On People and Judgements

I am not sure how many of you are following a GE Verteran who has been blogging on some really interesting topics. Yes, I am talking about Raj Gupta who blogs at www.hrsuccessmantra.com

His recent post on Judgements did strike a similar note in my mind and reminds me of an incident which happened on the first week of my post graduation class. Being a shy and relatively slow starter when it comes to blending into a new environment, I was not really seen as someone worth hanging around with. By the end of the week, I was officially declared
( and judged to be ) an introvert by a majority of the class and especially ignored by the women folk (to my dismay.)

However things turned out to be completely the opposite by the end of the first semester - when I was selected to manage a serious portfolio in the rural camp team; when I was elected the President of the training cell; when the HOD had to request me to bring students under control and as an icing on the cake became the Placement Coordinator for the batch! I had managed to garner majority support of my classmates and my overall ratings had gone up substantially as the most eligible bachelor ( by the same women who had branded me as Introvert and Uninteresting!).

I am not writing this to brag about my qualities or my great stint at college - I just wanted to reaffirm Raj's views that quick judgments never do any good to anyone. For anything or anyone to be judged, we need to give it some time - what Raj mentions as "watching the patterns" - and these patterns are nothing but a series of actions that either support or defy our judgments.

Such early judgments affects us all - especially as HR Pros.

Consider an Interview where a candidate comes in late by a few minutes and the initial judgement by the interviewer is on the negative side. However, there would have been some valid and totally substantial reasons for such action by the candidate. The point is not  whether the candidate should be given the chance to explain his act but to ensure that this particular action alone should not lead the interviewer to reach a conclusion ( based on his Judgement) about his/her credibility. ( Remember Recency Effect?)

Kudos to Raj for bringing in such a topic to the table. We are in an age where bias and judgments fill our offices and homes - and these can change our relationship with colleagues and family members forever.

Click on the link to read "Judgments often prove wrong - don't they?"

I also found some interesting feeds on making Judgement Calls, Check these out...

Making Judgement Calls - By The Harvard Business Review

Making Judgement Calls - By BNET

Drucker on the Purpose of Business

Drucker On The Purpose Of Business

View more presentations from Giri.

Core Values of an HR Professional

This is something that has been in my mind for a long time. Do HR professionals need to imbibe any specific Values or principles that other employees need not necessarily have?

Especially in the wake of the recent global crisis, how have these values affected or changed the common HR folk? Is there a need to re-look at these values?

After foraging the internet and a lot of discussions with practicing HR professionals, I could summarize some of the Core Values that every HR pro should uphold. Of course, this is not the exhaustive list - but I found them most relevant.

• Trust Worthy
• Frankness
  
• Objectivity
  
• Empathy
• Sincerity
• Positivity
 

Do feel free to add any Value that I might have missed through the "comments" column given below. Also do check out these interesting reads from some top HR pros


A puppet, a lie and the HR guy

Is Human Resources Fatally Flawed?

 

Will Let You Know

After months of waiting for an interview call, my laid off friend finally landed up for one, with a reputed IT Services company in India - for a position and job profile that seemed to be an exact match for his credentials.

Post an hours discussion with the interviewer which apparently went extremely well they duo also talked about the compensation and the new job profile. The session concluded with the interviewer assuring him that he would receive a final call within the next two days.

Promptly my friendly mailed a Thank You letter within hours of the interview. After waiting for the 2 longest days of his life, he had not heard from the company yet. Worried over the sudden silence, he posted another e mailer to the HR early next day - only get a one line response

"Will let you know"

While one can argue that this might just be a one off response from an insensitive HR guy or more seriously a reflection of the attitude that certain HR folks carry against those laid off . Whatever the case, it is indeed a sad state of affairs considering the great bloodshed that's taking place in the job market today.

It might be apt for HR folks fortunate to be on duty to observe that research studies ( by DDI ) have clearly shown that candidates who have had a bad ( or cold) interview experience could easily put off other potentials and impact your company image as a preferred employer. Its a typical case when the interviewer fails the interview!

Read the DDI report here on " Are You Failing the Interview?"

Would be great to know readers experience as well!

Giving Laid Off a Bad Name

In a recent conference call with HR Folks in a company - a unanimous decision was taken not to hire Laid Off Employees from the market - The general opinion being that the profiles available today lack in "quality" and hence hiring laid off candidates would be really risky. 

Would this be the right way to brand Laid Off workers? Would that also mean that those laid off are not worthy of a consideration?

Are there any laws that can protect these workers in the event of such a bias? 

It would be interesting to know if any of you too have specific policies for hiring laid off employees?

I also posted the same question on Linkedin and got some really interesting( and emotional) responses! Check out the Linkedin post here....

Loyalty - Does It Really Matter?

The long-term success of any company depends heavily upon the quality and loyalty of its people. Few corporate executives would disagree with this idea conceptually.

More often than not, we have seen companies (especially the traditional ones) stress on Loyalty as an important value that employees need to imbibe. We have seen people spend a major part of their work life for a sole employer spanning over 3 to 4 decades. We have seen firms rewarding these employees through Lifetime achievement and Longest Player awards. We have seen them take up mentorship roles and act as the ones who will help in the inheritance of culture to the next generation of workers. They are the ones who have been with the company during the good and the bad times. They are the true loyalists – to be revered for their wisdom and the labour that they put in helping their company grow.

Ironically we have also seen that when bad times set in, these loyalists are the first in line to be shown the door! Firms that had been basking in the glory of the good times suddenly start talking about enhancing ‘productivity’ and reducing ‘unnecessary expenses’ (cost optimization) which had till recently been a mandate only on paper.

And it is also true that most employers treat the economic value of employees in enhancing customer relationships and company profits as "soft" numbers, unlike the "hard" numbers they use to manage their operations, such as the cost of labor.

