Succession Planning for Building A Leadership Engine

Vision:Serving Indian Power Sector Through Excellence in HR

2017

Succession Planningfor Building A Leadership Engine

Help Your Successor and

See them to Grow

“Serving Indian Power Sector Through Excellence in HR”

2017

WINNER TEAM-NHPC

Sh. Sanjay Kumar Singh, Manager (HR)

Sh. Vivek Sharma, Dy. Manager (Geology)

Ms. Aditi Bisht, Asstt. Manager (Civil)

RUNNER UP-NSPCL

Sh. Parimal Sinha, Sr. Manager (HR)

Ms. M. Gayathri, Sr. Manager (C&I)

Sh. Srinivas Panda, Manager (C&I)

Sh. R. Annamalai, Manager (EMD)

Ms. B. Geetha, Manager (P&S)

Ms. CT. Valli Meenal, Dy. Manager (C&I)

Jury Members

• Sh. P. K. Senapati, Sr. Consultant EdCIL-Noida, Former General Manager (HR) NTPC

• Sh. Sumeet Varghese, SPHR®, SHRM-SCP™, Founder and CEO-Your HR Body

BEST NEW PROMISING TEAM - NTPC

Messagefrom the President

I am glad to share the Q4E 2017 compendium of winning articles. Q4E is an annual case thstudy competition being organised by POWER HR FORUM. The present one is the 14

such event organised on September 29, 2017. The theme was “Succession Planning for Building a Leadership Engine”.

A total of 13 team (from DTL, IREDA, NHPC, NSPCL, NTPC, POWERGRID, SJVN, and THDCIL) participated and shared their knowledge after conducting detailed research and extensive literature study.

This subject has gained serious attention among all organisations as in current competitive environment organizations are facing serious unpredictability and uncertainty. Hence strengthening the right talent at right time at right level is imperative for organization development. Therefore, there is utmost need to strategize, motivate, and connect their employees in order to create a capable talent pool.

Two of the prize winning teams have presented a model ALIGN and INCUBATOR for progressing in the journey of succession planning where as one winning team approached the subject in a fundamental way. All of them are interesting and Value adding.

Forum Sectt. had supplemented the compendium with the reference to books available in the subject of succession planning which is a very useful addition.

I complement participating teams of Q4E 2017 for putting number of good ideas on the subject and exhibiting the spectacular skills and team spirit. In order to bring out the efforts and insights of the participants, FORUM has captured the paper of prize winner teams in form of this compendium. I believe this compendium would be a useful resource for member organisations in their efforts towards developing “Succession Planning Process”.

My Best Wishes

Ravi. P Singh

Director (Personnel) – POWERGRID &President- POWER HR FORUM

Power HR Forum

Chief PatronSh. Ajay Kumar Bhalla

Secretary (Power), Government of India

Organization Members

Bhakra Beas Management Board

North Eastern Electric Power Corporation Limited

NTPC Limited

Power Grid Corporation of India Limited

Damodar Valley Corporation

NHPC Limited

Power Finance Corporation Limited

Rural Electrification Corporation Limited

Associate Members

SJVN Limited

THDC India Limited

Delhi Transco Limited

Power Transmission Corporation of Uttarakhand Limited

Uttarakhand Power Corporation Limited

Orissa Power Transmission Corporation Limited

Indian Renewable Energy Development Agency Limited

Nuclear Power Corporation of India Limited

NTPC-SAIL Power Company Private Limited

Power HR Forum Secretariat| At Power Management Institute |Plot No. 5 - 14, Sector - 16A | NOIDA (U.P.) - 201301Telephone: +91 120 2478316 | Fax: +91-120-2416860, 2416846 |E-mail: [email protected] | www.powerhrforum.org

Power System Operation Corporation Limited

T h e E s s e n ce

1. Brief about the competition 02

2. Write-ups by Prize winner Teams

2.1 NHPC: Winner Team 04

• Sh. Sanjay Kumar Singh, Manager (HR)

• Sh. Vivek Sharma, Dy. Manager (Geology)

• Ms. Aditi Bisht, Asstt. Manager (Civil)

2.2 NSPCL: Runner up Team 29

• Sh. Parimal Sinha, Sr. Manager (HR)

• Ms. M. Gayathri, Sr. Manager (C&I)

• Sh. Srinivas Panda, Manager (C&I)

2.3 NTPC: Best New Promising team 53

• Sh. R. Annamalai, Manager (EMD)

• Ms. B. Geetha, Manager (P&S)

• Ms. CT. Valli Meenal, Dy. Manager (C&I)

3. Additional Reading References 90

Brief About the Competition

OBJECTIVES

Objectives of the competition are:• Develop the competency of collating and analysing business intelligence

and strategies;• Develop general management skills among junior/middle level

executives;• Promote skill in literature survey and research;• Encourage creativity and innovative thinking;• Encourage teamwork and build team spirit; and• Enhance presentation skills.

ELIGIBILITYThe competition is open to the employees in member organizations of Power HR Forum as well as to other utilities in Indian Power Sector.

Each organization can send a maximum of two teams and each team may comprise of a maximum of three members up to the level of Dy. General Manager or its equivalent.

Criteria for selection as winner

1) Written Evaluation 75%

• Idea generation 15%• Practicality of suggested solutions 15%• Soundness of business plan 20%• Stakeholders engagement 25%

2) Oral Evaluation 25%

• Clarity of presentation 10%• Response to questions 15%

Quest for Excellence

02

Succession Planning for Building A Leadership Engine 2017

Year

Theme

Programme on

2004 Unlocking Creativity at Work Place- A road Map November 2, 2004

2005 Roadmap for Radical Performance Improvement September 24, 2005

2006 Training for Performance Improvement Innovative Practices to Bridge the Gap

November 1, 2006

2007 Sourcing and Developing Skills for Meeting the Challenges for the Growth of Power Sector

October 11, 2007

2008 Building Leadership: Strategies, Policies and Processes

September 9, 2008

2009 Building Tomorrow’s Talent September 18, 2009

2010 Building a culture of Innovation March 14, 2011

2011 Strengthening Project Management Capabilities December 23, 2011

2012 Strategies for Emerging Business Environment Taking cue from External and Internal stake holders

December 21, 2012

2013 CSR and Sustainable Development Possibilities November 07, 2013

2014 Value, Ethics, Moral- The Emerging Challenge March 16, 2015

2015 Making My Organization- A Great Place To Work For February 29, 2016

2016 Innovation in HR to Meet Business Challenges January 27, 2017

2017 Succession Planning for Building a Leadership Engine

September 29, 2017

YEAR WISE THEMES OF THE EVENT

03

2017

Vision: Serving Indian Power Sector Through Excellence in HR

WINNER

Team NHPC

(Left to Right)

Sh. Sanjay Kumar Singh, Sh. Vivek Sharma and Ms. Aditi Bisht receiving Winner Award from Jury Members Sh. P. K. Senapati

®& Sh. Sumeet Varghese, SPHR , SHRM-SCP™

2017

C O N T E N T S

S. No. Description Pg. No.

1. Abstract 06

2 . Introduction 07

2.1 Succession Plan and its Framework 07

2.2 Succession Management Continuum –

Way to Leadership Development 08

3 . Need for Succession Planning - PSU Perspective 09

3.1 SCOPE Initiative towards Leadership Development 09

3.2 NHPC Perspective 09

4. Details of Research 10

4.1 Research Objectives 10

4.2 Research Design 10

5. Data Collection & Analysis 10

5.1 Primary Data 10

5.1.1 Demographic Distribution 10

5.1.2 Data Trend Analysis 11

5.2 Secondary data 11

6. Opportunities for Improvement (OFI) 14

7. Recommendations 14

8. Stakeholder Engagement Plan 19

8.1 Establishing views of Stakeholders towards

Recommended Initiatives 19

8.2 Responsibility Mapping and Strategies 20

9. Limitations of the Study 21

10. Time Scale of Implementation 21

11. Conclusion 22

12. Reference 22

13. Annexures 23

A. Details of Team Members (CORP CENTRE) 23

B. Primary Research-Questionnaire 24

C. Nine Box Development Grid 26

05

1. Abstract

Succession, its planning, execution and timing is as ancient as history itself. History is replete with examples where the palace intrigues and emotional rebellion have significantly altered the course of several dynasties over the issue of succession. Besides, religious institutions, political parties and even corporate world are no devoidof this drama.

All businesses invariably revolve around people at the helm of affairs –successor is the anchor that holds the business together in the face of challenges and steers it towards success. Organizational survival depends on having identified and developed replacements for key positions which are the foundation for coping successfully with staffing surprises triggered by exit of key employees. It is in this context that succession planning becomes a strategic imperative and Leadership vacuum could strike at company’s stability which is a difficult to achieve proposition in the volatile times.

Succession planning is a conscious decision by organization to foster and promote the continual development of employees and ensure that key positions maintain some measure of stability, thus enabling an organization to achieve business objectives. Given the staffing pattern and mass superannuation in next five to eight years in senior level positions, the need for succession plan for NHPC is congruent in phased manner. The write-up focuses on strategic need to integrate the construct of succession planning with leadership pipeline perspective with better assessment criteria to meet the strategic goal of company.

This write-up is based on combination of primary data of existing maturity level of facilitating parameters for succession plan. The same is being duly supplemented by study of NHPC MoU 2017-18, HR subsystems like manpower planning trend, promotion policy of executives, transfer policy, career development, performance appraisal system and employee development plan. Based on the observation, business recommendations were provided involving definite timeline and mapped responsibilities by engaging stakeholders.

06


2. Introduction

The company as a legal entity has a perpetual succession emphasizing the criticality of business continuity. Business continuity warrants organization’s ability to ensure availability of qualified employees. Developing the potential for business continuity is emerging as a priority and as part of a broader HR planning framework, and succession planning is just one strategy that can support to address staffing issues at higher levels i.e. the key positions.

For defining key position, criticality and retention risk are two important criteria which are to be considered. A critical position is one that if kept vacant, will have significant impact on the organization’s ability to conduct business and achievement of goals. The significance of the impact in NHPC perspective could be considered in terms of safety operation of plant, quality, financial results, efficiency, reputation, etc. Retention risks refer to position where departure of employee is expected i.e. retirement or history of turnover, examining these criteria on a low to high scale an organization can determine what positions require short term and long term planning.

Succession planning is the process of identifying one or more successors for these identified key positions and preparing them for expanded organization responsibilities through job assignments and developmental activities. The later part of this definition overlaps with what is typically considered as leadership development. Succession Management and Leadership Development initiatives must be linked in explicit and coherent ways to best manage the talent for addressing staffing issues. Despite being the measure of stability, succession planning often takes a back seat in most of the organizations and till date a few have got it right.

2.1 Succession Plan and its Framework Succession planning as a part of workforce planning process should not be done in isolation. A gap analysis as a part of workforce planning can be a valuable tool to identify key positions, which includes:• Current and future strategic goals• Retirement forecasts turnover rates • Current and expected vacancies • Specialty of functions (generalist Vs specialist) However, general framework that organizations use as the basis and guide for their succession planning activities is given in Figure 1.

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NHPC2017

2.2 Succession Management Continuum –Way to Leadership Development

There are many questions while brainstorming for building a leadership

pipeline like-

• From where future leaders will emerge?

• Does the organization have a scheme of succession planning?

• Does the organization have ensured continuity in getting leaders?

For addressing above issues, it is vital to understand where an organization

stands in the succession management continuum.

At the most simplistic end, replacement planning denotes a minimal succession

approach in which successors are identified at top two or three levels.

Succession planning falls in the middle of this continuum and linked with

intentional development initiatives targeted at successors and is aimed for top

two or three management levels. Succession management anchors the

comprehensive end and the over-reaching goals of succession management is

to have pool or pipeline of prepared leaders–and not just list of prospective

candidates–across all organizational levels to fill vacancies in key positions.

Figure 1: General framework for Succession Planning

BASIC COMPREHENSIVE

Figure 2: Succession Management Continuum

08


3 Need for Succession Planning - PSU Perspective

The guideline of Department of Public Enterprises (DPE) is regarding professionalization of Boards of Central Public Sector Enterprises (CPSEs) and below Board level management in CPSEs to the extent that “The CPSEs need to develop a comprehensive leadership pipeline which would ensure continuous and timely supply of high performance individuals who will occupy critical leadership roles as identified by the concerned company” is testimony to the fact that there is thrust on developing a leadership pipeline and succession planning.

3.1 SCOPE Initiative towards Leadership Development For grooming effective leaders in PSES, Standing Conference on Public Enterprises (SCOPE, New Delhi) has accelerated few initiatives like organizing management development programmes in collaboration with reputed national and international institutes. The “Advanced Global Leadership Programme” launched recently reflects SCOPE’s initiatives to develop global leaders in PSES. Recently, an online data collection platform (Survey Monkey) has been shared with PSES titled–ILO study in Women Leadership Management in PSUs, with a mandate to share the same with women employees in E4-E9 grade.

3.2 NHPC PerspectiveIn NHPC, Succession Planning has made its presence felt. As a part of Corporate Governance, NHPC Risk Management Policy has been implemented wherein lack of succession planning, manpower attrition and non-development of core competency has been identified as one of the risks under the Head Operational Staff Building Risk.

In MoU 2017-18, Succession plan and competency development (Target of 10% executives through IIMs) has been identified as one of MOU targets in HRM parameters with a weightage of 2 marks each for getting the plan approved by Board by 31.10.2017 for “excellent rating.”

In NHPC, looking at the challenges and business imperatives to diversify and explore new renewable sources likely superannuation of executives (particularly at senior management executives) in next 5 to 8 years, it is essential that a pool is maintained with better assessment criteria, out of which the final successor may be identified for positioning as a suitable replacements.

