STUDY OF TALENT MANAGEMENT STRATEGY IN IOL CHEMICALS AND PHARMACEUTICALS LTD.

STUDY OF TALENT MANAGEMENT STRATEGY IN IOL CHEMICALS AND PHARMACEUTICALS LTD.This summary version of the report details the overarching framework for defining and understanding talent management strategies that was used and developed by this training report on IOL Chemicals and Pharmaceuticals Limited, Barnala.

It covers the key findings and conclusions across the three themes of defining talenthow to develop talent and the structures and systems to support talent management, and the main recommendations that have been drawn from looking at the analysis and research results holisticallyINTRODUCTION

Talent management is the additional management processes and opportunities that are made available to people in the organisation who are considered to be talent

INDUSTRY PROFILEChemical industry is one of the oldest industries in India. The industry, including petrochemicals, and alcohol-based chemicals, has grown at a pace outperforming the overall growth of the industry.CURRENT SCENARIOThe global chemical market is estimated at approximately USD 1.7 trillionThe Indian Chemical Industry ranks 12 by volume in the world production of chemicals.

Major PlayersPaints - Asian Paints, Goodlass Nerolac, ICI, Courtalds, Jenson & NicholsonDyes & Intermediates - Color Chem (Hoechst), Clariant, IDI, Atul, Mardia etc.Inks - Coates, Hindustan Inks, Sakata

Production Trends of Major Chemicals (in million MT)

India's Growing Chemical & Petrochemical Imports (in Rs billion)India's Growing Chemical & Petrochemical Exports (in Rs billion)COMPANY PROFILES

IOL Chemicals and Pharmaceuticals Limited (IOLCP) is a leading organic chemicals manufacturer and supplier. VisionTo be the most admired and valuable company in bulk chemicals, intermediate specialty chemicals and APIs globally.MissionTo provide qualitative products in bulk chemicals, intermediate specialty chemicals Core ValuesTo provide qualitative products in bulk chemicals, intermediate specialty chemicals Quality Policycommitted to supply good quality products, excelling laid down standards to delight our customer

Market LeadersMarket leadership in the organic chemical range & strong presence in the alcohol based industryStrong InfrastructureTo understand & respond to customers dynamic needsDriving GrowthBy maintaining a speedy and a flexible approach to production, packaging & deliverySuccess OrientationTeam of able & goal-oriented institutional builders, entrepreneurs, associates & skilled workers and technicians Sustainable DevelopmentSustainable development is a guiding principle

NETWORKIOLCP has through its quality-focus, dedication to technical excellence & an unwavering commitment to its customersFUTURE PLANSChanges needs as an inspiration to improve our existing manufacturing operationsINFRASTRUCTURE AND QUALITYMajor Indian manufacturer of active pharmaceutical ingredient, organic chemicals and intermediateSOCIAL COMMITMENTSIOLCPs commitment is to ensure a fair and equitable working environment and transparent business practicesENVIRONMENT FRIENDLINESSThe protection of the environment is an integral part of IOLCP's business operations and community activismPRODUCT RANGEGLACIAL ACETIC ACIDACETIC ANHYDRIDEIBUPROFEN BPISOBUTYL BENZENEMONO CHLORO ACETIC ACIDACETYL CHLORIDE

RESEARCH OBJECTIVES

To identify various upcoming challenges of talent management

To establish upcoming trends in talent management.

To identify the ways to retain the best talent.

NEED OF THE STUDY

The supply side discussed puts pressure on companies

to attract the best talent and ensure that employees join the company and

choose to stay in the organization rather than look for opportunities elsewhereRESEARCH METHODOLOGY

For the purpose of collection of primary data two web administered questionnaire were prepared. One questionnaire was made for HR professionals or the people involve with the talent management in the organization and other one was for the employees of the organizations.

SAMPLING DESIGNSAMPLE SIZE25 HR Professionals from IOL Chemicals and Pharmaceuticals Limited, Barnala30 Employees from IOL Chemicals and Pharmaceuticals Limited, BarnalaSECONDARY DATA Journals and Research Paper Newsletters HR websites

STATISTICAL TOOLS: Pie charts Bar graphs

SAMPLING TECHNIQUES: Judgmental Sampling

DATA INTERPRETATION AND ANALYSIS: HR PROFESSIONALS

Areas that organization needs to improve in terms of talent management initiativesAligning employees with the mission and vision 10Assessing candidates skills in hiring process 17Creating a culture that makes employees want to stay with the organization11Creating a culture that makes individuals want to join the organization11Creating a culture that values employees work 10Creating an environment where employees are excited to come to work each day18Creating an environment where employees ideas are listened to and valued18Creating policies that encourage career growth and development opportunities16Identifying gaps in current employees and candidate competency levels13

