BT ANNIVERSARY ISSUE: Asian Paints: A Better Shade Of HR

The richness of jobs, a no lay-off policy, and great support systems characterise this paint maker.

The four-kilometre stretch on either side of the Asian Paints factory on the Lal Bahadur Shastri Marg in a suburb of western Mumbai is today a veritable graveyard of industrial units. Several big names-Hindustan Ciba-Geigy, May & Baker (now Rhone-Poulenc), Bright Bros, Dipys, Guest Keen Willimas, and iaec, to name a few-had a flourishing manufacturing presence here once. Some have moved out. Many have downed their shutters depriving thousands of sources of livelihood. Many of their campuses have been taken over by builders. ''Asian Paints is the only symbol of industrial prosperity in this stretch today,'' says Lakka Shetty who joined the company's first manufacturing facility in 1971, as a millhand.

He has seen it all. Together with 250 other workmen, he has been witness to both despair and triumph not only outside the company but also within it. A fire ravaged the paint plant in February 1996. The facilities were rebuilt in less than two years. It was business as usual. Asian Paints became a leader in national decorative paints market around that time. Over the years, it has not only retained its supremacy but has consistently distanced itself from its nearest competitors. It has also established start-ups overseas in addition to setting up two new, and modern, plants at Ankleshwar in Gujarat, and at Patancheru in Andhra Pradesh.

''The character of a company-of its people and its management-comes out during a crisis,'' says Vivek S. Patwardhan, General Manager (hr), who is himself a 21-year-old veteran with Asian Paints. When the fire destroyed a bulk of the plant at Bhandup in Mumbai, for instance, the state Labour Commissioner allowed the management, in the normal course, to retrench people. The retrenchment compensation would have cost the company less than Rs 1 crore. But the management did two things. It gave an assurance to employees that the plant would be restarted and that, in the interim, their jobs would be protected. It also gave them an option of a VRS. A total of 145 employees took it. It cost the company Rs 5.1 crore. ''The gesture generated a lot of goodwill,'' says Patwardhan, ''and we are to this day a coveted employer in this region among skilled workmen.''

But what makes Asian Paints a good company to work for, particularly for the executive cadre, is the richness of individual jobs. ''What is fixed is the context of each job,'' says Patwardhan. ''The content is left to the individual.'' The jobs are not defined within boundaries and it is up to the individual to ascertain ways of making it impactful. Vandana Tarika, for instance, joined Asian Paints in 1997. A chemical engineer who was recruited from a B-school campus, Tarika is already in charge of a major production facility at Bhandup. ''The support systems are very good and there is a great deal of nurturing that takes place as long as one shows initiative,'' says Tarika.

Of course, at the macro-level there are other motivators at work. A stable management structure, for instance. Except for a brief interruption in 1998, when one of the founding partners decided to opt out, the senior management team has stuck together and worked together for years. Of course, the fact that Asian Paints has been the market leader in decorative paints since 1967 is another motivator for its employees.

Why Asian Paints is number 9

Candidates considering employment at Asian Paints are welcome to have a 'look-see' at the plant and the company's housing colony before taking the plunge. One would rarely say no after doing this. These are plush locations with fitness centers, jacuzzis, tennis courts, et al. These apart, the company offers extensive benefits that are not part of its compensation package and its retirement programmes are best-in-class.

The most important criterion for selection at Asian Paints is a fit with the company's values. Mentors and buddies coach the new entrant on what the Asian Paints experience is all about. Recruiting from competition is also out. Indeed, doing this requires sanction from the top management. The organisation also practices a 'no layoff' policy.

The idea at Asian Paints is to develop talent from within. The emphasis of the senior management team is on driving the organisation's aggressive growth plans. Extensive investments in training and job postings, apart, the company also spreads the learning culture by encouraging employees to upgrade their skill-set by participating in development programmes. Employees participate in finding solutions to organisational issues.

Employees derive high satisfaction from the company's focus on a learning environment, its performance-orientation, and the freedom to work. There is also a 'pride factor' in being associated with a market leader and an organisation which boasts a novel approach to clearly distinguish between ownership and management.

Madhavi Misra and Purva Misra, Hewitt Associates LLC