Building A Happy Organization

2. 2 Wealth and Happiness Qatar Luxembourg Singapore Norway Brunei USD 98814 USD 78610 USD 64584 USD 54947 USD 53431 1 2 3 4 5 Wealthiness Rank Country GDP Per Capita Happiness Rank Denmark Switzerland Iceland Austria Bhutan USD 34600 USD 46430 USD 35600 USD 32700 USD 1400 19 7 22 11 114 1 2 3 4 8

3. 3 What has Bhutan Done Differently to get there GNH Index – Reflects the happiness and general well being of Bhutanese people Includes nine core domains that are regarded as components of happiness GNH – Gross National Happiness “The bridge between the fundamental values of kindness, equality and humanity and the necessary pursuit of economic growth” Jigme Khesar, King of Bhutan GDP GNH Source – Center for Bhutan Studies

4. 4 Happiness as described by Some Great Visionaries

6. 6 For what is a man profited, if he shall gain the whole world, and lose his own soul? - Holy Bible

7. 7 Video - Winning Hearts

9. 9 Happiness is the meaning and the purpose of Life, the whole aim and end of Human existence - Aristotle

10. 10 Reflection on Happiness HAPPINESS Purpose ThoughtInner Self

11. 11 Martin Seligman- Happiness Construct Meaning / Purpose Engagement Pleasure Unique Pathways

12. 12 SMH OMH Subjective Measures of Happiness (SMH) – Life Satisfaction, General state of Happiness Objective Measures of Happiness (OMH) – Education and occupation achievement + + + + + - Martin Seligman – Happiness Construct α α α Construct Meaning / Purpose Engagement Pleasure

13. 13 Martin Seligman- Happiness Construct Meaning / Purpose Engagement Pleasure Unique Pathways

14. 14 So what can Leaders do to create happier Organizations Build a Purposeful Organization Drive engagement

15. 15 The Mahindra Context – Driving Purpose and Engagement

16. 16 The Story of Rise.

17. 17 A Changing Global Paradigm The VUCA World Complexity Uncertainty Volatility Ambiguity Exponenti al Change Lack of Trust

18. 18 Creating Tomorrow’s Company

19. 19 May be mistaken for a PSU 40’ish, middle-aged, rugged,rural Conventional, risk -averse Rigid, finds safe ways to do things Trying to be creative, to keep up with the world Source: B-school campuses 2008 The Story a few years back…

20. 20 The Business Reality Mahindra acquires Satyam

21. 21 USD~ 16.5 Billion 11 Business Sectors & 18 Industries AUTOMOTIVE SECTOR Automotive FARM EQUIPMENTSECTOR Farm Equipment Agri-Business Energy Construction Equipment INFORMATION TECHNOLOGY SECTOR Information Technology MAHINDRA PARTNERS Steel Retail Industrial Equipment Logistics Leisure Boats Solar Energy HOSPITALITY SECTOR Hospitality FINANCIAL SERVICES SECTOR Financial Services Insurance Broking Rural Housing Finance SYSTECH SECTOR Aerospace Components Steel Consulting INFRASTRUCTURE & REALITY SECTOR Infrastructure Real Estate TWO WHEELER Two Wheelers AFTER MARKET Mahindra First Choice Wheels Mahindra First Choice Services DEFENSE SYSTEMS Defense Mahindra Group: Business Portfolio ...in >100 countries across the globe...

22. 22 What was our brand identity in 2010? How do we take the next Leap?

23. 23 The Story of Rise Redefine the way we look at ourselves

24. 24 StrawberryFrog findings on our group- wide common cultural elements • Over-cautious • Civil-service mentality • Insular • Short-term thinking DECLINING Aspects of the culture that are on the wane • Empowerment • Diversity • Integrity • Compassion ENDURING Aspects of the culture that will always endure • Global mindset • Challenger-spirit • Ingenuity • Social Responsibility EMERGING Aspects of the culture that are on the rise

25. 25 Our cultural strengths were converted into 3 themes for consumer research 7 Nations and 13 Markets We conducted 62 Ethnographic Interviews and 16 Discussion Groups With more than 150 consumers • India • USA • Brazil • South Africa • Egypt • China • Thailand Global Semiotic Analysis of how to leverage ‘India’ equities globally – India, UK, North America Accept No Limits Alternative Thinking Driving Positive Change Integrity Social responsibility Compassion Ingenuity Diversity Empowerment Challenger Spirit Global Mindset

26. 26 Cultural Transformation Business Transformation Accepting No Limits Alternative Thinking Driving Positive Change Rise.

