Connecting BSNL Employees / Subscribers 4 Growth of BSNL: How to convert BSNL into a world class organisation (Part-2)

Sakari naukri India

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How to convert BSNL into a world class organisation (Part-2)

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Business Process Re-engineering

In BSNL Advanced management concepts/techniques/systems cannot work, without improving the very fundamental or rudimentary aspects of “organising”.

In any organisation, things are so interrelated & interdependent that a wrong thing in one area shall affect another area.

“Business Process Re-engineering” (BPR) is a must for BSNL. This is a powerful management concept/technique.

BPR brings out the deficiencies of the existing system and attempts to maximize productivity through restructuring and reorganizing human resources as well as divisions & departments in the organisation.

The principles of BPR can be described as “U-S-A Principles”. 
U = Understand; S = Simplify; A =Automate.

This means –
UNDERSTANDING existing practices;
SIMPLIFYING the processes; and
AUTOMATING the processes

The techniques used are: —

Understand     : (Diagramming/Story-boarding/Brain storming);
Simplify           : (Eliminating/Combining/Re-arranging);
Automate        : (EDI / ERP).

BPR involves the following steps: —

1.       Study the current system
2.       Design & Develop New System
3.       Define Process, Organisation Structure & Procedure
4.       Develop Customized software
5.       Train People
6.       Implement the New System.

BPR is a vital pre–requisite for implementing ERP (Enterprise Resources Planning).
An in-depth organisation-wide BPR study must be done before taking up ERP.




Re-writing the Policies, Rules, Procedures, Guidelines:

Some of the rule books followed in BSNL are:

·         CCS (…) Rules, 19xx – there are many such rules.
·         FR / SR
·         P & T FHB – many such volumes.
·         P & T Manuals – many such manuals.
·         General Financial Rules, 2005
·         CPWD Manuals & Codes
·         & so on …

BSNL is not bound to follow these Rules, Manuals and Codes etc. There are some good things in them, which must be adopted / adapted. But most of the rules etc. have become redundant, out-dated, irrelevant, absurd, and even inequitable. BSNL is in a highly competitive and technology oriented business; having Rs. 1000 billion assets (created out of public money); 3.2 lakh employees; nation-wide presence; and playing a very important role in national development. It must be managed efficiently in the national interests. From this perspective, these Rules etc. cause more harm than good.

Study Group
In the year 2000 itself BSNL should have taken steps to abolish all these Rules, Manuals etc. and formed study groups to frame new rules in conformity with the corporate work culture and modern management practices. At least now, BSNL should take steps to abolish these old Rule/Code books in the following manner:


1.    A Study Group should be formed to frame new policy, rules, procedures and guidelines.
2.    The Study Group should consist of the following persons:

·         selected internal experts from BSNL;
·         management experts from IIMs; or management consultancy firms; human resource consultants;
·         Chartered Accountants; Cost Accountants having expertise in internal control, preferably having CIA qualifications from the Institute of Internal Auditors, USA/ UK;
·         lawyers having experience in handling service matters and CAT cases;
·         selected faculty members of training institutes of C & AG;
·         selected persons from National Institute of Financial Management, Faridabad;
·         representatives from DPE; and
·         Others.

3.    Complete abolition. No future reference should be made.

4.    The best of the old Rules, Instructions etc. [which are compatible and consistent with efficient functioning, modern management and good governance practices] should be incorporated, adopted and adapted with modifications.

5.    In the first year of operation of new rules, if any change is felt necessary that should be made following a rational process, preferably referring back to the Study Group.

6.    The Study Group should:

·         Avoid unnecessary steps in doing the work; Avoid duplication of work;
·         Incorporate measures of internal check, internal control procedure; to speak simply, checks & balances.
·         Adopt the best practices (we may learn it from management consultancy farms);
·         Integrate/coordinate the work/processes done by different persons in different sections, units & functional areas; in other words integrate the whole enterprise.

7.    The guiding principles for the Study Group should be:

·         It should make the internal systems efficient, effective and cost-effective.
·         It should be simple as far as possible. If simple not possible, then, make it as less complex as possible.
·         Our internal process may be complex, if needed; but make it simple for the customers/business partners.
·         Equitable work distribution among employees.
·         No duplication of work. Work Smart, not hard.
·         It should be mistake-proof, fraud-proof.
·         Bind all works/processes in the thread of information technology.
·         The Principle of Equity should be ensured as far as possible; not because of any religious philosophical reasons, but in the interest of the Organisation itself. Fairness in organisational policies, rules for employees and fairness in treatment to employees are very important motivating factors for employees.

8.    An employee should cooperate with his sub-ordinates, superiors. A superior’s duty is to train, support, encourage and motivate his juniors. A Head of Office should ensure that no employee is demoralized, tortured, harassed by his superiors and no senior is made to tolerate/compromise the wrong things of his sub-ordinates/ juniors. In short, all should be given justice. While formulating Policies and Rules, the Study Group should take special care to discourage and prevent the following behaviour of employees at all levels.

·         Not justifying the salary, authority & privilege they get;
·         Compromising office work;
·         Indulging in corruption, favoritism & discrimination;
·         Intimidating honest officers;
·         Putting heavy work on some and allowing the leisure, inefficiency, corruption of others;
·         Misinterpreting rules to their convenience.


