sharing of best practices on values and ethics in the … sharing of best practices on values and...
TRANSCRIPT
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Sharing of Best Practices on Values and Ethics in the Workplace
Presentation To Civil Service College
Putting Values and Ethics into Practice in NatSteel
16 October 2014
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Content
Overview Of Tata Group & NatSteel
Tata Values & The Tata Code of Conduct
Tone From The Top
Ethics Office (Structure & Roles)
Implementing The Code of Conduct
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Tata Sons Ultimate Holding Company Of Tata Group Companies
Present In More Than 100 Countries
Revenue Over USD100 Billion
Over 500,000 employees
66% Equity Held By Philanthropic Trusts Endowed By Members Of The Tata Family (One Of The Largest Charities In The World)
National Institutions For Science And Technology, Medical Research, Social Studies And The Performing Arts
Aid And Assistance To Non-government Organisations Working In The Areas Of Education, Healthcare And Livelihoods
Tata Companies Also Extend Social Welfare Activities To Communities Around Their Industrial Units
Source : www.tata.com
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Our Purpose
At the Tata Group we are committed to improving the quality of life of the communities we serve. We do this by striving for leadership and global competitiveness in the business sectors in which we operate.
Our practice of returning to society what we earn evokes trust among consumers, employees, shareholders and the community. We are committed to protecting this heritage of leadership with trust through the manner in which we conduct our business.
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NatSteel - A Tata Steel Enterprise
Became a part of Tata Steel Ltd in February 2005 Operations in China, Vietnam, Thailand, Malaysia and Singapore Produces rebars, wire rods and value added steel construction products Revenue of SGD 2.5 billion Over 3,000 Employees
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NatSteel - Our Vision And Values
We Are Driven By Our Five Core Values Of Integrity, Understanding, Excellence, Unity and Responsibility
Tata Code of Conduct - We Conduct Our Business To The Highest Ethical Standards
Our Vision Is To Be The Global Steel Industry Benchmark For Value Creation And Corporate Citizenship
We make the difference through:
Our People By fostering teamwork, nurturing talent, enhancing leadership capability and acting with pace, pride and passion.
Our Offer By becoming the supplier of choice, delivering premium products and services and creating value for our customers.
Our Innovative Approach By developing leading edge solutions in technology, processes and products.
Our Conduct By providing a safe workplace, respecting the environment, caring for our communities and demonstrating high ethical standards.
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Tone From The Top Tata Group Chairmen - Past & Present
Responsibility The most significant contribution an organised industry can make is by identifying itself with the life and problems of the community to which it belongs, and by applying its resources, skills and talents, to the extent that it can reasonably spare, to serve and help them. Integrity I have often thought about that. If we had done some of the things that some other groups have done, we would have been twice as big as we are today. But we didnt and I would not have it any other way JRD Tata
We do not claim to be more unselfish, more generous or more philanthropic than other people. But we think we started on sound and straightforward business principles, considering the interest of the shareholders as our own and the health and welfare of the employees the sure foundation of our prosperity. Jamsetji Tata (Founder)
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I want the legacy to say we achieve the growth and the prosperity with the value system and ethical standards that we have tried to retain, and not succumb to the subjective pressures that exist to get things
done. Ratan Tata
.the core of the Tata Group must and will remain unchanged. Our commitment to maintaining the highest ethical standards in the conduct of our enterprises, our continuous emphasis on business excellence and managerial competence, our belief in our employees and their well-being, our sense of obligation to the customers we serve, our responsibilities towards the environment and the communities that we touch, and the greater good of the countries we operate in - without this core DNA that is uniquely Tata, there is nothing to differentiate us from our peers. Cyrus Mistry
Tone From The Top Tata Group Chairmen - Past & Present
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Our Values Integrity
Conduct our business fairly, with honesty and transparency Everything we do must stand the test of public scrutiny
Understanding Caring, show respect, compassion and humanity towards our stakeholders
Work for the benefits of the countries that we operate in
Excellence Strive to achieve the highest possible standards in our day-to-day work and
in the quality of goods and services we provide.
Unity Work cohesively with our stakeholders. Build strong relationship based on
tolerance, understanding and mutual co-operation.
Responsibility Be responsible and sensitive to countries, communities and environments in
which we work Ensuring what comes from the people goes back to the people many times
over
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Our Values
TATA CODE OF CONDUCT
STAKEHOLDERS Shareholders, Employees, Partners (Vendors/Customers/JV), Community
VALUES
Integrity Understanding Excellence Unity Responsibility
TRUST GOODWILL
TATA BRAND
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Tata Code of Conduct (TCOC)
Adopted by NatSteel Board in April 2005
- First Board Meeting after acquisition of NatSteel
Applicable to Employees & Third Parties Suppliers, Contractors and other Vendors.
The Code is designed to:
- Uphold the highest standards of corporate and personal conduct
- Guide and support decision-making be the guiding force on ethical issues
- Deter wrongdoings, promote honest and ethical conduct and ensure compliance with laws, rules & regulations.
