• Why are employees in some companies happy to stick with
the company while others look for a change?
• The reason is that some companies know how to take good
care of their employees and provide a working environment
that helps them retain their identity, while proving themselves
and growing along with the company.
• They practices HR Policies that help in the creation of a highly
satisfied and motivated work force
Advantage of HR Practices
• Communication of Organizational Vision, Mission, Values & Objectives
• Assists in the achievement of Organisational goals
• Increased productivity & profitability
• Increased motivation, satisfaction and participation
• Provides guidelines on management practices
• Personal development
• Demonstrates commitment to the employment relationship
• Involvement in the attainment of Organisation and Business Unit objectives
• Individual development
• Career progression
• Greater job satisfaction and security
Some of the best HR practices are
• 360-Degree Performance Management Feedback System
• Safe, Healthy And Happy Workplace
• Performance Linked Bonuses
• Managing Non-Performer
• Highlight Performers
• Reward Ceremonies
• Open Book Management Style
• Fair Evaluation System For Employees
• Knowledge Sharing
• Open House Discussions And Feedback Mechanisms
• Delight Employees With The Unexpected
1).360 Degree Performance Management Feedback
• This system, solicits feedback from seniors, peers, sub-ordinates, reporting
staff members, co-workers, customers and supplier has been increasingly
accepted as the best methods for collecting management and/or
• The system helps in identifying people who can perform well as leaders at
higher levels in the organization.
• Opinion of all matter, every person in the team is responsible for giving
relevant, positive and constructive feedback.
• In-House: anonymously filled out 360 degree feedback instrument or face-
to-face view and/or using an outside consultant, minimizing any personal
friction within the organization;
• The feedback provides insight about the skills and behaviours
desired in the organization to accomplish the mission , vision, and
goals and live the values.
• The feedback is firmly planted in behaviours needed to exceed
• Results are used by the person to plan training and development.
• Senior managers could use this feed back for self development.
• Results may help organizations in making administrative decisions,
such as pay or promotion.
• Click to edit Master text styles
– Second level
– Third level
• Fourth level
– Fifth level
This technique find out
the competencies, verifies
the results from a variety
of perspectives, and
identifies ways to enhance
It graphically display the
relationship between how
employees see themselves
and how others see them.
360 Degree Feedback System
2).Safe, Healthy And Happy Workplace
• A positive, healthy work environment contributes to an organization’s success.
Healthy employees are essential to achieving a productive workforce.
• A safe and happy workplace makes the employees feel good about being
• Promoting a good team environment can improve employee morale, increase
their loyalty to the company and to each other.
• Each one is given importance and provided the security that gives them the
motivation to stay.
• A corporate healthy workplace culture responds to the diverse and unique
needs of employees within individual departments.
• Make it clear that sexual harassment is unacceptable and will not be tolerated
in your office.
• Include a pre-employment medical check-up and an annual medical check-up
for your employees to make sure they are healthy for work.
• Get your employees insured in case an emergency hits your office.
• Listen to your employees, a constructive feedback mechanism is effective.
Maintaining a safe workplace also means caring about what your employees
think of your company.
• This is usually achieved through internal surveys to find out whether they are
satisfied and if not what they think needs to be changed.
COMPREHENSIVE HEALTHY WORKPLACE APPROACH
• An effective healthy workplace excellence approach to defining, implementing and
sustaining a healthy, safe and supportive workplace that has some key elements:
• Workplace culture and supportive environment. This includes, but is not limited to,
work/life balance, the organization and design of work, a sense of control over one’s work,
positive and respectful relationships with co-workers, supervisors and clients, adequate
training, a sense of fairness and fun at work, and access to support during difficult times.
• Physical environment and occupational health and safety. This refers to the quality of
the physical work environment which impacts the health and well-being of employees. It
includes elements such as noise control, air quality etc., and involves working in
partnership with occupational health and safety programs.
• Employee should be appreciated with bonuses or giving some other
compensation for a job well done.
• Incentives on the basis of team's success and the individual's performance.
• This can be used as a performance motivator and a retention tool.
Types of Variable Incentives:
1) Performance Based Targets
• Each department in the company can have specific performance related
goals. Goals like
• Company Top Line and Bottom Line (Revenues and Profitability): Can apply
to all employees, though with varying weights.
• Departmental Goals Can apply to employees of specific departments .
2) Individual targets
• Individual achievements would constitute 0 – 20% for senior level employees to 40 – 80% for junior
employees. Individual targets may include:
• Individual Sales Performance,
• Production Performance (#pieces manufactured),
• Project renewals,
• Number of hires (for recruitment department),
• Training imparted (for training department).
3) Evaluation and Recognition
• Appraisal and goal sheet achievement are measured at a team level.
Some of the targets in this category are
• Appraisal score,
• Goal sheet achievement score,
• Client Recognition(s),
• Nominations for rewards,
• External events conducted etc.
• Companies want employees to start work on time, take minimum leave, be regular in attendance and
manage their time effectively. And this can encouraged by adding following parameters:
• Billable hours,
• On-time entry,
• Average weekly hours worked,
• Training hours undertaken etc.
• To avoid negative behavior, include targets which have a negative impact on the variable incentives
• Leave without pay,
• Late entry,
• Non-completion of assigned targets,
• Disciplinary incidents etc.
Who are non-performers ?
Are non-performers those who:
• Do not meet their targets?
• Do not contribute to the team effort?
