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Human Resource Management (HRM) is the function within an organization that focuses on recruitment of, management of, and providing direction for the people who work in the organization. Human Resource Management can also be performed by line managers.


Human Resource Management is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training. According to EDWIN B. Flippo, “Human resource management is the planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resource to the end that individual, organizational and societal objectives are accomplished.” Human Resource Management is also a strategic and comprehensive approach to managing people and the workplace culture and environment. Effective HRM enables employees to contribute effectively and productively to the overall company direction and the accomplishment of the organization's goals and objective HRM is now expected to add value to the strategic utilization of employees and that employee programs impact the business in measurable ways. The new role of HRM involves strategic direction and HRM metrics and measurements to demonstrate value. The Human resource management includes the processes required to coordinate the human resources on a project. Such processes include those needed to plan, obtain, orient, assign, and release staff over the life of the project.



 Function 1: Manpower planning
The penalties for not being correctly staffed are costly.

Understaffing loses the business economies of scale and specialization, orders, customers and profits. Overstaffing is wasteful and expensive, if sustained, and it is costly to eliminate because of modern legislation in respect of redundancy payments, consultation, minimum periods of notice, etc. Very importantly, overstaffing reduces the competitive efficiency of the business.

Planning staff levels requires that an assessment of present and future needs of the organization be compared with present resources and future predicted resources. Appropriate steps then be planned to bring demand and supply into balance.

 Function 2: Recruitment and selection of employees
An analysis of the job to be done written into a job description so that the selectors know what physical and mental characteristics applicants must possess, what qualities and attitudes are desirable and what characteristics are a decided disadvantage;

In the case of replacement staff a critical questioning of the need to recruit at all (replacement should rarely be an automatic process). Effectively, selection is 'buying' an employee (the price being the wage or salary multiplied by probable years of service) hence bad buys can be very

expensive. For that reason some firms (and some firms for particular jobs) use external expert consultants for recruitment and selection.

Equally some small organizations exist to 'head hunt', i.e. to attract staff with high reputations from existing employers to the recruiting employer. However, the 'cost' of poor selection is such that, even for the mundane day-to-day jobs, those who recruit and select should be well trained to judge the suitability of applicants.

The main sources of recruitment are:

Internal promotion and internal introductions (at times desirable for morale purposes) Careers officers (and careers masters at schools) University appointment boards Agencies for the unemployed

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 Function 3: Employee motivation
To retain good staff and to encourage them to give of their best while at work requires attention to the financial and psychological and even physiological rewards offered by the organization as a continuous exercise. Hence human resource management must act as a source of information about and a source of inspiration for the application of the findings of behavioral science. It may be a matter of drawing the attention of senior managers to what is being achieved elsewhere and the gradual education of middle managers to new points of view on job design, work organization and worker autonomy.


 Function 4: Employee evaluation
An organization needs constantly to take stock of its workforce and to assess its performance in existing jobs for three reasons:

To improve organizational performance via improving the performance of individual contributors (should be an automatic process in the case of good managers, but (about annually) two key questions should be posed:

What has been done to improve the performance of a person last year? And what can be done to improve his or her performance in the year to come?).


To identify potential, i.e. to recognize existing talent and to use that to fill vacancies higher in the organization or to transfer individuals into jobs where better use can be made of their abilities or developing skills.

To provide an equitable method of linking payment to performance where there are no numerical criteria (often this salary performance review takes place about three months later and is kept quite separate from 1. and 2. but is based on the same assessment).

 Function 5: Industrial relations

Good industrial relations, while a recognizable and legitimate objective for an organization, are difficult to define since a good system of industrial relations involves complex relationships between: (a) Workers (and their informal and formal groups, i. e. trade union, organizations and their representatives); (b) Employers (and their managers and formal organizations like trade and professional associations); (c) The government and legislation and government agencies l and 'independent' agencies like the Advisory Conciliation and Arbitration Service

Function 6: Employee education, training and development

In general, education is 'mind preparation' and is carried out remote from the actual work area, training is the systematic development of the attitude, knowledge, skill pattern required by a person to perform a given task or job adequately and development is 'the growth of the individual in terms of ability, understanding and awareness'. Within an organization all three are necessary in order to:
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Develop workers to undertake higher-grade tasks; Provide the conventional training of new and young workers (e.g. as apprentices, clerks, etc.); Raise efficiency and standards of performance; Meet legislative requirements (e.g. health and safety);

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HRM strategies, also known as Human Resource Management strategies, are organization's plans for managing people, culture, structure, and training and development, and for determining how people fit into your organization's future growth.

Developing a HRM strategy
Faced with rapid change organizations need to develop a more focused and coherent approach to managing people. In just the same way a business requires a marketing or information technology strategy it also requires a human resource or people strategy. In developing such a strategy two critical questions must be addressed.

What kinds of people do you need to manage and run your business to meet your strategic business objectives? What people programs and initiatives must be designed and implemented to attract, develop and retain staff to compete effectively?

In order to answer these questions four key dimensions of an organization must be addressed. These are:

Culture: the beliefs, values, norms and management style of the organization Organization: the structure, job roles and reporting lines of the organization People: the skill levels, staff potential and management capability

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Human resources systems: the people focused mechanisms which deliver the strategy - employee selection, communications, training, rewards, career development, etc.

Steps in developing hr strategies
There are seven steps to developing a human resource strategy and the active involvement of senior line managers should be sought throughout the approach.

Step 1: Get the 'big picture'
Understand your business strategy.

Highlight the key driving forces of your business. What are they? e.g. technology, distribution, competition, the markets. What are the implications of the driving forces for the people side of your business? What is the fundamental people contribution to bottom line business performance?

Step 2: Develop a Mission Statement or Statement of Intent
That relates to the people side of the business. Do not be put off by negative reactions to the words or references to idealistic statements - it is the actual process of thinking through the issues in a formal and explicit manner that is important.

Step 3: Conduct a SWOT analysis of the organization

Focus on the internal strengths and weaknesses of the people side of the business.

Consider the current skill and capability issues.

Vigorously research the external business and market environment. High light the opportunities and threats relating to the people side of the business.
• • •

What impact will/ might they have on business performance? Consider skill shortages? The impact of new technology on staffing levels?

From this analysis you then need to review the capability of your personnel department. Complete a SWOT analysis of the department - consider in detail the department's current areas of operation, the service levels and competences of your personnel staff.

Step 4: Conduct a detailed human resources analysis
Concentrate on the organization's COPS (culture, organization, people, HR systems)
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Consider: Where you are now? Where do you want to be? What gaps exists between the reality of where you are now and where you want to be?

Step 5: Determine critical people issues
Go back to the business strategy and examine it against your SWOT and COPS Analysis


Identify the critical people issues namely those people issues that you must address. Those which have a key impact on the delivery of your business strategy.

Prioritize the critical people issues. What will happen if you fail to address them?

