Strategic HRM at BIG Bazaar By- Ajatshatru Sharma Anita Sharma
Big Bazaar is a chain of department stores in India currently with 100 outlets. It is owned by Pantaloon Retail India Ltd, Future Group. It works on the same economy model as Wal-Mart and has been successful in many Indian cities and small towns. Currently Big Bazaar stores are located only in India. It is the fastest growing chain of department stores and aims at having 350 stores by 2010. Big Bazaar is the destination where you get products available at prices lower than the MRP, setting a new level of standard in price, convenience and quality.
Human Resource Management inBig Bazaar• The HR department of Big Bazaar is very dynamic.• Employees are the biggest strength and asset of any organization and the HR dept realizes this very well.• This is very evident from the way the HR department handles all its employees.• They take utmost care to select, train, motivate and retain all the employees.• They have continuous developmental Programs for all the employees.• There are two shifts for the employees. The first shift employees arrive at 10AM in the morning and leave at 7.30 in the evening, while the second shift employees report at 12.30 in the afternoon and leave at the time of Store closing (10pm).
HRM in Retail“In today’s Era it is difficult to gain an edge through unique product offerings, since today’s customers has easy access to a wide selection of goods.” Retailers are striving to create a superior store experience for consumers – To increase sales & Customer Loyalty Two Major Retail Variable Assets are: Inventory Labour
Labour• Retailer’s single largest controllable expense• Through Employees Brand’s Deliver: • Customer Service & Experience • Revenue • Brand Differentiation
Organization Structures• Defines the Hierarchy Levels, the reporting relationships and the decision makers• Is the starting point for managing a business• Helps understanding various task to be performed and helps in understanding the roles to be played by people within the organization.
Functions of management in the Big Bazaar Management Store Buying & Finance & Legal & HRM Marketing etcOperations Merchandising Accounts Administration
Planning and Assessing anOrganization: Factors to Consider• Target market needs• Management needs• Employees needs
Organization structure of Big Bazar • Owner/Manager • Responsibilities • Buying, Promotion, Sales, HR, Operational • Control & General ManagementExternal Advisors Sales Staff Lawyers, CA, Back Office Staff Responsibilities Responsibilities Customer Service, Selling, Bankers, etc Accounting & Record keeping, Stock Control, Display & Data Entry, Inventory Control, Housekeeping Purchase Orders, Time Keeping & Payroll, Facilities Management
HRM In Retail• According to HR manger of Big Baazar, Gwalior, “Hiring persons with Right Attitude is important in all organizations”The HR Function in Retail Involves: 1. Identifying Various roles in organizations 2. Recruiting people with the right attitude to fit the jobs. 3. Training 4. Motivating Employees 5. Evaluating employee performance
Big Bazaar People ManagementSystem• Culture Building• Performance Management through Balanced Score Card• People Processes• Management Processes• Leadership Excellence
Areas covered under thisassignment are…..• Recruitment & Selection process• Induction• Training• Compensation and rewards• Performance appraisal
Recruitment & Selection in BigBazaarRecruitment• Consultancy Services• Walk-ins• Employee Referrals• Campus RecruitmentSelection process• Interview• Psychometric Tests• Group Discussion
Induction training programme• New employees selected are given a 13 day induction and training program.• They are given information about the company’s business, different departments etc.• They are informed of their roles, duties and responsibilities.• They are informed about the HR policies and rules of the company.•
Training• Need of Training arises at following Times: – Induction – Sales Staff in direct contact with customers – Communication Knowledge – Product Knowledge – Company Policies on Return – Knowledge of the workplace – Market Awareness – Personal Grooming – Skill enhancements
Compensation and rewards• The employees are rewarded suitably with attractive pay packages. The salary of an employee includes basic pay. HRA, special allowance, Mediclaim etc. Annual bonus will be given at the time of Diwali.• The employees and their dependents are also entitled for medical treatment in recognized hospitals with cashless hospitalization with whom the company has tie-ups. If a hospital is not recognised, the amount spent by the employee will be reimbursed.• Along with these all the employees are given a card known as ‘Employee Discount card’ (EDC) through which they can buy any product at Big Bazaar at a special discount of 20-30 %.
Performance Appraisal• The HR department conducts performance appraisal of all the employees annually in the month of April.• Based on their performance increments are given in their pay.• In addition to this if an employee achieves or exceeds the target given to along with their team members will be provided with attractive cash and other incentives.