SlideShare a Scribd company logo
1 of 13
‘Globalisation and Indian MNC’
   HR and Talent management
  Challenges and Opportunities

      Horton International
       Global Partners Meet


        Dr Santrupt Misra
           Mumbai, March 3, 2012
Context

o What is driving Indian Companies to Globalize ?

o Evolution over time

o Globalization of Aditya Birla Group

o HR Challenges of Globalization for Indian Companies

o Role of Search Partners
Drivers of Globalization
 Opportunity : Slow Growth , Low Valuation
 Liberalization of India
 Trade Barriers
 Challenges of doing Business in India
 Success of IT
 Globalization of Customers / Markets
 Improvement of Global Knowledge / Understanding
 India Diaspora
 Cash Surplus
 Desire to Derisk: Synergies
Evolution over time - India
o Early Globalization

o IT Globalization

o Late Globalization

o Fashionable Globalization

o Entrepreneurial Globalization
Evolution over time - India
    Foreign Direct        FY 1995     FY        FY 2011
     Investment                      2005
Inward FDI ($billion)       1.3        6          61.9
Outward FDI ($billion)       0        2.3         43.9

 Sectoral share of Services as a percentage of GDP has
  been above 50% across the last decade, 58% in FY2011

 According to the BCG report –”2011 BCG Global
  Challengers” - 20 of the top 100 emerging companies
  tapping global markets are from India

 According to E&Y, the value of mergers and acquisition
  (M&A) deals involving Indian companies aggregated to
  US$ 34.4 billion in 2011 involving 806 transactions
Aditya Birla Group
•Launched globalization journey four
decades ago, established first overseas
company in Thailand in 1969

•A US$35-billion corporation, in the league   Australia | Austria | Bahrain|
of Fortune 500 - Anchored by 133,000              Bangladesh | Brazil |
employees from 42 nationalities                 Canada | China | Egypt |
                                              France | Germany | Hungary
                                               | India | Indonesia | Italy |
•15 business sectors, over 50 companies in     Ivory Coast | Japan | Korea
                                                  | Laos | Luxembourg |
33 countries across 6 continents – Over            Malaysia| Myanmar |
60% revenues from international operations      the Philippines | Poland |
                                                Switzerland | Singapore |
                                                   Spain | Sri Lanka |
•Directly serving over 100 million             Tanzania | Thailand | UAE |
customers                                          UK | USA | Vietnam |


•Over 1.5 million shareholders


India’s First Truly Global Corporation
Aditya Birla Group: Globally
A metals powerhouse, amongst the worlds most cost efficient
aluminium and copper producers . Hindalco-Novelis is the largest
aluminium rolling company . One of three biggest producers of
primary aluminium in Asia

Number one in Viscose Staple Fibre

Largest Producer of Carbon Black

Fourth Largest producer of Insulators

Fifth largest producer of Acrylic fibre

Among the top 10 cement producers
HR Challenges
 Unknown Employer Brand

 How to staff the top

 Assimilate the newly Acquired / Hired

 Generalize or Specialize

 Cost Comfort

 Overcoming the Attitude of Colonization

 Employment Market Trends

 Risk Assessment

 Speed of replacement

 Stop gap arrangements

 Talent Assessment: Existing / New

 Talent Strategy : Industry / Location / Ownership aspirations
HR Challenges

Mode of their Entry Size of Investment
•Green Field            •Large
•Acquisition            •Small




Sector                  Familiarity
•Established/ Entrenched •Many old MNCs
•New                    •Early Entrant



                                          9
HR Challenges
                  Speed of
Experience as MNC Internationalization
•First Time         •Rapid
•Done it, Seen it   •Slow



Brand of the        Leadership in the
Company             Host Country
•Known              •Local
•Unknown            •Expat


                                         10
Learnings

 Support Internationalization Strategy with Competence Strategy

 Cadre of Entry Specialists

 Your own Organization Culture can be as much a challenge as

  national culture

 Integration speed based local expectations, not your experience

 Trust Building cannot be left to chance

 HR Due Diligence & Planning are key to success



                                                                11
Role of Search Partners
 Centre of Relationship Network – Legal, Accounting, Search

 Office Space

 Employment Market Trend

 Advice on Talent Strategy: Employer Brand

 Deep understanding of client – Our experience with search
  partners

 Initial Hires

 Expat CEO mentoring

 Cultural aspects of people management

 Board composition
Thank You !

