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Concepts of Hrd

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Concepts of Hrd
Chapter 1: Concept of HRD

Introduction to HRD:

‘Dhanesh “ Auto Inc. has been a major global manufacturer of automotive product. In December 2002, Lumax Industries acquired it. Headlight, side indicator and brakelight are among their leading products. One of the challenges that both the former Dhanesh Auto Inc. and the present Lumax Industries have faced is the fact that over half of their employees not regional employees. Lumax Industries executives recognised that there was a need for more company leaders with global expertise, as Lumax Industries then became a publicly traded company in February 2004. They wanted executives with expertise concerning issues in more than one country. They also wanted leaders who could help promote a “Seamless” organization, that is, an organization that had fewer boundaries between functions, business units – and countries.

Dhanesh auto had already established an executive development program that it called the Business Leadership Program (BLP). This program was aimed at developing the top one percent of “promotable” employees. The BLP addressed issues such as global strategy, leadership style and behaviour, culture and organization capabilities. The program used various techniques during the formal training portion, including lectures, discussions, individual projects, case studies, and team building interactions. There was also an “action learning” module, where trainees worked on actual issues that the company was currently facing. Approximately thirty-five people at a time went through the BLP process.

An assessment made by Lumax senior managers was that, in general, Lumax management did not have the level of global competency that was required to manage their increasingly global corporation. In particular, the company’s succession planning process had identified a sufficient gap between the global skills required and those possessed by their top managers. This led them to refocus their Global Leadership Program

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