Step 6: Develop consequences and solutions
For each critical issue highlight the options for managerial action generate, elaborate and create - don't go for the obvious. This is an important step as frequently people jump for the known rather than challenge existing assumptions about the way things have been done in the past. Think about the consequences of taking various courses of action. Consider the mix of HR systems needed to address the issues: • • Do you need to improve communications, training or pay? What are the implications for the business and the personnel function?

Once you have worked through the process it should then be possible to translate the action plan into broad objectives. These will need to be broken down into the specialist HR Systems areas of:
• • • • • • • •

employee training and development management development organization development performance appraisal employee reward employee selection and recruitment manpower planning communication

Develop your action plan around the critical issues. Set targets and dates for the accomplishment of the key objectives.

Step 7: Implementation and evaluation of the action plans
The ultimate purpose of developing a human resource strategy is to ensure that the objectives set are mutually supportive so that the reward and payment systems are integrated with employee training and career development plans. There is very little value or benefit in training people only to then frustrate them through a failure to provide ample career and development opportunities.

CHAPTER-3 HR Strategies for workforce utilization


Cross training is training an employee to do a different part of the organization's work. Training worker A to do the task that worker B does and training B to do A's task is cross training.

Cross training is good for managers, because it provides more flexibility in managing the workforce to get the job done. However, done right, cross training is good for the employees too. It lets them learn new skills, makes them more valuable, and can combat worker boredom. Cross-training offers a wide variety of benefits for small businesses. For example, a well-designed program can help reduce costs, improve employee morale, reduce turnover, and increase productivity. It can also give a company greater scheduling flexibility, and may even lead to operational improvements. Perhaps the most important benefit that accrues to companies that implement cross-training programs, however, is greater job satisfaction among employees. Cross-training demonstrates that the company has faith in employees' abilities and wants to provide them with opportunities for career growth. In an age when companies are always trying to accomplish more work with fewer workers, anything that helps to motivate and retain employees can be worthwhile. "Cross-trained employees usually feel that their jobs have been enriched, and they often suggest creative and cost-effective improvements, Cross-training can also improve the overall work atmosphere in a small business, which may in turn improve the bottom line. Employees are a valuable asset in small businesses

Gill wrote. "If employees believe they have the potential to improve within the company, they will be more willing to learn new skills. Employees will be more productive and loyal, and overall morale will improve." Guidelines for cross training


Eligibility: Career employees, with satisfactory performance or better, at least one year of service and with the permission of his/her supervisor. Approval: The application for training must be approved by the employee’s supervisor and department head; by the supervisor and department head of the department in which the training will occur, and by the Training & Development Program Representative. Length of Training: Cross training placements shall not exceed six (6) months or 100 hours. Training placements should be scheduled for no less than four (4) and no more than 16 hours per week. .

How to implement the cross training program
• Permit cross-trained employees to function in multiple departments.

• Encourage them to suggest more creative and cost-effective measures since they have more exposure than their counterparts restricted to a single role. • Cross-trained employees can provide coaching and mentoring to other employees to further expand the skills and capabilities of the organization. Increased expertise produces improved operational results, such as closed sales per month or customer support satisfaction ratings • Promote cross-training activities to reduce your need for hiring additional personnel. Employee morale tends to improve. Turnover reduces and productivity increases, leading to better operational metrics.


Advantages of cross training
• Deeper Understanding of the Work

Cross-training gives people a clearer view of the big picture rather than just their small piece of it. It can have a positive effect on team working as staff learns to appreciate each others’ work and recognize how interdependent they are. • Continuity of Service

Cross-training will put your eggs in many baskets. A department where workers can quickly step into each others’ shoes can absorb the temporary absence of one or two individuals without a noticeable drop in service. This is especially important if the work involves strict deadlines, needs to maintain good customer relations or serves • Practical Staff Development

As part of a development program cross-training has both short and long-term benefits. It requires little in the way of extra resources, is easy to grasp and relevant to people’s day-to-day experiences. For the longer term, cross-training can unearth individual talents and interests that aren’t apparent in people’s current roles and provide areas for future development. • Restructure-Proofing

Restructuring doesn’t always involve job losses; sometimes it’s an attempt to raise output by slicing the same pie in a different way. Staff whose expertise has become highly specialized will face a steeper learning curve adapting to new structures than those with a head start from cross-training. • .Peer Support18

If employees have a unique role that only their manager understands, that manager will be their main (if not only) source of support for practical matters..



The process of working collaboratively with a group of people, in order to achieve a goal. Teamwork is often a crucial part of a business, as it is often necessary for colleagues to work well together, trying their best in any circumstance. Teamwork means that people will try to cooperate, using their individual skills and providing constructive feedback, despite any personal conflict between individuals.


Work team can also be described as:
W is for workable O is for openness R is for respect K is for keenness

T is for talent E is for enthusiasm A is for accountability M is for management

Henry Ford says that, “Teamwork is the ability to work together toward a common vision. The ability to direct individual accomplishments toward organizational objectives. It is the fuel that allows common people to attain uncommon results.”

A challenge for leaders of groups of people, such as in a work department, is to get everyone to pull together and function as a team instead of going in separate directions. One way to foster teamwork is to engage the members in activities that require them to work together. Activities can be physical in nature or require the use of team brain power to solve a problem.

Social Activities: Part of the challenge of developing teamwork is to get team members to become comfortable with each other. Informal social activities allow the team members to relax and have fun while developing the rapport necessary to function as a unit. Examples of social activities include team sports such as volleyball or bowling or a group picnic, where everyone is responsible for a task such as bringing food or planning a game.

Workplace Activities: Because teamwork is important to a productive and healthy work environment, teamwork activities should be a part of the workplace. Possible activities include job swapping, where workers swap jobs with each other to develop empathy. It also requires workers to help each other to learn the jobs. Another idea is to start a team newsletter that provides the latest information on activities and accomplishments of the team members.

Projects: Projects require that team members work together to achieve a common goal. Projects can involve activities like putting puzzles together or cleaning up or rebuilding a property. Projects typically involve assigning each team member a specific task that he is responsible for completing, which helps to develop trust within the team.

Outdoor Activities: Activities such as camping, hiking, mountain biking or whitewater rafting allow the team members to relax while enjoying the fresh air and the sense of being "away from it all" can lead to bonding within the team.

Team effectiveness refers to the system of getting people in a company or institution to work together effectively. The idea behind team effectiveness is that a group of people working together can achieve much more than if the individuals of

the team were working on their own. Team effectiveness is determined by a number of factors, such as:

The right mix of skills.

Team effectiveness depends in part on bringing together people who have different skills that somehow complement each other. Team effectiveness depends on people taking on different roles in a group setting. If there is no agreement on who does what in the group, it is unlikely that the team will prosper.

The right motivation.

