HR Compendium

Compiled by HR Direction
2014

Contents
Why HR does not get respect? ..................................................................................................................... 3
HR & its Impact ............................................................................................................................................. 5
Plant vs Corporate HR ................................................................................................................................... 9
Sub-domains in HR ...................................................................................................................................... 16
New Trends in HR........................................................................................................................................ 33
OB Theories ................................................................................................................................................. 38
Job Description and Job Analysis ................................................................................................................ 44
Key Performance Areas............................................................................................................................... 46
Employee engagement VS Employee Involvement .................................................................................... 50
Labour Law .................................................................................................................................................. 57
Compensation ............................................................................................................................................. 82
Performance Management System ............................................................................................................ 88
Learning and Development......................................................................................................................... 95
HR and Technology ................................................................................................................................... 100

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Why HR does not get respect?

What do you think are the major reasons that HR does not get respect in the
organization?

It is a general perception that HR department is all about rules and policies which
remove employees from their comfort zone. So they act disrespectful in some
organizations.

HR Department does not produce any quantifiable results like Finance or Marketing
departments. So there is another misconception that HR doesnt add any value to the
company and exists as a formality.

HR Department is the face of the management with the employees, so any grievances
they face are first addressed by HR. Therefore there is a negative connotation
associated with HR.
References: http://www.citehr.com/156748-no-respect-hr-leave-management.html
HBS case study on this topic

What do you suggest to change the current thinking of the employees towards HR?

First understand the role of Human Resources Management. HR is about maximizing

the productivity and potential of the human assets of an organization. HR is not there to
police rules and policies.

We need to understand the businesses that we support and solve problems. Then by
understanding business models and suggesting solutions we can gain respect in the
eyes of other departments

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Communicate. Explain to the business leaders what we were going to do and how it
would impact their business. At first this will be met with a lot of scepticism, but as we
provide regular updates with our progress the scepticism will decrease.

Sell what you have accomplished. Make sure the business leaders understand the
value HR is contributing to the organization.
References: http://www.citehr.com/156748-no-respect-hr-leave-management.html
HBS case study on this topic

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HR & its Impact

Q1 What are the top 10 best practices of high-impact HR organizations?
Structured governance and business case development (HR impact opportunity
39%). Building a business case requires a clear understanding of the business or
businesses that HR serves, as well as working relationships with all business leaders.
HR can achieve both by involving business leaders in the planning processes and
governance. This involvement also helps to ensure business alignment and, as a result
of that alignment, business buy-in and support.
Developing advanced workforce planning capabilities (HR impact opportunity
28%). High-impact HR organizations incorporate sophisticated forecasting and
workforce analytics into their processes. This enables them to translate company-wide
talent, business data and external workforce segment data into workable insights that
they can use and share with business leaders.
Implementing the right HR philosophies (HR impact opportunity 27%). Highimpact HR organizations tend to commit themselves to creating work environments that
enable employees to thrive both as individuals and as contributors to business success.
They strive to create positive employee environments, and clearly communicate these
expectations in the HR philosophy and mission. The most effective philosophies focus
on fostering innovation and collaboration, or creating the best place to work, while the
least effective philosophies focus narrowly on efficiency or cost-cutting efforts.
Reducing administrative work for HR business partners (HR impact opportunity
25%). Many HR functions have a role that is a liaison between the HR function and
business leaders. The specifics of this role vary widely. High-impact HR organizations
use it to advise senior business leaders, focusing on decision support, workforce
planning, leadership development and executive coaching. By enlisting the right person,
HR can improve its credibility across the enterprise, improve working relationships with
business leaders, cultivate mutual understanding and gain influence. When this role is
implemented poorly, with more focus on administrative duties and taking orders, our
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research found that it can actually reduce an HR functions ability to work effectively and
efficiently.
Implementing flexible HR organization design (HR impact opportunity 20%).
High-impact HR organizations are flexible and agile. No overall HR structural model
(centralized, decentralized or a combination of the two) in itself emerged as a predictor
of HR success. But certain structural features do lend themselves to areas of
excellence. One feature that we found to be universally valuable was flexibility. Fancy
organization charts and designs are fine provided that you also have a culture which
recognizes the need to adapt structurally when business needs and challenges change,
as well as an HR staff that is capable of making those changes.
Improving employee-facing HR systems (HR impact opportunity 19%). The most
significant contributions to the overall effectiveness of an HR function come from
community-building and self-service elements. Knowledge-sharing portals, web-based
recruitment tools and management dashboards let various HR stakeholders and clients
find what they need when they need it. HR functions with user-friendly client systems
are regarded as twice as effective and efficient as functions that do not invest in this
advantage.
Measuring both HR operational and business metrics (HR impact opportunity
19%). Measurement strategies in high-impact HR organizations have evolved to
ensure efficiency, effectiveness and business alignment. Such strategies incorporate
both operational measures by which to manage the HR function and strategic people
measures to support crucial business decisions.
Developing internal HR skills (HR impact opportunity 13%). As they focus on
programs to develop employees company-wide, HR organizations often neglect the
development of their own team members. This is a mistake. The world of HR solutions
is constantly changing. High-impact HR organizations must invest the time and money
needed to ensure team members competence grows in such disciplines as change
management and relationship management. Efforts must also focus on developing team
members business acumen, industry knowledge and command of current best
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practices in all areas of talent management, as well as the use of social networking
tools and other HR technology.
Improving line manager capabilities (HR impact opportunity 10%). A common
pitfall for many HR functions is the attempt to meet the needs of every stakeholder
directly, thereby spreading limited HR resources very thinly. High-impact HR functions
have prioritized the focus of their HR resources on building the capabilities of their
line managers. This decision allows them to work in partnership with their line
managers, versus trying to work around line managers who may be incompetent or illprepared.
Outsourcing HR services strategically (HR impact opportunity 10%). High-impact
HR organizations use outsourcing to enable their internal teams to focus on things that
cannot be outsourced, such as building business relationships and developing custom
solutions for business managers. These organizations outsource areas that can be
improved through economies of scale, or which require global coordination and
expertise. What an organization outsources often depends on its level of maturity.
Q4 How the different processes of HR impact the organization?
A4 Recruiting
One way that human resource departments affect organizations is that they manage
employee recruiting, which determines which employees are hired. The recruitment
process typically involves such tasks as looking at resumes, attending job fairs and
conducting multiple interviews. It is the responsibility of recruiters to ensure that the
company hires workers with skills and knowledge that an organization needs to be
successful.
Pay and Benefits
Human resources departments are often in charge of handling the distribution of
employee pay and benefits, and answering any questions that workers have about pay
and benefits. For example, if a worker becomes ill and doesn't understand how his
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health insurance coverage works, he may turn to the HR department for help. Similarly,
if a worker doesn't receive as much pay as he expects, he might ask HR to clear up the
confusion. If workers don't receive timely and helpful service from the HR department, it
may cause irritation that negatively affects morale or job performance.
Managing Risks
Hiring employees introduces a variety of risks, such as work-related injuries, arguments
and insubordination. HR workers are responsible for handling worker's compensation,
worker safety, dispute resolution and discipline. The way that an HR department
handles these issues can have serious financial consequences on an organization. For
example, if a worker complains about a safety issue that results in a injury, she might
file a lawsuit against her employer.
Learning and Development
In a modern economy, businesses must constantly evolve to take advantage of new
opportunities and technologies. A part of this evolution is making sure that workers have
knowledge and skills that are on the cutting edge of their fields. Equipping workers with
the skills they need to be successful through ongoing training and education is another
responsibility of human resource managers.
(Read more on this from the internet)

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Plant vs Corporate HR
1.) What is the difference in the roles of Plant HR and Corporate HR?
We can divide activities of HR Functions at plant level & corporate level. The
difference between Corporate HR and HR (Unit HR or Location HR or Zonal HR or
Regional HR) arises when there is more than one office for a particular company,
when one company is spread over multiple locations.
At plant level, skill set required of HR person would be different from that of
corporate as at corporate level mainly coordination work and framing of policy is
required but at plant level implementing of policy, various situation of employees,
liaison with government authority in terms of Labour and administrative laws.
Corporate HR is more into Strategies, Policies, Procedures and they take decisions,
which are in the interest of people at large and affecting everyone in the
organization. They are involved in aligning HR with Business and more towards
overall Organization Development.
HR (Unit HR/ Location HR/ Zonal HR/ Regional HR), other than Corporate HR are
more towards implementation of those policies, and maintain HR activities at unit
Level.
Corporate HR is more towards "Human Resources Development" and Other HR is
more towards "Human Resources Management".
Another difference is Corporate HR is at Macro Level and other HR is at Micro Level.
If there is a company having 25 offices in India. One of those offices will be
corporate office. There will be location HR Manager in each of the 25 locations.
There might be Zonal or Regional HR Manager taking care of 5-7 such location
Offices. Now, Corporate HR will be taking care of all the 25 locations whereas
Regional HR will take care of his region and location HR will take care of his
location.
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Corporate HR will not be involved in the nitty-gritty of day-to-day "Human Resource

Management". They will be taking decisions affecting all the employees across all
the locations. They will be ensuring uniformity in Processes and Procedures. They
will be working towards aligning HR with Business and taking care of overall
Organizational Development.
(Sub notes: Plant HR is also known as Industrial HR; Read up more on the internet
for this as it is an important topic to know for companies that would offer you a Plant
HR Profile)

Changing trends in HR
1.) What are the different trends observed by Dave Ulrich for HR right from its
evolution?

HRs rich history:

It is often easier to look back to what has been than forward to what might be. HR
has a rich history, but an even more exciting future. In the past half-century or so,
the HR profession has been through three general waves and a fourth is emerging.
Each wave follows a similar curve through time with start-up, learning, growth, and
then stability.
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Wave one emphasized the administrative work of HR, where HR personnel focused
on terms and conditions of work, delivery of HR services and regulatory compliance.
HR was predominantly what we would describe as an administrative and
transactional utility. The transaction and administrative work of HR continues today,
but it is done differently through outsourcing and technology solutions.
Wave two emphasizes the design of innovative HR practices in sourcing,
compensation or rewards, learning, communication and so forth. Innovations have
occurred in rewards, communication, training, recruiting, succession planning and
other HR practice areas. While each of these HR practice areas innovated in terms
of what and how it was done, they also were integrated with each other to provide a
consistent approach to HR.
Business success through strategic HR:
Wave three has focused on the connection of individual and integrated HR practices
to business success through strategic HR. For the last 15 to 20 years, HR has
worked to link its work to the strategy or purposes of a business. This work has
expanded HR practices from a primary focus on talent to include contribution to
culture and leadership. Given a businesss strategy, HR professionals would be
charged with assessing and improving talent, culture, and leadership to accomplish
the strategy. In this wave, HR professionals turned strategies into HR priorities to
deliver on strategic promises.
HR from the outside in:
Wave four uses HR practices to derive and respond to external business conditions,
called HR from the outside in. Outside-in HR goes beyond strategy to align its work
with business contexts and stakeholders. The three earlier waves represent HR
work that still has to be done well: HR administration must be flawless; HR practices
must be innovative and integrated; and HR must turn strategic aspirations into HR
actions. But rather than rely on these waves, future-facing HR professionals should

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look outside their organizations to customers, investors, and communities to define

successful HR.

2.) What is HR Analytics?

As HR has become more aligned with business, evidence-based HR and HR
analytics are

increasingly important. Without rigorously tracking HR investments

and outcomes, HR decisions and priorities remain whims not science. With HR
analytics, line managers and HR professionals can better justify, prioritize and
improve HR investments. While many HR decisions require insight and judgment,
improved HR metrics helps HR move towards professional respectability and
decision making rigor.
Big Data & HR Analytics:
Big Data in HR refers to the use of the many data sources available to your
organization, including those not traditionally thought of in HR; advanced analytic
platforms; cloud based services; and visualization tools to evaluate and improve
practices

including

talent

acquisition,

development,

retention,

and

overall

organizational performance. This involves integrating and analyzing internal metrics,

external benchmarks, social media data, and government data to deliver a more
informed solution to the business problem facing your organization. Using these
tools, HR organizations are able to perform analytics and forecasting to make
smarter and more accurate decisions, better measure efficiencies and identify
management blind spots.

