HR Process & Policy Study – Indian Oil Corporation Limited.

1. HR PROCESS & POLICY STUDY
INDIAN OIL CORPORATION LIMITED
Group 4

2. About the Company
▪ State-owned oil and gas corporation, founded in 1964
▪ The Central govt./State govt. hold 78.92% stake in the company
▪ Indian Oil Corporation Ltd is one of the Maharatna Company of
India
▪ The largest commercial enterprise in India, ranking 96th in the
list of global Fortune 500 companies in the world
▪ Operates 10 out of every 18 refineries in India
▪ Chairman – Ashok Balasubramaniam

3. Organization Structure (Business
Verticals / Regions)
Chairman of the Board
(Ashok
Balasubramaniam)
Refineries Division
Digboi, Guwahati,
Barauni, Gujarat,
Mathura etc.
Pipeline Division
Safety, health and
Environment
Finance Division
Marketing
Division
Eastern Region
Western Region Southern Region
Northern Region
Human Resource
Division
Research &
Development
Energy and
Sustainable
Development
LubeTechnology
R&D center

4. Organization Structure (Business
Verticals / Regions)
Eastern Region
West Bengal
Office
Bihar State
Office
Orissa State
Office
Division Office
Bhubaneshwar
Sambalpur
Supply Points
Terminal
Depot
Northeast
Office

5. HR Functions
▪ Training
▪ Interactive sessions with employees to promote interpersonal
effectiveness and bring down barriers to communication
▪ Motivational work groups, discussion forums
▪ Appraisal and Reward system
▪ Recruitment

6. Talent Acquisition (Recruitment &
Selection)
▪ IOCL follows a mix of open and campus recruitment
▪ For open recruitment advertisements are published in
leading national dailies
▪ For campus recruitment, Indian Oil visits the IITs, NITs and
other reputed technical institutes of the country
▪ After 2010, IOCL stopped conducting its own exam and
start considering GATE scores

7. Talent Acquisition (Recruitment &
Selection)
WrittenTest
Group Discussion / Group
Task
Personal Interview (2 + 1)
▪ Selection procedure through GATE score.

8. Talent Management
(Performance, Career & Competence
Management)
▪ Implementation of non-monetary and monetary rewards
for enhancing corporate and individual performance
▪ Exercises in employer branding
▪ Improved recruitment policy to attract the best talent
▪ Intra and inter-function job rotation

9. Talent Management
(Performance, Career & Competence
Management)
▪ Challenging assignments
▪ Inter-region and inter-division postings for pan-Indian
experience
▪ Implementation of online performance management
system since 2005-06
▪ Programs for mentoring to retain talent

10. Learning & Development
▪ IOCL lays strong emphasis on training and motivating to keep its
workforce constantly engaged
▪ The learning services IOCL offer are on a select basis to managers
from the industry on national and international basis
▪ Indian Oil in 1995 set up the Indian Oil Institute of Petroleum
Management (IIPM) as an apex centre for learning
▪ IIPM also offers a 1-year MBA programme in Petroleum
Management
▪ IOCL conducts discipline-specific training workshops from time-to-
time so that employees can constantly upgrade competencies and
strengthen individual capacities for organizational effectiveness

11. Total Rewards (Compensation & Benefits)
▪ 3 Categories of Employees – Board level executives, below board level
executives, workmen
▪ Well defined pay structure for each category
▪ Compensation structure consists of:
Basic Pay & DA
Accommodation Facilities
Perquisites and Allowances
Performance related payments
Superannuation Benefits

12. Total Rewards (Compensation & Benefits)
▪ Car purchase advance immediately after induction training - Rs 2.65 lakh
(@ nominal interest of 2.5%)
▪ Computer and furniture at home
▪ House-building advance after 5 years of service - Rs 12 lakh (@ nominal 5%
interest). Insurance coverage for house is also provided at nominal 0.5%
▪ Almost unlimited medical benefits and nomination facility at best of the
hospitals across the country for self and dependents
▪ Opportunity to avail of full fee reimbursement (up to Rs 3 lakh) for part-
time MBA programme at best of the institutes in India
▪ Individual performance-based incentives

13. BENEFITS AND SERVICES
▪ One reason for high level of commitment among IOCL employee is
the way they treat every individual family as a part of the whole IOCL
family
▪ The employee can be posted to any location and IOCL offers best
quality of life through all amenities
▪ From education of children to health care of parents everything is
provided by IOCL to its employees
▪ Life-time medical care: Post-retirement medical benefits

14. Talent Retention (Employee Engagement
Initiatives)
▪ Sport activities
▪ Club facilities
▪ Article writing competition
▪ Recognition in annual magazines

15. Unique HR Practices
▪ e-Sambandh
▪ Electronic Performance Management System (e-PMS) for
PerformanceAppraisal
▪ Women in Public Sector (WIPS) Cell.
▪ First company to take GATE scores for recruitment to attract bright
talent
▪ In-house training via IIPM

16. Comparison of HR Practices with Industry
Best Practices in the region
Main Focus IOCL Reliance Petrochemicals
Recruitment Recruitment policy doesn't
consider age as an important
factor
Reservation
Prefers young talents to build
an efficient workforce in
future
No reservations
Remuneration Pay scales, allowances are
governed by Dept. of Public
Enterprise (GOI)
Depends on the performance,
responsibility and
accountability of the
employee
Appraisal System Have guidelines set to
recognize the employees
Have special committee to
ensure efficient delivery of HR
services to employees

17. Gaps & Recommendation
▪ More autonomy to HR department
▪ Lack of motivation for high performance due to fixed compensation
by the Government
▪ Diminish the process of favoritism to bring the best talent

18. Project Methodology
▪ Contact Name & Coordinates of the concern HR Person with
Designation
Vivek Mishra
HR Coordinator, Indian Oil Corporation Limited
Kolkata (West Bengal)
Email ID: dvivekmishra@iocl.in

19. References
▪ https://www.iocl.com/Peoplecareers/Recruitment.aspx
▪ https://www.iocl.com/aboutus/NewsDetail.aspx?NewsID=15563&tID
=7
▪ http://www.theofficialboard.com/org-chart/indian-oil
▪ http://www.employerbrandingawards.com/award-winner-2012-
mumbai.html
▪ http://economictimes.indiatimes.com/directorsreport.cms?company
id=11924&year=2008

20. THANKYOU