Human Resource Management Unit 6

Unit 6 Employee Growth

Structure:
6.1 Introduction
Objectives
6.2 Concept of Employee growth
6.3 Career Planning
6.4 Promotions and Internal Job Posting
6.5 Succession Planning
6.6 Other Career Programs
6.7 Summary
6.8 Caselet
6.9 Terminal Questions
6.10 Answers

6.1 Introduction
Business environment is turbulent and complex as never before. While you
might find some speak positively or others might be sceptical and highly
pessimistic about it. What therefore strikes us as corporate professionals is
the impact it has on our careers and future at the workplace. This unit dwells
on the provisions for employee growth and development that organizations
provide for.
A few decades ago, the contracting which an employee entering a firm
focused on was work hard, perform well, remain loyal and committed, and
thereby receive an even greater reward and job security. This has swiftly
been replaced with a new contract based on continuous learning and
identity change.
Now more than ever, individuals need to develop new and better personal
skills of self-assessment and career planning, especially because the onus
for career advancement is essentially driven by an individual, while the
organization supports the process with the required provisions from a policy
and investment perspective. The ideal career is one that is drive by the
individual and not the organization. It can therefore be reinvented by the
individual from time to time, depending on what he/she discovers as new
strengths and opportunities that the market provides.
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Objectives:
After studying this unit, you will be able to:
 List the components of employee growth
 Describe the dimensions of career planning
 Review promotions and internal job postings
 Discuss Succession planning
 Evaluate other programs for special employee growth.

6.2 Concept of Employee growth

Increasingly organizations have become more active in implementing
employee growth programs. Companies are designing employee growth
programs to increase employee productivity, control attrition, prevent job
burnout and obsolescence, and improve the quality of employees‟ work
lives. Human Resources department of almost all large companies and most
medium sized companies have taken a greater interest in employee
development programs. Human Resources professionals have never before
faced so many challenges in meeting the needs of individual employees and
organizations in designing career systems. To cope in today‟s‟ turbulent
times, it has become increasingly important, as a key talent management
agenda, for both organizations and employees to better redress employee
career needs. It is the employee‟s responsibility to manage his or her own
career, while it is the employers‟ responsibility to provide employees with the
tools and opportunities to enhance their skills. The end objective however
remains, for the organizations to have a career-resilient workforce, one that
has self reliant workers who are capable of reinventing themselves to keep
up with the fast pace of organizational changes and fulfil their career
aspirations, without feeling the need to moves companies in search of better
career opportunities.
What this essentially means can be summarised under the following key
initiatives that are commonly practiced in organizations today:
 Career Planning and development
 Promotions and Internal Job Postings
 Succession Planning
 Other talent management activities focused on employee growth

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While these activities are normally part of the core HR functions often
organizations (depending on the size of the organizations) might have a
dedicated individual supported by a small team leading all of these activities
and reporting to the Head of HR or even the CEO/MD.

Self Assessment Questions

1. Companies are designing __________________________ to increase
employee productivity, prevent job burnout and obsolescence, and
improve the quality of employees‟ work lives.
2. To cope in today‟s‟ turbulent times, it has become increasingly important
for both _____________________________ to better redress employee
career needs.
3. The end result for a career-resilient workforce is one that has self reliant
workers who are capable of ____________________.

6.3 Career Planning

A broad view of career is defined as an “individually perceived sequence of
attitudes and behaviour work-related activities and experiences over the
span of a person‟s life.” In normal parlance the term career has both an
internal and an external focus. An internal focus and refers to the way an
individual views his/her career and the external or objective focus and refers
to the actual series of job positions held by the individual. The dynamics of
career development in an organizational context has two dimensions:
 How individuals plan and implement their own career goals (career
planning), and
 How organizations design and implement their career development
programs (career management).
Career planning is a deliberate attempt by an individual to become more
aware of their skills, interests, values, opportunities and constraints. It
requires an individual thinking to identify career-related goals and
establishing plans towards achieving those goals. Often it is a self-driven
process, which every professional (irrespective of the nature of employment)
spends some time to dwell on and discuss it with peers or superiors and
frame it. It is also viewed from time to time that the individual looks for
possible new career options. Having a career plan builds a commitment