3.) What are some of the next generation HR metrics which need to be focused on
for better performance of HR in organizations?
i.) The end of HR is to create value; improved HR analytics are a means to help
codify and to make value happen. Some companies are so concerned about the HR
scorecard or dashboard that they make metrics the end, not the means. Effective
HR metrics means doing more predictive than descriptive analytics. Descriptive
analytics have scorecards and dashboards that can be used for comparisons across
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time or with others. Predictive statistics emphasize a path with lead indicators and
outcomes of interest.
ii.) Avoid measuring what is easy and focus on measuring what is right. Just
because something can be measured does not mean it should be. In the past, HR
would measure activities (eg. how many managers received 40 hours of training or
how much people liked attending a training program). In future, we need to measure
the outcomes of those activities. When focusing on outcomes, it is important to have
a clear sense of what the desired outcomes of HR should be.
iii.) Third, keep measures simple and focused on decisions. Too often, the desire to
quantify HR leads to more HR data than insight. Turning valid data into thoughtful
decisions should be the focus of HR analytics. Sometimes this starts with data, when
HR information warehouses about employee attitudes, turnover, compensation,
performance and so forth can be used to improve decision-making. In these cases,
HR professionals need to learn how to cull key messages and trends from the data.
Turning complex data into simple messages requires that HR professionals can see
themes or stories in the information warehouses they access to make more informed
decisions.
iv.) Fourth, keep ownership and accountability of HR analytics with line managers.
Line managers are the ultimate owners of HR work; they have final accountability for
what is done and how well it is done. HR professionals are architects who build
blueprints for actions and lay out choices that can be made. To gain line manager
buy-in and support for HR analytics, it is important to involve line managers in
determining the goals of the HR metrics, in defining which HR metrics should be
used and applying those metrics for improved decision making.

Some key HR metrics are:

Recruitment Metrics

Hiring manager interviews to offers ratio

Yield ratio (percentage of hires by recruitment source)

Employee referral rates by department or business units

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Quality of hire - by averaging job performance rating of new hires, the

% of new hires reaching acceptable productivity with acceptable time
frame, and the % of new hires retained after one year.

Retention Metrics

Retention rate of critical employees

High/Low performer retention differential - comparison of departures by

performance review ratings, to determine if there are patterns there
that should be addressed

Resignation rates by department

Compensation/Benefits Metrics

Appraisal rating-to-salary ratio

Recognition reach in key populations - Do your top employees feel

appreciated at your company? Are they building critical relationships
with peers and managers that will keep them happy and productive?

Culture and Diversity Metrics

Strength of company values - performance review data and real-time

recognition data to measure the comparative strength of your company
core values

Employee happiness - Consider pulse surveys, or at the very least

adding a few questions to your satisfaction or engagement surveys to
measure this critical stat

Average workforce age/projected retirements

Staffing/Performance/Productivity Metrics

Development Metrics

Employee satisfaction with learning & development opportunities

Social graphs and percentage of employees reached by recognition

Recognition analytics will help visualize real-time relationships and
communication among workgroups

4.) What is gamification, its use in learning and development?

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Gamification is the process of enabling the participants to learn in the learning and
development scenarios through applying games and make it more engaging for the
learner. In this process, the learner competes with the co participants or
participates individually and through this interactive exercise learns and earns
rewards for his/her performance.
The digital gaming technology which has been fast growing is used for the
purpose of implementing gamification in learning. The technological development in
HR has helped in implementing e-learning techniques in different organizations, but
usage of gaming is a completely different and new concept which is still evolving.
There are many computer/ online/ smart phone based games available in the
market for the organizations to impart training to their employees, but the ones which
lead to effective development of employees are those which are aligned with the
business objectives. So, identifying the requirements is the first step to be carried
out before a company implements this process. After identifying, the company can
collaborate with game developers to identify/ develop (if necessary) games which
would be suitable to the companys requirements. The design should be such that
the actions and achievements are visible to the trainees and not just entertaining.

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Sub-domains in HR
Q. What are the different sub domains of HR?
Broad Sub - domains of HR are depicted below -

The primary objective of Human Resource Management is to ensure the availability of a

competent, willing and engaged workforce to an organization. Hiring, Developing and
Retaining the Right Talent for a firm could be the source of competitive advantage for
the firm. HR Management involves discharging functions viz. HR Planning, recruitment,
selection, L&D (Learning and Development), C&B (Compensation and Benefits),
Performance Management, Trade Union Management, Legal and procedural
compliance, formulation of company policy and procedures et al. A gist of sub domains
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of HR is given in this question. However it is highly advisable to refer to Standard Books

of HRM to get deep insights into the different headers for Summers.

1. Recruiting & Selection

Recruitment The process of searching for prospective employees and attracting them to apply for
jobs in the organization. This involves
-

discovering the sources of manpower to meet the requirements of the staffing

schedules

employing effective measures for attracting that manpower in adequate numbers to

facilitate effective selection of an efficient workforce for a vacant job position.
Recruitment Process Finding out the requirement (hiring vs. exit), upcoming vacancies, kind of employees
needed
Developing suitable techniques to attract suitable candidates attracting talent pool
Factors Affecting Recruitment

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Internal Recruitment
Advantages

Disadvantages

Low Cost

Politics could play greater role

Candidates always oriented towards

Candidates current role may be affected

company
Increases organizational knowledge

Lower Morale for those not promoted

about candidates
Enhanced employee motivation
Good performance is rewarded
Internal Job Referrals/Recommendations
mean other employees vouching for a
candidate. This means better credibility

External Recruitment (Lateral Hiring)

Advantages

Disadvantages

Induction of new skill, talent, experiences

Costly
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in organization - knowledge of best

practices from other organizations
Adjustment of new employee to
organizational culture takes time
Chances of more errors while selecting
the candidate
( Read: False Positive Error & False
Negative Error)

A combination of internal recruitment, campus recruitment, and executive search is

leveraged to meet up to the changing needs of the organization.
In todays rapidly changing business environment, organizations have to respond
quickly to requirements for people. Hence, it is important to have a well-defined
recruitment policy in place, which can be executed effectively to get the best fits for the
vacant positions.

Selection :
It is the process of differentiating between applicants in order to identify and hire those
with a greater likelihood of success in a job.
Selection Process Involves (Sequential Steps)
1. Preliminary Interview
2. Administering Selection Tests
3. Employment Interview
4. Reference and Background Analysis * ( Important, Latest Trend picking up )
5. Selection Decision
6. Physical Examination
7. Job Offer
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8. Employment Contract

2. Performance Management System (PMS)

Performance Appraisal + feedback + coaching = Performance Management
System
Performance Management system (PMS) is a continuous process of indentifying,
measuring, and developing the performance of individuals and team and aligning
performance with the strategic goal of the organization.
It is based on three pillars :
o Setting clear and measurable goals
o Implementing concrete actions
o Imposing rigorous consequences
o Objectivity

Methods employed:- (Important)

360 degree performance appraisal
Mechanisms like 360 degree feedback provide feedback from superiors, peer groups
and subordinates to provide holistic and objective evaluation of the employees.
Assessment on their potential is communicated transparently to all employees
individually and career paths are shared with them.

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Management by Objectives (MBO)

MBO is a process whereby superior & subordinate managers of an organization jointly
identify its common goals, define each individuals major areas of responsibilities in
terms of results expected of him & use these measures of guides for operating the unit
& assessing the contribution of its members. The MBO focuses attention on
participative set goals that are 13 tangible, verifiable & measurable. The superior &
subordinates jointly determine goals to be considered during appraisal period & what
level of performance is necessary for subordinates to satisfactorily achieve specific
goals. During performance appraisal period the superior & subordinates update & alter
goals as necessary due to changes in business environment. If not achieved identify
reasons for deviation.

Forced Bell Curve

Bell curve system of appraisal is a forced ranking system imposed on the employees by
the management.

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It assumes that employee performance level conforms to a normal statistical

distribution.
Read : http://www.chrmglobal.com/Articles/394/1/Bell-Curve-Method-ofPerformance-Appraisal.html
Advantages of PMS are :
Motivation to perform is increased
Self-esteem is increased
Managers gain insight about subordinates
The definition of job and criteria are clarified
Self-insight and development are enhanced
Administrative actions are more fair and appropriate
Organizational goals are made clear
Employees become more competent
Organizational change is facilitated

Performance Appraisal
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A performance appraisal (PA) system is an objective assessment of an individuals

performance against well defined benchmarks. Performance appraisals are a part of
career development and consist of regular reviews of employee performance. Other
aspects of individual employees are considered as well, such as organizational
citizenship behaviour, accomplishments, potential for future improvement, strengths and
weaknesses, etc.

An effective Performance Management System should achieve the following:-

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 Review the employment cycle of every employee,

Beginning with the recruiting process,
Employee development,
Ending with effective exit interviews.
Employees knowledge, skills, and abilities with the organization's human capital
needs and business objectives.

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 Provide managers and employees with the tools necessary to focus on short-term and
long-term goals that contribute to both career and organizational success

There are a number of potential benefits of organizational conducting formal

performance appraisals (PAs) :o Minimising job dissatisfaction and employee turnover
o Facilitation of communication
o Enhancement of employee focus through promoting trust
o Goal setting and desired performance reinforcement
o

Performance improvement

o Determination of training needs

o Ensuring consistency between organization strategy and behavior within organizations.
Reasons for failure of PMS

Read : http://regenesys.co.za/2011/03/10-reasons-why-performance-management-failsand-how-to-remedy-them/

Page 25

Difference between PA and PMS*

Biases associated with PMS (V.Important)

Read : http://www.managementstudyguide.com/performance-appraisal-bias.htm
o Halo effect
o Error of central tendency
o Personal Prejudice
o Recency effect
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o Rater Effect
o Spillover Effect

3. Compensation & Benefits

This function involves creating and implementing Compensation policies for the
employees.
o Payroll Administration
o Performance Appraisals
o Rewards & Recognition
o incentive Pay Policies
o Provide Wage Comparisons
o Group Health, Dental & Vision Insurance
o Life & Disability Insurance
o Accident, Sickness & Cancer Insurance
o Flexible Spending Accounts
o Retirement Plan Administration
o Employee / Employer Relations
o Intermediary between Parties
o Open-door Policy for Employee Questions & Concerns
o Strict Privacy Policy on Employee Records, Exit Interviews

4. Learning and Development

The need for Training and Development is determined by the employees performance
deficiency, computed as follows.
Training & Development Need = Standard Performance Actual Performance.
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Training: Training refers to the process of imparting specific skills. An employee

undergoing training is presumed to have had some formal education. No training
program is complete without an element of education. Hence we can say that Training
is offered to operatives.
The Training Inputs are: Skills
Education
Development
Ethics
Problem Solving Skills
Decision Making
Attitudinal Changes

Development: Development means those learning opportunities designed to help

employees to grow. Development is not primarily skills oriented. Instead it provides the
general knowledge and attitudes, which will be helpful to employers in higher positions.
Efforts towards development often depend on personal drive and ambition.
Development activities such as those supplied by management development programs
are generally voluntary in nature. Development provides knowledge about business
environment, management principles and techniques, human relations, specific industry
analysis and the like is useful for better management of a company.

LnD function involves:

o Assessing the learning needs of a particular job and creating a proper Learning program
for the same.
o Someone who has had an experience/ interest in teaching would be in a better position
to perform well in this Function.
o It also includes making Simulation games which not only assess the skill gaps of the
employees, but also make sure that they are fixed.
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The design of the training program can be undertaken only when a clear training
objective has been produced. The training objective clears what goal has to be
achieved by the end of training program i.e. what the trainees are expected to be able to
do at the end of their training. Training objectives assist trainers to design the training
program.

Training Design:The trainer Before starting a training program, a trainer analyses his technical,
interpersonal, judgmental skills in order to deliver quality content to trainers.
The trainees A good training design requires close scrutiny of the trainees and their
profiles. Age, experience, needs and expectations of the trainees are some of the
important factors that affect training design.
Training climate A good training climate comprises of ambience, tone, and feelings,
positive perception for training program, etc.
Trainees learning style The learning style, age, experience, educational background
of trainees must be kept in mind in order to get the right pitch to the design of the
program.
Training strategies Once the training objective has been identified, the trainer
translates it into specific training areas and modules. The trainer prepares the priority
list of about what must be included, what could be included.
Training topics After formulating a strategy, trainer decides upon the content to be
delivered. Trainers break the content into headings, topics and ad modules. These
topics and modules are then classified into information, knowledge, skills, and attitudes.
Sequence the contents Contents are then sequenced in a following manner:
From simple to complex
Topics are arranged in terms of their relative importance
From known to unknown
From specific to general
Dependent relationship
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Training tactics Once the objectives and the strategy of the training program becomes
clear, trainer comes in the position to select most appropriate tactics or methods or
techniques. The method selection depends on the following factors:
Trainees background
Time allocated
Style preference of trainer
Level of competence of trainer

5. Employee Engagement
Employee engagement is the measure of how involved and committed the workers are
towards their organization and values. A well engaged employee is well aware of the
day to day happenings of the organization and work with his or her fellow colleagues to
improve the performance of the individual and works towards the betterment of the
organization. It is an optimistic attitude that the employees hold towards their
organization.
Employee engagement is how the employee feels about his workplace employee feels
about his workplace and whether he or she is satisfied with the work or not. It is also
concerned with the emotions of an individual employee, the unique emotional balance
of employees and their experience.