Team effectiveness is directly linked to the interest that the group has on the project. If the job is too easy or too difficult, or if the rewards for achieving the end result do not seem worth the effort, the team may end up working halfheartedly in the project. The task should also have a clear outcome. Working towards a specific goal enhances team effectiveness significantly.

The ability to solve conflicts without compromising the quality of the project

Team work has one major downfall. Sometimes groups end up making decisions they know are not in the best interest of the project, just so they can keep the process moving. Conflict is innate to any work done in groups, and should be taken as part of the challenge

Teamwork advantages

Forming a team is the stage that transforms individual to member status. At this stage, leadership guidance is tested.

StormingThis is typically the most challenging stage of team development. When team members come together they may disagree on actions and feel a lack of progress.

NormingAt this stage, team members begin to accept one another as part of the team and roles and ground rules are defined. Conflict may be reduced as relationships that were competitive become more cooperative.

PerformingA team that is performing has reconciled relationships and individual roles and expectations. Team members work together to diagnose, problem solve and implement change

Divided responsibility While ultimate responsibility rests with the team leader, not much can be achieved without an effective team. The team structure allows those who have strengths in a particular area to take more responsibility for that area.

Team spirit –a good team, well led, creates loyalty in its members. Not wanting
to let your team-mates down can be a powerful motivating force, as can the




Employee engagement, also called work engagement or worker engagement, is a business management concept. An "engaged employee" is one who is fully involved in, and enthusiastic about, his or her work, and thus will act in a way that furthers their organization's interests.


According to Scarlett Surveys, "Employee Engagement is a measureable degree of an employee's positive or negative emotional attachment to their job, colleagues and organization which profoundly influences their willingness to learn & perform at work".

1. Engagement is a personal decision, not an organizational decision as implied by some definitions.
2. As an atomic concept, later definitions divided it into three basic concepts:

emotional, behavioral and cognitive engagement. 3. Employee engagement has "no physical properties, but is manifested and often measured behaviorally". Different definitions look at behavior as the employee's basic job performance or extended effort or the success of the employer. 4. Employee engagement is about the behaviors that meet or exceed organizational goals. As employee productivity is clearly connected with employee engagement, creating an environment that encourages employee engagement is considered to be essential in the effective management of human capital

Shuck and Wollard define employee engagement as "an emergent and working condition as a positive cognitive, emotional, and behavioral state directed toward organizational outcomes". IMPACT OF EMPLOYEE ENGAGEMENT • Employer engagement –


A company's "commitment to improving the partnership between employees and employer. Employers can stay engaged with their employees by actively seeking to understand and act on behalf of the expectations and preferences of their employees. • Employee perceptions of job importance – According to a 2006 study by Gerard Seijts and Dan Crim, " employee’s attitude toward the job ['s importance] and the company had the greatest impact on loyalty and customer service then all other employee factors combined. • Employee clarity of job expectations – "If expectations are not clear and basic materials and equipment not provided, negative emotions such as boredom or resentment may result, and the employee may then become focused on surviving more than thinking about how he can help the organization succeed.


Career advancement/improvement opportunities – "Plant supervisors and managers indicated that many plant improvements were being made outside the suggestion system, where employees initiated changes in order to reap the bonuses generated by the subsequent cost savings."

Regular feedback and dialogue with superiors – "Feedback is the key to giving employees a sense of where they’re going, but many organizations are remarkably bad at giving It. What I really wanted to hear was 'Thanks. You did a good job.' But all my boss did was hand me a check.'"

Quality of working relationships with peers, superiors, and subordinates – If employees' relationship with their managers is fractured, then no amount of perks will persuade the employees to perform at top levels. Employee engagement is a direct reflection of how employees feel about their relationship with the boss."

Perceptions of the ethos and values of the organization – Inspiration and values' is the most important of the six drivers in our Engaged Performance model. Inspirational leadership is the ultimate perk. In its absence, [it] is unlikely to engage employees."


An organization’s productivity is measured not in terms of employee satisfaction but by employee engagement. Employees are said to be engaged when they show a positive attitude toward the organization and express a commitment to remain with the organization. Organizations that believe in increasing employee engagement levels focus on:
1. Culture:

It consists of a foundation of leadership, vision, values, effective communication, a strategic plan, and HR policies that are focused on the employee. 2. Continuous Reinforcement of People-Focused Policies: Continuous reinforcement exists when senior management provides staff with budgets and resources to accomplish their work, and empowers them. 3. Meaningful Metrics: They measure the factors that are essential to the organization’s performance. Because so much of the organization’s performance is dependent on people, such metrics will naturally drive the peoplefocus of the organization and lead to beneficial change. 4. Organizational Performance:

It ultimately leads to high levels of trust, pride, satisfaction, success, and believe it or not, fun.

5. Provide variety: Tedious, repetitive tasks can cause burn out and

boredom over time. If the job requires repetitive tasks, look for ways to introduce variety by rotating duties, areas of responsibility, delivery of service etc.
6. Conduct periodic meetings with employees to communicate good news,

challenges and easy-to-understand company financial information. Managers and supervisors should be comfortable communicating with their staff, and able to give and receive constructive feedback.
7. Indulge in employee deployment if he feels he is not on the right job.

Provide an open environment.
8. Communicate openly and clearly about what's expected of employees at

every level - your vision, priorities, success measures, etc.
9. Get to know employees' interests, goals, stressors, etc. Show an 31

interest in their well-being and do what it takes enable them to feel more fulfilled and better balanced in work and life.



Enterprises are realizing how important it is to "know what they know" and be able to make maximum use of the knowledge. This knowledge resides in many


different places such as: databases, knowledge bases, filing cabinets and peoples' heads and are distributed right across the enterprise. All too often one part of an enterprise repeats work of another part simply because it is impossible to keep track of, and make use of, knowledge in other parts. Enterprises need to know:
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what their knowledge assets are; How to manage and make use of these assets to get maximum return.

Most traditional company policies and controls focus on the tangible assets of the company and leave unmanaged their important knowledge assets. Success in an increasingly competitive marketplace depends critically on the quality of knowledge which organizations apply to their key business processes. The challenge of deploying the knowledge assets of an organization to create competitive advantage becomes more crucial as:

The marketplace is increasingly competitive and the rate of innovation is rising, so that knowledge must evolve and be assimilated at an ever faster rate.

Corporations are organizing their businesses to be focused on creating customer value. Staffs functions are being reduced as are management structures. There is a need to replace the informal knowledge management of the staff function with formal methods in customer aligned business processes.

Competitive pressures are reducing the size of the workforce which holds this knowledge. Knowledge takes time to experience and acquire. Employees have less and less time for this.


