Netcare's Strategic HRM Practices

Management College of South Africa
MBA Year 1 – HRM Assignment
1
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ASSIGNMENT COVER SHEET
MANAGEMENTCOLLEGE OF SOUTHERN AFRICA
(MANCOSA)
ASSIGNMENT COVER SHEET
SURNAME REEDOO
FIRSTNAME/S SURAJ
STUDENT NUMBER M401001379
MODULE NAME HUMAN RESOURCE MANAGEMENT

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ASSIGNMENT
NUMBER
1
TUTOR’S NAME Mrs S. BALLAH-BHEEKA
EXAMINATION
VENUE
REDUIT, MAURITIUS
DATE SUBMITTED 15TH
SEPTEMBER 2012
SUBMISSION(√) 1ST
SUBMISSION √ RE-SUBMISSION
POSTAL ADDRESS
VERGER ROAD,
GOODLANDS,
MAURITIUS
E-MAIL reedoosuraj@yahoo.com
CONTACT NUMBERS
WORK: 2668175
HOME: 2831532

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MOBILE: 7966380
COURSE/INTAKE MBA YEAR 1 – JULY2012
DECLARATION:
I herebydeclare thatthe assignmentsubmittedisanoriginal piece of workproducedbymyself.
SIGNATURE: S.R DATE: 15TH
SEPTEMBER 2012
Table of contents
Section Title of section Page
Question 1
1. Introduction 1
1.1 HRM practices at Netcare Limited for its strategic positioning 2
1.1.1 Organisational Strategy 2
1.1.2 The HR Function 2-3
1.1.3 The Leadership of the Company 3
1.1.4 Communication 3-4
1.1.5 Diversity Management 4
1.1.6 Corporate Social Responsibility 4-5
1.1.7 Knowledge Management 5
1.1.8 Talent Management and Employee Engagement 5-6
1.1.9 Employee Training and Development 6
1.1.10 Performance Management 6-7

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1.1.11 Rewards and Recognition 7
1.2 Conclusion 7
Question 2
2. Introduction 8
2.1 Netcare’s training strategy and its effectiveness 8
2.1.1 Education and Training 8-9
2.1.2 Emergency and critical care 9
2.1.3 Management and Leadership 9-10
2.1.4 Pharmacy Training 10
2.1.5 Nursing and Ancillilary Healthcare 10-11
2.1.6 Training and Generic Skills 11
2.2 Discussion 12
2.3 Conclusion 12
Question 3
3. Introduction 13
3.1 The compensation and remuneration system at Netcare 13
3.1.1 The use of a Base Pay Program 13-14
3.1.2 Internal Equity 14
3.1.3 External Equity 14-15
3.1.4 Individual Equity 15
3.1.5 Process Equity 15
3.1.6 Performance Incentives 15
3.1.7 Maximum Use of Financial Resources 15-16
3.1.8 Compliance with Laws and Regulations 16
3.1.9 Administrative Efficiency 16
3.2 Pay Rates and Pay Increases 16
3.3 Performance Appraisal 16-17
3.4 Maintaining and Auditing a Compensation and Remuneration Plan 17
3.5 Conclusion 17
Question 4
4. Introduction 18
4.1 Netcare’s career management or development planning system in
retaining good performers and meeting employees’ development
18

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needs.
4.1.1 Human Resources 18
4.1.2 Netcare Education 19
4.1.3 Netcare 911 School of Emergency and Critical Care 19
4.1.4 Future training initiatives 19
4.1.5 Management Development Programmes 20
4.1.6 Talent Management 20
4.1.7 Transitory jobs - a corporate reality 20-21
4.1.8 Career planning largely an individual’s responsibility 21
4.1.9
Netcare’s HR – Matching career aspiration with business needs 22
4.2 Conclusion 22
Bibliography 23

