Maruti Suzuki: The Arrogance of Success

In Ramayana, Maruti or Hanuman is depicted as a strong, loyal, and a follower of Prabhu Ramachandra sans ego.

But look at the Maruti executives. They seem to be arrogance personified. Here is the statement of Maruti’s MD Shinzo Nakanishi: “I hope the workers in Manesar understand that an internal union better represents their interests.” [TOI Jan 7, 2012]

There are several issues with this statement – Firstly the underlying assumption is that an internal union serves workers’ interests better than external union. There is no basis for making this statement. There are several organisations where external unions have represented their employees and without much problem. So Mr Nakanishi’s statement only discloses his bias and not a fact.

Secondly, the statement may be true if he means that ‘an internal union better represents their interests as far as the Maruti management is concerned,’ one must appreciate his audacity to say it. The newspaper reports have captured in detail how Maruti handled the recent strike and promoted an internal union. Such unions are called ‘puppet unions’ and obviously not without reason. 

Even so, Maruti MD’s statement only smacks of arrogance and a tendency to ‘manage environment.’ Those who followed the strike will recall the rumours that Maruti actually paid Rs 1 Crore to its worker leaders for taking separation. Mr Nakanishi’s statement can only make people believe that the rumour is true.

A mature statement came from Toyota Kirloskar which too experienced labour strife. [Quote] Said Vikram Kirloskar Toyota Kirloskar Motor vice chairman: "We're trying to improve communication with team members and instil ownership in the company. When we started out, we ended up with fresh hands and failed to understand their demographic and personal requirements. That's why we had labour problems in the first plant but the second plant the going has been smooth. We have promoted career development and ensured a mix of experienced and new people."[Unquote]

The language discloses your thoughts. In the case of Maruti, those are far from encouraging. “Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow” said William Pollard more than a hundred years ago. 

It stands true even today.

Do you get me Mr. Nakanishi?

Vivek

Photo Courtesy EcoTimes

What's Happening at Bandra HR Forum

There was a sense of guilt with which I went to attend a meeting of the Bandra HR Forum. They had actually invited me to meet them in December and like an old man [‘like’ because I do not think I am one, J] I forgot about it. So I made it up by going there in January.

Bandra HR Forum is a small group of HR professionals who meet once in a month. The idea is to interact with like minded people and gain some new thoughts and perspectives. That is very laudable. Sujata said that they are not there for ‘networking.’ Nobody gave me their visiting card [and I did not give mine too]!

It was not a formal meeting, we chatted for a good ninety minutes. At Eat Around The Corner at Bandra. They serve good breakfast, but it appears that the HR fraternity in Bandra is very calorie conscious so they were not eating much. That is okay, that is the problem of the restaurant owner. The restaurant owner is obviously a shrewd businessman who understands that this crowd can only swell, so he did not object.

The discussion focused on industrial relations [what else, with me there?]. I have always said that I am an IR person to the core, and the world seems to agree. But later our discussion later veered around careers, practising fairness in all dealings as the most important value. I picked up some good thoughts; it was a very interesting meeting.

In case the readers of this blog post with to join this group for their meetings, which I strongly recommend, get in touch with Anurag Shrivastava, or any friends seen in the photographs.

Keep the good work going...

Vivek