Zero Based Budgeting

Traditionally, when we make budgets ; the income and expenditure of the previous year is eaxmined. Some adjustments providing for inflation or other expected events are made and the new budget emerges. This is true whether it is a family budget or that of an organization or country. However, under Zero based budgeting, the new budget starts with zero for the various projects and activities. All expenditure, for each of the activity, is required to be calculated and the need for the expenditure justified. Zero-based budgeting puts the onus on managers to justify expenses. This is in contrast to the traditional budgeting wherein only new expenditures are required to be justified ( not the old, recurring expenditure). In recent years, many Fortune 500 and private equity companies have adopted this budgeting technique.

Zero-based budgeting (ZBB) was developed and implemented by Peter Phyrr. former Texas Instruments account manager in his company in the 1960s. It is a methodology that helps to align company spending with strategic goals. It requires you to verify & satisfy that all components of the annual budget are cost-effective, relevant, and drive improved savings. Every function within an organization is analyzed for its needs and costs. The budgets are then built around what is needed for the upcoming period. Zero-based budgeting helps managers to achieve lower costs in the company.

Under ZBB, Individual unit's objectives are aligned with the corporate objectives. Instant adjustments in the budget are possible if required. All the levels of the organization participate in the process of decision making. The benefits of ZBB include focused operations, lower costs, budget flexibility, and strategic execution. It helps lower costs by avoiding blanket increases or decreases to a previous period's budget. As for example, Instead of blindly increasing the budget by a certain percentage and masking the cost increase, the company can identify alternative solutions like deciding to make a part inhouse or buy the part from the external supplier for its end products, based on the comparive cost involved.

However, ZBB implementation is a time-consuming process that takes much longer than traditional, cost-based budgeting. Therefore, the costs of the process itself in terms of resources, time and effort must be weighed against the savings expected on its implementation. Further, you also dependent on the cooperation and efficacy of other departments which may not be able to adequately calculate/ measure their needs for the entire year. ZBB tends to give priority to areas that achieve direct revenues or production, since their contribution can be more easily justified unlike departments such as service or Research & Development. This could end up compromising the 'important' matters for the 'urgent' matters, with adverse implications in the long run .

In conclusion, it is to be stated that ZBB has advantages as also limitations. It is a technique used predominantly by companies, but can be used by individuals and families as well. The benefits have to be weighed by organizations to arrive at a suitable decision on implementation appropriate to the company. In India ZBB was first implemented in the Department of Science and Technology in the year 1983. GOI had introduced the concept in the state of Manipur. ZBB was promoted during the Seventh Five-Year Plan. The government had made it mandatory for all ministries to review their programs and activities and prepare expenditure estimates based on the ZBB concept. However, presently it has limited application in the country. 

This post is a part of #BlogchatterA2Z 2023   

Year over Year

Year over year (YOY), also refered some times, as 'Year on year" is a comparitive measure that studies the financial performance of a company- Whether it is improving, is static or worsening. To properly quantify a company’s performance, it is advisable to compare revenue and profits ,YOY. As for example the third quarter revenues of a company may be compared for the last three years on a YOY basis and reach a conclusion that the revenues have increased for the quarter.

What is interesting here is that the results for one period is compared with those of 'a comparable period' on an annualized basis. This is considered more informative than a month-to-month comparison. Sales, profits, and other financial metrics change during different periods of the year because most lines of business have a peak season and a low demand season. As for example, the sale of cars increase during November, festive season such as Deepavali. Hence a YOY comparison should be made with the November sales of previous years to arrive at an acurate picture. Comparing it with the sales of May or June can be misleading.

Common YOY comparisons include annual, quarterly as well as monthly performance. YOY measurements facilitate the cross comparison of sets of data. A financial analyst or an investor can compare years of first-quarter revenue data and quickly ascertain whether a company’s revenue is increasing or decreasing. By comparing the same months in different years, it is possible to draw accurate comparisons despite the seasonal nature of consumer behavior.

If an investor looks at a retailer’s results in the fourth quarter versus the previous third quarter, it might appear that the company is undergoing unprecedented growth while in reality seasonality has played a role (peak holiday shopping season happens in the fourth quarter of the year). Similarly, a comparison of the fourth quarter with the following first quarter may give the impression of a dramatic decline, when this could also be a result of seasonality. YOY comparison gives the accurate picture and is also valuable for investment portifolios, enabling investors to see how performance changes across time. YOY is commonly used to not only compare a company's growth in terms of profits and revenue but also understand yearly changes in an economy's money supply, gross domestic product ( GDP ) and other economic parameters.

Another measurement that is used for comparison is Year to date (YTD). Here, while YOY examines a 12 month change, YTD looks at a change relative to the beginning of the year (usually Jan1st). Ofcourse, you can as per specific need, calculate month over month or quarter over quarter, in the similar way of the computing YOY.

This post is a part of #BlogchatterA2Z 2023  

X-Efficiency

 

As we are almost near the finishing line of the #Blogchatter A2Z challenge 2023, I have to deal with writing on the tough last 3 alphabets namely'X' , 'Y' and 'Z". As HR subjects do not come immediately to mind, I am writing on topics relevant from the economic or business point of view. Today for the alphabet 'X' I am writing on X- Efficiency.

Normally, in a competitive market, organizations are compelled to work as efficiently as possible in order to ensure sufficient profits and survival in the long run. However, the situation may not be the same if there is no competition with the operators being a monopoly or a duopoly. Economist Harvey Leibenstein challenged the belief of the traditional neoclassical economists who assumed that even when the markets were not efficient, companies behaved rationally and maximised production & productivity at the lowest possible costs. Leibenstein pointed out that a company that is a monopoly tends to have lower efficiency as they are assured of market even when operating inefficiently. He called the efficiency in such a scenario as 'Unknown' or X- Efficiency which is influenced by human nature.

The theory reminded me of some of the companies in the public sector in India prior to liberalization. As they were monopolies, they did not bother to work efficiently. Price was fixed at the cost of production + profit. As for example Hindustan cables Hyderabad which manufactured telephone cables was a monopoly prior to the entry of other players post liberalization. If the cost of production was Rs100, the price would be fixed at Rs100 + Rs 20 =  Rs 120 (price). If cost of production increased due to more scrap & other poor parameters , then price would be fixed thus: Rs 150 (cost of production) + 20 (profit) =  170 (price). Company is not motivated to work to its maximum potential as profit is assured, no matter how efficiently you work.

In the absence of real competition, companies are more tolerant of inefficiencies in their operations. The concept of x-efficiency is used to estimate how much more efficient a company would be in a more competitive environment. The theory suggests that in the best interests of the organization, an entrepreneur work towards filling the gap between X- Efficiency and the potential efficiency of the company in a competitive environment.