Engagement assessment: This HR practice plays a crucial role in every organization.

Employees who are engaged perform to their full potential, they are motivated and can
also improve their skills as they progress. Employee engagement plays a vital role in
the hotel because it affects everything from retention and productivity to profitability and
safety. In todays world organizations have found out various methods of creating
competitive advantage. They have created competitive advantage through innovation,
quality products, technology and pricing technology. Organizations view customer
service that exceeds expectations as their key to success. Engaged employees provide
quality service. Now there are a numbers of jobs in every industry but organizations
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need to focus on the right people for the right job. They should also make sure that
these right people are satisfied with their work.

6. Health & Safety

Safety implies absence of accidents ie ensuring protection of workers from workplace
hazards. Providing safety to employees has moral dimension as well as a legal
requirement. Thousands of employees suffer from accidents everyday this could lead
to total, temporary or permanent disability.
There are laws covering occupational health and safety, and penalties for non
compliance. An employer needs to ensure that an accident doesnt lead to
incapacitation/death of an employee. Monetary compensation does not bring back a
person as a healthy individual.
The safety policies of organizations cover aspects viz.
o Provision of Designated Medical Services
o Safety Training
o Workers Compensation Administration
o Injury Recording and Reporting
o Worksite Visits
o Provide Proof of Workers Compensation Coverage

7. Industry Relations
Industry Relations (IR) is concerned with management of relations between workers
and employer (management) and the role of regulatory mechanism in resolving any
dispute.
Employers, Employees, Unions, Government and Judiciary have stakes in IR.
IR assumes its significance owing to its direct linkage with productivity, ethical
dimensions and legal compliance. IR is perceived as a method to involve
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workers/employees in decision making, share ideas with them, redress grievances and
improve working conditions. All this culminates into increased productivity and morale.
Broadly IR covers the following areas
a. Collective Bargaining
b. IR Training
c. Labor legislation
d. Grievance Management
e. Disciplinary practice and procedure
f. Role of management, unions and government
g. Improving Working Conditions
In todays era, there is a need for proactive strategy to tackle IR. This involves ensuring
proper communication of company philosophy, fostering relationships with employees
and unions, developing competence of managers and supervisors and ways of dealing
with a conflict as and when it occurs.

8. Strategic Planning
HRM makes strategic management effective by supplying human capital that is
competent and committed and works in sync with organizational strategic goals.
Strategic HRM in essence deals with taking fast, integrated, proactive initiatives to o

Change Management - in the event of Mergers, Acquisitions, Alliances, JV cultural

integration

o Help Prevent Unnecessary Employee Expenses (Commercial Proclivity )

o Provide Defined Employment Expense Reports
o Provide Employees Continuity in Ownership Changes
o Encourage self teams & transformational leadership
o Design jobs that are flexible, require cross training and have enhanced scope
o Succession Planning
o Human Capital Management ( Retaining and Developing Right Talent )
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New Trends in HR
Q. What are some of the ways in which recruitment has changed in the current
times?
# In todays times, it is not just about following the old school recruitment methods of job
advertisements, job search sites etc. With the changing demography of the workforce,
the companies need to get innovative, as well as move away from the traditional
sources of headhunting. Some of the ongoing and upcoming trends are:

Social Recruitment:
With the evolution of the social networking sites (like Orkut, MySpace to Facebook,
Twitter), moving towards business networking sites (LinkedIn), recruiters now have
plethora of new sources of spotting the interested/competent candidates. The Gen Z,
which extensively uses the virtual world to socialise, offers the recruiters the opportunity
to scan the profiles of candidates and get an idea of the kind of person they are for the
vacant job roles.

Mobile Recruiting:
This is the next big thing as for the Gen Z available on their mobiles 24X7, and apps for
anything and everything being available, thanks to the technological advancement,
using apps for luring the candidates, from submitting their resumes, to applying for the
job etc.

Visual CV:
Recruiters can get better idea using the Visual CVs which are in an infographic style
having attractive visuals thus directing the attention towards the relevant points in a
short span of time.

Creative Recruitment:

o Open Houses:
Another layer can be added between resume-submission and the one-on-one interview.
One option is inviting all eligible applicants to an open group event, such as an Open
House. The screening is done in a more efficient way through this as the number of

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people who would turn up for such events are the genuine candidates, so only so many
CVs would need to be screened.
o Speed-dating style of interviews:
This can be taken before the final interviews for a quick knowhow of the candidate as it
helps us guage him/her on the sense of urgency, passion and daring to go the extra
mile. Domain knowledge can be taught, but all these cant be taught.
o Jobcasting:
Jobcasting is the process of combining job openings and employer branding with audio
podcasts. By podcasting your jobs youll bring your organization and your jobs to life,
humanize the face of your company, and tap into social networks like LinkedIn,
Facebook, and Twitter. With Jobs in Pods, your job requirements and employment
branding can have a real voice.

Increased focus on diversity of workforce including women, physically challenged,

LGBT etc

Q. Do you see any scope of changing the way Learning & Development is
imparted in an organization? Some new trends?
Learning & Development is the way of imparting knowledge and skills to the employee
along with the overall development of the personality. It is mostly business need
dependant. The age-old methods have been traditional classroom trainings. With the
changing business landscape, e-learning mode of delivery became common .i.e.
availability of learning programs on the web and through Learning Management
Systems, enabling the employee for self-paced learning. To facilitate multi-location
trainings at the same time, webcasts, and virtual instructor led trainings also became
common.
The new mode is Gamification. It is concept of applying game-design thinking to nongame applications to make them more fun and engaging. Professional services firms,
FMCG companies etc are using this technique. It represents the fusion of four trends:
the explosion of social media usage, the mobile revolution, the rise of big data, and the
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emergence of wearable computing. Khan Academy is an example of imparting learning

through this mode.
Q. In todays business scenario, how do you see Rewards & Recognition
changing the way it is implemented?
# Recognition can be done through various ways. Some of them are sending thank you
notes from the superiors to their subordinates, or from peers to peers etc. Some of the
best practices currently are:

Philips Innovation Campus: They have a very innovative portal ConnectUs. This
showcases to all employees who is rewarded and for what behaviour.

IBM: BluThx is a tool by which an employee who has made a contribution to another
employees work can be recognized using this, and this shows up on the profile of that
employee.

Ingersoll Rand: Extra Mile award for employees going above and beyond the normal
call of duty to provide a service or solution.

American Express: RewardBlue is a global recognition programme that enables

leaders and employees to recognise and appreciate each others value and
contributions

Qualcomm: An annual report published about people on the lines of the annual report
of a company. This celebrates the culture, successful employees and organizational
practices.
Rewards include Employee Stock options, an all-expenses paid trip with family, bonus,
more authority/power in terms of choosing the work etc. Niche skills are difficult to find
and thereby important to retain. Offering them competent pay packages along with
stock options and wealth-building programmes based on their performance becomes
important.

Q. How do you think HRIS has changed the role of HR from transactional to
Strategic?

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Human Resource Information System has changed the entire HR function in the
industry as with the leveraging of technology, the ease of catering to the transactional
role has changed as those are processes by using softwares like SAP on which is built
the entire Employee Management System. This leaves time for the HR to focus more on
the strategic aspect of business and aligning HR function to the business need .i.e. the
vision and mission of the organization.
Also, for L&D, frameworks like SABA are used to facilitate ease of employee Self-paced
learning.
With the advent of cloud computing, HR has moved towards leveraging it by entering
into Shared Services i.e. roping in a third party to take care of the transactional
activities.

Q. Are there any recent trends seen in Performance Management System?

# A new trend emerging in Performance Management System is Social PMS. Since the
Gen Z is used to social collaboration and continuous feedback, companies are looking
to replace the bi-annual reviews by shorter and frequent review mechanisms involving
360-degree feedback process which would help rectify any unwanted behaviours on the
employees part and would also let him/her voice their concerns which might be
hampering their performance.
Q. With increasing aspirations of employees, in todays competitive marketplace,
how do you think we can engage the employees and try and retain them?
The upcoming trend, which is being followed by almost every company, is by creating
Internal Social Networks. These help promote open communication among the
workforce. This also shows the culture of the organization in terms of value sharing and
empowering the workers. Example: Companies like Deloitte use Yammer which is an
online social collaboration tool.
Also, constant mentoring for employees and taking into consideration their aspirations
and desires and trying to accommodate them into the job role, allowing them change of

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domains or business areas they might want to work in the organization etc help retain
the employees. Money is a hygiene factor, not a motivation factor.

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OB Theories
1. What are the major job attitudes?
The major job attitudes are broadly categorized into three: Job Satisfaction, Job
Involvement and Organizational Commitment.
Job Satisfaction is a positive feeling towards the job as a result of evaluation of the
major characteristics of it. A person who has a high level of Job Satisfaction holds a
positive feeling towards the job, while a person with a low level holds negative feelings.
Job Involvement is strongly related to Job Satisfaction. It is the degree to which people
identify psychologically with their job and consider that their performance level important
for their self-worth. It can come when a person gets involved in discussions and
decision making, and feel that their work is important to the organization.
Organizational Commitment is achieved when an employee identifies with a particular
organization and its goals and also, wishes to remain a member. Research has proven
that an emotional attachment to an organization and belief in its values is the epitome of
Employee Commitment.
There are two other forms of job attitudes, namely, Perceived Organizational Support
and Employee Engagement
Perceived Organizational Support is the degree to which the employee believes that
the organization values and cares about their contribution and is concerned about their
well-being. Supposing a person believes that his organization will accommodate him if
he had a child care problem, is a direct consequence on the same. Do stress on the fact
that this is purely a perception and may not hold true in practice.
Employee Engagement is an attitude towards ones job whereby there is a satisfaction
and enthusiasm towards ones job. A highly engaged employee will have a passion for
their work and feel a sense of deep connection to their company while a disengaged
employee is one who devotes time, but not energy and attention to their work.
Employee engagement does not mean employer happiness. Someone might be
happy at work, but that doesnt necessarily mean they are working hard, productively on
behalf of the organization. While company game rooms, free massages and Friday keg
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parties are funand may be beneficial for other reasonsmaking employees happy is
different from making them engaged.
Employee engagement doesnt mean employee satisfaction. Many companies have
employee satisfaction surveys and executives talk about employee satisfaction, but
the bar is set too low. A satisfied employee might show up for her daily 9-to-5 without
complaint. But that same satisfied employee might not go the extra effort on her own,
and shell probably take the headhunters call luring her away with a 10% bump in pay.
Satisfied isnt enough.

2. What do you mean by Social Loafing?

Social Loafing is the tendency for individuals to expend less effort when working
collectively than when working individually. This means individuals put in less effort
when they work in groups compared to when they work individually.
Causes of social loafing can be:

Seeing some individuals in the group as lazy or inept, an individual reduces his own
efforts.

As group output and individual input cannot be identified, some individuals are tempted
be free riders

3. What is Group Thinking?

When individuals suppress, withhold or modify their views if they are different from the
dominant majority view of the group, it is termed as Group Thinking.

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In the above diagram, because everyone said NO, the individual who wanted to say
YES also agreed to a NO, suppressing his views.

4. What is MBTI?
The Myer-Briggs Type Indicator (MBTI) is a personality assessment instrument that is
most commonly used.

It is a 100 question instrument

Asks people about how they usually feel or act in particular situations
The individuals may be a combination of any of the below cases:
Terms

Characteristics

Extroverted (E)

Outgoing, Sociable, Assertive

Introverted (I)

Quiet, Shy

Sensing (S)

Practical, Prefer routine and order, Detailoriented

Intuitive (N)

Rely on intuition, Look at the big picture

Thinking (T)

Rely on reason and logic to handle

problems

Feeling (F)

Rely on personal values and emotions to

handle problems

Judging (J)

Control-oriented, prefer structure and

order in their work environment

Perceiving (P)

Flexible and spontaneous

Some typical personality types are as follows:

ESTJ are termed as organizers: They are sociable, assertive in nature, with a practical
attitude. They prefer routine and order and take extra care to sort out the details. They
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rely on reason and logic and not emotions, to handle issues and prefer a structured and
orderly workspace.
Similarly, each personality type has its own set of characteristics.
5. What are the contemporary theories of motivation?
There are some traditional Motivation Theories, namely:

Maslows Hierarchy of Needs Theory

McGregors Theory X and Theory Y

Herzbergs Two-factor Theory

McClellands Theory of Needs

Other than the above, there are a few other theories that come under the purview of
Contemporary Theories of Motivation.