So, Does Loyalty really matter these days?

Perhaps not if Loyalty is defined in its traditional sense.Times have changed dramatically and so has the relationship between employers and employees. Mostly these relationships remain transactional – “I would do this for you and you would reward me for what I do – nothing more nothing less”.

Perhaps this sort of an agreement is reached upon the very first day of appointment – when the candidate (or prospective employee) has already decided that he/she plans to stay with the organization for X years only – and the employer too who is well aware of this – plans and schemes things only for this X years that would be available to squeeze the maximum out of the employee. The burgeoning Job market has also meant that Loyalty derived from years of toil is today being transformed into mere commitment of a few years.

In light of such a transactional agreement, there are no chances of breeding loyalty. With the umpteen number of employment opportunities available these days, loyalty is not a necessary value that employees need to have – just minimum compliance to the rules and do what is required to gain the maximum out of the employer!( in terms of compensation, benefits and rewards).Moreover we are seeing the end of the lifetime contract with employers and the emergence of a generation who are more loyal to their careers than to their employers.

Hence there is fairness in the view of employers taking such a stand.

Loyalty, Performance and Profitability

Though Loyalty as a value is to be cherished – in a world riddled with competition – Loyalty without performance can do more harm than good. That would mean harboring those who refuse to leave their employer but at the same time are not being significant contributors to the growth of the organization. Loyalty then becomes a double-edged sword for employers! Some studies have shown that Loyalties' link to profitability, but most of these theories remain inconclusive and difficult to measure. More often these loyalists are the first causalities of a layoff.

The Resolution?

Welcome to the New Age Loyalty

The solution perhaps might lie in the way employers define and Rethink on Employee Loyalty.

It is essential to know that Loyalty is not a Either/Or proposition. Loyalty has to be mutual and not one way.

"Employees can give their employers 100 percent and provide great performance while furthering their own careers," says Joyce Gioia of The Herman Group, a consultancy based in Greensboro, North Carolina "The two aren't mutually exclusive," especially when the skills that a person masters to further her own career are also what the company needs.

• Matching Employee Aspirations to Company Goals

A key action would be strike a balance between the aspirations of employees and the needs of the organization. Most often employees feel that they have been betrayed by their employers by being refused a desired position or role. Whereas the employers are themselves constrained by the fact that they cannot satisfy every employee aspiration without significantly compromising on its own objectives.Its also vital that employees are communicated on why certain of their aspirations cant be met. This would bring a lot of things to the right perspective of those who are discontented. And every measure must be taken to ensure that such discontent is nipped at its bud. Remember these words of wisdom....

The best kind of loyalty is when both parties are benefiting.
— Scott Brooks, Gantz Wiley Research

• Build Relationships not Contracts

The world today is filled with contracts and agreements. Even personal relationships are based on Contracts with several strings attached. Though these contracts are good in the short run to achieve certain objectives, they rarely materialize into meaningful lifelong relationships.

Employers would have to go out of the way to gain employees' trust which will ultimately breed Loyalty - just as they would do with their own customers. Treating them as reliable, trustworthy and responsive individuals- who spend a good amount of their "awake" time working for mutual benefit (of himself and the organisation )- would do a lot in building employee loyalty.


Remember, healthy relationships last longer and don't carry an expiry date!

• Reward Loyalty - Show You Care
  

Rewarding Loyalty is one of the easiest ways to reinforce desirable values in the organization. Such recognition should be made in public. Apart from the generic rewards that get doled out as " Longest Player Award" or "Lifetime Achievement Award", it would also be desirable to praise them for their specific performances and achievements over the years.As an employer, one should place "Loyalty with Performance" as the most rewarded value of the organization.

One Final Word:

There's no doubt that for employers, committed, loyal and hardworking employees are their best asset. By learning how to retain high-value employees, you and your entire workforce can focus more on the overall success of your business.


I love contradictions and here is one on Why Loyalty Matters by Phil Gerbyshak posted on bizzia.com

HR News on 5th October, 2009

• Indian companies fare best in terms of Employee Satisfaction

In spite of the adverse market conditions in the last couple of quarters ( Lay offs, retrenchments, cuts on salaries and incentives, compulsory unpaid leave doing their rounds etc.) India Inc, seems to have fared better than most other countries; as per the study done by Kenexa Consulting. Read more here.....

• No 'vulgar' salaries please, Khurshid tells India Inc
  

Finally, the austirity drive of the Government has reached where everyone expected it to reach. India Inc.

Mr. Salman Khurshid, the Minister for Corporate Affairs has advised India Inc. to refrain from doling out "vulgar" salaries to CEOs.

Sadly, the ministers' lack of understanding and appreciation of the market forces was clear when he said, "Remuneration should commensurate with the qualifications of the individuals (CEOs i.e) and the time they spent". Ironically, the minister seems to allot the same eligibility criterion as he would do for a government servant. ( where performance and value additions do not have any say on their salaries). 


Click here to read more...

Employee First Customer Second

Employees First - Will it WORK? Contd...

Employee First Customer Second - Does it Work?

Publish Post

View more documents from HCL Technologies.

Employee First - A Paradigm Shift in Business Philosophy

In an  attempt to understand some of the new age HR Strategies, I happened to stumble upon an interesting
read on Fortune which quotes " The World's Most Modern Management - In India".

The view refers to the Employee First initiative by Indian Software giant HCL Technologies which according to Vineet Nayar ( CEO & President - HCL Technologies)  is "empowering and pointing the way to the future of Business".

We have heard almost all business leaders at some point say "Employees are our greatest asset" which is often not backed by sufficient action. More often Customer Satisfaction takes priority over Employee Satisfaction. And more so that there have been very few research studies ( at least in India) which have focused on the link between the two.

