Shambhu Koirala is the Chief Human Resource Officer (CHRO) of the MAW Group of Companies. He began his career in 1977 as a medical representative for Milan Pharmaceuticals. Koirala’s journey as an HR professional started in October 2011 when he became the Country Learning and Development Manager at Bottlers Nepal Ltd., although he had joined the company as a sales officer in August 1999. Over his 23-plus years at Bottlers Nepal Ltd., he was promoted to various roles, culminating in his position as Country Talent and Development Manager in July 2022. He joined the MAW Group, the second-largest automobile organisation in Nepal, two years ago. As a seasoned HR professional, Koirala shares his intriguing insights on human resource management, learning, and development in a conversation with HRM Nepal. Excerpts:
Q. Could you briefly tell us about your journey in the HR profession?
A. Upon graduating, I commenced my career in 1997 as a Medical Representative at Milan Pharmaceuticals. This role cultivated a robust foundation in customer relationship management and sales. In 1999, I transitioned to Bottlers Nepal Limited, a Coca-Cola franchise, as a frontline sales professional serving key accounts and outlets. This marked a pivotal career shift, immersing me in the dynamic FMCG industry. Over the ensuing decade, I ascended through various sales positions, refining my expertise in strategic planning, customer engagement, and team leadership.
My HR trajectory commenced with my appointment as Learning and Development Head at Coca-Cola. The company has a rigorous process for identifying high-potential talent, investing in their development as future leaders. I was fortunate to be selected and groomed for such a role. This enabled me to foster talent development and drive organisational growth through continuous learning. Within two years, I was promoted to Country HR Manager for Nepal operations, a testament to my dedication and performance. In this capacity, I oversaw the entire HR spectrum, from recruitment and training to employee relations and performance management, significantly contributing to the company’s success.
After a fulfilling 23-year tenure at Bottlers Nepal Limited, where I also benefited from personal development opportunities, I sought new challenges. Two years ago, I joined the esteemed MAW Group, Nepal’s second-largest automotive organisation. This allowed me to apply my HR expertise in a new industry while continuing my professional journey. Throughout my career, my commitment to organisational goals, passion for lifelong learning, and adaptability have been instrumental to my success. Collaborating closely with leadership, I have consistently delivered exceptional results, demonstrating my dedication to excellence and driving impactful HR outcomes.
Q. What are the key HR strategies you have executed in the MAW Group of Companies?
A. Beyond standard HR functions, we have executed several strategic HR initiatives. These include active collaboration on establishing a motorbike assembly plant within the project timeline, successful conclusion of collective bargaining agreements, and the inception of a tailored HR software solution. Currently, we are engaged in restructuring strategic business units to align with our three-year business plan. Our overarching strategy is to harmonise HR functions with business objectives, fostering operational efficiency and sustained growth.
Q. With your extensive experience as an HR professional, could you share some reflections on the major milestones your department has achieved?
A. At Bottlers Nepal Limited, I managed HR costs within budget, maintained high employee engagement, and earned multiple awards. I pioneered HR software implementation and supported commercial expansion. I played a pivotal role in launching major supply chain projects, driving efficiency through headcount optimisation. I successfully navigated a merger, revived post-earthquake operations without downtime, and finalised four Collective Bargaining Agreements on time and within budget. We reduced annual attrition to under 3% and introduced shift duty and staggered weekly offs in the plant.
What are some effective strategies for HR management and organisational development in companies or organisations?
Effective HR management and organisational development hinge on several key strategies. First, aligning HR functions with overall business objectives is paramount. Understanding company goals allows HR to tailor strategies accordingly. Second, a robust talent management system is crucial for attracting, developing, and retaining top talent. This involves effective recruitment, comprehensive training, and career growth opportunities.
Building a strong organisational culture is also essential. Prioritising employee well-being, open communication, and a sense of belonging enhances employee engagement and productivity. Additionally, leveraging HR technology and data analytics can streamline processes and inform decision-making. Finally, effective change management is vital for organisational growth. Open communication, employee involvement, and support mitigate resistance and ensure a smooth transition.
