After a successful 38-year history as India's largest private sector company, Reliance Industries Limited (RIL) has formally launched an international constitution by the name of Reliance Management Services (RMS).
After a successful 38-year history as India's largest private sector company, Reliance Industries Limited (RIL) has formally launched an international constitution by the name of Reliance Management Services (RMS). The new framework was unveiled on October 6 before 150 top executives at an event hosted by Chairman and Managing Director, Mukesh Ambani, at his South Mumbai home, Antilla.
The 7-hour-long event included Senior Vice-President of British Petroleum, David Oxley, setting the tone by putting forth questions to Mukesh Ambani on reasons behind initiating this change. A source aware of the developments on RMS said, "Oxley asked simple and quick questions. Mukesh Ambani presented his views."
What RMS Entails
The new system defines critical policies, processes and execution measures for a number of segments such as HR management and risk management. It spells out what is required to be done within a specified period of time. The new framework comes with guidelines of delegation of authority and clearly highlights how it should flow from top to bottom. It also highlights various processes that need to be executed to indentify risks in a quick and easy manner.
Focus on Employee Welfare
As a part of RMS, the company has announced a series of human resource programs that involve taking necessary measures to simplify various policies and to encourage the wellness of employees.Oxley is also overseeing an HR transformation program at RIL. It is worth noting that British Petroleum has a stake in RIL's hydrocarbon blocks.
The implementation of this new management system is expected to accelerate the pace at which contemporary HR practices are executed. In addition to implementing a 5-day work week policy last year, RIL has also been able to set in motion a number of fresh initiatives that are being spearheaded by Prabir Jha, Chief HR Officer at RIL. Jha joined the human resources function at RIL from a similar role at Tata Motors.
In addition to simplifying policies and encouraging wellness, these changes also intend to support education and reward talent across levels. Among various significant modifications announced, the most important ones include discontinuation of service bonds and the extension of maternity leave to 6 months.
Sangeeta Singh, Partner at HR consultancy firm, Sanguine Consulting, says, "This level of change will have a significantly positive impact on employee morale, buy-in of the larger organizational vision, individual productivity and most of all, a sense of belonging with the company."
Mukesh Ambani believes that the average life of the 100 businesses as per Standard & Poor's list is about 30 years. The inception of RMS is intends to boost RIL's ability to re-invent itself in this rapidly changing business environment. Furthermore, the formal launch of RMS also intends to institutionalize systems and processes while the company is at the cusp of expansion, diversification and adding more young talent into its workforce.