This post is a part of #BlogchatterA2Z 2023  

Workplace Wellness

Workplace wellness refers to an organization's health promotion initiatives, policies and activities for fostering positive employee health and behaviour. It may take various forms such as health check up screening, fitness programs, health education, providing health care memberships in gyms/ yoga institutes etc. It involves investment of not only money but also time and commitment to the cause. After all, healthy employees tend to perform better, take initiative, improve productivity, and manage time efficiently. It also boosts employee morale, enhances job satisfaction, prevents loss of time due to illness, stress or absenteeism. In short, workplace wellness is beneficial for both the company and employees.

Work place wellness is relatively a novel concept; it is yet to be taken seriously and given the importance it deserves.. In India some companies have tied up with hospitals for annual medical check up for their executive level employees. Few companies, where the union had demanded for it, have extended it to the non executive employees as well. Beyond that, nothing much has been done to view "Wellness" as an important factor that impacts not only employee welfare but also company productivity and results. In our discussion during this A2Z challenge of #Blogchatter, we have been seeing how all the topics discussed are inter-related and contribute holistically to the success of an organization.

It is when disasters like that of Covid 19 hits that we realize the importance of having a good health system in place, at the company level. Further, in the present times, the employees are under a lot more mental pressure at work than earlier times. They have to content with not only additional pressure at work but also deal with family challenges of bringing up children with both parents working, keeping up with the joneses and having to look good on social media. The wellness program of the company would be a boon helping to alleviate the pressure to a considerable extent.

Identifying the health status of employees engaged in potentially risky operations in a manufacturing plant through periodical health check up (annually for others) followed by treatment, educating employees on how to stay healthy, including avoiding unhealthy behaviours like is a good starting point for a wellness initiative. Wellness programs can include awareness programs on the ill effects of smoking/drinking, weight management, stress caused by both work and personal related factors, depression etc. as also classes for physical fitness, yoga and mindfulness.

The 9 dimensions of 'wellness' are physical, emotional, financial, spiritual, social, career, intellectual, creative and environmental. Support in each of these areas will go a long way in ensuring the wetness of employees. The bane of the modern day living is a lack of connectedness. Humans, being social animals, require opportunities to feel connected with each other. Organizations can provide opportunities for social interaction at work and also by conducting sports and cultural activities inter-departmentally on special occasions like the Foundation day of the company. Employees can be encouraged to value rest and recreation providing them time and place for relaxation and meditation ( The initiatives/practices of Ace Manufacturing Systems, Bangalore can be read here).

The 'wellness' initiative should be spearheaded by a dedicated team that includes company doctor and other members with relevant experience. The wellness team can chalk out an annual program and allotted budget for the various activities during the year. Counselling facilities is an important requirement to help employees deal with stress. The wellness team may take support of outside experts such as a life style coach or a nutritionist from time to time. The lifestyle coach can address specific issues such as depleted energy levels, sleep deprivation, lack of social life, bad personal habits like smoking & drinking, lack of a feeling of being motivated at work etc.

It is not as if one size fits all. The company's wellness team in consultation with employees can come up with the unique 'wellness' needs and issues of the organization which can then be addressed. The team can also track progress of the health targets and measure benefits accrued in terms of productivity and other parameters. A successful wellness program should have a blend of activities that address the 9 various dimensions of wellness mentioned earlier (physical, emotional, financial, spiritual, social, career, intellectual, creative and environmental).  

This post is a part of #BlogchatterA2Z 2023  

Values Core to Your organization

A human being who has been taught or imbibed values in life on his own is very clear as to what is important and cannot be compromised. As for example, a person for whom, the value of honesty and integrity is high on his list of core values will not need to think twice, before turning down a dishonest proposition. Life becomes a lot easier with clarity and certainity when you have your 'core values' as the guiding light when faced with tough decisions.

Similarly, an organization that has declared and is living its core values will be able to handle conflicting internal/ external pressures and wade through seemingly difficult and turbulent economic storms with relative ease. These guiding principles and fundamental beliefs enshrined in the "Core values" help employees to function together as a team and work toward a common business goal. Business relationships, customer relationships, and company growth are all tied to the corporate values of the company.

The mission (discussed in detail in the last post titled "Ultimate purpose of an organization"), vision and the core/ corporate values (together) of a company determine the culture of the organization (click here for organization culture blog). 

It is seen that even the so called 'experts' have differing views on what is a  'mission' and a 'vision'. Some attribute the reason for existance of the intitution to the 'Mission' statement while others link it to 'vision'. However , they agree that one of the two terms gives the broad purpose/reason for existance and the other the destination and how you plan to reach there. I have accepted the position that the latter refers to the 'vision'. A reading of the mission and vision statements  of Tesla given below would give a fairly clear idea: 

Mission: To accelerate the world's transition to sustainable energy.
Vision: To create the most compelling car company of the 21st century by driving the world's transition to electric vehicles.

To sum up, along with the mission and vision of the company corporate/core values have a very imporatnt role in shaping the destiny of the organization. They determine an organization's internal and external standards and the behaviour of employees amongst themselves, with customers and external agencies. The core values of Hyundai Motor Company where I worked last, prior to retirement are (1) Customer (2) Challenge (3) Globality (4) Collaboration and (5) People.

The said values inspire employees to keep in mind the 'customer's interest' in what ever they do. The company expects its individual employee and teams to challenge themselves to achieve greater heights. As for example if a project was commissioned in two years, employees are motivated by the "Challenge" core value to do it in a year or one and half years. Similarly the "Globality" value inspires employees to think globally and maintain global standards in whatever they do. "Collaboration" is an important core value that team members practice to achieve big results. People orientation and behaviour is ensured by the "People" core value.

Integrity, respect, innovation, and drive are held important core values by many organizations while others hold inclusion, ownership, trust and transparency as vital and significant. What is important is to have core values suitable to your organization, the ones that represent you, your mission and vision the most. The ones to which the employees and stakeholders relate to easily. The values that best represent your brand.

In this connection, after coming up with some core values based on your basic objectives as an organization, consult your employees and take their feedback. Do they also think the said values are important ? At the end of the day it is the employees who would be translating them into their day to day work. The procedures, processes and work flows would be determined by these values. They have implications for both employees and customer experiences.Therefore the buy in of employees is very crucial for successful adoption of core values in the day to day work. Further, you can look at the values adopted by competitors that have worked for them. Have they missed out on something which you can include?

It is advisable to limit the number of core values to around five. Too many can be confusing and difficult to practice. They can always be modified later to suit contemporary situations if necessary. Employees work best when their personal values are in sync with the company values as they have a sense of belongingness and tend to naturally and spontaneously own the goals of the company. 

I would like to conclude this post with the observations of authors Jim Collins and Jerry Porras whose 1994 book "Built to Last" drew attention to the phenomenon that companies that lasted for many years had a set of principles called "core values" that they strictly practiced. Speaking of core values they said "Being inherent and sacrosanct; they can never be compromised, either for convenience or short term economic gain. Corporate core values may reflect the values of the company's founders."  