Vision, Mission, Values, Goals, Objectives and Strategies; AND
Policies, Rules, Procedures and Guidelines

Policies, Rules, Procedures and Guidelines are nothing but the measures to translate an organisation’s Vision, Mission, Values, Goals, Objectives and Strategies into results. Policies, Rules, Procedures and Guidelines must be based on/ flow from and consistent with the Vision, Mission, Values, Goals, Objectives and Strategies.

Things must be clear & unambiguous. It’s not just enough to make them; these must be appropriately communicated & explained to employees at appropriate levels.

Policies, Rules, Procedures and Guidelines are required in the following areas:
Administration & Governance
Human Resource
Finance, Accounts, Internal Audit
Marketing
Technical, Operational, Engineering

We will discuss the details later. The first thing BSNL should do is to prepare an Organisation Manual.


Organisation Manual
           
            Introduction & Objective
            Brief History – Telecom & Telecom technology in India
            Brief History – BSNL
            Outlines of various telecom services
The Scheme of the Organisational Manual & its contents
            Organisational Structure – functional areas, departments, units etc.
            Vision, Mission, Values
            Management Philosophy of BSNL & Ethics
            Legal & Regulatory Framework –
                        Memorandum of Association
                        Articles of Association
Regulation, Supervision & Control of the following authorities:
M/o Corporate Affairs
M/o Finance,
D/o Telecom
D/o Public Entreprises
TRAI
Central Vigilance Commission
Comptroller & Auditor General of India
            A list of Policies, Rules, Procedures and Guidelines, and their salient features


The scheme of various Policies, Rules, Procedures and Guidelines

What is required and where? Manuals or Hand Books containing Policies, Rules, Procedures, Guidelines and Checklists should be prepared in the following areas.

Separate books should be printed for each area/sub-area. The book should be revised and updated every year. The contents should also be available in intranet site, with cross references and keeping track of changes made. The present practice of managing business by issuing letters and amending it frequently should be stopped, because over a period of time things become complicated and unmanageable and it goes out of control. For managing the affairs of the business, Policies, Rules, Procedures, Guidelines and Checklists should be handy, readily available and clear.

Administration & Governance
            Special Guidance on how to use discretionary powers
            Office procedure & routine
            Authority & Responsibility
            Works Study, Job Specifications & Accountability
            Management Audit
            Management Control System
            Corporate Governance & Enterprise Risk Management
            Vigilance & Anti-fraud Policy
            Corporate Social Responsibility
            Public Relations & RTI Act

Human Resource
            Man-power planning
Recruitment
Training
Conduct, Disciplinary, Appeal
Employees Benefits – Pay, Allowances, Perks, etc. & Retirement Benefits
Performance Measurement & Evaluation
Promotion
Superior-Subordinate Relationship
Unions & Employees participation in management
Feed Back Systems
                        Employees Grievance Redressing System

Marketing
            Market Study & Research
            Advertising
            Sales Promotion
            Sales & Distributions
            Outstanding revenue pursuit

Finance, Accounts, Internal Audit
Finance Manual
            General Principles & Guidelines
            Procedural Aspects
Financial Advice
            Financial powers

Accounting Manual
                                    Financial Accounting
                                                Subsidiary Records & Registers
                                                Account Code Book
                                                Accounting Guidance
                                                Reconciliations & Control
                                    Cost Accounting
                                                Guidance on implementation of The CAR (Telecom) R, 2001
                                    Accounting Information Systems (AIS)

Internal Audit Manual
                                    Guidance on Audit of Revenues
                                    Guidance on Audit of Expenditures
                                    Guidance on Audit of Financial & Cost Accounts
Guidance on Audit of Taxation Aspects
Guidance on Audit of Statutory & Regulatory Compliance Aspects
                                   
Technical, Operational, Engineering
                                    Technical Analysis of Big Projects (for Top-level Managers)
                                    Technology Absorption Policy (for Top-level Managers)
                                    Procurement & Materials Management Manual (All Levels of Managers)
                                    Network Management
                                    Switching Systems Management
Transmission Systems Management
Technical Guidelines
Telecom
Comp. Systems
Civil
Electrical
Circle Specific / Specialized Wings /Units Specific Manual
                                                T&D Manual.
                                                Telecom Stories Manual
                                                Telecom Factories Manual


Necessity, Usefulness & Advantages of the above:

  • In some areas rules, procedures, guidance etc. are out-dated or inadequate or unavailable.
  • Things are not available at one place; in an organized & consolidated manner; containing cross references;
  • Ruling files are often not maintained in sections. If maintained, some letters are often missed. A new employee spends a considerable time on searching, collecting, studying rules etc.
  • Take the example of BSNL-MRS. It is something which affects every employee. But there are so many amendments to it. Of course, a compendium was published and put in Intranet site. But it is not being updated immediately.
  • Employees want to be (and should be made) aware of the rules, procedures, methods of many aspects of the working of the organisation other than their own narrow sections. But often we find that they are struggling to keep pace with the changes made in their narrow working sphere.

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