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Question 1:
To ensure a high probability of success in the implementation of strategic
human resource management, the HRM function needs to be truly strategic in
its orientation.
Discuss how Netcare endeavours to this strategic position through their
various HRM practices.
1. Introduction
Netcare Limited operates the largest private hospital, primary care and emergency medical
services in South Africa. Netcare Limited has been certified as one of South Africa's Best
Employers for 2012/13. Independent research into their employee offerings showed this
company has outstanding working conditions and HRM practices.
Picture showing one of Netcare Hospitals in South Africa (source: NetcareLimited.aspx.htm)

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SHRM integrates human resource considerations with other physical, financial, and
technological resources in the setting of goals and solving complex organizational problems
(Legnick-Hall & Legnick-Hall, 1988).
To be successful Netcare Limited has to endeavour to its strategic position by valuing the best
HRM Practices.
1.1 HRM practices at Netcare Limited for its strategic positioning
1.1.1 Organisational Strategy
Human resources goals are attainable when strategically aligned with organisational goals.
Netcare Limited is investing in time and resources to play an important role in provision of
health care services. By providing training to reduce the skills shortage in health care
sectors in South Africa, the company is moving forward towards its objectives. There is a
culture of continuous improvement and development. Extensive induction and onboarding
programme is being provided to attract and retain best employees.
In Netcare Limited, there are consultative forums which are organised at Board level
concerning the company’s objectives on a quarterly basis. The head office of the company
was restructured so as to foster on a more efficient and caring culture.
1.1.2 The HR Function
Effective employee relations are the key to any successful business. At Netcare limited,
human resource personnel provide the occupational framework on which corporate
executives base their long-term strategic vision. In the corporate setting, HR employees
assist top leaders in various functions, including training and development, work evaluation
and employee promotion.

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To maintain the good functioning of the HR department and to align it with the overall
business strategy, Netcare Limited is making improvement on the leadership culture of the
company with the introduction of the ‘service lerdership’.
1.1.3 The Leadership of the Company
The Netcare Limited is dedicated to helping individuals, organisations, communities, and
the country understand and integrate responsible leadership at all levels. Its value discipline
embraces core leadership strategy of building meaningful relationships with its medical
professionals and staff to ensure that all its patients get the very best in patient care. The
company fulfills this mission through coaching, training, education, consulting and research
into both the nature of responsible leadership and the methods by which it is most
effectively developed.
Netcare Limited is providing service leadership program to facilitate communication,
delegation and conflict resolution. The employees also feel and experience leaders to be
living the company values. There is a high level of active involvement of the executive in
talent management as a driver of employee engagement. To set good example, even the
management has to wear name badges.
1.1.4 Communication
Human resources have the challenging task of effectively communicating with the
employees and personnel of an organisation. In the company, there is horizontal line of
communication between employees and the top management team of the company. Survey
is carried out among internal employees to know about the leadership culture. The ‘service
leadership’ approach is rooted on engaging the employees in the process.
Feedback are taken from patients and even external people so as to build up action plans to
solve employment issues. Even surveys were done among past internal staff to identify any

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training needs. Training is tailor-made to best fit each individual manager with his job, and
also to build more talented people. Netcare Limited sponsors their employees for super-
specialised skills courses in order to promote continuous training and development.
1.1.5 Diversity Management
Diversity management is the key to growth in today’s fiercely competitive global
industries. Netcare Liimited is making partnership with the government to so as to support
national health care services. More training is provided for emotional intelligence. The
dynamic environment at the company is providing opportunities for individual growth,
development and mobility. Several staffers are being posted to the company’s foreign
operations like in UK.
To meet requirements of each department, workshops on awareness cultural diversity is
organised. The company has embraced diversity by the way it thinks acts and innovates.
Netcare Limited is set to respond to all perspectives regarding the future of diversity and
some of the new best practices that will allow diversity to play a more strategic role in
cultivating sustainable business growth.
1.1.6 Corporate Social Responsibility
The goal of Netcare Limited is to embrace responsibility for the company's actions and
encourage a positive impact through its activities. Netcare Limited understands its
responsibility towards an equitable sharing of health care resources. The forming of
partnership with the government is another step towards the company’s vision in promoting
the health sector in South Africa. The company is involved in a number of CSI projects. In
association with other partners, the company performs operations for cleft palates and
cochlear implants for disadvantaged children. It also sponsors the Walter Sisulu Paediatric
Cardiac Centre. More than R12 million has been given in care to indigent community

