Coca Cola-Aligning HR Atrtegy With Business Strategy

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Utsav Kumar – 01 Vineet Kumar Singh – 02 Gokul Krishna – 03 Ainsley Lazarus – 04 Keshav Bharati – 05 Sean Stainslaw –

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HR Strategy

Transcript of Coca Cola-Aligning HR Atrtegy With Business Strategy

Page 1: Coca Cola-Aligning HR Atrtegy With Business Strategy

Utsav Kumar – 01Vineet Kumar Singh – 02

Gokul Krishna – 03Ainsley Lazarus – 04Keshav Bharati – 05Sean Stainslaw – 06

Gourav Chatterjee – 07Manuel Ritesh Minz – 08

Mayank Anand – 09Suman Saurabh – 10

Page 2: Coca Cola-Aligning HR Atrtegy With Business Strategy

COMPANY PROFILE:-

Coca-Cola, the corporation nourishing the global community with the

world’s largest selling soft drink concentrates since 1886, returned to

India in 1993 after a 16 year hiatus, giving a new thumbs up to the

Indian soft drink market. In the same year, the Company took over

ownership of the nation’s top soft-drink brand and bottling network.

A Healthy Growth to The Indian Economy

Ever since, Coca-Cola India has made significant investments to build

and continually consolidate its business in the country, including new

production facilities, waste water treatment plants, distribution systems,

and marketing channels.

Coca-Cola India is among the country’s top international investors,

having invested more than US$ 1 billion in India in the first decade, and

further pledged another US$100 million in 2003 for its operations.

A Pure Commitment to The Indian Economy

The Company has shaken up the Indian carbonated drinks market

greatly, giving consumers the pleasure of world-class drinks to fill up

their hydration, refreshment, and nutrition needs. It has also been

instrumental in giving an exponential growth to the country’s job listings.

The Indian operations comprises of 50 bottling operations, 25 owned by

the Company, with another 25 being owned by franchisees. That apart, a

network of 21 contract packers manufacture a range of products for

theCompany.

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Mission, Vision & Values:-

The world is changing all around us. To continue to thrive as a business

over the next ten years and beyond, we must look ahead, understand

the trends and forces that will shape our business in the future and move

swiftly to prepare for what's to come. We must get ready for tomorrow

today. That's what our 2020 Vision is all about. It creates a long-term

destination for our business and provides us with a "Roadmap" for

winning together with our bottling partners.

Our Mission:-

Our Roadmap starts with our mission, which is enduring. It declares our

purpose as a company and serves as the standard against which we

weigh our actions and decisions.

To refresh the world...

To inspire moments of optimism and happiness...

To create value and make a difference.

Our Vision:-

Our vision serves as the framework for our Roadmap and guides every

aspect of our business by describing what we need to accomplish in

order to continue achieving sustainable, quality growth.

People: Be a great place to work where people are inspired to be

the best they can be.

Portfolio: Bring to the world a portfolio of quality beverage brands

that anticipate and satisfy people's desires and needs.

Partners: Nurture a winning network of customers and suppliers,

together we create mutual, enduring value.

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Planet: Be a responsible citizen that makes a difference by helping

build and support sustainable communities.

Profit: Maximize long-term return to shareowners while being

mindful of our overall responsibilities.

Productivity: Be a highly effective, lean and fast-moving

organization.

Our Winning Culture:-

Our Winning Culture defines the attitudes and behaviors that will be

required of us to make our 2020 Vision a reality.

Live Our Values:-

Our values serve as a compass for our actions and describe how we

behave in the world.

