HUMAN RESOURCE MANAGEMENT ASSIGNMENT

COMPENSATION AND CONFLICT MANAGEMENT

Submitted by,
Rajalakshmi.K,
MBA-DA
(19401006)
COMPENSATION:
• Compensation is the results or rewards that the employees receive in return
for their work.
• Compensation includes payments like bonuses, profit sharing, overtime
pay, recognition rewards and sales commission, etc.
• Compensation can also include non-monetary perks like a company-paid
car, company-paid housing and stock opportunities. Compensation is a vital
part of human resource management, which helps in encouraging the
employees and improving organizational effectiveness. From a manager's
point of view, the compensation package offered to a company's employees
is essential not only because it costs money, but because it is likely to be the
primary reason the employees work for the firm.
• Compensation packages with good pay and advantages can help attract and
retain the best employees. A quick survey of employees about
compensation is likely to expose an expectation that wages are fair and
cover basic living expenses, keep up with inflation, leave some money for
savings (perhaps for retirement) and leisure, increment over time.
• A company's compensation scheme also informs a great deal about the
firm's values and cultures. Employees often look at what a company pays
rather than what it says. In many aspects, people behave as they are
rewarded.
• A compensation scheme projects what the company expects of its
employees. For example, if quality is an essential value, then it should be
implemented through some element of the total compensation system.

Objectives of Compensation Policy:

The objectives of compensation policy are as follows −
• Allure suitable staff.
• Keep qualified personnel.
• Develop reward structures that are equitable with logical and fair pay
relationships between differently valued jobs.
• Manage pay structures to mirror inflationary effects.
• Assure that rewards and salary costs handle changes in market rates or
organizational change.
 • Appraise performance, duty, and loyalty, and provide for progression.
• Abide with legal requirements.
• Maintain compensation levels and differentials under review and control
salary or wage costs.
Clearly, managing a firm's compensation policy is a complex task as it facilitates
systematically administered and equitable salaries, reconciles employees' career
aspirations with respect to earnings, aligns employees' personal objectives with
those of the organization, and keeps the firm's costs under control.
To summarize, compensation management is a synchronized practice that
includes balancing the work-employee relation by facilitating monetary and non-
monetary benefits for employees.

Importance of Compensation Management:

A good compensation is a must for every business organization, as it gives an
employee a reason to stick to the company.
An organization gains from a structured compensation management in the
following ways −
• It tries to give proper refund to the employees for their contributions to the
organization.
• It discovers a positive control on the efficiency of employees and motivates
them to perform better and achieve the specific standards.
• It creates a base for happiness and satisfaction of the workforce that limits
the labor turnover and confers a stable organization.
• It enhances the job evaluation process, which in return helps in setting up
more realistic and achievable standards.
• It is designed to abide with the various labor acts and thus does not result in
conflicts between the employee union and the management. This creates a
peaceful relationship between the employer and the employees.
• It excites an environment of morale, efficiency and cooperation among the
workers and ensures satisfaction to the workers.
In short, we can say that compensation management is required as it encourages
the employees to perform better and show their excellence as well as provides
growth and development options to the deserving employees.
Types of Compensations
We have learnt about what compensation and its importance is. However, when it
comes to an organization, be it private or public, compensations are further
divided into the following −

Direct Compensation:
It is naturally made up of salary payments and health benefits. The creation of
salary ranges and pay scales for different positions within an organization are the
central responsibility of compensation management staff.
Direct compensation that is in line with the industry standards facilitates
employees with the assurance that they are getting paid fairly. This helps the
employer not to worry about the costly loss of trained staff to a competitor .

Indirect Compensation:
It focuses on the personal encouragements of each individual to work. Although
salary is essential, people are most productive in jobs where they share the
company's values and priorities.
These benefits can include things like free staff development courses, subsidized
day care, the chances for promotion or transfer within the company, public
recognition, the ability to effect change or bring some changes in the workplace,
and service to others.
These are the two types of compensation that need to be managed and have its
own contribution in the development of the organization. Moving forward, we
will see the different components of compensation.

Components of Compensation:
Compensation as a whole is made up of different components that work as an aid
for an employee after retirement or in case of some accident or injury. Now we
shall see the key elements or components that make compensation.

