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HR Practices in India

In this global marketplace, understanding of other cultures and their HR practices is invaluable. This learning module provides students with information about HR practices in India. It includes background information about India’s culture, HR practices and applicable federal HR laws. It is divided into three 50-minute classes and includes activities and quizzes for each class session. Click below link to access the PowerPoint files with teaching notes

Rao India HR Practices To Post

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Professional Etiquette

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Professional Etiquette

Is HR at Its Breaking Point?

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Some companies are choosing to do away with traditional HR departments and divvy up the duties to other departments, but not everyone agrees that’s such a good idea.

Three years ago, Toronto-based G Adventures held a funeral for its human resources department.

“We had a company function where I put up crossbones and skull with the title ‘Death of HR,’ ” says Bruce Poon Tip, founder of the adventure-travel company, which employs 1,500 people.

Poon Tip took the drastic action after spending a year looking for a veteran of the field to

become vice president of human resources, which would have been a new position overseeing the five-person department. He received 600 rèsumès and spent months interviewing candidates.

“Every meeting I had, I couldn’t wait for it to end,” he says. “It seemed like HR was the art of oppression. I knew I didn’t want that in my company.”

The debate over HR’s shifting function and format continues, but it is apparent that as executives shift their corporate priorities, HR is following suit. Some companies have chosen to outsource their HR functions; others have shifted responsibilities to front-line managers in efforts to transform HR leaders into business leaders; and some, like G Adventures, have no HR department whatsoever.

Poon Tip moved administrative tasks into the finance department and created two new departments. The so-called “talent agency” focuses on recruiting and talent management. The “culture club,” where everyone has the title “karma chameleon”—named after the hit 1980s song sung by Boy George—organizes everything from fundraisers for the company’s nonprofit foundation to holding celebrations whenever G Adventures wins an award.

Poon Tip’s approach wouldn’t work for many organizations, but a growing number of companies are reimagining their HR structures along with who executes their people strategies. Almost 45 percent of organizations indicated that they will change their HR structure by the end of 2013, according to Towers Watson & Co.’s 2012 HR Service Delivery Survey, up from 28 percent in the previous year’s survey.

Jac Fitz-enz, founder of the consulting firm Human Capital Source, says it’s time for the C-suite to forget tradition. Organizations should pull apart HR departments and place pieces where they fit naturally. “We have patched together a function that isn’t working very well,” Fitz-enz says.

If it’s the sunset of HR as we know it, the new era’s dawn can’t come soon enough for Robert Bolton, a partner in KPMG’s HR Transformation Center of Excellence. The field has “relentlessly pursued best practices and generic models” with a blind eye to business strategies or even industries. “If people are significant for your organization in relation to achieving a competitive advantage, and if you are trying to steal a march on your competition, then that calls for a differentiated HR function, not one that looks like everybody else’s,” Bolton says. This never-ending chase of best practices and copycat models has put HR in a “doom cycle,” he says. “To my mind,” he says, “HR has got to break out of that or die.”

Deerfield, Illinois-based Beam Inc. might be a bellwether of how larger organizations can branch out. The maker of Pinnacle vodka and Maker’s Mark bourbon is midway through reinventing its approach to HR and talent management, a process that began 18 months ago.

In October 2011, Beam became a stand-alone spirits company after Fortune Brands Inc. split up its three enterprises. Fortune Brands sold its golf business, best known for its Titleist golf balls. It then spun off Fortune Brands Home & Security, whose brands include Moen faucets. The remaining business, which includes the Jim Beam whiskey brand, became Beam Inc. It has 3,400 employees.

At the new Beam, executives wanted a culture that encouraged managers to think and act more like entrepreneurs. Based on that concept, they thought about what entrepreneurs do.

“If I’m an entrepreneur running a small business, the first thing I don’t do is go out and hire an HR person,” says Steve Molony, Beam’s director of people strategy and solutions. “If I’m starting a small business, I should be making all these decisions. Big companies get bloated with bureaucracies and these big, huge back offices that remove the business leaders from making some of these decisions. We wanted to reverse that trend when we were still lean and nimble enough to do this.”