Though the link between Employee Satisfaction and Productivity/ Profits seems like common sense, some Research have also shown contradictory results leading us to believe that though satisfied employees can lead to better financial health; good financial results may NOT necessarily mean satisfied employees. Hence the corollary of " Satisfaction leading to Productivity" may not always be true.

A study by Gallup ( with a Retail Store Chain) has made some interesting revelations on the link between Employee Engagement and Profits. The study statistically proves that engaged employees are key to greater productivity and customer engagement, and, by extension, higher profits.The Gallup Organisation states that companies with engaged staff have 38% higher customer satisfaction, 22% higher productivity and up to 27% higher profits.

"The dual focus on employees and customers was generally accepted as correct. All of the strategies had their conceptual foundation in the "employee-customer profit chain," a business model popularized in the early 1990s that maintains that better employees make for happier customers, both of which drive profits.

Ongoing customer research shows that stores with engaged employees also earn consistently higher scores for customer satisfaction and loyalty than their lesser engaged counterparts. A positive customer experience, in turn, drives sales and profits. In 2001, for example, stores in the top half of customer loyalty generated ₤3.4 million more in sales each year, and ₤1 million more in profits than stores in the bottom half. "

Hence the argument that Employee Satisfaction ( or more recently Engagement) does affect the bottom line has to be largely accepted to be true and companies may need to take extra efforts to keep their workforce highly engaged with the larger picture (of Profits) in mind.

In recent times there have been two notable publications about employee engagement, which prove beyond all doubt the economic case for creating engaged employees. These two reports are included here for you to download.

• Engaging for Success by David MacLeod and Nita Clarke (on behalf of the UK Government)
• The Economics of Engagement by The Human Capital Institute – an independent US research organization
  

I would cherish your views on the same.

Interested to know a contradictory view? Visit Kevin Wheeler's blog where he professes that Employees are not Assets. 

Generalist Vs Specialist

Check out this SlideShare Presentation related to the Previous Post - The Age of the Specialist

Generalist Vs Specialist

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Specialist or Generalist - Whats Your Choice?

The current slowdown has brought forward some interesting views on Career Development;

Generalist Vs Specialist

The contention between being a Specialist or a Generalist has become very valid with the present times. Not only would this be relevant to new generation employees (Gen Y) but also to employers who are looking forward to grow inspite of an uncertain global environment.

Businesses are on one hand looking at professionals who are versatile and possess a wide range of knowledge and skills ( The Generalist) - while there is also a compelling need to have those with indepth and extensive knowledge on certain specific disciplines ( The Specialists).

Those in favor of Specialization believe the age of "Jack of all, Master of none" is past; while the Generalists are forwarding their cause as Strategic partners in Business.

At this juncture it would be wise to understand the relative differences between a Specialist and a Generalist. (refer to the PPT in the above post).

Some distinguishing features between the two can be summarized as below:

• A Specialist focuses on Tasks while a Generalist focuses on the context in which the tasks are carried out.
• A Specialist as the name suggests possesses comprehensive knowledge on a certain discipline while a Generalist's knowledge may not be deep, but spreads across various disciplines.
• A Specialist is more concerned with the employment of resources ( i.e Doing) while a Generalist is inclined towards deployment of resources ( i.e. arrangements).
• A Specialist tends to DO more ( Tactics involved in carrying out a Specific task) , while the Generalist tends to DEAL more ( Strategy of Dealing with people and processes).

Courtesy Fred Nickols, 2004 - From Generalists and Specialists - Whom Do I Consult?

In Favor of the Generalists
The level of a person in the business or a specific job can play a significant role in whether specialization or generalization is required. More specialized knowledge and experience becomes less important the higher your position.Executives need exposure and knowledge of a breadth of topics, while lower levels may need more detailed knowledge of a narrower range of topics.

While a person may find himself in a position of specialization, it is important to keep in touch with areas outside that area of specialization. In order for organizations to remain lean and flexible, there is a push to ensure that all personnel (including managers) have a broad perspective and a broad range of skills. Employees who refuse to broaden their skill set or take on assignments outside of their area of expertise are valued less within company's ranks.

In Favor of the Specialists

Specialists focus on Core Competencies; just as companies focus on theirs . This fact turns the tide in favor of the Specialists. The world has changed dramatically. People now work in organizational networks, not true hierarchies. And ultimately businesses change so fast that the business you are running is likely to change right out from under you.In most cases the success of companies is dependent on deep levels of expertise and judgment that Specialists posses: not simply good management and leadership skills of the Generalists.

This is not to say that leadership capabilities ( that the Generalists so often portray as their core competency) are not important: they clearly are. But if you look at what we call "enduring organizations," they endure because they are very focused on their core competencies: they are the "best in the world" at one or two things.

Several leading multinationals like Intel, Microsoft, Pfizer, Qualcomm have flourished upon their dependence on Specialist Knowledge. These companies did not become billion dollar companies by hiring and developing "good managers" - they did it through expertise and specialization. Early in their lives they found their niche: they focused heavily on it over many years; and they build deep levels of skills, expertise, experience, and sustainable competitive advantage in these areas.

The Verdict

Now coming back to the question of being a Generalist or Specialist.

Well, this is something that the individual has to choose as part of his/her Career Decision. Knowing the pros and cons of both can help in easing the decision making process. One also has to be aware of the consequences of such a decision and its impact on ones future jobs.

A prospective Generalist should be inclined to learn the various facets of business. He should be open to more wider specter of knowledge that comes his way. His breadth of knowledge will determine his success.

A prospective Specialist will need to exhibit curiosity in knowing MORE. He has to choose his area of interest and make all out efforts to dwell into the depths of his chosen discipline. This will require hard work and the determination to know all that can be known and to search for the unknown.