Wages and Salary:

Wages mark hourly rates of pay, and salary marks the monthly rate of pay of an
employee. It is irrelevant of the number of hours put in by an employee working
in the firm. These are subject to annual increase.
Allowances:
Allowances can be defined as the amount of something that is allowed, especially
within a set of rules and regulations or for a specified purpose. Various
allowances are paid in addition to basic pay.
Some of these allowances are as follows −
• Dearness Allowance − This allowance is given to protect real income of an
employee against price rise. Dearness allowance (DA) is paid as a
percentage of basic pay.
• House Rent Allowance − Companies who do not provide living
accommodation to their employees pay house rent allowance (HRA) to
employees. This allowance is calculated as a percentage of salary.
• City Compensatory Allowance − This allowance is paid basically to
employees in metros and other big cities where cost of living is
comparatively more. City compensatory allowance (CCA) is normally a
fixed amount per month, like 30 per cent of basic pay in case of
government employees.
• Transport Allowance/Conveyance Allowance − Some companies pay
transport allowance (TA) that accommodates travel from the employee’s
house to the office. A fixed amount is paid every month to cover a part of
traveling expenses.

Incentives and Performance Based Pay:

Incentive compensation is performance-related remuneration paid with a view to
encourage employees to work hard and do better.
Both individual incentives and group incentives are applicable in most cases.
Bonus, gain-sharing, commissions on sales are some examples of incentive
compensation.

Fringe Benefits/Perquisites:
Fringe benefits include employee benefits like medical care,
hospitalization, accident relief, health and group insurance, canteen,
uniform, recreation and the likes.
In recent years, a great deal of attention has been directed to the
development of compensation systems that go beyond just money. We
can say that all the components of compensation management play a
very important role in the life of an employee.
In particular, there has been a marked increase in the use of pay-for-
performance for management and professional employees, especially
for executive management and senior managers. Compensation is a
primary motivation for most employees.

1.CHEVRON CORPORATION:
Chevron Corporation is an American multinational energy corporation.
One of the successor companies of Standard Oil, it is headquartered
in San Ramon, California, and active in more than 180 countries.
Chevron is engaged in every aspect of the oil, natural gas,
and geothermal energy industries and, including hydrocarbon
exploration and production; refining, marketing and transport;
chemicals manufacturing and sales; and power generation. Chevron is
one of the world's largest oil companies; as of 2019, it ranked eleventh
in the Fortune 500 list of the top US closely held and public
corporations and 28th on the Fortune Global 500 list of the top 500
corporations worldwide. It was also one of the Seven Sisters that
dominated the global petroleum industry from the mid-1940s to the
1970s. Chevron is incorporated in California.
Chevron's downstream operations manufacture and sell products such as
fuels, lubricants, additives and petrochemicals. The company's most
significant areas of operations are the west coast of North America, the
U.S. Gulf Coast, Southeast Asia, South Korea and Australia. In 2018,
the company produced an average of 791,000 barrels of net oil-
equivalent per day in United States.
COMPENSATION IN CHEVRON:
HEALTH:
Medical Plans:
• All plans provide coverage for medical services, prescription drugs and basic
vision care.
• Choose from a preferred provider organization plan or health maintenance
organization plan coverage options in most locations.
• High deductible health plan options also available. Contribute to a health
savings account (HSA) through payroll deductions. The company may also
contribute to the HSA.
• Coverage for preventive care – such as physical exams, well-child care and
immunizations – is included with all plans.
• A health decision support program can help you and your eligible dependents
get personalized, expert second medical opinions from leading medical specialists
when you have questions about a diagnosis, treatment or procedure.
• The company shares the monthly premium cost for this coverage.
Dental Plans
• All plans provide coverage for preventive, basic and major dental care.
• Choose from a preferred provider organization plan or health maintenance
organization plan coverage options in most locations.
• The company shares the monthly premium cost for this coverage.
Vision Plans
• All medical plans automatically provide coverage for basic vision care.
• For an additional payroll deduction, choose the Vision Plus Program, for
optional prescription eyewear coverage that goes beyond basic vision coverage.
Mental Health and Substance Abuse
• This coverage provides access to counselors and treatment facilities for a range
of personal issues.
• You’re automatically covered as an employee. Your dependents are also covered
if enrolled in a Chevron medical plan.
• The company pays the full monthly premium cost for this coverage.
Wellness Programs
• Health and wellness resources help you and your family maintain a healthy
lifestyle.
• Health and fitness centers at many major locations (some are open to families)
and a variety of health-oriented programs. In locations without health and fitness
centers, discounts may be offered at local fitness centers.
Other Health Benefits
• Flexible spending account for health care expenses on a before-tax basis.
• Group Critical Illness Insurance, a voluntary benefit, pays you a lump-sum cash
benefit when you or a covered dependent are diagnosed with a covered illness.
You can use the cash help with doctor bills, hospital stays and even some everyday
living expenses.
• Group Hospital Indemnity Insurance, a voluntary benefit, enhances your current
medical and disability coverage by helping with out-of-pocket costs associated
with a covered hospital stay.
Retiree Health Benefits
• Under current plan provisions, you may be eligible for retiree health benefits if
you meet certain age and service requirements when your employment ends.
Chevron currently shares the cost of this coverage with retirees.