Beam hopes to nurture what Molony calls “holistic managers,” who take on deeper HR responsibilities. “That means they don’t just have their job of operational and financial management of whatever part of the business they’re in,” Molony says. “But their responsibilities are to attract, develop, retain and compensate the people on their team, which are traditional HR roles that would have been done by centralized HR teams.”

Take plant managers. In the past, they would tell HR what role needed to be filled, wait for a list of candidates and then be told the new hire’s start date after making the selection.

In the future, plant managers first will decide whether the job is necessary. If it is, they next would decide whether they have an internal successor or need to look outside. They also would look at market data about salaries, negotiate the pay and onboard the new hire.

The change isn’t happening overnight. It requires training, such as helping managers and other leaders understand what would happen if they paid everyone at the 75th percentile of the market, for example. And they won’t be without help from seasoned HR professionals—just fewer of them.

As part of its transformation, Beam is centralizing its disparate HR departments.

 

It has adapted the business-partner model first championed in 1997 by Dave Ulrich, a business professor at the University of Michigan. His model rests on three pillars: a shared service center, whose centralized staff handles administrative and transactional tasks; centers of excellence, which offer specialized consultants on topics such as training or labor relations; and business partners who advise business-unit leaders on talent strategy such as succession plans.

Beam didn’t adopt Ulrich’s framework wholesale. Its tailored tactic lets the company have a leaner business-services staff and fewer HR business partners, Molony says. In the traditional framework, those HR practitioners would have handled many of the activities Beam envisions managers taking on.

The goal: Develop a better caliber of business leaders that will help Beam outperform its competition. It’s not an HR cost-cutting exercise, Molony says. “We feel like if we give our business leaders these skills, it will differentiate us in the market,” he says.

IN DEFENSE OF HR

The goal of HR leaders becoming business leaders and front-line supervisors taking on more HR-like work remains an aspiration, not a reality, particularly for small to midsize employers. “The HR people are absolutely drowning in many cases in the transactional-type stuff,” says management consultant Susan Heathfield, who covers HR for About.com.

At some companies, talent leaders see the potential for other departments to take over aspects of HR. At digital advertising agency Razorfish, Anthony Onesto, director of technology talent development, has asked his recruiting and marketing teams to get together so they work more closely and think about recruiting as a marketing effort. He acknowledges that recruiting likely will not become part of the marketing department, but he also thinks that much of what an HR department does could be done elsewhere.

“This HR group could be dissolved, and folks could be handed some of the responsibilities, and I think we would be OK,” says Onesto, emphasizing it’s a theory, not a plan. But if it happened? “There would be no need for someone like me,” he says. “I would have to reinvent myself. I’ve done it” before.

Other companies already rely on managers to lead aspects of what an HR department does elsewhere. The Container Store Inc., a Coppell, Texas-based retailer with 58 locations nationwide, holds store managers responsible for career development and employee morale, says Eva Gordon, vice president of stores. The Container Store also is famous for its training—263 hours for full-time employees in their first year.

“We hire fantastic people, we train them really well to understand leadership and communication, so who better to manage careers and guide people and answer their questions than their manager?” Gordon says.

Susan Meisinger isn’t so sure. “You can’t tell me there isn’t somebody who is making sure that no matter how they’re doing their talent recruitment, that it is being done in accordance with law and that they’re reaching a pool of candidates who have a higher likelihood of success,” says Meisinger, a consultant who retired as president and CEO of Society of Human Resource Management in 2008. “You can’t tell me there isn’t going to be some consultation going on when there are performance issues, sort of an adviser somewhere in the corporation to help managers improve performance when there are performance issues.”

At Netflix Inc., recruiting largely is considered the responsibility of the hiring manager. The recruiting team handles transactional aspects, and managers determine the market price for salaries through multiple channels, according to spokesman Jonathan Friedland. He declined to elaborate or comment further.

The video-streaming company raised eyebrows in 2011 when it sought a new HR director. Netflix specified that it wanted someone who “thinks business first, customer second, team and talent third” and did not want “a change agent, an OD practitioner, a SHRM certificate, a people person.”

FRUSTRATIONS WITH THE FIELD

Some observers saw the job posting as a reflection of the C-suite’s frustration with the HR field, which struggles to shed its image as little more than open-enrollment gurus and rule enforcers.

“HR has been for many years scoring on its own score card,” says Dick Beatty, professor of human resource management at Rutgers University.