This post is a part of #BlogchatterA2Z 2023       

Ultimate Purpose of an Organization

It was a challenge to come up with a suitable topic starting with 'U' for the Blogchatter A2Z challenge. After pondering for quite some time, I zeroed in on the vital subject of "Ultimate Purpose of an Organization". The ultimate purpose or the reason for the very existance of an organization is reflected in its mission statement. The mission should be motivational and inspirational for the employees and other stakeholders to actively and enthusiastically collaborate. Businesses exist not only to make profit but also to make a difference to society and lives of people.

When you work, you put your heart and soul in it, not merely to earn enough to make a living. The job or activity should provide an opportunity to find meaning in one's life through work. For some, work enhances their feelings of competence, a sense of significance and of making a meaningful contribution. For others work nurtures a sense of belonginness as people work together for a common worthwhile cause. Work provides meaning to one's life. It should answer the question "Why is the work I do important?".

The 'Ultimate purpose" or mission statement of the company should answer the question " Are you a purpose-driven company? Is it contributing to making the world a better place?" The few words in the statement must be carefully chosen. To the extent possible, select a powerful verb that serves as an engine for the statement. The mission statement should be brief, in a few words (words that inspire and generate emotion) so that employees can remember it and use it to guide their daily actions.

Your mission statement should be directly aligned with your core values, which establish what behaviors you want to see from your employees every day. Every product decision you make should also be aligned with your company mission statement. You should ask yourself at the time of product change or diversification " Does this proposal align with our company’s purpose? The mission,while providing a clear direction, unites the leadership team to work unitedly and cohesively. Employees committed to a company’s mission have been known to have high levels of engagement and achieve higher levels of productivity.

Now, let us look at some mission statements of organizations that are operating in diverse sectors and serving various needs of customers:

A Bank : "We help people achieve their dreams."

Insurance company: "We provide peace of mind"

Bread company: "We nourish life."

Consumer products company: "We make life fun and easy"

Medical Group : We preserve and improve human life.

The mission statement of Facebook reads " We bring the world closer together" and that of TED "We spread ideas." IKEA says " We make everyday life better."

It may be interesting to compare and contrast the mission statements of the two rival/ competitor Cola companies. Readers may conclude for themselves as to which one of them better meets the definition of a mission statement, we have discussed so far.

Coco Cola: To refresh the world, To inspire moments of optimism and happiness, To create value and make a difference

Pepsi Cola: Create more smiles with every sip and every bite. By creating joyful moments through our delicious and nourishing products and unique brand experiences.

In conclusion, it is to be reiterated that the "ultimate purpose of your organization" or the company mission is a significant and vital document providing direction to the organization. Along with the corporate vales and vision, it shapes the culture of the company.The company's mission statement should be communicated to employees before their first day on the job. It should be present on all your recruiting and onboarding materials, prominently displayed on social media as also on job search sites like LinkedIn and Glassdoor. Employees should know the mission statement like the back of their hand and feel aligned with it as they engage in day to day work. 

This post is a part of #BlogchatterA2Z 2023  

Training & Development

A recap of all that we discussed so far during the A2Z challenge of Blogchatter, would indicate and underscore the fact that the various activities of HR are interrelated. The tools used come in handy and useful for various purposes. As for example, well written job descriptions not only facilitates recruitment of right fit candidates but also assists us at the time of training and development. The gap between the requirement enumerated in the job description and the competency of the incumbent can be addressed by training. Similarly, training needs are thrown up after a performance appraisal exercise.

The tone, tenor and understanding of training has changed over the years. At one time, employers considered sponsoring an employee for a three day training to a exotic hill resort as a reward for good performance. You now know that training is not just about the fun and frolic. It is not merely a transaction to be completed so as to be able to proudly claim at the end of the year that "Ours is a great organization that has a healthy statistic of mandays training". We now examine and discuss about the impact of training. A lot of expenditure is incurred for training programs such as development of 'Future leaders'. How much of change happened after the training is a question asked these days.

In some of the posts we discussed about the significant skills gap between that of candidates passing out of educational institutions and the skill needs of the job. Therefore proper training needs to be ensured even before the job aspirants become employees. In this connection, it is important for educational institutions and corporations to collaborate and design syllabuses that meet the requirement of the industry. Industries can consider adopting community colleges in their geographical location.

This would enable the companies to provide inputs as to the actual requirements of the industry and the students can also be given opportunities to visit and see for themselves how work happens in real time. An initiative on these lines would be a Win- Win for both as students / interns are assured of employment and the employer can look forward to better quality of employees. In view of the bond created during the process, there are also better chances of retaining them.

The modes of learning have increased and the way or preference for learning is also undergoing change. At an evening meet of a professional body in Bangalore in October 2016, Dr Moorthy Uppiluri, then CEO, Randstad India, had predicted that in future there would be less of class room learning and that the focus would shift to E learning and webinar modes, He opined that this would be more so as there is an attention deficit in today's Gen Y students who would prefer learning at their pace through online courses. The arrival of the virus Covid 19 quickened this process, as many classes happened online during the period. With lot more acceptance of virtual learning, we can look forward to more of Hybrid learning in the days to come, be it at colleges or in corporations.

Learning and Development needs to be flexible like trapeze artists in the circus to contribute to a work scenario in which, the way people learn is changing drastically. It could mean using more of E learning platforms like Coursera and planet Ganges but coming out with more local solutions, relevant to the country and organization. In Hyundai Motor India Ltd, where I worked prior to my retirement in 2015, many courses are run for its employees all over the world through E learning platforms monitored by the headquarters in Korea. The learning & Development function can contribute to developing learning platforms and help corporates move from knowledge retention to knowledge creation.

The challenges and priorities of work force training would no longer be limited to enhancing skill sets but would also include aspects of cultural fit and style fit to the organization. Further, lot of uncertainties have been thrown up post covid , with the world economy undergoing a recession. Known opportunities could disappear with many new unknown ones emerging. Lot of horizontal movement could happen with production guys moving into service and those in service getting into production and so on. The role of training and development in such a scenario can be challenging and more collaboration may be necessary with external training providers.

The training and development role is poised to play a big role in the days to come as there is a demand for updating and relearning of skills. Technology blended learning solutions could be increasingly preferred. At a seminar in Bangalore Mr Mohan Srinivasan, Head, Centre for behavioural excellence, Wipro Technologies explained how technology was used effectively for learning and tracking the progress of their 8 day English speaking "Fluency Program" designed for fresh engineers from a rural background. Based on the extent their language is comprehendible to listeners, the participants are given alerts of how they are doing - green colour for very well and at the bottom red colour, poor. Tests and feedback through technology helps the trainee move up on their level of fluency.

As there is increasing demand and expectation to measure the impact of training, Training & Development department should take steps to implement the 4 level (reaction, learning, behaviour and results) Kirkpatrick model of training evaluation. Depending on the importance and financial implication of the training program, evaluation can be done at the appropriate level.