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towards achieving it and is viewed as an excellent personal goal-setting

exercise for self motivation.
Career management is considered to be an organizational process that
involves preparing, implementing and monitoring career plans undertaken
by an individual alone or within the organizations career systems.
Organizations establish policies that provide for multiple career path options
that an employee can choose from and pursue. This is supported with a lot
of training and development activities that are agreed to with the manager
and planned carefully and executed.
A variety of career development activities and tools exists for use in
organizations. HR managers should be familiar with these components
because the managers often serve as internal consultants responsible for
designing the career development systems. Some of the activities described
are individual career planning tools and others are commonly used for
organizational career management. In general the most effective career
development programs will use both types of activities.
A variety of career development activates are available for use. Some of the
more popular ones include:
1. Self assessment tools:- these are usually technology enabled on-line (on
the corporate intranet) tools that form part of the performance appraisal
system and allow the individual to identify areas of strengths and
parallelly identify career paths that would leverage these strengths the
best. E.g. Career Planning Workbooks, Career Workshops hosted by
the organizations from time to time.
2. Individual Counselling:- formally the process allows for individuals to
discuss this as part of the performance management process with their
immediate managers and share and take feedback on the
appropriateness of the choices and how to go about pursuing it. Often
managers recommend relevant other managers and leaders who the
employee can link with to seek advice and support. Organizations also
provide for formal „mentoring programs‟ to which an employee can enrol
and sign up a mentor who can then provide the support and counselling
on the best career option and how to go about it achieving it.
3. Information Services: organizations have established policies on what
skills and experiences that each job in the organization requires. Jobs

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with similar skills and experiences are clubbed together to create parallel
career paths. For example in a software development firm the career
path options for the software engineering team can be designed as
follows:
Career Paths in a software company

Career Path Option 1 Career Path Option 2 Career Path Option 3

Product Manager
Product/Project Principle Architect
Manager
Sr. Business
Analyst
Team Manager
Sr. Software
Business Analyst Architect

Team Leader SME (Subject Software Architect

Matter Expert)

Sr. Software Sr. Software

Engineer Engineer

Software Software
Engineer Engineer

Figure 6.1: Career Paths in a software company

These are typically called career ladders or career paths and they help
an employee identify what his options are for future growth and identify
the appropriate one based on his personal skills and capabilities/
limitations. These career paths would be supplemented with additional
information on skills and experience that one must have for each role/job
in the career path. It would also specify the particular qualification or
special certifications that the positions demands. An employee aspiring
to pursue a career option would need to dedicate time and effort and the
expenses towards acquiring the same. Large MNC‟s (multinational
companies) also encourage the reimbursement of these expenses as a
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annual fixed amount on successfully clearing the exam/certification. The

employee however needs to find the time and expend the effort away
from work. The actual move of the employee to the new role would
however depend on the existence of a job vacancy in that role. The
employee can also approach career resource / talent management
centres supported by the HR teams for more information on how to plan
careers and apply for new roles sand jobs. Organizations usually have
formal job posting systems through which the employee receives this
information and applies for the job after discussing with his manager.
4. Initial employment Programs Organizations also run internship and
apprenticeship programs wherein the individuals aspiring to do a
particular job can spend some time as a temporary employee to explore
interest and skill fitment for the job/role. (e. g. Anticipatory socialization
programs, realistic recruitment, and employee orientation program);
5. Organizational Assessment programs : organizations can proactively
establish formal processes wherein an employee can volunteer to
participate and understand himself/herself and his/her strengths.
Through the use of Assessment Centres organizations can help an
employee identify areas for improvement and means of building those
skills. So he can achieve his career plans. Certain organizations offer
Psychological Testing instruments which profile the employee‟s
strengths and roles and responsibilities he / she will best fit into.
6. Developmental programs focus the effort of the employee towards
helping the employee to achieve his career goals. The Assessment
Centres, Job rotation programs, in-house training, tuition refund plans,
and mentoring, all prove effective tools to help the individual along.
No matter what tools are used for career development, it is important that
employees develop and individualised career plan. For example Raychem
requires every person to have a learning or development plan.