Self Determination Theory: The theory proposes that people prefer to feel that they
have control over their actions. So, anything that they once did with a free will, become
more of an obligation, it affects their motivation levels

Goal Setting Theory: The theory states that specific and difficult goals, when coupled
with a feedback leads to higher performance.

Self-Efficacy Theory: A theory that relies on the premise that an individuals belief that
he is capable of doing a task, affects his motivation level.

Reinforcement Theory: This theory proposes that behavior is a function of its

consequences. This means that this theory does not concern itself with the inner state
of the individual and concentrates solely on what happens when he or she takes the
action.

Equity Theory: This theory states that an individual compares his jobs input and output
with that of others, whether within or outside the organization, and then responds to
eliminate these inequalities. The position that the significant other holds in the
organization or in other organizations play a role in this regard.

Expectancy Theory: This theory states that the individuals tendency to act in a certain
way depends on strength of the expectation that the act will be followed by a particular
outcome and the attractiveness of that outcome to the person in question.

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6. What is a Group? How is a group different from a Team?

A group is two or more people interacting and interdependent who have come together
to achieve a particular goal. It can be a formal group that is organizationally structured,
vis--vis an informal group that is not organizationally structured.
A group that interacts to share information and make decisions to help each group
member perform within his or her area of responsibility is a work group.
A group whose individual efforts result in performance that is greater than the sum of its
individual inputs.
The difference between the work groups and work teams are as follows:
Characteristics

Groups

Teams

Goal

Share Information

Collective performance

Synergy

Neutral(sometimes

Positive

negative)
Accountability

Individual

Individual and mutual

Skills

Random and Varied

Complementary

7. What are the stages of team formation?

There are five stages through which the team must progress to become highly
effective. They are:

Forming

Storming

Norming

Performing

Adjourning
Forming
At this stage, the individual team members have not yet become a team. They are still
finding out about each other and need to feel included; they seek to know one
anothers attitudes and backgrounds, and to establish the ground rules. Individuals are
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also keen to establish their own personal identity in the team and make an impression
on their fellow team members. The main issues for the team, at this stage, are cohesion
and involvement.
Storming
This is the stage during the formation of the team where most conflict is encountered. It
can be a very difficult time within the team, where team members will engage in conflict
and test the limits. Individuals will bargain with each other as they try to sort out what
each of them wants from the team process. Individuals will communicate their personal
goals and it is at this stage that conflict may prevail when differences in individual goals
are revealed. Individuals within the team may resist control and show opposition to
other team members. The major issues at this stage are team direction and the
management of conflict.
Norming
This is the stage where group norms are established such as the norms of behavior and
role allocation. The individuals within the group develop ways of working to forge closer
relationships and harmony where mutual trust and respect exists. The team focuses on
goals and delivering results. Individuals welcome feedback.
Performing
This stage is concerned with actually getting on with the task in hand and achieving the
overall objectives. The team will probably engage in group thinking and exclude nonteam contributors. At this stage, the issues faced are more likely to be concerned with
individual performance such as de-motivation. Some teams never reach this point as
they are caught up in an earlier stage.
Adjourning
In this final stage, the team may disband because they have either completed the task

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Job Description and Job Analysis

1. What is Job Description?
A job description is a brief description about the job, designed by the employers for
the employee. This is a list that contains the general tasks, responsibilities and
functions that the individual appointed for the job position has to perform or is held
responsible for.
Although the design or layout of the job description is described or differs depending
on the firm and it may sometimes take many forms but it typically includes at least
these sections :Firstly a brief summary of the job
To whom the position reports
Then a list of job duties and requirements for the job it also includes any other
important information about the job.
Details about the competencies required, Specifications like qualification or
skills needed by the person appointed for the job

2. What is job analysis?

A Job Analysis is the process used to collect information about the duties,
responsibilities, necessary skills, outcomes, and work environment of a particular job.
You need as much data as possible to put together a job description, which is the
frequent outcome of the job analysis. Additional outcomes include recruiting plans,
position postings and advertisements, and performance development planning
within your performance management system.
The Job Analysis may include these activities:
Reviewing the job responsibilities of current employees
Analyzing the work duties, tasks, and responsibilities that need to be
accomplished by the employee filling the position
Researching and sharing with other companies that have similar jobs
Articulation of the most important outcomes or contributions needed from
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the position.
3.How is job enrichment different from job enlargement?
The difference between job enrichment and job enlargement is quality and quantity.
Job enrichment means improvement, or an increase with the help of upgrading and
development, whereas job enlargement means to add more duties, and an increased
workload. By job enrichment, an employee finds satisfaction in respect to their
position and personal growth potential, whereas job enlargement refers to having
additional duties and responsibilities in a current job description.

Read more: http://www.differencebetween.net/business/difference-betweenjobenlargement-and-job-enrichment/

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Key Performance Areas

are the areas within the business unit, for which an individual or group is logically
responsible.
.Q. What is a competency?
Ans. Competency are measurable clusters of Knowledge Skill and Abilities(KSA)
that are critical in determining how results will be achieved. Examples of
competency are customer service, written or oral communication, creative
thinking and so on.
'Competency' is a behaviour that an employee must possess, or must acquire, in order
to be a high performer.
Competencies are behaviours that encompass the knowledge, skills, and attributes
required for successful performance. Competency includes "applied" knowledge or
the behavioural application of knowledge that produces success. It is
manifestation of skills that produce success.

Competencies are a signal from the organization to the individual of the expected areas
and levels of performance. They provide the individual with a map or indication of the
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behaviours that will be valued, recognized and in some cases rewarded. Competencies
can be understood to represent the language of performance in an organization,
reflecting both the expected outcomes of an individuals efforts and the manner in which
these activities are carried out. Management competencies work with technical
competencies to develop a well-managed high performing organization
In addition to intelligence and aptitude, the underlying characteristics of a person, such
as traits, habits, motives, social roles, and self-image, as well as the environment
around them, enable a person to deliver superior performance in a given job, role, or
situation.
An example of competency model for an HR Professional is as under:-

Q. What are the benefits of a competency based system?

Ans. Some of the benefits of a competency based system are as under:
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Employees have a set of objectives to work towards

It helps in setting clear expectations about how employees are expected to perform their
jobs
The appraisal and recruitment systems are fairer and more open.
It helps in linking organizational goals and individual employee objectives.
Processes are measurable and standardized across organizational and geographical
boundaries.
Increase the effectiveness of training and professional development programs by linking
them to the success criteria
It leads to a more objective process of measurement
Q. What is the difference between KRA and KPI?
Ans.
KRA - Key Result Areas

KPI - Key Performance Indicators

Defines Outcomes

Defines how the outcomes can be

measured

Developed from the Job Description

KPI for each KRA is derived from the

corporate objectives

Defined in the goal setting process of

Measured frequently in every stage

the companys performance

after the goal setting stage of the

management cycle

companys performance
management cycle

Example:
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KRA

KPI

Employee Satisfaction

Performance Management System

Transparent Policy
Employee Satisfaction Survey
2 new initiatives
Career development plan/ Successor
plan

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Employee engagement VS Employee Involvement

Q-1 What is employee engagement?
Employee engagement is a workplace approach designed to ensure that employees are
committed to their organizations goals and values, motivated to contribute to
organizational success, and are able at the same time to enhance their own sense of
well-being. This is about how company create the conditions in which employees offer
more of their capability and potential.
Q-2 What are five critical imperatives for managing engagement?

Assess
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1. Assess: Measure perceptions of past events, present experiences, and future

expectations

Past events and future expectations explain nearly half of discretionary effort level and
two-thirds of intent to stay.

Prioritize
Select initiatives that produce long-term, not just initial impact. Engagement drivers
effect on engagement capital is determined not only by the initial improvement in
engagement levels but also by how long the impact lasts. Balance drivers that initially
improve engagement and sustain their impact over time to ensure that the organization
maintains engagement levels that meet current needs and builds engagement for
meeting future objectives
Implement

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Involve individuals beyond the manager. At most organizations, primary accountability

for employee engagement lies with senior leaders (62%) and line managers (59%).
However, other agents can increase engagement, including the organization (by 9% on
average) and peers (by 6% on average). Peers, in particular, are effective at building
engagement capital among their peers by helping to clarify roles, providing informal
feedback, and sharing information about career paths

Decide:
Inform business decisions with engagement capital data. Organizations rarely use
engagement information to inform business decisions, such as market entry, product
and service offerings, and mergers and acquisitions. However, engagement levels can
actually improve or hinder how organizations execute critical business decisions. High
engagement capital gives organizations the flexibility to implement plans that may
otherwise be disruptive, risky, or potentially damaging to the workforce

Sustain:
Build workforce resiliency to change with engagement capital. While organizational
changes can decrease discretionary effort and intent to stay, employees with higher
engagement capital before a change occurs are more resilient and recover faster. In
fact, discretionary effort fully recovers after six to nine months among employees with
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high engagement capital but fails to fully recover among employees with low
engagement capital.

Q-3) What is employee Involvement? What are the different ways of employee
involvement?
Regular participation of employees in deciding how their work is done,
making suggestions for improvement, goal setting, planning, and monitoring of
their performance. Encouragement to employee involvement is based on the thinking
that people involved in a process know it best, and on the observation that involved
employees are more motivated to improve their performance.
Employee involvement is not the goal nor is it a tool, as practiced in many
organizations. Rather, it is a management and leadership philosophy about how people
are most enabled to contribute to continuous improvement and the ongoing success of
their work organization.

Different ways of employee involvement

1) Management Involvement - the workforce needs to see and I mean physically see,
that management is not only involved, but committed to the initiative. Senior leadership
should be involved in the initial roll-out of LEAN education, as well as the Kaizen events
aimed at standardizing processes and the defining of goals and standards. They should
remain engaged thereafter, and even reinforce their commitment by following Leader
Standard Work and truly participating in the process.
2) Positive Feedback If feedback from management is always negative, the workforce
will begin to perceive the program as just another way for management to monitor them,
under the pretext of an initiative. Management needs to consciously provide positive
feedback as well, so the workforce feels they are recognized for good performance as

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well. In addition, negative feedback needs to be handled carefully to-increaseemployee-involvement-in-continuous-improvement-programs

3) Employee Suggestion Program Create an employee suggestion program. Its
imperative that entries received are followed up on. Designate an individual that will be
responsible for providing immediate feedback to the employee who submitted a
suggestion, even if that means just a, Thank you for your submission. We will review
and let you know how we might be able to make improvements. This goes a long way
in making an employee feel like their opinion is valued
4) Correlate the Facility Performance to the End Goal In many cases employees
do not understand the end goal. The reason for becoming more productive in a facility is
to control operational costs, which ultimately makes your company more profitable or
your service more competitive. Other than just publishing improvements on individual
and site productivity, also publish a measure of how the overall company (or account) is
benefiting from their efforts.

Q-4) How employee Engagement is different from employee involvement?

Terms of Involvement

An engaged employee will understand and agree with the aims and objectives of your
business. They will come to work feeling motivated and energized but unfortunately
thats about it.
An involved employee will take an active role in the business. Theyll implement new
initiatives, take ownership of them and actively participate in driving change.

Engagement is the result of a passive acceptance of company values and objectives. It

helps increase productivity, to a point. Involvement is the active pursuit of these

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objectives. An involved employee will help drive the organization forward and add value
to your business

Engagement gets you in the game; involvement gets you to the top of your game.

You assign an employee for a job -he is assigned but not engaged. If he is seen all the
time attending to the assigned job he is engaged all the while irrespective of the result.
It is fine if he does the job just as instructed and you see him engaged. He may be
cursing, finding lame excuses not to complete the task, giving you all the headache yet
physically present all the time; he is still engaged.

You assign a job to an employee. He puts his soul on the job; seeks pleasure in doing it,
takes pride in his performance, and derives satisfaction in doing it - he is involved.

Q 4) What are the different ways of Employee engagement?

