What is the first thing you should do in the organization didn't have HR department and you are first HR manager!

Friends, here is my view and what I did on the above subject.

STAGE 1

Review the current practices / policies [if any].

Audit all HR activities that are performed [even the crude format].

HERE ARE THE CORE HR KRAs [ Key Result Areas]

KRA 1    :Recruitment / Selection.

KRA 2    :Workforce Planning and Diversity.

KRA 3    :Performance Management.

KRA 4    :Reward Management.

KRA 5    :Workplace Management and Relations.

KRA 6    :A Safe and Healthy Workplace.

KRA 7    :Building Capabilities and Organizational Learning.

KRA 8    :Effective HR Management Systems, Support and Monitoring.

STAGE 2

• Understand the organization.

• Understand the organization structure.

• Understand the organization systems.

• Understand the organization politics/influential people.

• Understand the organization / individual roles.

• Understand the organization / positions.

• Understand the individual job descriptions.

• Understand the job / job specifications etc…

STAGE 3

• Discuss the values / beliefs with senior management / CEO and the need for HR department.

• Discuss the expectations from HR department – short / medium / long term.

• Discuss with CEO, the organization's corporate objectives / strategies and how HR can contribute to the corporate objectives.

• Discuss / seek consensus on organization structure / management process.

• Discuss the current organization culture with senior management.

• Discuss with CEO / senior management the core activities / competences and business drivers of the organization.

To get a good start and hold on your credibility, you need these informations to start your work on HR department installation.

Get a copy of Corporate plan which outlines the Company's Vision, Mission, Corporate Objectives and Corporate Strategies. HR dept. is a support unit and hence must work closely with other depts.

STAGE 4

Even though there is currently no HR department, there are a number of HR activities are being carried out now. You have to know what they are / how it is being carried out / by whom. To collect and consolidate these, you need a quick HR Audit of the present situation.

AFTER you gather all the information and summarized, you should sit down with your boss [CEO] and discuss and prioritize the items, as follows:

• URGENT / IMPORTANT

• URGENT/ NOT IMPORTANT

• NOT URGENT/ IMPORTANT

• NOT URGENT / NOT IMPORTANT, BUT NEEDED DOWN THE LINE.

STAGE 5

Please REVIEW the HR MANUAL, as listed below.

Pick points out of it , as per your need, based on your discussion / audit results.

You may want to start up with

• HR DEPARTMENT OBJECTIVES.

• HR DEPARTMENT STRATEGIES.

• Draft on Recruitment / Selection Procedure / PROCESS.

• Draft on organization structure.

• Draft on job analysis / job descriptions / job specifications / competencies.

• Draft on payroll / compensation / administration.

• Appointment /Confirmation / Termination / Resignation / PROCEDURES / PROCESS.

• Induction program

• Orientation program

• Employee communications

• Training & development of the employees

• Performance Appraisals / management

Once you have the preliminary draft ready, you can start with your EMPLOYEE HANDBOOK

STAGE 6

Review the HRM Processes, make a note of what you think are important for the company and the priority ones.

Please add your inputs so that others will learn.

Regards

Ram

Founder & Director HR

ADR Group

Email: ram.k.reddy@adrgroup.in

Services: Infra & Fire Fighting| Property | Education | Product Promotion

Why incentive programs in organizations frequently fail??

Have your past incentive programs been a disappointment to both you and your salespeople?  

Sales incentive programs under perform or fail as a result if elements of the technique are executed improperly. Often, incentive programs fail miserably because of innate complexities either in their recording and reporting systems or in how rewards are won. If you put the salesperson in a position where he or she is forced to assess "To get this, I first have to sell this, plus these and not these and they must include these," you are creating a recipe for confusion, sales frustration and failure. In the end, the incentive program becomes a disincentive!

The monetary values of incentives are often not the critical factor in motivating salespeople to succeed. In my view, the money and the goodies were not primary motivation and not all salespeople are motivated the same way. Consequently, not all incentive programs work. Why is that?

The remedy? There can be no ambiguity. Anything less will result in a lack of interest, as well as a waste of time and money that can sometimes spill over into other departments whose task it is to administer and account.

From my experience, I'll make the following observations:

1) The 70-30 Rule: Thirty percent of the salespeople make seventy percent of the sales and profits. Too often, sales incentives - perhaps in an effort to be fair - are geared to the entire sales force. Enlightened marketing strategists know that the top thirty percent are already motivated. Simply put, a strategy that's geared to light a fire under the next thirty percent - the next logical group - doubles the business in a more cost efficient manner.

2) Salespeople by nature are like electricity. They naturally take the path of least resistance. That's not to say they are lazy or untoward. In fact, it's just the opposite. Good salespeople look to simplicity to make things happen.

3) Edison may have invented the light bulb, but it never went anywhere until a salesperson understood its benefits and made the first sale… and probably sold a lamp to go with it! Incentive programs don't just sell themselves. Too often, expensive motivational programs are overlooked in the field because representatives either don't understand their value and/or are unsure how to sell them. Many times, good incentive programs are written off as having missed the target, when in reality, they just weren't rolled out and managed properly.