WEALTH:
Base Pay
• Base pay is targeted to be competitive with other major employers in the
marketplace seeking high-caliber talent.
• Performance is reviewed annually with merit increases granted as appropriate.
• Pay for some positions is a fixed hourly rate or may be subject to union contracts
with wage rates negotiated at predetermined intervals.
Annual Incentive Program
• Annual incentive program rewards eligible employees for meeting key financial,
operating and safety goals.
• Target payout percentage can range from 7 to 25 percent in addition to your base
pay.

ILLNESS,INJURY AND DISABILITY

• Company-paid short-term disability/sick pay coverage is provided.
• Company-paid basic long-term disability coverage is provided. You can purchase
additional optional long-term disability coverage through payroll deductions.
• Long-Term Care Insurance is available through payroll deductions.
Retirement Plan
• Provides a defined benefit at retirement or when employment ends. Typically
vests after five years of service. Fully paid by the company.
• The benefit is based on the plan rules and formula. You accrue more benefits as
your years of service, salary and age increase.
• Receive a distribution of the benefit at any age after employment ends, if vested.
Elect different forms of payment, such as a single lump sum or various annuity
options.
Retirement Savings (401(k) Plan)
• Provides a way to save for retirement. Enroll at any time.
• Both you and the company contribute to this plan. Receive a company match of 4
percent when you contribute 1 percent of pay. Receive an 8 percent match when
you contribute at least 2 percent.
• 100 percent immediate vesting in both your contributions and the company’s
matching contributions.
• Contribute from 1 to 75 percent of pay with before-tax, after-tax or Roth 401(k)
contribution options, subject to IRS limits.
• Decide how to invest by choosing from fund options and a brokerage option that
provide access to thousands of mutual funds and exchange-traded funds (ETFs).
• Roll over money into the plan from a previous employer’s qualified retirement
plan or from an individual retirement account (IRA).
• Your account balance is portable. Take it with you or leave it in the plan if you
leave the company.
• Financial and retirement planning tools available to all plan participants.

Life, Accident and Home

• Company-paid life and accident insurance coverage: – Basic Life Insurance
coverage at two times pay. – On-the-Job Accident Insurance at one times pay, up
to a maximum of $1 million. – Business Travel Accident Insurance coverage at
three times pay, up to a maximum of $1 million.
• Option to purchase additional life and accident insurance coverage for you and
your family. Supplemental life insurance includes a will preparation benefit.
• Group Auto and Home Insurance coverage available through payroll deductions.
Home Insurance coverage includes identity theft insurance.

LIFE:
Time Off
• From two to six weeks of paid vacation each year, depending on length of service
with the company. Experienced hires may be eligible for enhanced vacation time.
• 10 paid holidays are scheduled each year and vary based on location, work
schedule and local custom.
• Paid and unpaid leaves of absence.
• A Bonding Benefit provides up to eight weeks of paid time off for mothers and
fathers to bond with their child within one year of the birth, adoption or placement
for adoption or foster care.
• Family Care provides up to one week of paid time off per year to care for an ill or
injured family member.
Life Balance
• Flexible schedules, such as flex time, part- time hours and compressed
workweeks may be available.
• Flexible spending account for dependent day care expenses on a before-tax basis.
• Reimbursement of reasonable expenses for the care of dependents when you
travel for work.
• Up to $5,000 in reimbursement for eligible adoption-related expenses.
• Child care resources.

• College scholarship program for dependents.

CAREER
Career Development and Training
• Internal job posting system alerts you of positions that could fit your career path.
• Extensive curriculum of company sponsored safety training, technical, business
and leadership courses.
• On-the-job training and a support network provided to all new employees.
• Tuition reimbursement of up to 75 percent for approved educational courses.
• Mentoring programs, professional development opportunities and rotational
assignments may be available.
• Employee networks that foster diversity and inclusion across Chevron.
Individual and Team Achievement
• Corporate Recognition and Awards program encourages and recognizes superb
efforts and achievements by individuals and teams by giving cash and noncash
awards ranging from $25 to $6,000.
• Chairman’s Awards recognize exceptional performance that has enabled the
company to meet extraordinary challenges. Cash awards typically range from
$7,500 to $15,000.
2.APPLE INC
Apple Inc. is an American multinational technology company headquartered
in Cupertino, California, that designs, develops, and sells consumer
electronics, computer software, and online services. It is considered one of the Big
Four technology companies, alongside Amazon, Google, and Microsoft.
The company's hardware products include the iPhone smartphone , the iPad tablet
computer, the Mac personal computer, the iPod portable media player, the Apple
Watch smartwatch, the Apple TV digital media player, the AirPods wireless
earbuds and the HomePod smart speaker. Apple's software includes
the macOS, iOS, iPadOS, watchOS, and tvOS operating systems, the iTunes media
player, the Safari web browser, the Shazam acoustic fingerprint utility, and
the iLife and iWork creativity and productivity suites, as well as professional
applications like Final Cut Pro, Logic Pro, and Xcode. Its online services include
the iTunes Store, the iOS App Store, Mac App Store, Apple Music, Apple
TV+, iMessage, and iCloud. Other services include Apple Store, Genius
Bar, AppleCare, Apple Pay, Apple Pay Cash, and Apple Card.
Employee Compensation
• Employee discounts up to 25% off on Apple gadgets including iPad, laptop,
and iPod.

