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HR- Connect the Dots
By V. Jagannathan
Presentation to Young HR Managers organized
by
SHARP FORUM- 2013
Expert–The term used to describe those individuals born between 1945
and 1964.
Generation X - The term used to describe individuals born between 1965
and 1980.
Generation Y - The term used to describe individuals born between 1985
and the present.
Job Analysis: HRM Tool
4
Tasks Responsibilities Duties
Job
Analysis
Job
Descriptions
Job
Specifications
Knowledge Skills Abilities
(Competencies)
Human Resource
Planning & Budget
Recruitment
Selection
Training and
Development
Performance Appraisal
Compensation and
Benefits
Safety and Health
Employee and Labor
Relations
Legal Considerations
Job Analysis for Teams
WHAT IS THE COMPETENCY? ( -ASK)
5
Improve the performance
Knowl
edge
Skills
Attitute
APPLICATION OF COMPETENCY MODEL
7
Training &
Development
Job Analysis
Personnel
Selection
Performance
Management
Staff Motivation
Mandated
leadership
courses
Define job
required
competencyKPI +
behavior
based PA
Competency
based interview
Competency based
retention system
Learning & Development Center
Competency
Development
programme
Career Development
Center
Training Center
Professional Competencies
Trainee and Apprentice
Development Programme
Young Manager
Programme
Leadership Development
Programme
Job Rotation program
Mandated Leadership
Training Programs
Professional Skill Training
Internal Trainer
Development
External consultant/
University Program
Key Talent Development
Programme
Culture Development
programme
Talent Management
Dedicated Learning and Development Centre
Leadership Competencies
Inputs
TOOLS ( Job Design and
Goal Setting)
Performance
( performance Appraisal)
Outcomes
( Pay and Career
opportunities)
Effort
Time
Education
Experience
Skills
Knowledge
Job behaviours
Quality of Work
Quantity of work
Level of work ( Satisfaction
of customers)
Pay
Job security
Benefits
Vacation
Job satisfaction
Feeling of accomplishments
Pleasures of doing
interesting work
Motivation/ Performance/ Interlinks
Inputs>>>>>>>>>>>>>>>>>>>>>>> Performance>>>>>>>>>>>>>>>>>>>>>>>>Outcome
Performance Pay Dynamics
Individual and referent
Equity= O/I= O/I
Overpayment = I>R
Underpayment =I<R
Ways to restore
Workers can change the input of output
Workers can change the referents inputs or outcomes
Workers change their perceptions of inputs and outcome
( either own or others)
Workers can change the referent
Workers leave the jobs or organisation or force referent to
leave the jobs
11
Purpose of Compensation Strategy
Motivate &
Retain Staff
Attract talent
Performance based
Remuneration
Administratively
Efficient
Reward Valued
Behavior
Effective
Compensation
Ensure Internal
and External
Equity
Structured
Processes
Legal
Compliance
Compensation Model- Strategic Decisions links
Equity Compensation
Tool
Objective
External
(Pay Level)
Market Surveys Attraction
Internal
(Pay Structure)
Job Analysis Evaluation Retention
Individual
(Pay for Perf.)
Performance & Seniority Motivation
Procedural
Justice
(Pay Administration-
structure)
Communication, Appeals Culture and ,
Commitment
12
The Pay Model
Business Goals
Business
Strategy
Compensation
Plan
Market Surveys
Compensation
Strategy
Job Analysis &
Evaluation
Comp & Ben Inputs
Total
remuneration
Performance
Management
Non-Financial
RewardsOrg.Structure
Performance
linked Pay
Individual Pay
Contribution
/Expected out puts
Internal Equity External Equity
MDHRHeadEmployee
C&BTeam
Pay levels /
structures
Compensation activities
serve Business
Objectives
Compensation strategy
is periodically
reevaluated and the
Compensation plan
periodically developed
Compensation & Benefit
team work on
development and
implementation
• Facilitate the Organization Performance—
Links the compensation of employees to the mission, objectives, philosophies, and culture of the organization.