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NHPC2017

4 Details of Research

4.1 Research Objectives

Following three objectives were identi�ied for study

i) To explore critical success factors towards framing and implementing

“Succession Plan”.

ii) To facilitate institutionalizing transparent and objective selection criteria.

iii) To ensure win-win situation for employees and organization; and take

informed decisions based on workforce analysis via strategic plan.

4.2 Research Design

A. Primary Study: Primary data was collected through online survey. Sample size

for (Annexure-B) Part A was for 232 collected from a population of E3-E9. Part

B containing 10 questionnaires was administrated for GM and EDs only from

various locations and divisions.

B. Secondary Study: To identify potency of subsystems facilitating succession

planning and to have a clear understanding of where NHPC stands in terms of

its preparedness for future, following documents were examined:

a. Annual Plan and MOU 2017-18

b. Manpower planning trend

c. Promotion policy of executives

d. Transfer policy for career development

e. Performance appraisal system

f. Employee Development plan 2017-18

5 Data Collection & Analysis

5.1 Primary Data

5.1.1 Demographic Distribution

The demographic distribution of samples of

232 (59% of population) is represented

Figure 3: Demographic distribution of respondent10


13.79

10.96

15.3

8.3

5.75

39.8

36.08

30.82

26.19

46.26

20.55

21.74

20.26

20.04

27.44

20.11

23.71

24.14

28.23

12.21

5.75

7.51

9.48

17.24

8.33

0% 20% 40% 60% 80% 100%

Strategic and Leadership

Linkage

Identi�ication of Talent

Talent Grooming

Networking

Percentage Response

Completely Disagree Disagree Netural Agree Completely Agree

Figure 4: Opinion Trend Bar chart

through the Figure-3.

5.1.2 Data Trend Analysis

The opinion trend of 232 employees on five parameters has been shown in

Opinion Trend bar chart (Figure-4). The details of studies are:

a) Strategic and Leadership: 50% expressed that it requires improvement.

b) Linkage: About 47% felt active linkage is missing in the organization while

32% were positive about it.

c) Identification of Talent: Around 35% says it is good while 46% felt it is

average.

d) Talent Grooming: About 50% agreed it is great in the organization.

e) Networking: About 21% expressed that networking is good.

5.2 Secondary data

A. MoU 2017-18

Succession plan and training of 10% executives through IIMs are part of MoU

target 2017-18. A dedicated Leadership Development Plan incorporating

comprehensive plan, curriculum and action plan is a strategic imperative for

11

NHPC2017

leadership pipeline.

B. Manpower Planning

The existing sanction Vs in-position at various levels in executive category is

reflecting that manning pattern is skewed and bulkiness lies heavily in E5. A

committee constituted for finalization of manpower and have submitted its

proposal for Stations/ Projects/ CO / Regional offices.

Based on existing manning pattern of executives for vacancy based posts, the

scope of Succession Plan seems feasible only for E8 and E9 for which adequacy

of numbers lies in feeder category i.e. in E7 level. However, proposal of

Committee constituted to review in 2017 reflects enhancement by 20-25% in E6

to E9 Grade which is also not violation of CERC norms for Hydro companies.

Superannuation even in E5 grade in next 8 years, and no. of Diploma Engineers

who do not have LOP beyond managerial grade provide us some hope that

Figure 5: Manning Pattern in NHPC

Figure 6: No. of Executives in Different Levels Retiring in Next 8 Years

12


situation will improve for existing executives in these levels.

C. Promotion Policy for Executives

Presently promotion from E2 to E5 is cluster based without any vacancy

constraint. However, Promotional avenues are restricted after managerial level

(selection based). Hence, even if potential is identified and groomed for existing

E5 (Manager) and E6 (Senior Manager) level, their internalization with

Succession Plan loop will depend on career opportunities which is linked to

manpower review. Selection in vacancy based posts is based on PAR and

interview (in the ratio of 1:3) subject to qualifying period. Lack of weightage of

assessment centres for senior level positions are required for assessing their

suitability.

D. Transfer Policy

Given the nature of business of NHPC, rotation based transfer policy is in

existence and it not only helps in meeting the manpower requirement but at the

same time grooms official with certain skills like decision making, autonomy

and empowerment etc. However, job rotation for executives in allied domain is

non-existent which will give them better understanding of other sub process.

Hence, scope lies for leveraging this need for strategic advantage by

internalizing as criteria for advancement in career, which can be used as

strategic need by the time they become eligible for key officials as head of

different locations/ divisions.

E. Performance Appraisal System

In NHPC the KCVP based online PMS (KRA, Competencies Value and

Potential) up to E7 level and for E8 and above the format prescribed by DPE is in

existence. However, the inbuilt provision of critical incidents and potential

appraisal in PAR format can serve as inputs for assessing the suitability for

career progression for holding higher positions. The 360 degree appraisal is not

a part of evaluation system and the competency (functional and behaviour) is

not segregated in PMS system.

F. Employee Development Plan

Under the current development plan 2017-18, 35 no. of interventions have been

identified. Besides a target of 10% executives is a part of MoU 2017-18 under

13

NHPC2017

HRM parameters for “excellent” rating.

6 Opportunities for Improvement (OFI)On the basis of analysis on primary data and secondary data the OFIs are as

follows:

a. Need of acceleration pool for leadership development in NHPC

b. Review of manpower planning for opening up vacancies from Managerial

level to enhance career progression at managerial levels.

c. Transparency in implementation of transfer policy and job rotation in

allied domain for grooming

d. Competency mapping and Assessment centres for executives in catchment

area for leadership roles

e. Networking with MOP and other stakeholders like Govt. departments, and

other key opinion makers related to the organization.

7 RecommendationsBased on OFI in preceding paragraphs, team recommends a model with an

Figure 7: Model for Succession Planning

LEADERSHIP

ENGINE

14


S.No. Parameters Description 1 (A) Acceleration Creation of Acceleration pool wherein the group of

employees is developed on fast track than normal basis . Acceleration pools are appropriate when large percentage of retirement and/or other long term talent losses are expected which seems to be feasible in NHPC context.

2 (L) Linkage

2A Manpower Latest committee report to be �inalized at the earliest with a scope of opening of vacancies from senior manager level to enhance career progression at managerial levels. Persuasion with MoP by Board for approval of proposed posts (by Manpower committee) in E7 and above

2B Review of Roles and Responsibilities of Key Positions

Roles and responsibilities for all the key positions to be �inalized in consultation with Heads of Unit/Region and Divisional Heads of Corporate Of�ice by Industrial Engineering department.

2C

Promotion Policy

· Introduction of location Incentive for promotion on higher positions. The weightage for location may be quanti�ied in terms of hardship (project classi�ication as per transfer policy).

· Zone of Consideration : The number of eligible executives to be considered for promotion by selection to be increased from 3 times to 5 times the number of vacancies for increasing the zone of consideration for considering high potential and high performing amongst pool, if falling into consideration zone may be given preference in career progression.

• Validity of panel : The panel so approved shall be valid up to 31 st December of the DPC year. The promotion orders for vacancy based posts will be issued from the said panel as and when vacancies arise by way of retirement, resignation, death etc. This will help in addressing the continuity gap lying vacant for key positions till next DPC/ Interview.

2D Transfer and Job Rotation

· Transfer policy incorporating job rotation in proposed allied domain and integrated as development initiatives and leveraged for requirement in Succession Plan.

2E Automation · Making IT enabled service robust for capturing rewards and achievements in ESS or online data bank for the recognition of competency pro�iling and achievement

Table 1: ALIGN Model Recommendations and Action Plan

(Contd..)

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NHPC2017

3 (I) Identi�ication of Talent

3A

Assessment Centres Assessment Centre employing different tools by an independent agency is recommended for identifying Behavioural Competency for E6 and above. The competencies to be assessed, may be identi�ied with 3 point scales i.e. Basic, Pro�icient and Expert.

3B Talent Management Committee

Functional or Technical: Talent Management Committee for Functional or Technical competency for key positions holders to be constituted consisting of Directors / CMD. Technical competencies to be adjudged after considering the various competencies required for the job as per need to be de�ined with marks.

3C Potential Identi�ication Matrix

Nine boxes Development Grid for succession plan is recommended for identi�ication of talent for further grooming. Employees in the box 2, 3, 5 and 6 (Annexure-C) are to be groomed further as a part of Acceleration Pool for fast track promotion.

4 (G) Grooming of Talent

Development Interventions

Development interventions like Mentoring, Action learning, Stretch assignments including formal training interventions in collaboration with institutes of repute.

5 (N) Networking with stakeholder

Networking with MoP and other stakeholders like Government Departments, State Governments, effective liaisoning with vendors, key opinion makers in society etc. Persuasion with all stakeholders to achieve MoU target by 31.10.2017 for excellent rating by meaningful engagement. · Inputs from NHPC Of�icer Association for �inalization

of manpower planning and succession plan.

Interventions detailed in above ALIGN model will pave the way for

developing construct of Succession Plan for NHPC is hereby proposed with

indicative constituents of policy.

16


S.NO. Process Details Remarks

1 Identi�ication of

Key Position and

Criteria

Key

position

Feeder

Grade

Years in

Feeder

grade

Years

to

Retire

Field

expo

-sure

HOD

(CO)

GM 3 2 5

ED(RO) GM 3 2 5

GM Chiefs 3 5 3

Years in feeder grade and years to retire have been considered keeping in view the demography pro�ile of Sr. level executives and retirement projection.

CMD, Directors though being critical position were not identi�ied as such because their eligibility, short listing selection criteria is done by PESB.

2 Duty and Responsibilities

Key responsibilities are to be reviewed and �inalized within 10 days by Industrial Engineering Department

3 Identi�ication of

Talent

Components Marks Qualifying

marks

PAR 50 40

Behavioural 25 15

Technical 25 15

Behavioural

competency

on three point

scales (Basic,

Pro�icient and

Expert).

4 Shortlisting by

Talent

Committee

Based on marks obtained in step 3

Talent

committee to

�inalize

considering

the �lexibility

and mobility

for career

advancement.

Table 2: Draft Succession Plan

A succession plan is bring forward by NHPC team which can take care of

the OFI and which can be cater to the NHPC need.

(Contd..)

17

NHPC2017

S.NO. Process Details Remarks

5 Grooming

i Mentoring A mentor will be attached to each potential successor who will guide and support him throughout the Grooming process. .

CMD and Directors can be mentors for Regional Head/ HOD and HOD/ Regional Head for HOP/HOPs.

ii Developmental Assignments

Succession planning programmes may include a component where the participants work in the area of the organization where he/she has no previous experience.

It can last from a few days to several weeks, or even months.

iii Stretch Assignments

Stretch assignments require the participant to take on new responsibilities, but within their area of technical/professional knowledge and skill.

Working temporarily in a higher level position, perhaps while the regular incumbent is on leave

iv Formal Training

Potential successors will be nominated for suitable Developmental programmes to enhance their Leadership Competencies.

These will include programmes at premier institutes. Including global exposure.

v Rotation In case of Cross Function domain.

6 Final Selection of Successors

Based on the Committee recommendations, the list of potential successors will be put to the competent authority for taking the �inal decision at least two months before the key position falling vacant. Final successor will be placed as a “Shadow” to the incumbent who is moving out of the key position for a period ranging from 1 -3 months.

The Job details concurred by the occupant of key position will be made available to the new incumbent at the time of his joining at a particular Key position.

However, for ensuring career aspiration of employees and organizationalrequirement, meaningful interventions are warranted to move on the nextlevel of Continuum i.e. Succession Management. The potential successorexhibited in their career movement may be linked and interfaced with structured Succession Plan construct which at present seems feasible only for E7 and E8.

18


8 Stakeholder Engagement Plan

In order to successfully implement recommended initiatives, it is crucial to

engage with all segments of stakeholders in the implementation process.

Following steps will be followed for ensuring stakeholder engagement:

8.1 Establishing views of Stakeholders towards Recommended Initiatives

This analysis records Stakeholders views and they may take one of the four

different stances to Recommended Initiative (RI). Their stance can be

supportive, opposing, neutral or uncertain as given in the table of Engagement

Mode below:

Stake Holder

Issues

HR Deptt.

Director (Personnel)

CMD and Functional Directors

NOA DPE/MoP/

Admin

Manpower approval as per committee report

+ + + + 0

Draft Succession Plan

+ + 0 0 -

Promotion Transfer Policy, PMS

+ + 0 + ?

Automation for competency pro�iling

+ With IT

- 0 + -

Developmental Interventions including Assessment centre

+ With HRD

0 + + ?

Table 3: Stake holder’s Engagement Mode

*Symbols and their Representation

Support Neutral Oppose Uncertainty

(+) (0) (-) (?)

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NHPC2017

8.2 Responsibility Mapping and Strategies

RASI framework given below will help in engaging Stakeholders in

recommended initiatives and to suggest strategies/action plan to engage them.

The analysis of RASI is an given below as

• Responsible: Where a stake holder has a responsibility for an action.

• Approval: Where stakeholder has the authority to approve the proposed

action.

• Support: The stakeholder can provide support in terms of various

resources.

• Inform: Stakeholders need to be informed of actions being taken.

S. No. Key Stakeholders R-A-S-I Key Strategy to handle

Internal

1 HR Department Responsible/

owner of process

Engaging with Industrial Engineering for �inalizing Roles and Responsibilities and manpower planning.

2 Director (Personnel)

Approval Hold Introductory meeting/ Discussion, on Bene�its of implementation of Recommended initiatives

3 CMD and Other Functional Directors

Approval Presentation on Bene�its of implementation of Recommended initiatives

4 NOA-NHPC Of�icers Association)

Support

Meetings with NOA members. Share copy of report of Project for collaborations.