• Maternity leave is 18 weeks with full salary. Six more unpaid weeks, if
needed.
 • Parental leave consists of 6 paid weeks.

• The company offers a 50% 401 (k) match up to 6% of your salary.

• A comprehensive medical plan with low copays and low premiums. Health
care insurance includes Dental and Vision.

• You can get commuter benefits. The company reimburses up to $100 per
month.
• Paid time off includes 12 to 22 days off, depending on your years of service.

Besides these benefits, Apple also has excellent commuting options. The
company makes it easy for employees to commute to work. The company has a
shuttle service that runs to and from its Cupertino headquarters to parts of the
Bay area.
Unlike some of the other big-name tech firms, Apple doesn’t give employees
free food. But there are several subsidized cafes that offer high-quality dining at
a fraction of the regular price.
Employees can pay for food at the cafes through a payroll deduction plan,
getting a tax break and saving some money. Some reports indicate that engineers
get free dinners. One of the more quirky and fun perks is that employees can
snack on apples for free.
Apple encourages employees to contribute to charities via its philanthropy
program. It also matches up to $25 per hour for the time that employees spend
doing non-profit work, up to $10,000 per staff member.
You can also enjoy discounts on gym and fitness centers. Apple offers a gym
credit through its wellness program. The fitness reimbursement is reportedly
$300 for all employees.

STUDENT LOAN
Student loan repayment assistance is a relatively new benefit that many
companies are offering their employees. This helps the more than 43 million
people who are working to pay down their student debt. Apple has jumped on
this trend by offering a student loan refinancing program.
Apple also provides tuition reimbursement. The company covers up to $5,250 in
tuition expenses per year as long as the employee maintains a certain grade point
average. The contribution is tax-free.
Student loans are a massive financial burden for Americans who are sitting on a
collective debt of $1.5 trillion.

To pay off the loan, fresh graduates prefer an employer that provides student
loan assistance. It has become one of the most sought-after benefits for job
seekers. Employers also consider it their top priority to add student loan
assistance programs to their benefits package.
The best way to offer the benefit is through FutureFuel. The platform offers
employees an efficient way to manage their student loans through fully
encrypted personal accounts. Employers can also have their own accounts from
where they can contribute to their employees’ debts.

CHANGE FOR DIFFERENT JOBS

Apple claims that its benefit programs vary by country. Like most companies,
Apple offers medical and dental coverage for full-time employees. It also
partners with programs such as free therapy services, which can help employees
who are struggling or experiencing hardship.
Most other benefits are offered across the board for Apple employees, including
those that work at home through the At Home Advisor program. However, some
of the perks are limited to the employees who work at the Apple campus in
California.
Apple’s headquarters are known for offering their employees great food and
other entertaining perks. The company holds beer bashes every month or so,
inviting its employees to relax, mingle and enjoy free beer and appetizers. Big-
name musical guests, such as Maroon 5 and One Republic, have made
appearances at these gatherings. If you work at or near the headquarters, you can
take part in these festivities.
The company also offers stock grants to all employees. Staff members can share
in the company’s success with discounts on Apple stock purchases.
People who work at the Apple store can be trained on apps such as Final Cut.
They can use that training to help customers and hold demos.

PACKAGES OVERTIME:
The major tech companies are known for their exemplary employee perks. Apple
is no different. The company needs to stay competitive to attract talent.
However, for decades, Steve Jobs avoided offering similar perks as competitors
such as Google. Some reports claim that Jobs wanted his employees to
understand the value and maintain a mature working environment. For that
reason, Apple has never offered free meals to all employees.
But when Tim Cook took over as CEO in 2011, he wanted to make the company
more employee-friendly.
In 2014, Apple overhauled the employee benefits packages significantly and
offering:
• Expanded educational aid, which is available to all employees and applies to

courses that are related to any position at Apple, including language classes
• Student loan refinancing for U.S. employees, which covers past and future

expenses
• Enhanced donation matching, which applies to Apple employees across the

globe
 • Longer parental leave for full-time employees

3.EBAY INC.

