Colombo

June 29, 2006

Aneeta Madhok, PhD., CMC.

Dean (Faculty of Management Studies)
Professor – Human Resources and Organisation Development
NARSEE MONJEE INSTITUTE OF MANAGEMENT & HIGHER STUDIES
V. L. Mehta Road, Vile Parle (W), Mumbai – 400 056
Ph: 91-22-2618 3688, 91-22 567 5967
Email: [email protected], [email protected]
HR Evolving
• There is a shift in the work of the HR Function
• Evolutionary forces acting include:
– Continued globalisation
– Increased focus on business sustainability
– Shift from welfare oriented economic policies
– Shift from labour politics
• HR Today
• HR Tomorrow
• HR Beyond Tomorrow
The HR Challenges
Survey - 2006
• Survey takes a slice of HR Today and
extrapolates the trends
• Survey covers CEO’s, HR and Management
Professionals in India
• Sample size = 57
For This Audience
• Take the survey questionnaire being
distributed and do your own rankings
• Compare your rankings with the results we
will present
• Raise your questions in the Q & A session
which follows
• Deposit your rankings with the conference
volunteers
 Compensating
Talent
Knowledge
Retention
Workers

Going Recruiting in
Global Today’s
Context

Building HR Beyond Creating High

Interpersonal Performing
Relatioships Tomorrow Culture

Managing Training for

Mindsets Growth

Human
HR Systems
Capital
Implementation
Practices
Survey Results
HR Challenges Survey – India, May 2006
Rank Order of Importance (n=57)
Rank in % of top % of bottom
HR Challenge order of response response (#10)
importance (#1) rank rank
1 Creating A High Performing Culture 1 47 3
2 Talent Retention 2 28 0
3 Recruiting in Today's Context 3 22 0
4 Managing Mindsets 4 6 8
5 Training for Growth 5 6 0
6 Compensating Knowledge Workers 6 3 8
7 Building Interpersonal Relationships 7 6 14
8 Going Global 8 6 22
9 HR Systems Implementation 9 6 28
10 Human Capital Practices 10 0 17
#1: Creating A High
Performance Culture
High Performing organisations aren’t born, they are made. Building
them involves paying attention to customers and employees, innovating
furiously and making quality a way of life.
Ganesh Natarajan
• Initiatives for organisations to take
– Product Innovation
– Business Process Optimisation
– Making quality a way of life
– Customer Delight
– Total Employee Involvement
– Building a talent pipeline to compete in today’s global context
HR Practices for High
Performing Organisations
• Employment security, not job security
• Selective hiring of new personnel
• Self managed teams and decentralised decision making
• High compensation contingent on organisational performance
• Extensive training and development
• Continuous improvement HR programmes
• Reduced status distinctions and barriers
• Sharing of financial and performance information
• Trust between management and employees
• Communication in global markets
• Efficient and effective use of new information technologies
Designing HR Intervention for
Creating High Performing Organisations
• Define what you need through
– Core corporate values
– Future business scenarios and implications
– Strategic business objectives and ‘employee
behaviour’ requirements
– Prevailing/desired work culture
• Design a competency framework aligned
with strategic business objectives
Designing HR Intervention for
Creating High Performing Organisations
• Develop behaviours underlying the competencies
in a clear and simple manner
• Validate the competency model with a cross
section of employees
• Communicate the competency model through
change sponsors and agents and educate
employees at all levels on ‘what, why and how’
• Use the competency model as a foundation for
multiple HR applications
The Competency Framework© Conceptual
Strategic/
Skills

Visionary Leadership Strategy,

Culture mgmt Competitiveness
Strategic functional Institution building Macro perspective
Top Knowledge Values Global Managment
Social Responsibility

Team Leadership Decision making

Middle Advanced functional Conflict Management Policy structure &
Negotiation Design
Knowledge

Policy/
Bottom Basic functional Self & Organizations Law
Knowledge Teamwork interpretation

Technical/ Interpersonal
Functional Skills Skills
© Copyright Aneeta Madhok, 2004. All rights reserved
#2: Talent Retention
• The silent war for talented employees
• Turnover is increasingly becoming a source of sleepless
nights for HR Managers
• Interferes with continuity and quality of services and loss of
revenue
• Lost human and financial investments in education, training,
and expertise
• Weakens professional organizational culture and morale
• Places additional burden on remaining staff High turnover
breeds more turnover
• 3 to 6 month lag time for new employees to develop
• Delays in replacing staff send negative messages to the
clients, other employees and public at large
Talent Management is
Critical to Strategic Agenda
Capability and Capability and
Capacity Capacity Supply
Demand Plan Plan