• Do not have the required skills & competencies?
• Take no action on the tasks assigned to them?
• Have a poor attendance record?
• Are involved in disciplinary cases?
• Have below average performance rating over the years?
*most of the above aspects need to be examined before labelling an employee
as ‘non performer’.
If everything went right?
• Always picked the right person for the right job.
• Recruitment process was fair and always searched for the
best available talent.
• From recruitment records the ratings of non-performers
in the psychometric tests & their evaluation by
interviewers & professionals.
• Keep the new entrants on probation for a sufficient time.
• Had proper system for induction & on-boarding.
• Screened the probationers well before their confirmation.
Then who created non-performers?
• Supervisors (i.e. Reporting Manager of the employee)
• Lack of transparent and employee friendly HR policies
• Absence of processes to implement and audit these policies
• Absence of an holistic approach to label employees as ‘non-
• Focus on recognition & development of high potential
On managing non-performers
• Treat them as spoiled children
• Screen them through Assessment Centres
• Collect 360 degree feed back
• Train your managers
• Assign alternative roles
• Consider them as company assets
• Part ways “if have to” but Very Gracefully
•Create profiles of top performers and make these
visible though company intranet, display boards etc.
•It will encourage others to put in their best, thereby
creating a competitive environment within the
•If a systematic approach is followed to shortlist high
performers, you can surely avoid disgruntlements.
•Employee appraisal is all about creating happy and
productive work force.
Parameters for Performance Evaluation
• Timely Attendance/ Punctuality
• Compliance with the company policies
• Acceptance of additional work
• Professional knowledge
• Completion of assigned tasks
• Learning potential
• Contribution to team effort
• Initiative, drive & Energy Levels
• Quality consciousness
• Safety Awareness
• Merely recognizing talent does not work, you need to
couple it with ceremonies where recognition is broadcast.
• Compensation offered should fit the reward profile of the
• Compensation should be offered quickly and as soon as
• Non-monetary compensations plays as important role as a
monetary compensation. Rewards like paid offs, paid
vacations, free meals energizes employees more than a
packet of dollars.
7).Open Book Management style
• It create a culture of participative management and ignite the creative
endeavour of work force.
• Making people an interested party in strategic decisions, thus aligning them
to business objectives.
• Make employee more participative.
• It building trust & motivates employees.
• Sharing information about contracts, sales, new clients, management
objectives, company policies, employee personal data etc. ensures that the
employees are as enthusiastic about the business as the management.
• Employee self service portal, Manager on-line etc. are the tools available
today to the management to practice this style.
8).TEN TIPS FOR THE FAIR EVALUATION OF
1. Write it down : Without a written record, the
fairness and relevance of your evaluation may come
2. Be focused and clear in your purpose: It should act
as a solid and fundamental method of
3. Keep it simple:. A basic and standardized
evaluation form can have several advantages, such
as greater uniformity among reviews.
4.Be flexible :Rigidly maintaining a uniform system of
appraisal does not work for every employee, every
5.Solicit feedback : How your employees are meeting
your goals and expectations, but also how their goals
and expectations match with yours.
6.Encourage self-evaluations :It offers your employees
a chance to review the quality of their work, to
highlight the projects or responsibilities .
7. Set realistic standards: The employees feel appreciated for and
capable of the work that they do.
8. Chart a path : Reviews can help you and your employees clearly
identify their worth and value to the business.
9. Define discussion topics : Important review topics to cover include-
employee's role in the business and identifiable goals to be attained.
10.Create a plan : Detail any improvements that must be made or skills
that must be acquired in order to maintain or achieve progress
• To create a cultural environment that encourages
the sharing of knowledge, some organizations are
creating knowledge communities.
• Keep all the knowledgeable information in central
databases that can be accessed by each and every
• Sharing essential knowledge with others could be
Factors affecting willingness to
• Intergroup/Personal Conflict
• Concerns over whether status/expertise
• Sense of equity/fairness in
• organizational processes
• Interpersonal trust
• Organizational commitment
• General organizational culture
• HRM Practices (reward/recognition)
10).Open house discussions and feedback
• Facilitate organizations to recognize, nurture and execute great ideas
• Everyone participates providing best ideas.
• Better understanding and analysis.
• Providing opportunities to share thoughts to each employee.
• Provide a better way to solutions and strategies.
• Primarily Comprises
Employee management meet
Idea management tool
Employee management meet
• Provide opportunity for direct communication
with every individual of the company.
• Facilitate upper-level management meet with
• Easier to take decisions.
Feed back mechanism
• A suggestion box is a feed back mechanism for
obtaining additional comments, questions, and
• Mechanism for sharing ideas, complains
• Gathering employee comments with a suggestion
box can be fruitful, especially in groupthink-prone
environments and within a corporate culture.
Idea management tool
Critical incident Diaries
• Idea management tools allow you to capture feedback, suggestions and
ideas from your employees, partners
• Critical incidents diary generally keeps record about incidents faced by
• what and why did it happen
• how did it affect the practise
• How to avoid similar events in the future
• Learning needs revealed by the event – how will these be met?
• record of behaviours
• a record of accomplishments/non accomplishments of the employee can
be recorded for the purpose of Performance Appraisal.
11).Delight Employees with the Unexpected
• Occasionally delight employees.
• Gifts, rewards.
• Well-done certificates.
• Not only to top performers
• Source of motivation, fills a new energy