27. 27 The Strategic frameworks for Change Management 1. Edger Schein model of Organizational Culture 2. John Kotter's 8 Step Change Management model 3. McKinsey Influence Model

28. 28 Organizational Culture Edgar Schein Culture Rituals Language SymbolStories

29. 29 The 8 Step Change Management Model John Kotter Creating a climate for Change Engaging and enabling the Organization Implementing and Sustaining Change Incorporate Changes into the Culture Keep the Momentum for Change moving Plan for & Create Short term Wins Empower others to act on the Vision Communicate the Vision Develope a Vision Create a powerful guiding Coalition Establish a Sense of Urgency

30. 30 The Influence Model The Irrational Side of Change Management, McKinsey Quarterly

31. 31 Preparing for the Change

32. 32 Senior Leaders' Workshops Date Workshop Target Audience Output March -10 Leading the Brand Business & HR Heads Leadership team to demonstrate by walking the talk Enabling & Disabling behaviors  Empowerment  Learning culture  Caring organization  Long-term perspective  NOT “Walk the Talk”  Substandard processes & systems  ‘One more initiative’  Products & services not upto world-class standards KEY ENABLERS KEY DERAILERS

33. 33 Senior Leaders' Workshops Date Workshop Target Audience Output March -10 Leading the Brand Business & HR Heads Leadership team to demonstrate by walking the talk Enabling & Disabling behaviors April-10 Living the Rise with Strawberry Frog GEB, Business & HR heads Linking customer processes with Rise (Big Ideas) Linking HR processes with Rise (Big Ideas) Enablers Derailers

34. 34 Living the Rise Workshop Outcomes Affinity Buckets Descriptors Communication formats/ Forum Innovative communication for improving bottom up communication, knowledge sharing and networking Customer centricity Developing insights into customer needs and empathy for delivery of better product / customer experience Reward Recognition including mechanisms to weed out R/ R to encourage contra point of view, critique. Encourage risk taking and learning from mistakes Getting Brand Ambassadors on board i.e. Resourcing Through right recruitment, on boarding and Induction processes Capability building / development Training for skills and coaching for right attitude (Including Competency Based Development)

35. 35 Empowerment Empowered to innovate or deliver a superior customer experience Ideation Time and space for free ideation by design Creating Business / Work passion To create excitement around work, engaging employees with quality work Enjoyable Work place The ambience, events, get-together, socializing with Peers, developing bonding along common interests / chilling out Social Responsibility CSR & going beyond business Behavioral Audit 360 degrees appraisal focused on Rise Supportive behaviors

36. 36 Discovering the Core Purpose: Earlier EARLIER CORE PURPOSE Indians are Second to None in the World. The founders of our nation and of our company passionately believed this. We will prove them right by believing in ourselves and by making Mahindra & Mahindra Limited known worldwide for the quality of its products and services.

37. 37 Discovering the Core Purpose: Now CORE PURPOSE We will challenge conventional thinking and innovatively use all our resources to drive positive change in the lives of our stakeholders and communities across the world, to enable them to Rise. Alternative Thinking Driving Positive Change Accepting No Limits

38. 38 The Three Rise. Pillars WHAT ? HOW ? WHY ? Alternative Thinking Driving Positive Change Accepting No Limits • Think big, think global • Challenge conventional thinking • Agility with discipline • Reasoned risk-taking • Orientation for Excellence • Seek breakthrough solutions Rise by daring to disturb the universe • Pursue new approaches • Celebrate diversity • Focus innovation on customer needs • Invent your way to growth • Frugal mindset Rise with your ingenuity • Customer sensitivity • Build quality to delight customers • Entrepreneurial Engagement • Forge strong relationships • Work hard. Have fun. Rise by shaping destinies

39. 39 Rise: House of Mahindra CORE PURPOSE We will challenge conventional thinking and innovatively use all our resources to drive positive change in the lives of our stakeholders and communities across the world, to enable them to Rise - Think big, think global - Challenge conventional thinking - Agility with discipline - Take well reasoned risks - Seek breakthrough solutions Accepting No Limits - Pursue new approaches - Celebrate diversity - Focus innovation on customer needs - Invent your way to growth Alternative Thinking - Step into your customer’s shoes - Build quality to delight customers - Forge strong relationships - Work hard. Have fun. Driving Positive Change RISE BY DARING TO DISTURB THE UNIVERSE RISE WITH YOUR INGENUITY RISE BY SHAPING DESTINIES CORE VALUES Good Corporate Citizenship | Professionalism | Customer First | Quality Focus | Dignity of the Individual

