability of competencies and then necessary corrective / preventive actions to be taken to either enhance or maintain the current capability. The information was collected by directly approaching the executives, labourers, facilitators /leaders of various Quality Circles from the various departments. For labourers the map was built to know their skills along with competency. A specially designed questionnaire in Hindi was prepared for the labourers. Beside the record based information the information was obtained through discussions with the labourers.

CHAPTER: 4

CONCEPTUAL FRAMEWORK

  • Of Quality Circles
  • Of Competency Mapping

CONCEPTUAL FRAMEWORK

QUALITY CIRCLES:

Top Management

Steering Committee Management

Employees

Facilitator

COORDINATOR

Leader

Grass Root

Employees

Members

Potential Members

QC Structure

Global Spread

Japan - 1962

East Asian Countries - 1970 - 1984

USA - 1974

UK - 1979

European Countries - 1976 - 1984

India - 1980

China - 1981

CONCEPTUAL FRAMEWORK of COMPETENCY MAPPING

The business organizations all over the world have been placing greater emphasis on mapping competencies which are vital for the success of their key executives. Competencies have been defined as “An underlying characteristics of employee (i.e. a motive, trait, skill, aspects of one's self-image, social role, or a body of knowledge) which results in effective and/or superior performance (Boyatzis 1982).”

In the Indian context it is widely believed that executives are possessing analytical frame of mind which explains the success of Indian IT and ITES companies. There are many world ranking educational institutes such as IITs, IIMs, IISCs etc., which are churning out high quality professionals. Some of them are occupying high position in MNCs around the world. The people competencies are largely a function of their upbringing, type of educational provided and the kind of professional working environment, which is made available to them to work in.

Therefore while developing a competency mapping framework at HZL one of the biggest challenges before HR managers is to connect business competencies to people competencies. The Human Resource Management system is expected to play a pivotal role in linking individual competencies with the vision and mission of the HZL. Therefore the top management is first expected to take inventory of their own competencies which are vital for future success in their leadership role. Competencies are cluster of knowledge, skill, and abilities (KSA). Identifying those KSAs, which are vital for superior performance, is necessary for a leader manger.

The top management of HZL will play a pivotal role for success in business. They are supposed to be the navigator of the ship of business. The basic competency required for success in leadership roles goes much beyond simply managing subordinates (Khandwala, 2004).They have to play a proactive role in transforming the fortune of the business organization they are heading.

Against this backdrop an attempt has been made:

  • To develop a theoretical framework of Competency Mapping.
  • To identify core managerial competencies which are required for success in leadership roles.
  • To empirically analyze the objective of self assessment
  • To compare and contrast the set of competencies which are prevalent in the respondent HR managers as against the required set of competencies.

The major outcome of this project is to make the employees aware about the need for applying competency-mapping framework in performing their managerial roles in such a much better way by analyzing the gaps between the required and prevalent set of competencies and formulating, strategies to bridge this gap.

Construct Of Competency Mapping

Competency refers to the behavior by which skills are acquired and the desired standard of performance reached. It is interesting to note that there is thin line difference between competence and competency.

COMPETENCE COMPETENCY

Skill based Behavior based

Standard attained Manner of behavior

What is measured How the standard is achieved

According to Hogg B. (1989) “COMPETENCIES ARE THE CHARACTERISTICS OF A MANAGER THAT LEAD TO THE DEMONSTRATION OF SKILLS AND ABILITIES ,WHICH RESULT IN EFFECTIVE PERFORMANCE WITHIN AN OCCUPATIONAL AREA.COMPETENCY ALSO EMBODIES THE CAPACITY TO TRANSFER SKILLS AND ABILITIES FROM ONE AREA TO ANOTHER.”

In another definition by Spencer & Spencer (1993) competency has been defined as “Competencies are an underlying characteristic leading to successful performance.”

COMPETENCY vs. COMPETENCE

  • Competency: A person- related concept that refers to the dimensions of behavior lying behind competent performer.
  • Competence: A work- related concept that refers to areas of work at which the person is competent
  • Competencies: Often referred as the combination of the above two. Ex: UK organizations.{Woodruff. (1991)

Competencies may be grouped as follows:

Knowledge

Knowledge is awareness, information or understanding about facts,rules,principles,guidelines,concepts,theories,or processes needed to successfully perform a task .The information may be concrete ,specific, and easily measurable or more complex ,abstract, and difficult to assess. Knowledge is acquired through learning and experience. Examples include knowledge of diagnostic characteristics of a disorder, or knowledge of a practice guideline.