Communicate clear goals and expectations to your employees
The majority of employees want to be a part of a compelling future, want to know what
is most important at work and what excellence looks like. For targets to be meaningful
and effective in motivating employees, they must be tied to larger organizational
ambitions.
2 Share information and numbers
Let them in on what is going on within the company as well as how their jobs contribute
to the big picture. When you keep you employees informed they tend to feel a greater
sense of worth. Keep communication hopeful and truthful do not be afraid to
share bad news, instead be more strategic about how you deliver it. Improve
performance through transparency By sharing numbers with employees, you can
increase employees sense of ownership.
3 - Encourage open communication
You can get insight into what things are important to the employee by using surveys,
suggestion boxes and team meetings. Be open-minded and encourage them to express
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their ideas and perspectives without criticism. This means putting into practice
everything you have learned about effective listening. Address their concerns in the best
way you can.
4 - Not communicating or communicating late can damage engagement
Hearing about an important update from media, colleagues or family and friends can
have a negative impact on employee engagement. Ensure employees hear these
messages from the business as soon as possible.
5 - Actively promote organizational effectiveness, reputation, values and ethics
Actively promote organizational effectiveness, reputation, values and ethics
Employees want to feel good about their leaders, where they work, the products they
sell and the reputation of their company.

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Labour Law
Industrial Employment (Standing Orders) Act, 1946
Purpose of the Act
The Industrial Employment (Standing Orders) Act, 1946 requires employers in industrial
establishments formally to define with sufficient precision the conditions of employment
under them and to make the said conditions known to workmen employed by them.
Applicability
The Act applies to every industrial establishment in which 100 (Hundred) or more
workmen are or were employed on any given day of the preceding 12 (Twelve) months.
However, the Government may, after giving a notice of minimum 2 months, apply the
provisions of the Act to any establishment, even if the establishment employs less than
100 workmen.
Summary of the Act
The Act requires employers in the industrial establishments to formally define the
conditions of employment and make them known to the employees. Standing orders
means the rules which are framed by the employers, relating to some prescribed
matters.
The employer of the establishment which comes under this Act, is required to submit to
the Certifying Officer(Labor Commissioner/ Regional Labor Commissioner) five copies
of the draft standing orders which the employer wants to implement in his
establishment. The Certifying officer in turn is supposed to send a copy of the proposed
standing orders to the union/workmen of the establishment and seek their objections, if
any. The motive is to ensure that the standing orders are not framed against the
interests of the workmen and are acceptable to them. The Certifying officer will then use
his own discretion to modify the standing orders. After making modifications, the
Certifying Officer should certify the draft standing orders and send copies of the certified
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standing orders to the trade union/workmen and the employer. If the employer, trade
union or the workmen are aggrieved by the standing orders, as certified by the
Certifying Officer, they may appeal to the appellate authority.
Once the final version of the certified standing orders is available with the employer, the
employer should take appropriate steps to communicate the standing orders to the
workmen of the establishment. Section 9 of the Act lays down the provision for the
same.
For companies which do not have a certified standing order, the model standing order
would be applicable.

Industrial Disputes Act

Purpose of the Act
The purpose of the Industrial Disputes Act is to provide a procedure for the investigation
and settlement of industrial disputes. The main objective of the act is to ensure social
justice to both the employer and the employees and advance the progress of the
industry by trying to foster harmony and cordial relationship amongst the parties.
Important Sections
2(definition of industry and workmen), 2-A, 3, 9-C, 10-A, 11-A, 12, 22, 23, 24, 25-A, 25B, 25-C, 25-F, 25-M, 25-N
Summary
Industrial dispute means any difference arising between the employer and the workmen,
or between employers and employers, or between workmen and workmen, which is
connected to employment or non-employment or terms of employment or conditions of
labor.

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An individual workman, when discharged, dismissed, retrenched or otherwise

terminated, can raise industrial dispute by making an application to the Labor Court or
Tribunal. The Labor Court or the Industrial Tribunal, when dissatisfied with the decision
of the employer to dismiss, retrench, discharge the workmen, can set aside the order of
discharge or dismissal and reinstate the workman with appropriate terms and
conditions.
Works Committee: The appropriate government may ask an industrial establishment, in
which one hundred or more workmen are employed or have been employed on any day
of the preceding twelve months, to constitute a Works Committee consisting of
representatives of employers and workmen. The Works Committee should strive to
promote harmony in the between the employer and the workmen.
Grievance Redressal Machinery: Industrial establishments, having 20 or more workmen
should have one Grievance Redressal Committee for the resolution of disputes arising
out of individual grievances.
Prohibition of strikes and lock-outs- A workman working in a public utility service should
not go on a strike without giving a prior notice of at least 6 weeks to the employer or
within 2 weeks of serving such a notice or before the date of strike specified in the
notice. The workmen are also prohibited from going on a strike during the period in
proceedings are pending before the Labor Court, Tribunal or National Tribunal.
An employer shall not lock out its workmen without giving a notice relating to the same
at least 6 weeks before locking-out or within 2 weeks of serving such a notice or before
the expiry of the date of lock-out mentioned in the notice that is served. The employers
are also prohibited from going on a strike during the period in proceedings are pending
before the Labor Court, Tribunal or National Tribunal. Any such lock-out would be
considered to be illegal.
Prohibition of lay-off: In an industrial establishment where not less than 100 workmen
are employed, an employer cannot lay off a workmen without the prior permission of the

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appropriate government (check definition on section 2), until such a lay-off is due to
shortage of power or due to natural calamity.
Conditions for retrenchment: In an industrial establishment where not less than 100
workmen are employed, a workman who has been in continuous service for not less
than one year cannot be retrenched unless the employer gives a three month notice to
the workman, giving reasons for the retrenchment, pays the worker for the entire notice
period and takes prior permission for the retrenchment from the appropriate
government.

Trade Union Act, 1926

I] RECOGNITION OF TRADE UNIONS
Trade Unions are the groups set-up with the aim of trying to create fairness and job
security in a workplace. A trade union is an organization of workers who have banded
together to achieve common goals in key areas such as wages, hours, and working
conditions. Basically a trade union bargains with the employer on behalf of union
members and negotiates with employers. Freedom of association has been the corner
stone of society. This freedom finds its expression in a democratic form of government.
Trade unionism has been a movement launched against the concentration of economic
power in the hands of a few individuals of society and for the purpose of promoting the
welfare of working class. Trade union movement is not confined to the premises of one
nation or country but it has widened to the international field as well. It may be desirable
to mention that besides trade unions in specific countries, there is one international
organisation of working class known as International Labour Organisation (ILO) for
promoting labour welfare.
History of Trade Union Movement:
Modern trade unionism is a product of conditions created by industrial
Revolution. The industrial revolution in Great Britain and later on in other
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Countries brought about a sudden and drastic change in the economic sphere. These
changes were so sudden that it was difficult to bring about a complete social, economic
and political adjustment. The factory system of production completely tore the
relationship between the capitalist and the labour class without replacing it with a new
one. The new economic order that was created was a challenge, which workers sought
to meet through the formation of associations known as trade unions to defend their
living and working conditions.
II] Trade Unions Act, 1926
The object of Trade Unions Act, 1926 is to provide for registration of Trade unions and
to define law relating to registered trade unions in certain aspects. In the year 1925 the
Government of India, after consulting the State Governments drew up a Bill providing
for the registration of trade unions and introduced the same in the Legislative Assembly
on the 1st August, 1925. The Indian Trade Union Act was passed in 1926and came into
force on the 1st June, 1927. Although two amending Acts were passed in 1928 and
1942, no major changes were introduced in the Act till 1947. In 1947, an amending Acct
was passed which provided for compulsory recognition of the representative Unions by
the employers, and listed certain practices on the part of recognized Unions. These
provisions of the amended Act, however, have not been brought into force.
History of Trade Union Movement in India
The first cotton mill in India was established in 1951 in Bombay and the first jute mill in
1855 in Bengal. This was the beginning of the modern factory system in India. After
1851 and 1855, the number of factories began to increase both in Bombay and Bengal.
Prof. S. N. Dhyani has observed that the year 1875 is landmark in the history of trade
union
Movement. For the first time, in India factory workers united together for securing better
working conditions in the factories.
Definition
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Section 2(h) of the Trade Union Act, 1926 has define a trade union as:
Any combination, whether temporary or permanent, former primarily for the purpose of
regulating the relation between workman and workmen or between employers, or for
imposing restrictive conditions on the conduct of any trade or business, and includes
any federation of two or more trade unions.
Thus, technically, there can be union of employers also, though, almost universally, the
term trade union is associated with union of workmen or employees.
REGISTRATION OF TRADE UNIONS:
Registration of a trade union is not compulsory but is desirable since a registered trade
union enjoys certain rights and privileges under the Act. Minimum seven workers of an
establishment (or seven employers) can form a trade union and apply to the Registrar
for it registration.
The application for registration should be in the prescribed form and accompanied by
the prescribed fee, a copy of the rules of the union signed by at least 7 members, and a
statement containing
(a) The names, addresses and occupations of the members making the application,
(b) The name of the trade union and the addresses of its head office, and
(c) The titles, names, ages, addresses and occupations of its office bearers.
If the union has been in existence for more than a year, then a statement of its assets
and liabilities in the prescribed form should be submitted along with the application. The
registrar may call for further information for satisfying himself that the application is
complete and is in accordance with the provisions.
LEGAL STATUS OF A REGISTERED TRADE UNION:
A registered trade union is a body corporate with perpetual succession and a common
seal.
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It can acquire, hold sell or transfer any movable or immovable property and can be a
party to contracts.
It can sue and be sued in its own name
No civil suit or other legal proceeding can be initiated against a registered trade union in
respect of any act done in furtherance of a trade dispute under certain conditions.
No agreement between the members of a registered trade union shall be void or
voidable merely on the ground that any of its objects is in restraint of trade.
Registration does not mean recognition:
Registration and recognition of Union by an employer are independent issues.
Registration of Trade Union with Registrar has nothing to do with its recognition in a
particular factory/company. Recognition of Trade Union is generally a matter of
agreement between employer and trade union. In States like Maharashtra and Madhya
Pradesh, there are specific legal provisions for recognition of a trade union.
TRANSFORMATION OF THE TRADE UNIONS ACT, 1926
The history of trade union movement indicates that the trade union movement in India
had not to face the onslaught of legislation as in England. In Great Britain, trade unions
were regarded against the common law, and were also looked down as criminal
conspiracies.
III] RECOGNITION OF A TRADE UNION
INTRODUCTION:
The need for recognition of trade unions by employers was felt by the working class to
ensure that appropriate modes of collective bargaining took place and that the
agreements, which were collectively reached, were mutually observed. It was
considered that recognition of trade unions was a step towards securing reasonable
levels of pay and working conditions. This in turn will be achieved if workers stood
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united in representing their demands through a trade union, which is adequately

recognized.
It was the late 1990s that it was realised that trade unions have become massive
bureaucratic bodies with interests and agendas of those who comprise its membership.
However, there is a growing debate as to the extent to which they represent and pursue
the interests of their members. It is often argued that this is slight and coincidental.
There are elements in the discussion, such as the argument about whether it is
acceptable to require a level of support from among the whole of a workforce, in order
to be recognized - an idea with history and resonance, which need to be debated
thoroughly.
Trade union recognition works as much in the interests of the employers it does in the
interest of the worker. The recognition of a trade union has several repercussions in
defending people on disciplinary charges, accompanying members in meetings with
managers and negotiating local conditions of service.
After the passing of the Trade Unions Act, 1926, it may be observed that
from criminal and illegal associations trade unions have now become legalized and
recognised institutions, from institutions which were only very small bodies they have
now become gigantic associations, from institutions that were primarily interested in the
advancement of the cause of their own membership they have now become institutions
which are interested in the social, cultural and political development of the country. This
was a remarkable process.
Recommendations of the Royal Commission on Labour
Indian Trade Unions (Amendment) Act of 1947 remained only on paper.
Recommendations by the National Labour Commission, 1969
The Commission has, inter alia, strongly recommended that:
(1) Trade union registration be made compulsory;
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(2) The registrar must be time bound to decide the issue of registration
(3) Effective measures must be taken for cancellation if the unions do not comply with
conditions regarding filing of returns or membership;
(4) Trade union recognition by the employers be made compulsory by Central
legislation as specified undertakings;
(5) Such recognised unions, must be given statutorily exclusive rights
and facilities like right of sole representation, entering into collective bargaining
agreements, holding discussions and negotiations, inspection, check-off etc.; and
(6) The minority unions must also be allowed to represent workers in redressed of
individual grievances like dismissal, discharge etc. The suggested measures are likely
to promote growth of healthy and strong trade unionism and eliminate inter-union rivalry
to some extent. Compulsory recognition of one union for one undertaking will make the
unions effective instruments of collective action and give them requisite bargaining
equality.
The Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour
Practices Act, 1971
An Act to provide for the recognition of trade unions for facilitating collective bargaining
for certain undertakings, to state their rights, and obligations; to confer certain powers
on unrecognised unions; to provide for declaring certain strikes and lock-outs as illegal
strikes and lock-outs; to define and provide for the prevention of certain unfair labour
practices; to constitute courts (as independent machinery) for carrying out the purposes
of according recognition to trade unions and for enforcing the provisions relating to
unfair practices; and to provide for matters connected with the purposes aforesaid.
Whereas, by Government Resolution, Industries and Labour Department, No. IDA.
1367-LAB-II, dated the 14th February 1968.
Definition of Recognition:
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A union must be recognised before it may effectively represent any employees. Once a
union is recognised it serves as the bargaining agent for the workers in a particular
bargaining unit. An employee may not circumvent the union, because recognition entails
willingness to negotiate with a view to striking a bargain and this involves a positive
mental decision.
Need for recognition:
Recognition of trade union is the backbone of collective bargaining. It has been debated
time and again. But inspite of the government stated policy to encourage trade unions,
there is no enforced central legislation on this subject. There are however voluntary
code of discipline and legislations in some states
Definition of Collective bargaining as the performance of the mutual obligation of the
employer and the representative of the employees to meet at reasonable times and
confer in good faith with respect to wages, hours, and other terms and conditions of
employment. Absence of any central legislation, management in several states have
refused to recognise a trade union mainly on five grounds:
(1) Most of the office bearers of the union were outsiders,
(2) and sometimes, those disapproved by management, particularly politicians and exemployees;
(3) The union consisted of only small number of employees;
(4) There were many rival unions in existence; and
(5) The trade union was not registered under the Trade Unions Act,
1926.