Critical post analysis Sourcing

Capabilities required
Capacity required Diversity
Succession management
Timing PerformanceManagement
Development plans
Business strategy Talent identification and supply
Sanctioned projects Organisation evolution Socio-economic analysis:
Pre-sanctioned projects • Political, Regulatory, Environment, Legal
Resourcing processes • Employment
Business scenarios
• Education standards, Skill availability
Benchstrength improvement Cultivation of sources • Industrial relations climate
Succession planning • Market reward position
Reward management

Key Talent Management outputs are demand plans and supply solutions both now and over the future
Talent Retention Strategies
• Create an outstanding brand image to attract talent
• Deploy Innovative practices in Resourcing
• Expand your reach to track and source skills
– Local Market
– International Market
– Recruit from Campuses
• Develop Strategies to extract the best from the
resources
– Develop skills through training
– Provide challenging career options
– Extract high level of performance
#3: Recruiting In
Today’s Context
• Huge volumes of recruitment envisaged
• Not a question of manpower availability, but
talent availability
• Mis-matching happens more frequently than
matching
• Backward integration with educational
institutions
• Outsourcing strategy
• Managing recruitment image
#4: Managing Mindsets
• Positive optimism needed
• Teamwork is in the mind
• First deserve then desire
• Away from feudalistic, paternalistic
mindsets towards open, equalised mindsets
• Creating productive, constructive mindsets
that contribute to organisational value
#5: Training For Growth
• Emergent role of training is linked with
competency development, creating high
performing organisations, talent retention,
recruitment
• Business linked training needs,
development of training content to deliver
skills and competencies, assessment of
training effectiveness are critical
#6: Compensating
Knowledge Workers
• Global compensation benchmarking
• Internal parity and external competitiveness
• Linking performance and compensation
• Compensating high performers, average
performers and poor performers.
• Building manpower costs into business
strategy
Tips for Compensating
• Base Salaries/Variable component (60:40)
• Task Completion incentives (Linked to goal
achievement)
• Team benefits (linked to group
performance)
• Bonuses (payments for good work done)
• Profit Sharing (built into revenue earnings)
• Offering a choice (cafeteria plans)
#7: Building Interpersonal
Relationships
• Managing differences
• Resolving conflicts
• Building organisational partnerships
• Establishing win-win
• Creating collaborative mindsets
#8: Going Global
• Building globally competitive management
practices
• Enabling Indian businesses to go global
• Think Global mindsets
• Managing the global employee
– Recruiting, compensating, assessing,
rewarding, retaining, etc
#9: HR Systems Implementation
• IT based HR system implementation
• Inculcating systemic discipline
• Institutionalising frameworks and policies
in the right spirit
#10: Human Capital Practices
• HR Efficiency and Human Capital
Accounting
• Job Evaluation and measurement
• Reduction of wastages and excess
manpower
 HR Today & Tomorrow
Traditionalists Baby Boomers Gen X Gen Y
(50-60 y) (40-50 y) (30-40 y) (20-30 y)
Training The hard way Too much & I Required to Continuous
will leave help me & expected

Learning Style Classroom Facilitation Independent Collaborative

Communication Top down Guarded Hub& Spoke Collaborative

Problem Solving Hierarchical Horizontal Independent Collaborative

Leadership Command & control Get out of way Coach Partner

Decision making seeks approval Team informed Team includes team decisions

Feedback No news is good news Once a year weekly / daily on demand

Technology use uncomfortable Unsure unable to work unfathomable

work without if not provided
HR Beyond Tomorrow
• World is getting increasingly polarised
• Many organisations will go for outsourcing many
operational HR functions
• Many organisations will believe in the criticality of
HR function to the business bottomline.
• HR challenges are likely to get more acute
• HR priorities are likely to change
• Tapping human potential is likely to get more critical
Hi!
 Hi!
(Human Initiative)
 Thank You
Contact at:
Dr. Aneeta Madhok, MBA, PhD, CMC®
Dean – School of Business
NMIMS (Deemed University)
V.L. Mehta Road
Vile Parle (West)
Mumbai – 400 056
Phones: 91-22-26183688, 26183665
Email: [email protected], [email protected]