Historically ,training and education programs have placed heavy emphasis on imparting knowledge .From a competency perspective ,it is important that knowledge considered essential for a task or job be identified as explicitly as possible. Consistent with Mc Cleland's original set of premises the knowledge imparted should also have a link to meaningful, work related outcomes. Therefore, the assessment of knowledge as an element of competency should take into consideration the impact of that knowledge on individual job performance.

Skills

A skill is a capacity to perform physical or mental tasks with a specified outcome. Similar to knowledge, skills can range from highly concrete and easily identifiable tasks, to less tangible and more abstract tasks, such as facilitating a team meeting in order to achieve consensus. Spencer and Spencer refers to knowledge and skills collectively as “surface” competencies, as they tend to be the easiest elements of competency to develop through training.

Abilities

An ability is demonstrated cognitive or physical capability to successfully perform a task with a wide range of possible outcomes. It is often a constellation of several underlying capacities that enable us to learn and perform. Examples of abilities include thinking analytically, problem solving, making projections based on current data, managing or evaluating a program, synthesizing and integrating information from several sources. Abilities are more complex than skills, and difficult and time consuming to develop, as they typically have a strong component of innate capacity. For example analytical thinking comes more naturally to some people.

Distinction between Central & Surface Competencies

(Sangi 2004)

Knowledge and Skill

Surface

Core personality

Trait,

Motive

Self Concept

Attitude

Fig 1.

CENTRAL AND SURFACE COMPETENCIES

The Distinction:

The term competencies is having much wider meaning and multifarious connotation such as skill, knowledge, traits ,motives, self concepts, social orientation etc. Another view of competencies is to consider them as a cluster of key KSAs .It has been believed that the employees possessing appropriate knowledge, skill abilities can deliver superior performance. Identifying such a blend of KSAs from the foundation for competencies mapping framework.

Competency mapping is a process of identifying key competencies for a particular position in an organization Garrett define it as ,'Competency mapping is a process an individual uses to identify and describe competencies that are most critical to success in a work situation or work role”. In other words, it involves defining what is important to be successful in a job. Competency Mapping identifies an individual's strengths, weaknesses in order to help them better understand themselves and to show them where career development efforts need to be directed. Competency mapping is a process of identifying key competencies for an organization and/or job and incorporating those competencies throughout the various processes (i.e. evaluation, training, recruitment) of the organization. Therefore competency mapping has two aspects first is related to identifying individual competencies and second is to assess the job related competency.

The success of HR leadership lies in mapping these two types of competencies on a two-dimensional plane, so that the gap between these if any, can be analyzed. The successful HR manager's devise appropriate strategies such as job evaluation, recruitment, Training &Development, succession planning, performance management system etc.

The success of an organization largely depends on a quality of senior level managers. How well they perform their leadership role defines the future course of action for the organizations. Competency Mapping has become the latest buzzword in HR literature .However very less research work has been conducted which aims to identify the core competencies which are required by key managers for achieving in their leadership role. A study by Khandwala (2004) attempts to fulfill this gap. The present communication is yet another attempt to find out the applicability of competency mapping framework through empirical analysis of Indian HR managers of selected business organizations.

Classification of the Competencies:

1) Organizational Competencies

2) Job related Competencies

3) Personal Competencies

Organizational competencies are unique factors that make an organization competitive. According to C.K. Prahlad and Hamel who wrote the famous book competing in the future,”Organisational competencies:

  • Provide potential access a wide variety of markets
  • Make a significant contribution to perceived customer benefits of the end product.
  • Are difficult for competitors to imitate.

Organization need to focus their efforts in the area of their competencies and strengthen them and outsource the other activities. This is very important as these competencies are fundamental to the success of the organization.