A recent study suggests Beatty’s right. “Help people grow” was the No. 1 reason HR leaders cited for entering the profession, according the New Talent Management Network, a group of HR professionals started by Avon Products Inc.’s former vice president of global talent management.

“It’s lovely to talk about ‘business partner’ and ‘seat at the table,’ but the challenge for HR leaders is: Do they understand what’s being served at that table?” says Marc Effron, president of the consulting firm The Talent Strategy Group and founder of the network. “It’s a business meal. It’s not an HR meal.”

This gap may explain why CEOs rank talent as a top priority but don’t mention the HR function.

For example, Irv Rothman, president and CEO of HP Financial Services, a wholly owned subsidiary of the Hewlett-Packard Co., keeps talent management as a standing item on his executive team’s agenda. But he doesn’t see it as something the HR department should lead.

“It’s not an HR process,” Rothman says. “It’s a business process because it’s the business that sees people in action. HR has a role. They have a role in creating the environment and creating the infrastructure. For HR

to conduct talent management to me seems a little … I don’t know.”

In his book, Out-Executing the Competition, Rothman recommends that no CEO delegate the cultural implications of a merger to the HR department, which he describes as good at such things as benefits. “If the HR department is delivering that message and achieving that visibility, it’s not the inspirational leadership that people are looking for i

n the aftermath of a merger when just about everybody is as nervous as cat in a roomful of rocking chairs,” Rothman tells Workforce.

Survey after survey continues to find that HR leaders are

viewed as low status and better at transactional tasks than strategic planning. “If we’re doing our job well, people don’t say those things,” Effron says. “It’s very easy for HR to whine that people don’t respect us, but people respect those who deliver results.” The solution? Attract a fresh pool of talent into the field that understands business and wants to maximize profits, Effron says. “In many ways, it’s not: ‘Can we teach those in the field to do it better?’—it’s: ‘Can we get different people in the field who truly understand what it takes to succeed in this area?’ ” he says.

During the recession, many global organizations learned that they could do more with less if they had flatter HR departments, fewer job grades and health plans, and used more self-service tools, says Harry Osle, The Hackett Group’s global HR transformation and advisory practice leader.

The result: Leaner HR departments that add more value for every dollar spent than their peer groups and run by professionals skilled in analytics and consulting. “HR organizations in the future are going to be a lot thinner,” Osle says, “but they’re not going to disappear.”

Meisinger, the former SHRM president, says HR departments historically have become leaner during economic downturns. It’s more efficient to have managers do a better job of managing than wait for people problems to emerge and be pushed over to HR.

But even companies that boast that they have no HR department retain someone with HR expertise to help guide recruitment and talent management, she argues.

Still, technological advances will continue to transform the field. Companies have “dramatically” more self-service tools available now than they did 10 years ago, Meisinger says.

“That’s freeing up HR to focus on what it should be: getting in the right talent and making sure they’re developed appropriately and looking at the strategy of the business—where is the business going and what are the talent needs?” Meisinger says. “There are a lot of folks in HR who grew up in the transactional world who aren’t equipped to operate in the strategic world.”

THE BOTTOM LINES

  • Forward-looking companies use more technology and accomp
    lish more with fewer HR professionals.
  • 

  • Line managers and other functions are taking on responsibilities historically handled by HR departments.
  • 

  • HR leaders, expected to serve more as consultants, will need more business acumen and less traditional HR experience than their predecessors.

Source: http://www.workforce.com/article/20130405/NEWS02/130329989/is-hr-at-its-breaking-point

 

 

 

The Role of Social Media in Recruitment

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It’s been said for some time now that a key component of any job hunt is getting the social media side of things done well. This includes making

sure your LinkedIn profile is up to date, writing a blog and generally getting your name out there online.

I still have my doubts about how potent this approach is, especially for positions that job hunters actively apply for. I suspect that when agents and recruiting managers have a CV to consume they lack the time or inclination to do much research on their interviewees via social media.

New research from North Carolina State University reveals that social networking is incredibly valuable at finding new jobs for people who aren’t necessarily looking for one, which is referred to in the study as ‘informal recruitment’.