Leadership: The courage to shape a better future

Collaboration: Leverage collective genius

Integrity: Be real

Accountability: If it is to be, it's up to me

Passion: Committed in heart and mind

Diversity: As inclusive as our brands

Quality: What we do, we do well

Focus on the Market:-

Focus on needs of our consumers, customers and franchise

partners

Get out into the market and listen, observe and learn

Possess a world view

Focus on execution in the marketplace every day

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Be insatiably curious

Work Smart:-

Act with urgency

Remain responsive to change

Have the courage to change course when needed

Remain constructively discontent

Work efficiently

Act Like Owners:-

Be accountable for our actions and inactions

Steward system assets and focus on building value

Reward our people for taking risks and finding better ways to solve

problems

Learn from our outcomes -- what worked and what didn’t

Be the Brand

Inspire creativity, passion, optimism and fun

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WHAT IS STRATEGIC HUMAN RESOURCE

MANAGEMENT:-

Strategic human resource management can be defined as the linking of

human resources with strategic goals and objectives in order to improve

business performance and develop organizational culture that foster

innovation, flexibility and competitive advantage. In an organisation

SHRM means accepting and involving the HR function as a strategic

partner in the formulation and implementation of the company's

strategies through HR activities such as recruiting, selecting, training and

rewarding personnel.

How SHRM differs from HRM

In the last two decades there has been an increasing awareness that HR

functions were like an island unto itself with softer people-centered

values far away from the hard world of real business. In order to justify

its own existence HR functions had to be seen as more intimately

connected with the strategy and day to day running of the business side

of the enterprise. Many writers in the late 1980s, started clamoring for a

more strategic approach to the management of people than the standard

practices of traditional management of people or industrial relations

models. Strategic human resource management focuses on human

resource programs with long-term objectives. Instead of focusing on

internal human resource issues, the focus is on addressing and solving

problems that effect people management programs in the long run and

often globally. Therefore the primary goal of strategic human resources

is to increase employee productivity by focusing on business obstacles

that occur outside of human resources. The primary actions of a

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strategic human resource manager are to identify key HR areas where

strategies can be implemented in the long run to improve the overall

employee motivation and productivity. Communication between HR and

top management of the company is vital as without active participation

no cooperation is possible.

Key Features of Strategic Human Resource

Management

The key features of SHRM are

There is an explicit linkage between HR policy and practices and

overall organizational strategic aims and the organizational environment

There is some organizing schema linking individual HR

interventions so that they are mutually supportive

Much of the responsibility for the management of human resources

is devolved down the line

Trends in Strategic Human Resource Management

Human Resource Management professionals are increasingly faced with

the issues of employee participation, human resource flow, performance

management, reward systems and high commitment work systems in

the context of globalization. Older solutions and recipes that worked in a

local context do not work in an international context. Cross-cultural

issues play a major role here. These are some of the major issues that

HR professionals and top management involved in SHRM are grappling

with in the first decade of the 21st century:

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Internationalization of market integration.

Increased competition, which may not be local or even national

through free market ideology

Rapid technological change.

New concepts of line and general management.

Constantly changing ownership and resultant corporate climates.

Cross-cultural issues

The economic gravity shifting from 'developed' to 'developing'

countries

SHRM also reflects some of the main contemporary challenges faced by

Human Resource Management: Aligning HR with core business

strategy, demographic trends on employment and the labor market,

integrating soft skills in HRD and finally Knowledge Management.

Coca Cola -Motivations for employees: -

WAGES:-

Coca-cola is providing smart wages to its employees, which are

competitive and really satisfy its employees. As along with the wages

they are provided with a lot of facilities and amenities. In brief structure

of wages can be described like this “ blue collar workers are offered

wages along with commission, sales man are offered wages plus

commission pursuing certain criteria, White collar workers who are the

officers and the executives draw a handsome amount of salary which is

really competitive”.

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STAFFING AND TRAINING: -

The Coca-Cola Company has always believed that education is a

powerful force in improving the quality of life and creating opportunity for

people and their families around the world.

The Coca-Cola Company is committed to helping people make their

dreams come true. All over the world, we are involved in innovative

programs that give hard-working, knowledge-hungry students books,

supplies, places to study and scholarships. From youth in Brazil to first

generation scholars, educational programs in local communities are our

priority.