Rights of Trade Unions in India

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The trade union rights in our country are found scattered in various laws, voluntary
measures like the Code of Discipline and the constitutional provisions under the
Constitution of India, art. These trade union rights may be divided into the following
categories:
(1) Right of freedom of speech and expression which includes right of picketing and
demonstrations;
(2) Right regarding the formation and the registration of the trade union;
(3) Right regarding the recognition of the trade union by the employers;
(4) Right regarding collective bargaining and collective actions;
(5) Right regarding conduct and functioning of the trade union; and
Miscellaneous rights:
Right to form a Trade Union A Constitutional Right of citizens of India
The right to form and continue36 a trade union is a fundamental right guaranteed under
the Constitution of India, art. 19(1) (c), which may only be subjected to reasonable
restrictions in the public interest as provided by art. 19(1) (6)
Recognition of Trade Unions by Employers:
After the registration of the trade union, the question of its recognition by the employer
comes to the forefront in as much as if it is recognised by the employer for the purpose
of collective bargaining, then it will have certain privileges and an opportunity to fulfil its
role. There is no provision in the Indian Trade Unions Act or Industrial Disputes Act,
1947, the only two central enactments in this respect in the country regarding
recognition of the trade union by employers. No union registered or otherwise may lay
claim to recognition by the management for participation in negotiations as a matter of a
legal right.

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However it may not be denied that fair play requires the management to consider grant
of recognition when a body of persons legitimately expects to be affected. This right of
recognition has to be secured by the trade unions by raising an industrial dispute. The
Code of Discipline regulates this aspect, though not on a statutory level. The National
Commission on Labour has recommended such a statutory right for unions. Nonrecognition of a trade union for collective bargaining constitutes an unfair labour
practice. Provisions has however been made in the State of Maharashtra by
Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices
Act, 1971.
Trade Unions in India
1. All India Central Council of Trade Unions
2. All India Trade Union Congress
3. All India United Trade Union Centre
4. Bharatiya Mazdoor Sangh
5. Rashtriya Swayamsevak Sangh

Important Questions
1. Define Trade Dispute under The Trade Unions Act, 1926
2. Define the five objectives of this Act
3. How can a Trade Union be started and registered?
4. What happens if some members withdraw before registration?
5. What documents are to be filed at the time of filing of application for registration?
6. When is the registration certificate issued?

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7. When can a registration be cancelled / withdrawn?

8. Where does the appeal against an order of cancellation lie?
9. What are the broad objectives on which the Funds of a Trade Union can be
spent?
10. What are the disqualifications of office bearers of Trade Union Section 21A?
11. Why Constitution of a separate fund for political purposes under section16 of
Trade Union Act, 1926 is formed?
12. What are the different rights and liabilities of registered trade union under Trade
Union Act, 1926?

Contract Labour Act, 1970

1. Object of the Act To regulate the employment of contract labour in certain
establishments and to provide for its abolition in certain circumstances and for
matters connected therewith
2. Applicability: Every establishment in which 20 or more workmen are employed or
were employed on any day of the preceding 12 months as contract labour. Every
contractor who employs or who employed on any day of the preceding twelve
months 20 or more workmen. (Sec. 1)
3. Registration of Establishment: Principal employer employing 20 or more
workers through the contractor or the contractor(s) on deposit of required fee in
Form 1 (Sec. 7)
4. Prohibition of Employment of Contract Labour: Only by the appropriate
Government through issue of notification after consultation with the Board (and
not Courts) can order the prohibition of employment of contract labour.
(Sec. 10)
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5. Revocation of Registration: When obtained by Misrepresentation or suppression

of material facts etc. after opportunity to the principal employer (Sec. 9)
6. Licensing of Contractor: Engaging 20 or more than 20 workers and on deposit of
required fee in Form IV. Valid for specified period (Sec.12)
7. Revocation or Suspension & Amendment of Licences: When obtained by
misrepresentation or suppression of material facts. Failure of the contractor to
comply with the conditions or contravention of Act or the Rules.
(Sec. 14)
8. Welfare measures to be taken by the Contractor: Contract labour, either one
hundred or more employed by a contractor for one or more canteens shall be
provided and maintained: First Aid facilities, Number of rest-rooms as required
under the Act, Drinking water, latrines and washing facilities. (Sec. 16 & 17)
9. Laws, Agreement or standing orders inconsistent with the Act- Not Permissible:
Unless the privileges in the contract between the parties or more favourable
than the prescribed in the Act, such contract will be invalid and the workers will
continue to get more favourable benefits (sec 20)
10. Liability of Principal Employer: To ensure provision for canteen, restrooms,
sufficient supply of drinking water, latrines and urinals, washing facilities.
Principal employer entitled to recover from the contractor for providing such
Amenities or to make deductions from amount payable. (Sec. 20)
11. Registers of Contractors to be maintained by Principal employer: To maintain a
register of contractor in respect of every establishment in Form XII.
Contractor: To maintain register of workers for each registered establishment in Form
XIII.
12. Muster Roll, Wages Register, Deduction Register and Overtime Register by
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Contractor: Every contractor shall

o Maintain Muster Roll and a Register of Wages in Form XVI and Form XVII
respectively when combined.
o Register or wage-cum-Muster Roll in Form XVII where the wage period is
a fortnight or less.
o Maintain a Register of Deductions for damage or loss, Register or Fines
and Register of advances in Form XX, from XXI and Form XXII
respectively.
o Maintain a Register of Overtime in Form XXIII.
o To issue wage slips in Form XIX, to the workmen at least a day prior to the
disbursement of wages.
o Obtain the signature or thumb impression of the worker concerned against
the entries relating to him on the Register of wages or Muster Roll-CumWages Register.
13. Punishment: For obstructing the inspector or failing to produce registers etc., 3
months imprisonment or fine up to Rs.500, or both. For violation of the
provisions of Act or the Rules, imprisonment of 3 Months or fine up to Rs.1000.
On continuing contravention, additional fine up to Rs.100 per day
CHECKLIST FOR PRINCIPAL EMPLOYER
Registration of the Establishment:
The Principal Employer to apply in Triplicate to the Registering Officer of the area (Asst.
Commissioner of Labour or Labour Officer) by furnishing all the relevant particulars in
the prescribed application FORM I. The Principal Employer is required to deposit
the prescribed rates of fees for registration as per rules of the (Central or State Rules)
Contract Labour Act. The Principal Employer to take one certificate of registration in
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respect of each establishment and it may not be linked with to the number of contracts
or contractors in an establishment.
Regarding rejection of application for registration
The Principal Employer should submit the application complete in all respects along
with fees for registration. However, in case the Registering Officer requires the Principal
Employer to amend or rectify the defects as pointed out the application the Principal
Employer should do so within the specified date otherwise the application for
registration may be rejected as per rules of the Contract Labour Act (Central or State
rules).
Temporary Certificate of registration
In case of urgency and where the Contract Labour for not more than 15 days is required
to be employed in the establishment the Principal Employer should apply in triplicate for
a certificate of registration in FORM (PRESCRIBED IN THE ACT.) to the Registering
Officer of local Labour Dept. who will grant a temporary registration certificate for a
period not exceeding 15 days with certain fees.
Amendment of Certificate of Registration
Whenever there is any change in the particulars specified in the certificate of
registration of the establishment the Principal Employer shall apply to the Registering
Officer within 30 days from the date when such change takes place, with the reasons for
such changes along with the appropriate fees as per the Rules if necessary.
Effect of non-registration
The effect of non-registration of the establishment or revocation of the registration
certificate is that the Principal Employer cannot employ contract labour in the
establishment otherwise he is liable for penal action.
Certain circumstances under which the registration of an establishment can be
revoked.
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The Registering Officer, after affording reasonable opportunity to the Principal

Employer, the holder of the Certificate of Registration can revoke the registration of an
establishment with the previous approval of the appropriate State of Central Govt. in
case he is satisfied that:

The registration has been obtained by miss-representation or suppression of any

material facts OR

The registration has become useless or ineffective for any other reason as
specified in the schedules will be advised by the local labour department.

Issue of duplicate copy of registration certificate

In case a registration certificate is defaced or accidentally destroyed or lost as per Rules
(Central or State) the Principal Employer can obtain a duplicate copy of the Certificate
or Registration on payment of normal fee.
Prohibition of Employment of Contract Labour
The Principal Employer should not permit a Contractor to employ contract labour in any
prohibited process, operation or other work in the establishment as notified as per
Section

(Central / State) by the appropriate Govt. otherwise he is also liable for

penal action.
Display of Notices
The Principal Employer shall display following notices at a conspicuous place which
shall be maintained in a clean a legible condition in English / and local language
understood by the majority of contract labour specifying the following:
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Rate of Wages

Hours of work

Wage periods

Dates of payment of wages

Names of the Officer and address of the local Govt. of Labour Dept.

Date of payment of unpaid wages

Important Questions
1. What are the differences between contract labour and outsourcing? Which is better
option and why?
2. Is Contract labour Act applicable when jobs and services are outsourced?
3. What are the non-perennial and non-permanent jobs which can be assigned to
contract labour?
4. Can we have permanent employees and contract labour working side by side on the
same job?
5. What is the best ratio between permanent and contact labour? Can we engage 100%
contract labour?
6. Can we have different wages and other terms for permanent employees and contract
labour doing the same or similar job?
7. Can we transfer casuals/temporaries on the rolls of contractor?
8. Application and implication of P.F., ESI, Bonus, Gratuity and other statutory benefits
to contract labour, casuals etc. and how to ensure compliance?
9. How to ensure submission of PF and ESI returns by the contractor?
10. How to get a new PF code number from PF authorities?
11. Security, Housekeeping, Drivers, Canteen, Horticulture etc. on contract/voucher
payment. Sustainability? Is there any Case laws?
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12. Liability of principal employer for injury, illness, disability, death etc.
13. Can and should the employer have a say in the number and selection of contract
labour?
14. Who is to take disciplinary action against contract labour? Under what rules? Are
standing orders applicable to contract labour?
15. Is it necessary and desirable to issue employment card/gate pass/identity card to
contract labour? If so under whose authority/signature? Safeguards?
16. Each contractor engaging less than 20 but together they engage more than 20. Will
the provisions of registration, licensing and other statutory provisions apply?
17. Statutory requirements and precautions in awarding contract for safeguarding
managements interests.
18. If License not renewed but contractor continues to work legal implications
including permanency?
19. Contractor changing but contract labour not changing implications, precautions
required?
20. Contract terminated due to unsatisfactory performance of the contractor, contractor
leaves can contract labour claim permanency? What should employer do?
21. Contract labour terminated through a settlement. Should principal employer be a
party?
22. When contractor runs away leaving his workforce and supervisor, how to manage
work and labour and who is to handle pending conciliation reference?
23. What to do if the contractor refuses to pay the labour?
24. What are the action required to be taken by the management after abolition of
contract labour?
25. Can management challenge the decision of appropriate Govt. regarding abolition of
jobs?
26. Should contractor and contract labour be rotated? Why? How often?
27. How to reduce number of contract labour?
28. Contract labour demanding permanency How to handle?
29. Contract labour demanding similar benefits as permanent employees. Is the claim
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legally valid?
30. Is Pension Scheme also applicable to contract labour?
31. Is Minimum Wages Act applicable to contract labour?
32. What is the liability of Principal Employer in the case of sub-contracting?
33. What are the implications of Supreme Court Judgment in the SAIL case reversing
earlier Air India Judgment?
34. Implications and liabilities of temporary/casual/probationer employees/trainees? Is
there any maximum duration?
35. What is the relevance of 180/240 days & what are the Implication of breaks?