Knowledge assets are the knowledge regarding markets, products, technologies and organizations, that a business owns or needs to own and which enable its business processes to generate profits, add value, etc. Knowledge management is not only about managing these knowledge assets but managing the processes that act upon the assets. These processes include: developing knowledge; preserving knowledge; using knowledge, and sharing knowledge. Therefore, Knowledge management involves the identification and analysis of available and required knowledge assets and knowledge asset related processes, and the subsequent planning and control of actions to develop both the assets and the processes so as to fulfill organizational objectives.

A Knowledge Management Framework
The knowledge management framework we use was originally based on work by van der Spek and de Hoog. It covers Identifying what knowledge assets a company possesses
o o o o o

Where is the knowledge asset? What does it contain? What is its use? What form is it in? How accessible is it?


Analyzing how the knowledge can add value
o o o o

What are the opportunities for using the knowledge asset? What would be the effect of its use? What are the current obstacles to its use? What would be its increased value to the company?

Specifying what actions are necessary to achieve better usability & added value
o o o

How to plan the actions to use the knowledge asset? How to enact actions? How to monitor actions?

Reviewing the use of the knowledge to ensure added value
o o

Did the use of it produce the desired added value? How can the knowledge asset be maintained for this use?

Knowledge Management Roadmaps
Knowledge Asset Road Maps highlight the critical knowledge assets required by an organisation to meet market needs five to ten years in the future. They are mechanisms enabling organizations to visualize their critical knowledge assets, the


relationships between these and the skills, competencies and technologies required to meet future market demands. They allow:

Individual knowledge management actions to be defined and justified in terms of their contribution to the overall aims. Effective communication of the work and progress on the programme to the participants and observers. Management aids for those involved in carrying out the programme and measuring its progress. More effective communication between users, researchers, technicians, managers and directors involved in the various aspects of the programme. Sensible decisions to be taken on the opportunities for further exploiting the results of the programme.

The Road Map is a living document regularly updated and serves as a framework for the monitoring of the knowledge management programme. The document reflects the current state of the interrelationships between work in progress and proposed for the future and the overall milestones. Why should you apply Knowledge Management? To serve customers well and remain in business companies must: reduce their cycle times, operate with minimum fixed assets and overhead (people, inventory and facilities), shorten product development time, improve customer service, empower employees, innovate and deliver high quality products, enhance flexibility and adaption, capture information, create knowledge, share and learn.


Techniques of knowledge management 1. After-action review
What is an after-action review? An after-action review (AAR) is a tool to evaluate and capture lessons learned. It takes the form of a quick and informal discussion at the end of a project or at a key stage within a project or activity.


When to use an after-action review After-action reviews enable individuals involved to:
• • •

review what has happened summarize new knowledge Decide what action should be taken next.

This discussion should cover:
• • • •

what happened and why what went well what needs improvement What lessons can be learned from the experience.

How to run an after-action review? An AAR involves major team members and is conducted as soon as possible after the specified stage, project or event. It is structured as an informal brainstorming session to build consensus on the following questions:
• • • • •

What was supposed to happen? What actually happened? Why were their differences? What did we learn? What are the lessons for next time?

You may want to ask some more probing questions in these areas:

What did we set out to do? What were our objectives and deliverables? What did we actually achieve?

• •

What went well? What could have gone better? Why did it happen like that? What did we do? What would we do differently next time? How does this affect the next stage? What needs to be disseminated to whom and how?

It is important to create an atmosphere of trust and openness, and to emphasize that this is a learning event, not a performance evaluation. It is also important to focus on improvement and to ensure that any mistakes made or poor practice identified can be turned into a learning opportunity. The review outcomes are normally captured during the session, on flip chart paper or electronically. This will depend on who the information is intended for and how it will be used. By recording and storing the outcomes of the AAR on an intranet or website, those involved can refer back to what they have learned. The material can also be shared with those who may benefit from the acquired learning, particularly those who are working on a similar project or activity. An independent facilitator may be appointed to help draw out answers, insights and issues, and to ensure that everyone contributes. Alternatively, the AAR could be facilitated by someone from the project team.

2. Case study
What is a case study? A case study is a written examination of a project, or important part of a project. It has a clear structure that brings out key qualitative and quantitative information


from the project. Case studies are often published with a broad audience in mind, so it is useful to bring the most useful and transferable information to the fore.

Why use a case study?

It is vital that project and programme teams capture and record their learning and best practice so that others can learn from what they have done. The structured case study format makes information accessible to the reader. And the fact that it is written – often with a view to being published – means that case study information is usually enduring and far-reaching. Whether in print or online, case studies are one of the best ways to share learning and best practice with a large audience. How to write a case study The way you write a case study will depend on the purpose and intended audience. You have to decide what you have to share and what your audience needs to hear. You will also need to think about where the case study is going to be published, for example in print or online, internally or externally? These considerations will affect what you write and how.


Many organisations will have their own guidance on what a case study should look like and what headings it should include. Most are between 800 and 1,500 words and will identify a problem or situation, explain what was done to address the problem or situation, and finally highlight the results. An example template:
• • • • • • • • • • •

Summary Key learning up front Background to the problem Key issues/problems in detail What was done – in chronological order Key outcomes and impact Material resources required Human resources required Barriers and how were they overcome How would you do it better? Key contact for further information.

Most organisations will also have their own style guide. This will contain useful information on how to write a case study that is the language, tone and style to use.

3. Knowledge café
What is a knowledge café? A knowledge café brings people together to have open, creative conversation on topics of mutual interest. It can be organized in a meeting or workshop format, but the emphasis should be on flowing dialogue that allows people to share ideas and learn from each other. It

encourages people to explore issues that require discussion in order to build a consensus around an issue.

Changeable and complex working environments are common in local government. Thus the knowledge café brings to the surface, in an informal environment, all the understanding we have in an area.

How to run a knowledge café

A simple and recommended method that works well involves the following steps: 1. Preparation for a knowledge café
• • • •

Appoint a facilitator – someone who can encourage participation. Identify a question relevant to those participating. Invite interested parties. Create a comfortable environment – a ‘café’ layout, with a number of small tables, supplied with tea and coffee, is one option.


2. During a knowledge café

The facilitator should introduce the knowledge café concept, any codes of conduct, and finally pose the question. Participants should arrange themselves into groups to discuss the question. Each participant in turn shares their knowledge and experience without interruption, giving everyone an opportunity to talk. Alternatively, a ‘talkingstick’ can ensure only the person holding the stick can speak, thus avoiding the discussion becoming dominated by one or a few speakers.

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After each participant has shared, the group continues the discussion together. The groups should eventually reconvene to exchange ideas and findings – these could be captured electronically or on paper.

3. After a knowledge café The real value of a knowledge café is what people take away with them in their heads, and the new connections they have made with people. If the knowledge café is to be recorded – making sure to avoid disrupting or influencing the conversation – the information may be distributed to participants after the session. Turn-taking is important. If everyone is encouraged to have their say, a natural and stimulating group discussion should evolve, and good ideas won’t be long coming

4. Knowledge exchange
What is a knowledge exchange? A knowledge exchange takes place when someone is moving on from their current position. It aims to recover unique and valuable information from them before they leave.