- Help promote a unifying sense of values across the Tata Group
- Encourage and govern prompt internal reporting of potential violations and ensure accountability.
1998 First Code
2008 Revised
2014 Revision
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Management Of Business Ethics (MBE) - Enabler for the implementation of the TCoC in all business
transactions / interactions - Guide leaders and ethics counsellors on how to ensure that
the tenets of ethical code of conduct are practiced by all employees in the group
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4 Pillars Of MBE
Leadership
Creating and nurturing an environment for ethical conduct
Setting direction for MBE implementation plan.
Periodically reviewing and communicating the plan.
Making MBE Plan an integral part of Annual Business Plan (ABP)
Implementation & Compliance Structure
Roles of Leadership in Guiding & Driving
Facilitation (Structure/Process/Ethics Team/Lady Counsellor)
Participation of Stakeholders
Communication & Training
Internal/External Training & Dialogue, Web Based Training
Knowledge Portals/MBE Reference Manual
Measurement
Assurance Surveys And Other Survey / Assessment
KPIs (Number of WB reports, Training Hrs, Dialogue Attendance, etc)
Action Plan Based Upon Findings Annual Report To NSH Chairman & Chief Ethics Officer
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Leadership & Implementation Structure
Group Chairman
Brand Custodian & Chief Ethics Officer (Member of Group Executive Council)
Chief Executive Officer
Audit Committee
Country/Location Ethics Officers
Council of Practitioners
Chief Ethics Counsellor
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Emphasis On The TCOC
High Level Support/Representation
Group Chairman Takes Direct/Personal Interest
Chief Ethics Officer is Member of Group Executive Council
Reviews At The Highest Levels
Annual Report to NSH Chairman & Chief Ethics Officer (Group Chairman's Office)
Benchmarking Questionnaire to Chief Ethics Officer
Quarterly Report to NSH Audit Committee
Monthly Tele-conference of Council of Practitioners
Regular Reviews with Chief Executive Officer
Annual MBE Plan
Policies/Guidelines
Right Ethical Environment (Confidentiality, Transparency, Protection)
Easy to set Policies. Harder to Implement
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ETHICS - A WAY OF LIFE - Values & Code of Conduct
do not exist in isolation. - They have to be an integral
part of the Company's existence & activities.
- It's our DNA
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Ethics Office
Country Ethics Counsellors (Thailand/Vietnam/China)
Chief Ethics Counsellor
Ethics Coordinators (Singapore)
Location Ethics Officers Location Ethics Officers
- All the officers of the Ethics Office have full time day jobs e.g. HODs, HR Officers, Engineers, Production Officers, etc
- Many touch-points within the organisation & the Ethics Office interfaces with many departments especially HRD for the roll-out of initiatives
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Ethics Office Education/Feedback Training/Refresher Courses
Dialogues sessions/Feedback
Monthly Ethics Coordinators Meetings
Discuss issues including feedbacks
Develop Knowledge Base and Case
Business Ethics Policies/Guidelines Develop & Propose Policies/Guidelines to Support Business Activities
Consolidate Awareness And Enhance Understanding Of TCoC Communication (Bulletin/Intranet/Dialogue)
Outreach (Multi Lingual/Corp Intranet/Customers/Vendors)
Competitions (Quiz/Poster/Quotes/Skits)
Survey (TCoC Awareness/Understanding/Perception)
Whistle Blower Scheme and Concern Resolution Deploy TCoC, Whistle Blower Scheme and Concern Resolution Mechanism
Investigate Concerns & Recommend Corrective/Preventive Actions
Educate and promote Whistle Blowing
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References & Tools
- Reference Manual - Implementation Booklet - Implementation Grid - Compendium of Promising Practices
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Priority - What To Do
Segment - Who Needs What
Message/Content - Same Values,
Different Implications
Delivery - Reaching The
Folks
Survey - Outcome & Improvement
COMMUNICATION
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Prioritisation
Entire Code is relevant
Which aspects do we focus first (useful for new companies/agencies)
Quarterly Themes
Target Segments (Relevance)
Function Relevant
Finance, Purchase, Sales, Logistics, etc
High Risk Operations
Customer/Vendors
Customised Messages (Level of Comprehension/Language Capability)
Managers/Executives
Shop-floor & Contract Workers
Different Languages
COMMUNICATION
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Delivery (Media Channel/Language Capability)
Formal Training & Informal Dialogue Sessions
Classroom Training/Train The Trainer Programme
Web-based Training
Videos
Department Level Dialogue Sessions
Dialogue With Vendors/Customers
Competitions & Quizzes
Photography - Ethics In Action
Quiz
Internal Mass Media (Print & Online)
Company Bulletin
Intranet
Pop-up Screen
Chatter
COMMUNICATION
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Sample Communication Material In Bengali
COMMUNICATION
TCoC Clause (Brief Description) (Examples) Clause 4 Equal
Opportunities
[4]
, , , ,
1.