External

5 Department of Public Enterprise.

Inform Inform DPE about Recommended initiatives

6 MoP Inform Inform MoP about Recommended initiatives

7

State Governments / district Administration / NGOs

Support Liasioning for garnering support for project activities

Table 4: Stakeholder Identification and Engagement Strategies

20


9 Limitations of the Study

Actual population of the whole organization becomes too large to study hence

focus was on a smaller sample group.

• Hence the result reflects only overview.

• Data is gathered and analysed in a short time hence may not reflect the

depth of study.

10 Time Scale of Implementation The team worked out a detailed implementation plan, for succession planning

including the deadlines details are tabulated in Table-5 below.

S.No. Activities Deadline Quarterly basis

1.

Sharing of Draft SP,

Promotion and

Transfer Policy with

Management

and NOA

5th Oct.

17

2.

Incorporating

changes after follow

up

10th

Oct.

17

3. Presentation to

concerned Directors

15h

Oct.

17

4 Team / Committee

Formation

20th

Oct.

17

5.

Finalization:

Submission of draft

policy to CMD for

Board

25th

Oct

. 17

6. Final policy for

approval of board

30th

Oct.

17

7.

Sharing of

Leadership

Development Plan

with internal

Stakeholders

Oct-

Dec.

17

Finalizing

Interventions module

with HRD.

Jan-

March

18

Formation of TRC

(Talent Review

Committee)

Apr–

June

18

Companywide

Orientation

programme

July-

Sep 18

Pilot project Oct-

Dec 18

Launch

Jan –

March

19

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NHPC2017

11 Conclusion

The litmus test of any endeavor lies in meeting the objective. The success factor for succession planning lies in

a) Making the subsystems potent i.e. identified parameters.b) Ensuring recommended interventions in a time frame manner.c) Creating win-win situations for employees by fulfilling career

opportunities and ensuring business continuity from organizational viewpoint.

Succession Planning and accelerating leadership are strategic imperatives that need commitment and focus. NHPC has to put systems in place and make it more robust by ALIGN model to facilitate and create talent pool of employees for building the leadership pipeline within the organization.

12 Reference

st 1. Concepts and cases by VV Gopal, ICFAI University Press , 1 Edition 20042. SHRM white paper – Developing Leadership Talent Development

(International) 2017.3. Ram Charan, Stephen Drotter, and James Noel -2000 –Developing

ndleadership, Jossey – Bass 2 Edition. 4. DPE guidelines –Professionalization of Board of CPSES (Advisory Dated

18.01.2012.5. Best Employers 2.0 - Asia 2013 Study Participant Report in NHPC by Aon

Hewitt -2013.6. E&Y Best in Best in Class Management, 2012.7. ASSOCHAM Business Barometer (ABB) Survey 2011.8. Nuts and Bolts of Succession Planning – A Carnegie, 2007.9. Succession Planning Practices and Challenges: Study of Indian

Organizations Dr. Suruchi Pandey and Deepesh Sharma- Annual Research conference.

10. Building a leadership pipeline: A case study of NTPC by Disha Awasthi.11. ‘KALEIDOSCOPE’ Standing conference of Public Enterprises, January-

February 2016 Issue.

22


13. Annexures

SANJAY KUMAR SINGH(MANAGER- HR)

B.A (Hons.) graduate in Economics from Magadh University and Post graduate in PMIR from Patna

nduniversity. He has won 2 prize in NHPC vision series nd(2015-16 and 2017) and 2 prize in RTI Quiz at CO

Faridabad in 2015. He has been representing NHPC stTeam in Q4E-2015-17 and won 1 Runner-Up award in

Q4E-2016.

VIVEK SHARMA(DY. MANAGER- GEOLOGY)

He graduated in B.Sc (Geology) from RS University-

Raipur and post graduate from Dr. HS Gour university

sagar (1999-2002). He has been part of IIT-Roorkee

(2003-04) as junior research fellow under Dept. of Earth

Science. Also MBA in HR from IMT Gaziabad, CDL. ndApart from his academic, he also won 2 prize in

st NHPC vision series (2015-16 and 2017) and won 1

Runner-Up award in Q4E-2016.

ADITI BISHT(ASSTT. ENGINEER- CIVIL)

B.Tech in Civil Engineering from Govind Ballabh Pant University of Agriculture & Technology, Pantnagar, Uttarakhand

A. Details of Team Members (CORP CENTRE)

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NHPC2017

B. Primary Research-Questionnaire

This survey questionnaire consists of two parts.

Part1: Factors to understand succession planning,

Part-2: Readiness Metrics: Current succession management process and

improvement needed

Scale: 1: Completely disagree 2: Disagree 3: Neutral

4: Agree and 5: Completely agree

Part1: Factors to understand succession planning

S. No. Questions 5 4 3 2 1

Strategy and Leadership

1. Business goals of company are percolated down to Departmental and Individual goals

2. Leadership effectiveness is recognized in the company

3. Employees trust in senior leaders’ expertise and their decisions, and believe that they will drive the company to success.

Linkage

4. Manpower planning of company takes into consideration staf�ing issues of Senior level positions in the organization

5. All-important stakeholders are involved in �inalizing Manpower plan and is reviewed periodically.

6. Key roles and responsibilities/Job descriptions of department are well documented and reviewed regularly

7. Process covering idea generation to implementation stage are in place in NHPC.

8. Transfer policy has inbuilt provision for rotation of employees on tenure basis.

9. Automation of other subsystems like competency pro�iling, potential identi�ication, Special rewards and recognition's are linked

10. IT enabled Systems are compatible to support the overall system for HRIS

24


Identi�ication of Talent

11. Critical roles are identi�ied and de�ined as key positions

12. HiPo (High Potential ) and HiPer (High performing) employees are identi�ied for further grooming for future roles

13. Competency mapping and Assessment centres for executives by an in house/ outside expert agency is in place to evaluate the competency required for leadership roles

14. NHPC's PMS system has inputs to assess the Functional expertise and potential of employees

Talent Grooming

15.

Company offers several opportunities for lateral moves and rotations to explore and understand business that improves understanding of departments, roles and gain experience in cross functional areas.

16. The practice of mentor-ship and role shadowing is in place in NHPC

17. HR policies viz. Action learning and Stretch Assignment are integrated for grooming the talent

18. Competencies required in an employee for a particular position are developed through training and other learning methods

Networking

19. NHPC regularly communicate with all potential stakeholders while formulating policies for realizing strategic goal

20. High potential employees are communicated of their status as successors for leadership roles

21. Identi�ied potential employees consistently reciprocate against the organizational expectations


25

NHPC2017

C. Nine Box Development Grid

The 9-box grid is an individual assessment tool that evaluates both an

employee’s current contribution to the organization and his or her potential

level of contribution to the organization. The 9-box grid is a simple table graph

that rates “potential” on the Y, or vertical axis, and “performance” on the X, or

5. Recognition of on-the-job development: Identifying appropriate “stretch assignments” for accelerating development.

6. Variety built into assignments early in the manager’s career: Developing adaptable leaders when they are just starting their careers and not just when they reach their 40s or 50s.

7. Encouragement of constructive developmental conversations: Having frank, comprehensive conversations with one’s boss on a regular basis.

8. Manager coached before they give career developmental feedback: Is coaching on how to provide constructive developmental feedback part of the succession management process?

9. Encouragement of individual mentoring for high potential managers and senior level executives: Are one-on-one mentoring (senior levels) and mentoring networks (junior levels) encouraged and supported?

10. Built-in accountability with regard to feedback on whether personal development plans are implemented: Are managers held accountable for producing a high-quality developmental plan and for acting on it?

Part-2: Readiness Metrics: Current succession management process and

improvement needed

S. No. Questions Yes No

1. Simpli�ied process: Limited amount of advance preparation and paperwork (too much complexity increases resistance to the system).

2. Decentralized process: Encouragement of local creativity and ownership beyond a set of standard core elements.

3. Fit with organizational culture: is the degree of system formality consistent with the prevailing culture?

4. Emphasis on learning skills and adaptability: Focusing on the core concept of learning how to learn.

26


Nine-Box Performance-Potential Matrix

Su

rfa

ce a

ctu

al

ach

iev

em

en

ts o

f e

mp

loy

ee

horizontal axis. In other words, the vertical columns of the grid identify an

individual employee’s growth potential within the organization, and the

horizontal rows identify whether the employee is below, meeting or exceeding

performance expectations in his or her current role.

The 9-box grid is most commonly used in succession planning as a method of

evaluating an organization’s talent pool and identifying potential leaders.

When used in succession planning, the X-axis assesses leadership performance

and the Y-axis assesses leadership potential. The combination of the X and Y

axes determines where the leader is placed in the 9-box grid. Individuals in the

upper 4 boxes (2, 3, 5 and 6) in right quadrant (Box 1) will then be identified as

high-potential candidates in the company’s succession plan.

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NHPC2017


RUNNER UP

Team NSPCL

(Left to Right)

Sh. Parimal Sinha receiving Runner-Up Award from Jury Members Sh. P. K. Senapati

& Sh. Sumeet Varghese, SPHR®, SHRM-SCP™

2017

ParticipantsPhotographs

2017

C O N T E N T S


1 Abstract 31

2 Introduction 32

3 Research Outline 33

4 Analysis of Data and Key Findings 34

4.1 Primary Research 34

4.2 Secondary Research-Literature Review 34

4.2.1 Aon Hewitt Report on Best Employers – 2015 34

4.2.2 Deloitte Report on Employee Satisfaction at

NSPCL [2016] 34

4.2.3 NSPCL Corporate Plan 2022 and 2025 35

4.2.4 Internal HR Customer Satisfaction

Survey-2016 35

4.2.5 Industry Benchmark Study to Find Out Best

Practices 2017 36

4.2.6 Report on NSPCL Strategic Business

Meet-2016 36

5 Need and Challenges of Succession Planning in

NSPCL 37

5.1 Key Issues with Succession Planning (SP) 38

5.2 Definition of Succession Planning in NSPCL 38

6 Understanding of Leadership Pipeline 39

6.1 Challenges with Leadership Pipeline Engine 40

6.2 Model Development for Succession Planning 41

7 Recommendations 46

8 Roadmap for Implementation 47

9 Conclusion 48

10 References 48

11 Annexure 50

A. Details of Team Members (Bhilai) 50

B. Primary Research-Questionnaire 51

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2017

1. Abstract

In this dynamic environment, organizations need to rely on the most important

assets: their people. Today’s businesses must have the right people in the right

jobs at the right times. They cannot afford to be without either enough people or

the right people who can quickly fill a key role that could become vacant.

There is a shortage of leaders who are prepared to face today's complex business

environment. Many companies struggle to find successors for their top jobs,

and many leaders rise to the top only to fail shortly after getting there.

Companies are often short on the quantity and quality of leaders they need at all

levels. Even Companies like Infosys, TCS, Tata Sons, GE, Procter & Gamble,

Colgate, PepsiCo, etc. are facing problems with leadership cadre.

Growing an effective pipeline of suitable talent requires a pro-active,

sustainable, and integrated approach. Any strategy to increase the leadership

prospects must focus greater attention on the development of mid-career

professionals, not just new-hires.

Organizations may consider methods like succession planning and

management to promote their employees’ knowledge, skills, talents, and

capabilities to tackle problems created by the challenging environments. An

effective succession management is one of the best ways to build competitive

advantage by ensuring steady and uninterrupted supply of required talent for

the various management levels in the organization. Modern succession

management is not only about finding replacement for top-level managerial

roles, but it’s also about finding the right talent and preparing them for the next

role at all levels of management in the organization.

Through this write-up, NSPCL team has identified the risk involved in

succession management process, how to develop a plan and to integrate

succession management with business strategy and policies. Workable

recommendations have been proposed for implementing a succession system,

thus paving the way for successful leadership development in NSPCL.

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2. Introduction

Leadership across all levels is what is needed across all levels – and missed most – in our organisations today.

Historically, the organizations consideration was on replacing key employees exactly before they leave the organization often termed as REPLACEMENT PLANNING. Replacing employees and not developing them was a big and common mistake by organizations. In addition, there are many problems arising from the replacing process. For example, in many cases, it is hard to find the right employee for a new vacancy in a short period of time. Furthermore, if organizations could not find a right person inside their organization, they must hire from outside, and this will cost more for the organization. Through the years, organizations have realized that they can discover their future managers and leaders inside their own organizations. They also, find out that using tools such as succession planning can help them be confident on having their future potentials’ needs.

Organization’s future plans may change by some reasons such as retirements, promotions within the organization, serious illness, death or any voluntary departure from the organization to follow a career elsewhere. To cover such changes, organizations must have a key employees’ replacement plan.

Nowadays, organizations need a group of high potential people at all levels of their organizations. Developing general competencies, creating flexibility and creating the leadership potential at all organizational levels is a wisely action in today’s organizations.

It is evident that succession planning has never been more important. A strong succession planning process should focus on developing a pool of individuals with critical, adaptable skills who are ready to lead when called upon.

Succession planning is a dynamic process. It should span job levels and geographic boundaries, and aim to create a pool of talent that will meet the needs of the organization at multiple levels. A strong succession planning process enables an organization to understand the skills and behaviors it needs to execute its business strategy, see the talent gaps and then determine how best to fill them. As a company changes its business model, or the economy forces a

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2017

re-evaluation of the business, leaders should take a hard look at the roles that are critical to the organisation’s success – as well as the talent needed for these roles. And in doing so, they need to focus on more than just the top layer of the business. The best prepared companies are the ones that look at developing middle, and sometimes even first-line managers, along with critical technical roles. With adequate preparation, organisations can have leaders at all levels ready to do whatever is required to achieve business goals.

3 Research Outline

Figure 1: Research Outline

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4 Analysis of Data and Key Findings

4.1 Primary Research

The primary research conducted in 2 Parts (Annexure B). Sample size for Part A

was 303 (E1-E7); response collected from 82 participants. Which was based on 5

point likert scale and Part B research was conducted among E6-E7 which was a

face to face interview.

