culture as competitive advantage for organisations€¦ · metros | defence | nuclear & special...

Metros | Defence | Nuclear & Special Bridges | Hydel, Ports & Tunnels Construction – Heavy Civil Infrastructure ICSensitivity: LNT Construction Internal Use

Culture as Competitive Advantage

forOrganisations

Larsen & Toubro Heavy Civil Infra IC

Sensitivity: LNT Construction Internal Use

METROS

DEFENCE

NUCLEAR HYDEL & TUNNEL

SPECIAL BRIDGES PORTS

36 Domestic Projects | 4 Intl Projects


Macro Economy – The Trillion Dollar Pie

FY 2013 FY 2015 FY2017Total

Twelfth Plan

GDP at FY 07 Prices(in USD Bn)

1,720 2,044 2,428 10,297

Infrastructure Investment (as % of GDP)

9.0% 9.9% 10.7% 9.95%

Infrastructure Investment (in USD Bn in Current Prices)

144 208 295 1,070

Source: ASSOCHAM & other Industry, GOI Reports

Construction Industry CAGR

expected to record 15.7% by 2022

1,000 KmsMetro Rail Network worth USD 200 Bn


The Business Reality

Then Now Small orders ~ Rs 1,000 Cr Large orders ~ Rs 3,000-5,000 Cr

Construction partner Preferred Design and Build partner

Hierarchical, command & controlorganization

Role-based, empowered organisation

Continuous flow of new projectsthroughout year

Few big projects during the year

Project Bidding – win-or-lose BAU High Cost of failed bid, Resilienceneeded

LTSP Target – USD 750 Mn by 2016 LTSP Target – USD 2.5 Bn by 2021

Bullets will be animated


20172013

Changing Employee Profile Coexistence of 4 distinct generations/cultures in the Company

Yr Baby Boomers(1946-1964)

Gen X(1965-1980)

Gen Y/Millenials (1981-1996)

Gen Z(after 1996)

2013 57 Yrs 43 Yrs 30 Yrs -

2017 55 Yrs 43 Yrs 27 Yrs 19 Yrs

Avg A

ge


Culture – a Competitive Advantage

MoneyMen

Material

Available to all!

Unique organizational DNA and establishedcultural fabric over 8 decades Longevity, Pride, Trust, Care, Mutual Respect

Brand reputation National cause

Mindset, cultural socialization How existing employees adapt new mindsets How laterals are inducted into organization culture How millennials are inducted culturally

Unique to Organisations



MoneyMen

Material

Available to all!

Managing change across millennials whohave distinct working styles Putting innovation and value creation above

loyalty and longevity Restless and impulsive Money not the only key for existence

Hybrid culture, organization environment fornew business realities (Mega Projects) Decision-making, Adaptability, Responsibility,

Empowerment


OPTION 1



Managing change across millennials whohave distinct working styles Putting innovation and value creation above

loyalty and longevity Restless and impulsive Money not the only key for existence

Hybrid culture, organization environment fornew business realities (Mega Projects) Decision-making, Adaptability, Responsibility,

Empowerment


OPTION 2


Our Experiment

UNIQUE WAYOLD WAY


Our Thought Process

Multiple approaches for culture building Top-driven vs. people-driven External vigilance vs. Self-governance Traditional vs. Innovative approach

Design and Roll-out options considered Does one-design fit for all? …. Caricatures for design Mixing employees of different work-levels Structured, Unstructured, or Semi-structured Where to start? At the senior, middle, or junior management level? Roll out internally or send people to external programmes (like ISABS) Scale and Speed critical to sustain Change


Our Thought Process

Faculty dilemma Internal or External Faculty

o Piggy back on Train-the-Trainers for developing internal facultyo Getting external facilitators who are experts in OD interventions

Facilitators – Fellows of ISABS, Sumedhas Workshops for ensuring uniform delivery and learning experience Identifying qualified faculties/facilitators, a scarce commodity

Phases for rollout Phase 1 focused on self-transformation of all employees – ME Labs Phase 2 emphasizing on Institution-building – Third-i


How we did it

Managing Stakeholders CEO and Top Leadership Team

o Engaged at design stage, ensure alignment with business goals Operating Leadership Team

o As Champions of Change, engaged with participants on last day of Labs Board of Directors

Sounding board to proactively avoid pitfalls Employees

o FGDs with sample audience at each work levelo Identified perceptions/fears of ‘trust,’ ‘evaluation’ of the processo Credibility through public affirmation that no feedback is being taken

Facilitatorso Code of Ethics to protect confidentiality

o Stay away from Psychometrics to protect authenticity of process


Human Interaction Labs (ME Labs)

By January 2018, over 1,140 staff have gone through OD Labs

After 3 years of efforts in building platform through OD interventions

i- Empathy

- Openness to

Feedback

- Expression of feelings

iNTERPERSONAL

- Courage of Conviction

- Encouraging divergence

- Resolving conflicts

- Faith in fellow L&T’ites

- Walk the talk

iNSTITUTION

- Participative

- Proactive

- Passionate

- Pride

The Third-i

D.A.R.E- Decision-making

- Adaptability

- Responsibility

- Empowerment

Desired Outcomes

Opportunity to create unique competitive advantage – Institution-building


Uniqueness - Our continuous touch points During the Lab

Critiquing by facilitators at the end of each day, corrective actions taken if needed

On completion of the Lab Reaction feedback of the participants collected by facilitators (not our Company) Received consolidated feedback to respect privacy

Quarterly Telephonic surveys and conversations (qualitative feedback) every quarter Presented to the CXOs every quarter for review and next-level actions

Half-yearly Reviews with reporting managers of employee on efficiencies, inter-personal

effectiveness, emotional resilience, quality and customer feedback


How this is Innovative

Labs used/designed to be therapeutic tool

Converted self-transformation into group-transformation leading toorganization-transformation

Introduced concept of ‘institution-building’ with essential ingredients offuturistic culture – Trust, Empathy, Care, and Mutual Respect

Created facilitators’ mindset for scalability


Speed and ScaleOctober 13, 2013

Virtual Start

October 16, 2013ME Gang’s 1st Meeting

November 7, 2013Design Meet at Hyd

Nov 14-30, 2013Tier-2 Labs cover 64 people

Dec-Jan, 201434 in Tier-3, 97 in Tier-1 covered

2014263 covered in ME Labs

2015Third-i launched for Institution Building

2016ME-O Labs launched for Officers

2017340 employees covered by Labs

2015Discover-i Labs Launched for GETs

The Journey

Continues


Change Management Initiatives at a glance

1,140Staff Covered

120Labs

240Facilitators

36,480Manhours spent

12.6Cumulative ManyearsInvested

ME Labs

ME Labs

Discover-i Labs


Thank

You

culture as competitive advantage for organisations€¦ · metros | defence | nuclear & special...

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