Mumbai, Dec 2: At Clariant (India) Limited (CIL), the sacred mantra is`Let's Clap': you may not hear the sound of a hand clap very often, but youwill feel its echo resonating everywhere. For at CIL, Clap stands for``CLAriant's Participation to improve Profitability through Performance ofpeople'' -- an innovative HR practice strung around the three Ps ofparticipation, profitability and performance.On October 29, 1999, however, the claps did ring out: the company formallycelebrated the golden jubilee -- the successful completion of 50 months -- of theClap programme. Says Prakash R Rastogi, managing director, CIL: ``In aneffort to intensify our HR programme, we have recently added three new Ps toClap -- namely, developing the right Processes, working through Projects andincreasing Proficiency -- in addition to the earlier three Ps in our programme,Participation, Profitability and Performance.''
Now, to push ahead the three new goals -- Processes, Projects, andProficiency -- Clariant has charted out an aggressive action plan. Explains BLGaggar, vice-president, finance & administration, CIL: ``We are workingtowards process re-engineering whereby all important processes, acrossfunctions, will be redesigned with a view to making them simpler,cost-effective and transparent. This will help enhance the efficiency of ouremployees.''
In terms of projects, the company has set up cross-functional taskforces todeal with two strategic issues: e-biz solutions for CIL, and new productdevelopment. ``Our objective is to involve employees at every stage. Thisenables us to find practical solutions for many key issues,'' adds Gaggar.
Finally, to increase the proficiency levels of employees, the company plansto conduct a host of intensive training courses for select employees, chosenfor their outstanding potential. ``Recognising their individual potential,we will give them training in relevant fields,'' says Gaggar. Currently, CILhas 400 employees on its rolls. Headquartered in Mumbai, the company hasbranches in Delhi, Calcutta, Chennai and Ahmedabad.
According to Rastogi, the Clap programme has succeeded in creatingsignificant business consciousness among all sections of employees over thelast four years. ``In order to meet a common target, all our employees fromdiverse sections have worked very hard. And this effort has definitelycreated a condusive business climate at CIL. It has also contributed towardsa qualitative improvement in work culture, business focus and qualityimprovements. Above all, the programme has significantly helped us achievesustained financial results for CIL,'' says Rastogi.
Not surprisingly therefore, the jubilee celebration too saw employees beinginvited to share their views on the Clap programme at the function. To markthe occasion, CIL also released a special edition of the rechristened `ClapUpdate' -- the in-house journal which was launched as `Clariant Headlines' in1995. The Clap programme was launched on July 1, 1995 in an effort tostrengthen the organisational transformation process.
For, just a day earlier, on June 30, 1995, CIL was `born' as a result of areverse demerger of Sandoz India following Sandoz's divestment of itschemical businesses worldwide in 1995. After the demerger of Sandoz IndiaLtd into Clariant India Ltd (CIL), business activities likepharmaceuaticals, agrochemicals and seeds were transfered to Sandoz ExportsIndia Ltd (SEIL), while dyes, chemicals and exports fell into CIL's share.
The need for change
But soon after the demerger, CIL was quick to realise that organisationalsuccess would come only if the company gained an increasing internalmindshare alongwith external marketshare. ``During the demerger, there was acertain amount of uncertainity and fear of change in the company. Hence, ourmain task was to change the old mindset and develop a common vision amongstemployees. Primarily, we had to remove the mental blocks of our employees,''recalls Rastogi.
So, the first step of the programme was to unlearn the past and adjust tonew realities. According to Rastogi, the key parameters for theimplementation of the Clap programme were identified as management directionand employee involvement. ``We created a new programme for efficientcommunication with our employees. Our objective was also to developorganisational pride which can only come through excellent performance inkey business areas,'' adds Rastogi.
The Clap rollout was further accelerated with numerous action plans andinitiatives:
Introduced internal communications on the shop floor and acceleratedcustomer interaction.Accelerated the HR programme with target meets, monthly prioritysetting, inter-functional taskforces and cost and asset management.Initiated several steps for benchmarking internal and external servicestandards and performance goals.Launched in-house journals and `Clariant Olympics', an innovativeprogramme to provide a common ground for greater interaction amongst itsemployees.Says Rastogi: ``As a result of focus on organisational transformation, wewere able to excel in our financial targets for the financial years 1995-96to 1998-99,'' claims Rastogi. ``The company was able to achieve a salesgrowth with a CAGR of 18 per cent against the market growth of 2 per centduring the period.'' Now, that is something to cheer -- and clap-about.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.