Knowledge exchanges occur between a knowledge holder and a facilitator. The knowledge holder is the person who is departing. The facilitator is typically a line manager or trusted team member – someone who is close to the leaver and can ensure the questioning is of sufficient depth and relevance. Ideally, the knowledge exchange will also involve the person replacing the knowledge holder or carrying out the tasks they leave behind. They will benefit from any useful tips and knowledge and from asking their own questions. Why should you use a knowledge exchange? When staff leave an organisation they take with them the vital knowledge, experience and contacts they have built during their time there. The organisation suffers if this information is not passed on before they leave.


Estimates suggest it takes at least six months before a new recruit contributes effectively to the organisation. Including checks of handover notes through the appraisal process protects organisational memory. If a council adopted this approach, time and money saved per year would equate to between 10 and 100 posts. Many organisations will already have some informal process in place to capture the knowledge of leavers. However, the best efficiency gains come from a formalised, structured knowledge exchange process. How to run a knowledge exchange? The methodology we recommend is based on work developed in the public and private sectors by knowledge management experts. It has five steps: 1. Two days prior to the knowledge exchange, the knowledge holder receives a copy of the questions that will be asked during the knowledge exchange. 2. The facilitator follows these questions as a guideline, but they are best used as a means to focus on the four key areas of work:
• • • •

general key operational information people and people skills lessons learned and ‘pattern recognition’.

3. Relationship mapping provides an overview of the relationships the knowledge holder has with key contacts in the organisation. 5. The facilitator may then choose to upload this information onto the team intranet, or save as a standalone file for future reference.


5. Knowledge marketplace
What is a knowledge marketplace? A knowledge marketplace could be seen as a ‘dating service’ for knowledge. It identifies what people know and what they need to know on a particular subject, and then connects them appropriately.

Advantages of using a knowledge marketplace Knowledge marketplaces can be facilitated online, via email or face-to-face. It can be used in many situations, and is particularly useful when delegating roles and responsibilities within a new project team. Success depends on the willingness of participants to both contribute and benefit in equal measure from exchanging knowledge. It is highly dependent on the degree of trust between individuals.


Why is a knowledge marketplace useful? It can be difficult to find people with the knowledge, skills and experiences you need on a specific topic. A lot of useful, specialist knowledge remains untapped in most organisations. The knowledge marketplace provides a forum to discover this knowledge and make it available to anyone who needs it. How to run a knowledge marketplace? Within the participating team or group, each person should take the following steps:
1. Identify your knowledge requirements – these could be areas where you

feel there are gaps in your knowledge.
2. Identify your knowledge offers – these would be areas where you have

knowledge and experience to share with others.
3. Collect some basic information to start the ‘connection and collection

process’, for example: name, job title, organisation, email address, topic. This information can be recorded in a form, an Excel spreadsheet, by email, or on a flip chart during the session. This information is then used to connect people to people and the sharing process can begin. The sharing process could simply involve having a conversation. Or it could be exchanging business cards with people in who have knowledge or experience of benefit to you. Alternatively, the sharing could happen after the event has been recorded electronically and all the relationships mapped out and made available online.


6. Peer assist
What is a peer assist? People can use a peer assist to gather knowledge and insight from other teams before embarking on a project or activity. It partners those seeking assistance – ‘receivers’ – with a peer or group of peers who have expertise in a desired area. A peer assist can last from an hour to a full day depending on the size of the project.

Advantages of using a peer assist?

Talking to experienced peers about the best way to approach new projects saves time and money and avoids repetition of mistakes. It also creates strong links across teams and relationships between people. How to run a peer assist? A simple method that works well involves of the following steps:


Appoint a facilitator Appoint someone from outside the team who will ensure the participants achieve their outcomes. Select the participants Choose participants who have diverse knowledge, skills, and experience. There is no hard and fast rule about minimum or maximum numbers but the right participants are particularly important. Share information This is done by dividing the meeting time into four parts:

Clarify purpose The receivers present the background and objectives of the project or task they are about to begin. They should also say what they hope to achieve in the peer assist.

Encourage the peers to ask questions and give feedback The peers discuss the receiver’s situation and share ideas and experiences. The receivers should simply listen.

Analyze what’s been heard This part is for the receivers to analyse and reflect on what they have learned and to examine options. The peers should take a back seat.

Present the feedback and agree actions The peers present their feedback to the receivers’ analysis and answer any further questions.


7. Rapid evidence review
What is a rapid evidence review? A rapid evidence review (RER) is a way of reviewing research and evidence on a particular issue. It looks at what has been done in a particular area and records the main outcomes.

Evidence reviews can be run in several ways. Some are more exhaustive in their execution and ambitious in their scope. A fully-developed review will scan available literature as comprehensively as possible, using electronic databases and comprehensive sourcing. The RER provides a quicker but still useful way of gathering and consolidating knowledge. It’s a useful building block from which to start work on a new project. It should not be considered a definitive review, but rather the most suitable given the time and resources available. Why use a rapid evidence review? Any new piece of work is likely to draw on what has already been done by others in the sector. An RER ensures that you take account of this work before starting a


project. This avoids duplication of effort and gives you a firm foundation on which to build. How to run a rapid evidence review RERs can be run in a variety of ways. Because of the volume of published material, a review will normally source and scan selected research. Here is highlighted one method used by the Idea. This IDEAL RER model involves getting knowledge about emerging effective practice from consultants working in councils. It can be run as follows: 1. Gather the group of people you are hoping to get information from. Ask them to write on paper any ideas and examples of work that relate to the issue you are researching. 2. Stick these examples on the wall around the room and arrange them into themes. 3. Group people according to the theme that contains their ideas or example of work. 4. Run breakout groups by theme. Use group discussions to test the effectiveness of the practice. A facilitator should be present to record the discussion. As each person in the group discusses their work, the facilitator ensures that supporting evidence is recorded. This could include URLs, file paths, quotes and contact details. 5. Produce a report or document that summarizes the discussion and outcomes. These findings should be published on the intranet, internet or as a paper publication, for anyone to use in future projects.


8. Retrospective review
What is a retrospective review? A retrospective review is an in-depth discussion that happens after the completion of a project, event or activity. It is structured to help the people involved reflect on the project in detail.

Retrospective reviews ensure that you:
• • •

retain learning from what has happened understand why it happened look at what went well, what needs improvement and what lessons should inform future work.

Why use a retrospective review? Every major project should conclude with a retrospective review. This is the main way of ensuring that lessons learned are recorded in an objective way. It also ensures that the information can be made available to others.

