Analyse the Business Factors That Underpin Human Resource Planning in an Organisation
The Hewitt study to understand engagement was first carried out in 2011; the second is underway. The 2011 study revealed some key insights. Employees expressed the need for (i) recognition (ii) diversity of thought (the freedom to have a contrary view) and (iii) transparency in policies and processes.
Differentiated rewards for the top performers were introduced, and seem to have worked well for Raymond.
“Now, as a culture, there is linkage of compensation to performance. But it is different in the sense that the average performer gets a certain reward; but a good performer will get almost twice that reward,” explains Narayan.
Individual performance coaching is in place; and a relative ranking, clearly quantified, forces people at the bottom of the performance chart to chart their exit routes.
This has had an impact on attrition, and not all of it is understandably unwelcome. Four years ago, the attrition hovered around 5 to 6 per cent. Today, it is between 12 and 14 per cent. This is not an issue of serious concern, notes Narayan, who estimates 40 to 50 per cent of this to be ‘desirable attrition'.
“At the senior levels, attrition is as low as 6 per cent. And there is a crop of new talent coming in, across levels — a lot of it has come in at the level of General Manager and above. For instance, Rakesh Pandey moved in from Marico (Kaya) where he was CEO, as President — Retail and Corporate Marketing with Raymond; there are senior colleagues in marketing and finance who have moved in with experience in groups such as AV Birla, Reliance and Essar,” he adds.
The trickle down of the management's vision to the last rungs has been kept in mind. A house journal, Raymond Times, now goes out every two months. An open house in each business chaired by the business head is in practice. Even the CMD is part of an open house twice a year. The idea is to have two-way communication, true to the framework arrived at over the last four years.
A nine-box grid for
Differentiated rewards for the top performers were introduced, and seem to have worked well for Raymond.
“Now, as a culture, there is linkage of compensation to performance. But it is different in the sense that the average performer gets a certain reward; but a good performer will get almost twice that reward,” explains Narayan.
Individual performance coaching is in place; and a relative ranking, clearly quantified, forces people at the bottom of the performance chart to chart their exit routes.
This has had an impact on attrition, and not all of it is understandably unwelcome. Four years ago, the attrition hovered around 5 to 6 per cent. Today, it is between 12 and 14 per cent. This is not an issue of serious concern, notes Narayan, who estimates 40 to 50 per cent of this to be ‘desirable attrition'.
“At the senior levels, attrition is as low as 6 per cent. And there is a crop of new talent coming in, across levels — a lot of it has come in at the level of General Manager and above. For instance, Rakesh Pandey moved in from Marico (Kaya) where he was CEO, as President — Retail and Corporate Marketing with Raymond; there are senior colleagues in marketing and finance who have moved in with experience in groups such as AV Birla, Reliance and Essar,” he adds.
The trickle down of the management's vision to the last rungs has been kept in mind. A house journal, Raymond Times, now goes out every two months. An open house in each business chaired by the business head is in practice. Even the CMD is part of an open house twice a year. The idea is to have two-way communication, true to the framework arrived at over the last four years.
A nine-box grid for