4) Reward: Any reward-value can become an unmotivated, anticlimactic activity if the time span between winning and getting is too long. Successful incentive programs reward immediately! As a rule, the faster the reward is delivered, the greater the enthusiasm for the incentive program.

Although on some levels, salespeople are a complex breed, when it comes to incentives, they are - for the most part - quite predictable. Their nature is to react to excitement or challenge faster than most, and then move on. One way to maximize their natural bent and ensure greater program success is simply to cater to their natural motivators. "Get them their stuff QUICKLY!"

I have noticed huge attrition in the sales division in one of my previous organizations though attractive incentive policies were placed just because of this reason.

5) Recognition: At the risk of making salespeople appear shallow or monolithic (they are not), recognition amongst their peers is still the typical motivator, whether there's an incentive program or not. The rule again, is, there is no such thing as too much recognition! Salespeople by nature gravitate to the limelight much like other performers, and so there should be no shortage of achievement and overachievement recognitions that find their way - in a timely manner - to the public's eye.

Another fact that is frequently overlooked is that recognition, whether part of an incentive or not, is the least expensive means of motivation. In many cases, it's free! Often, shaking the hand of the president in front of the company is all it takes to galvanize the need to overachieve.

The Bottom Line: Manufacturers and Distributors must take greater care when designing motivational incentive programs. Find out what they want, then, give it to them. But make sure to keep it simple, keep it clear, promote it properly, reward immediately, don't try to target everybody, and, recognize, recognize… RECOGNIZE!

Regards

Ram

ADR Group

Services: Infra & Fire Fighting| Property | Education | Product Promotion

Enquire on ram.k.reddy@adrgroup.in for any kind of support on the above services.

Difference between Business HR & Conventional HR

Corporate HR and Business HR are terms used to distinguish area of operations. In organizations which are concentrated on single core business the terms are one and the same.

There has been an increasing awareness in the past decades that HR functions were like an island for cool comfort jobs which are far away from the hard world of real business. In fact I have received many such comments on this from colleagues who were headed departments like Sales, IT, Finance, Customer care etc. In order to justify its own existence HR functions had to be connected with the strategy and day to day running of the business side of the organization.

Here is a small attempt to distinguish between Business HR and Traditional HR. Actually, the question behind writing this small article is “what roles can be identified for the current day HR department in the context of increasing globalization of the corporate domain?”

I used to perform the below KRA in previous organizations apart from the conventional HR operations. I introduced new revenue models in my previous organizations, increased profit ratio, enjoyed the pressure too and stood as a successful leader. Often, I happened to receive a query from HR community that “why not a CEO from HR background?”. Who will stop you if you handle the below KRA.

Business HR:

·    The primary goal of Business HR is to increase employee productivity by focusing on business obstacles that occur outside of human resources.

·   The primary actions of Business HR are to identify key HR areas where strategies can be implemented in the long run to improve the overall employee motivation and productivity.

·  Ensuring Effective Manpower planning, recruitments, training & skills development, provide effective supervision and leadership, grievances handling and retention of team.

·    Plan and direct the organization’s activities to achieve stated/agreed targets and standards for operational, quality, culture and statutory adherence.

·       Review and report performance / progress of the organization on a regular basis & ensure the efficacy of System.

·  Examine the functional operations and identify profit improvement / cost reduction opportunities.

·         P & L responsibility.

·    Maintain and develop organizational culture, values and reputation in its markets and with all staff, customers, suppliers, partners and regulatory/official bodies.

·         Engage, Build and maintain effective long-term relationships with key members of the client team and discussing future Trend in Operations.

·       Create cross-functional project teams to encourage team building & employee development in terms of Knowledge & Skills.

·  Conducting continuous audits on MIS to ensure compliance and sound functioning of the process.

Corporate HR:

Corporate HR can play a significant role in monitoring the implementation of corporate HR policies throughout subsidiaries. HR can thus become "Champions of processes", building commitment of top management, providing training for managers and monitoring these processes. Corporate HR has a social responsibility to ensure future leaders are sensitive to and equipped to deal with global challenges. This creates a new role for HR as ‘guardian of culture’, overseeing the implementation of global values and systems.

However in a diversified organisation there may be need to have Corporate HR and individual SBU or Business HR as each business may need to have unique business requirement.

When Organisations grew and they could see the visible impact of good HR practices in their bottom line, they wanted HR to reach out to where the business is, rather than be restricted to cool comforts of corporate Office. Both are one and the same for a small company where there is only one HR dept but for a large organisation which has large geographical spread or multi business environment, the HR team at the Corporate Office would be called Corp HR and the HR presence in individual businesses would be called Business HR.

For Ex. Recruitment strategies are handled at Business HR level and hiring also happens there. There is a small team of senior recruiters at corporate office to handle corporate openings. However, Rewards are managed centrally. Salary structures, annual increments guidelines etc are all planned at corporate level. Payroll processing is at corporate level however entry is done at business level. Training is handled at business HR level however succession planning is done at corporate HR level.

Please add your suggestions in the same page as the viewers of this page also read the same.

Regards

Ram

Ram.k.reddy@adrgroup.in