Group Project

Group 17

PGCBM 26

8
7
6
5
4
3
1

Project Title: High Performance Human Resource

Practices

Saiprasad Savant
SMS ID 2229571

Rajesh Malkani
SMS ID 2229463

Shivkumar Menon
SMS ID 2229464

Mahesh Parab
SMS ID 2229582

Index
Index
Introduction
Data Analysis Construct Wise
High Performance HR Practices
Comparative Analysis

Conclusions & Recommendations

Appendix

Organization Overview
4 Organizations were selected for administering the survey and analyzing the results in order to
arrive at strong inferences and conclusions on the relationship between High-Performance HR
Practices and Organizational performance.
(Respondent Company Mix)

Foreign
MNC (2)

Indian
MNC (1)

Telecom
(2)

Indian
Trust (1)
(On the basis of
Legal Structure)

Media
(1)

NGO (1)
(On the basis of
Industry)

A diverse blend of companies was selected based on their legal entity, nature & size of business,
Business type.
Hence this ensured that the results
a) of the analysis was an holistic, relative assessment of the relationship between High
Performance HR Practices & Organizational Performance

b) true representation of the Indian Industry

Respondent Mix
Functional Level Mix
38% of the Respondents comprise of Senior
Managerial Personnel; 42% at Middle Managerial
Levels and 12% at Junior Managerial Levels
Hence it can be surmised that 61% of the sample
size of respondents are the beneficiaries of the
High Performance Practices adopted by their
respective organizations and 39% have played a
strong role in framing these Practices

Tenure of Respondents
No. of years
Range

Junior

Middle

0-5

12

16

11

39

18

23

60

6-10
>10
Grand Total

12

25

Senior
Grand
Managerial Total

100% of the Junior Level pool is < 5 years old,

which gives a good flavor of HR practices at the
ground level.
65% of the respondents are <5 years old;
30% are 6 to 10 years old
5% are >10 years

56% and 37% of the ML and SL from the pool are tenured at < 5years and 6 to 10 years old, clearly indicating that
a higher % of employees have been externally sourced instead of growth from the ranks. Further analysis of the

Analysis Construct wise

High
Performance
HR Practices

Selective Staffing

Extensive Training

Internal Mobility
Employment Security
Clear Job Description
Result Oriented Appraisal
Incentive Rewards
Participation

Constructs
Selective Staffing
The selection and recruitment process is fairly rigorous and the general perception in the industry
seems to be that, considerable importance is given to ensure right candidate selection. Recruitment
process is scientific and keeps the long term strategic requirements of the organization into
consideration.
However, a depth study of all variables of the Selective staffing process reveals that the respondents
feel that although the recruitment process is stringent and great care is taken to find the right fitment
for a role, long term employee potential is one variable which can be worked upon and improved.

Extensive Training
Employee Training is at the core of high performance and effectivity for organizational growth. On the
job, onboarding and periodical training are the different types of trainings offered by organizations to
ensure the skills of employees are in convergence with market requirements.
Periodical training to brush up skills of existing employees is adequate but training in a formal
program, on the job training and customized training based on job design and analysis is perceived to
be very low in the industry
But the degree of dissatisfaction seems with respect to inadequate training is highest at the NGO
which is quite expected as they are performing in an unorganized setting.

Constructs
Internal Mobility
Internal mobility is a function of the policies and framework adopted by organizations to create a culture
of growth and high performance orientation. The ability of organizations to skill and re skill employees in
diverse business environments, to maximize effectiveness and to adapt to changes in the external and
internal environment. This ability builds confidence in the employees with respect to future career
growth in the organization which eventually reflects into high performance of the organization.
Majority of the employees falling under the NGO and the Media sector perceive no future growth in their
existing organization; whereas employees in the Telecom sector seem to have a clear career path in
place. The dissonance in the NGO sector can largely be attributed to low direct impact and long
gestation cycle for success and fulfillment of their goals and for the Media sector this could be on
account of volatile nature of the business coupled with high levels of competition which takes a huge toll
on the margins of this business, hence intense work pressure for employees.
Meanwhile, the telecom sector is capital intensive and owing to the size of the business, its imperative
for companies in this industry to have clear career development goals for its employees.