Q. How do HR policies play a pivotal role in shaping a company’s sustainability and growth?
A. HR policies are the cornerstone of a company’s sustainability and growth. They shape organisational culture, attract and retain talent, and ensure legal compliance. Effective HR policies foster a positive work environment, enhance employee engagement, and contribute to the company’s reputation. By aligning HR policies with company values and strategic goals, organisations can create a sustainable competitive advantage. For example, policies promoting diversity, equity, and inclusion attract a wider talent pool, leading to increased innovation. Likewise, policies focused on employee well-being and work-life balance boost morale, productivity and retention. Comprehensive policies covering all aspects of the employee-employer relationship protect the company from legal challenges and build trust with employees and stakeholders.
Q. How often does your company conduct skill development training or other activities of capacity development?
A. At MAW, enhancing employee capabilities has been a core strategy across all divisions. We have a dedicated training vertical and resources responsible for designing and implementing effective training programmes throughout the year. In line with our Managing Director, Vishnu Kumar Agarwal’s vision, training programmes focus on four key areas: product, process, technical skills and soft skills. Most technical training occurs at our facilities, combining theoretical knowledge with practical experience. We also collaborate with external trainers for specialised programmes based on our needs. Additionally, employees have opportunities to attend external training programmes. We are working towards establishing the MAW Training Academy as envisioned by our Managing Director.
Q. What gaps have you identified in employers’ efforts to create an enabling workplace environment and in employees’ ability to deliver effective results?
A. Creating an enabling workplace for effective results requires addressing gaps on both the employer and employee side. Employer gaps include unclear vision and goals, poor communication, insufficient training, inadequate tools, toxic work culture, and lack of recognition and rewards. Employee gaps include skill deficiencies, low engagement, lack of accountability, poor communication, and resistance to change. To bridge these gaps, employers should improve communication, provide training, foster a positive culture, and implement fair recognition systems. Employees should focus on continuous learning, taking ownership, effective time management, openness to feedback, and adaptability to change. Collaborative efforts can create a supportive environment that enhances performance and productivity.
Q. Why hasn’t human resource management been prioritised in Nepal, despite its importance for the future of organisations?
A. In Nepal, prioritising human resource management (HRM) as a strategic function faces several challenges. These include traditional management practices, limited awareness of HRM’s strategic value, insufficient investment in human resource development, a shortage of skilled HR professionals, and economic and political instability. Cultural factors and a complex regulatory environment further hinder HRM advancement. Consequently, HR departments are often viewed as administrative rather than strategic partners. To elevate HRM’s importance, organisations must invest in HR education and development, raise awareness of its strategic value, adopt modern HR technologies, promote cultural change, and advocate for supportive government policies. Addressing these challenges will enable Nepali organisations to recognise and leverage HRM as a key driver of long-term success.
Q. What unique selling proposition has been instrumental in driving your company’s continuous progress?
A. Building trust through service is ingrained in MAW’s DNA, and exceptional customer service is our key differentiator. We provide a seamless and personalised buying experience, from initial inquiry to post-purchase support. Our focus on Customer Lifecycle Management revolves around attracting and retaining customers. We offer a comprehensive range of products, including two-wheelers, passenger cars, commercial vehicles, and earthmovers, while providing nationwide after-sales service.
Q. How does the MAW Group of Companies ensure that key results are aligned with key performance indicators (KPIs)?
A. MAW is renowned for its robust performance management system. While this is well-known, I will provide a detailed explanation for newcomers and early-career employees.
Goal setting is the foundation. Clear, strategic objectives are established and broken down into specific, measurable key results (KPIs) aligned with the company’s vision, mission and values. This ensures everyone contributes to broader organisational goals. Setting SMART (Specific, Measurable, Achievable, Realistic, Time-bound) objectives creates a clear roadmap for success and initiates the performance management process.
Periodic reviews monitor progress towards key results and KPIs. These regular reviews, such as weekly, monthly, or quarterly, analyse performance data to identify trends, successes, and areas for improvement. This data-driven approach informs decisions and corrective actions, maintaining focus, momentum, and accountability.
Developmental discussions are crucial for providing feedback and fostering growth. These conversations review progress, discuss challenges, and refine strategies to enhance performance. Constructive feedback focuses on strengths and development areas, helping employees understand their contributions, identify skill gaps, and create personalised development plans. This promotes a culture of learning and growth.
The annual appraisal comprehensively evaluates an employee’s performance, assessing key result and KPI achievement. It summarises contributions, successes, and areas for improvement, offering a structured opportunity for reflection, recognition, and future planning. The appraisal determines annual increments and promotions, linking performance to rewards and career advancement. This maintains motivation, engagement, and continuous development while ensuring accountability and alignment with organisational goals. It identifies top performers and addresses performance issues, setting new objectives for the upcoming year.