HEALTH & WELLNESS BENEFITS

Whether you’re single, in a growing family, or nearing retirement, eBay offers a
variety of comprehensive and competitive benefit programs to meet your needs.
Benefits are an important part of your total compensation for the work you do
every day.
They strive to offer programs that help support both mind and body, including
quality healthcare insurance and wellness programs, plans to help ensure your
financial security today and in the years ahead, and time off programs so you can
recharge.

FINANCIAL BENEFITS
They provide a variety of plans to help ensure your financial security today and in
the years ahead because they know feeling financially secure during your working
years and through retirement is important.

• Stock Purchase Plans

• Retirement Savings and Pension Plans
• Stock Awards
• Life Insurance and Disability Benefits
• Credit Union Memberships

BALANCING WORK & LIFE

They offer many programs such as paid holidays and PTO, sabbaticals, and
flextime to support mind and body.
eBay Impact Programs
Their employees around the globe strive to have a positive impact on their
customers, communities and planet, both through the work they do every day, and
their various community engagement programs.
Here are some ways their employees are improving the communities they call
home:

• Impact Teams
• Skills-Based Volunteering
• Matching Gifts

CONFLICT MANAGEMENT
Conflict management is the process of limiting the negative aspects
of conflict while increasing the positive aspects of conflict. The aim of conflict
management is to enhance learning and group outcomes, including effectiveness or
performance in an organizational setting. Properly managed conflict can improve
group outcomes.

5 CONFLICT RESOLUTION STEPS FOR HR

Conflict resolution is the elimination of the conflict by arriving at a mutually
beneficial outcome. Here are 5 conflict resolution practices for HR to incorporate:

1. Emphasize Clarity and Consistency in Policies and Procedures. “Make

the rationale for decisions transparent.” Sanchez explained. Ensure that the
company leaders share the thinking behind the company’s approaches and
decisions. This minimizes potential conflict that may arise from policy
changes, for example, but also is important when implementing existing
policies in a fair manner.
2. Ensure Accountability for Conflict Resolution. Ensure all employees –
not just managers or HR – are accountable for resolving conflict. Managers
don’t have to take care of every issue. The employees involved need to be
part of the solution. HR and/or managers should mediate, however.
3. Don’t Ignore the Conflict. While there are some cases where short-term
avoidance is part of the long-term solution (especially for minor issues), in
general, avoiding conflict won’t fix anything. It is especially important to
not avoid dealing with conflict when it could escalate to violence.
4. Seek to Understand. There are underlying emotions in conflict, and HR and
managers need to understand what is going on at the root of the problem.
5. Recognize Different Circumstances. Different circumstances and different
approaches to conflict can make a huge difference, and sometimes simply
 recognizing what is going on is the first step towards resolution. It can also
be a great way to learn about one another.

1.APPLE INC
Apple Inc. is an American multinational technology company headquartered
in Cupertino, California, that designs, develops, and sells consumer
electronics, computer software, and online services. It is considered one of the Big
Four technology companies, alongside Amazon, Google, and Microsoft.
The company's hardware products include the iPhone smartphone , the iPad tablet
computer, the Mac personal computer, the iPod portable media player, the Apple
Watch smartwatch, the Apple TV digital media player, the AirPods wireless
earbuds and the HomePod smart speaker. Apple's software includes
the macOS, iOS, iPadOS, watchOS, and tvOS operating systems, the iTunes media
player, the Safari web browser, the Shazam acoustic fingerprint utility, and
the iLife and iWork creativity and productivity suites, as well as professional
applications like Final Cut Pro, Logic Pro, and Xcode. Its online services include
the iTunes Store, the iOS App Store, Mac App Store, Apple Music, Apple
TV+, iMessage, and iCloud. Other services include Apple Store, Genius
Bar, AppleCare, Apple Pay, Apple Pay Cash, and Apple Card.

Conflict management in Apple Company

Formula to solve employee conflicts:
Straight of Apple’s “Genius Training Student Workbook” is the “Feel, Felt,
Found” method. With target customers as wide and varied as Fortune 500
companies, public schools, and your tech-adverse great-aunt, Apple has nailed
down a conflict resolution method that can translate across a myriad forms of
situations.

The standard method of the “Feel, Felt, Found” is comprised of three phases:

1. Empathize

Employees want to know they’ve been heard. They want managers to understand
their duress or hesitation. Begin by telling them “I understand how you feel”. Start
with recognizing their emotion (“I can see why you all are hesitant in adopting the
policy”), then link the emotion to their current issue (“It does take a bit more time
to clear security; I felt similarly”), and then end it with how what you gained from
it (“Though I found that because of the new system, we have a more secured
workplace”). The word “empathy” is used so frequently in the manual, it’s nearly
mind numbing. But because they use it incredibly often, one can see empathy is the
gateway to resolving conflict.