Self Assessment Questions

4. Career management is considered to be an organizational process that
involves preparing, implementing and monitoring career plans
undertaken ______________________.

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5. __________________ is a deliberate attempt by an individual to

become more aware of his or her own skills, interests, values
opportunities, constraints and consequences.
6. Understanding __________________ in an organization requires an
examination of two processes; how individuals plan and implement their
own career goals (career planning), and how organizations design and
implement their career development programs (career management).

6.4 Promotions and Internal Job Postings

All organizations big and small have established and documented promotion
policies. Even as an employee is being hired he/she is curious and does
enquire repeatedly about the organizations‟ promotion policies and what
growth opportunities it affords. Within a few months of joining a new
company it is natural for an employee to evaluate options for future growth
in the form of promotion that the organization provides. It is therefore a
critical retention tool to have transparent and fair promotion guidelines that
the employee can refer to evaluate his/her suitability for promotion.
In designing promotion guidelines organizations need to take note of the
following considerations:
 Tenure in the organization
 Time spent in the role/job / level
 Performance ratings
 Recommendation of the immediate and skip-level (manager‟s manager)
managers
 HR records on disciplinary actions/ misconduct of any nature, any
negative comments etc...
Despite the existence of formal policies, promotions or rather the absence of
it, it is often a key source of drop in motivation and results in employee exit.
The communication of the criteria and retaining a transparent process can
help manage perceptions gaps, but never completely eliminate
dissatisfaction.
Internal Job Posting is another effective method that organization uses to
encourage employee growth. This usually goes together with the career
planning initiatives. All or select job openings in the organization are
advertised internally before external applicants are invited. Organizations
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might even open all positions to internal as well as external candidates and
the best candidate is given the job. Today‟s organizations have established
processes of posting jobs using technology effectively to post jobs across
countries and business verticals. In large MNC‟s it is common for
organizations to have job portals that an employee can access to view job
opening globally. Based on his/her career plans an employee can choose
suitable job openings and in-discussion with their managers pursues the
interviewing process. In Wipro for example anyone who‟s been more than
18months in the same role can begin to explore jobs internally applies and
interview for a new role. Such initiatives significantly impact retention levels
in organizations and enhance employee enhancement.

Activity 1
Speak to a friend or a relative working in a large company and find
answers to the following questions:
1. How do promotions happen in the company?
2. What is the importance given to years of experience in the promotion
process? Why?
3. When promotions happen are they openly communicated to all or kept
confidential? Why?
4. What career planning policies does this company have, if at all?

6.5 Succession Planning

Succession planning involves having senior executives periodically review
their top executives and those in the next-lower level to determine several
backups for each senior or key position in the firm. It takes years of
grooming to develop effective senior managers and this is a talent challenge
that all organizations face today. Traditionally succession planning was
restricted to senior-level management positions and this was either an
informal or formal process.
Over the years succession planning has established itself as a key HR
activity in most organizations with formal processes that ensure it is
reviewed regularly and scientifically. In smaller organizations it is yet an
informal succession planning process where the individual manager
identifies and grooms his or her own successor.

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Succession planning involves an examination of strategic (long-range) plans

and HR forecasts for all identified key positions in an organizations. It
includes positions that are critical for the business and for its continuity and
not just the senior level positions. It includes a review of the data on all
potential candidates who might be able to move to these positions either
right-away or in the near future. The objective is to identify employees with
potential and increase managerial depth as well as promoting from within
the company. This is usually an exercise undertaken one a year and usually
runs parallel to the performance appraisal process. This exercise is carried
out by the senior management team of the unit/subsidiary and facilitated by
the HR team. Usually, committees of top managers‟ work together to identify
high potential candidates within their team and then out-line developmental
activities for them. They may also include a formal assessment of the
performance and potential of candidates and written individual development
plans for candidates.
All member‟s voice opinions about the potential candidates that are
proposed and disagreements are openly debated, before the final document
is signed off. The succession planning process includes determining and
clarifying the requirements of the managerial position and development
plans for how these potential candidates can be groomed to occupy these
positions in the eventuality they fall vacant. These development plans then
translate into the individual‟s development plan and HR along with the
immediate manager work with the individual to execute the same.
A succession planning exercise concludes with an organization chart of all
key positions with listing of possible potential candidates and the readiness
rating for each potential candidate. For example a position that can
immediately be filled is rated higher than a position which does not have a
ready-now candidate. Other components include performance appraisal of
these employees, and individual development plans and management
development programs. Additionally, the factors rated as most important in
selecting specific internal/external potential candidates for grooming
includes: past job performance, past positions or prior employment,
perceived credibility, area of expertise and career paths and values and
attitudes.