Q. How does your company manage succession planning across various departments, given the high turnover of senior management staff?
A. Succession planning is a strategic process ensuring smooth transitions when key leadership roles become vacant. It involves identifying and developing internal candidates to fill crucial positions, maintaining organisational stability and continuity.
We have created a pool of internal candidates prepared or being groomed for senior leadership roles, ensuring seamless transitions. Additionally, we maintain a pool of employees in junior roles for flexible coverage of vacant or new positions, supporting operational continuity. Combined with a well-defined succession plan outlining development paths for potential managers and leaders, and including contingency plans for external hiring, this approach prepares us for high turnover in senior management. This integrated approach maintains stability, minimises disruption, and supports the company’s long-term strategic goals by ensuring capable leaders are ready for critical roles.
Q. What key factors contribute to a company’s readiness to adopt technology-based and future-focused interactive learning practices?
A. Several key factors influence a company’s readiness to adopt technology-based, future-focused interactive learning practices. Strong leadership support is essential, with top management championing technology integration and setting a clear vision. An organisational culture embracing innovation and change facilitates adoption. Adequate technological infrastructure and investment in cutting-edge tools are necessary. Effective employee training, including initial instruction and ongoing support, is crucial. A structured change management process with clear communication and feedback helps manage the transition smoothly. Aligning technology adoption with the company’s strategic goals and tailoring it to specific needs is important. Continuous improvement through regular evaluation and adaptation ensures learning practices remain relevant and effective. Addressing these factors builds the readiness needed for successful integration of advanced learning technologies.
Q. How important are team building, horizontal and vertical discussions in the team?
A. Team building is crucial for strengthening relationships, enhancing trust and improving collaboration among team members. Through team-building activities, team members gain a better understanding of each other’s strengths, weaknesses, and working styles, fostering unity, shared purpose, and effective cooperation.
Horizontal discussions among team members at the same level facilitate collaboration and information sharing. These discussions encourage idea exchange, knowledge sharing and collective problem-solving. They promote a democratic and inclusive work environment where everyone’s input is valued, leading to innovative solutions and a stronger team dynamic.
Vertical discussions between different organisational levels are equally important for clear communication between senior management and lower-level employees. These discussions align team goals with organisational objectives, provide clarity on expectations, and offer a platform for feedback. They enable effective leadership by allowing leaders to understand team challenges and make informed decisions.
In summary, team building, horizontal, and vertical discussions enhance team cohesion, foster effective communication, and contribute to organisational success. Together, they create a collaborative, transparent, and efficient working environment.
Q. How effective are work culture and ethics in companies, and what responsibilities do employers and leaders have to create prudent and noble institutions?
A. A positive work culture and strong work ethics are essential for a company’s success and reputation. Collaboration, innovation and belonging thrive in positive cultures, while strong ethics ensure honesty, accountability, and respect. Leaders must model integrity, honesty, and transparency to set ethical standards. Promoting respect, inclusion, and work-life balance fosters a supportive environment. Clear policies, performance expectations, and professional development opportunities guide employees. Open communication, recognition, and fair treatment build trust. By fulfilling these obligations, leaders create a thriving institution with high employee satisfaction, improved performance, and a strong reputation.
Q. Have you encountered any unique practices in managing people and delivering results? Could you briefly share them with us?
A. Managing people and delivering results are essential for a productive and motivated workforce. Agile management empowers teams through flexibility and responsiveness. Employee empowerment and autonomy, fostered by decentralised decision-making and creative freedom, encourage responsibility and innovation. A people-first culture emphasises continuous learning and development through training and mentorship, aligning with the philosophy that caring for employees leads to business success.
Data-driven decision-making, utilising analytics and feedback, enhances efficiency and effectiveness. Prioritising employee well-being and work-life balance, through wellness programmes and flexible work arrangements, promotes overall productivity. Recognition, rewards, diversity, and inclusion create a richer, more innovative workplace. Technology integration improves efficiency and allows focus on strategic tasks. Transparent communication builds trust and aligns with company goals. Ultimately, success begins and ends with people. Approachability, active listening, inclusion, empathy, trust, and respect are key principles. While results are important, a soft approach towards people is essential.