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What is Balanced ScoreCard?

The Balanced Scorecard is a theory and management approach first proposed in the
Harvard Business Review by Robert S. Kaplan & David P. Norton (1995). The
Balanced Scorecard translates an organizations mission and strategy into a
comprehensive set of performance measures that provides the framework for a
strategic measurement and management system. This strategic management system
measures organizational performance in four balanced perspectives:

Financial summarizes the readily measurable economic consequences of

actions already taken

Customer contains measures that identify the customer and market segments
in which the business unit will compete and the measures of the business units
performance in these targeted segments

Internal Business Process measures the critical internal processes in which

the organization must excel

Learning & Growth measures the infrastructure that the organization must
build to create long-term growth and improvement

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To create a Balanced Scorecard an organizations management team translates the

mission, vision, and strategy of the firm into a scorecard. The scorecard measures
should represent both long-term and short-term success in the execution of the
strategy. The measures are arranged in the four perspectives. The scorecard should
contain both outcome measures that indicate excellent prior performance, along with
the performance-drivers that create successful future performance.
This balanced framework enables a management team to execute the following
four strategic management processes:

Clarify and translate vision and strategy

Communicate and link strategic objectives and measures

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Plan, set targets, and align strategic initiatives

Enhance strategic feedback and learning

These four strategic management processes are the keys to the Balanced
Scorecard theory.
The Balanced Scorecard management approach developed by Kaplan & Norton
(1995) is based upon several foundational management theories, including:

Management by objectives (Drucker, 1954)

Principles of management (Fayol, 1916)

Open-book management (Case, 1995)

Leading change (Kotter, 1996)

Theory Y (McGregor, 1960)

Hierarchy of needs (Maslow, 1962)

Value disciplines (Treacy & Wiersema, 1995)

Q2) What is it used for?

The benets that can be obtained from a Balanced Scorecard depend on what it is used
for, how well it is designed, and how it is applied. There are many organizations using
Balanced Scorecard, in many different formats. Operational Control and Strategic
Management are two applications which require substantially different design and
development processes, and provide different benets to a management team. There
have been many attempts to quantify the benets of the implementation of a Balanced
Scorecard but there is little empirical evidence - in part because collecting such
evidence is hard. We summarize the prospective benets of well-designed and
implemented Balanced Scorecards of each type
Balanced Scorecard used for Operational Control
Operational control involves asking the following questions:

What process do we want to monitor?

What aspects of the process do we want to measure?

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What is considered best practice?

The purpose of this application is to help managers monitor and control the delivery of a
pre-dened set of activities often with a view toward achieving "best practice"
performance levels.
The benets arising from using Balanced Scorecard for operational control purposes
include:

Increased understanding, awareness and alignment about operations across the

whole management team arising from the discussions during the design process;

Wider and more effective monitoring of performance improvement initiatives;

Improved understanding of the links between measures improves understanding

and makes target setting easier

A single concise management report describes operational performance across

perspectives.

Balanced Scorecard used for Strategic Management

Four questions are at the heart of strategic management issues:

What strategic outcomes are we trying to achieve?

What activities need to happen right now to achieve them?

Are these activities being done?

Are we achieving results targeted?

The purpose of this application of Balanced Scorecard is to help managers agree and
then articulate the strategic destination and road map for their organisation, and monitor
the activities required for their achievement. The purpose of the Balanced Scorecard
therefore shifts from tracking performance of a process, to monitoring whether or not
objectives have been set, and the extent to which the planned actions to achieve them
are working. The benets arising from using a Balanced Scorecard for strategic
management purposes include:

Reaching consensus and articulation of a set of key strategic objectives aligned

to corporate vision;
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Clarity concerning of the links between implementation activities and the strategic
objectives of the organisation this also identify areas where "trade-os"
between objectives are required (e.g. reduce costs versus increase marketing
investment);

Encouraging dialogue within the organisation about strategic goals and

expectations.

Q3) Summarize the benefits of Balanced ScoreCard?

The benefits of the balanced scorecard have been identified by many organizations:
Improved organization alignment Improved communications, both internally and
externally
Linked strategy and operations
More emphasis on strategy and organizational results
Integrated strategic planning and management
Enables tracking of strategy implementation, with monthly/periodic reporting
Streamlines initiatives and aligns them with major objectives
Provides focus for the executive teams, clarifies roles and breaks down
functional silos
Streamlines and simplifies the strategic planning process
Drives resources allocation and budgeting process
Improves rewards system by linking measures to compensation

Extra Readings:
http://onstrategyhq.com/wp-content/themes/mystrategicplan/downloadables/BalancedScorecard-Summary.pdf
http://hbr.org/1993/09/putting-the-balanced-scorecard-to-work/ar/1
http://www.12manage.com/methods_balancedscorecard.html
https://balancedscorecard.org/Resources/FAQs
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Compensation
Q1. What is compensation? What are the various forms of compensation?
Compensation refers to all forms of financial returns and tangible services and benefits
employees receive as part of an employment relationship.
Objectives of a Compensation Program
1. Equity
2. Fairness
3. Legal Compliance
4. Cost Effectiveness
The following are the basic forms of compensation:

Base Pay The basic compensation an employee receives in exchange for work
performed.

Wages - time-based (usually hourly) compensation calculated on the basis

of the amount of time worked.

Salaries - payments consistent from time period to time period regardless

of the actual amount of time worked.

Variable Pay -- compensation linked to individual, team and/or organizational

performance. Some examples:

Piece-rate/ hourly-rate - productivity-based compensation paid for each

unit of product produced or service provided.

Bonuses (short-term tied to performance)

Profit-sharing

Gain-sharing

Commissions

Stock options etc.

Benefits - indirect compensation contingent upon organizational membership.

[30-40% of total payroll costs]. Some examples:

Health Insurance

Life Insurance Vacations and Holidays

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Pensions

Sick Leave

Severance Pay

Allowances: Eg. Utilities, Education Allowance, Uniform Allowance etc.

Awards and Recognition

Some more examples of Benefits are listed below:

1. Extra payments for time worked: (Holiday premiums or Shift premiums)
2. Non-production awards and bonuses: (Anniversary awards/ Attendance
bonus/ Quality bonus/ Safety awards/ Service bonus/ Suggestion awards)
3. Payments for time not worked: (Family allowances, Paid Holidays, Paid
Sick Leave, Severance Pay)
4. Payments for employee security: (Contributions toward accident insurance,
hospitalization & life insurance)
5. Payments for employee services: (Canteen service, Company Housing,
Educational assistance, employee discounts for purchases, voluntary medical
examination, festival gifts)

Q2. Define ABS, AGC, ATC and ATEC.

Annual Base Salary (ABS): Monthly Basic Salary (Basic +DA)
Annual Guaranteed Cash (AGC): Includes all guaranteed components of
compensation such as Conveyance Allowance, Car Allowance, House Rent Allowance,
telephone, Leave Travel Assistance, Medical Allowance, etc.
Annual Total Cash (ATC): Includes Guaranteed Cash and the variable component of
the salary including performance based bonus and incentives
Annual Total Employment Cost (ATEC): Annual Total Cash plus all benefits and
perquisites such as insurance premium, entertainment reimbursement, club
memberships, loan programs, retirement benefits, etc

Q3. What are the different forms of pay?

Direct Pay Forms
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Cash Compensation: Base

Cash Compensation: Merit Pay / Cost-of-Living Adjustments

Cash Compensation: Incentives

Long-Term Incentives

Indirect Pay Forms

Benefits: Income Protection

Benefits: Work/Life Focus

Benefits: Allowances

Diagram showing the Pay

Model

Q4. Differentiate between compensation based out of entitlement vs compensation

based out of performance.
Entitlement Orientation: all employees automatically receive raises every cycle.

Seniority basis

Cost of living allowances (COLAs)/DA

Across the board raises are due employees regardless of performance or

competitive pressure.
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Performance Orientation: pay is based on performance differences among

employees.

Merit basis

Bonuses tied to performance.

Gaining ground against entitlement oriented systems.

Market adjustments

Q5. What are the 4 Ps of designing an effective executive compensation program?

a) Process
a. Annual Calendar
b. Demarcation of roles
b) Performance
a. Internal Performance
b. External Performance
c. Benchmark Performance
c) Pay
a. Right Data
b. Right Job
c. flexibility
d) Principles
a. Accountability
b. Responsibility
c. Consistency
d. Measurability

Q6. Discuss the Hay method of job evaluation.

The foundation of job evaluation in the Hay Method is an understanding of job

content.

The rule is to evaluate the job not the person.

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If the evaluator doesn't understand the job from the position description, then
they can ask questions, find a resource to help, or delay the job evaluation until
the position description is improved.

There is a document called a Guide Chart that is customized to an enterprise and

based in a solid foundation of Hay algorithms.

The Guide Chart is divided into "factors". There are a total of four major factors
that are in turn divided into 12 dimensions.

Compensable Factors
1. KNOW-HOW: The total of every kind of knowledge and skill, however acquired,
needed for competent job performance. Know-How has three dimensions - the
requirements for:
1. Practical
2. Management
3. Human Relations Skill
2. PROBLEM SOLVING: The amount and nature of the thinking required in the job in
the form of analyzing, reasoning, evaluating, creating, using judgment, forming
hypotheses, drawing inferences, arriving at conclusions, and the like. It measures the
degree to which thinking processes must be applied to the required knowledge in order
to obtain the results expected of the job. Problem Solving has two dimensions:
1. Thinking Environment
2. Thinking Challenge
3. ACCOUNTABILITY: This is related to the opportunity a job has to bring about some
results and the importance of those results to the organization. Tied closely to the
amount of opportunity is the degree to which the person in the job must answer for (is
accountable for) the results. There are three components in Accountability:
1. Freedom to Act
2. Impact (Remote/ Contributory/ Shared/ Primary)
3. Magnitude

These compensable factors are weighted. Generally,

o Know-How - 50% of the total points
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o Problem-Solving 20%
o Accountability - 20%
o Working Conditions - 10%.
o This weighting is indicative of the common balance but it may not be
the same in a customized application.

Also, the Working Conditions factor is not used in every installation.

In other words, debating at length your working conditions points for a typical
white-collar librarian job will make very little difference in your overall ranking.
Focusing on the fairness of the evaluation of your position's requirement for
know-how and problem solving will potentially achieve more.

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Performance Management System

1) What is performance management system?
Performance Management system (PMS) is a continuous process of indentifying,
measuring, and developing the performance of individuals and team and aligning
performance with the strategic goal of the organization.
It is based on three pillars :
Setting clear and measurable goals, implementing concrete actions and imposing
rigorous consequences
Performance Appraisal + feedback + coaching = Performance Management
System
Advantages of PMS are :

Motivation to perform is increased

Self-esteem is increased

Managers gain insight about subordinates

The definition of job and criteria are clarified

Self-insight and development are enhanced

Administrative actions are more fair and appropriate

Organizational goals are made clear

Employees become more competent

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Organizational change is facilitated

2) Performance Appraisal System and its objectives?

The main objectives of a performance appraisal system are:

To increases the employee effectiveness by helping them understand their role

better.

To help the employees understand their strengths and weakness in the current
role.

To help the managers in identifying the training needs of their sub-ordinates.

To improve the relationship between the line manager and his team members by
making them realize that they are dependent on each other for better
performance.

To help the line mangers and their team members in improving the
communication by discussing the problem in achieving the targets and finding the
potential solutions.

To provide the employee an opportunity for self evaluation and self development
which are important to achieve the goals.

To prepare the employees for higher roles.

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To create a positive work atmosphere.

