Change, in any organization is routed through it’s Human Resource Department. Thereare always disgruntled employees who complain that change has adversely affected them.There are employees who believe in status Quo and believe that if a system is working,there is no point in changing it. Escorts going out and Yamaha coming in was a change that influenced each other andevery employee working on all levels. Strangely though, the resistance to this majorchange and to all subsequent decisions taken to enforce the change was minimized,. Itonly depicts the success of the H.R. department in educating all employees. Change wasviewed as mandatory rather than optional. Employees were made to believe that theirfuture bread and butter depended upon the success of this change. Almost everyemployee understood the need for this broad change. There were some voices ofdiscontent regarding small details which had to be worked out. The H.R. department’srole in handling the entire process of change is summarized below : 1.Agreement with the Union : Escorts left behind a strong labour union which wasknown to use aggressive tactics to get it’s demand met. Yamaha suspended the oldagreement with the union and entered into a new one after taking over. Theagreement covered various aspects like pay packages, increments, working hours,leaves schedule etc. Yamaha also offered V.R.S. ( Voluntary retirement schemes)to those who did not wanted to continue with the organization. However, theattraction rate of labour and managers was very low. What Yamaha ensuredthrough was there are no dissatisfied employees in the organization. Yamaha knewthat workers will be facing a cultural change soon and only wanted thoseemployees who were ready and willing to accept change in it’s true spirit. 2.Training of employees in Japan : Not every employee looks upon training inJapan as an opportunity or value addition. Certain employees are reluctant toleave their families back in India for a period of 6 months. People used to thesocial and cultural environment of India find it difficult to adjust to a foreigncountry. The challenge for the H.R. Department was to motivate such employees.These employees were assured that their families will be taken care of. While trainees will receive salary for their work in Japan, their families will be a paid afixed amount periodically by the company during the [period of training. Securewit the knowledge that their families are taken care of, employees were motivatedto undergo training in Japan. 3.Networking with dealers : Yamaha is currently in process of networking all it’sdealer all over India. Dealers are seen as valuable channel partners and not meresupply chain members. The purpose of this online network queries on a perpetual basis. Dealers are encouraged to report all complaints, suggestions, ideas throughthis network. The network will also be used for online order processing. Prof . Nomita Kapoor
How Organizations Handle Change – Yamaha Motors India
4.Routing bills through Tedfel : Dealers were not happy with Yamaha routing it’sbills through Tedfel. Earlier, dealers were not asked to pay until the motor cycleswere actually sold. Now Tedfel only offered a 15 days credit period to the dealers.Presently, may dealers have already approached Yamaha and have asked to revertback to the old system. At the time of our research, the dialogue between thedealers and the company was still on. Yamaha still believes in the companyvalidity of hiring an outside agency for bill payments and wants to bring aroundthe dealers to its way of thinking. Yamaha has also followed the policy that Indian managers are best equipped to handleIndian work force. The Japanese presence in the H.R. department is bare minimum.Language barrier is a significant constraint in this regard. So, while the company boastsof presence of Japanese professionals in production, quality assurance and financedepartment, the H.R. department...