More Related Content

Viewers also liked

Globalization and its Impacts on India 2012
Globalization  and its Impacts on India 2012Globalization  and its Impacts on India 2012
Globalization and its Impacts on India 2012Jobin Mathew
 
globalisation and the indian economy
globalisation and the indian economyglobalisation and the indian economy
globalisation and the indian economymarudhurimaha
 
India on crossroads of globalisation
India on crossroads of globalisationIndia on crossroads of globalisation
India on crossroads of globalisationpunarnav bharat
 
ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...
ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...
ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...Alexander Crépin
 
India globalisation
India globalisationIndia globalisation
India globalisationRavi Nakulan
 
International negotiations & Cross culture Communication
International negotiations  & Cross culture CommunicationInternational negotiations  & Cross culture Communication
International negotiations & Cross culture CommunicationBikramjit Singh
 
Globalisation
GlobalisationGlobalisation
GlobalisationApoorva
 
India globalisation 1
India globalisation 1India globalisation 1
India globalisation 1Ravi Nakulan
 
Managing differences: the central challenge in HR Global Strategy
Managing differences: the central challenge in HR Global StrategyManaging differences: the central challenge in HR Global Strategy
Managing differences: the central challenge in HR Global StrategyAlfredo Amores
 
Indian multinational companies
Indian multinational companiesIndian multinational companies
Indian multinational companiesGaurav Nair
 
Cross Cultural Communication
Cross Cultural CommunicationCross Cultural Communication
Cross Cultural CommunicationWieke Gur
 
INDIA Globalisation 3
INDIA Globalisation 3INDIA Globalisation 3
INDIA Globalisation 3Ravi Nakulan
 
OCR F585 Economics - Extract 1 - Globalisation and Trade
OCR F585 Economics - Extract 1 - Globalisation and TradeOCR F585 Economics - Extract 1 - Globalisation and Trade
OCR F585 Economics - Extract 1 - Globalisation and Tradetutor2u
 

Viewers also liked (19)

Globalization and its Impacts on India 2012
Globalization  and its Impacts on India 2012Globalization  and its Impacts on India 2012
Globalization and its Impacts on India 2012
 
globalisation and the indian economy
globalisation and the indian economyglobalisation and the indian economy
globalisation and the indian economy
 
Globalisation ppt 2
Globalisation ppt 2Globalisation ppt 2
Globalisation ppt 2
 
Mae presente de_deus
Mae presente de_deusMae presente de_deus
Mae presente de_deus
 
Globalhrm
GlobalhrmGlobalhrm
Globalhrm
 
India on crossroads of globalisation
India on crossroads of globalisationIndia on crossroads of globalisation
India on crossroads of globalisation
 
Impact on glob
Impact on globImpact on glob
Impact on glob
 
ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...
ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...
ISO 26000 & HR, Human Resources and Human Responsible Management, HR in Actio...
 
India globalisation
India globalisationIndia globalisation
India globalisation
 
Cross Cultural Communications: Effective Strategies for Libraries
Cross Cultural Communications: Effective Strategies for LibrariesCross Cultural Communications: Effective Strategies for Libraries
Cross Cultural Communications: Effective Strategies for Libraries
 
International negotiations & Cross culture Communication
International negotiations  & Cross culture CommunicationInternational negotiations  & Cross culture Communication
International negotiations & Cross culture Communication
 
Globalisation
GlobalisationGlobalisation
Globalisation
 
India globalisation 1
India globalisation 1India globalisation 1
India globalisation 1
 
Managing differences: the central challenge in HR Global Strategy
Managing differences: the central challenge in HR Global StrategyManaging differences: the central challenge in HR Global Strategy
Managing differences: the central challenge in HR Global Strategy
 
Indian multinational companies
Indian multinational companiesIndian multinational companies
Indian multinational companies
 
Cross Cultural Communication
Cross Cultural CommunicationCross Cultural Communication
Cross Cultural Communication
 
INDIA Globalisation 3
INDIA Globalisation 3INDIA Globalisation 3
INDIA Globalisation 3
 