Employment Security
Job Security is strongly linked to the culture and policies of an organization. Majority of the employees in
the industry seem to be satisfied with the level of job security in their current organization.
Only Respondents from the Telecom sector perceive risk of long term employability. This could be
because of strong performance management processes in the telecom sector. As companies grow
larger, processes are built in to ensure high performance in all functions and hence low performers will
perceive insecurity in jobs

Constructs
Clear Job Description
Respondents are positive about the job descriptions and role requirements. Industry dynamics
and size of the companies in an industry also play a big role. 2 of the companies used for the
survey are Multinational Companies in the Telecom business viz. organized players.
The other 2 companies (NGO and Media) though unstructured in comparison to the telecom
business, generally tend to hire experienced professionals. They tend to rely highly on expert
power on account of the nature of their business. Experienced professionals are generally clear
about their roles and in fact need more freedom and flexibility to perform effectively.

Result Oriented Appraisal

Majority of the respondents perceive the performance appraisal process to be fair and objective.
Respondents agree that the performance management system is objective and quantifiable
although they feel that the appraisal process does not factor or take into account the long term
achievements of employees. Clearly points out that organizations in the industry stress on short
term and consistent results from employees

Constructs
Incentive Rewards
Commissions or incentives are not linked to group performance or profitability. Rather they are
based completely on individual performance. Group Performance or profitability based incentives
are typically drawn out for Leadership team members and not at the business managerial levels

Participation
Employee Participation in decision making is encouraged in the industry. Majority of the
respondents perceive to have open communication lines within the organization and team
structure and believe that the management is open to listen to new ideas and allow them to
implement good suggestions in their day to day business.

Organizational Metrics
Average Quit rate in the industry is 12% and most of the respondents believe that their quit rates
are as good or better than competitors.

Average Absenteeism rate in the industry is 6% and most of the respondents perceive this to be
as good or better than competitors.
With respect to Profitability and sales, majority respondents believe both matrices to be higher
than the preceding 3 years. Employee productivity is considered to be the highest

Overall Assessment High Performance Matrices

The survey results clearly indicate that industry dynamics and size of the organization play a very
critical role while determining the benchmarks of high performance matrices in the industry. A brief
holistic assessment of all the key High Performance Matrices which have a strong interplay are
shared below.
Organized MNC players in the telecom industry have clear focus on high performance
matrices necessary for high growth in their business. Importance to processes in these
companies could also be because of the size of the organizations as companies which
are capital intensive and have high employee size find building processes as a business
imperative not only for growth but even for survival

Hence we have observed that organized players have scored very high on their existing
staffing and recruitment, performance appraisal practices, onboarding and training
processes and though employees do not have complete job security, there is clarity that
high individual performance is enough for career growth and fair rewards

At the same time, the Indian MNC from the Media sector and the company from the NGO
segment are clearly not very stringent in their processes. High performance practices are
not a norm and employees operate in an unstructured environment on account of which
there is a higher level of ambiguity in roles, lack of training and not much guidance in the
career development plans of the employees which is a high risk in the long run and
sustainability of organizations.