So, Whats Your take? Specialist or Generalist!


Some interesting reads: Who Do You Hire: Generalists or Specialists? by Mike Smith

Why the Slowdown is a Boon for some!

Being unemployed myself, I was foraging through the wide mazes of the internet for resources that could help folks like me! Thanks to Sergey Brin and Larry Page (for the Google) that I ended up at some really interesting sites that were making hay while the Sun shone.

Check out some of these really funny yet helpful portals that are specifically aimed at those Laid Off! Indeed I am reminded of the old adage " One man's adversity is anothers' opportunity".

But not to blame all these, since some of them are providing totally free advisory services and other Resources to the needy.

• Telonu.com - For the Laid Off to share their Horror Stories Anonymously (Rant and Rave Portal!)
• layoffsupportnetwork.com - Advisory on Living without a Job
• laidoffcentral.com - Social Networking for Laid Off folks across the world!

Do let me know if you come across some interesting portals as well!

HR Professional Killed By Worker Mob at PRICOL

Yet another fall out of an apparently strained industrial relations. A senior HR Professional at PRICOL lost his life today in a gruesome incident at their Coimbatore facility.

No matter how provocative things would have been, such behavior is totally unjustified.

Indeed a wake up call for all concerned ( employers and employers) on the detoriating labour conditions in the country.

Read what other dailies are talking about the incident.

• Pricol HR executive succumbs in labour strife - The Economic Times
• Pricol official dies - The Hindu

Innovate? Me? - This is a Recession!!

Trading Innovation for Survival:

Of all the steps taken to negate the impact of the slow down, perhaps the most significant ( in monetary terms)one remains the Cut in R&D expenditure. ( though Lay Offs are more popular due to their sentimental value).

While this seems like the ideal strategy for the short term, in reality such practices would actually put organizations at more risk than previously thought. Sacrificing innovation amidst the recessionary cost-cutting frenzy can leave companies vulnerable in the long run.

Firing Talent, Cutting back on technology expenditures, reducing risks,stopping new product development and replacing systems management over Innovation as Key Strategy for success are the Worst Mistakes that an organization can do during the bad times.

These actions are partly because of the misconception on what Innovation really means. Innovation is not Rocket Science. Innovation doesn't always refer to inventing new technologies or making drug discoveries!

Peter Drucker rightly points out the effects of innovation during recessionary time in his work : Management - Tasks, Responsibilities and Practices

"Innovation is a term of economics than technology. The most productive innovation is a different product or a service creating a new potential for satisfaction, rather than improvement. Typically this new and different product costs more - yet its overall effect is to make the economy more productive"

Also from Drucker Library: Peter Drucker and Innovation

Perhaps its time for your company to jump OUT of the bandwagon of needless layoffs and cost cutting and see the see the Upside of Recession - The Innovation Engine.

Other Interesting Reads: Innovation is recession-resistant
The Official Site of Drucker

News You Can Use

New Section at GyanHR

I plan to introduce a new section on my Blog: NEWS; where I would post news and other updates that would be relevant to HR Pros as well as other interested readers.

To start of, here we go with the first few links:

1. Economic downturn sees an upsurge in labour unrest - From the Business Standard
2. Jet Airways Stand Off resolved - From the Business Standard
3. More B-Schools trying to lure PSUs for placements - Business Standard

Recession: How Flexible Compensation and Rewards Strategies Help

Recently, I met a HR friend of mine who works for a renowned IT services firm in India. As its so usual these days, our talk slowly drifted into the realms of the economic slowdown and its impact. In spite of the tremendous beating that the services industries had taken during the year, his company continued to make profits without resorting to any sort of extensive layoffs or fancy cost cutting measures.

More interestingly the company managed to dole out bonuses to all employees ( around 50, 000 of them) during the worst quarter. Apparently the company made some significant changes in its compensation structure just before the slowdown set in - i.by increasing the proportion of the incentive pay in the overall salary lay out.

This was followed by major changes in the job descriptions of all leaders in the organization - which included improving team performance, increasing the Utilization Rates ( a major parameter which depicts the exact proportion of employees engaged in software development work - closely linked to Productivity), and fostering Innovation ( Bright Ideas for Dark Days!).

The above is a good example of how an adaptive Compensation Strategy has helped organizations successfully tide over tough times.

Here are some lessons that the Recession has reinforced on Compensation Managers:

• Customer Value: A good compensation and reward strategy should inspire employees to enhance customer value ( and Shareholder Value). This, perhaps is the ultimate aim of such strategies.
• Performance Oriented: Organizations today are highly performance oriented; hence a compensation strategy that is not visibly Performance Linked would fail to attract, retain or motivate employees.
• Flexibility: Though compensation strategies are expected to be robust and closely linked to the organizational goals, its also essential that such plans are also flexible enough to handle external situations which may be totally outside the control of the firm.
• Communication and Trust: Also its important that employees are aware of their organization's compensation rationale and that they are taken into confidence before any significant changes are planned in the overall pay structure. Such Transparency will breed trust and avoid the unnecessary rumours that often make their rounds during tough times.

Saving HR - Step 3

Step 3 - Rebuilding a Positive Image through Empowerment

Jay talks about HR getting itself rid of the "Knucklehead Stuff". There exists a serious problem of perception among employees about HR. They always believe that all policies, rules, norms ( or whatever you call it) is the brainchild of the HR guy. And when these policies run against employee well being or end up being unduly restraining, they turn to the HR folks for a resolution - and the HR guy inevitably shows up with the I-swear-I'm-not-making-this-up response.

Employees are annoyed and dismayed by the irony ( or their perception) that if someone is not able to change the rules, then they just cant be in-charge of making them in the first place!

Such employee perception will go a long way in determining the image of HR.

