The document discusses best practices in human resource management. It provides definitions of best practices from Johnson (2000) and others that refer to HR methods that universally and positively impact organizational performance. Fifteen specific best practices are listed, including employee job security, selective hiring, effective teams, compensation, performance appraisal, training, empowerment, and career progression. The differences between the "best practice" and "best fit" models are explored, referring to whether HR policies are universally applied or tailored to business strategy. The document concludes by describing HR practices at various companies like Philips and Wipro that exemplify best practices.

1. BEST PRACTICE MODEL
BY
VIANNI CHIRSTOPHER I.S
12MB179

2. No authoritative definition agreed upon by academics or
practitioners
• Leads to lack of conceptual clarity
Several definitions that have emerged that encompass
many of the underlying factors of HRM best practice:
Johnson (2000) details:
“best practice or high performance work practices are
described as HR methods and systems that have universal,
additive, and positive effects on organizational
performance”
Definition of Best Practice

3. • The idea revolves around commitment
Purpose and benefits
Employer
•Training
•Personal Development
Employee
•Better performance
•Higher Productivity

4. 1. Employee job security
• Need for formal practices and procedures for employment
2. Selective hiring
3. Effective use of teams
4. Effective compensation strategies
5. Appropriate performance appraisal
6. Training and development
7. Flatter organizations with an aim to reduce status differences
8. Increased communication
Fifteen best practices

5. 9. Grievance procedures
10. Promotional criteria
11. Employee ownership of the organization
• Company stocks as compensation
12. Empowerment of employees
13. Ensuring upward channeling of employee suggestions
14. Job rotation
15. Career progression
Fifteen best practices

6. Differences Between the Best
Practice and the Best Fit Models
‘Best fit’ perspective
 Firm’s reward system should
be aligned to support the
organization's business
strategy
 Results in achievement of
competitive advantage.
‘Best Practice’ perspective
 One bundle of HR policies
including the reward system
 Lead to highly motivated and
committed employees who are
key to an organization's
competitive advantage

7.  Basic argument - Whether the rewards system are linked to the organizational
strategy or not?
 Lawler (1995, p. 14) states that all organizational systems must start with
business strategy because
“…it specifies what the company wants to accomplish, how it wants to behave,
and the kinds of performance and performance levels it must demonstrate to be
effective.”
 Business strategy, driving individual and organizational behaviors, is the
touchstone for the development of the reward strategy.
‘Best Fit’ and ‘Best Practice’ applied
to reward systems

8. 8
HR Practices at Philips Software
Center
HR Policies
The first one that needs to be mentioned is the dream project.
Dream projects allow every employee to pursue a project of
their own interest in the technical area. They invest time while
the company given them resources and encouragement.
However, the project has to help Philips in some way or the
other. It has to be relevant for what Philips is pursuing.

9. 9
HR Practices at Philips Software
Center
They have a sponsorship program for higher studies. The
employees can join a .Tech program or an MS program or
even pursue a Ph.D. Our Company will fund them right up to
100% of the cost.

10. 10
HR Practices at Philips Software
Center
Once an employee completes 3 years with Philips
Software, Bangalore, they will consider him/her for an
international assignment within Philips.
Further any employee who completes 18 months
experience, can seek transfer from within the
company, from one technology to the other, one
product division to another. This helps the employee
to learn different jobs, otherwise called as job
rotation systematically.

11. 11
HR Practices at Philips Software
Center
Another brilliant concept practiced is the
Philips Yellow pages. It is an internal network,
which connects people across all our offices
worldwide.
Philips has an offsite three-day Leadership
program for all its managers.

12. 12
HR Practices at Philips Software
Center
The managers are be measured as much by their
deliverables as by their practice of the company values.
These values are :
Let us delight our customers
Let us Value People as greatest resource
Let us deliver Quality and Excellence in all our actions
Let us achieve Premium return on equity
Let us encourage entrepreneurial behavior at all levels
The company has a community involvement team.

13. 13
HR Practices at Philips Software
Center
There is some compulsory training that every
appraiser and the appraised go through before
the appraisal. For that the company conducts
one full day training program for managers who
do the appraisal. It is mandatory. If the manager
doesn’t go through it, the company holds the
right to not let him do the appraisal. This training
is not a once in a lifetime affair. Every year before
the appraisal, the training is given.

14. 14
HR Practices at Philips Software
Center
A half-day training is given to the appraised
personnel to make them aware of the nitty
gritties of the appraisal program. They are
reminded about the importance of doing
home work, receiving and sending feedback
and reflecting on the feedback in the right
way.

15. 15
HR Practices at Philips Software
Center
They have plenty of reward programs. They closely
watch people who contribute towards product
quality, process quality, internal trainers who train
colleagues, people who bring best practices from
outside and implement in the company and so on.
They are rewarded and inspired

16. 16
HR Practices at Wipro Technologies
Every four months an employee survey is conducted
where all our employees provide inputs on the health of
the workplace. This survey enables us to identify how
strongly the person feels about the organization, and how
strong is the person’s clarity of his/her existence in the
organization.
It also enables us to see the person’s own ability to
identify with the vision of the organization, and whether
he thinks the organization listens to what he has to say.
This proves to be an eye opener for the managers as well.

17. 17
HR Practices at Wipro Technologies
They have the HR review in the planning cycle,
which is a rigorous process involving everyone, right
up to the head of the organization. They do
succession planning for individuals wherein they
identify the best talents – the top ten people. They
also identify bottom ten people, who are asked to
pull up their socks and improve, failing which they
will have to leave

18. 18
HR Practices at BIRLA 3M
(5)
The company encourage Two-way communication. They
have something called "Between Us". Once in six months,
the MD and the HR head go to all the branch offices. The
MD talks about the business and request the people's
involvement in fulfilling the organization's dreams. HR
head talks about the new HR policies and then there is an
open discussion.
Employees can express themselves on whatever issues
they have with regard to work. If there are sensitive issues,
which they don't want to discuss openly, they can write
and give those without their names.

19. Thank
u!!!!!