At a seminar Mr Bhat of Sundaram Finance shared how the impact of sales training was assessed. One of their units was selected for the experiment and provided training. The performance comparison between team members of the unit that received training and the other units which did not receive training revealed higher figures in terms of actual sales and other parameters for the employees of the unit that underwent the training. Blended learning is likely to be the future for the T&D process- Apart from face to face learning, E learning, tests, quizzes, role plays, learning during live situations at work, using the mobile and social media as tools of learning etc.

In conclusion, it is to be reiterated that as in the case of HR function as a whole, Training & development can be effective only if its importance and necessity is understood and appreciated by the executives/ employees of the whole company. There is a need to take inputs from line managers before designing the program, keep them informed about the learning imparted in the program and the support expected for implementation on the job, post training . The training objective is fulfilled and the circle is complete only after application of learning happens on the job after the training.

This post is a part of #BlogchatterA2Z 2023  

Strategic HRM

The history of human resources management in corporates is well known. Starting out in an administrative role with focus on welfare and legal matters, the function moved on to more important activities such as organizational develoment and training & development. However, there has been a feeling for a long time that HR is still transactional in nature and needs to get involved with the stark realities of business so that HR activities can be dovetailed to business requirements.

The urgency for this was felt all the more with the advent of technology by which data related matters could be done better, faster and cheaper by outsourced agencies . In order to be relevant, the focus of HR had to change from the transactional to the strategic & transformational - being able to contribute to the business strategy of the company. In the meanwhile, the complexities of operations with rapidly changing work conventions required HR leaders to focus on playing a major role in enhancing workplace productivity to help the businesses gain an edge in the market. The seeds for a Strategic Human Resources Management (SHRM) were being sown.

While the broad statement of strategies set a direction, they also provide specific, measurable, obtainable, set of plans developed with deliberation and involvement of the organization's stakeholders. When a company adopts strategic HR, as is the case with the production or marketing strategy, the HR strategy is understood and owned  by the whole company and not just by the function or department. HR works in tandem with other departments in realizing its goals. The HR strategy thus developed with the buy in and active participation of other functions (Integrated HR management), results in the HR department becoming a key enabler of business growth rather than just a service provider.

The 2006 book "Roadmap to Strategic HR" written by Ralph Christensen gives a good picure about the 'what' and 'how' of adopting strategic HR in a company. As the author has a solid 25 years of experience working in corporates including in the role of VP-HR in three major companies in three different industries, his thoughts come through as practical without a lot of jargons associated with the work of academicians.

Strategic human resources efforts might include (1) Dialoguing with executive team for re-examining the clarity and appropriateness of business strategy (2) Aligning company wide reward syatems for ensuring fulfillment of customer needs (3) Reassessing and projecting talent needs on the basis of the latest business strategies (4) Redesigning work processes to eliminate aspects that don’t add value (5) Developing training solutions for building organizational capabilities in line with business strategy (6) Redesigning cultural aspects in line with customer desires for speed, creativity, quality, service levels, other improvements.

As the concept is recent in origin, a lot of effort is necessary to prepare the organization both the line managers and members of HR function themselves as to the need and advantages of having HR as a business partner rather than a service provider. The belief and confidence of CEO is vital in this regard. Ralph Christensen has suggested focusing on five HR processes that more or less covers that entire gamut of the HR role. They are workforce planning and staffing ( current and future needs in line with business strategy), learning and development (continual upgrading of existing talent), organization development (examining processes and systems for aligning with business strategy), Performance management ( to ensure desired outcomes) and employee relations (support employees to meet individual needs & the organization needs).

In order to successfully implement strategic HRM, the Director/VP/ Head HR should lead the process to interpret the business strategy into a robust human resources strategy for the company. He/she should have direct access to the CEO and must be able to contribute to the development and implementation of company's business strategy like any other business head of the organization. Therefore, it is most essential that this postion reports to the CEO. A big challenge that still exists is the need to develop measurement systems for tracking the progress of the human resources work, comparable to the systems used to track other business issues.   

This post is a part of #BlogchatterA2Z 2023  

Recruitment challenges

Attracting the right candidates or finding qualified and right fit candidates have always been a challenge for recruiters. The pandemic Covid 19 and the post pandemic implications have added to the problems both for the recruiting companies and the candidates seeking employment. After the pandemic, most sectors showed a dclining trend in recruitment. But gradually things are beginning to look up with more hiring in sectors like IT, health care, construction and FMCG. However, in sectors like travel, tourism and hospitality, it is taking time to revert back to previous times. Small-sized organizations are leading the hiring numbers in all these industries, followed by medium and large-sized organizations.

Some of the recruitment challenges include retaining top talent, keeping up with changing technology, hiring fast, managing remote hiring & onboarding, building a strong employer brand, managing expectations of the job market and ensuring a good candidate experience. Due to shifting demographics in the workplace, it is expected that by the year 2025, over 75% of employees will demand hybrid or remote work. Therefore, to the extent possible employers should consider offering hybrid work schedules.

According to a study there is a significant skills gap with 64% of managers opining that their employees are unable to match skill needs, and 70% of employees admitting to not mastering the skills for their current job. Infact, this has been the lament amongst employers in India for quite some time. Qualified candidates are given over a year's intensive training by Infosys followed by evaluation and tests to get them to be company ready to handle assignments.

I am reminded of the views expressed by Justice Ram Mohan Reddy, High court of Karnataka in his inaugural address during the "Industrial Relations Summit-2015- Make in India Challenges for sustained Industrial Relations." He had said " Today substandard manpower is coming out from the colleges whether it is engineers, ITI trained persons or other professionals." He also pointed out that the quality of the faculty in teaching institutions are compromised and persons who have passed out in a year are employed as teachers in the next academic year. "What can be expected of their prowess in teaching?" he had asked.

From the point of view of a candidate seeking employment, apart from the core skills, he/she would do well to upskill with additional digital tools for enhancing performance and staying ahead of the game. Emerging jobs become accessible to those learning the right skills. Companies across the world are increasing their investment in talent, notwithstanding borders. Therefore, there is no dearth of opportunities for competent candidates. 

From the employers' point of view, as discussed earlier in the post, on the one hand there are more number of job aspirants lacking the required skills while on the other hand there is a shortage of candidates with the right skills and competency. Highly skilled, quality employees have the chance to exercise their pick of job roles and organizations Therefore attracting them over the competition and retaining your own talent is a major challenge. There is no room for complacency despite the effects of the pandemic for attracting the best and retaining them. In this connection maintaining a strong employer brand with a healthy reputation is crucial. 

70% of high quality candidates do not apply to a company that has a bad reputation. As discussed in the post on job description, being clear and concise with your job descriptions would help considerably in obtaining the right candidate. HR needs to look beyond the obvious when assessing a candidate’s compatibility and also use appropriate software that supports this approach. Look out for those with a proactive mindset, a cultural fit and one who sees opportunities in all situations. 

