Saturday 29 December 2012

PriyamMalik_MarutiCase_TransformationalIR

                                                                Transformational IR

The first case we analyse in this new course at SOIL is the Maruti-Manesar incident of July 2012.
The incident was an outcome of a history that was waiting to conclude!
Though there various reasons that led to the strikes and then the gruesome killing, I will highlight a few factors that led to the strike from the insights we got in class and also the experiences shared with us.

1. Power and Politics at Play!

    It was well known that the Manesar plant was one of the best and at par. The workers during the initial days were all happy and hardworking. The senior and middle management too didn't sense what was coming.
But what went through the Japanese management's mind is not known and lack of autonomy with Indian Management at Manesar had RIPPLE effects till the blue colored workers level.
 When the senior management is helpless ( as they say!) they lead to being clueless as to how manage the plant the Indian culture compatible way, if I may say so.

2. Communication: Missing the crucial bridge!

    As I heard and read the events that happened and understood what people at all levels felt, there was a sheer communication gap. This is the basic expectation that people have and even if they expressed, it was ignored. This leads to anger, frustration and lack of trust.

3. Breach of Expectations : Basic Needs!

    The hygiene factors were not as needed. This led to agitation and union feelings go against the Maruti management. A comparison was done with the Gurgaon Plant and other companies like Honda. Highly demotivated and unsatisfied workforce. The contract workers were exploited and basic requirements were for some reason not met. When there is a strong bond and one voice, people do unite and fight for themselves.

According to me, there were a lot of feelings being ignored or being shut off. The psychological contract was the basic premise of the cause. As we know, its from both the employee and the employer side and at thee major levels; transactional, career and relationship level. There was a clash at all the three levels and flowed from Japanese to Indian Senior management ; then Senior to middle management and finally supervisor to workers.

For me, it was a fundamental base that was shaken. The people were ready to give it their best but the insecurity was eating them and with out it, according to me it being one person's fault, many paid a heavy price.

This case teaches us not to ignore the small but meaningful indicators we may sense but ignore, that cause huge losses ultimately.


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