(strategic congruence)
• Control Labor Costs ( by using compensation- ratio)
• Attitudes and Behaviors ( Attract, Retain, Motivate)
• Follow Laws and Regulations ,
• Comparable with others and No Discrimination
• Objective :
“Competitive pay for key and contributing performance to Attract,
Retain, Motivate the human assets by efficient methods and uniform
process”
14
Pay Model
1.Compensation Objectives
 Equity ( Match/ lead/ lag)
 External Equity
Comparison: outside organization comparison with
Market
 Internal Equity
Comparison: inside organization, among jobs
 Employee Equity
Comparison: individuals doing same job for same
organization
15
Pay Model
II. Foundation Concepts
 A. Pay Level ( External Equity)- Pay Levels compare to market
 lead competition ( Asst. Manager and Above)
 match competition ( Below Asst. Manager)
 lag competition ( Based on demand and supply)
 Mechanism Used: Market Survey
 B. Pay Structure ( standardization)
Pay more for jobs with
 greater qualifications
 less desirable working conditions
 more valuable output
 Mechanism used: Job analysis and job evaluation
 C. Individual Pay Rates ( Seniority or Pay for Performance or layers) Techniques
 Flat Rate ( Fixed)
 Pay Ranges
 Mechanisms used: Performance or Seniority
16
A Pay Model
III. Techniques for C& B Management
17
Pay Structure
Techniques tie the four basic policies to the pay objectives
( Need, Expectancy, Equity, Procedural Justice )
LOAN BENEFITS,
good salary
Fast Tract
Candidate
approach
Regular Increment ,
, correction
approach
Personal accident
policy, Group
Mediclaim policy,
Keyman insurance
policy
Promotion
approach
Car Policy,
Telephone,
Gratuity, SAS,
PF
HOUSING
LOAN / CAR
LOAN/ Asset
building
opportunity
Post Retirement
programe ( Mediclaim
faciity etc)
•Job Environment
•policies, supervision, co-
workers, status symbols,
working conditions,
flextime, compressed work
week, job sharing, flexible
benefits programs
•The Job
•interesting, challenging,
responsible, opportunity for
recognition, advancement,
feeling of achievement
•Insurance
•Social security benefits
•Paid absences
•Suggestion rewards
•Benefits like canteen,
• transport, loan,
U Uniform
•Wages
•TAI
•Bonus
•Incentives
Financial-
Direct
Financial-
Indirect
Non-
Financial-
Indirect
Non-
Financial
Direct
19
C & B programme
Total Compensation -
Extrinsic
Total Compensation -
Intrinsic
What is Engagement?
 Capturing the hearts and minds of all people that inspires their behaviors
toward discretionary effort and greater contribution.
 3 key factors in an engaged employees:
Reference: Hewitt Engagement Report
Engagement Drivers By Age
Reference: Hewitt Asia Engagement Report
Employee Engagement Drivers
What Motivate Top Talent
 Organization reputation
 Differentiated compensation and recognition
 Customized development plan
 Regular and open dialogues
 Less bureaucracy
 Valued for contribution
*
The Attrition cycle
Passive
disengagement
Introspection
stage
Active
disengage
ment
Decision
making
Transition
stage
Withdrawal
stage
Employee
exit
employee
External
factor-Pull
Internal
trigger-
Push
*
Retaining employees in the
Attrition cycle
Passive
disengagement
Active
disengagement
Transition
stage
Withdrawal
stageEmployee
exit
Engaged
employee
Communicate/
clarify
Involve
Realign/ Re
Induction
etc.
Counter- sell
What attract and retain direct labor
force
4.Experts 7.High/Early Potential 9.High/Early Potential
(
2.Contributor 5.Contributor 8.High/Early Potential
1.Concerns 3.Concerns 6.New Entrants (<1year
service)
LOW MEDIUM HIGH
POTENTIAL
HIGH
LOW
MEDIUM
Talent Map
Basic OB
Model,
Thank you

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HR Connect the Dots

  • 1. HR- Connect the Dots By V. Jagannathan Presentation to Young HR Managers organized by SHARP FORUM- 2013
  • 2. Expert–The term used to describe those individuals born between 1945 and 1964. Generation X - The term used to describe individuals born between 1965 and 1980. Generation Y - The term used to describe individuals born between 1985 and the present.
  • 3.
  • 4. Job Analysis: HRM Tool 4 Tasks Responsibilities Duties Job Analysis Job Descriptions Job Specifications Knowledge Skills Abilities (Competencies) Human Resource Planning & Budget Recruitment Selection Training and Development Performance Appraisal Compensation and Benefits Safety and Health Employee and Labor Relations Legal Considerations Job Analysis for Teams
  • 5. WHAT IS THE COMPETENCY? ( -ASK) 5 Improve the performance Knowl edge Skills Attitute
  • 6. APPLICATION OF COMPETENCY MODEL 7 Training & Development Job Analysis Personnel Selection Performance Management Staff Motivation Mandated leadership courses Define job required competencyKPI + behavior based PA Competency based interview Competency based retention system
  • 7. Learning & Development Center Competency Development programme Career Development Center Training Center Professional Competencies Trainee and Apprentice Development Programme Young Manager Programme Leadership Development Programme Job Rotation program Mandated Leadership Training Programs Professional Skill Training Internal Trainer Development External consultant/ University Program Key Talent Development Programme Culture Development programme Talent Management Dedicated Learning and Development Centre Leadership Competencies