This study found that over 1 in 4 of all jobs filled in the US were done so via this form of informal recruitment. Perhaps the most interesting finding is that this ratio increases significantly as the salary of the position rises. In other words, the higher the salary is at stake, the

more likely the position is to be filled informally.

The researchers have broken this down into a ratio. They found that the odds of a job being filled by social networks increased by 2% for every dollar paid per hour for the position being filled.

To put that into perspective, a job paying $100,000 a year is 86% more likely to be filled informally than a minimum wage job paying $14,500 a year.

Of course you will be rightly saying that personal networks have always been valuable. After all, the saying “it’s not what you know, but who you know” wasn’t coined at the dawn of the social media age.

It does serve to reinforce the importance of making sure that plenty of people are well aware of your skills and experience, and networking online is a fantastic way of doing that. So if you’re not currently building up your personal brand, be it offline or online, there’s never been a better time to start than now.

Adi Gaskell is a social media professional and management blogger for Professional Manager.

5 Best Practices for a Successful Payroll System

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35% percent of the average HR department’s time is spent on payroll alone (Sage). In order to maximize the efficiency of your payroll system and prevent errors, you need to follow these best practices for managing your payroll system.

1.      Make Your System Transparent

One of the easiest ways to prevent accidental time theft, mis-classification of employees, underpaid taxes, and other common payroll issues is to produce a pay policy and put it in writing. Post it prominently and provide a copy to every employee.

The policy should lay out:

  • How employees are classified. Wrongly classifying employees as exempt, nonexempt, or contract can put you in violation of the Fair Labor Standards Act and place you at risk of a lawsuit or audit.
  • How wages, salaries, promotions, and raises are calculated; how the pay process works; when changes to payroll go into effect;  nd how the company deals with payroll mistakes.

2.      Avoid Manual Processes

Are you still calculating payroll by hand or in an Excel spreadsheet? The American Payroll Association estimates that error rates from manual payroll processes can cost you 1% – 8% of your total payroll. The more youautomate your payroll system with a payroll services provider or payroll software program, the fewer errors you will have to pay for out of pocket.

  • Simple ledger mistakes are frequent in manual systems due to its reliance on humans to transcribe hours and calculate wages. These systems are also easy for employees to manipulate.

3.      Regularly Audit Your Processes

Whether you utilize a manual timecard system or one that is computerized, you should audit your processes at least once a year. Even automated systems can produce errors. If these are not caught in time, they can wind up costing you. You may overpay an employee due to a math error, incorrectly classify a new employee’s tax status, or fail to increase the pay rate of an employee who was promised a raise.

4.      Prevent Time Theft

Time theft occurs when employees intentionally mis-record their hours, take overly long breaks, spend work hours on non-work-related activities, or use “buddy punching” to check in when they aren’t present.

  • Implement a check-in system that automatically records an employee’s hours when they sign in or swipe their card. You can further decrease fraud by utilizing biometric sign-in hardware such as a fingerprint scanner.

5.      Stay Up-to-Date

IRS tax tables and Federal and state labor regulations change from year to year. It is important that your knowledge of these regulations is current. You can download the latest tax tables from the IRS website. If you use payroll software, make sure that it automatically updates each year so as to keep you in compliance.

  • Pay particular attention to changes in regulations governing: income tax withholding, state unemployment taxes, child support withholding, and fringe benefit calculation and taxation.

The best practices for business payroll center around preventing errors and fraud that are commonly found in manual payroll processes. Transferring your payroll to a specialized software system or third-party administrator can keep your payroll in better shape. Whether or not you choose to go this route with your payroll, make sure that your process is transparent, that you audit it regularly, and that you keep it current with state and federal labor laws.

Bio: An avid business blogger, Megan Webb-Morgan writes for online lead generation provider Resource Nation. You can follow Resource Nation on Facebook and Twitter to get the latest business news and expert advice.