Jay also posts an interesting experience in his blog supporting this view.

Saving HR - Contd1...

Step2 : Outsource the "personnel stuff"

Jay is Bang On! A lot of HR pros spend considerable time and energy managing trivial administrative stuff! While everyone seems to agree that HR should play the role of a strategic partner in Business. the same has not resulted in any concrete action on the ground. Jay has a solution which i cant refuse to agree : "Outsource"

"Outsource it. Send it to India. Offload it to companies who provide these services as an "outside personnel department." Clear your desk of the nickel-and-dime stuff. Then you can focus on developing, managing, and retaining the best talent your company can get."

Saving HR

That HR needs to move to the next level as a Business Partner is obvious, but how do we? In continuation to my post of "Five Things HR Can Do"; How do we save HR? - Post Courtesy Jay Shepherds.

Step 1 — Moving HR to "C" level - Bringing HR to the Spotlight

Most companies have a handful of executives who report directly to the CEO: the Chief Operating Officer, the Chief Financial Officer, the Chief Information Officer, the Chief Marketing Officer, and the Chief Legal Officer (usually called the General Counsel). But rare is the company that has its head of human resources sitting in the"C suite."

This makes no sense. Every company depends upon having the best people — the best talent — it possibly can to succeed. Without top talent, who actually does the operations, finances, technology, marketing, or legal stuff? Why do most companies relegate the recruiting and managing of talent to an administrative position that usually reports to the CFO? Even the term "human resources" — itself a euphemism for the drab "personnel" — demeans the role and its importance. HR professionals often decry not having "a seat at the table," and for good reason. Most companies fail to recognize the strategic role that HR should play.

The Truth about CSR

I have always been intrigued by the sudden love of India Inc towards Corporate Social Responsibility! (CSR).

I had believed that CSR was more of a Social Volunteering by Corporates; a result of their moral guilt born out of their insatiable lust for Natural Resources and their inability to give back in quality and quantity what they have exploited.

CSR has today become a a very powerful diversionary tool which shifts the focus from problems caused by corporate mismanagement (of the environment) to so called pressing social issues!

While most CSR Reports from Business Houses mention of the good things they have done, almost none of them cite the harm they have done to the people and environment around them! The Social Economic Costs of Industrialization is something that most Corporates and the Government have willfully ignored.

I found one such voice in a leading portal http://www.amrc.org.hk/


Check out the link to download the Critical Reflection on CSR

Shasun Shuts Down its Plant in Cuddalore

Controversy has been brewing around the Shasun Chemical's plant that produces drugs in Tamil Nadu. Finally the Government and the Pollution Control Board seem to have got their act together and sent a notice to the Factory asking it to stop all production activities until further notice.

Check out this link on BusinessLine

People and the Economy - What Deloitte has to say

Some very interesting debates from Deloitte.

Companies are expecting a surge in their voluntary turnover rates as the economy recovers. This would add to the already huge number of those who were left jobless when the recession started. The issue is not of HR Departments being piled up with Resumes, but the fact that a lot many of their own turnover would occur with Key Talent in Leadership positions.

This slow down has also shown prospective employees as to which employer is stable and which is not.

The manner in which companies handled the slowdown(especially on Lay Offs and Compensation) would also have an effect on their turnover rates. Companies which laid off indiscriminately would see loyalties shift to more reasonable (and stable) competitors.

• Deloitte on Resume Tsunami

"Once the recovery begins to take hold, business executives and talent leaders can expect a 'resume tsunami' as voluntary turnover rises with leaders and workers with critical skills seeking new opportunities. The depth and quality of retention planning today will likely separate the talent winners from the talent losers tomorrow."

• Deloitte on Managing Talent in a Turbulent Economy

"The Worst May Be Behind Us: For the first time in this longitudinal study, the number of surveyed executives who said the worst is yet to come declined - and significantly, from 32 percent in March to 18 percent in May. At the same time, the group who believes the worst is behind us doubled to 16 percent from 8 percent in March and 6 percent in January."

• Deloitte on Are People Our Real Assets?

CEOs often say that “people are their company’s most important asset,” and that it is the strength of their workforce that will carry the company through tough times. On the other hand, executives are taught that “cash is king” — especially in a business downturn. So what should business leaders do in the face of the current economic crisis? Should they focus on maintaining cash or people? What should they make their top priority?

The recovery would see the return of an employee dominated economy - where Talented employees would call the shots!

Performance Appraisal - To do or Not To Do

Performance appraisals can actually be counter-productive for employees who are in the greatest need of training and further development. This fact is highlighted by Professor Bård Kuvaas from the BI Norwegian School of Management, based on a new research study. ( www.innovations-report.com)

Its that time of the year where most organizations would go through their Performance Appraisal cycles. Every employee who is concerned with his own growth gears up with all the numbers,figures and qualitative statements (and whatnot) to support his/her cause.

There is excitement in the air with employees and managers bearing the burden of expectations and aspirations. This is the what everyone had been looking forward to. Or is it really?


Joel Spolsky in his article Incentive Pay Considered Harmful, April 2000, of provides an interesting contrary view of Performance Appraisals.

"The effect of reviews on morale is lopsided: while negative reviews hurt morale a lot, positive reviews have no effect on morale or productivity. The people who get them are already working productively. For them, a positive review makes them feel like they are doing good work in order to get the positive review... as if they were Pavlovian dogs working for a treat, instead of professionals who actually care about the quality of the work that they do. "

Appraisals are very painful and an unsatisfactory exercise for many. More often the bad effects of Appraisals are neglected. This is a period where more than half the workforce tread with fear and anxiety. Clearly everyone wants to grow but not merely through these mind wrenching exercises! One has to wonder if anyone has done a study to find out the psychological impact of Performance Appraisal processes on people.