It is important to keep candidates informed about the progress and decisions made during the recruitment process. Unselected candidates can be kept in the candidate pool as part of your recruiting strategy. By keeping an open channel of communication, you may be able to re-engage them for a future position. Another way to attract talent is to offer unique perks and benefits which employees 'actually want' (eg Private health care package) so that you stand out from your competition. Apart from company's standard platforms, using social media is a great way to widen the net and target potential talent. It also serves to build your brand. 

This post is a part of #BlogchatterA2Z 2023   

Quality Management and the HR Role

Quality management in the name and style of Total Quality Management (TQM) became popular in Japan and spread to other parts of the world. The ideas of Deming, an American engineer found ready acceptance in Japan which successfully adopted a management philosophy grounded on the belief that every organization runs on a system comprising of interrelated processes and people. If they are working in harmony like a well oiled machine, the company is bound to do well.

The economic miracle in Japan of the 1970s and 1980s has been attributed largely to the Deming theory and practice. Joseph M. Juran has had the most influence on the concept of quality management after Deming among other gurus. His emphasis was more on managerial aspect in quality. In India, the interest in quality management came much later from 1991,when Indian industries like BHEL Hyderabad took interest in the implementation of TQM and Performance Excellence (PE). TQM took roots in other countries as well where it is called by various names like company-wide quality management system, enterprise quality management system, or integrated quality management system.

Total Quality Management (TQM) is a management framework based on the belief that an organization can build long-term success by having all its members, from low level workers to its highest-ranking executives, focus on improving quality and together, deliver customer satisfaction. Thus every employee is responsible for quality. Focusing on customer requirements, commitment to quality from employees and the top management, continuous improvement of the processes, having discipline & effective control and having a quality culture in the organization are all key to TQM. The quality policy declared and exhibited all over the company serves as a guide and reminder to adhere to quality practices by everyone in the organization.


One of the most famous success stories of total quality management is Toyota. Toyota implemented Kanban System to make its assembly line more efficient. The company decided to keep just enough inventories to fulfill customer orders as and when they were placed. Other companies which have implemented TQM successfully include Ford Motor Company, Phillips Semiconductor, SGL Carbon, Motorola, Ishikawa, Gilbert,G, Tichey N and Swiss,J.

One of the important benefits of TQM implementation in the long run is cost reduction, particularly in the areas of scrap, rework, field service and warranty cost. Other benefits include improvement in productivity, customer satisfaction, reduction in defect and high employee morale. Total quality management promotes customer satisfaction by assuring the regular supply of high-quality goods and services.

For an effective quality management, it is important to improve customer service, make sure employees are trained in quality, increase employee productivity and focus on continual improvement of processes and procedures. Here is where HR has a key role to play as most of these aspects are tied to a company's culture. In the absence of 'Quality' being ingrained into the culture of the organization, there is the danger of ideas withering away in the long run. Further, it involves a lot of training and engagement with quality necessitating the active participation of HR.

It is often observed that corporations at a particular point of time get attracted to the current fad or buzz word, then after some time move on to another and then another focus area be it shareholder. customer, quality or sustainabilty. During a discussion at a seminar in IIM Bangalore, this matter was discussed and concluded that all important aspects affecting the effectiveness, health and wellbeing of the organization need to be continually addressed and it is not about choosing one over the other. You can read my short poem capturing the essence of the discussion here.

In conclusion, it is to be reiterated that no matter what new focus areas may come up, quality in line with the customer's requirements, will continue to remain a top priority. As discussed in the previous paragraph all important areas for organizational effectiveness need to be given adequate attention. HR has a crucial role to play in this regard for cocreating a suitable culture. 

This post is a part of #BlogchatterA2Z 2023   

Performance Feedback

In this post I have chosen to write on performance feedback which is a part of the big umbrella of performance management. Yet, it is one aspect that is consciously or unconsiously neglected. It is also a fact that giving feedback on performance can be uncomfortable both for the person giving it and the person receiving it. Even in the cinema we have trained actors who are expected and believed to perform better than the novices who come to try their hand on the steam of their ardent desire.

In corporates, we expect people trained in technical skills alone to perform the role of a nurturing guide or mentor and give feedback to an employee so that he/she can perform better. Considering the importance and critically of the activity, we should pay more attention and train both the supervisor and his junior to effectively give and take feedback with the ultimate aim of not only improved performance but also development of employee to full potential.

Apart from individual training to both actors in this exercise, it is necessary for HR to enhance the overall awareness in the company, highlighting the criticality of performance feedback for employee performance and overall performance of company. In the absence of such an awareness campaign peridically, some managers would go through the motions of the process thinking "Such a waste of valuable time that could have been used to get a shot at the actual work of increasing production." We have to show to the busy line manager that engaging with his team members in fact contributes considerably to his basic goal of higher production and productivity.

Performance feedback is critical for helping employees to understand clearly the expectations from them; enabling adjustments and for providing coaching if necessary for improvement. As for example feedback to an employee that "his choice of words" while interacting with customers is having a negative impact, and a discussion on "better choice of words" will help the employee serve his customers more effectively. The exercise also provides valuable feedback to the manager about the realities and challenges faced on the ground so that he can better lead the team. It is necessary to have regular follow up dialogues and not restrict the interaction to a formal yearly, half yearly or quarterly exercise.

It is hard to change something if you are unaware of what you are doing wrong. Performance feedback can cover a wide range of job aspects such as quality of work ( asessed on a scale of say 1-5, repetitive errors), work habits ( being punctual, dependable, organized), service habits (not returning phone calls, is rude, passes the buck) and team skills (inclusive, collaborative without being dominating). Acknowledging the employee's difficulty and feelings, validate the member as an important part of the team and it also shows your willingness to value his inputs.

Set standards and establish realistic parameters in advance against which feedback can be given. Be sure to acknowledge the things done well and not focus only on the shortcomings. Let your feedback style be consistently same in respect of all employees so that an individual employee does not feel being singled out and attacked personally. Hold regular performance feedback sessions with all employees, looking out also for new ideas that may come up which can be profitably used by the entire team. Set a time during the week to monitor and talk to employees. Prepare standard forms to simplify the recording process and let employees know what to expect.

Share specific feedback and provide examples: Provide concrete examples for the observations- Specific examples of times the employee’s work or actions did not meet performance standards. While giving constructive feedback, ensure that it is a discussion with two way communication. The employees should have opportunity to share their perspective. Try to come to an agreement on the best way forward together.The focus of your feedback shouldn’t be about just good versus bad instances of performance, but about opportunities for development.

It is to kept in mind that performance feedback is a communication process and therefore all aspects pertaining to good communication is relevant here. The non verbal communication exhibited while giving feedback matters a lot. An expression of impatience, annoyance, contempt or ones depicting interest, openness to know from appraisee, an encouraging smile can make the difference. Most people want to do a good job and are eager to improve with feedback. When done right. performance feedback eventually relies less on documenting information and more on simple conversations that happen throughout a workday or week. 

Performance feedback becomes a welcome and desirable exercise for both, the ones giving and receiving feedback, when it is clear to both parties that the ultimate objective is development of the employee; facilitating his/her best possible contribution to the organization. 