Job related competencies are those competencies are which are required for performing a specific job. These are the competencies one must demonstrate to be effective in his job/role, task, or duty. Thus these competencies are job or role specific and vary from job to job. A competency model can be used to develop specific job related competencies and come out with a competency dictionary. These competencies are organization specific as roles and responsibilities may vary from time to time and organization to organization even though the job title may be the same .Job related competencies may become the criteria for most of the HR functions like selection .T & D, performance appraisal, compensation etc.

Personal competencies are aspects of an individual they include the abilities of individuals to perform the activities within an occupation or function to the standard expected in employment. It includes the various behavioral competencies apart from the knowledge and the skill level of an individual, the competencies includes:

  • Personal competencies like developing oneself, taking initiative, delivering results, showing commitment, and adaptability.
  • Interpersonal competencies like influencing, Relationship building, advicing, team orientation, service orientation, cultural awareness, communication and openness.
  • Information oriented competencies like strategic thinking, business understanding, and conceptualizing innovation, processing, analyzing and comprehending.
  • People management competencies like leadership, directing, building teams, facilitating performance, motivating, guiding people, and transferring knowledge.

Other competencies are:

  • Threshold competency
  • Differentiating competency

Threshold competencies are those competencies which a job holder needs in order to perform the job effectively. However these competencies do not distinguish the average performer from a superior performer. It is the differentiating competencies which are present only in superior performer which makes them excel in their respective roles or jobs and bring out outstanding performance. For example knowledge about manufacturing process, tools, equipments is threshold competency and quality orientation is the differentiating competency.

CHAPTER: 5

DISCUSSIONS

Discussions

Mc Gregor's X & Y theories:

One of the assumptions people have about workers is that most people just don't like to work. Due to this dislike for work most people must be coerced controlled, directed and threatened with punishment to make them work. Also, an average human being works a bear minimum lacks ambition, refuses to take responsibilities, and would rather be told what to do than to think for himself.

Alternatively the other assumption is that people do not like or dislike work inherently but rather develop an attitude towards it based on their experience with it. People possess enough imagination, ingenuity, and creativity to solve organizational problems. Hence under the right circumstances, people do not shun responsibility but seek it.

These two assumptions about people's behavior are summarized in the table.

It is important for every facilitator to introspect and find out what is his attitude towards people , more so in the quality circle environment.

Quality circles operate on the factors assumed under theory Y and the theory itself finds practical application in Quality Circles.

X and Y Theory Comparison

Assumed Attitude of employee towards

Theory X

Theory Y

Organizational

Objectives

Indifferent to them

Will work towards them if they perceive rewards associated with doing so

Responsibility

Will avoid it if possible

Will accept responsibility if they are rewarded for acting with responsibility.

Work

Dislike all forms of work

Consider work as natural as play if they associate reward with working

Rewards

Want money and security. More pay will produce more work.

Behave in a way that seek to satisfy a variety of needs.

Appropriate means of dealing with employees

Coercion, pressure, threat of punishment. Well specified tasks and close control. Pay and monetary incentives.

Establish a work environment in which employees can realize recognition ,challenge, satisfaction of achievement etc.

Competency Mapping

Competency for a job can be defined as a set of attributes that enable an employee to meet and exceed expectations of his internal as well as external customers and stake holders.

It has been a general observation that hard work, sincerity, knowledge, intelligence, alone does not make a person star performer in his profession in his profession. There are other factors that help an individual to excel in his profession. We have observed that top scorers from objective type of tests are not able to hold their rank in descriptive type of tests .Similarly a good runner is not always a good hockey player, as every game needs different set of physical and mental qualities to excel. Thus set of human qualities that make a person star performer for a particular activity defines the competency for that particular activity.

Good managers are generally aware about different qualities a person must possess to do a job effectively, and they make use of their knowledge to select and train their subordinates. Organizational psychologists have studied and refined this understanding and converted it into a structured and formal process thus making it available for business application.

In organization or business context, competency required for a particular job depends on many factors. The factors include social culture, nature of business, business environment, organizational culture, work environment, organizational structure, duties and responsibilities, nature of processes and assigned activities, attitude and motives of colleagues, superiors & subordinates. Some of these factors may change with time, and thus changing competency requirements for the same job position in an organization.

Competency for any job position at a particular time is a unique set and as organization has many different job positions, managing many such sets is a difficult task. Hence for the purpose of HR management, the job compet


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