Primarily responsible for assigned jobsNo one head (excludes employee supervisor)Excludes employee supervisorHr staff coach (excludes employee supervisor)Internal (excludes employee supervisor)Mentor ConsultantOutsideOthersRecruiting individuals 014173211Further developing employees11374513Retaining employees 214113123

Factors that broadly defined job description are the most critical in terms of attracting and retaining employeesVery CriticalCriticalSomewhat CriticalNot Very CriticalNot CriticalSales 177330Marketing 71250Business development 129510Finance 571440Field operations 371163Research and Development512933Innovation 69730Business unit leadership 79730Senior management 1111520Programme management 571430

Kinds of talent development activities are carried outBuilding class room workshops3Coaching4Mentoring2Education5Developmental experience3Short terms assignments3Action learning2Others3

How effective will the following elements of compensation be in terms of attracting and retaining top performers in next three yearsVery CriticalCriticalSomewhat CriticalNot Very CriticalNot CriticalBase pay 147040Health care benefits 510730Retirement/education benefits 89530Share options/equity participation83743Child care costs/arrangement 329110Job security 103732

Excluding financial compensation which of the following do you believe are effective means of rewarding motivating and retaining talentProviding training7Working with employees 5Providing mentoring 5Providing a collaborative 6Providing the opportunity 3Funding educational needs4Encouraging risk taking 5Maintaining the reputation 4

How accurately do the following statements describe actions taken, or soon to be taken by your organizationAcquire companies to obtain talent9Move processes/ operations offshore to access talent3Increasingly require non complete agreements from staff4Partner with universities/consultancies 6Partner with universities/consultancies to execute11Use certification to enhance the value of training 13Moved processes/ operations offshore to reduce costs.5

Excluding financial compensation which of the following do you believe are your organizations most effective means of rewarding motivating and retaining talentWorking with employees 12Providing mentoring and fast 15Providing a collaborative 11Providing the opportunity 17Funding educational needs14

Which broadly defined job description are the most critical in terms of attracting and retaining employeesVery CriticalCriticalSomewhat CriticalNot Very CriticalNot CriticalSales147220Marketing118420Business Development87433

DATA INTERPRETATION AND ANALYSIS: EMPLOYEESHow long have you been working for the companyLess than a year61-2 years82-5 years115-10 years3More than 10 years2

Have you been made aware of the policies and procedures? Do you know and understand themNot at all aware of thisAware of this but need more informationKnow and understand thisOrganization mission statement31413Structure of the company21711Aims of the company 2217Health and safety procedure11811Equal opportunities policy31512Professional association membership21216Policy on handling any legal problems41412Policy on handling customer problems11316Staff disciplinary procedures 31215Policy on holiday entitlement21315Policy on absence 1111Policy on maternity/ paternity leave21810

Do you know how you can help the organization to achieve its aimsYes, I feel quite clear about this18I think so, but would like to discuss it further9No, I am not at all clear about this3

Please rate your satisfaction with the employee benefits and policiesExtremely DissatisfiedDissatisfied Neither satisfied norDissatisfiedSatisfiedExtremely SatisfiedAccuracy of job Description352119Salary review 471162Adequate information provided about any job changes / promotion29121Leave of absence 357105Health care benefits 291342Retirement benefits 471432

In the next three years how effective will the following elements of compensation be in terms of attracting and retaining top performersVery CriticalCriticalSomewhat CriticalNot Very CriticalNot CriticalBase pay 1210341Health care benefits 97932Retirement/education benefits 1310421Share options/equity participation841134Child care costs/arrangement 471333Job security 128541

Excluding financial compensation which of the following do you believe are your organizations most effective means of rewarding motivating and retaining talentWorking with employees 13Providing mentoring and fast 16Providing a collaborative 12Providing the opportunity 18Funding educational needs15Encouraging risk taking 11Maintaining the reputation 21Providing international Exposure11

Would you benefit from further training in any of the items specified in your job descriptionYes17No13