4.2 Secondary Research-Literature Review

4.2.1 Aon Hewitt Report on Best Employers – 2015

In opinion survey 528 employees were invited and 303 employees responded

(53%). Survey was conducted across all locations of NSPCL including

Corporate Centre.

Index NSPCL India (Avg.) Top Quartile

Leadership Index 56% 67% 80%

High Performance Culture Index 56% 63% 77%

Average 62% 67% 81%

Table 1: AON HEWITT

*Key Take Away

It is learnt from the report that average employees are not satisfied with the

leadership and HIPOs (High Potential employees) are not given enough

opportunities.

4.2.2 Deloitte Report on Employee Satisfaction at NSPCL [2016]

The survey was administered across all 3 plant locations and corporate office, in

which 631 responses were received covering 75% of target population. For

NSPCL “Growth and Development- Score-68% is the area of concern which

scored lower than the benchmark score of 74%.

*Key Take Away

Employees with higher degrees tend to be less satisfied and marked low Score

in career development as well as in Growth and Development.

There is a lack of clear pathway for succession planning and leadership

pipeline.

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4.2.3 NSPCL Corporate Plan 2022 and 2025

Figure 2: Indicative Maturity Level in different functions at NSPCL

*Key Take Away

Young and Energetic workforce available at NSPCL as average age of employee

is less on account of larger chunk joined during last few years. It is also

identified during the study that a high attrition among new hires and

recruitment.

Study brought out the immediate Succession Planning requirement in many

functions in O&M, IT, Engineering and HR. The CP-2025 entails linkage of

Succession Planning with Talent Development, Career Development and

Learning and Development.

4.2.4 Internal HR Customer Satisfaction Survey-2016

Total 134 employees participated in the Employee Satisfaction Survey

conducted by HR Department. This reflects 32% of total workforce posted at

Bhilai. The Interview/Discussion covered 74 employees.

*Key Take Away

The study identifies areas such as Learning and Development, Creativity and

Innovation, Reward and Recognition, Career Development, where

organization may endeavour to relook and revisit.

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4.2.5 Industry Benchmark Study to Find Out Best Practices 2017

From literature review, team studied the academic literature on Succession

Planning and Leadership Pipeline practices prevailing in Global best

organisations.

S. NO PARAMETER %

1 Leaning and Development 67%

2 Career Development 56%

Team identified concerned areas which have shown lower scoresin the survey

Table 2: Internal HR Customer Satisfaction Survey

Organizations

Integrated Leadership

Development Policy

Dedicated Leadership

Development Centre

A Separate Leadership

Development Group

Competency Framework

Formal Succession Planning

Policy

NSPCL NO NO NO PARTIAL NO

NTPC Senior leadership positions

NO NO YES NO

Wipro YES NO NO YES NO

Aditya Birla Group YES YES NO YES YES

Infosys YES YES YES YES YES

GE YES YES YES YES YES

HP YES YES YES YES YES Johnson & Johnson

YES YES YES YES YES

Table 3: Best Practices Comparison among the Top Organisation

4.2.6 Report on NSPCL Strategic Business Meet-2016

*Key Take Away

BUHs to use manpower rationalization exercise as a challenge and to come out

with radical models for respective stations. Succession Planning: Considering

the present age profile and retirement of people in key positions, Succession

Planning for the Company should be prepared and finalized.

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5 Need and Challenges of Succession Planning in NSPCL

Developing a cadre and pipeline of leaders is essential for NSPCL’s future.

Today, it is felt that NSPCL need to plan for succession or transitions in a

strategic manner, rather than focusing on replacement finding.

Management, mentoring, and leadership skills are not consistent enough.

Furthermore, many professionals say that they do not have a clear path to

progress in NSPCL, which inhibits them from making effective contribution.

Organizational structures seems to be less current as outdated, and the

characteristics of the workforce are not entirely consistent with NSPCL’s future

direction. It is felt that effectively implement the NSPCL’s mission requires

creating an environment to maximize employee’s contributions.

The workforce appear to be less as prepared with the knowledge, skills,

abilities, and attributes to meet the future needs of the mission, and also not able

to understand how to navigate through NSPCL to grow their careers, which are

impacting retention of top talent and reducing their effectiveness.

Figure 3: Identification of Succession Planning Challenges

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5.1 Key Issues with Succession Planning (SP)

These issues are applicable in NSPCL and so also overserved globally.

1. Succession Planning and Leadership Pipeline System in initial stage

2. Partial Existence of Systems

3. Lacking of an Integrated Model of SP and Leadership Development

4. Structural Issues

5. Succession Planning Vs Replacement Planning

6. Continued “rightsizing”, downsizing, reorganizations

7. Future of work –different needs for generations of employees

8. Corporate Planning and Dynamic Environment

5.2 Definition of Succession Planning in NSPCL

Team defines Succession Planning in NSPCL as a systematic approach for

1. Building a leadership pipeline/talent pool to ensure leadership continuity

2. Identifying the best candidates for categories of positions

3. Developing potential successors in ways that best fit their strengths

4. Concentrating resources on the talent development process yielding a

greater return on investment.

Figure 4: Steps in Succession Planning Define by Team

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6. Understanding of Leadership Pipeline

In large, decentralized companies, the hierarchy may constitute as many as six

such career passages, or bends, in the pipeline. These range from managing self

to managing others, to managing managers, to managing a function, to

managing a business to managing a group to managing an enterprise.

Figure 5: Framework of Leadership Pipeline

All these 6 passages can be define as below according to responsibilities

required to create leadership pipeline:-

PASSAGE 1: Managing Self to Managing Others

New, young employees usually spend their first few years in an organization as

individual contributors. By sharpening and broadening their individual skills,

they make increased contributions.

PASSAGE 2: Managing Others to Managing Managers

This is the level where a management foundation is constructed. They need to

divest themselves of individual tasks.

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PASSAGE 3: Managing Managers to Managing a Function

Communicating with the individual-contributor level now requires

penetrating at least two layers of management. Functional heads must also

manage some areas that are unfamiliar to them-participate in business

meetings, work with other functional managers, and spend less time on

functional responsibilities.

PASSAGE 4: Functional Manager to Business Manager

Business managers are responsible for the bottom line. Business managers

usually have significant autonomy. They are able to see a clear link between

their efforts and bottom-line results. A major shift in skills, time application and

work values take place. They think strategically, consider the feasibility of an

activity, and examine it from a short- and long-term profit perspective.

PASSAGE 5: Business Manager to Group Manager

After looking one business successfully, group manager can do the same with

two or more businesses. He becomes responsible for all the strategic decisions

for a unit/project.

PASSAGE 6: Group Manager to Enterprise Manager

More focus is now on values than skills. They set direction and develop

operating mechanisms to know and drive performance that is in tune with

strategy. They thoroughly understand how the organization executes and gets

things done.

6.1 Challenges with Leadership Pipeline Engine

1 Leadership development is an evolutionary process that changes as the

needs of an organization change. The underlying structure of the global

economy is shifting, bringing with it a bewildering array of unprecedented

challenges that require a new kind of leadership.

2 Developing the next generation of leaders at a time of momentous change is

a monumental task.

3 Many companies as shown in the matrix have forecast their requirements

and have taken strategic initiatives and started leadership development on

top priority.

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4 The leadership development would have impact on the company profits

and organizational culture. It could create synergy among the other

programs as well which in turn facilitate learning and speed the

development of leadership capacities.

5 Companies needs to have a leadership development training policy,

leadership development model, leadership curriculum, leadership

hierarchies and a specialized Leadership development institute for meeting

leadership challenge in this dynamic globalized business environment.

6.2 Model Development for Succession Planning

Figure 6: Development Model

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Table 4: Development Model Framework

Identi�ication [E1-E4]

S. No. Steps Screening

1 Identi�ication of HIPO in E1-E4 using

Measurement Matrix

50 % candidates selected from target executive

pool

2 Structured talent review by a third

party

50% of candidates identi�ied in step 1 screened at

this level

3 Assessment by “Internal Committee” Will further shortlist 75% candidates from Step 2

4 Final Interview by Group of Experts Finalization of �inal pool of star high potential

employees [80% of Step-3]

Identi�ication [E5]


1 Identi�ication of HIPO in E5 using

Measurement Matrix


pool


party


this level




Identi�ication [E6-E7]


1 Identi�ication of HIPO in E6-E7 using

Measurement Matrix


pool


party

70 % of candidates identi�ied in step 1 screened

at this level




Identi�ication [E8]


1 Identi�ication of HIPO in E8 using

Measurement Matrix


pool


party


this level




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Grade Develop

E1-E4 • Tracking progress against IDPs with appropriate interventions • Training • Mentoring • Action learning • Special assignments • Planned interventions

E5 • Tracking progress against IDPs with appropriate interventions • Training Interventions • Planned interventions • Action learning • Special assignments • Job Rotation • Make them go through “crucible experience” • 3 E framework (Education, Exposure and Experience)

E6-E7 • Tracking progress against IDPs with appropriate interventions • Training Interventions • Planned interventions • Coaching • Job-rotation • Action learning • Special assignments • Make them go through “crucible experience” • 3 E framework (Education, Exposure and Experience)

E8 • Tracking progress against IDPs with appropriate interventions • Training • Executive Coaching • Job-rotation • Action learning • Special assignments • Job Rotation • Training Interventions • Make them go through “crucible experience” • Talent Management Group to assign speci�ic projects. • 3 E framework (Education, Exposure and Experience)

(Contd..)

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Grade Reward E1-E4 • Challenge-based assignments

• Team-based experiential exercises aimed at solving real-time problems of the organization

• Multiple opportunities for re�lective learning • Visit to other Sites/Industries • In house Faculty opportunity • e-learning modules - Company sponsored license

E5 • Challenge-based assignments • Cross-functional exposure • Transition coaching • Team-based experiential exercises aimed at solving real-time problems

of the organization • Multiple opportunities for re�lective learning • Visit to other Sites/Industries • In house Faculty opportunity • e-learning modules - Company sponsored license

E6-E7 Opportunity to be considered for promotion/ appointment at E7 level after 03 years in E7 grade, if 03 OS (relaxation of one year as per current eligibility). Higher Chances for Posting in key organizational roles (BUH, Specialists)

E8 Opportunity to be considered for promotion/ appointment at E8 level after 05 years in E7 grade, if 04 OS and above in E7 level (relaxation of one year as per current eligibility). Higher Chances for Posting in key organizational roles (BUH, Specialists)

Grade Assess

All Levels

(E1-E8)

• Learning Index for e-Learning Modules • Customized Feedback from RO- Behavioural Programme • Learning Report by Individual Employee • Evaluation of the Presentation made at the end of the Programme • Tracking of Individual Action Plan of Participants

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Table 5: Identification of High Performers using Measurement Matrix

S. No.

Parameter [E1-E4]

Weightage

(%)

1 Last 3 years KPA rating (PMS with amendments) 50

2 Completion of E Learning Module 20

3 Awards received like Power Excel, Meritorious Awards, Suggestion award etc. 15

4 Articles published / papers presented by the employee / active participation /

accolades in different fora, committees, club bodies, Cross Functional Teams,

competitions like NOCET, Business Minds, Professional Circle etc.

15

FINAL SCORE 100

S. No.

Parameter [E5]

Weightage

(%)

1 PMS scores (05 OS or more), Feedback of HOD/BUH, Work pro�ile Data 50

2 Completion of E Learning Module 15

3 Competency Mapping Score 15

4 Awards received like Power Excel, Meritorious Awards, Suggestion award etc. 10

5 Articles published / papers presented by the employee / active participation /

accolades in different fora, committees, club bodies, Cross Functional Teams,

competitions like NOCET, Business Minds, Professional Circle etc.

10

FINAL SCORE 100

S. No.

Parameter [E6-E7]

Weightage

(%)

1 PMS scores (05 OS or more),Work pro�ile Data 50

2 Challenging assignments and speci�ic projects 15


4 Feedback of HOD/BUH 15

FINAL SCORE 100

S. No.

Parameter [E8]

Weightage

(%)

1 PMS scores (05 OS or more), Work pro�ile Data 50


3 Challenging assignments and speci�ic projects 10

4 Feedback of ED/CEO 10

FINAL SCORE 100

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7 Recommendations

1. Developing a comprehensive Leadership Development Plan based on

organizational requirement and benefits that can be derived from the

programme considering the budget, time and energy that we are willing to

invest;

2. Mapping the profiles of existing successful leaders;

3. Promoting leadership development programme by bringing awareness

about its benefits through interactions;

4. Specialized Learning Opportunities: - Leadership training programmes

can be initiated for the employees gauged as having high potential for

leadership.

5. There is a need to move from Executive/High-Potential Leadership Model

to Company Wide Leadership Model which focuses on developing leaders

at every level.

6. Leadership Strategy: - Have a specific leadership strategy and reinforce

through the company culture in a highly effective manner

7. Communication Regarding Leadership Development: - A key form of

support is effective communication of leaders with their direct reports

about leadership issues, such as succession planning.

8. Formal Programs to Develop Leaders: - Have more than one practice or

process to develop the talent and an early identification of leaders.

9. Succession Planning Processes: - Companies should have a defined

succession planning process in place and utilize the succession plan very

well when making actual selection decisions.

10. Pool of Leaders: - Always keep a pool of leaders through the succession

planning process. This will resolve the current problem of unavailability of

successors once the senior resigns.

11. Succession Plans Link: - Succession plans are linked to the performance

management process at a majority of companies. Link between

performance ratings and succession planning and utilize them occasionally

when making actual selection decisions.