This post is a part of #BlogchatterA2Z 2023   

Organizational culture

Organizational culture refers to the philosophies, attitudes, beliefs, behaviours and practices that define an organization. Culture influences the behaviour of employees; reflects the thought process of the organization and reveals how things get done there. A new employee joining the company is taught formally and informally as to what is important to the organization and the appropriate way of perceiving, thinking and acting on a day to day basis. Further, culture also affects how people experience an organization , buying from it as a customer or partnering with it as a supplier.

Culture is everywhere. If you were to walk up to the reception area of a company's office, the way you are attended to, how employees move around- whether professionally with a purpose or hanging around gossiping will reveal about the culture of the organization (gives hints about what happens or does not happen in the organization). An appropriate organizational culture, attuned to its goals, aims and objectives can be a great competitive advantage for the company, impacting its effectiveness and success.

The importance of culture in an organization cannot be overemphasized as it shapes the decisions that the company considers as "right decisions", "appropriate behaviour", the way interaction happens with each other, the speed & efficiency with which things get done, the organization's capacity and receptiveness for change and so on. Seemingly invisible, culture reveals the unique personality of the organization, differentiating it from others on a wide range of matters from internal policies and procedures to public relations and customer interactions.

Organizational culture, not only influences the day-to-day experience of employees but also the public perception and brand image of a company. The vision statement, policies, logos, office design, wages, benefits, and the way employees are treated are all reflections of the culture of the company. The organizational culture, also called corporate culture in corporations can be classified into (a) dominant culture and (b) sub culture. Dominant Culture is a set of core values shared by a majority of the organization’s members while the set of values shared by a minority is referred to as subculture. The key to success is ensuring that the organization’s culture, strategy, environment and technology are well aligned.

In this regard, the leadership can strategize and work towards nurturing the appropriate culture keeping  the "end in mind" What is the vision for the business? What are the key strategies? What kind of culture will help drive those strategies? What behaviours will complement and support the process and which behaviours are not acceptable? What steps can be taken to promote a culture of innovation?

Organizational culture is manifested in the form of leadership behaviours, organizational processes and symbols. Leaders’ behaviour not only reflect the culture but also shape it. Therefore leaders need to be vigilant and ensure that their behaviour is in line with the espoused intent and values of the organization. After all, culture is typically created by a founder or top-level managers that is then nurtured over the years by the dominant groups, senior employees, and interest groups. If there is disharmony between what leaders say and practice, it cannot be expected to take deep roots. As for example, you keep talking about the importance of punctuality but senior leaders practice IST ( Indian stretched time)! 

 Similarly processes and systems need to be reviewed and critically examined to ensure that they are in alignment with the culture you are aspiring to build for the organization. As for example, if the organization wishes to develop a culture of trust and empowerment but has a system of obtaining approvals from 10 hierarchical levels before a decision can be taken on a capital expenditure. Both are contradictory and need to be resolved / corrected . In this regard, inputs can be taken from employees and other stakeholders/experts from outside the organization as well for formalizing suitable processes.

Symbols are also important to give the correct signals to the rank and file. As for example, the Japanese introduced uniforms for all employees right from the CEO to the last employee to signify the uniformity in purpose and contribution of everyone in their individual roles. Suits for executives and a separate cafeteria for them may give a totally different message from the culture you would like to cultivate in the organization.

A culture of recognition builds trust and security, and employees are more motivated to continue doing great work. In this culture, the company recognizes and applauds the good contributions of its employees both monetarily and in other forms. Employees feel that the company values their contributions to the success of their organization. According to a study by Bersin & Associates, “companies with higher recognition cultures have as much as 30 per cent lower voluntary attrition rates.” Therefore leaders would do well to appreciate good work. Even at home, a spouse or a child is upset when their contribution (may be cooking a wonderful meal or coming second in class) is not acknowledged. More so, an employee who is not recognized feels slighted and is not motivated to do consistently good work.

In conclusion, it is to be reiterated that a suitable and healthy organizational culture is crucial to the success of an organization. It takes hard work to build it; sharedness of common core values and intensity of commitment to them are all part of building culture.

This post is a part of #BlogchatterA2Z 2023

New Approaches

Modern business practices in India or other parts of the world have been modelled on the Western approach of securing profits for the shareholders. Management education is also more or less dovetailed to meet this objective. Although lip sympathy is given to the interests of other stakeholders be it the employees, customers, suppliers or the society in which the organization is operating, the major driving force is the bottom line. When you have such an approach, you can downsize thousands of employees at the drop of a hat without bothering to see what they would do for a living from the next day. You also pay no attention to whether they had served the organization loyally for many years.

Under this approach, similar can be the fate of suppliers who may have supported you for many years in the initial phase of growing the business.Some time back I had read about the plight of an employee working in the services sector who was informed by HR that his services were no longer required.

"But I have received 'outstanding' grade in the appraisal for the last three years..." he protested.

" Well, it is a corporate decision based on current business reality.There is nothing that can be done."

" Can I talk to corporate office?"

" I don't think it will make any difference. It is a decision that has come from the corporate office"

In earier times, HR spent time with the employee to soften the blow and to examine with him the alternative possibilities on the way forward. Now, it seems to have become an acceped norm to "give it as it is and move on". Needless to say that this approach of treating people like curry leaves for the flavour while cooking, only to be discarded has generated mistrust and to that extent employees are also no longer loyal to any organization. They are only too willing to move instantly to better their interests.

This approach to doing business and dealing with people in an impersonal manner can result in a big price to pay in the long run. It goes against the grain of the universal laws which state that "one cannot prosper or be happy at the expense of another as we are all connected". In my maiden book " Straight from the Heart- Thoughts and Experiences of an HR Professional" published in 2015, I have pointed out that the traditional approach to management of 'saying things, good to hear' like importance of team working and practising empathy but doing the very opposite when it comes to behaviour on the ground has to change.

The HR professionals, particularly have to take the lead to introduce concepts that would make the work place less stressful and less violent, psychologically. In this connection I had suggested in the book, adopting "Appreciative inquiry" propagated by David Cooper Rider and his research guide Suresh Srivastava. Many organizations cutting across sectors have benefited from its application.

Similarly NLP (Neuro Linguistic Programming) founded by Richard Bandler and John Grinder have not been extensively used and benefits reaped by corporations. It has been attempted only in small pockets such as by sales departments. Another concept we can profitably use at work for reducing conflicts and enhancing harmony is "Non violent communication" developed by Dr. Marshall B. Rosenberg, which has 'empathy' as the core of the process.