Annual Leaves:-

Coca-cola international has different leaves structures in different regions

and countries of the world where they have their company.

Time Management For Work:-

Time management is the key to grow in this fast and furious century of

growth and development, so therefore Coca-cola is doing at their best

for this pivotal factor of managing time. To cover this segment of

management they have divided the work in to shifts. For this purpose

phenomenon of division of labour is contributing for it’s functioning. In

many Coca-Cola plant company has divided the shifts for the work in the

following manner:

They are managing the working time in two shifts. They can include

some extra shift if there is demand but normally there are two shifts,

which are explained in the following. HR coca cola

• 8 a.m. to 4 p.m. (all departments other then technical departments),

• 4 p.m. to 12 p.m. (Technical department).

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Medical Facilities:-

Medical facilities are of prime importance in any organization as the

health of employees is in the benefit of the company as well as it’s the

social responsibility of the company to provide nice and healthy work

environment to its employees, These facilities are such facilities which

can include first aid treatments, emergency handling problems, sickness,

and other diseases which are fatal for a person. The Coca-Cola

Company is providing Medical facilities to all its employees. These

treatments are provided to employees as per their designations. The

medical facilities are also provided to supervisors as well as the officers

in the company.

Employees our Asset: -

The heart and soul of our enterprise have always been our people. Over

the past century, Coca-Cola people have led our successes by living and

working with a consistent set of values. While the world and our

business will continue to change rapidly, respecting these values will

continue to be essential to our long-term success.

Mentoring Programs: -

The Coca-Cola Company is creating a system of mentoring programs

that include, one-on-one mentoring, group mentoring and mentoring self-

study tools. Currently, Coca-Cola North America and The Minute Maid

Company have one-on-one mentoring programs designed to foster

professional growth and development.

DEPARTMENTALIZATION: -

Following are the departments in Coca-cola company regarding to

Ranchi plant:-

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• Human Resource and international relation department.

• Research and Development department.

• Account department.

• Engineering department.

• Production department.

• Quality Control department.

• Marketing department.

• Sale department.

• Fleet department.

• Distribution department.

HUMAN RESOURCE DEPARTMENT:-

Human Resource Management is an essential part for any organization.

Moreover, development of this department is the first step, the ground on

which the future of the company depends. It is essential for every single

business unit and especially for such international company as Coca

Cola. It is people, not technology who create the company. Human

Resource Management at Coca Cola Company has many advantages. It

is the global company and it is impossible to create certain policies or

procedures applicable in all divisions of the company, cultural and

political differences need to be taken into account. Therefore, the focus

of this paper will be on four tasks and duties of Human Resource

Management (performance management, compensation, career

development, succession planning) based on the United States

procedures.

Basically the HRM practices are necessary for every organization. But

unfortunately in Pakistan not so much used HRM practices. In

multinational companies like coca cola have their own separate

department of HRM.

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OUR RECRUITMENT PROCESS

Our recruitment process is well established first of all we give ads in

news papers, company website, institutions etc.Once we receive an

application form, from candidates with required documents and C V.

Internal recruitment

External recruitment

External

Selection process

The selection process will vary depending on the position you’re

applying for, as one process can’t fit all the different roles we have here

at CCE. However, in most cases a combination of any of the following

tools will be used:

Interview

Group exercises

Presentations

Psychometric tests

Role plays/Situational Exercises

Interview

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STRATEGIC HRM AND BUSINESS PERFORMANCE

at COCA COLA:-

Human resources management alignment means to integrate

decisions about people with decisions about the results an

organization is trying to obtain.

HRM alignment is the ultimate level of HRM accountability, as

demonstrated in the Hierarchy of Accountability.

While HRM accountability must begin with basic legal compliance,

it ultimately encompasses all four levels of the pyramid, including

demonstrating how HRM supports achievement of the agency

strategic goals.