2. Demonstrate

Tell them about someone else having similar emotions. If you have history in other
company policy changes, bring up how people also felt hesitant, frustrated, or
angry. This tells employees that they are not alone in facing a new change. Nearly
every change in a company takes an adjustment period. By demonstrating a similar
situation, you are building a bridge between their current emotional state to the
place you’re hoping to guide them towards.

3. Clarify

Finish by telling them what the other person found after they integrated into the
new program or bought the product. Employees are looking for the payoff in the
action, policy, etc. By creating a storytelling arc, you are drawing parallels about
what positive outcome they can expect.

2.ICICI BANK
ICICI Bank Limited is an Indian multinational banking and financial
services company headquartered in Mumbai, Maharashtra with its registered office
in Vadodara, Gujarat. As of 2018, ICICI Bank is the second largest bank in India
in terms of assets and market capitalization. It offers a wide range of banking
products and financial services for corporate and retail customers through a variety
of delivery channels and specialised subsidiaries in the areas of investment
banking, life, non-life insurance, venture capital and asset management. The bank
has a network of 5,275 branches and 15,589 ATMs across India and has a presence
in 17 countries including India.

Conflict of Interest and Outside Activities

Conflicts Of Interest – General Principles

• Conflicts of interest can occur if our business practices sacrifice interests of

one set of customers in favour of another or place business interests ahead of
customers.
 • To address such situations, the Bank has adopted a Framework for
Managing Conflict of Interest which articulates several measures taken by
the Bank in ensuring that conflicts of interest are handled in an appropriate
manner, at the individual employee level, at the level of Board of Directors
and at the Group level.
• If you are aware of any circumstances which you think may give rise to a
conflict of any kind, or if you become aware of information which places
you in difficulty in carrying out your function (for example, if you obtain
confidential information about a company), you must handle the same as per
the conflict of interest framework applicable to your Company.
• As part of its management of conflict of interest, the Bank has put in place a
process approved by its Product and Process Approval Committee viz., the
“Operational Framework for Chinese Wall” for ensuring that confidential
information is appropriately secured and decisions and service to clients are
independent of such confidential information. There are information barriers
between departments that routinely have access to confidential / non - public
Information ("Insider Areas") from those who do not have such access
("Public Areas"). As a general principle, “Insider areas” should refrain from
sharing any information with anybody in the “Public Areas”. However, in
case the need is felt, the procedure for crossing the wall including obtaining
prescribed approvals needs to be followed.
• You would be expected to be sensitive to any activities, interests or
relationships that might interfere with or even appear to interfere with, your
ability to act in the best interests of ICICI Group and its customers.
• You must abide by specific “Dos and Don’ts” issued by business group you
are part of, or those issued by other groups such as Compliance Group,
Financial Crime Prevention Group or Human Resource Management Group.
• You must disclose to the HR of your company, annually, a statement that
you have no material interest or any other conflicting interests, in any person
who is a party to a material contract or proposed contract with ICICI Group
• In case of any doubt in regard to the extent of disclosure applicable, kindly
contact the HR department.

Examples of situations that could involve conflicts of interest include:

• Selling a product that is profitable for the Group but not appropriate for the
customer;
 • Ownership, by employees or their family members, of a significant interest
in any outside enterprise, which does or seeks to do business with or is a
competitor;
• Acting as a broker, finder, go-between or otherwise for the benefit of a third
party in transactions involving or potentially involving the Group or its
interests;
• Working, in any capacity, for a competitor, customer, supplier or other third
party while employed by ICICI Group;
• Competing with ICICI Group for the purchase or sale of property, products,
services or other interests;
• Having an interest in a transaction involving the Bank, a competitor,
customer or supplier (other than as an employee, officer or director of the
Bank and not including routine investments in publicly traded companies);
• Receiving a loan or guarantee of an obligation as a result of your position
with the Bank;
• Directing business to a supplier owned or managed by, or which employs, a
relative or friend.

Conflicts of interest arising out of personal Investments

While undertaking personal investments, it should be borne in mind that such

investments should not:

• Affect or appear to affect your ability to make unbiased business decisions

for ICICI Group;
• Be contrary to ICICI Group's interests (e.g. using proprietary knowledge
obtained through the course of employment to make investments that are not
in the best interest of the ICICI Group);
• Be in the businesses of ICICI Group’s customers, suppliers, or competitors
that could cause divided loyalty, or even the appearance of divided loyalty.

Please refer to the section on personal investments for further guidelines in relation
to adherence to the ICICI Bank code of conduct to regulate, monitor and report
trades in securities by directors, employees & connected persons (Insider Trading
Code).