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members. Comparred to other companies who support their own private causes, Netcare
Limited participates in Habitat for Humanity.
Both the company and the employees are responding to social development imperatives, for
instance, their positive response and commitment in 2010 public healthcare workers’s
strike. The company is also making an effort to employ more people with disabilities.
1.1.7 Knowledge Management
In recent years, Knowledge Management has emerged as one of the prime concerns of
human resource Management System. At Netcare Limited, Knowledge Management is a
system by which business strategies are developed to create results. Employees are
engaged in the process and their ideas and views are considered to make the job easier.
Intervention which includes intrapersonal development, based on psychological assessment,
is used. The company has engaged external consultants to deliver programme in emotional
intelligence to all the employees. Raw data from employees is used to formulate
improvement action plan, which help in executive development plan. This programme
further enhances the selection of mentors on the basis of assessment and will be expanded
to more grades of employees.
1.1.8 Talent Management and Employee Engagement
Netcare Limited has developed a culture of continuous improvement and development. The
training given is designed to provide a high pool of talented people and opportunities for
career growth in the company. The remuneration has been benchmarked at the median with
above average salaries paid for scarce talent, together with other retention measures and
specialist allowances. Other packages are being offered like guaranteed 13th cheque,
medical-scheme and Carer of the Month. An induction and onboarding programme is

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provided to attract and retain best talented people.
To encourage employee engagement, Netcare Limited ensures that each employee is
fulfilling his role. The company has maintained a flexible structure for better flow of
communication. Employees’ participation is valued and they are empowered to take
decisions. Surveys are carried out to get valuable information for any need for change and
training.
1.1.9 Employee Training and Development
At Netcare Limited, training needs have been identified and are being provided to have:
 Increased job satisfaction and morale among employees
 Increased employee motivation for continuous expansion
 Increased efficiencies in processes, resulting in financial gain
 Increased capacity to adopt new technologies and methods
 Increased innovation in strategies and service
 Reduced employee turnover
 Enhanced company image
 Risk management, for example, by providing diversity training
1.1.10 Performance Management
Performance expectations are the basis for appraising employee performance. At Netcare
Limited, feedback is a necessary tool to assess and review performance of all employees.
Through the recognition and reward system, everyone is encouraged to improve their
performance. Staff at mid-management level participates in incentive scheme based on
performance. To boost up the managers, ‘NetRewards chequebook’ is awarded.
In the quest for equitable HR policy, mentors are selected based on their assessment and not

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seniority. The standards set is realistic, that is, attainable by any qualified, competent, and
fully trained employee. This HRM policy has been well implemented by the company,
although there is still room for more improvement.
1.1.11 Rewards and Recognition
By recognising and rewarding employees for a job well done, this builds loyalty and morale
in the organisation. The reward and recognition at the Netcare Limited includes Carer of the
Month, individual growth and development, mentors selection based on assessment,
retention measures, specialist allowances, guaranteed 13th cheque and other fringe benefits.
The reward and recognition has a major impact on employees and their performance, where
the company benefits ultimately.
1.2 Conclusion
As global business competition shifts from efficiency to innovation and from enlargement of
scale to creation of value, the Netcare Limited’s management needs to be oriented towards the
strategic use of human resources through various HRM practices. Strategic human resources
management practices enhance employee productivity and the ability of agencies to achieve their
mission. Integrating the use of personnel practices into the strategic planning process will enable
the company to better achieve its goals and objectives. Combining human resource practices, all
with a focus on the achievement of organisational goals and objectives, can have a substantial
effect on the ultimate success of the organisation. To manage future operations effectively, it is
essential that the company continue to produce "business leaders" and "innovators" through
SHRM Approach.