Having an "Attitude of Gratitude' at the core of all our activities would change the way we look at targets, goals or competition. Desperation and frenzy woud be repaced by a sense of calmness enabling employees to focus on the tasks at hand instead of fretting and worrying. Here EFT (emotional freedom technique) a tapping technique can be very helpful in reducing stress. 'Mind Reprogramming' is another tool that can be profitably used to replace negative thoughts with positive affirmations on the tasks at hand. I have shared my experience in trying out some of these techniques in earlier blogs as also in my book. (can check one such blog here )

If we continue to do the same things, we will continue to get the same results. As HR professionals, the time is long overdue to persuade and convince the senior management team of the futility of the old approaches such as the carrot & stick to deal with the new challenges. We need to focus on initiating new interventions and approach that can ensure an effective and harmonious work environment as opposed to a battle field, where even the winner ends up feeling like a loser.

This post is a part of #BlogchatterA2Z 2023 

Mapping Competencies

The University of Nebraska- Lincoln defines competency as “the combination of observable and measurable knowledge, skills, abilities, and personal attributes that contribute to enhanced employee performance and ultimately result in organisational success”. It is evident from this definition that competencies that are most essential for successfully running the operations need to be identified by an organization. At the same time it is necessary to reveal to employees the competencies required/ expected in their job, the key behaviors they should demonstrate, and the steps needed to increase their proficiency levels.

The requirement in terms of skills, behaviours, abilities and knowledge for each each job title is to be assessed followed by mapping the competency of the employee performing the role. This will reveal whether the requirements of the job and competency of the person is a perfect fit. If there are gaps, it can be filled up by interventions such as training. If the employee has a flair for some other job, he can be moved to that area of his competency enabling him to perform well (matching with the role or project for which the employee is best suited) . ​​

Competency mapping helps to streamline operations, improve productivity, and shape strategy for almost everything, be it learning and development, recruitment, retention or evaluation. Competencies fall into three major categories namely core, cross-functional and functional. Some of the key competencies for effective working in an organization include business awareness, customer orientation, analytical thinking/problem solving, quickly learning and responding to situations, team working and communication skills. Some of the tools to measure various types of job related competencies are interviewing, questionnaires, psychometric tests, critical incidents technique, assessment centers etc.

The competency mapping process can be started off by drawing up a skill list followed by identifying the competencies. These may be functional competencies (hard skills such as data visualisation, digital marketing), behavioural competencies (ownership, empathy), organizational competencies ( those unique to the organization such as user friendly,innovative) or core competencies (the generic competency required for a specific role, such as customer service, organisational skills, strategic planning). The next step would be identifying behavioural indicators and setting proficiency levels ( 1) novice, 2) learner, 3) practitioner, 4) expert, and 5) master). At this stage you can get the industry experts on board and seek their suggestions for incorporation.This will also ensure that the standards set in the competency matrix are aligned with industry standards.

A successful competency mapping exercise leads to a well-defined competency matrix, setting clear standards for the skills, behaviours, abilities, and knowledge required in the orgainization from employees in respect of each job or department. While designing a competency matrix, a key point to be kept in mind is to keep it simple.Too many competencies and multiple methods of rating and measuring can create confusion. After all, the primary objective of the exercise is to bring clarity. Another important aspect is to always remember to focus on development rather than on evaluation. The results of the competency mapping exercise is to be used to strengthen learning and usher in development and growth. 

This post is a part of #BlogchatterA2Z 2023 

Leadership- Some Thoughts

 

Preamble: During the Blogchatter A2Z challenge, when the time came to write on the alphabet "L", the word that naturally came to mind was "Leadership". Yet, so much has been written in this space on the subject as I am basically an HR professional and blogger. "What is it that I can write new or more on the topic?" I asked myself. I finally decided to delve deep into the blogs already published and highlight some cream thoughts on leadership. So here goes... 

• Who is a leader? He/she is generally, one expected to inspire and motivate, show an intention  and ability to influence people -  give  them some direction and exercise some control. 
• The leader is endowed with some authority and also has the responsibility for the end result. 
• Practical experience gained from situations is what enables one to develop leadership skills rather than mere theoretical inputs. 
• If people play well their own tunes in disharmony, it will not serve the interests of the organization. Therefore, the role of a leader to nurture team players. 
• Leadership qualities cannot be emulated blindly. Each person has to develop his/her own style over time.
• Some persons in leadership postions wants to do everything themselves; they find it difficult to let go and accept the fact  that juniors are also competent enough to handle matters. It can also be a matter of lack of trust. 
• The thumb rule for a good leader is the ability to give juniors a feeling that you are with them-  will trust and back their decisions 
• It is a myth that every leader should have the ability to speak or have a dynamic/charismatic personality. It is sufficient if he/she is able to influence and move people towards the goals. 
• Leaders may use different - own unique style, suitable for themselves and team, so long as they are successful and get the desired results. 
• However, what worked with earlier generation of employees is not likely to work with millennials. Harmonious work environment, like in an orchestra  may happen only when we give millennials more freedom, autonomy and repose trust in their abilities. 
• It is all about developing a leadership style unique to yourself and the situation you are operating in; yet at the same time catering to the changing needs and demands. 
• It would help if the leader is authentic- communicates  'real expectations' of what he/she really wants. There is no point in claiming " We believe in work life balance" when you expect people to put in 12 hours a day. Unauthentic leaders lose the respect and trust of their people in the long run. 
• There is a lot of information overload these days unlike as in the time of our ancestors. Being concious about this would help in separating the rice from the chaff. 
• It is important to be  aware of the decisions you are taking and what has been its efficacy- to what extent the intended result happened. 
• Don't let unhealthy thoughts become so normal that you don't notice them. 
• Always have the emotion of gratefulness at the top of the mood elevator says Larry. E. Senn, author of the book "The Mood Elevator: Take charge of your feelings, Become a better you". 
• "It is almost impossible to be grateful and at the same time be angry, depressed, irritated or self righteous". 
•  Focus on the top 3 goals- Top 3 goals for the day, the week, month and year. Have a daily score card and measure what you are doing in all areas - work and personal life. 
• There is a feeling in the corporate scenario, that nothing will get done in the absence of follow up. 
• Keep empowering your people to the extent that they work happily and responsibly on their own without the need for follow up. However, when follow up is necessary, do it with a positive intention as unobtrusively as possible. If you have to err, err on the side of not following up. 
• Asking questions is an important tool. It enhances the leadership skills of not only the one asking the questions but also of the person who is answering them. 
• Asking questions help to engage in focused thinking. Breakthrough answers are possible when you engage in focused thinking. The key is not only to ask questions yourself, but also encouraging others to ask questions. 
• Ask questions about the past to learn from mistakes of the past as also questions about  future, with more focus on future.  
• The way the question is asked should be encouraging and supportive (a non threatening environment by preparing people before asking the question) for eliciting answers and active participation.
• In such an environment, You don't need to wait till appraisal time to know how you are doing. Great coaches ask great questions. 
• A good leader owns responsibilty when things go wrong without passing the buck. Such a leader earns the respect and loyalty of his juniors.
• Leadership in real terms is "Leadership in action" - what you do on the ground rather than what you say.
• Employees exhibit work behaviour that they have picked up from persons who were their bosses in the initial years of their career- whether open to suggestions, consults others and is inclusive in his or her behaviour or blame others for his mistakes, tries to save his own skin instead of going in to the details and collaborating to solve the problem. Role of the persons in leadership positions is so very important. 
• Our behavioural styles as leaders impacts not just us or even one generation of employees. It gets passed on, a long way in to the future with rippling effect. 