The ‘people and performance model’ emphasized the importance

of individual HR strategies which must fit in a strategic framework

which incorporates both people and business issues.

It is useful for all organizations to manage their people within

coherent framework which reflect the business strategy.

They can ensure that the various aspects of people management

are mutually reinforcing in developing the performance and

behaviors necessary to achieve business success.

There is not single HRM strategy that will deliver success in all

situation.

Organizations need to define a strategy which is unique to their

own situation in terms of context, goals, and the demands of

organizational stakeholders

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ALIGINING STRATEGIC HUMAN RESOURCE

MANAGEMENT WITH MISSION:-

Human resources management alignment means to integrate

decisions about people with decisions about the results an

organization is trying to obtain.

According to coca cola HRM alignment is the ultimate level of

HRM accountability, as demonstrated in the Hierarchy of

Accountability.

While HRM accountability must begin with basic legal compliance,

it ultimately encompasses all four levels of the pyramid, including

demonstrating how HRM supports achievement of the agency

strategic goals.

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HOW THEY IMPLEMENT SHRM:-

“Well done is better than well said…”

Strategic implementation of HRM means performing activities

that support mission accomplishment and measuring how

well those activities contribute to achieving strategic goals.

Staffing, development, and employee relations are important

HR activities that make a difference to coca cola goal

accomplishment.

However, there are other areas in which HR of coca cola

contribute to and align with mission accomplishment, such as

the followings;

Agency Reorganizations

Workforce Planning

Linking Performance Management to Mission

Accomplishment

HR Self-Assessment

HRM MEASUREMENT AT COCA COLA:-

If you’re not keeping score, you’re only practicing..

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There are quite a few interesting approaches COCA COLA is using

to measure their HRM performance.

Benchmarking is a systematic process of measuring an

organization’s products, services, and practices against those of a

like organization that is a recognized leader in the studied area.

The Balanced Scorecard is a framework many agencies are

using to translate strategy into operational terms by measuring a

full range of perspectives: financial, customer, internal, and

learning and growth.

Activity Based Costing (ABC) is a method of cost management

that determines the true cost, including overhead, for a service or

product.

STRATEGIC RELATIONSHIP:-

The relationship between Corporate HR and Top Management in coca

cola is motivated by the following factors;

Reporting relationships - In branches where there is a direct

reporting relationship between the head of HR and the head of the

branch, HR generally has a more visible role in branch decision-

making.

Management advocates - In branches where there is a strong HR

advocate in senior management, HR has more involvement in the

branch decision-making.

Credibility - HR representatives who are formerly program

managers tend to earn more credibility from the other managers.

Culture - In some agencies, the recognition that its people are its

most important asset has traditionally been part of the culture.

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Value - In all cases, HR has to bring value to the discussion in

order to be considered a member of the management team.

How the HR office interacts with its line managers;

HR as Consultant: HR office has become more consultative.

Rather than telling a manager he/she can or cannot do

something, HR professionals are more helpful in finding

solutions to HR issues.

HR as Contributor to Mission Accomplishment: With HR help’s

managers in terms of recruitment and staffing, employee

development, and employee relations that managers would

have difficulty doing it on their own.

HR as Strategic Partner: For HR to become more involved in

line-level decision- making, managers would like the office to:

Have greater knowledge of the organizational mission, and

Get more involved and innovative in broad, organizational HR

issues that impact most on the organization, such as

recruitment and workforce and succession planning.

HR/management council established to allow them get together

periodically to discuss human resources issues and thus get to

real integration of managers into the HR program decision-

making process.

ACCOUNTABILITY at COCA COLA:-

Managers here are making more and more HRM decisions while

the HR staff is becoming more involved in broader organizational

issues.

This means that both the HR staff and managers are ultimately

accountable for effective, legally compliant HRM.

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At coca cola, managers are accountable for the business results

achieved through good human resources management, the HR

staff is accountable for HR compliance, and both are

accountable for the overall effectiveness of the agency HRM

program.