HR City

How HR can Strike Gold

By SiliconIndia   |   Wednesday, September 19, 2012
Print Email


Bangalore: The translating human resources headcount increases the financial performance of the firm. Joanne Sammer in businessfinancemag.com writes that tapping the power of human resources increases growth and revenues and also mentions that Companies must start looking at human resources to maximize revenue growth and profit margins.



The Boston Consulting Group (BCG) and the World Federation of People Management Associations made a survey. They conducted this study in over 100 countries which includes interviews with over 4,200 HR and non-HR managers. The study revealed a growth up to 3.5 times with 2.1 times better peers and profit margins in the organizations that are built with strong Human Resource practices.



The BCG focuses on only six out of 22 HR fields it studied. These six fields are:          




  1. Leadership development            


  2. Recruiting


  3. Talent management


  4. On-boarding of new hires and employee retention


  5. Performance management and rewards


  6. Employer branding



 Among the above six fields, highest performing organizations differentiate themselves in these three fields - leadership development, talent management, and performance management and rewards. These three fields are most striking areas between high performing companies and less performing companies.



Development of Leadership:
Leaders and potential leaders working in these organizations know how to grow in the organization. These companies present some Role models to provide clear ideas to their employees about what they expect in terms of expectations and behaviors. To add to these presentations of role models they also measure the potential of leaders in developing their people rather than sticking in evaluation of leaders self performance. They reinforce this development by tying pay and career advancement so that success can be achieved in this field.



Management of Talent:
Organizations work on reviewing employee’s talent and ample vertical and horizontal career-advancement opportunities as well as focusing on nurturing employees’ individual growth and professional fulfillment.  The above mentioned details are in addition to what other companies do but they don’t necessarily follow through on them. This in fact empowers and enables a constant full talent pipeline. Organizations also expand their enrichment programs to a wide range of talent.



Management of Performance:
These high-performing companies reward behavior, and not just results when it comes to managing and tracing individual performance. Transparency is also one of the important things in such organizations. Employees working with these companies know on what metrics companies evaluate them. These companies based on meritocracy of employees, communicate clear norms, expectations and global standards. These standards and methods inspire employees to align their performance and actions with company needs.


Experts on HR
Dr. Sriharsha A Achar
CPO
Apollo Munich
Pradeep  Dhar
Director
Vitasta Consulting
Mahesh  Sheshadri
Consultant
Metis ERC (I) Pvt. L
Sravan  Raj Nayan
Sr Hiring Associate
Eka Software
Sakaar  Anand
VP- HR
CA Technology
Saurabh  Singh
National Head
Pearson
Thallin S Shetty
Human Resources
Mindlance India Pvt
Ravi Pratap Singh
Director
C2 Workshop
Write your comment now
 
Whitepapers
Everest recently Studied the HRO engagement between Credit Suisse a...