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Question 2:
Analyse Netcare’s high leverage training strategy and its effectiveness in
contributing to and achieving their organizational objectives.
2. Introduction
Training is often identified as the solution to a company’s ill. Training is deemed necessary
only when it has been determined that training is required to ensure employees will meet
performance expectations, when the benefits of training are greater than the consequences of not
training, and when training is the most cost-effective solution to the problem.
Netcare training strategy determines intermediate to long-term training priorities, objectives and
direction. The training strategy aligns with the company’s overall objectives and strategies.
2.1 Netcare’s training strategy and its effectiveness
2.1.1 Education and Training
Netcare is engaged in continuously developing the skills of its people through targeted training
initiatives at every level of its business. The company is also active in the broader healthcare
sector in increasing the number of skilled healthcare and related professionals. The training
programmes are well-respected and provide a strong foundation for valued partnerships with
public and private sector bodies such as academic hospitals, universities and government.
The well-established education division operates five campuses across South Africa and co-
ordinates the delivery of a broad range of programmes in the fields of nursing and ancillary
healthcare, general skills training and leadership and management development.
By contributing to the number of skilled individuals in the healthcare sector, it is having a
positive impact in alleviating ongoing skills shortages in nursing and related fields in the broader
healthcare industry.

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2.1.2 Emergency and critical care
The Netcare 911 School of Emergency and Critical Care is one of the largest private
Emergency Medical Services (EMS) training facilities in Africa. A variety of short courses,
undergraduate and post-graduate programmes are offered to members of the general public and
healthcare professionals, at basic, intermediate and advanced levels. This will help to achieve
both the short term and long term objectives of the company and the country.
2.1.3 Management and Leadership
Today’s business leaders must not only have the knowledge, technical skills and management
competencies required to be successful in their roles, but must also be able to achieve a balance
between technical skills and business skills. In the South African healthcare sector, modern
healthcare managers and leaders have to tackle a number of key challenges for the successful
delivery of healthcare solutions which include:
 The demographic profile of diseases, particularly HIV/Aids.
 A consumer-driven market in which service delivery is seen as a key driver in quality.
 The general skills shortage.
 Escalating healthcare costs.
 The prevailing inequity in the distribution and location of funds and facilities, especially
differences between urban and rural allocation.

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 Changing medical delivery models and the ongoing revolution in medical technology
which continually introduces new professions.
These challenges directly inform the learning initiatives offered to Netcare employees, either
through internal development programmes or externally facilitated courses. The Management
& Leadership faculty strives to develop business leadership in healthcare through innovative
and integrated learning models, to equip managers and leaders with the knowledge, skills and
competencies to act on economic and business imperatives. To this end, Netcare Limited has
created management development programmes customised to the healthcare environment.
The consulting teams of business experts are able to rapidly customise programmes for the
specific needs of other organisations. The customers include other private healthcare groups
and the government / public healthcare sector.
2.1.4 Pharmacy Training
The pharmacy profession touches every aspect of healthcare, with opportunities in many
different sectors. It requires a commitment to high standards of competence, professionalism
and co-operation, in order to best serve the interests of patients and communities.
The company offers posts to pharmacists country-wide. Netcare runs a well-respected internship
programme and most of the facilities are registered for training. Interns may be invited to
participate in ward rounds or to view various surgical procedures, dependent on the facility in
which they are training.
2.1.5 Nursing and Ancillilary Healthcare
Netcare's Nursing & Ancillary Healthcare faculty strives to be a market leader in healthcare and
healthcare-related education and training. Training nurses, technicians and related personnel
increases the availability of people with these critical skills for the organisation and the broader
healthcare industry. A dynamic team of experienced instructors, clinical facilitators and
academics offer training in centres across South Africa. Netcare Limited is also engaged in a