For smaller projects that require less detailed evaluation, see after action reviews (AAR). How to run a retrospective review? A retrospective review can be run in various formats, including a workshop or meeting. A simple method that works well involves the following steps: Preparation for a retrospective review

Appoint a facilitator – someone who can help create an open environment and encourage discussion. Invite all members of the team to participate. Collate and distribute documents relating to the project being discussed.

• •

During a retrospective review
• • • • •

Identify and review project objectives and deliverables. Identify and review the project plan and planned process. Discuss how success and lessons learned can be applied in the future. Discuss what could have gone better and how. Relay short summaries of main learning points to clarify understandings.

Post-retrospective review
• •

Record findings in an appropriate format and circulate to all participants. Publish or store the main learning points and recommendations for future use. This can include online case studies (Idea Knowledge website), printed publications or reports.

Formally close the retrospective review.

Throughout the retrospective review process, invite comments and feedback. This will help you learn as much as possible before the team disbands.


To inform future work, ensure that everything has been properly documented and stored or published before formally closing a project.




What is Performance Appraisal? A performance appraisal is a review and discussion of an employee's performance of assigned duties and responsibilities. The appraisal is based on results obtained by the employee in his/her job, not on the employee's personality characteristics. The appraisal measures skills and accomplishments with reasonable accuracy and uniformity. It provides a way to help identify areas for performance enhancement and to help promote professional growth. It should not, however, be considered the supervisor's only communication tool. Open lines of communication throughout the year help to make effective working relationships. The success of the process depends on the supervisor's willingness to complete a constructive and objective appraisal and on the employee's willingness to respond to constructive suggestions and to work with the supervisor to reach future goals. Why Appraise Performance? Periodic reviews help supervisors gain a better understanding of each employee's abilities. The goal of the review process is to recognize achievement, to evaluate job progress, and then to design training for the further development of skills and strengths. A careful review will stimulate employee's interest and improve job performance. The review provides the employee, the supervisor, the Vice President, and Human Resources a critical, formal feedback mechanism on an annual basis; however these discussions should not be restricted solely to a formal annual review.


Benefits of Performance Appraisal
Organization Communicates corporate goals Provides management with decision-making information on human resources Provides objective basis for raises, promotions, training, and other personnel actions Builds stronger working relationships Supervisor Builds management skills Develops and improves rapport with employees Identifies and rewards high performers Employee Finds out how they’re doing Provides recognition for accomplishments

Allows for two-way communication on goals and performance

Identifies performers needing improvement for coaching/training Improves individual employee productivity Identifies general

Encourages taking responsibility for their performance and progress Helps set goals and direct efforts Provides opportunities

Improves overall organizational productivity Provides

documentation for inquiries on general promotion policies or individual claims of discrimination Improve morale

training needs

for career development and improvement

Demonstrates fairness to employees

Assures fair individual evaluations

Procedure of performance appraisal
.1.Identify performance criteria:
• The number of appraisal criteria for each position is from 3 – 10 criteria. • The standards set should be clear, easily understandable and in measurable terms • The appraisal criteria can be changed but must be the authority for approval and must be implemented for the relevant level before applying. • HR department and managers/ supervisor will set up weight of each criterion and must be approved directors. 2. Communicating performance criteria: • HR department should inform this procedure to all level of management and employees. • The employees should be informed and the standards should be clearly explained in order to help them understanding their roles and to know what exactly is expected from them. • Performance criteria should also be communicated to the appraisers or the evaluators and if required.

3. Measuring performance
• Prepare.

HR dept should prepare all materials, notes agreed tasks and records of performance, achievements, incidents, reports etc – anything pertaining to performance and achievement. • Inform the appraisee:

• To ensure the appraisee is informed of a suitable time and place and clarify purpose and type of appraisal. • Give the appraisee the chance to assemble data and relevant performance and achievement records and materials. • Review and measure

HR dept and managers / supervisors review the activities, tasks, objectives and achievements one by one, keeping to distinct separate items one by one. • Agree an action plan

• An overall plan should be agreed with the appraisee, which should take account of the job responsibilities and review strengths and weaknesses. • The plan can be staged if necessary with short, medium and long term aspects, but importantly it must be agreed and realistic.

4. Comparing with desired criteria
• The actual performance is compared with the desired or performance criteria. • The result can show the actual performance being more than the desired


performance or, the actual performance being less than the desired performance depicting a negative deviation in the organizational performance.

5. Discussing results
The result of the appraisal should be communicated and discussed with the employees. • The feedback should be given with a positive attitude as this can have an effect on the employees’ future performance. • The purpose of the meeting should be to solve the problems faced and motivate the employees to perform better. • The results, the problems and the possible solutions are discussed with the aim of problem solving and reaching consensus.

Methods of performance appraisal
Performance evaluation methods are also used for the purpose of performance appraisals of the employee and are the same for other objectives as well. There are three main aspects which are considered while evaluating any employee and those are, quality and quantity of work done, time in which is it done and the benefit it makes to the company in terms of cost. With these main factors in mind there are methods by which employee performance is judged, so take a look at a few common ones mentioned below. 1. Common Performance Evaluation Methods The main objectives of performance evaluation methods for employees is to give them a feedback for their work, record their work to give them a few organizational rewards and to provide further development opportunities for their careers. These

methods of employee performance evaluation are also useful to help them improve their performance through coaching and training sessions provided by the management of the organization. No matter what field it is, there are a few common assessment techniques followed by the management to improve the work experience of employees. Good communication patterns and recreation is also one of the biggest assets of an organization to help employees give better performance and increase revenue for companies. To learn more about what are some performance evaluation methods commonly used, read into the following paragraphs.

2. Management by Objectives Method (MBO) This is one of the best performance evaluation methods, where the managers and employees set a particular objective for employees and evaluate their performance periodically. After the goal is achieved, the employees are also rewarded according to the results. This performance appraisal method of Management by Objectives depends on accomplishing the goal rather than how it is accomplished.

3. Critical Incident Method In this method, the manager writes down the positive and negative behavioral performance of the employees. This is done throughout the performance period and the final report is submitted as the assessment of the desired employees. This method especially helps employees in performance management and improves their quality of work. 4. Behaviorally Anchored Rating Scales (BARS) The BARS method is used to describe a rating of the employee's performance which focuses on the specific behaviors as indicators of effective and ineffective

performances. This method is usually a combination of two other methods like the rating scale and critical incident techniques of employee evaluation. 5. Behavioral Observation Scales Method (BOS) It is defined as the frequency rating of critical incidents which the employee has performed over a specific duration of time in the organization. It was developed because methods like graphic rating scales and behaviorally anchored rating scales (BARS) depend on vague judgments made by the supervisors about employees. 6. 360 Degree Performance Appraisal Method The definition of this performance evaluation method is that, it is a system or process where in the employees receive some performance feedback examples, which are anonymous and confidential from co-workers. This process is conducted by managers and subordinates who through the 360 degrees, measure certain factors about the employees. These are behavior and competence, skills such as listening, planning and goal-setting, teamwork, character, and leadership effectiveness.