40. 40 Senior Leaders' Workshops Date Workshop Target Audience Output March -10 Leading the Brand Business & HR Heads Leadership team to demonstrate by walking the talk Enabling & Disabling behaviours April-10 Living the Rise with Strawberry Frog GEB, Business & HR heads Linking customer processes with Rise (Big Ideas) Linking HR processes with Rise (Big Ideas) May-10 HR Fraternity Senior Manger & above - HR Linking HR processes to the Rise philosophy •Enablers •Derailers •Affinity Buckets •Core Purpose •House of Mahindra

41. 41 HR Levers Leadership Competency Communication & Internalization Capability Building for Change Management Recruitment On-boarding Learning and Development Talent Management Performance Management System Reward & Recognition One Mahindra signature experience FY 13 The Wheel Of Change FY 12 HR Fraternity Meet Outcomes

42. 42 Reengineering the HR Levers

43. 43 Structure follows strategy Executive Sponsor: C & MD Steering Team: HR Council Review Team Program Office Rise Team: HR/Communication/ IT enablement Rise Sector Champions Rise Location Champions HR Levers

44. 44 Senior Leaders' Workshops Date Workshop Target Audience Output March -10 Leading the Brand Business & HR Heads Leadership team to demonstrate by walking the talk Enabling & Disabling behaviours April-10 Living the Rise with Strawberry Frog GEB, Business & HR heads Linking customer processes with Rise (Big Ideas) Linking HR processes with Rise (Big Ideas) May-10 HR Fraternity Senior Manger & above - HR Linking HR processes to the Rise philosophy Dec-10 Annual Blue Chip Conference 500+ senior Mahindra Leaders Sense of Urgency to drive the change was initiated by Mr. Anand Mahindra, the then Vice Chairman and Managing Director

45. 45 The Launch: 17 January 2011 Anand on Rise.

46. 46

47. 47 AUSTRALIA Pune Rajkot Chakan Rudrapur

48. 48 External Communication Revamped Website

49. 49 Senior Leaders' Workshops Date Workshop Target Audience Output March -10 Leading the Brand Business & HR Heads Leadership team to demonstrate by walking the talk Enabling & Disabling behaviours April-10 Living Rise with Strawberry Frog GEB, Business & HR heads Linking customer processes with Rise (Big Ideas) Linking HR processes with Rise (Big Ideas) May-10 HR Fraternity Senior Manger + Linking HR processes to the Rise philosophy Dec-10 Annual Blue Chip Conference 500+ senior Mahindra Leaders Sense of Urgency to drive the change was initiated by Mr. Anand Mahindra, the then Vice Chairman and Managing Director Dec-11 Annual Blue Chip Conference 500+ senior Mahindra Leaders Taking the Rise journey forward by launching the Group Aspiration

50. 50 Group Aspiration: Video Anand on Group Aspiration

51. 51

52. 52 Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking and innovatively use all our resources to drive positive change in the lives of our stakeholders and communities across the world, to enable them to Rise.” CORE PURPOSE Top 10 global Auto brands Deliver Farm Tech Prosperity CORE VALUES : Good Corporate Citizenship | Professionalism | Customer First | Quality Focus | Dignity of the Individual BRANDPILLARS By 2021, Mahindra Group to be amongst the top 50 globally most admired brands Transforming urban landscapes by creating sustainable communities We will be among the Top 5 VO companies of the world in terms of member base by FY 2016 To be a leading financial services provider in semi-urban and rural India.

53. 53 HR Levers Leadership Competency Communication & Internalization Capability Building for Change Management Recruitment On-boarding Learning and Development Talent Management Performance Management System Reward & Recognition One Mahindra signature experience FY 13 The Wheel Of Change FY 12

54. 54 1. Internal Communication Rise Portal Over 400 Rise stories shared on the portal Rise Mall for Rise Merchandising Sharing of Best Practices in HR >50,000 visits monthly!!!