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number of initiatives with public hospitals and other private providers to support practical
training placements of learners. During their practical placement, learners gain workplace and
clinical experience as required by the programme they are enrolled in, under the guidance of
clinical facilitators and experienced nursing professionals. The faculty offers both basic and
post-basic nursing programmes, and also offers a number of three and five day programmes that
focus on specific areas of care, including HIV/Aids and Infection Control Principles.
Ancillary healthcare professions have been established as an innovative solution to address the
nursing skills shortage in South Africa. It involves moving non-nursing functions from nursing
staff to new ancillary healthcare professionals. Ancillary healthcare is already an established
profession in the United Kingdom and United States of America.
2.1.6 Training and Generic Skills
Netcare Education’s Training and Generic Skills faculty strives to deliver solutions that meet the
broad skills needs of our employees and keeps them at the forefront of best practice in the sector.
There is the use of both internal and external training providers to ensure the most appropriate
training interventions. The development priorities and training interventions include:
 Diversity management
 Finance for non-financial staff HIV/Aids (clinical and general courses)
 Industrial relations (discipline and dismissals, managing poor performance and
incapacity, initiating disciplinary enquiries, chairing disciplinary enquiries)
 Continued professional development (updating professional skills and attaining high
standards of professional competence and ethical behaviour)
 Research (encouraging and facilitating research activities including the governance of
clinical trials)
 Customer centricity (including a customer relationship management programme for
management)

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2.2 Discussion
Netcare is actively involved in developing workplace skills plans in conjunction with employees
to ensure that the customers receive the best service and care possible. The training has a
positive impact of the training on the employee's performance, as part of a regular appraisal
process. Qualitative improvements may be just as important. This could include higher quality
of services, better teamwork, fewer customer complaints and greater innovation within you’re
the company.
The employees’ feedback demonstrated:
 the training was relevant to their job and their level of expertise
 that employees will put learning into action
 what worked and what didn't
 what could be improved
2.3 Conclusion
A successful strategy for evaluating the effectiveness of Netcare Limited training requires careful
analysis of the job tasks for which the training will take place. It is important to carefully
prioritise the evaluation so that its primary focus is on the healthcare tasks that are most frequent,
critical and difficult to learn. Because the training program as a whole is effective only if it
results in good healthcare research performance, it is important to measure actual performance of
the healthcare as well as trainee competence and underlying knowledge. It is recommended
using a combination of measures, which will provide the most valid and reliable data on aspects
of performance that are most important at an acceptable cost. A well-designed and executed
evaluation will yield more benefits.

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Question 3:
Discuss how the compensationand remuneration system at Netcare promotes
the organisational culture and employee behaviours necessary for the
achievement of the organisations strategic goal.
3. Introduction
All organisations have a compensation plan, written or unwritten, formal or informal. For some
organisations, the purpose of that plan may be merely to meet compliance requirements. For
others, the goal of the compensation plan may be to attract qualified employees, to retain those
employees, and to motivate employees to direct their efforts towards achieving the goals of the
organization.
Organisational culture refers to the beliefs and values that have existed in an organisation for a
long time, and to the beliefs of the staff and the foreseen value of their work that will influence
their attitudes and behavior. Administrators usually adjust their leadership behaviour to
accomplish the mission of the organisation, and this could influence the employees' job
satisfaction. It is therefore essential to understand the relationship between organisational
culture, leadership behavior and job satisfaction of employees through a good compensation and
remuneration system so as to work towards achievement of the organisations strategic goal.
3.1 The compensationand remuneration systemat Netcare
3.1.1 The use of a Base PayProgram
Before delving into the details of how actually to pay people, an organisation must consider the
following factors that impact a base pay program:
* internal equity.