In financial terms, the salary and wages you pay to your employees for the work they do. Other, nonfinancial forms of compensation can also be offered to attract and retain staff. Ask any human resources consultant where financial compensation ranks in the hierarchy of employee requirements, and you're likely to get a range of answers. Some say it's the most important thing. Others declare wages are the only important thing. Still others say that while financial compensation isn't the most important thing, it's important enough that if your pay isn't fair, all the other employee benefits in the world may not be enough to keep employees on board. Obviously, it's important to know whether you're paying enough and how to get the most for what you're paying. In addition, you have to know how to bolster the actual dollars you lay out in salary and wages with nonfinancial compensation. We don't pay employees in a vacuum. That's another way of saying that the level of compensation that will attract and keep employees is set primarily by other employers. While there's no formula that will tell you the ideal salary for each position within your company, there are appropriate ranges. Some of the key sources for determining suitable salary ranges for employees are: • Classified ad listings for specific positions, both in your daily newspaper and on the internet

Professional and trade organizations for the specific fields in which you're hiring. Most organizations regularly publish salary data.

• •

Human resources consultants Specialized recruiters in the appropriate fields


A well designed compensation and benefits plan helps to attract, motivate and retain talent in your firm. A well designed compensation & benefits plan will benefit your boutique in the following ways. 1. Job satisfaction: Your employees would be happy with their jobs and would love to work for you if they get fair rewards in exchange of their services. 2. Motivation: We all have different kinds of needs. Some of us want money so they work for the company which gives them higher pay. Some value achievement more than money, they would associate themselves with firms which offer greater chances of promotion, learning and development. A compensation plan that hits workers’ needs is more likely to motivate them to act in the desired way. 3. Low Absenteeism: Why would anyone want to skip the day and watch not-sofavorite TV program at home, if they enjoy the office environment and are happy with their salaries and get what they need and want? 4. Low Turnover: Would your employees want to work for any other boutique if you offer them fair rewards. Rewards which they thought they deserve. 5. Peace of Mind: your offering of several types of insurances to your workers relieves them from certain fears. Your workers as a result now work with relaxed mind.

6. Increases self-confidence: Every human being wants his/her efforts to get acknowledgment. Employees gain more and more confidence in them and in their abilities if they receive just rewards. As a result, their performance level shoots up.


Contents of good compensation plans
In today’s highly competitive environment, the ability to recruit, maintain and motivate quality manpower is the most challenging task facing organizations. A well-conceived Employee Compensation & Benefit Plan should include the following elements: • Salary Structure:

A standard pay structure is based on the position of the employee in the organization. It offers fixed pay ranges, with maximum and minimum levels established to take into account varying levels of experience and expertise. • Incentive:

Incentive plans are a reward-based form of variable pay, such as Bonuses.


A commission method is based on determining compensation as a percentage of net sales. This method is a great motivator as it provides a direct relation between result and reward.


Bonus is a sum of money paid to an employee over and above his standard compensation and is usually performance based.

Stock Options:

Stock option plans offer employees of a company the right to buy a certain number of shares of the company's stock at a particular price on a specified date. This is an attractive tool for retaining manpower, since employees benefit directly when the company’s stock goes up.

Leave Benefits:

They are an invaluable asset to employees and include sick leave, holidays, vacation, maternity leave, personal leave or caring for family members. Many companies allow employees to accumulate each of their paid leave days for use later.

Retirement Benefits: Most organizations offer employees retirement assistance whereby employees reserve a part of their compensation through automatic payroll deduction for retirement savings.

Dependent Care Assistance: Companies may offer flexible working hours, off-site daycare, referrals, and financial-planning assistance for child and elder care.

Adoption Assistance Programs: This benefit program includes referral services, paid maternity leave, and financial assistance for adoption.

Outplacement Services: Due to staff cutbacks, companies may assist employees find alternative job prospects.

Education Assistance Programs: Employers may invest in job related training and education for their employees. Counseling on personal matters is also provided.

Golden Parachutes: Benefits in the form of a sizeable severance pay or a generous one-time bonus are provided to top executives in case of unemployment due to takeovers or acquisitions.

Flex Time:


Flextime allows employees to work hours suitable to them resulting in a more productive and motivated workforce.



MICROSOFT INDIA: The hr practices


In 2008, Microsoft India Corporation Pvt. Ltd. (Microsoft India), the Indian subsidiary of Microsoft Corporation (Microsoft) , ranked as no. one in the list of “Best Companies to Work for in India” surveyed jointly by Business Today, “Mercer LLC, Taylor Nelson Sofres (TNC) Globe. Microsoft India was also believed to be one of the most sought after companies for Information Technology (IT) professionals and graduates in India. In early 2009, Microsoft announced the layoff of 5% of its workforce worldwide, as it reported its first drop in revenue in its history of business spanning over three decades. The company wide cost cutting measures were applicable to some extent to its Indian operations where the company laid off 1 % (55 Employees) of its total workforce.

Right form their humble beginnings 1975, Microsoft had been an innovator in computer software and related services. Its products portfolio included the windows series of operating system software for client and server, the office productivity, suite-MS office, business application software’s, games and software for mobile phones and handheld devices. Apart from its software products Microsoft provides online services for publishing and advertising, and email


facilities for communication and a search engine for information retrieval and decision support. The mission was: “To enable people and business throughout the world to realize their full potential”. For the financial year ending 2008 Microsoft earned annual revenue of US $ 60.42 BN and employed nearly 91000 people for its operations in 105 countries worldwide. It was ranked 38th in Fortunes Magazines list of 100 best companies to work for published in year 2009. Continuing its expansion of services worldwide, Microsoft started its Indian operation in the year 1990 setting up Microsoft India Corporation Private Limited in New Delhi. Later, Microsoft expanded its footprint in India by bringing all its six main units of business into the country Microsoft India had its office in 10 cities in India namely Bangalore, Hyderabad, Chennai, Kolkata, New Delhi, Pune, Ahmadabad, Gurgaon, Indore & Nagpur. And its activity included Research, Product Development, Sales & Marketing and Support Services with an employee base of around 5500 people. In terms of Headcount Microsoft India was second only to Microsoft in the U S as of May 2009.

Microsoft India’s HR Approach:
Managing human resources in the IT sector has been a challenge for most companies that have setup operation in India. These companies aim to take advantage of the relatively loe cost of technically competent labour in India as compared to the U S and developed country in Europe. There was a huge demand for skilled personnel in this sector, but companies were confronted by lake of sufficient no. of skilled personnel to meet the demand. In this Scenario Many Companies had to develop a strategic H R Approach to retain and manage talent. Microsoft India, for its Parts, had implemented Employees Friendly HR practices across all its locations in India.