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8 Roadmap for Implementation

ROAD MAP FOR NSPCL LEADERSHIP PIPELINE AND SUCCESSION PLANNING

SN Activity TimeLine Responsibility 1 Preparation of A Draft Plan for New Leadership

Pipeline and Succession Planning 15.09.2017 Corporate-HR 2 Presentation of Plan at SMC at All Location, and at

NSPCL Corp Centre 30.09.2017 Nodal Of�icer 3 Getting the Administrative Approval for the new

system 15.10.2017 Corporate-HR 4 Set Up of NSPCL Leadership and Succession Planning

Cell 31.10.2017 Corporate-HR 5 Identi�ication of Succession Planning Position in

NSPCL for CC and All Projects 31.10.2017 SP , CDS & LDC Cell 6 NSPCL Leadership Development Policy 31.10.2017 Corporate-HR 7 Finalization of Competency Framework for NSPCL

[Functional and Managerial] 30.11.2017 SP , CDS & LDC Cell 8 Preparation of Competency Directory of NSPCL 31.12.2017 SP , CDS & LDC Cell 9 Finalization of KSA of Succession Planning Position 31.12.2017 SP , CDS & LDC Cell

10 Create an Emergency Succession Plan for Succession Position 15.01.2018 SP , CDS & LDC Cell

11 Finalization of NSPCL Planned Interventions 15.01.2018 Corporate-HR 12 Finalization and engagement of third party for HIPO

Identi�ication 15.01.2018 Corporate-HR 13 Design and Implement Differentiated Career

Development System 31.01.2018 Corporate-HR 14 Commencement of E Learning Modules/ Tie Ups for

E Learning Modules 01.04.2018 SP , CDS & LDC Cell 15 Institutional Setup for Assessment & Development

Centres 31.12.2017 SP , CDS & LDC Cell 16 Institutionalization of Development of HIPO 31.01.2018 SP , CDS & LDC Cell 17 Identi�ication of HIPO at E1/E4, E5, E6/E7 & E8/E9 15.02.2018 SP , CDS & LDC Cell 18 Preparation of IDP for HIPO 28.02.2018 SP , CDS & LDC Cell 19 Preparation of Bench Strength of Key Succession

Planning Position 28.02.2018 SP , CDS & LDC Cell 20 Leadership Development [Foundation Course] for

HIPO [E1-E4] 01.06.2018 SP , CDS & LDC Cell 21 Leadership Development [Executive] for HIPO [E5] 01.08.2018 SP , CDS & LDC Cell 22 Leadership Development [Advance] for HIPO [E6-E7] 01.10.2018 SP , CDS & LDC Cell 23 Leadership Development [Excel] for HIPO [E8 & E9] 01.10.2018 SP , CDS & LDC Cell 24 Assessment of Progress of HIPO 01.10.2018 SP , CDS & LDC Cell 25 Reward of HIPO 31.12.2018 SP , CDS & LDC Cell

Table 6: Roadmap and Timeline

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9 Conclusion

It's the time for NSPCL to look into the leadership development engine and

succession planning strategy keeping its requirements of future and ambitious

capacity addition plans. The business activities of NSPCL are characterized by

many structural barriers. Most of the activities on the site requires

instantaneous strategic decision-making abilities. Any mis-judgement at any

stage of implementation could lead to terrible consequences. The environment

in which the company works involves people of different cultures with

different types of mind-sets. All this needs leaders at every level, because any

mistake at any level can be severely detrimental to the company.

Thus, it is very necessary that NSPCL evolve a structured, systematic leadership

development programme/engine as recommended in this study.

10 References

1. Deloitte India Consultancy Study Report 2016.

2. Aon Hewitt Survey Study Report 2015.

3. NSPCL Corporate Plan 2025.

4. Report on NSPCL Strategic Business Meet 2016.

5. GPW Reports (From 2010 to 2014)

6. Dundon, Elaine “The Seeds of Innovation” (2007) Prentice Hall of India,

New Delhi

7. Blanchard, Ken, Waghorn, Terry “Mission Possible”, McGraw Hill (2008),

USA

8. Ceserani, Jonne, “Big Ideas- Putting the zest into creativity & innovation at

work”, Kogan Page Ltd (2003), USA

9. Wakhlu, Arun, “Managing from the Heart”, Response Books (A Division of

Sage Publication) (1999), New Delhi

10. Shukla, Madhukar “Competing through Knowledge - building a learning

Organization”, Response Books (A Division of Sage Publication) (1997),

New Delhi

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11. Liker, K., Jeffrey, Hoseus, Michael, “Toyota Culture – The Heart and Soul of

the Toyota Way”, Tata Mc Graw Hill (2008), New Delhi

12. Morgan, Gareth, “Imagin-i-zation”, Response Books (A Division of Sage

Publication) (1998), New Delhi st13. Drucker, Peter.F “Management Challenges for the 21 Century”,

Butterworth Hetnemann (2002), Oxford, Auckland

14. Ahmad, Abad, Chopra, O.P. “Passion to Win”, Excel Books Pvt. Ltd. (2004),

New Delhi

15. Danvenport, Thomas H. “Process Innovation”, Harvard Business School

Press (1993), USA

16. Hargrove, Robert, “Mastering the Art of Creative Collaboration”, McGraw

Hill (1998), USA

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11 Annexure

He has joined NSPCL as HR executive trainee in 2006. He is MPMIR from BHU, LLB from PRSU and PGDM from IIM, Raipur. He is presently doing Fellowship in HR & OB from IIM. He is also an XLRI Certified Assessor for Assessment and Development Centre and holds ISTD Diploma in Training & Development and Diploma in Labour and Administrative Law. Currently he is posted at NSPCL Bhilai.

His area of interest is HRD and his papers in HR area have been presented in national and international conferences. He is founder of SANKALP EK PRAYAS, an NGO in Chhattisgarh, providing quality education to 2500 underprivileged children. He has been representing

ndNSPCL Team in Q4E competition. He has won 2 prize in national level competition of NSPCL in 2015.

She is Graduate in Control and Instrumentation

Engineering from Madras University. In 2001 she had

joined NTPC. Now, she is working in NSPCL Bhilai.

She having a vide experience in O&M, Engineering fields of Thermal power plant. She also got an opportunity to work in Nuclear Engineering design at NPCIL, Mumbai. She has been representing NSPCL Team in Q4E

ndcompetition. She has won 2 prize in national level competition of NSPCL in 2015 also actively participates in competitions held inside and outside the organization.

He is Graduate in Control and Instrumentation Engineering from BPUT, University. In 2007 he Joined NSPCL as executive trainee. Currently he is working in NSPCL, Bhilai.

He has got decent experience in Erection & O&M of Thermal power plant. His hobbies are Singing and Quizzing. He has been representing NSPCL Team in Q4E

ndcompetition. He has won 2 prize in national level competition of NSPCL in 2015 also actively participates in competitions held inside and outside the organization.

A. Details of Team Members (Bhilai)

PARIMAL SINHA (SR. MANAGER-HR)

M.GAYATHRI(SR. MANAGER-C&I)

SRINIVAS PANDA(MANAGER-C&I)

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B. Primary Research-Questionnaire

Part-A

Scale: 1. Completely disagree 2. Disagree 3. Neutral

4. Agree and 5. Completely agree


1 Leadership development strategy is reinforced

throughout the company culture.

2 Competencies required in an employee for a

particular position are developed through training

and other learning methods.

3 NSPCL reward policy identi�ies the talented people

in the organization.

4 There is an organizational plan to retain the talent

in NSPCL.

5 Seniors often communicate with Subordinates

regarding Leadership development.

6 Top management allocate time and money to

leadership development related activities.

7 Top management actively review talent / future

leaders.

8 High potential employees are communicated of

their status as successors for leadership roles.

9 High potential employees are prepared for the

future roles by giving them important work areas

or key positions.

10 Succession planning is used to make actual

selection decisions.

11 Talented people occupy the Leadership pos itions in

NSPCL

Part-B1. What are the programs and policies prevailing in NSPCL to build

Leadership engine and succession planning?2. What measures are taken in NSPCL for Succession Planning and Career

Development?3. Please share the strategies and policies should be followed in NSPCL for

building leadership and succession planning?4. What type of new leadership initiatives could be taken in future to make

NSPCL adaptive, competitive and responsive?5. Is building leadership in NSPCL, sole prerogative of top management or

NSPCL is including all levels of executives in building leadership and developing a culture of shared leadership?

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BEST NEW PROMISING TEAM

Team NTPC

(Left to Right)

Ms. CT. Valli Meenal, Ms. B. Geetha and Sh. R. Annamalai receiving Best New Promising Team Award from Jury Members

®Sh. P. K. Senapati & Sh. Sumeet Varghese, SPHR , SHRM-SCP™

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C O N T E N T S


1 Abstract 56

2 Introduction 57

2.1 What is Succession Planning? 57

2.2 When is Succession Planning Required? 58

2.3 Why is Succession Planning Required? 58

3 Scenario in Public Sector Enterprises and NTPC 59

3.1 Central PSE 59

3.2 NTPC 60

4 Details of Research 61

4.1 Research Methodology 61

4.2 Objectives of Research 61

5 Data Collection – Analysis of Data and Key findings 62

5.1 Primary Research 62

5.1.1 Knowledge Management System 62

5.1.2 Performance Management System 63

5.1.3 Training System 63

5.1.4 Career Growth, Rewards and

Recognition 64

5.1.5 Leadership Development and

Succession Planning 65

5.1.6 Employee Empowerment 66

5.2 Secondary Research 67

5.2.1 Literature Review 67

5.2.2 Feel the Pulse Study-2014 findings 68

5.2.3 BODH-V – Organizational Climate

Survey in NTPC 69

5.2.4 Business Excellence Assessment Reports

of NTPC Stations– 2015 70

5.2.5 Best Practices 71

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6 Need for Succession Planning in NTPC 72

7 Business model – Idea Generation 73

7.1 I-Identify key positions 74

7.2 N-Need Analysis of Key Positions 75

7.3 C-Cube Connect 75

7.4 U-Unravel the Mystery: Talent Matrix 77

7.5 B-Bridging the Gap: Building Competencies 78

7.6 A-Assay the Training 79

7.7 T-Talent matrix updation 79

7.8 O-Opting the Right Successor 80

7.9 R-Retain Talent: 80

8 Stakeholders Engagement 81

9 Roadmap for Implementation 81

10 Limitations of Study 82

11 Conclusion 82

12 Reference 83

13 Annexures 85

A. Details of Team Members NTPC (Vallur) 85

B. Primary Research-Questionnaire and Responses 86

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1. Abstract

Succession planning is the process whereby an organization ensures that employees are recruited and developed to fill each key role within the company. Succession planning, in turn will facilitate in building leadership engine, which helps in creating agile, flexible, innovative and dynamic leaders at every level of the organization which will make it a winning organization.

NTPC enjoyed near monopoly for many years since its inception in 1975 but the present Volatile, Uncertain, Complex, Ambiguous (VUCA) world poses several challenges for its sustenance. NTPC has taken many initiatives like Job Rotation Policy, PMS, Developmental programs, Leadership Development program and career development plans, nevertheless the speed of initiatives has to be improved according to the speed of the global trends. As NTPC is aiming to become the world’s leading Power Company, it is essential to take proactive steps for its sustainable growth.

NTPC-Vallur team has done 5W1H analysis for the topic “Succession Planning for Building a Leadership Engine” to analyse it in detail and arrive at a solution for improvement. A survey among the NTPC employees has been done to understand the opinion of the employees. To understand more on the subject, team has analysed the results of NTPC’s latest Organizational Climate Survey 2015 “BODH-V”, Feel the Pulse Study-2014, Business Excellence Survey Results-2015, Business Excellence Model etc. The present scenario in NTPC Limited and the essential requirement of succession planning for NTPC is elaborated and discussed in detail.

A model for succession planning has been identified and simple, practical approaches recommended for success of succession planning in NTPC. Team has developed a model called “INCUBATOR” for succession planning with several strategies for NTPC. Also developed and remodelled the existing Knowledge management portal as “Whiz Buzz” and created an App “Gyan Khazana” for improving the knowledge sharing among the employees. Also, the team has come out with the road map for implementation of the model and the recommended strategies. While implementing the strategies, all the stakeholders shall also be engaged in relevant processes, because they play a major role in the growth of an organization.

“There is no success without a successor”

“Succession Planning is a Journey – Not a Destination”

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2 Introduction

2.1 What is Succession Planning?

Succession planning is a systematic and integrated effort taken by an organization to identify, develop and retain potential successors for key positions to ensure leadership continuity in the organization. Key positions are as those that are crucial for the operations of an organization, owing to the skill, seniority and/or experience of the employees in these roles and are hard to replace when these key employees retire/ leave the organization/ resign/die.

Succession Planning is aimed at retaining and developing intellectual and knowledge capital in line with present and projected business objectives of the organization. Succession planning increases the availability of experienced and capable employees that are prepared to assume these roles as they become available. Succession planning in turn helps in building a leadership engine.

Leadership Engine: According to Noel M Tichy, an American Management consultant, author and educator, winning companies possess a "Leadership Engine", a proven system for creating dynamic leaders at every level. Technologies, products and economies constantly change. To get ahead and stay ahead, companies need agile, flexible, innovative leaders who can anticipate change and respond to new realities swiftly. He says the winning organizations have "good leaders who nurture the development of other leaders at all levels of the organization.”

By integrating succession planning and leadership development, organisations may get the best of both: Attention to the skills required for senior management positions along with a developmental system that can help managers develop those skills. Hence, succession planning and leadership development are the inputs for creating a leadership engine.

In the present workforce scenario, there are fast-paced changes in work that lead to skill shortages, changes in workplace dynamics and vacancies at leadership positions. Succession planning is a proactive approach that helps in

“Thinking about tomorrow today”

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leadership continuity in key positions. In contrast, replacement planning is focused narrowly on identifying specific back-up candidates for given senior management positions and it is a reactive approach.