Globalisation
GlobalisationGlobalisation
Globalisation
 
OCR F585 Economics - Extract 1 - Globalisation and Trade
OCR F585 Economics - Extract 1 - Globalisation and TradeOCR F585 Economics - Extract 1 - Globalisation and Trade
OCR F585 Economics - Extract 1 - Globalisation and Trade
 

Recently uploaded

Abanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdfAbanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdfAbanoubGhobrial1
 
Crack JAG. Guidance program for entry to JAG Dept. & SSB interview
Crack JAG. Guidance program for entry to JAG Dept. & SSB interviewCrack JAG. Guidance program for entry to JAG Dept. & SSB interview
Crack JAG. Guidance program for entry to JAG Dept. & SSB interviewNilendra Kumar
 
Transportation and Trade Part 5 (1) (1).pptx
Transportation and Trade Part 5 (1) (1).pptxTransportation and Trade Part 5 (1) (1).pptx
Transportation and Trade Part 5 (1) (1).pptxSheldon Byron
 
Banged Dubai Call Girls O525547819 Call Girls Dubai
Banged Dubai Call Girls O525547819 Call Girls DubaiBanged Dubai Call Girls O525547819 Call Girls Dubai
Banged Dubai Call Girls O525547819 Call Girls Dubaikojalkojal131
 
Get to know about Raquel Thompson Barbados.pdf
Get to know about Raquel Thompson Barbados.pdfGet to know about Raquel Thompson Barbados.pdf
Get to know about Raquel Thompson Barbados.pdfRaquel Thompson Barbados
 
Complete Benefits of career counseling in India
Complete Benefits of career counseling in IndiaComplete Benefits of career counseling in India
Complete Benefits of career counseling in IndiaMere Mentor
 
LinkedIn Strategic Guidelines April 2024
LinkedIn Strategic Guidelines April 2024LinkedIn Strategic Guidelines April 2024
LinkedIn Strategic Guidelines April 2024Bruce Bennett
 
How to make career in advance 3d animation
How to make career in advance 3d animationHow to make career in advance 3d animation
How to make career in advance 3d animationsantoshjadhav126
 
401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx
401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx
401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptxwaghmare9860lavin
 
Design, Desire and Demand Presentation.pptx
Design, Desire and Demand Presentation.pptxDesign, Desire and Demand Presentation.pptx
Design, Desire and Demand Presentation.pptxaaronbasko1
 
Training for Deaconess, biblical qualifications.ppt
Training for Deaconess, biblical qualifications.pptTraining for Deaconess, biblical qualifications.ppt
Training for Deaconess, biblical qualifications.pptVidalMendoza5
 
Back on Track: Navigating the Return to Work after Parental Leave
Back on Track: Navigating the Return to Work after Parental LeaveBack on Track: Navigating the Return to Work after Parental Leave
Back on Track: Navigating the Return to Work after Parental LeaveMarharyta Nedzelska
 
Thomas Calculus 12th Edition Textbook and helping material
Thomas Calculus 12th Edition Textbook and helping materialThomas Calculus 12th Edition Textbook and helping material
Thomas Calculus 12th Edition Textbook and helping materialsafdarhussainbhutta4
 
4. Biomechanical Preparation INTRO AND TECHNIQUES
4. Biomechanical Preparation INTRO AND TECHNIQUES4. Biomechanical Preparation INTRO AND TECHNIQUES
4. Biomechanical Preparation INTRO AND TECHNIQUESaishwaryakhare5
 
加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作
加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作
加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作rpb5qxou
 
Abanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdfAbanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdfAbanoubGhobrial1
 
Chapter 4 - Promoting Inclusive Culture.ppt
Chapter 4 - Promoting   Inclusive Culture.pptChapter 4 - Promoting   Inclusive Culture.ppt
Chapter 4 - Promoting Inclusive Culture.pptmoytopo
 
Senior IT Professional with Master’s Degree with 21+ years of experience is...
Senior IT Professional with Master’s Degree with 21+ years of experience   is...Senior IT Professional with Master’s Degree with 21+ years of experience   is...
Senior IT Professional with Master’s Degree with 21+ years of experience is...Anas Acharath Parakat
 
APSC Motor Vechile Inspector 18 Posts.pdf
APSC Motor Vechile Inspector 18 Posts.pdfAPSC Motor Vechile Inspector 18 Posts.pdf
APSC Motor Vechile Inspector 18 Posts.pdfsoumita869
 