The Company had a Separate Division that offered Solutions and Services to Business units in the Area of: • • • • Organizational Capability & Change Talent Management Leadership Technical Training for Developers & Software Architect

Human Resources Management Practices:
 Recruitment & Selection Microsoft India Recruited both fresh graduates from academic campuses and experienced professional in the IT Industry, For Campus Recruitment the Selection process included written test and several round of personal interviews it conducted campus selection in prestigious Engineering Colleges in India like the Indian Institute of Technology {IIT} and it was one of the Most Sought after brands for the brightest and the best. For Selection of Experienced Professionals, it Scrutinize the candidates C Vs and conducted 4 to 5 round of Interviews, including technical and H R interviews. The Company sought candidate who had “sound computer science basics, ability to understand the technology, and its sharp application in creating superior quality software.”  Training and Development For trainess, Microsoft India conducted a training program named Leap Engineer Acceleration Program (LEAP) which imparted technical and personal skills required to carry out the job. It implemented a mentoring system that helped employees in getting guidance from their mentors through open discussion and an interactive learning process.

 Career Management Microsoft India provided both vertical and lateral growth prospects for its employees in all the six business units present in India. India was one of the few country’s where all the different business division – Research, Development, Testing, Consulting, Sales & Marketing, and Support – had a significant presence. Employee could move between the 6 business units according to their area of interest more ever employees were provided with exposure to different business units by way of mentoring from senior employee of Microsoft worldwide.
 Flexible Work Timings:

Microsoft India followed Flexible work timings policy for its employees. A Flexitime policy enabled the employees to work according to their convenience liberating them from rigid work timings. Through flexible routines, the company strove to infuse a sense of responsibility and discipline in its employees, while also building up a rapport with and among them. It also served as a retention scheme for employees.  Employee Retention at Microsoft Global Technical Support Center (MSGTSC): For employee retention, Microsoft India initiate various programs particularly in MSGTSC, Bangalore, where was carried out around the clock (24X7) i9n order to provide technical support services to its customer in different nations and time zones. While similar companies I 24X7 working environments faced attrition levels of 17% to 20%, MSGTSC managed to bring it down to single levels by communicating to its employees their high career growth path, providing rewards and recognition for their performance and creating enjoyable workplace, apart from offering satisfying compensation packages. According to this ‘Employee Value Proposition ‘, working at the company met the following eight needs of Microsoft employees:

 Working with technology everyday  Caring for every employee  Working in an energizing environment  People –friendly benefits  Building careers for life
 Recognizing great work.

 Compensation and benefits: Microsoft India offered employee benefits which were standardized across the company. The benefits schemes were revaluated twice a year. The benefit program included:

 Medical benefits aimed at keeping the employee healthy and motivated so as to reach expected productivity levels.  Tuition assistant program which includes financial assistant to meet tuition expenses to all employees. This gave them the opportunity to continue their formal education while working.  A range of professional counseling and support services for employees and eligible family members.  Facilitation for employees to relocate if transferred to help them settle easily in the new location.


 Assistant programs in case of emergency for employees and their eligible dependents traveling on company work to locations worldwide.  Company stock offers for employees to enable them to share the benefit of the company’s performance.  Performance Management: Microsoft India followed a candid process while evaluating the performance of employees and regarding their compensation packages. The process was transparent so as to enable employees top identify their performance level and have a clear idea of what was required in terms of performances in order to reach the next level.

HR Metrics Followed by Microsoft India:
In Microsoft India, Metrics were developed to track and define the effectiveness of HR functions. Microsoft India HR policies aimed to maximize the value of human capital in achieving business growth by focusing on talent acquisition and development, management development, leadership development, and management of evolution of the Microsoft culture. Microsoft India Attempted to ensure positive return on investments in HR by facilitating the development of the employees and their career growth in addition to providing a congenial organizational culture. To assess the Return on Investment (ROI) from various HR initiatives Microsoft India tracked the performances of its HR practices and compared them against the investment made.


Table: HR Metrics Used at Microsoft India
Area Organization Organization Health Staffing Size of organization, vacant position, ratio of headcount in HR function to headcount in line functions. Workgroup of health index, Microsoft pulse index, Microsoft culture index. Hiring statistics-nature of hiring, challan wise hiring statistics, vacancies filled through internal employees, hiring expenditure, lead time, percentage of hiring plan, ratio of offer accepted, reasons for declines the offer.

Talent Qtr. And yearly tracking of attrition rates, percentage of high Management position retained, percentage of promotions, succession planning indicator, succession planning usage. Diversity Ratio of women, No. of women hired, percentage of women losses, parentage of managers and employees completing diversity training program. Span of control, organizational managers to non managers. depth, percentage of

Manager capability

Field readiness index, number of employee trained on employee development program, number of managers trained Learning and through management excellence framework (that provides for Developmen management development through career events, continuous learning and building connections.) t Leadership Developmen t Reward Percentage of leadership hires, percentage of leadership attrition, succession planning indicator, succession planning usage. Cash consumed in budget for rewarding the employee.

Microsoft India’s Employees Satisfaction (as of September 2010)Against Industry Average


Though Microsoft India’s HR practices received accolades from many quarters the “Best Employer Survey 2008” released by Dataquest said that overall employee stisfication aMicrosoft Inndia was the below the industry average in India expect for its compentation packages where it was above industry average. In most of the parameter regarding employee satisfication, it scored less then the industry average. Keeping in the mind the difficult economic environment due to the globle economic slowdown and the scope for improvement on various parameters of employees’ stisfication, was there a need for Microsoft India to realign its strategic HR practices.



Human resource management is essential for all the organisations and companies. The strategies for the full utilization of hr are also important. So it becomes very important to develop and grow these strategies for relevancy in the future corporate environment. Here are some suggestions-:

Present environment of corporate world is very competitive. So these plans & strategies should be altered timely to fit in all type of problems.

It should be ensured that not only adoption but proper implementation of these plans and strategies is done.

It must be confirmed that the adopted strategies are really required by the organisations or not.

The methods of some strategies like performance management, knowledge management must be selected carefully for attaining maximum benefits from it.

These strategies should be adopted to upgrade and retain the employees and their skills.

The money invested in these activities should be managed properly and only by the authorized person.


On the basis of study and analysis of hr strategies for better utilization of workforce the following conclusions are found-:

HR utilization strategies are very useful to retain the employees.

These plans and strategies help the organisations to attain their desired goals.

The hr strategies help to handle the problems and grievances of the employees.


It helps to identify the hidden talent of the people working in the organisations.

These strategies are applicable throughout the world.

It reduces the abseentism rate, dissatisfaction etc.


 Sudha G.S.(2010) “Human Resource Management”

RBD Professional Publications

 Greer, Charles (2010) “Strategic Human Resource Management: A

General Managerial Approach, II ed” Pearson Education Asia

 Becker, Brain E. et al “The HR Scorecard, 1st e” HBS Press 2001



 www.workforce .com   