          This post is a part of #BlogchatterA2Z 2023 

Knowledge management

When knowledge in the organization is freely accessible to employees to do their jobs properly, high productivity and effectiveness can be assured. On the other hand in the absence of an effective system for sharing and disseminating knowledge, a lot of time can be wasted in inefficient activities and repetitive/ duplication of work. Ineffective knowledge management creates gaps in knowledge resulting in wasted time, lost productivity, repeated mistakes and employee dissatisfaction.

Knowledge management is the process by which an enterprise gathers, organizes, shares and analyzes its knowledge, in such a manner that it is easily accessible to employees. It also helps the business to retain knowledge for future use. The knowledge includes technical resources, frequently asked questions, training documents and people skills. It can be as simple as training employees or as complicated as R&D teams collaborating on a scientific breakthrough.

Basically, there are two types of knowledge that is generated in an organization namely (1) explicit and (2) tacit. The latter refers to the knowledge and insights that an employee gains through long years of experience, working hands on at the job, discussing with other team members, peers or supervisors. Activities such as attending training programs or engaging in mentoring your team can all add to tacit knowledge.

Explicit knowledge on the other hand is knowledge that is readily available as it is documented. Manuals, documents, procedures and how to videos etc are examples of explicit knowledge. It is clear from the above that it is easy to share explicit knowledge. However, passing on tacit knowledge can be a challenge. It can be slow, difficult to scale and imperfect. It involves extensive communication and frequent interactions. The tendency of departments to work in self contained silos adds to the problem. Modern solutions that allow employees to document and facilitate tacit knowledge are essential for effective knowledge management.

Traditional knowledge management used to focus on documented knowledge; but most knowledge ( that happens to be tacit) within organizations is undocumented. Modern knowledge management bridges this gap by connecting knowledge seekers to colleagues who have tacit knowledge and are willing to share it. As a first step towards making knowledge management more effective, organizations can plan a strategy for capturing knowledge. This includes Identifying all the sources of knowledge within the organization. Gaps can be identified by understanding your organization’s knowledge flow. The strategy should address aspects such as where new and existing knowledge will be stored, how it will be mapped and what security measures need to be in place. If possible, assign a single point/ trusted source of information to which any employee can approach for acurate information.

Another important factor for effective knowledge management is to have a system that integrates with the tools or software that the employees are already using. This relieves them from the pressure of learning additional platforms and helps in easily adopting to the the KM system and practices. It also helps in generating synchronized, up to date data. Here it is very important that real time data is always available to the employee so that they are able to quickly respond to changing conditions or goals of the company. Your team should have access to the most accurate information at all times. Further, they must also be able to trust your knowledge base. 

The knowledge management system in the company should provide ample opportunity to ask and answer questions. As many, may not be comfortable to ask questions or seek support in a public forum, the system should ensure that they get opportunities to interact in smaller groups as also for posing questions or commenting anonymously. This will encourage active participation of employees.

 In terms of Modern knowledge management, a knowledge management system powered by artificial intelligence is the most effective solution for most enterprise organizations. These systems can offer real-time, automated access to information. However, knowledge management systems, like any other technology, must be protected from cybersecurity concerns and intellectual property theft. Regulatory compliance also must be strictly adhered to. Here, one could go in for globally reputed platforms that are safe with certification such as  ISO 27001:2013.

In conclusion, it is to be reiterated that knowledge management is not to be seen as a one time initiative. It is a continous process that is required to be robust at all times. Given the abrupt changes that can happen in marketing conditions, change in laws or other unforeseen developments, it is necessary to be ever ready for change with flexible responses. This becomes possible when the KM system in the organization is robust, up to date and easily accessible to employees and stakeholders. 

This post is a part of #BlogchatterA2Z 2023 

Job Description

'Job description' documents the skills, knowledge, abilities and other characteristics of a job that is necessary for satisfactory performance of the job. It covers among others, the title of the job, its position within the team/department/wider organization, reporting relationships, key ares of responsibilities and deliverables, short/medium/long term objectives, scope for progression/promotion, required education & training, essential softskills/personality traits, location & travel requirements if any and remuneration range/ benefits.

In any organization, it is necessary to have job description (JD) for all jobs right from that of the CEO to the last employee. JD provides clarity to both stakeholders - to the employee as to the job content &  responsibilies and to the employer on the job expectations against which he can hold the employee  accountable. A clear job description helps employees to improve  their  performance as they have clarity on what is expected of them. In the absence of clarity, there is scope for error and under performance. JDs also enable us to compare  and assess where an incumbent stands against the expectations of the job. The gaps can be filled up by training or coaching initiatives. 

A good, up to date JD is a must before making recruitments. This ensures the right candidates are attracted and recruited into the company. Faulty JDs could mean, unsuitable persons are offered employment which can prove to be very costly in the long run. JDs can be effective tools for progression and  leadership development. It also is very useful during performance appraisal. If a well written JD is available, against which assessment is made, the employee himself/ herself would be able to make a self appraisal and to that extent conflicts could be avoided or reduced. A person whose performance is not meeting the requirements specified in the JD would be less likely to challenge the supervisor's appraisal or have a feeling that he /she is biased.  

The JD preparation process starts with a job analysis to understand the tasks & content of the job. This includes gathering, examining and interpreting data about the job, Interviewing employees to find out exactly what tasks are being performed, observing the tasks being performed, have employees fill out questionnaires and collecting data from outside sources such as salary surveys or other public documents. The results should be documented and reviewed by the employee who is currently in the position and his or her supervis for any changes required if any, regarding the knowledge, skills, abilities, physical characteristics, environmental factors and credentials/experience of the position. JD should be updated regularly and periodically to ensure that it reflects the employee's current assigned responsibilities. 

 Although, most business owners understand the need and importance of job descriptions, many do not give it the importance it deserves. This could be because the process is seen as tedious and time consuming. Given its benefits and ability to avoid many pitfalls and conflicts, organizations would do well to get back to the basics, and focus on developing robust JDs for the entire organization. Unlike the situation in earlier times, with the advent of technology, it is not difficult to obtain basic information on any number of jobs. They only need to be tweaked to suit the individual needs of the company.

Moreover, there are many companies like JuvodHR, in US that supply data and support companies to finalize their JDS. In this regard, their platform is built using The Occupational Information Network (O*NET). O*NET is the nation’s primary source of occupational information, a ten plus year effort developed under the sponsorship of the US Department of Labor/Employment and Training Administration. It is hoped that JD is embraced whole heartedly and used widely by the companies in our country as well so as to reap rich dividends. 

This post is a part of #BlogchatterA2Z 2023