Conflicts of interest through outside business activities

 • Due to potential conflicts with ICICI Group, you must obtain approval from
Committee of Directors (or an appropriate internal committee in case of
other entities in ICICI Group) before you accept a position as a director of
an unaffiliated for-profit company or organization or when you work with a
professional organisation association outside ICICI Group.

Working with professional organisations associations does not typically create a

conflict of interest where :

• The work is related to the legitimate professional interest and development

of the employee and does not interfere with the employee’s regular duties;
• Does not use official resources inappropriately (either physical resources or
time);
• Does not compete with the work of ICICI Group and is not otherwise
contrary to the best interests of the Group;
• Does not violate national, international or local law.
• It may however be mentioned that, while undertaking outside activities, you
should not use ICICI Group name, facilities, or relationships for personal
benefit. Further any employee accepting an appointment, as director of an
unaffiliated for-profit company/ organization must ensure proper treatment
of confidential information received from such entity in connection with
being a director.

3.IBM
The International Business Machines Corporation (IBM) is an
American multinational technology company headquartered in Armonk, New
York, with operations in over 170 countries. The company began in 1911, founded
in Endicott, New York, as the Computing-Tabulating-Recording Company (CTR)
and was renamed "International Business Machines" in 1924. IBM is incorporated
in New York.
IBM produces and sells computer hardware, middleware and software, and
provides hosting and consulting services in areas ranging from mainframe
computers to nanotechnology. IBM is also a major research organization, holding
the record for most U.S. patents generated by a business (as of 2020) for 27
consecutive years.[6] Inventions by IBM include the automated teller
machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card,
the relational database, the SQL programming language, the UPC barcode,
and dynamic random-access memory (DRAM). The IBM mainframe, exemplified
by the System/360, was the dominant computing platform during the 1960s and
1970s.

Conflicts of Interest
A conflict of interest occurs when you advance a personal interest at the
expense of IBM’s interests. Some conflicts of interest can be avoided through
careful foresight and planning. Others are unavoidable. In some cases, the mere
potential for or perception of a conflict can be problematic. It is up to you to
avoid situations in which your loyalty may become divided. Some common
conflicts are addressed below.

Assisting a Competitor

An obvious conflict of interest is providing assistance to an organization that

markets products and services in competition with IBM’s current or potential
product or service offerings. You may not, without IBM’s consent, work for
such an organization in any capacity, such as an employee, a consultant or as a
member of its board of directors.

Competing against IBM

Also prohibited are individual pursuits that could conflict with IBM’s current
or future business interests. Outside the office, many IBM employees engage in
activities that generally relate to technology, business advice or other products
or services IBM offers its clients. Often, such activities are in sufficient conflict
with IBM’s current or future business interests that they are prohibited. Because
IBM is rapidly expanding into new lines of business and areas of interest, the
company will constantly redraw lines of acceptable activity. It is therefore your
responsibility to consult, in advance and on a periodic basis, with your
management or IBM Counsel to determine whether your planned activity will
compete with any of IBM’s actual or potential businesses.

Supplying IBM

Unless approved in advance by senior management and IBM Counsel, you may
not be a supplier to IBM, represent a supplier to IBM, work for a supplier to
IBM or be a member of its board of directors while you are an employee of
IBM. In addition, you may not accept money or benefits of any kind for any
advice or services you may provide to a supplier in connection with its business
with IBM.

Personal Financial Interests

You may not have a financial interest in any organization if that interest would
create or give the appearance of a conflict of interest with IBM. Such
organizations include suppliers, clients, competitors, IBM Business Partners,
alliance companies and others with which IBM does business. In all cases, a
financial interest is improper if your job, the amount of your investment, or the
particular organization in which you invested could— when viewed objectively
by another person—influence your actions as an IBM employee.

If you have any involvement—direct or indirect—in deciding whether IBM

does business with an organization, you should not obtain or maintain a
financial interest in that organization. Additionally, you must not accept or buy
stock options or other securities in any situation where there is a question that
the offer was motivated in whole or in part by your IBM employment, or if the
investment otherwise violates IBM policies, directives, and guidelines.

Family and Close Relations Working in the Industry

• Close ties to others working in the industry—spouses, immediate

relatives, close friends and the like—present special security, regulatory
and confidentiality concerns.
• You may find yourself in a situation where someone you are close to—
such as a member of your family, spouse or domestic partner—is a
competitor or supplier of IBM, or is employed by one. While everyone is
entitled to choose and pursue a career, such situations call for extra
sensitivity to security, confidentiality and conflicts of interest. The
closeness of the relationship might lead you to inadvertently compromise
IBM’s interests.
• If you have any questions about your situation, you should review it with
your manager. Frequently, any risk to IBM’s interests can be minimized
through periodic reminders regarding security protocol, and careful
attention to avoiding inadvertent disclosure of IBM confidential
information.
• However, in some instances, a change in the job responsibilities of one of
the people involved may be necessary.
 Personal Use of IBM’s Time

Whether or not your personal activity presents a conflict of interest, you

may not conduct non-IBM work or solicit such business on IBM premises or
while working on IBM time, including time you are given with pay to
handle personal matters.