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* external equity (or competitiveness),
* individual equity,
* process equity,
* performance or productivity incentives,
* maximum use of financial resources,
* compliance with laws and regulations, and
* administrative efficiency.
All of these objectives must be balanced in the development of a sound base pay program. As
these points are being reviewed, the Netcare Limited caters for employees remuneration which is
benchmarked at median. This helps to achieve current and desired practices of the organisation.
3.1.2 Internal Equity
Internal equity deals with the perceived worth of a job relative to other jobs in the organisation.
All employees compare their jobs to other jobs within the organisation. Generally, they consider
skill, effort, responsibility and working conditions in this comparison in order to determine the
value of their jobs relative to other jobs. Likewise, Netcare Limited determines the "worth" or
"value" of one job in relation other jobs for the purpose of pay programs. Maintaining
appropriate pay relative to value or worth is achieving internal equity.
3.1.3 External Equity
External equity deals with the issue of market rates for jobs. Netcare Limited's goals are being
accomplished as it pays what is necessary to attract, retain and motivate a sufficient number of
qualified employees. The company makes use of the base pay program to provide a competitive
remuneration system. Depending on the individual employee, serious consideration are given to
employee benefits, job security, physical work environment, commuting distance, opportunity
for advancement and the employee relations practices of the organisation in determining
external equity issues. A frequent consideration is also given to lifestyle and quality of life. The
employee's skills are valued more highly in the different type of jobs performed, for instance, the

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provision of specialist allowances. The employees feel they are being treated equitably.
3.1.4 Individual Equity
Individual equity deals with how individuals perceive how they are being paid relative to other
individuals within the organisation and perhaps within the same position. At Netcare Limited,
this focus of individual equity is on the merits of the person filling a job, as opposed to the job
itself. Hence employees get to feel that the rewards they receive for how they do their work are
comparable to the rewards received by others for the same amount of effort or output, all other
factors being equal.
3.1.5 Process Equity
The employees perceive the fairness in the administration of the compensation system. Process
equity, in the perceptions of employees, is strongly influenced by the openness of the system,
communication of the system to employees, participation in design or administration of the
system and a grievance appeal procedure. Employees are empowered and their participations are
valued.
3.1.6 Performance Incentives
A significant element of a base pay program is to encourage higher or increased levels of
employee performance. At the Netcare Limited, the pay systems need has been designed to
improve organisational performance.
3.1.7 Maximum Use of Financial Resources
Since an organisation does not have unlimited financial resources, the base pay program has
been designed to maximize the value to the organisation with minimum use of these limited
resources. In order to accomplish this, the pay programs have a variety of tools such as pay
range maximums, incentive scheme based on the unit’s performance, guaranteed 13th cheque,

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NetRewards chequebook and other attractive packages which help to accomplish this objective.
3.1.8 Compliance with Laws and Regulations
While not the primary objective of a pay program, one of the objectives of a pay program in the
organization has been to keep in compliance with various state and federal laws and regulations
of South Africa.
3.1.9 Administrative Efficiency
While catering for financial resources in the organisation, there is a pay program that is easy to
administer, flexible, and cost-effective. There is a flexible approach to develop appropriate rates
of pay for jobs. There is a pay structure that accomplishes the organisation's objectives with
regards to a pay program, organisational culture and employee behaviours and reflects the
organisation's philosophy and value of Care, Dignity, Participation and Passion.
3.2 PayRates and Pay Increases
Creating a pay structure is not the final step in the creation of a compensation plan. Netcare
Limited is putting effort to administer and maintain an attractive compensation and remuneration
plan. In addition, the organisation has developed policies and procedures that will implement the
results of these decisions in a consistent manner.
3.3 Performance Appraisal
Netcare Limited has implemented the process to pay for performance, the compensation plan
includes a well-designed and properly administered performance appraisal system in order to be
complete. Many types of survey are carried out to measure employees’ performance, like
internal and external surveys.
Employees’ performance is also appraised based output and results. The appraisal system
considers job-related behaviours. Supervisors and managers are trained in the performance