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Benefits: There are many benefits of having a formal Succession Planning

System:
1. Provides a clear context to strategic business planning as the key
positions for the business‟s success are what are being planned for.
2. Provides a more systematic basis to judge the risk of making particular
succession and developmental moves.
3. Bring focus to systematized succession a plan that scientifically
identifies potential candidates to ensure business continuity.
4. Enables the identification of high potential and future leaders, whereby
the thereafter the manager/HR can engage with them for leadership
development initiatives.
5. Reduces randomness of managerial movements.
6. Helps anticipate problems before they get started – and thereby avoid
dysfunctional situations.
7. Provides scientific approach for arriving at succession decisions as
part of the overall human resource planning exercise – connecting
formats (data, timing) with process (judgement, discussions, analyses)
8. Helps plan for internal promotion opportunity
9. Provides early warning if succession does not exist for a position
allowing for lateral hiring from the market.
Regardless of what type of succession planning program is used (formal or
informal); most successful programs obtain the support of top management.

Self Assessment Questions

7. Succession planning is usually restricted to senior-level management
positions and can be ___________________.
8. Formal succession planning involves an examination of strategic (long-
range) plans and HR forecasts and a review of the data on all
___________________.
9. Succession planning reduces ___________________ of managerial
development movements.

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6.6 Other Career Programs

While the general notion is that most Career development programs are
often instituted to meet the unique needs of particular employees, the
benefits for the organization are immense. This is one reason why
organizations continue to invest time and resources on it despite the fact
that it does not offer immediate measurable benefits. Although many
different groups and issues may be targeted for career development, some
of the more common programs are those that focus on work-family issues,
outplacement, entrenched employees, late-career employee, disadvantages
employees, fast track employees and managers.
 Work-Family Programs focus on supporting employee manages their
personal as well as work related challenges in a balanced manner.
Increasing use of flexible work schedules, work from home options,
opening of more on-site or company-sponsored child-care centers, and
greater use of paid leave for fathers and adoptive parents are some
common practices in this area. There are also more focused programs
that focus on managing gender diversity at the workplace and set goals
for advancing women into senior management positions. And is truly
amazing is the increasing pattern of companies holding managers
accountable for meeting these goals. There are specific workshops and
training programs mandated for managers to help them initiating and
implementing them.
 Relocation Assistance and hiring practices redresses the challenges
associated with employee relocation on account of a career move. The
support provided by firms in assisting spouse of employees with
opportunities within the company, linking them with job placement
consultants as well as sponsoring the cost of re-training or picking up a
new skill. The amount and nature of support could vary from company to
company. Some firms have altered their policy to allow for hiring both
spouses while they may not be allowed to work in the same
department/team.
 Work Life balance Seminars and flexible HR practices wherein
organizations design programs to help employees manage their work-
family conflicts and coping strategies. Especially prevalent in the
ITES/BPO organizations where the work-life balance is a concern. This
practice is now part of most organizations where the increasing work