5) What are the different ways for conducting Performance Appraisal for the
employees?
1. Forced ranking (forced distribution)
In this style of performance appraisal, employees are ranked in terms of forced
allocations. For instance, it is vital that the proportions be shared in the way that
10 or 20 % will be the highest levels of performances, while 70 or 80% will be in
the middle level and the rest will be in the lowest one.
Application of Forced Ranking
GE, Ford Motor, Conoco, Sun Microsystems, Cisco Systems, EDS, Enron and a
host of other U.S. corporations have adopted similar policies of this method
Advantages and disadvantages of forced Ranking
Advantages:
They force reluctant managers to make difficult decisions and identify the most
and least talented members of the work group.
They create and sustain a high performance culture in which the workforce
continuously improves.
Disadvantages
They increase unhealthy cut-throat competitiveness;
They discourage collaboration and teamwork;
They harm morale;
They are legally suspect giving rise to age discrimination cases.
2. 360 Degree Feedback

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360 degree feedback is a method and a tool that provides each employee the
opportunity to receive performance feedback from his or her supervisor and four to
eight peers, reporting staff members, coworkers and customers. Most 360 degree
feedback tools are also responded to by each individual in a self assessment.
Advantages of 360 degree appraisal
Offer a more comprehensive view towards the performance of employees.
Improve credibility of performance appraisal.
Such colleagues feedback will help strengthen self-development.
Increases responsibilities of employees to their customers.
The mix of ideas can give a more accurate assessment.
Opinions gathered from lots of staff are sure to be more persuasive.
Not only manager should make assessments on its staff performance but other
colleagues should do, too.
Disadvantages of 360 degree appraisal
Taking a lot of time, and being complex in administration
Extension of exchange feedback can cause troubles and tensions to several staff.
There is requirement for training and important effort in order to achieve efficient
working.
It will be very hard to figure out the results.
Feedback can be useless if it is not carefully and smoothly dealt.
Can impose an environment of suspicion if the information is not openly and
honestly managed.
Who should conduct 360 degree performance appraisal?
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360 degree appraisal has four components:

Self appraisal
Subordinates appraisal
Peer appraisal.
Superiors appraisal
3. Performance ranking method
The performance appraisal of ranking is used to assess the working performance of
employees from the highest to lowest levels.
Managers will make comparisons of an employee with the others, instead of making
comparison of each employee with some certain standards.
4. Management By Objectives (MBO) method
MBO is a method of performance appraisal in which managers or employers set a
list of objectives and make assessments on their performance on a regular basis,
and finally make rewards based on the results achieved. This method mostly cares
about the results achieved (goals) but not to the way how employees can fulfill them.
Classification of Objectives
Corporate objectives
Functional objectives
Individual objectives
Conditions of Management By Objectives
An objective must be satisfied SMART conditions:
Specific,
Measurable,
Achievable,
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 Relevant, and
Time-Specific.
Advantages of MBO
It is based on the assumption that the individual (employee) knows more than
anyone else about her/his own capabilities, needs, strengths, weaknesses and
goals.
A further advantage of MBO is that the emphasis is on the future rather than on the
past. Appraisal thus becomes a means to a constructive end.
5. Critical incident method
This format of performance appraisal is a method which is involved identifying and
describing specific incidents where employees did something really well or that
needs improving during their performance period.
6) Why do performance appraisal systems fail?
The main reasons for performance appraisal system to fail are as below:

i.) Many a times the performance appraisal system tries to assess the personality traits
of its employees through their line manager. There are two types of problems in this:

a.) The employees do not open up as they do not want any negative personality trait to
be recoded in official records.
b.) The line managers are not fully trained and capable of assessing the personality
traits of employees.

7) What are major criteria to assess the performance of employees?

The major criteria to assess the performance of employees are:

i.) Job Knowledge

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ii.) Planning
iii.) Ability to organise and utilize resources
iv.) Communication skills
v.) Relationship with superiors, peers, subordinates & associates
vi.) Ability to make decisions
vii.) Winning instinct Can do attitude
viii.) Team working capabilities

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Learning and Development

1. Why are continuous L&D activities required?
In todays scenario there is:

Increasing complexity of the work environment

Rapid pace of organizational and technological change

Growing number of jobs in fields that constantly generate new knowledge

Continuous L&D offers a solution to this problem through:

a way of developing skills

enhancing productivity and quality of work

building loyalty to the firm

In addition, advances in learning theory have provided insights into how adults learn,
and how training can be organized most effectively for them.
2. What does the L&D function do?
L&D specialists design end-to-end training activity for the core employees up to senior
management level. The aspect of training covers inductions, commercial training, soft
skills, management development and some technical skills:

Trainers conduct orientation sessions and arrange on-the-job training for new
employees

Help rank-and-file workers maintain and improve their job skills, and possibly
prepare for jobs requiring greater skill

Help supervisors improve their interpersonal skills in order to deal effectively

with employees
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Set up individualized training plans to strengthen an employee's existing skills

or teach new ones

Design programs to develop potential and current executives to replace those

retiring

Lead programs to assist employees with transitions due to mergers and

acquisitions, as well as technological changes.

3. How does the process of content designing start?

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4. Examples of L&D activities

5. Coaching vs Mentoring

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6. Some Theoretical Frameworks:

a. 70-20-10 Principle:
Research has shown that development occurs in the following manner

70 percent of learning is through practice and on-the-job experiences

20 percent is through other people by exposure to coaching, feedback, and

networking and

10 percent is through formal education-based learning interventions

b. Kirkpatrick Model

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HR and Technology
1. What is the impact of technology on HR function?

Technology has changed the business world many times over. In the Information Age,
the advent of computers and the Internet has increased that impact significantly. This
impact is seen in nearly all areas of business, including human resources, where
technology continues to have a significant impact on HR practices.

Recruiting - Before the Internet, HR recruiters had to rely on print

publications, such as newspapers, to post jobs and get prospects for open
positions. Technology has made recruiting more efficient and, in the hands
of the right recruiter, more effective as well.

Training - Information technology makes it possible for human resources

professionals to train new staff members in a more efficient manner as
well. For example training in virtual classrooms makes it possible for the
HR professionals to train a large number of employees quickly and to
assess their progress through computerized testing programs.

Data Storage and Retrieval - The use of electronic imaging has made it
possible for companies to store and retrieve files in an electronic format.
Technology also makes it possible for human resources professionals to
simply print the forms that are needed for employees

Performance Management - Human resources professionals can use

computer technology to assess employee performance and also to get
employee feedback to be used for the betterment of the organization.
Various software programs make it possible for human resources
professionals to examine employee performance using metrics to ensure
that employees are meeting performance standards.
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2. What is HRIS and its relevance in current context?

HRIS, which is also known as a human resource information system or human resource
management system (HRMS), is basically an intersection of human resources and
information technology through HR software. This allows HR activities and processes to
occur electronically.
To put it another way, a HRIS may be viewed as a way, through software, for
businesses big and small to take care of a number of activities, including those related
to human resources, accounting, management, and payroll. A HRIS allows a company
to plan its HR costs more effectively, as well as to manage them and control them
without needing to allocate too many resources toward them.
In most situations, a HRIS will also lead to increase in efficiency when it comes to
making decisions in HR. The decisions made should also increase in qualityand as a
result, the productivity of both employees and managers should increase and become
more effective.

3. What is the latest buzz in IT industry or the key trends in HR Technology?

SMAC is the latest buzz in the IT world which also impacts the HR industry. SMAC
stands for Social, Mobile, Analytics, and Cloud. The use of technology in the Human
Resource Management space is going through an exciting phase. Acceptance of Bring
Your Own Device (BYOD) at work places has propelled the proliferation of SMAC in
more than one way. HR is among the most strategic consumers of the output from
these technologies at the workplace. HR uses SMAC to promote the interest of the

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organization. SMAC also provides HR the opportunity to play the role of a strategic
business partner in the true sense

Social - The explosion of social media as a marketing and networking tool has created
never-before-seen opportunities for human resources professionals to recruit, retain and
engage the top talent in their industries. Organizations are referring to social networking
sites like LinkedIn for the purpose of recruitment. They are also building their own
indigenous social networking sites for the purpose of engaging the employees. For e.g.
TCS has its site called KnowMe. Also one of the popular online recruitment strategies is
to incorporate a Facebook job application tool on company's page. The popular
microblogging site Twitter allows HR professionals to locate potential employees by
monitoring the feeds of people in their extended network of current and former
employees, as well as any followers of the company's feed.
Mobile - The challenge is for enterprise applications to firstly move to a mobile platform
and having done that offer the same level of comfort, user experience and engagement.
For the manager, it means having the freedom to leverage HR processes beyond
desktops in a secure manner. This directly leads to increased productivity and also the
option of an always mobile workforce.
Analytics - One of the emerging areas in HR is Analytics. Although organizations have
been historically using analytics for business decision like customer demand trends,
financial analysis, sales optimization etc., increasingly they are also looking at human
capital analytics to predict skills, performance, training, collaboration, risk/reward,
compensation, success and even morale. HR analytics can help organizations take the
guesswork out of making key talent decisions as one wades through this data. HR
analytics can provide clear linkages, correlations and causality between HR metrics and
other business measures. This helps managers to take appropriate decisions, because
theres no subjectivity when decisions are based upon metrics.

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Cloud - With option of cloud, all of these novel ideas can be made a reality at a fraction
of cost and also enables economies of scale. By using a cloud-based approach,
organizations can deploy software, install hardware, network and infrastructure and start
using the software without incurring substantial capital expenditure. Cloud offers the
solution in the form of a service; for e.g. SaaS (Software as a service), IaaS
(Infrastructure as a service) or XaaS (Anything as a service).

4. What is Big Data Analytics?

Big data is an all-encompassing term for any collection of data sets so large and
complex that it becomes difficult to process using on-hand data management tools or
traditional data processing applications. The 4Vs of Big Data are Volume, Variety,
Velocity and Veracity. Analysis is the process of breaking down a complex object into its
simple forms. However, analytics is the science of analysis whereby statistics is used in
doing analysis. Hence Analysis + Statistics = Analytics.
Normally its performed in 3 steps: Descriptive, Predictive and Perspective. The purpose
of descriptive analytics is to summarize what happened. More than 80% of business
analytics most notably social analytics are descriptive. Predictive analytics is the next
step up in data reduction. It utilizes a variety of statistical, modeling, data mining, and
machine learning techniques to study recent and historical data, thereby allowing
analysts to make predictions about the future. It doesnt tell about what will happen in
future; rather itll forecast what might happen in the future, because all predictive
analytics are probabilistic in nature. And finally we prescribe an action based upon our
forecast. Prescriptive analytics is a type of predictive analytics. It's basically when we
need to prescribe an action, so the business decision-maker can take this information
and act.
Predictive analytics is a growing realm of HR analytics. Traditional HR analytics is
focused on turnover and cost per hire, however, in modern system analytics compute
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potential talent problems down the road, and guide companies on how to hire, engage,
and develop employees.
The increased attraction to HR predictive analytics is due in part to:
1. The mass of information that can be collected online, from social media posts
to purchases. If an employee is active on professional networks, such as
LinkedIn, its possible they are looking elsewhere for work, for example.
2. An increasing range of workforce analytics software and technologies that are
becoming more accessible and available.
3. The ability for companies to create algorithms from unemployment rate, GDP
and growth, turnover rate and other workforce trends of specific geographies
to predict their future human resource needs.
4. The ability for companies to be more proactive in their hiring.
5. To understand how to engage and develop employees so they will stick
around.

5. What is Gamification and its relevance for HR?

Gamification is the concept of applying game mechanics and game design techniques
to engage and motivate people to achieve their goals. Gamification taps into the basic
desires and needs of the users impulses which revolve around the idea of Status and
Achievement. Businesses can use Gamification to drive desired user behaviors that are
advantageous to their brand. One common technique of Gamification is to increase
engagement by rewarding users who accomplish desired tasks. Rewards such
as Badges and Points are used to elevate Status by showcasing the talents, expertise,
and accomplishments of users. The desire to appear on the leaderboard drives players
to complete more tasks, in turn fueling deeper engagement.
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Gamification is also a very practical technique to take advantage of big data. It is a

powerful tool for motivating better performance, driving business results, and generating
a competitive advantage. By capturing and analyzing the big data on behaviors,
businesses can create a more engaging experience that motivates employees and
users.
Industry examples for Gamification:

Nike uses gamification in their Nike+ applications to encourage and

reward users who maintain an active lifestyle

My Starbucks Rewards uses gamification to incentivize and reward

customer loyalty

Deloitte gamified the Deloitte Leadership Academy to increase

engagement in their training programs

6. How do you assess the success of HR department in an organization?

HRs responsibilities and activities should flow from, and support, the organizations
operating objectives. Some HR related roles are jointly performed by the HR
department along with operations and support managers.
All HR activities should be measured against how they contribute to the achievement of
organization objectives; and this should be the underpinning for all of your HR related
analysis and evaluation
Short Term Assessment

1. Cost-per-hire
2. Time-to-fill a vacancy
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3. Performance Review Completion Rate

4. Quality of Hire
5. Diversity Ratios
6. Turnover
7. Robust HR Policies
8. Maintaining awareness of Labour Laws and ensuring compliance
Long Term Assessment
1. Sales
2. Productivity
3. Employee Satisfaction
4. Customer Satisfaction
5. Efficiency
6. Employer Branding
7. Workforce Planning
8. Succession Planning and Management
Further Reading: http://www.advancingyourorganization.com/?page_id=1244

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