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appraisal process. Corrective measures are undertaken to review process and performance.
It is evident that the criteria used to measure performance are objective and qualitative. For
instance, mentors are selected based on their assessments rather than seniority.
3.4 Maintaining and Auditing a Compensation and RemunerationPlan
Changes in the external market or internally within the organisation can cause one or more parts
of a compensation plan to become outdated. In order to face such challenges, actions have been
taken to create a compensation plan to build in mechanisms that facilitate change when necessary
and maintain control on a regular basis. There is competition for employees to maintain the
organisation’s culture, bring necessary employees bahaviours and regular review of the pay
structure including pay ranges and pay increase budgets.
3.6 Conclusion
Netcare Limited has set the right approach for a good compensation and remuneration system to
promote the organisational culture and employee behaviours necessary for the achievement of
the organisations strategic goal. Success of a compensation and remuneration plan includes an
overall pay philosophy as well as the policies and procedures that govern operation of the plan.
Because of limited resources, Netcare Limited’s excessive time and money should not be
expended in pay program administration. The costs of administration should be balanced against
achieving the strategic objectives of the pay and remuneration plan, that is, adopt a culture with
the right employees’ behaviours and a continuous total quality management.

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Question4:
Analyse Netcare’s career management or development planning system in
retaining good performers and meeting employees’ development needs.
4. Introduction
Keeping high-performing employees has become a top priority for today’s organisations.
Managers, supervisors, and team leaders play the greatest role in employee satisfaction or
dissatisfaction. Today’s employees want challenging and meaningful work, opportunities to
learn and grow, the sense of being part of a group, and a good boss. Talent management and
employees’ development needs are critical factors in the success of an organisation.
In order to be successful, Netcare Limited has to cater for a good career management system to
retain its good performers and to meet employees’ development needs.
4.1 Netcare’s career management or development planning system in
retaining good performers and meeting employees’ development needs.
4.1.1 Human Resources
Netcare provides all permanent employees with access to human resource development
programmes, through both in-house education providers and outsourced agencies. These HRD
programmes are co-ordinated by Netcare Education Division, which has as its key objective the
training, education and development of all Netcare employees.
Through organised learning interventions, employees are able to improve job performance and
individual growth opportunities. In this way, the organisation is able to ensure fair and equitable
access to career planning, succession planning and talent management.

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4.1.2 Netcare Education
All courses offered through Netcare Education are driven by a vision to be the market leader in
healthcare and medical-related education and training. This vision is underpinned by the strategic
imperative of continued nursing, medical technician and other staff training in Netcare, which
have a positive impact on the ongoing shortage of skilled personnel in nursing and related
categories in the healthcare industry at large in South Africa.
In addition to standard training courses that cover the basic and post-basic programmes, Netcare
Education has also introduced a number of three- and five-day short programmes that focus on
specific areas of care such as HIV/AIDS and Infection Control Principles.
A number of internal processes have been implemented at Netcare Education that will broaden
the scope of the operation. These include an initiative to market the nursing profession as a
caring and rewarding profession and to reposition the nursing profession in order to make it
attractive again.
4.1.3 Netcare 911 School of Emergency and Critical Care
The Netcare 911 School of Emergency and Critical Care is one of the largest private Emergency
Medical Services training facilities in South Africa. A variety of short courses, undergraduate
and post-graduate programmes are offered to members of the general public and healthcare
professionals, at basic, intermediate and advanced levels so as to increase skills and build up
professional qualifications for better career prospects. The Netcare’s dynamic environment
provides career prospects in terms of individual development and mobility.
4.1.4 Future training initiatives
Netcare Education Division is processing the planning of a much wider Corporate Institute for
Healthcare Leadership to address the ongoing need for training, education, development and
Continued Professional Development in the healthcare industry. This will promote employees’
development and help to retain talented employees.