Joel Spolsky states his own personal experience furthering the thought...

"Performance reviews were stressful for a couple of reasons. Many of my friends, especially the ones whose talents were very significant but didn't show up on the traditional scales, tended to get lousy performance reviews. For example, one friend of mine was a cheerful catalyst, a bouncy cruise director who motivated everyone else when the going got tough. He was the glue that held his team together. But he tended to get negative reviews, because his manager didn't understand his contribution. Another friend was incredibly insightful strategically; his conversations with other people about how things should be done allowed everyone else to do much better work. He tended to spend more time than average trying out new technologies; in this area he was invaluable to the rest of the team. But in terms of lines of code, he wrote less than average, and his manager was too stupid to notice all his other contributions, so he always got negative reviews, too. "

Negative reviews, obviously, have a devastating effect on morale. In fact, giving somebody a review that is positive, but not as positive as that person expected, also has a negative effect on morale.

According to Professor Kuvaas in Performance Appraisals - A Double Edged Sword May 2006, says

"Performance appraisals and other tools which involve feedback and target management should be adapted to the employee’s individual needs and characteristics. Otherwise, there is a risk of harming the good employees without being able to help the less good."

Clearly the Effects of Performance Appraisal on Employee Attitudes are still not known; making this a question worthy of Debate - Do we really need Performance Appraisals?

But if there are no Appraisals, how do we measure PERFORMANCE? Do we have a less painful alternative?

Why Should we Empower Employees?

Empowering Employees - The Need of Modern Businesses

I came across an interesting article at BizHelp24.com that I considered sharing with you. Its on Employee Empowerment. I am sure all of you would have faced a similar situation as stated below.


Taste this Case:

You buy a Television from an electrical store.

John the sales person advises you, and you go home with the TV.

When you arrive home the TV has a big scratch across the side.

You return to the store and tell John of your problem, and agree that for a partial refund you will accept the scratched TV.

John says this is a fair arrangement, but he needs to check with his line manager if this is ok.

(If John was sufficiently empowered you could receive the refund and leave satisfied now)

John comes back 5 minutes later with his manager, who asks you to explain the problem again. You go through the details of the purchase and the problem, and the manager agrees to the solution, but needs authorisation from the store manager.

(If the manager was sufficiently empowered you could receive the refund and leave now)

The store manager comes back after 5 minutes with John and asks you to explain the situation again. You go through the details of the problem, and the store manager agrees to a partial refund. However first he needs to get an authorisation number from Head Office.

(If the store manager was sufficiently empowered you could receive the refund and leave now)

After 5 minutes on the phone the store manager comes back and agrees to process the refund. Finally the problem has been solved, but at what cost?

To sort the problem the store has paid for:

1. John’s time
2. His manager’s time
3. The store manager’s time
4. The head office’s time

Not only that, but in the process of waiting and repeating yourself you may have (as most people would) decided not to bother shopping with their store again.

If John was given the power to do his job properly, the company would have saved the employee time costs, as well as kept a customer.

The answer in this case would be for John to know, and be able to enforce the company policy.

(E.g.: Maximum 10% discount or replacing the product)

Instead, you became a victim of un-empowerment disease, or “Run and check” syndrome.



Its indeed interesting to know that the same power and authority structures that HR built and protect are at most times responsible for restraining employees from giving their best.

Its time Organizations ( especially HR) show more trust on employees and empower them to face Business challenges. This is especially to those corporations that are so dependent on restraining power structures for their survival thereby crippling all chances of Innovation and Change.

One can see the following benefits of Employee Empowerment:

1. Freedom in Decision Making
2. Total ACCOUNTABILITY for the decisions taken
3. Customer Delight
4. Employee Satisfaction
5. Top Management is freed from Day to Day operational Decision and will have more time for Strategy
6. Gets Rid of Bureaucracy in the Organisation
7. Finally resulting in overall enhancement of Profits.

Do you think otherwise? Please leave your comments!

Five Things HR Can Do

A blogpost from John Summers throws interesting insight into what HR should Really Do.

1. Be curious about the business.
   
2. Measure stuff.
   
3. Stop focusing on cost cutting and expense
   
4. Free people to manage themselves
   
5. Plan, Plan, Plan

The HR fraternity has for quite some time now vehemently suggested that HR needs to move away from being passive support functions to more active Business Partners. But its disappointing to see that still a lot of CEOs, CFOs and so called HR Practitioners are stuck with the traditional roles of HR.

The blame can be squarely put on the HR fraternity for its failure to move away from redundant support activities which are predominantly administrative in nature. Until we project ourselves as those playing a serious role in the Business being run, we will always be sidelined and demarcated as the ones who are always Dispensable.

Are HR folks Listening???

News to Cheer About ! - Is this the End of the Recession?

The Federal Reserve has suggested that the worst of the US recession is over.


It said that while "economic activity is likely to remain weak for a time", it had begun to "level off".

Check out this Link

The US nears Recovery ( BBC Report)

Hope this is good news for the global economy as well!

40 Things to Do When You're Fired!

Who said being fired was the end of the road. Your life may well have just begun!