What is the career path of a VFX artist?
What is the career path of a VFX artist?What is the career path of a VFX artist?
What is the career path of a VFX artist?santoshjadhav126
 

Recently uploaded (20)

Abanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdfAbanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdf
 
Crack JAG. Guidance program for entry to JAG Dept. & SSB interview
Crack JAG. Guidance program for entry to JAG Dept. & SSB interviewCrack JAG. Guidance program for entry to JAG Dept. & SSB interview
Crack JAG. Guidance program for entry to JAG Dept. & SSB interview
 
Transportation and Trade Part 5 (1) (1).pptx
Transportation and Trade Part 5 (1) (1).pptxTransportation and Trade Part 5 (1) (1).pptx
Transportation and Trade Part 5 (1) (1).pptx
 
Banged Dubai Call Girls O525547819 Call Girls Dubai
Banged Dubai Call Girls O525547819 Call Girls DubaiBanged Dubai Call Girls O525547819 Call Girls Dubai
Banged Dubai Call Girls O525547819 Call Girls Dubai
 
Get to know about Raquel Thompson Barbados.pdf
Get to know about Raquel Thompson Barbados.pdfGet to know about Raquel Thompson Barbados.pdf
Get to know about Raquel Thompson Barbados.pdf
 
Complete Benefits of career counseling in India
Complete Benefits of career counseling in IndiaComplete Benefits of career counseling in India
Complete Benefits of career counseling in India
 
LinkedIn Strategic Guidelines April 2024
LinkedIn Strategic Guidelines April 2024LinkedIn Strategic Guidelines April 2024
LinkedIn Strategic Guidelines April 2024
 
How to make career in advance 3d animation
How to make career in advance 3d animationHow to make career in advance 3d animation
How to make career in advance 3d animation
 
401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx
401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx
401799841-Increasing-Crimes-and-Suicides-Among-Youth.pptx
 
Design, Desire and Demand Presentation.pptx
Design, Desire and Demand Presentation.pptxDesign, Desire and Demand Presentation.pptx
Design, Desire and Demand Presentation.pptx
 
Training for Deaconess, biblical qualifications.ppt
Training for Deaconess, biblical qualifications.pptTraining for Deaconess, biblical qualifications.ppt
Training for Deaconess, biblical qualifications.ppt
 
Back on Track: Navigating the Return to Work after Parental Leave
Back on Track: Navigating the Return to Work after Parental LeaveBack on Track: Navigating the Return to Work after Parental Leave
Back on Track: Navigating the Return to Work after Parental Leave
 
Thomas Calculus 12th Edition Textbook and helping material
Thomas Calculus 12th Edition Textbook and helping materialThomas Calculus 12th Edition Textbook and helping material
Thomas Calculus 12th Edition Textbook and helping material
 
4. Biomechanical Preparation INTRO AND TECHNIQUES
4. Biomechanical Preparation INTRO AND TECHNIQUES4. Biomechanical Preparation INTRO AND TECHNIQUES
4. Biomechanical Preparation INTRO AND TECHNIQUES
 
加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作
加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作
加拿大MUN学位证,纽芬兰纪念大学毕业证书1:1制作
 
Abanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdfAbanoub Ghobrial, Planning Team Leader.pdf
Abanoub Ghobrial, Planning Team Leader.pdf
 
Chapter 4 - Promoting Inclusive Culture.ppt
Chapter 4 - Promoting   Inclusive Culture.pptChapter 4 - Promoting   Inclusive Culture.ppt
Chapter 4 - Promoting Inclusive Culture.ppt
 
Senior IT Professional with Master’s Degree with 21+ years of experience is...
Senior IT Professional with Master’s Degree with 21+ years of experience   is...Senior IT Professional with Master’s Degree with 21+ years of experience   is...
Senior IT Professional with Master’s Degree with 21+ years of experience is...
 
APSC Motor Vechile Inspector 18 Posts.pdf
APSC Motor Vechile Inspector 18 Posts.pdfAPSC Motor Vechile Inspector 18 Posts.pdf
APSC Motor Vechile Inspector 18 Posts.pdf
 
What is the career path of a VFX artist?
What is the career path of a VFX artist?What is the career path of a VFX artist?
What is the career path of a VFX artist?
 