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4.1.5 Management Development Programmes
The Netcare Education Division is actively developing further management capacity, firstly
through internal development of management programmes, and secondly, in co-operation with
selected universities and business schools.
Significant investment is being made to address the critical need for managers and leaders at all
levels of the organisation.
4.1.6 Talent Management
Netcare has developed and implemented a Talent Management Strategy that aims to identify
talent below management level, and then accelerate the advancement of employees. Emphasis is
placed on human development initiatives and also cares for female employees. Currently, some
644 employees (40% black, 80% women) are benefiting from this programme.
A mentorship programme has also been launched, which is based on a modern-day leadership
model applicable to the Netcare context. This programme ensures the transfer of skills from
mentors to their mentees, thus helping to develop the latter as tomorrow’s leaders. Employees
are more motivated as mentors are selected based on their assessment and not seniority.
4.1.7 Transitory jobs - a corporate reality
Today with intense competition everywhere, coupled with economic changes sweeping the
world, companies are aggressively pursuing the strategies for acquisition, divestment, down-
sizing, outsourcing, and synergy through alliances. It is in context of this corporate reality of
transitory jobs, that career planning and development assume more significance.
In order to equip people deal with this reality, the Netcare Limited corporate focus is shifting
from lifelong employment to lifelong employability. The organisation supports the individuals in
planning their careers by providing personalised information on the direction the business is

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headed towards, setting the career expectation of people in the right perspective and responding
to career initiatives of individuals by providing tailor-made training courses.
4.1.8 Career planning largely an individual’s responsibility
Netcare Limited supports an individual’s career aspirations in line with its business goals. A job
is not merely a means of earning money, it is viewed by the individuals as an opportunity for
learning, so that when he is doing a job to fulfill his responsibility for the company, he is also
strengthening his skills required to develop his career. Career planning and pursuing the desired
career is a lifelong process for an individual, where he continuously learns about his purpose,
personality, skills and interests. The process of career management by an individual involves
rigour and focus at each step.
Though, the onus of managing one's career lies with the individual, Netcare’s thrust of HR is on
designing great careers from the jobs that they offer to attract and retain the best of the talent
available to such an extent that people find themselves in the "right job" and view these jobs as
stepping stones to great careers.

27
4.1.9 Netcare’s HR – Matching career aspiration with business needs
Employee loyalty to the company is higher when the job fulfills intrinsic needs and personal
goals of the employees. By assisting an individual in planning his career and providing
opportunities for career development, Netcare Limited ensures higher loyalty and productivity
from employees. HR professionals in Netcare Limited are maintaining a balance process to
match and support career expectation of high performers with the organisational requirements.
4.2 Conclusion
Retaining talent is very important in any organisation. Keeping the top performers and
preventing the best employees from looking for opportunities with other competitors is much
cheaper than constantly recruiting new ones. Netcare Limited has in place a good career
management planning system to retain good performers and meeting employees’ development
needs. However this trend has to be consistently maintained and improved so to manage staff
retention and development needs.

28
Bibliography
Armstrong, M. (2006). Human Resource Management Practice. (10th ed.). London: Kogan Page.
Emerald Group Publishing Limited, ISSN. Vol. 7. No. 2. Pp. 17-22.
Mathis, R.L. and Jackson, J.H. (2005). Human Resource Management. Eleventh Edition. USA:
Thomson
The McKinsey Quarterly (2008). No. 1. Making Talent a Strategic Priority
Maslow, A.H. (1943). A theory of human motivation. Psychological Review, 50(4), pp. 370–396
Phillips, J.J. and Conell, A.O. (2003). Managing employee retention: A strategic Accountability
Approach. USA. Butterworth
Websites:
 http://www.netcareLimited.aspx.htm
 http://www.education-and-training-htm
 http://www.emergency-and-critical-care.htm
 http://www.pharmacy-training.htm
 http://www.nursing-and-ancillary-healthcare.htm
 http://www.training-and-generic-skills.htm
 http://www.clinical-governance.htm
 http://www.hr4.php.htm
 http://www.beyondoutsourcing.co.za
 http://www.HR.com

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