1. Go for a walk A long walk. Preferably barefoot on a very long strip of beach. Imagine you're leaving the past job and past life behind you with every step you take. Throwing pebbles and large stones into the ocean optional. Avoid swimmers even if they resemble old colleagues.
2. Make a list of everything you hated about your job Keep referring to it when you feel like screaming.
3. Make a list of everything you hate about yourself Burn that list in a little bonfire in a midnight ritual - you are now ready to resume life as a new, improved YOU.
4. Go to your favourite restaurant Order everything you've ever wanted to eat there and eat it all at once. Then order some more.
5. Go for a long swim in the ocean Pretend you're never coming back - but make sure you can. Alert lifeguard on duty before you embark on this exercise.
6. Go for a cruise in your car blasting your favorite song at full volume Then sing along at the top of your voice and don't mind the stares you get from scared or concerned motorists. If your boss sees you, all the better...
7. Take up kickboxing in the evenings A great way to vent your anger and frustration and at the same time network with other angry overworked, underpaid or unemployed professionals.
8. Go somewhere you've always wanted to go Whether it be that 5-bedroom motel in a neighbouring village, a riverside shack in Thailand or a 5* hotel in Switzerland now is the time to indulge. Make sure you stay long enough to unwind without depleting your hard-earned savings.
9. Get your finances in order Make sure you are on a sustainable budget and that your savings are invested at the optimal risk/ reward ratio given your age, state of unemployment and expenditures.
10. Buy a trashy novel and read it all in one go Comfy pillow and assorted junk food items need to be at hand.
11. Call your best childhood friend Cry to her/him about the injustice and degradation of it all
12. Go window-shopping in the most expensive part of town Make a mental inventory of all those items you will buy when you land the next job.
13. Open a cook book and make a lavish dinner for 20 Invite everyone you can locate at short notice. Tell them all when they come that you're looking for a job.
14. Go for a manicure/pedicure Whine to the manicurist about the perils and boredom of unemployment.
15. Go for a long massage Then have them remove you supine, on a stretcher.
16. Go through your old photographs Remember what it was like when you had your whole life ahead of you and the world seemed plush with opportunities. Stay in that mind-frame.
17. Buy all the flavours of your favorite ice-cream brand Then invite one friend to a comedy movie night.
18. Organize all the cupboards in your house Purchase fragranced tissue lining paper, line your clothes closets and put one fragranced tissue paper on top of each meticulously folded item of clothing. Colour code your closets and tissue paper for an added sense of achievement.
19. Put fresh flowers in every corner and crevice of your house Nothing like that fresh scent and the sight of live blooms to lift your spirits.
20. Take up a new hobby Now is the time to discover and nurture the nascent Botticcelli or Tchaikovsky in you. Make sure to offend. Practice musical overtures on anyone who will listen (or won't) and make sure your artistic endeavours grace everything from the milk bottles you hand back to the milkman ev ery morning to the t-shirt your best friend lent you, the window that most overlooks the neighbours' living room and the dining room ceiling your husband took pains to plaster.
21. Go to Disneyworld Regress to that time in your life when only the important things mattered. Local variation on Disneyland will do if finances/ visa requirements/ state of nervous breakdown don't permit travel.
22. Learn a Language Buy a beret and enroll in an intensive French course or pick up German to go with your newly found infatuation with Beethoven. Make sure the course is a daily one and that you take pains to immerse yourself in the language and the culture.
23. Buy a Goldfish Name him after the manager who fired you. That way when the goldfish is deceased - and they have a horrible habit of doing that - your grief will be short-lived. In the meantime, admire the miraculous peace and serenity of this life form in your house. This is NOT a recipe for sushi.
24. Enrol in a Charity Nothing like doing good things for other people to lift the spirit and give you a sense of achievement and fulfillment. You don't need to feel very strongly about the charity - just do something that unselfishly puts you out on a limb for someone else's sake.
25. Open a stock trading account and try to beat the indices Move aside back issues of Cosmopolitan and Archie and start collecting finance and trade literature. You will also need spectacles (rectangular brown tortoise shell), a coffee maker and a computer in the bedroom. Can be done in your Tintin pajamas but make sure you only put your bowling money on the line at this stage.
26. Take up Photography Then redecorate your hallway with a series of bleached wood framed black-and-white photographs of your favorite person or scene.
27. Find a Friend with a Baby Nothing like spending time with a candy-wrapped bundle of innocence and laughs to recharge your batteries and remind you of what matters most.
28. Read Proust's Remembrances of Things Past And console yourself with dreams of buying a French chateau, complete with bubbles, when you succeed in your next job.
29. Do a thorough self-analysis Who are you really? What makes you tick? What do you really like and enjoy? What are your strengths and weaknesses? Where would you like to be? Put this self-analysis down on paper and use it to plan your next career move.
30. Take a Course Hone your skills whether they be business, finance, marketing or other by enrolling in the best course available, in or out of town, and giving it your all.
31. Start polishing your Job Search Skills Sift through job hunting articles on a major site's Career Center and read everything you can get a hold of on job hunting skills.
32. Learn to bake bread An endangered skill and one that is a conversation-stopper in cocktail parties and a sure winner if you are inviting your other half to an intimate dinner for two at home.
33. Exercise your body back into shape Who says you can't look like you did when you were twenty? Join a gym and attend daily for an hour; you should see results within 3 weeks.
34. Post your CV on the best regional internet job site Then lie back while the site's Saved Search does all the work.
35. Practice your interviewing skills on anyone who will listen Read Interview Tips and Interview Don'ts in Bayt.com's career center.
36. Don't waste time No time like the present to network, research companies you want to work for and apply to all the positions you find attractive on a regional job site.
37. Spread the grief Join a Workstyle Community Forum where you can share your experiences, ideas, hopes and aspirations with other professionals
38. Plan for Success Repeat 100 times:- You WILL succeed in your next job, you WILL succeed in your next job, you WILL succeed in your next job... envisioning yourself as a high flyer in your field. Then pick up a pen and paper and plan in intricate detail for that success.
39. Read industry literature Now is the time to catch up on all those trade magazines and periodicals you haven't had time to read on your job. Bringing yourself up to speed on the latest developments in your industry is sure to impress in your next interview.
40. Remember, the sky's the limit You will work hard, play fair and be good to those around you. In short, you will SUCCEED wildly, extravagantly and beyond your wildest dreams. You just need to get started...