Please rate your satisfaction with the salary and benefits package you receiveExtremely DissatisfiedNeither Dissatisfied satisfied norDissatisfiedSatisfiedExtremely SatisfiedMedical insurance package257115Company savings plan349104Retirement plan13911Entitlement24796Job market Competitiveness of my salary251175Share option plan28992Overall, how satisfied are you with your company's personnel policiesExtremely Dissatisfied3Very Dissatisfied2Neither Satisfied nor Dissatisfied11Very Satisfied10Extremely Satisfied4

Overall, how satisfied are you with this company as a place to work compared to other places you have workedExtremely Dissatisfied1Very Dissatisfied2Neither Satisfied nor Dissatisfied5Very Satisfied10Extremely Satisfied12

FINDINGS

HR MANAGERS

In most of the companies the talent is identified by competencies and the HR professional view to increase career growth opportunity.HR staffs as well as the department heads are responsible for recruiting individuals Retaining the current talent is top priority for the organizationSales and business development are the two areas where retaining talent is most difficultClass room workshop, mentoring and coaching are usually used by the organization to carry out talent development activities.More than of the respondent view organizational culture as a main driving force for the new talent and for the existing talent. Even rewarding plays a important role Base pay and Job security are the two main areas for retaining talent in coming years. Other than this, training plays an important role in motivating the employee.Organizations are using certification for improving the training programs.In more than of the organizations budget for recruiting developing and retaining employees is going to increase over the next three years

EMPLOYEESMost the employees have a clear knowledge about the companys vision, mission and objectives. And they know how to achieve these objectives They are clear about their role and responsibility and they know about other staff members also.Most of the respondent are satisfied by job description, salary review, health care benefits etc.Base pay and Job security are in top priority for the employees in coming years.Most of the employees want more training in their specified job. Most of the employees are satisfied with the company's personnel policies where as some of them are neither satisfied nor dissatisfiedOverall employee are extremely satisfied where as most are just satisfied with their organization.

CONCLUSION

Promotions, project work, management training schemes and management qualifications were the main development opportunities offered and undertaken in organisations. Managers who wanted to be considered talent rated qualifications, having the right coach/mentor, the right training course, internal networking and taking on larger teams as important for their future career development.There was a significant correlation in the survey results between individuals feeling underutilised and their line managers and senior managers considering them to be talent. The relationship between line managers and those identified as talent requires sensitive management in terms of who should take responsibility for the individuals development. Where the development of high potentials takes place in a highly supportive culture, the risks associated with allocating stretching assignments or role transfers can be significantly mitigated.Most organisations see the need for a more central ownership approach to talent in order to get senior management buy-in and strategic alignment with the programme, however this can raise operational issues in business-unit driven organisations.

SUGGESTIONSOrganizations must have meaningful descriptions of the capabilities (skills, behaviors, abilities and knowledge) required throughout the organization.Organizations must be able to relate those skills and capabilities to a role or a center of demand, such as a job position, project or leadership role.Talent management processes must create a comprehensive profile of their talent. They must be able to track meaningful talent related information about all of their people - employees, contractors, or candidates.The working culture of the organization should be improved and maintained to retain talent in long run.More certified training should be given to the employee to boost their effectiveness and efficiency. It should be used as a tool of motivation.The organization should identify the crucial talent initiative to attract and retain the employee. They should know which talent management elements can have the greatest impact on the business and therefore provide a better basis for prioritization and implementation.To create a sophisticated talent management environment, organizations must:Define a clear vision for talent managementDevelop a roadmap for technology and process integrationIntegrate and optimize processesApply robust technology to enable processes Prepare the workforce for changes associated with the new Environment

RECOMMENDATIONS

1. Every organisation needs to align their talent management system to their specific business requirements. 2. When considering the right talent management system for your organisation, you first need to decide which perspective is most relevant to your business goals. 3. Designing and implementing a talent management system can be shaped by the dimensions. 4. Talent management requires a talent culture to be developed so that talent conversations become acceptable5. Care needs to be taken with disseminating talent management practices 6. When designing appropriate routes for developing talent within your organisation, it is important to consider the prevailing culture within your organisation and the appetite for risk.7. Offering differentiated and tailored development routes that can meet individual needs 8. Central ownership for talent management is important to achieve alignment with the organisations strategic objectives

LIMITATIONS

Since the sample size is very small as only IOL was surveyed. This report cannot be completely generalized.Since it was an informal survey the figures mentioned are not specific.Reliability & authenticity of data totally depends on honesty of the respondents. The findings are based on the response from the respondents; as such they may not be totally authentic.Due to pressure of work, some employees. may not give enough thought and attention while filling up the questionnaires. Inaccessibility to some of the representatives of the management.

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