  • 8. Inputs TOOLS ( Job Design and Goal Setting) Performance ( performance Appraisal) Outcomes ( Pay and Career opportunities) Effort Time Education Experience Skills Knowledge Job behaviours Quality of Work Quantity of work Level of work ( Satisfaction of customers) Pay Job security Benefits Vacation Job satisfaction Feeling of accomplishments Pleasures of doing interesting work Motivation/ Performance/ Interlinks Inputs>>>>>>>>>>>>>>>>>>>>>>> Performance>>>>>>>>>>>>>>>>>>>>>>>>Outcome
  • 9. Performance Pay Dynamics Individual and referent Equity= O/I= O/I Overpayment = I>R Underpayment =I<R Ways to restore Workers can change the input of output Workers can change the referents inputs or outcomes Workers change their perceptions of inputs and outcome ( either own or others) Workers can change the referent Workers leave the jobs or organisation or force referent to leave the jobs
  • 10. 11 Purpose of Compensation Strategy Motivate & Retain Staff Attract talent Performance based Remuneration Administratively Efficient Reward Valued Behavior Effective Compensation Ensure Internal and External Equity Structured Processes Legal Compliance
  • 11. Compensation Model- Strategic Decisions links Equity Compensation Tool Objective External (Pay Level) Market Surveys Attraction Internal (Pay Structure) Job Analysis Evaluation Retention Individual (Pay for Perf.) Performance & Seniority Motivation Procedural Justice (Pay Administration- structure) Communication, Appeals Culture and , Commitment 12
  • 12. The Pay Model Business Goals Business Strategy Compensation Plan Market Surveys Compensation Strategy Job Analysis & Evaluation Comp & Ben Inputs Total remuneration Performance Management Non-Financial RewardsOrg.Structure Performance linked Pay Individual Pay Contribution /Expected out puts Internal Equity External Equity MDHRHeadEmployee C&BTeam Pay levels / structures Compensation activities serve Business Objectives Compensation strategy is periodically reevaluated and the Compensation plan periodically developed Compensation & Benefit team work on development and implementation
  • 13. • Facilitate the Organization Performance— Links the compensation of employees to the mission, objectives, philosophies, and culture of the organization. (strategic congruence) • Control Labor Costs ( by using compensation- ratio) • Attitudes and Behaviors ( Attract, Retain, Motivate) • Follow Laws and Regulations , • Comparable with others and No Discrimination • Objective : “Competitive pay for key and contributing performance to Attract, Retain, Motivate the human assets by efficient methods and uniform process” 14 Pay Model 1.Compensation Objectives
  • 14.  Equity ( Match/ lead/ lag)  External Equity Comparison: outside organization comparison with Market  Internal Equity Comparison: inside organization, among jobs  Employee Equity Comparison: individuals doing same job for same organization 15 Pay Model II. Foundation Concepts
  • 15.  A. Pay Level ( External Equity)- Pay Levels compare to market  lead competition ( Asst. Manager and Above)  match competition ( Below Asst. Manager)  lag competition ( Based on demand and supply)  Mechanism Used: Market Survey  B. Pay Structure ( standardization) Pay more for jobs with  greater qualifications  less desirable working conditions  more valuable output  Mechanism used: Job analysis and job evaluation  C. Individual Pay Rates ( Seniority or Pay for Performance or layers) Techniques  Flat Rate ( Fixed)  Pay Ranges  Mechanisms used: Performance or Seniority 16 A Pay Model III. Techniques for C& B Management
  • 16. 17 Pay Structure Techniques tie the four basic policies to the pay objectives ( Need, Expectancy, Equity, Procedural Justice )
  • 17. LOAN BENEFITS, good salary Fast Tract Candidate approach Regular Increment , , correction approach Personal accident policy, Group Mediclaim policy, Keyman insurance policy Promotion approach Car Policy, Telephone, Gratuity, SAS, PF HOUSING LOAN / CAR LOAN/ Asset building opportunity Post Retirement programe ( Mediclaim faciity etc)
  • 18. •Job Environment •policies, supervision, co- workers, status symbols, working conditions, flextime, compressed work week, job sharing, flexible benefits programs •The Job •interesting, challenging, responsible, opportunity for recognition, advancement, feeling of achievement •Insurance •Social security benefits •Paid absences •Suggestion rewards •Benefits like canteen, • transport, loan, U Uniform •Wages •TAI •Bonus •Incentives Financial- Direct Financial- Indirect Non- Financial- Indirect Non- Financial Direct 19 C & B programme Total Compensation - Extrinsic Total Compensation - Intrinsic
  • 19. What is Engagement?  Capturing the hearts and minds of all people that inspires their behaviors toward discretionary effort and greater contribution.  3 key factors in an engaged employees: Reference: Hewitt Engagement Report
  • 20. Engagement Drivers By Age Reference: Hewitt Asia Engagement Report
  • 22.
  • 23. What Motivate Top Talent  Organization reputation  Differentiated compensation and recognition  Customized development plan  Regular and open dialogues  Less bureaucracy  Valued for contribution
  • 25. * Retaining employees in the Attrition cycle Passive disengagement Active disengagement Transition stage Withdrawal stageEmployee exit Engaged employee Communicate/ clarify Involve Realign/ Re Induction etc. Counter- sell
  • 26. What attract and retain direct labor force
  • 27. 4.Experts 7.High/Early Potential 9.High/Early Potential ( 2.Contributor 5.Contributor 8.High/Early Potential 1.Concerns 3.Concerns 6.New Entrants (<1year service) LOW MEDIUM HIGH POTENTIAL HIGH LOW MEDIUM Talent Map
  • 28.