Source: http://www.bayt.com/en/career-article-61/

Making HR Human Removers

The Global Slowdown - India Inc's Response and Its Cost to the Indian Worker

As the news of global slowdown perched on the Indian Economy, India Inc was quick to react to ensure that they were well insulated against "all the evils" of recession. And how did they go about doing it?

1. By Chopping their Workforce indiscriminately and making Performance the trump card for retention and separation.
2. By Freezing all Hiring activities - for all positions irrespective of importance.
3. By Shelving most of their investments and postponing all planned capital expenditures.
4. Delaying or moving out of moderate and high risk projects.
5. Renewing their focus on Productivity across the organization.

A careful look into the above measures show that most of these had a negative connotation, except of course the last one!. Years of rapid growth in some of the Industry Sectors had made us believe that we were on a long and swift journey towards economic progress - a journey that no force could stop or hinder. The Indian Economy exhibited such Confidence ( or arrogance if we look at it now) that no one had seen before. The world began to stand up and take notice. Welcome to the New and Strong India.

But Alas! As it always happens in romantic love stories, there arrived a villain - a brute force which was determined to play spoilsport with the emerging romance. Recession. Taken aback by the sudden onslaught of a never before seen force, India Inc. decided to act. And these acts were not anything unique or innovative - nor were they suitable to the Indian scenario. Most of the actions that followed were a typical copy of what their American Counterparts were doing. So, Whats the call for HR here? and Where did India Inc and the Government miss out?

Unlike in the US, where social security is provided to most workers, here in India such a social cover is virtually absent or totally inadequate. So that meant that when thousands of workers/ employees were asked to leave overnight, the burden of providing such security fell on the government's shoulders. I suspect if at all any of the Indian employers ever looked at alternative ways to cut labor costs?

Improving Productivity became the watchword for many companies, with several of them taking bold steps to enhance their output at all levels. But this effort seemed to be too little and too late for them to face the global crisis. This lack of focus on Productivity by India Inc during the good times should be attributed as one of the primary reasons why such massive layoffs were needed.


I was going through an interesting article which professed on why American Companies embrace Layoffs as the Best way of cutting labour costs. Click the link below to access this article.


Why is it that in a recessionary economy, employers primarily use layoffs to cut labor costs? Why don’t they look for alternatives?

Other related articles

• More than 5 Lakh Jobs would have been lost due to the slowdown - Business Standard

• Indian HR good at Cuddling and Poor in Chopping…- By Dr. PVRMurthy on the NHRD Blog
  

Effective Interviewing - A Guide for Recruiters

Of late I attended a few interviews for positions in some reputed Indian companies. The anticipation was indeed very high on my side since I believed that I was fortunate enough to be called for an interview amidst this global economic crisis.

But after the interview, I was more dismayed and disoriented by the whole process; with the Interviewer shooting questions that seemed to have little relevance to my profile! As the interview progressed I became aware that the interviewer had not done her homework of going through the Resume' in advance.

At the end of the interview I was disappointed on not being given an opportunity to discuss more on my qualities and fitment for the position!!!

Overall It seemed that the interviewer was content with completing a formality than to really assess the candidates' skills, ability and attitude. I believe that the interviewer was neither adequately trained on interviewing skills nor was she prepared in any way to manage the process.

Since then, I had been searching for some relevant material which would help interviewers conduct more fruitful interviews for both the interviewer and the interviewee.

Check out this Document by the American Management Association which talks about the THREE ESSENTIAL STEPS to be undertaken by the INTERVIEWER before the Interview. Besides it also discusses about the other Fundamental aspects of HRM such as Recruitment and On boarding Programs.

Download Here!

Also Check out the Basic Interviewing Tips from the Employee Perspective

Employee Engagement in Uncertain Times

Employee Engagement in Uncertain Times

Employee Engagement in Times of Uncertainty - An Article from Mercer Consulting.

This is an interesting post from Mercer Consulting authored by Padmaja Alaganandan and Anuradha Ozha. With most companies going for cost cutting through one stop solutions it also has shown that it might perhaps be the best time for Organizations to re-look at themselves and the way in which they approach their workforce.

Employee Engagement is today becoming a buzz word with new age organizations.

Read ahead to know more....

All Credits to the authors and Mercer Consulting.

Download Here!

Labour Law Resources

Presenting Some of the Key Labor Legislations for your Reference, presented in PDF Format.

These documents would serve as an easy reference to both students and practicing professionals. Only the salient features of the legislation have been handled here.

Incase you want the same in WORD Format please mail me at giri7int@gmail.com

• Labour Legislation - Consolidated Checklist
  
• The Industrial Disputes Act, 1947
  
• The Employement Standing Orders Act
• The Maternity Benefit Act,1961

The Truth About Corporate Social Responsibility

Hi Folks,

I have always been intrigued by the sudden love of India Inc towards Corporate Social Responsibility! (CSR).

I had believed that CSR was more of a Social Volunteering by Corporates; a result of their moral guilt born out of their insatiable lust for Natural Resources and their inability to give back in quality and quantity what they have exploited.

CSR has today become a a very powerful diversionary tool which shifts the focus from problems caused by corporate mismanagement (of the environment) to so called pressing social issues!

While most CSR Reports from Business Houses mention of the good things they have done, almost none of them cite the harm they have done to the people and environment around them! The Social Economic Costs of Industrialisation is something that most Corporates and the Government have willfully ignored.

In my search for contradictory views on CSR, I found one such voice in a leading portal http://www.amrc.org.hk/. The article is blatantly true and brings to the readers views that have so far being muted by the innumerable conferences and seminars sponsored by India Inc. in support of their own CSR programs.

Check out the link to download the Critical Reflection on CSR.

Download Here!