Comparative Analysis
High
Performance
Matrices

Company M
(Chinese
Telecom MNC)

Company SA
(European
Telecom MNC)

Company SH
(Indian NGO)

Company R
(Indian Media
MNC)

Selective Staffing

Highly Agreeable

Highly Agreeable

High

High

Training

Neutral

Neutral

Low as most of
the training is on
the job and
inadequate

Neutral
onboarding
training is
conducted but
ongoing training
practices for
existing
employees are
weak

Internal Mobility

Technology driven
business and
hence function
specific

Technology driven
business and
hence function
specific

Neutral

Low as they do
not have a strong
process and
orientation for job
rotation and other
flexible practices

Comparative Analysis
High Performance
Matrices

Company M
(Chinese Telecom
MNC)

Company SA
(European Telecom
MNC)

Company SH Company R
(Indian NGO) (Indian Media
MNC)

Employment
Security

Low on account of
less transparency
in the culture

High as compared to
other players across
industries

High as
performance
appraisal
process is
not very
strong

Low

Clear Job
Description

Low on account of
lack of
transparency

High

Low; very
ambiguous
roles and
unstructured

Low as
compared to the
MNC companies
in the industry

Result Oriented
Appraisal

High as market
share of Chinese
companies in the
industry is high

Low as compared to
other players in the
industry. Decision making
is also time consuming on
account of high reliance
on processes

Neutral but
Low
performance
management
process is
weak

Comparative Analysis

High
Performance
Matrices

Company M
(Chinese
Telecom MNC)

Company SA
(European
Telecom MNC)

Company SH
(Indian NGO)

Company R
(Indian Media MNC)

Incentive
Rewards

High

High

Low as its not a

business

Neutral

Participation

Low

High

High

Neutral

Profitability
and Sales

Low as they
focus on
underselling and
in intensive price
war

High as the focus

is clearly on
nurturing long
term relationships
with premium
customers

NA as its a not for

profit business, but
quit rate is high on
account of low
level of impact and
high gestation in
terms of success
ratio

Profitability is low as
compared to sales on
account of the intense
competition in the
industry and as
performance
Management
practices are not very
robust, productivity is
an area of
improvement

Conclusion & Recommendations

Organized large players from the telecom sector distinctly follow high performance practices leading to
sustainability and consistent growth, which needs to be imbibed by the other two companies from the
NGO and Media Sectors

Career development programs, Role ambiguity and Lack of Training with the smaller players are
extremely critical focus areas for improvement as it has a direct impact on long term sustainability and
growth of the organization. Moreover, it also has a strong linkage to productivity of employees which
eventually helps in building a high performance culture

The Indian MNC from the Media sector is in the process of building robust controls and strong
performance management practices which is a business imperative especially for companies in an
intensely competitive market

Thank You

Appendix
Respondent
R8
R1
R2
R4
R6
R7
R10
R11
R12
R13
R3
R5
R9
R14
R15
R1
R2
R3
R4

Q1
3
3
4
3
4
3
3
3
5
4
4
3.5
5
3
5
4
4
4
4

Selective staffing
Q2
Q3
2
3
3
3
3
3
2
3
3
4
2
3
3
3
2
4
4
3
4
4
4
4
3.5
4
3
3
4
3
5
5
4
5
5
4
3
4
2
4

Q4
3
2
4
3
4
3
2
4
3
4
4
3.5
4
4
5
5
5
5
4

Q5
2
2
1.5
2
3
2
2
2
3
3
2
2
2
3
3
3
2
3
2

Extensive training
Q6
Q7
2
1
3
2
NA
1
2
2
4
3
2
2
3
2
1
4
2
3
4
2
2
2
2
2
2
2
3
3
2
2
2
2
2
3
2
2
3

Q8
1
3
1
2
3
2
3
1
4
4
2
2
2
3
3
2
2
3
3

Q9
3
2
4
2
4
3
2
3
4
1
4
2
3
2
2
2
2
3
2

Internal mobility
Q10
Q11
Q12
2
4
3
2
4
3
NA
2
2
2
2
2
4
3
2
1
1
2
4
3
2
2
3
1
1
1
1
1
4
4
4
2
1
1
3
3
1
3
3
2
2
1
1
3
3
4
3
3
4
3
2
3
4
2
4
3

Q13
3
2
3
3
1
2
2
4
3
2
4
3
2
3
2
2
2
3

Employment secu
Q14
4
2
3
4
4
4
2
4
4
4
3
4
4
3
5
3
2
3
3