SAIL takes steps to hone managerial skill at senior level

The steel maker has appointed KPMG to guide it on the path it should take to improve staff competency

In a first among state-owned firms, SAIL has initiated steps to hone up leadership skills of its senior management team, upward from the general manager level, for paving the way for a smooth succession plan.

Feeling it necessary to identify key positions and define their competency requirements, the largest steel maker of the country has even appointed consultancy firm KPMG to guide it on the path it should take to make the entire process more meaningful.

"In response to the requirement for developing leadership capabilities of people for key positions, it was felt that these positions are needed to be identified and competency requirements for them to be defined," SAIL Chairman CS Verma told PTI.

Accordingly, an internal cross functional and cross unit committee formed by the company's Personnel Director, after a detailed study, developed a competency framework with eight key competencies applicable to all senior leadership positions and developed profiles of required proficiencies for all the key positions.

Verma said it was also decided to establish an Assessment and Development Centre (ADC) at Management Training Institute (MTI) in Ranchi with the help of an external consultant to carry out assessments of managerial competence of people and develop in-house resources. KPMG has been chosen for that.

The focus of ADC is to provide a large pool of suitable candidates for any key position.

"The competency framework and the alignment of training and development in SAIL with the competency framework would provide a foundation for developing people into the kind of leaders required by the company," Verma said.

KPMG has been given the mandate of validating competency framework developed by SAIL Committee and the work includes fine-tuning the behavioural indicators for measurement of the competency levels.

It has also been asked to fine-tune proficiency levels required for key positions identified by SAIL and conducting communication workshops for the validated competency framework through workshops at SAIL's plants or other locations.

"We have also asked KPMG to design tools and assessment methods for carrying out assessments, assess executives and provide individual developmental plans in consultation with the each of them," Verma said.

The honing up skills of the senior management is not greek in the large corporate houses - both privately-owned or family run businesses - but, this is unique in public sector units and kind of a trend-setter.

SAIL has embarked on a Rs 72,000-crore expansion plan to increase capacity to 21.4 mtpa from 13.82 mtpa now by March, 2013. On top of this, it plans to invest Rs 131,000 crore to raise capacity from 21.4 mtpa to 45 mtpa.