'Globalisation and Indian MNC' by Dr Santrupt Misra- Aditya Birla Group

  • 1. ‘Globalisation and Indian MNC’ HR and Talent management Challenges and Opportunities Horton International Global Partners Meet Dr Santrupt Misra Mumbai, March 3, 2012
  • 2. Context o What is driving Indian Companies to Globalize ? o Evolution over time o Globalization of Aditya Birla Group o HR Challenges of Globalization for Indian Companies o Role of Search Partners
  • 3. Drivers of Globalization  Opportunity : Slow Growth , Low Valuation  Liberalization of India  Trade Barriers  Challenges of doing Business in India  Success of IT  Globalization of Customers / Markets  Improvement of Global Knowledge / Understanding  India Diaspora  Cash Surplus  Desire to Derisk: Synergies
  • 4. Evolution over time - India o Early Globalization o IT Globalization o Late Globalization o Fashionable Globalization o Entrepreneurial Globalization
  • 5. Evolution over time - India Foreign Direct FY 1995 FY FY 2011 Investment 2005 Inward FDI ($billion) 1.3 6 61.9 Outward FDI ($billion) 0 2.3 43.9  Sectoral share of Services as a percentage of GDP has been above 50% across the last decade, 58% in FY2011  According to the BCG report –”2011 BCG Global Challengers” - 20 of the top 100 emerging companies tapping global markets are from India  According to E&Y, the value of mergers and acquisition (M&A) deals involving Indian companies aggregated to US$ 34.4 billion in 2011 involving 806 transactions
  • 6. Aditya Birla Group •Launched globalization journey four decades ago, established first overseas company in Thailand in 1969 •A US$35-billion corporation, in the league Australia | Austria | Bahrain| of Fortune 500 - Anchored by 133,000 Bangladesh | Brazil | employees from 42 nationalities Canada | China | Egypt | France | Germany | Hungary | India | Indonesia | Italy | •15 business sectors, over 50 companies in Ivory Coast | Japan | Korea | Laos | Luxembourg | 33 countries across 6 continents – Over Malaysia| Myanmar | 60% revenues from international operations the Philippines | Poland | Switzerland | Singapore | Spain | Sri Lanka | •Directly serving over 100 million Tanzania | Thailand | UAE | customers UK | USA | Vietnam | •Over 1.5 million shareholders India’s First Truly Global Corporation
  • 7. Aditya Birla Group: Globally A metals powerhouse, amongst the worlds most cost efficient aluminium and copper producers . Hindalco-Novelis is the largest aluminium rolling company . One of three biggest producers of primary aluminium in Asia Number one in Viscose Staple Fibre Largest Producer of Carbon Black Fourth Largest producer of Insulators Fifth largest producer of Acrylic fibre Among the top 10 cement producers
  • 8. HR Challenges  Unknown Employer Brand  How to staff the top  Assimilate the newly Acquired / Hired  Generalize or Specialize  Cost Comfort  Overcoming the Attitude of Colonization  Employment Market Trends  Risk Assessment  Speed of replacement  Stop gap arrangements  Talent Assessment: Existing / New  Talent Strategy : Industry / Location / Ownership aspirations
  • 9. HR Challenges Mode of their Entry Size of Investment •Green Field •Large •Acquisition •Small Sector Familiarity •Established/ Entrenched •Many old MNCs •New •Early Entrant 9
  • 10. HR Challenges Speed of Experience as MNC Internationalization •First Time •Rapid •Done it, Seen it •Slow Brand of the Leadership in the Company Host Country •Known •Local •Unknown •Expat 10
  • 11. Learnings  Support Internationalization Strategy with Competence Strategy  Cadre of Entry Specialists  Your own Organization Culture can be as much a challenge as national culture  Integration speed based local expectations, not your experience  Trust Building cannot be left to chance  HR Due Diligence & Planning are key to success 11
  • 12. Role of Search Partners  Centre of Relationship Network – Legal, Accounting, Search  Office Space  Employment Market Trend  Advice on Talent Strategy: Employer Brand  Deep understanding of client – Our experience with search partners  Initial Hires  Expat CEO mentoring  Cultural aspects of people management  Board composition