MAHINDRA & MAHINDRA LTD. | Integrated Annual Report 2021-22

The aforesaid initiative has helped to create global sustained competitiveness and the Technical Ladder that was conceptualised in MRV is a unique way of differentiating technical talent from general management in terms of performancemanagement, talent management and capability building. It puts a high focus on developing deep technical expertise in various systems of product development. The Technical Ladder implementation in Mahindra has been a response to one of the biggest challenges that the Company has been facing in Talent Management. The rst step of technical ladder was achieved by creating unique competencies, which combined In our quest to build a healthy pipeline of technical talent in Product Development and the related associated areas, the Company set up the Mahindra Research Valley (MRV), which serves as a crucible for innovation and technology for the Auto and Farm Divisions of the Company. These were deployed in performance management discussions and capability building initiatives. Specic development goals are now integrated in Learning & Growth Plan (LGP) to facilitate capability building of niche technical skills through right exposure, and action learning projects. The second step of technical ladder was to identify high potential technical talent and develop them into future Technology Leaders through a structured intervention. For the developmental journey, we have tied-up with best in class organizations to support in Tech Leap programme. As a result, today the Tech Ladder framework is successfully catering to more than 2,000 engineers, covering multiple COEs and Project Functions across the Automotive and FarmDivisions. TECHNICAL SKILLS LEADERSHIP BEHAVIOURS CULTURAL NUANCES Performance Management System We have a robust performance management system built to uphold a culture of meritocracy. This new performance management system introduced last year is simple, enhances leadership andmanager accountability, rewards and encourages outperformance and aims at creating a strongmerit-based culture. st st The performance cycle is from 1 April to 31 March with a three step process of Goal Setting, Mid-Year Review and Annual Appraisal. Feedback/development conversations between people managers and direct reports being key at every stage. A key highlight of the new performance system includes the discontinuing of overall appraisal ratings (ES, S+.., etc.). All key decisions (e.g., Promotions, Increments, Rewards, etc.) are based on the individual's Goal Sheet / Performance Score, Scores on Leadership Behaviours (4 point scale) and inputs from the Learning & Growth Plan (LGP) and discussions amongst the talent panels appropriately constituted at different levels. A key tool introduced with the new PMS is the LGP which aims at developing skills for current and future roles, and for career growth. The overall objective of the performance management system is to ensure that there is alignment between an individual's goals and the organization's goals and priorities, thereby enabling conversations at every step of the process and actions towards enhancing accountability and providing a base for a focussed career growth. Lastly, this simple and transparent system aims not just to evaluate and reward performance but also reinforces and drives the three key Mahindra Leadership Behaviours of Collaboration, Agility and Bold - in turn driving the right culture across. MAHINDRA & MAHINDRA LTD. Integrated Annual Report 2021-22 129