Clause 5 Gift &
Donation
[5]
, , , ( ) /
1. /
2. -
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(Clause 4) Equal Opportunities Employer
Learn and respect the cultures in which we work
Value and demonstrate respect for individuals
Provide equal opportunities
Irrespective of race, religion, marital status, gender and age
Protection Against Sexual Harassment
We have employees from different nationalities, religions, cultures, languages working together at the same production lines.
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Pop-up Screens During Log-in
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(Clause 5) Gifts/Hospitality and Donations
Employees should not accept personal gifts, services, entertainment or other items of value in exchange for special treatment by the company.
Likewise, employees should not give or offer to give personal gifts, services, items of value to employees of other organization to gain favorable business decision.
Any gifts or entertainment provided/received should always be appropriate to the circumstances.
Always seek clarification if unsure.
Clause 6 Government Agencies - Donations to any government agency directly or through intermediaries Clause 7 - Political Non-Alignment
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Extract from MBE Reference Manual
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(Clause 5) Gifts and Donations (Contd)
Ask these five questions before you give/receive Gifts and Hospitality
1. Is it legal?
2. Am I comfortable if made public?
3. Am I setting a good example?
4. Does it feel right?
5. Is it consistent with our values and code?
Integrity - Do the Right Thing
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(Clause 20) Conflict of Interest
Conflict of interest arises when a personal interest interferes with the best interest of the company:
- Family members and significant relationships - Outside employment and other activities - Clause 19 Concurrent Employment - Giving/accepting/soliciting gifts and entertainment - Clause 5 Gifts and Donations - Insider information and Securities Trading - Clause 21 Securities Transactions & Confidential Information
- Dealings on behalf of the Company - Clause 17 Ethical Conduct
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Act in the interest of the company
Ensure business or personal association does not involve a conflict of interest with the operations of the company
No acceptance of position in any other company or not-for-profit organization without authorization
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Survey (Awareness, Understanding & Perception)
Company wide & covers all employees
Multi Lingual
Assess the success level of MBE implementation
Inputs for MBE Plan (Intervention/Improvement)
Results shared with employees
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31 people died and 28 hurt in the terrorist attack on Taj Mumbai on 26 Nov 2008 Guests were overwhelmed by employees dedication to duty, their desire to protect
guests without regard to personal safety, and their quick thinking Restaurant and banquet staff rushed people to safe locations Telephone operators stayed at their posts, alerting guests to lock doors and not step out Kitchen staff formed human shields to protect guests during evacuation attempts
As many as 11 Taj Mumbai employeesa third of the hotels casualtieslaid down their lives while helping between 1,200 and 1,500 guests escape
Rohit Deshpande and Anjali Raina (Harvard Business Review - December 2011)
The Taj employees actions werent prescribed in manuals. No official policies or procedures existed for an event such as 26/11
Contextual factors could have had a bearing e.g. Indias ancient culture of hospitality, the values of the House of Tata and the Taj Mumbais historical roots in the patriotic movement for a free India
We believe that the unusual hiring, training, and incentive systems of the Taj have combined to create an organizational culture in which employees are willing to do almost anything for guests. recruitment system that hires for character and not for grades training programmes that not just mentor employees but empower them to take decisions a reward programme that recognises employees on a real-time basis
The Taj Story
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What Tata Group did following the 26 Nov 2008 terrorist attack at Taj Mumbai Hotel,
Relief and assistance was extended to all including people in the surrounding area
Employee outreach centers were opened (1600 employees - All categories)
Provide all help, food, water, sanitation, first aid and counseling
One to one mentor for single window clearance for any help required.
Full salaries sent to all employees during the time that the hotel was closed
A psychiatric cell was established in collaboration with Tata Institute of Social Sciences
Dependents of employees flown to Mumbai and accommodated in Taj President for 3 weeks.
A new trust was created for the purpose of relief of employees within 20 days.
Ratan Tata personally visited the families of the 80 affected employees. Senior Managers including Ratan Tata visited funeral to funeral over the 3 days following the incident
Non Tata Employees - the railway employees, the police staff, those nearby were covered by compensation. Subsistence allowance of Rs. 10K per month for 6 months
Generous cash settlement for every deceased staff member plus the following benefits:
Full last salary for life for the family and dependents
Complete responsibility of education of children and dependents
Full Medical facility for the whole family and dependents for rest of their lives
All loans and advances were waived off irrespective of the amount
Counselling facility at Tata Groups cost for life for each person
Source: http://rotaryclubofbombay.org/
The Taj Story
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R Gopalakrishnan - Exec Director, Tata Sons Source: CPA Australia Journal (12/2009)
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Thank You
Chuah Yak Ngi Chief Internal Auditor Chief Ethics Counsellor
NatSteel Holdings Pte Ltd
6660 7921 [email protected]