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pressure is driving companies to help employees cope with personal

pressure. Various stress management workshops and „stretch- exercise
schedules‟ are practiced to help employees cope with stress. Lifestyle
management workshops too are becoming popular in larger
organizations. Organizations are also changing their practices for
recruitment, travel, transfer, promotions, scheduling hours, and benefits
to meet the needs of the larger number of dual career couples.
 Flexible Work schedules are being increasingly instituted at the
workplace. These include flextime, job sharing, part time work, working
from home, compressed workweeks, temporary workweeks etc... Such
programs enable employees to address their work and family concerns
and reduce their potential stress or conflicts between their various life
roles. Telecommuting has become very popular. This provides for
organizational as well as employee related advantages. Some difficulties
with telecommuting are communication problems with other employees,
limited access to necessary supplies and equipment and family
interruption.
 Outplacement Program during retrenchment and downsizing is a
professionally managed process in most organizations. The objective
here is to assist the effected employees in making the transition to new
employment. It could involve re-skilling for new, more relevant skills per
market demand so finding a new job is easier. Companies might tie up
with training institutes and provide the skills training. Else the company
might prefer to reimburse the cost of re-skilling directly to the impacted
employee for a course of his/her choice. Outplacement services would
also involve working with placement agencies and recruitment firms to
provide interviewing opportunities for the employees. Outplacement
programs stress the importance of self confidence and individual career
planning beneficial for middle or late-career employees who are being
laid off.
 Special Programs for Women, Minorities and Employees with
Disabilities: With organizations increasingly tapping into this critical
talent pool, more employees in these special categories are entering the
workforce. This calls for special focus on the importance of assisting
these employees with their career needs.

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Activity 2
Have you ever thought of your career plans? What exactly you want to
achieve in next 5 years? How are you planning to go ahead? Consult
somebody who can guide you to reach your goals.

 Fast Track employees are now being increasingly identified as „stars‟

with high potential for bright future in the organization. The identification
and development of these employees requires organizations to exert
efforts to build and monitor special programs that cater to this special
audience. These employees are identified in a formal process and are
placed on a fast track program. The objective here is to enable them to
move to senior positions quickly. As is with all other such initiatives, this
initiative helps in retaining this critical talent. Among other activities that
target this group they are offered quicker job changes and more
challenging job assignments.

6.7 Summary
Employee growth is a evolving HR activity in today‟s corporate. While
immediate returns are not measurable the payoffs from these investments
have proven long-term benefits. To summarize...
 Career development programs must be integrated with and supported
by the existing HR programs if they are to be successful.
 Career development initiatives need to well communicated and
supported by the business leaders and HR to ensure its benefits both for
the organization as well as the employee.
 Career or job changes by the employee are a match between what an
employee aspires for professionally and a good understanding of
organization‟s job description, job posting systems and selection
policies.
 It is however the responsibility of the HR staff to work with management
to ensure that career programs are integrated with the other HR
functions and are similarly reviewed.
 Career development programs must positively impact organizational and
individual effectiveness over the short and long term

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6.8 Caselet
CWA & AT&T Walking the Talk:
(2800 Century Parkway, Atlanta, Georgia)