4.ABB GROUP
ABB (ASEA Brown Boveri) is a Swiss-Swedish multinational
corporation headquartered in Zurich, Switzerland, operating mainly
in robotics, power, heavy electrical equipment, and automation technology areas. It
is ranked 341st in the Fortune Global 500 list of 2018 and has been a
global Fortune 500 company for 24 years.[5]
ABB is traded on the SIX Swiss Exchange in Zürich, Nasdaq Stockholm and
the New York Stock Exchange in the United States

We avoid and manage conflicts of interest

Conflicts of interest can arise where personal interests or family and other
allegiances are at odds with the interests of the company. We can avoid conflicts of
interests if we are aware of the challenge and take the necessary action. In general,
we should avoid situations in which personal interests, outside activities, financial
interests, or relationships conflict or appear to conflict with the interests of ABB
and not allow business dealings on behalf of the company to be influenced by
personal considerations or relationships.

The most frequent conflicts of interest arise where an employee is in a position to

award business contracts, hire staff, has access to information that may be of
interest to the financial markets or is offered employment by a competitor. Here
are some examples of potential conflicts of interest.

– Outside employment: participating in a position similar to the job at ABB that

may conflict with the performance of the job at ABB, or working with an actual or
potential competitor, supplier or customer of ABB.

– Family members and close personal relationships: contracting with a business

managed or owned by a family member or unmarried partner.
– Investments: acquiring an interest in property or companies which ABB may
have an interest in purchasing.

– Board memberships: acting as or accepting a position as an officer, consultant or

director of any business or organization involved in the power and automation
technologies industry or involved with ABB (such as a partner, supplier, or
customer).

– Significant ownership interests: owning certain amounts of other companies that

do or seek to do business with ABB or which are competitors. Employees who
think they may be in a “conflict” must inform their line manager or human
resources representative so that the company can determine whether a conflict
exists. They will be advised of the proper actions to take, in line with the rules
issued by ABB Group.

5.DHL
DHL (Dalsey, Hillblom and Lynn) International GmbH is an American and
German courier, parcel, and express mail service which is a division of the
German logistics company Deutsche Post DHL. Deutsche Post DHL is the world's
largest logistics company, now in over 220 countries and territories
worldwide, particularly in sea and air mail. The company delivers over 1.3 billion
parcels per year.
The company was founded in the United States in 1969 and expanded its service
throughout the world by the late 1970s. The company was primarily interested in
offshore and intercontinental deliveries, but the success of FedEx prompted their
own intra-US expansion starting in 1983.
In 1998, Deutsche Post began to acquire shares in DHL. It reached controlling
interest in 2001, and acquired all outstanding shares by December 2002. The
company then absorbed DHL into its Express division, while expanding the use of
the DHL brand to other Deutsche Post divisions, business units, and subsidiaries.
Today, DHL Express shares its DHL brand with business units such as DHL
Global Forwarding and DHL Supply Chain. It gained a foothold in the United
States when it acquired Airborne Express.

Conflicts of Interest
We require all of our employees to maintain high ethical standards in handling
conflicts of interest. They should disclose to a supervisor any relationship with
persons or firms with whom Deutsche Post DHL Group does business, which
might give rise to a conflict of interest. Such relations include a relationship by
blood or marriage, partnership, business partnership or investment.

1)Fair Competition

We are committed to free enterprise and fair competition. Company business must
be conducted solely on the basis of merit and open competition. We will hire
suppliers, agents or other intermediaries only by careful and fair assessment. We
are legally bound to make business decisions in the best interests of the company,
independent of any understanding or agreement with a competitor. Deutsche Post
DHL Group and its employees will avoid any conduct that violates antitrust laws.

2) Bribery and Corruption

We trust that the excellence of our services is the key to our business success.
Therefore we deal with all our customers, suppliers and government agencies in a
transparent manner and in compliance with international anti-corruption standards,
for example those in the United Nations Global Compact as well as applicable anti-
corruption and bribery laws.

3) Gifts and Benefits

Gifts and other benefits are permitted if they are usual business practice and
ethical. None of our employees may solicit gifts or other personal benefits from
customers, suppliers or other business partners. The giving and receiving of gifts
and other benefits is prohibited in particular if they appear to influence upcoming
business decisions or breach a law, regulation or policy.