2.2 When is Succession Planning Required?

Succession Planning comes handy when there is a vacancy in the key role of an organization. This may happen if an employee resigns or gets transferred to some other location or if an employee gets retired.

It is a concerted effort taken by all stakeholders as given below and hence it is not a HR function alone.

As per HBR Dec-2016, only 34% of Boards have a written CEO succession plan and 50% of the companies that have revenue greater than $ 500 million don’t have a meaningful succession planning.

Hence, succession planning processes need to be improved in order to lead the business environment.

2.3 Why is Succession Planning Required?

The following are the advantages of succession planning, which helps the organization to be successful and sustainable.

• Helps in building leadership engine

• Employee engagement and career growth

• Stability and sustainability of business

• Complete the expectations of stakeholders

Figure 1: Stake Holders Involved in Succession Planning

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3 Scenario in Public Sector Enterprises and NTPC

3.1 Central PSE

Apart from the above-mentioned advantages, Succession Planning provides quick, smooth and productive transition when a key person leaves the organization and it increases employee commitment and retention, paving way for an ensured success in business.

Having understood about the succession planning process, it is important to see the scenario in Public Sector Enterprises.

An excerpt from Financial Express dated 15.4.17 is given below:

In the last seven decades, Indian economy has grown over 1,444 times from ₹ 94 billion to ₹ 136 trillion. Public sector which has played a critical role since independence has provided continuous momentum to this growth story. Impressive performance of Central PSEs (CPSEs) can be judged from the fact that for the last four years, PSEs have been earning a net profit of over Rs.1 lakh crore every year. They have contributed over Rs.2 lakh crore to the exchequer every year from FY14 to FY16. CPSEs registered a turnover of Rs.19, 95,716 crore during FY16 which is 13.66% of the GDP. Out of the total 320 CPSEs, of which 244 are operating had 12.34 lakh employees in FY16. But there are some challenges which need to be addressed, on a war footing, to ensure that PSEs perform to their full potential.

Succession Planning is one area of challenge which involves capacity and skill building, motivation, retaining talented employees etc. Capacity building is crucial to fill the knowledge gap at various levels in the organization and it should be in an ongoing process. Succession planning and grooming dynamic leaders for top management at strategic positions is another challenging job. To accelerate the process, there is need to develop a cadre of potential candidates and professional executives within a PSE as well as within the public sector undertakings.

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3.2 NTPC NTPC is India’s largest energy conglomerate with roots planted way back in 1975 to accelerate power development in India. NTPC is 13th largest company in the world in terms of total installed capacity and 3rd largest company in the World in terms of coal based capacity.

Since 1975, NTPC has established itself as the dominant power major with presence in the entire value chain of the power generation business. From fossil fuels, it has forayed into generating electricity via hydro, nuclear and renewable energy sources. This foray will play a major role in lowering its carbon footprint by reducing greenhouse gas emissions. To strengthen its core business, the corporation has diversified into the fields of consultancy, power trading, training of power professionals, rural electrification, ash utilization and coal mining as well.

NTPC with its vision company is marching ahead with a target of becoming 130 GW company by 2032, with major generation targets of 85 GW from coal and 30 GW from solar energy. NTPC always places the “People before the Plant Load Factor”. It currently employs approximately 22,124 employees including employees in JVs and subsidiary companies. Competence building, Commitment building, Culture building and Systems building are the four pillars on which NTPC’s HR systems are based. In 2010, NTPC has been ranked 7th overall in India’s Best companies to work for and has been adjudged as the “Best company to work for 2013” and “Best company to work for 2015” in Public Sector category.

There are several challenges (some are listed below) which NTPC is facing in this VUCA world:

Figure 2: Future Challenges of NTPC

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External factors can’t be controlled as above, which affects the growth and performance of the Company. It is required to focus on the internal factors and one of the major internal factors is human resources, who can be trained and groomed to face the posed challenges. Hence, by developing the employees it is possible to convert the challenges into opportunities and march ahead towards a sustainable future.

4 Details of Research

4.1 Research MethodologyTo have a deeper understanding of the topic, team has carried out a research as below:

“At the end of the day, you bet on people, not strategies.”

-Larry Bossidy, Allied Signal

Figure 3: Details of research

4.2 Objectives of Research• To get the feel of the present-day leaders on the topic, interview among the

senior officials was conducted.• To understand the perception of NTPC employees through questionnaire

survey about various important subjects like succession planning. Leadership development, knowledge management, performance management, training development etc.

• To study on key focus areas from documents/policies related to NTPC.• To understand better on the leadership development process from related

articles/reports.• To find out the areas of improvement for NTPC through the study of

findings from “Feel the pulse Survey-2014”, BODH-V 2015 Organizational Climate Survey and Business excellence assessment (BE) reports.

• To understand about the succession planning processes of other companies through case studies and to learn from their practices.

• To identify best practices in other companies.• To come out with innovative and implementable solutions with a roadmap.

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5 Data Collection – Analysis of Data and Key �indings

5.1 Primary Research

An extensive interview with senior officials and survey among the employees

were conducted to analyse the mind-set of the employees and their feel about

the company with respect to succession planning and other practices like

knowledge management, training, Performance management, career growth

etc. The sample size was around 500 NTPC employees and 380 responses were

obtained. Simple random sampling, Likert’s 5 point scale is used for collecting

responses. The survey questionnaire and responses are given in Annexure B.

The data analysis of the survey results and key finding are given below:

5.1.1 Knowledge Management System

• Knowledge management system in NTPC has to be more effective to

improve the knowledge base of employees, especially to combat the

crucial situations that arise when an experienced and competent employee

retires/ leaves the company.

• Knowledge management portal can be made more attractive and user

friendly.

• Linking of reward system to Knowledge management portal can induce

active participation of employees in building strong knowledge pool.

Figure 4: Survey Results on Knowledge Management System

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5.1.2 Performance Management System

• Performance management system in NTPC has to be more effective in employee appraisal and promoting the talented employees.

• Bell curve approach in appraisal system results in the forced placement of employees into high, medium and low performance categories.

• Increase in frequency of review would help in improving the performance of employees.

• This system has to be improved to match with the expectations of employees and sustain the motivation levels of employees.

5.1.3 Training System

• More emphasis can be given to ensure that training is provided as per the individual Training Need Analysis.

• Existing system of 7 man-days of training for all employees can’t be a generalised tool for improving the competencies of employees.

• It has to be ensured that adequate exposure is given to all employees for exhibiting their competencies and developing them through opportunities for applications of training learnings.

• Developmental programs can be more useful and can meet their objectives in true sense if their effectiveness is assessed objectively.

Figure 5: Survey Results on Performance Management System

Figure 6: Survey Results on Training System

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5.1.4 Career Growth, Rewards and Recognition

• Expectations for better career growth opportunities felt.

• Developmental programs can be more oriented to balance employee aspirations and organisation needs.

• Rewards and Recognition system needs improvement to fulfil its purpose of motivating employees.

Figure 7: Survey Results on Career Growth

Figure 8: Survey Results on Rewards and Employee Empowerment

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5.1.5 Leadership Development and Succession Planning

• Leadership development process is reinforced across NTPC culture

• Succession planning process and framework of leadership competencies need better clarity and visibility to all employees

• System for retention of talented employees to be fostered

• Creation of vacuum when key positions employees leave and needs for grooming of potential leaders to fill their shoes are well realised

• Need of increased commitments from superiors in subordinate development is agreed upon

• Productive discussions between present and potential future leaders to be promoted further.

Figure 9: Survey Results on Leadership Development and Succession Planning (1)

Figure 10: Survey Results on Leadership Development and Succession Planning (2)

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5.1.6 Employee Empowerment

• Adequate power and resources given to execute work.

• Work culture needs moulding to bring out the leaders present in the company.

Figure 11: Survey Results on Start of Leadership Development

Figure 12: Survey Results on Position before Retirement

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5.2 Secondary Research5.2.1 Literature Review

Team conducted literature review for deeper understanding of the topic, the following details/documents of NTPC have been referred and analyzed.

• Robust developmental programs in NTPC:-

The following planned interventions exist in NTPC to improve the managerial expertise in addition to the trainings imparted for functional excellence.

Module Duration Level

Executive Development Program 12 weeks E1

Foundation Course in General Management 10 days E4

Capsule Course in General Management 11 days E5

Enhancing Managerial Competence 3 weeks E6

Advanced Management Program 3 weeks E7

Harvard Mentor Module (online) 1 year E3-E6 (1200 employees)

Table 1: Details on Planned Intervention in NTPC

Figure 13: Details on Planned Intervention in NTPC

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• Leadership Assessment and Development System (LEADS):–

LEADS was introduced in 2005 to build effective leadership pipeline in NTPC and to provide objective and fair assessment of competencies and potential for different levels of leadership. Development centre (for E5 + 2yrs experience in E5 grade) and Assessment centre (for E7 + 2yrs experience in E7 grade) are used to develop and assess the competencies of the employees. Individual Development Program (IDP) is prepared to develop the competencies of the employees.

As per the above documents, it is observed that there are some key areas of focus identified as given below:

Table 2: Key focus Areas (KFA) identified in NTPC

Key Focus Areas (KFA) identi�ied from documents

related to NTPC

Learning and Knowledge management

Training and career development

Leadership development

Employee empowerment

Effective Communication with employees

Performance management system

Rewards and recognition

Nurtures and

enhances

employees

5.2.2 Feel the Pulse Study-2014 findings

Team gathered information from “FEEL THE PULSE”, a companywide study conducted in NTPC in 2014 for understanding issues and concerns of employees. This study covered 58% of the total employees and the concerns from this study are given in the below:

Hence if the above areas are focused, it will lead to development of more leaders and aid in succession planning process.

Company Wide Concerns in NTPC

Lack of Communication and Upward Feedback Mechanism

Organisation Structure / Career Growth

PMS, Promotion, PRP

Work Environment

Housing and Township

Health care at projects

Manning Pattern / Work Life Balance

Disconnect between seniors and juniors

Recreational Facilities

Gender friendly work place

Figure 14: Feel the Pulse Study Findings

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5.2.3 BODH-V – Organizational Climate Survey in NTPC

Team also looked into the findings of the NTPC Organization Climate Survey- BODH V 2015, conducted by TNS India Private Limited. The high ranked parameters are as follows (mean score given in brackets in a scale of 0 to 3)

High ranked bundles

(Top 6 ranks)

· Safety and security (2.2)

· Organisational commitment (2.05)

· Job satisfactions (1.97)

· Monetary bene�its (1.94)

· Welfare facilities (1.94)

· Lateral trust (1.9)

· Vision, Mission and Values (1.87)

Figure 15: BODH-V High Ranked Parameters

The low ranked parameters in BODH-V are given below. It has been observed that the low ranked parameters mainly Performance Appraisal, Scope for advancement and Subordinate development are getting repeated for the last 5 surveys (mean score given in brackets in a scale of 0 to 3).

Low ranked bundles

(Bottom 6 ranks)

· Recognition and appreciation (1.61)

· Training and education (1.61)

· Grievance handling (1.6)

· Scope for advancement (1.57)

· Objectivity and rationality (1.57)

· Participative management (1.55)

· Subordinate development (1.53)

· Performance appraisal (1.41)

Figure 16: BODH-V Low Ranked Parameters

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S. No. HR Criteria Major organization wide

OFI(opportunities for improvement)

No. of stations that

have OFIs (out of 21 stations)

1.

Learning

Identi�ication of gap in skills and competencies then steps taken to bridge the gap

14

Conducting training need assessment (TNA) and providing training as per the individual needs.

11

Measuring training and development effectiveness.

17

2.

Employee

Empowerment

Promoting innovation and creativity through employee participation in various forums/ cross functional teams

17

Promoting awareness, use of knowledge management (KM) at

station and contributions for KM

12

3. Communication

Identifying communication needs for employees and stakeholders

12

System of feedback from stakeholders 11

Internal customer feedback 15

4. Rewards and

Recognition

R&R schemes perceived by employees and steps taken to improve R&R climate

12

Table 3: Key Findings of BE Assessment Report (NTPC) 2015

5.2.4 Business Excellence Assessment Reports of NTPC Stations– 2015

Team has also studied the reports of BE assessment. In this research, the OFIs in the HR Criteria for 21 generating stations were studied and analyzed. Team’s observations are given below:

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5.2.5 Best Practices

Some of the best practices and programs followed for leadership development and succession planning in the top companies are studied and understood are used as a basis for development of some of the solutions recommended in this study.

The following are the key findings of from secondary research:

Sl. No. Key Areas Identi�ied for leadership building and succession planning

Tools emphasizing the key areas

1. Learning and knowledge management

NTPC HR Vision statement, NTPC – Corporate objectives, Corporate Performance system and Business Intelligence 2017, Deloitte Global Human Capital trends report 2017, NTPC BE model 2016, BE assessment report 2015

2. Performance management system

NTPC – Corporate objectives, Power People magazine by Power HR Forum, Deloitte Global Human Capital trends report 2017,Feel the Pulse survey 2014, BODH-V – Organizational climate survey

3. Career development system / career growth

NTPC – Corporate objectives, Feel the Pulse survey 2014, BODH-V – Organizational climate survey

4. Employee empowerment NTPC – Corporate objectives, BE assessment report 2015

5. Communication NTPC BE model 2016, Feel the Pulse survey 2014, BE assessment report 2015

6. Rewards and Recognition system

NTPC BE model 2016, BODH-V – Organizational climate survey, BE a ssessment report 2015

7. Training and development BODH-V – Organizational climate survey, Survey highlights of ‘ Top Companies for Leaders 2011 and 2005’ by Aon Hewitt

8. Start of Leadership development from junior level instead of that from senior level

Building a leadership pipeline – A case study of NTPC by Dr. Disha Awasthi

Top Companies for Leaders 2011’ by Aon Hewitt.