Ten Best Practice HR Tips – Human Rescource Best Practise

Top 10 HR Best Practices

Top 10 HR Best Practices

What I found most compelling in the survey was the list of the Top 10 HR Best Practices that produced the highest impact ratings out of all of the 140 HR practices and features that Bersin evaluated. See if you agree that this is a list that makes a lot of sense:

  1. Structured governance and business case development (HR impact opportunity — 39%). From Bersin: “Building a business case requires a clear understanding of the business or businesses that HR serves, as well as working relationships with all business leaders. HR can achieve both by involving business leaders in the planning processes and governance. This involvement also helps to ensure business alignment and, as a result of that alignment, business buy-in and support.”
  2. Developing advanced workforce planning capabilities (HR impact opportunity — 28%). From Bersin: “High-impact HR organizations incorporate sophisticated forecasting and workforce analytics into their processes. This enables them to translate company-wide talent, business data and external workforce segment data into workable insights that they can use and share with business leaders.”
  3. Implementing the “right” HR philosophies (HR impact opportunity — 27%). From Bersin: “High-impact HR organizations tend to commit themselves to creating work environments that enable employees to thrive both as individuals and as contributors to business success. They strive to create positive employee environments, and clearly communicate these expectations in the HR philosophy and mission. The most effective philosophies focus on fostering innovation and collaboration, or creating the best place to work, while the least effective philosophies focus narrowly on efficiency or cost-cutting efforts.”
  4. Reducing administrative work for HR business partners (HR impact opportunity — 25%). From Bersin: “Many HR functions have a role that is a liaison between the HR function and business leaders. The specifics of this role vary widely. High-impact HR organizations use it to advise senior business leaders, focusing on decision support, workforce planning, leadership development and executive coaching. By enlisting the right person, HR can improve its credibility across the enterprise, improve working relationships with business leaders, cultivate mutual understanding and gain influence. When this role is implemented poorly, with more focus on administrative duties and taking orders, our research found that it can actually reduce an HR function’s ability to work effectively and efficiently.”
  5. Implementing flexible HR organization design (HR impact opportunity — 20%). From Bersin: “High-impact HR organizations are flexible and agile. Like earthquake- proof buildings, they are structured to allow adaptive movement if the ground shifts. No overall HR structural model (centralized, decentralized or a combination of the two) in itself emerged as a predictor of HR success. But certain structural features do lend themselves to areas of excellence. One feature that we found to be universally valuable was flexibility. Fancy organization charts and designs are fine – provided that you also have a culture which recognizes the need to adapt structurally when business needs and challenges change, as well as an HR staff that is capable of making those changes.”
  6. Improving employee-facing HR systems (HR impact opportunity — 19%). From Bersin: “The most significant contributions to the overall effectiveness of an HR function come from community-building and self-service elements. Knowledge-sharing portals, web-based recruitment tools and management dashboards let various HR stakeholders and clients find what they need when they need it. HR functions with user-friendly client systems are regarded as twice as effective and efficient as functions that do not invest in this advantage.”
  7. Measuring both HR operational and business metrics (HR impact opportunity — 19%). From Bersin: “Measurement strategies in high-impact HR organizations have evolved to ensure efficiency, effectiveness and business alignment. Such strategies incorporate both operational measures by which to manage the HR function and strategic people measures to support crucial business decisions.”
  8. Developing internal HR skills (HR impact opportunity — 13%). From Bersin: “As they focus on programs to develop employees company-wide, HR organizations often neglect the development of their own team members. This is a mistake. The world of HR solutions is constantly changing. High-impact HR organizations must invest the time and money needed to ensure team members’ competence grows in such disciplines as change management and relationship management. Efforts must also focus on developing team members’ business acumen, industry knowledge and command of current best practices in all areas of talent management, as well as the use of social networking tools and other HR technology.”
  9. Improving line manager capabilities (HR impact opportunity — 10%). From Bersin: “A common pitfall for many HR functions is the attempt to meet the needs of every stakeholder directly, thereby spreading limited HR resources very thinly. High-impact HR functions have prioritized the focus of their HR resources on building the capabilities of their line managers. This decision allows them to work in partnership with their line managers, versus trying to work around line managers who may be incompetent or ill-prepared.
  10. Outsourcing HR services strategically (HR impact opportunity — 10%). From Bersin: “High-impact HR organizations use outsourcing to enable their internal teams to focus on things that cannot be outsourced, such as building business relationships and developing custom solutions for business managers. These organizations outsource areas that can be improved through economies of scale, or which require global coordination and expertise. What an organization outsources often depends on its level of maturity.”

Source: http://www.tlnt.com/2011/01/27/new-study-the-top-10-best-practices-of-high-impact-hr-organizations/

 

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