The 2800 Century Parkway AT&T building in Atlanta is a hotbed of Alliance

activity. Why? Because The Alliance, CWA Local 3250 and local AT&T
Management have found value in working together. They have banded
together to create opportunities in which employees can gain skills and
increase their employment security while improving the efficiency of AT&T in
providing service to its customers. In just the first 7 months of the 2005
Program Year, 2800 has already exceeded its annual goals.
The picture was not always so rosy at this location. In late 2001 the Alliance
Local Committee (ALC) and Company/Union support for it had virtually
disappeared. Layoffs in both the occupational and management ranks
displaced most key supporters and ALC members. A local CWA election
that fall saw most of the Union Leadership at Local 3250 turn over. Without
strong onsite leadership 2800 did not come close to reaching its annual
goals for the first time that year.
The Alliance Associate Director, Jay Ott, saw an opportunity to create a
better, stronger relationship between The Alliance, CWA and AT&T
Management. He began by working with the new CWA Vice President for
2800, Roy Hegenbart (who is now the Local President for 3250) to identify
the right occupational employee to promote The Alliance on-site - someone
who understood the joint labor/management concept, who knew the people
in the building, and was respected by both Management and CWA. That
person was Chandra Patton, and in May of 2002, Roy convinced the
company to assign Chandra as Alliance site coordinator full-time.
Chandra and Jay took a different approach to creating a new
Labor/Management team for 2800. They spent the rest of 2002 meeting,
communicating, and building relationships with the local AT&T management
and CWA leadership. Their focus was on the Administrative Supervisors, as
they were the ones who could get the support needed for classroom space,
particularly space for an upgraded computer lab, and for company time
when the building was affected by a surplus declaration. A Leadership Team
was formed to support these efforts. It consisted of Chandra Patton (Alliance
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Site Coordinator), James Bates, Debbie Shelton, John Bozart, and Alicia
Brock (AT&T Administrative Supervisors), Roy Hegenbart (Local 3250 V.P.),
and Jay Ott (Alliance Associate Director). In order for Jay to fully participate
in this team, Christine Deas from The Insight Group was brought in to
facilitate the meetings. The goals of the Leadership Team are:
 Develop a stronger, more viable relationship between AT&T
Management, CWA, and The Alliance at 2800 Century Parkway.
 Work with the Alliance Local Committee to develop training opportunities
for the surplused, represented workforce on company-time.
 Identify and offer training that will enhance employee skills and
marketability within as well as outside of AT&T.
 Reestablish a viable after-hours training schedule that employees would
support.
 Encourage more Business Unit Initiatives on company-time.
 Encourage all employees to take advantage of opportunities to grow and
develop their shills, talents and interests.
The everyday work of implementing the program still needed to be
addresses. The Leadership Team appointed ALC members who had the
skills and initiative to make the day-to-day operational decisions (e.g., what
classes, when, where, marketing, registration, follow-up, etc.). By June of
2003, the work of the Leadership Team and the ALC resulted in a huge
increase in Alliance activity. 2800 had surpassed its annual goals in only 9
months! Its success did not go unnoticed. Chandra Patton, Debbie Shelton
and Jay Ott presented the 2800 story to The Alliance Board of Trustees at
their July meeting in New Jersey. This story of cooperation and achievement
was outlined in a unique way. The team developed a series of CD ROM‟s
explain who we were and how we achieved some much success in a short
period of time. It was obviously well received.
However, wait! This is only half the story. What happened next is what
makes 2800 stand out from most other Alliance locations in the country. The
Leadership Team had always kept the people to whom they reported
informed of the success of The Alliance, and the AD made special efforts to
reach out to those upper level managers and union officers in order to find
common interests and goals. The Board of Trustees presentation was used
as a springboard to pitch the District/Division level managers and CWA

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leadership on even more opportunities that potentially could be in the best

interest of the Company, the Union and the represented employees.
Because of those presentations, Sharon Cochrane – District Manager Date
Group, Bernie Ragland – Division Manager and Terry Parr – District
Manager Voice Group have supported many Business Unit Training
Initiatives on company-time. Some of the more notable activities have been
Customer Relations Skill Certification, Voice over Internet Protocol (VoIP),
CCNA Certification, CCP@, and Net+ Certification. These programs, along
with the more traditional Alliance programs, helped the 2800 location
exceed their annual goals for the third time in as many years.
Another indication of the strength of the Alliance commitment there is the
support that AT&T provides to CWA represented employees from other
Avaya and Lucent. The only Alliance lab with the equipment to provide high
level IT training is at 28000. The Alliance committee works closely with
management (including GRE and Security) to make his lab accessible to all
Alliance participants in the area.
The opportunities available at 2800 Century Parkway are a direct result of
Labor and Management seeing value in creating a more skilled workforce
through The Alliance. Together, they really do “walk the talk”.
Source : http://www.employeegrowth.com/success_stories_6-05.htm

6.9 Terminal Questions

1. What is career planning? Whose responsibility is it?
2. What is succession planning?
3. How is career planning different from succession planning?
4. What are some other career planning initiatives that are being practised
in the industry these days?

6.10 Answers

Answers to Self Assessment Questions

1. Employee growth programs,
2. Organizations and employees,
3. Reinventing themselves to keep up with the fast pace of organizational
changes.
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4. By an individual alone or within the organizations career systems,

5. Career panning,
6. Career development
7. Informal or formal,
8. Potential candidates,
9. Randomness.

Answers to Terminal Questions:

1. Refer to 6.3
2. Refer to 6.4
3. Refer to 6.3 and 6.4
4. Refer to 6.6

Reference:
1. Human Resources Management and Personnel Management by
K Aswathappa

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