55. 55 One Competency Framework for our group Integrated with all HR Processes Competency Internalization workshops for employees in all 11 sectors, 30,000+ employees covered 2. Mahindra Leadership Competencies

56. 56 • Strategic Business Orientation the courage to think beyond • Leadership through Sustainability focus on triple bottom line • Innovation led Transformation using a “whole brain” approach…. • Customer Focus customer at the core • Leveraging Human Capital transforming potential to performance • Weaving Passion & Energy at work joy of work… • Result Orientation with Execution Excellence first time right, every-time… 2. Mahindra Leadership Competencies contd

57. 57 Competency Based Recruitment 1000+ Managers trained for Competency Based Recruitment Use of tools like OPQ32 to bring in objectivity E- Module for Recruitment 3. Recruitment

58. 58 Standardized Induction Module created By Group HR, hosted on Rise Intranet I’M Mahindra Induction workshop for Senior leaders Updated after every 6 months, 3 Updates done 4. Induction

59. 59 Development of MGL Framework Talent Management Manual for all Sectors 5. Talent Management Domain Expertise Mahindra Leadership Competencies Mahindra Global Leader Multiple Disciplines Winning across Cultures Diversity of Experiences

60. 60 Total Rewards Portal Rise Awards at Shopfloor 6. Rewards and Recognition

61. 61 Reinforcement: Rise Awards . 2011 Awards 2013 Awards 2012 Awards

62. 62 AcceptingNoLimits • Deep Dive study to check reason s for variation in ratings of the appraises • Reverse feedback (180 degree) for managers AlternativeThinking • Post appraisal feedback / grievance process • KRA/goal audits by HR by seeking help from panel of line managers to review the quality of goals • Promotion Review Committee to scrutinize the promotion recommended cases DrivingPositiveChange • For low-performing employees, there should be a robust Performance Improvement Program in place • Trainings to be imparted to the appraisers on quality goal setting, giving and accepting feedback etc. • Tracking mechanism for Performance Appraisal Discussion and feedback to be taken 9 Recommendations for PMS which are aligned to Rise Pillars 7. PMS

63. 63 Mahindra Leadership University Architecture 8. Learning and Development Governing Council Manufacturing Businesses Services Businesses IT Business Common Functions • Strategy• Sourcing Academy DOMAIN ACADEMIES Rise Leadership Competencies Core Purpose & Values The Mahindra Way Academy of Leadership Development Innovation Academy • HR • Sales & Marketing • Finance • IT• Technical Academy • Manufacturing & Quality Academy

64. 64 8. Learning and Development Contd.. •Active Listening •Asking Powerful Questions •Giving and Receiving Feedback SUSTAINED BUSINESS OUTPERFORMANCE Reflective Conversations To build High Performance Organizations

65. 65 Mahindra Engagement Model – For Officers

66. 66 Workmen Engagement Model

67. 67 How it all scales up!!!

68. 68 0% 20% 40% 60% 80% 100% Sufficient efforts been made in the organization/sector to bring about awareness and understanding regarding RISE Sufficient efforts are being made in my organization / sector to implement RISE 79 77 14 16 7 7 %Favourable Responses (4&5 Ratings) %Neutral Responses (3 Rating) %Unfavourable Responses (1&2 Ratings) 4.06 4.12 Average Score Source: Employee Engagement Survey N = 12,000 Employee Feedback

69. 69 Summary

70. 70 The 8 Step Change Management Model John Kotter  Extensive Top Management Workshops cascading the urgency of change downwards  A powerful structure to lead whole change management initiative  Mahindra Group Aspiration to give direction Creating a climate for Change Develop a Vision Create a powerful guiding Coalition Establish a Sense of Urgency

71. 71 The 8 Step Change Management Model  Standardized communication roll-out for both internal and external stakeholders  Encouraging formation of team across the organization  Creating alignment through Rise stories and Rise Awards Creating a climate for Change Engaging and enabling the Organization Plan for & Create Short term Wins Empower others to act on the Vision Communicate the Vision John Kotter

72. 72 The 8 Step Change Management Model  Incorporating Rise into the Mahindra DNA through HR Leavers  Focused interventions in each of the HR Levers co-created within teams  Rigour in execution brought through the robust structure and continuous monitoring Engaging and enabling the Organization Implementing and Sustaining Change Incorporate Changes into the Culture Keep the Momentum for Change moving Creating a climate for Change John Kotter

73. 73

74. 74 Building a Culture of Rise. RISE Pillars HR Levers Mahindr a DNA

75. 75 Video: Spirit of Mahindra

76. 76

77. 77 Q&A

78. 78 Thank You

Building A Happy Organization

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Building A Happy Organization

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