Case studies

9. Active Involvement of Seniors in junior development

BODH-V – Organizational climate survey, Survey highlights of ‘Top Comp anies for Leaders 2011 and 2005’ by Aon Hewitt

Case studies

Table 4: Secondary Survey Findings

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6 Need for Succession Planning in NTPC

Team has taken insights from the address given by Sh. Gurdeep Singh, CMD-thNTPC in 40 AGM on 20.9.16. He had stated that one of the major challenges for

the company is the retirement of many senior people. He also clarified that

NTPC is taking sincere steps in trying to preserve its intellectual capital by

ensuring maximum knowledge-capture and effective succession planning.

There will be retirement of around 33% key positions (E7-E9) in the next 4 years.

This is an alarming figure for the company and NTPC should have an effective

succession planning process to overcome this challenge.

Figure 17: Retirement of NTPC Executives till 2030

Figure 18: Retirement of NTPC Executives (E7 and above) till 2021

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It has been identified from above graphs that there is huge retirement of

experienced employees in the coming years, thereby leading to knowledge

drain in the company. Hence, knowledge transfer needs to be given due

importance for knowledge capture from experienced employees.

Hence, team NTPC has developed strategies in order to overcome the challenge

and move ahead, succeed and sustain in the present competitive business

scenario.

7 Business Model – Idea Generation

Key points that are accountable to make an effective succession planning

process for building leadership engine in NTPC, have been studied by team

through research analysis, studies and observations.

Team has developed a model named ‘INCUBATOR’ which will aid NTPC in

developing a pool of leaders and improving the bench strength (“Bench

strength” refers to the capabilities and readiness of potential successors to move

into key professional and leadership positions) of NTPC. The above model has

been designed in a way to address the factors identified from primary and

secondary research.

Figure 19: INCUBATOR Model

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7.1 I-Identify key positions

Key positions are those that exert critical influence on the operational activities

or the strategic objectives of the organization. This means that without this role,

the organization would be unable to effectively meet its business.

There should be clarity in vision for the company and the business strategies

and needs to be reviewed and updated based on the changing market scenario.

a. Since appointment of CMD and Functional Directors are under the

purview of PESB, identification of key positions is restricted up to the level of

Executive Director in suggested model.

b. Team has identified key positions for NTPC station (site level) as ED/GGM,

GMs, HoDs and HoSs. This shall also be adopted in other NTPC

stations/projects.

After identifying the key positions, sample priority matrix is to be developed for

key positions for finalizing the priority to be adopted for the succession

planning process based on the time of retirement of individuals and the impact

of the individual’s contribution to the organization.

Emp. Name Key Role Impact on Business

(Low to High) (1-3)

Time for

Retirement

(<1yr-1to3yr)

>3yrs

Priority

Classi�ication

(Imp. X time)

Corporate

Sh. XYZ ED (OS) 3 1 Low (3*1=3)

Sh. PQR ED (Com) 3 3 High (3*3=9)

Site-NTPC

Sh. ABC ED 3 2 Medium (3*2=6)

Table 4: Sample Priority Matrix

Similar priority matrices are to be developed for all identified Key Positions at

Corporate as well as site level and needs to be updated based on the changes in

the organisational vision and strategies.

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7.2 N-Need Analysis of Key Positions

After identifying the key positions of the company, the next step is to identify

the need analysis of those key positions. For this, team has developed a matrix

called LECO matrix i.e. Leadership Competencies required for key positions of

the company. (1 being lowest and 10 being highest)

Position Tech

Expertise

Integrity Strategic

perspective

Problem

solving

/analysis

Stretch

goals

Connects

group to

world

Innovation

Corporate

ED 10 10 10 10 10 10 10

Site

GGM 10 10 9 10 10 10 9

AGM 8 10 8 8 8 8 8

Table 5: LECO Matrix

The above matrix identifies the competency requirements of key positions. The

matrix is formed based on the face to face interview with superiors, 360-degree

feedback survey and also benchmarking from market leaders.

7.3 C-Cube Connect

After the need analysis of key position is done, the next step is Cube connect,

wherein the individual competencies and performance are mapped/connected

with a cube. For doing this, two data bases are to be created by using inputs

obtained from the performance management system.

Figure 20: Cube Connect

SJVN2017

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Competencies Database needs to be developed for all employees from E3 level

and frequently updated using the data from PMS. Sample competencies

database as developed by team is given below:

Table 6: Competencies Database

The methods to be adopted for getting the data for competencies database are as

follows:

• Modified PMS

• Focus Group Discussions

• 360 degree feedback

• Assessment centres

Performance Database needs to be developed for all employees from E3 level

and frequently updated. Sample Performance database as developed by team is

given below:

Emp. Name

Grade Perf in

Yr. 2010 Perf in

Yr. 2011 Perf in

Yr. 2012 Perf in

Yr. 2013 Perf in

Yr. 2014 Perf in

Yr. 2015 Perf in

Yr. 2016

A E3 -- -- 90 89 90 92 90

B E5 -- -- 87 5 86 91 90.5

C E7 91 92 90 87 89 90.5 83

D E8 86 93 92.5 90 91 91.7 90

E E8 90 92 90 85 92 90 92

F E8 90 85 87 86 90 91 92

Table 7: Performance Database

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The method to be adopted for getting the data for performance database is PMS.

Team has suggested some improvements in the existing PMS. Also, details on

experience of the employees shall be captured in this database.

After the development of the database, the individuals are to be mapped in the 9

cubes (Figure 20) based on their ratings in competencies and performance. The

willingness of the employees for becoming a leader shall also be considered

before selection of potential candidates.

Team proposes that leadership development shall be done for potential

candidates of levels from E3 to E5 and succession planning shall be done for

potential candidates of levels from E6 to E8 (mainly because the key positions

are in the level of HoSs/HoDs/GGMs/EDs). Selection criteria for succession

planning or leadership development are as given below:

Grade Criteria for selection Succession planning(SP)/

Leadership development(LD)

E8 Top most cube SP

E6-E7 Top 3 cubes SP

E3-E5 Top 4 cubes LD

Table 8: Selection criteria

After the employees are mapped in different boxes, the employees in top boxes

as above shall be further developed for Succession planning /leadership

development programmes. Also, the employees in the lower boxes shall be

trained to make them reach the top boxes.

7.4 U-Unravel the Mystery: Talent Matrix

After connecting the employees with the cubes, the next step is formation of

talent matrix. Sample talent matrix is given below:

Table 9: Talent matrix

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Similar matrix is to be developed for all potential successors from E6-E8 and for

leadership development from E3 to E5 to find the gap and gap analysis needs to

be done. Training to be imparted to selected candidates based on the gap

analysis.

7.5 B-Bridging the Gap: Building Competencies

In this step, team aims to build the competencies of the potential candidates

(who have been identified in Cube Connect step) as per the competency gap

found for each of them with the help of Talent matrix. As per model, E8 and E6-

E7 potential candidates are given developmental practices for succession

planning and E3-E5 potential candidates are given developmental practices for

building leadership skills. Following diagram enlists the different development

practices that are given to potential candidates in different grades, each of

which will be elaborated below:

Figure 21: Skill Sharing Strategies

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7.6 A-Assay the Training

“We can’t manage what we can’t measure”

This step consists of two parts:

1) Evaluation of candidates after training:

Present leader should be included in the evaluation of future leaders. Following

methods can be used to evaluate the potential leaders after they undergo

different developmental training

• PMS Review

• Performance in simulated work environment

• Psychometric tests

• Fact finding

• Presentation after training

• Group assignment/Discussion

• Role playing

• In-basket test/Mail box exercise

2) Evaluation of developmental practices:

There should be quantifiable measures for assessment of developmental

practices that are implemented for leadership development of potential

candidates. This only will lead to continuous improvement of the whole process

of leadership development and succession planning.

7.7 T-Talent matrix updation

After various training programs, their competencies are evaluated as given in

the previous step. After evaluation, their ratings are updated in the talent

matrix, which was prepared earlier to find gaps in various competencies.

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7.8 O-Opting the Right Successor

After updating the competencies’ ratings in talent matrix, the candidate with

highest total rating has to be selected as a successor for the key position

considered.

Parameters

Grade

Strategic

perspective Integrity

Tech.

Expertise

Problem

solving/

analysis

Connects

group to

world

Innovation

Max. Marks 10 10 10 10 10 10

E (E8) 7 9 9 9 8 9

F (E8) 8 10 9 8 9 8

Table 10: Opting the Right Successor

7.9 R-Retain Talent

Now, it imperative to focus on retention of talent within organization. There are

two kinds of employees who have to be retained:

• Employees who have not been selected as potential candidates for

undergoing leadership/ succession planning programmes i.e. who have

not been selected from competence Vs performance cube chart.

• Employees who have been considered as potential successors, been given

developmental trainings and were not chosen as an actual successor. This

kind is very important as the organisation has spent loads of money, time

and efforts for sharpening them.

“Retain the talent” in the organisation is achieved through proper and fair

rewards and recognition system as this plays a major role in retention of

employees. Following are some strategies to retain these employees in

organization:

• Conducting stay interviews and taking appropriate corrective action

further

• Bond beyond work

• Ensuring employee empowerment

• Providing company and individual balanced posting

• Ensuring Work- life balance

• Ensuring Job satisfaction

• Fair and encouraging Recognition and Rewards system

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8 Stakeholders Engagement

Stakeholders play a major role in the growth of the company. They are to be

involved in relevant processes of the INCUBATOR model like 360 degree

feedback, assessment etc. Also, they are to be involved in obtaining feedback for

developing the database of employee’s competencies.

9 Roadmap for Implementation

1. Succession planning process involves systematic and integrated approach

for handling, maintaining and updating huge database of employees with

respect to various leadership competencies. Technology can help us reduce

time, cost and money for doing this tedious task meticulously with the help

of human capital management software’s (HCMs) and thus can simplify

HR’s role.

2. The responsibility has to be shared by the HR department and the senior

management for whom the succession planning is carried out.

3. An exclusive HR wing in the name of “Succession Planning Group (SPG)”

can be formed for each site, regional and corporate office. This group will be

responsible for all activities and functions that have to be formulated and

implemented at sites, regional offices and corporate office for carrying out

succession planning. Mission of this group will be “Movement of right

talent at the right place into the right jobs at the right time”.

Figure 22: Stakeholders

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10 Limitations of Study

1. Suggestions / Recommendations are given based on NTPC. However it

will hold good for other PSUs too due to similar policies and organizational

culture.

2. Primary research i.e. survey has been done in NTPC stations based on

random sampling process (sample size only -500) through Google forms

and hence has not covered the entire NTPC family.

3. Although several new strategies have been recommended in addition to the

improvement in the existing systems, additional financial implication to the

company, have not been included in the study.

4. Case studies are made to capture the best practices of International / Indian

companies on succession planning strategies. However, NTPC being a

public sector company, few of the strategies may not directly fit.

5. BODH: V-2015 / Feel the pulse-2014 / Business excellence OFIs of 2015 are

used for research as 2016/2017 results not available.

11 Conclusion

“Continuity gives us roots

Changes give us branches

Letting us Stretch and Grow to reach new Heights”

A variety of unforeseen situations like demographic shifts, downsized

management levels, economic growth, new business opportunities and

competition for talent has significantly increased the importance of building

leadership pipeline. Developing competent and effective pool of leaders and

building a strong leadership pipeline is the need of the hour in the world of cut

throat competition. As we look into the future, change is constant, presenting

new opportunities at every turn.

Developing an effective leadership pipeline requires a proactive approach,

committed involvement of existing leaders, development of leaders from a very

early stage, alignment of objectives of leadership development with the

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business strategies, integrated and comprehensive development initiatives and

practices and succession planning process that deals with the present and

future requirements of the organization. NTPC being a leader in power sector,

needs to be more proactive and fine tune its practices in order to make it a

sustainable ever-growing organization. Keeping in view of the current

competitive environment, it is high time for NTPC to build a robust leadership

pipeline within the organization.

By adopting the proposed INCUBATOR model suggested by team,

organisations would be able to bring effective succession planning process

which will ensure sustainability of business and thereby strengthening roots.

This will in turn help us in spreading the branches of success throughout the

world.

“Succession Planning is a Journey – Not a Destination”

12 Reference

NTPC Reports

• BODH-Organizational Climate Survey -2015

• Feel The Pulse Survey-2014

• NTPC HR Policy Manual

• Job Rotation Policy

• NTPC Corporate Plan 2032

• NTPC Business Excellence Model 2016 and Assessment Reports 2015

Other Report:

• Top Companies For Leader’s Survey (2015) by Aon Hewitt

• The Top Companies for Leaders 10 Years Later – Survey Research (2016) by

The Talent Strategy Group

• Building A Leadership Pipeline: A Case Study Of NTPC by Dr. Disha

Awasthi

• Harvard Business Review and Harvard Mentor Modules (HMM)

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Websites Visited

• www.snappyappypie.com

• www.wikipedia.com

• www.thebalance.com

• www.hrcouncil.ca/hr-toolkit/planning-succession.cfm

• www.blogs.oracle.com/oraclehcm/12-steps-to-building-an-effective-

talent-pipeline

• www.powerhrforum.org/pdfs/power-people-jan-mar-2016.pdf

• www.articles.latimes.com/2000/dec/03/news/wp-60548

• www.presentermedia.com

• Succession planning in GE @ www.ge.com

• Presentermedia.com

• https://pesbonline.gov.in

• http://www.powerhrforum.org/

• http://www.humanresourcestoday.com/retirement/succession-

planning/?open-article-id=6980917&article-title=the-critical-importance-

of-succession-planning&blog-domain=blr.com&blog-title=hr-daily-

advisor

• http://www.financialexpress.com/opinion/new-age-public-sector-

enterprises/ 628748/

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R. ANNAMALAI(MANAGER –EMD)

He is an Under Graduate (B. E) in Electrical and Electronics Engineering from Kongu Engineering College, Coimbatore and Post Graduate (M. Tech) in Power Electronics from Indian Institute of Technology (IIT), Delhi. Joined NTPC in 2005, served in Ramagundam and NTECL Vallur. He is also serving as Board of Studies member in AC tech, Karaikudi and Industrial Advisory Board Member in Velammal Engineering College, Chennai. He is a Motivational / Technical speaker and delivered numerous lectures.

B. GEETHA(MANAGER –P&S)

A Graduate in Civil Engineering from National Institute of Technology, Trichy. She has been the class topper throughout her school and college days. With zeal to gain experience in the core technical field, she joined NTPC through campus selection. She emerged as one of the toppers in NTPC-ET training also. She has participated in competitions like Q4E, NOCET, PC etc., several times, represented NTPC, Southern Region in Q4E’15 in National level competition. She feels that it helps in honing her presentation skills, to break the monotony of routine work and to develop knowledge in varied fields.

CT. VALLI MEENAL(DY. MANAGER –C&I)

She is a gold medalist in Instrumentation and Control Engineering from NIT Trichy. She joined NTPC in 2012 as an Executive trainee (ET). She also won Gold medal in C&I discipline for ET-2012 batch. Presently working as Deputy manager in C&I (Maintenance) in NTECL, Vallur. She has also represented southern region at NTPC level competition for NOCET-2016. She was also one of the invitees of Hon’ble Prime Minister of India to witness the Republic Day parade2009 due to her meritorious academic achievement in class XII CBSE Examinations.

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13 Annexures

A. Details of Team Members NTPC (Vallur)


2017

B. Primary Research-Questionnaire and Responses

Part-1: Personal Details and questionnaire

Name: Age: Gender:

Experience: Grade: Department:

Scale: 1: Strongly Disagree 2: Disagree 3: Neutral

4: Agree 5: Strongly Agree

S. No Questions 5 4 3 2 1

1. Succession planning process is existing in NTPC.

2. Leadership development process is reinforced across NTPC’s culture.

3. True knowledge or experience transfer is taking place in NTPC, when an employee leaves the Station/company.

4. Performance management system in NTPC is effective in appraisal and promoting the talented employees.

5. Training is given to employees based on the need analysis.

6. NTPC provides adequate opportunities for career growth of its employees.

7. Vacuum is felt when an employee leaves temporarily or permanently from your department.

8. There is a clear framework of leadership competencies in NTPC.

9. Existing work culture helps in exhibiting the leadership skills of employees.

10. Knowledge management system in NTPC helps in improving the knowledge base of employees.

11. Increase in the frequency of review of PMS will help in improving the performance of the employees.

12. Existing rewards and recognition system is effective in motivating the employees and enhancing their performance.

13. Adequate measures are taken by NTPC to retain the talent.

14. Existing system of 7 man days of training for all employees is effective in improving the competencies of employees.

15. Employees are aware of the roles and responsibilities of their superiors.

16. NTPC’s Knowledge management portal is attractive and user friendly.

(Contd...)

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S. No Questions 5 4 3 2 1

17. Adequate exposure is given to all employees for exhibiting and developing their competencies.

18. Existing developmental programs are effective in promoting the career growth of employees.

19. Employees are adequately groomed to take up higher responsibilities when their superiors leave.

20. Present system for identi�ication of future leaders in NTPC is transparent and visible to all employees.

21. Linking of reward system to Knowledge management portal will lead to active participation of employees in sharing knowledge.

22. Employees are given adequate power and resources to execute their work.

23. Opportunities are provided for application of learnings from training programs.

24. Existing PMS clearly demarcates between high-performers and low-performers in the company.

25. Subordinate development is the major responsibility of the superiors.

26. Developmental programs are assessed for improving their effectiveness.

27. Existing degree of delegation in NTPC effectively brings out the leaders present in the company.

28.

Discussions take place between seniors and subordinates about leadership development and sustenance and future progress of the company.

29.

Leadership development should start from

a) E2 b) E3 c) E4 d) E5

30.

In what position do you see yourself before retirement?

a) E1-E5 b) E6-E7 c) E8-E9 d) Director/CMD

31. Why do employees leave NTPC?

32. What developmental practices can be carried out to build leadership skills of employees?

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Part-2: The survey feedback data analysis

Survey Details:

Sample size – 500; Respondents (Valid) – 380

E2-E5 – 55% (209 numbers); E6-E7 -35 %( 133 numbers);

E8 – 10 %( 38 numbers)

(Contd...)

Survey : Questionnaire, grade wise mean score and sample mean score

S. No Question description E2-E5

E6-E7

E8 Sample mean

Knowledge management

1 True knowledge or experience transfer is place in NTPC, when an employee leaves the Station/company.

2.1 2.9 3.1 2.48

2 Knowledge management system in NTPC helps in improving the knowledge base of employees.

2.3 2.5 3.1 2.45

3 NTPC’s Knowledge management portal is attractive and user friendly

2.2 3.5 3.9 2.82

4 Linking of reward system to Knowledge management portal will lead to active participation of employees in sharing knowledge

4.8 4.2 3.8 4.5

Performance management system

5 Performance management system in NTPC is effective in appraisal and promoting the talented employees.

2.8 3.2 3.5 3.01

6 Increase in the frequency of review of PMS will help in improving the performance of the employees.

4.56 4 4.1 4.32

7 Existing PMS clearly demarcates between high-performers and low-performers in the company.

2.1 2.7 2.9 2.4

Training system

8 Training is given to employees based on the need analysis. 3.1 3.4 4 3.3

9 Existing system of 7 man days of training for all employees is effective in improving the competencies of employees.

2.2 1.8 3.9 2.23

10 Adequate exposure is given to all employees for exhibiting and developing their competencies.

2.3 3.5 4.1 2.9

11 Opportunities are provided for application of learning’s from training programs.

1.9 2.1 2.4 2.02

12 Developmental programs are assessed for improving their effectiveness. 2.2 2.35 2.24 2.25

Career growth

13. NTPC provides adequate opportunities for career growth of its employees.

2.8 3.2 3.6 3

14. Existing developmental programs are effective in promoting the career growth of employees.

2.3 3.2 3 2.7

Rewards and Recognitions

15.

Existing rewards and recognition system is effective in motivating the employees and enhancing their performance.

2 3.1 2.7 2.5

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Employee empowerment

16. Existing work culture helps in exhibiting the leadership skills of employees.

2.1 2.6 3.1 2.4

17. Existing degree of delegation in NTPC effectively brings out the leaders present in the company.

2.2 2.8 3.1 2.5

18. Employees are given adequate power and resources to execute their work.

3.1 3.2 3.8 3.2

Leadership development and succession planning

19. Leadership development process is reinforced across NTPC’s culture.

2.5 3.9 4.1 3.15

20. Vacuum is felt when an employee leaves temporarily or permanently from your department.

4.8 4.34 4.12 4.57

21. Employees are aware of the roles and responsibilities of their superiors.

3.2 2.9 3.5 3.1

22. Employees are adequately groomed to take up higher responsibilities when their superiors leave.

1.9 2.21 2.67 2.1

23. Adequate measures are taken by NTPC to retain the talent. 2.9 3.48 4.02 3.22

24. Succession planning process is existing in NTPC. 1.9 3 3.8 2.47

25. Subordinate development is the major responsibility of the superiors.

4.53 3.98 3.6 4.24

26. There is a clear framework of leadership competencies in NTPC.

2.3 3.05 3.9 2.72

27. Present system for identi�ication of future leaders in NTPC is transparent and visible to all employees.

2.1 3.1 3.1 2.6

28. Discussions take place between seniors and subordinates about leadership development and sustenance and future progress of the company.

1.75 3 3.2 2.33

29.

Leadership development should start from a) E2 b) E3 c) E4 d) E5

· E3 – 40.25% (45% from Group A, 40% from Group B, 15% from Group C)

· E4 – 29.6% (26% from Group A, 32% from Group B, 41% from Group C)

· E2 – 28.7%( 28% from Group A, 26% from Group B, 42% from Group C)

· E5 – 1.45 % ( 1% from Group A, 2% from Group B, 2% from Group C)

30.

In what position do you see yourself before retirement?

a) E1-E5 b) E6-E7 c) E8-E9 d) Director/CMD

· E1-E5 : 0.55% (1% from Group A, 0% from Group B, 0% from Group C)

· E6-E7 : 14.5% (20% from Group A, 10% from Group B, 0% from Group C)

· E8-E9 : 49.35%( 38% from Group A, 59% from Group B, 78% from Group C)

· Director/CMD:35.6% (41% from Group A, 31% from Group B, 22% from Group C)

31. Why do employees leave NTPC?• Lack of career growth • Posting at remote locations• Frequent transfers • Lack of work life balance

32. What developmental practices can be carried out to build leadership skills of employees?• Job rotation •Tenure posting • Individual development plan based training

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Additional Reading References

S.No. Name of Books Author & Publisher Why to read ` (INR)

Christee Gabour Atwood

Cengage & ASTD (2012)

This book explains reader’s role in implementing succession planning tactics and offers guidance. These tactics help to create employee development strategies and individual job pro�le.

This book also explains step-by-step techniques which can be used by organizations in employee evaluation and promote them into productive positions.

309/-

109 Pages

1.

David Clutterbuck

Kogan Page (2012)

The Talent wave is a guide to nurture and prioritize talent over �nancial successes and market �uctuations.

The book explains the need for realizing and understanding the level of talent within an organization and �nding out the successor with leadership quality. It provides guidelines in assessing talent, talent management and tips on how to maintain a balance between an organizations’s human and �nances resources.

365/-

256 Pages

2.

Ram Charan

Wiley India Pvt. Ltd (2009)

This publication of management guru Ram Charan is an effort to solve the problem of leadership succession as organizations are failing to �nd out capable replacements at top position.

He shows how top organizations approach leadership development as a core competency and recognize that an adaptable leadership pool is a competitive advantage.

378/-

184 Pages

3.

90

Reading References 2017


2017

S.No. Book Author & Publisher Why to read ` (INR)

Noel M. Tichy

Portfolio (December 2014)

This book is the collection of author Noel Tichy, who has served in several leading organizations.

The book reveals the case studies of prominent organizations (like Hewlett Packard, IBM, Yahoo, P&G, Intel, and J.C. Penney etc.) and why some organizations fail and others succeed to sustain the next generation of senior leaders.

The author highlights the common mistakes that results in failure in succession planning. Apart from highlighting these issues book also reveals the best practices for succession plan.

389/-

448 Pages

4.

Maeshall Goldsmith

HBR Press (2009)

This book describes essential skills and mind set for CEOs and other executives to ensure executive succession is successful.

This book was written to help CEO and high-level professionals in• Prepare for transition, • Choose a successor, • Coach their successor, and• Pass the baton.

481/-

125 Pages

Ram Charan, Stephen Drotter and James Noel

John Wiley & Sons (2011)

This book shows the path, how organizations can develop leadership at every level by identifying future leaders.

It is explained, how business leaders can choose successor by knowing-• How time should be applied differently.• How work values required for success must change.• Identify the challenges in inappropriate leadership at each step.

531/-

344 Pages

5.

6.

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2017


David Berke

Center for Creative Leadership annotated edition (2005)

This book primarily focused on the link between succession and management development.

It offers best practices to help in conceptualizing, planning, and implementing effective succession systems in the organizations to ensure that successors are ready for key positions in organizations.

1,099/-

64 Pages

8.

Lance Berger, Dorothy Berger

McGraw Hill Education (2011)

This book is design to help managers to develop a healthy environment in organizations so that they can build talent for the future. Based on the research, interviews and years of experience of the authors most innovative ideas and the latest tools, processes are presented.

It shows how to:

• Discover and develop new talent• Inspire, coach, and train future leaders• Reward and retain the best people• Design career plans that boost employee morale and support organization needs

995/-

576 Pages

7.

Arnold Dahlke

John Wiley & Sons (2012)

Step-by-step planning required in organizations at time of succession planning and pitfalls to be avoided are featured here.

Emphasis is on following key concerns:

• How to retain and train personnel for a more seamless transition• Easy-to-follow guidance on developing a working succession plan• Tips to create a plan to save time, money, knowledge, and successors from within the organization

1,358/-

264 Pages

9.

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2017


Michael Timms

Friesen Press (2016)

It contains real time interviews with senior executives from 50 organizations. Their experience on how they tackled succession planning and faced failure and success. Following are explained : • 13 reasons to begin succession planning now. • The Succession Planning Critical Path – the most efficient and effective way to implement a succession plan. • How to gain or strengthen executive buy-in for succession planning. • How to measure the success.

1,299/-

234 Pages

10.

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NOTES


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NOTES


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NOTES


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NOTES


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Ms. Sumeha Kaushal, receiving Award from Jury Members Sh. P. K. Senapati &

®Sh. Sumeet Varghese, SPHR , SHRM-SCP™

Best Young Presenter [Female]: SJVN

Sh. Sanket Kumar Jain, receiving Award from Jury Members Sh. P. K. Senapati &

®Sh. Sumeet Varghese, SPHR , SHRM-SCP™

Best Young Presenter [Male]: Ireda

(Left to Right)

( )Right to Left


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Power HR Forum Secretariat, Power Management InstitutePlot No. 5 - 14, Sector - 16A, NOIDA (U.P.) - 201301, India

Tel.: +91 120 2478316, Fax +91 120 2416860, 2416846, E-mail: [email protected]

POWER HR FORUM MEMBERS ORGANISATIONS

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Succession Planning for Building A Leadership Engine

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