You are on page 1of 42

Contemporary issues in HRM

Cotemporary Issues in HRM


Outsourcing HR

activities
BPO and call centre's
Changing workforce demographics

HR professional as Change agent Make HR activities ethical

HR manager as strategist

Balancing work life


New organizational forms

globalization HRM in high

Managing
diversity Economic busts
and HR

performance organizations Changed employee expectations

Attitude towards unions


Organizational culture

Outsourcing HR activities
HR outsourcing is the delegation of a human resources process or
processes to an external HR provider that specializes in this service. This provider takes charge of managing and administering the outsourced services for its client The trends towards outsourcing has been caused by several

Strategic and operational motives.

Which functions/sub-systems to outsource


Recruitment preliminary screening and short listing Training Trg. Needs identification, content development, delivery, logistics, third party evaluation Performance management - on line automation Compensation pay roll and compensation surveys Safety inspections welfare transport, security, catering Labor contract contract employees doing the job which was earlier done by regular employees Which function not to outsource
Decision making in each of the sub functions Leading change and transforming the organization

What happens to people? When to communicate?

Managing people issues

Who to communicate with? Those whose jobs are outsourced and those whose jobs are not outsourced What about HR staff? Who will survive who has to leave? How will the HR department look like, post outsourcing?

What is BPO? Business process outsourcing (BPO) is the contracting of a specific business task, such as human resources and customer service, to a thirdparty service provider. This allows companies to focus on their core business processes. BPO is implemented as a cost-saving measure for tasks that a company requires.

BPO Categories
It is often divided into two categories: - Back Office Outsourcing which includes internal business functions such as billing or purchasing.

- Front Office Outsourcing which includes customer-related services such as marketing or tech support.

BPO to India
Indian revenues from BPO are estimated to have grown 107% to $ 583 million. Leading Competitors: - Philippines, Mexico, Canada, China and Ireland. 67-72% of costs to call centers operating in the US/UK is directly linked to man power costs. India only spends 33-40% of costs on man power. This includes training, benefits and other incentives for labor.

CALL CENTER
Call center is a centralized office used for the
purpose of receiving and transmitting a large volume of requests by telephone. A call center is operated by a company to administer incoming product support of information inquiries from consumers.

Call center challenges

The boy or the girl has no identity of his or her own,


particularly when the individual is working in a firm serving

foreign clients

Stress levels of call center employee are high.

Besides being stressful, the job of a call center employee is exposed to health hazards

Managing Diversity Its understand the kind of mental set up each individual should have and how individual can build that mental set up to fight

with diversities.
diversity burgeoning because of .. The number of young workers in the workforce is increasing

More woman are joining the workforce


The proportion of ethnic minorities in the total work force is increasing Workforce mobility is increasing International careers and expatriates are becoming common

How to manage Diversity effectively


Organize Diversity training programmes
Accommodate female employee needs, such as
childcare and job sharing, to prevent their turnover

Apprenticeship programmes
Institute Diversity audit Proper communication Gender bias needs to be given up

Work-Life Balance

When Work-Life an individuals right to a fulfilled Self-Life life inside and Familyoutside paid work is accepted and respected as the norm, to the mutual benefit of the individual, business, and society.
Life

Work Life balancing programmers


Childcare at or near the workplace Job sharing Care for sick children and employees On side summer camp Training supervisor to respond to work and family needs of employees Flexible work scheduling Variety of errands from dry cleaning, dropping children at school and etc.

Benefits of work life balance Initiatives for Employers


Reduce absenteeism and lateness Fulfillment of equal opportunities objectives Reduce stress and improved productivity A more flexible workforce Increased ability to attract and recruit staff Potential for improved occupational health and safety

Women Employee in IT Firms


COMPANY EMPLOYEE PROPORTION OF WOMAN (% )

Wipro
TCS Infosys HCL Technologies

43,880
43,681 31,000 20,249

24
21

22 22

Satyam
Accenture Patni Polaris I-flex

20,000
11,000 10,299 5,980 4,688

20
25 21 19 20

Attitude towards union


Unions are inevitable part of organization. Whether it is an old economy firm or one belonging to new economy, unionization cannot be prevented.

OTHER TYPES OF ISSUES IN HRM


Job stress
Employee burnout Safety

18

STRESS AND BURNOUT IN JOBS

STRESS is always termed as 21st century syndrome .

STRESS
A Condition where a work is causing physical or mental problems for an employee.
-Oxford Dictionary of HRM

WORKING UNDER A HIGH PRESSURE DEADLINE CAUSES STRESS.

SYMPTOMS OF STRESS
Headache Rapid Heart Rate Poor Concentration Fear, Panic Anxiety High Blood Pressure Irritation, Anger Increased Sweating

The Inverted U-Relationship


HIGH OPTIMUM STRESS

PERFORMANCE
Area Of Best Performance

LOW

LOW PRESSURE BOREDOM

HIGH STRESS ANXIETY

LOW

PRESSURE

HIGH

IMPACT OF STRESS
Job Burnout Low Performance Poor Decision Making Workplace Accidents Higher Absenteeism Illness and Premature Death Low Turnover in Company

COST OF CORPORATE STRESS


Loss of 80 Million working days-CBI Report 28%problems in an employee family life is due to stress. On an average companies spend a quarter of their after tax profits on medical bills. 60% companies ensure that jobs are according to the personality.

Measures for removing stress


Working from Home

Spending a few moment

in Silence

Yoga & Meditation


Try to laugh whenever you can, reading humorous articles etc.. Visual Imagery

Stress can be minimized if Companies take steps. So, it is better that Companies take steps to eliminate stress or they will end up paying a price

Burnout is a psychological term for the experience of long-term exhaustion and diminished interest "a general wearing out from the

pressures of work"

SIGNS OF BURNOUT
Anger Negativity & Irritability Headaches Migraines Weight loss or gain Depression Inability to focus Extreme tiredness & fatigue

Burnout is a term which is frequently used to describe the emotional and physical exhaustion experienced by people as a direct result of excessive study or work related stress. Burnout can cause significant physical, emotional, psychological, and spiritual damage to people.

Example

Stress Emotions are overreactive Produces urgency and hyperactivity Loss of energy

Burnout Emotions are blunted Produces helplessness and hopelessness Loss of motivation, ideals, and hope

Leads to anxiety disorders

Leads to detachment and depression


Primary damage is emotional May make life seem not worth living

Primary damage is physical May kill you prematurely

Work-related causes of burnout

Lifestyle causes of burnout


Personality traits can contribute to burnout

Work-related causes of burnout


Feeling like you have little or no control over your work Lack of recognition or rewards for good work Unclear or overly demanding job expectations Doing work thats monotonous or unchallenging

Working in a unorganised or high-pressure environment

Lifestyle causes of burnout


Working too much, without enough time for relaxing and socializing
Being expected to be too many things to too many people Taking on too many responsibilities, without enough help from others Not getting enough sleep Lack of close, supportive relationships

Personality traits can contribute to burnout


Perfectionist tendencies; nothing is ever good enough
Pessimistic view of yourself and the world The need to be in control; reluctance(unwillingness) to delegate to others

High-achieving, Type A personality

Dealing with Burnout: The "Three R" Approach

SAFETY
MEANING Safety is the state of being safe Being protected from an event that causes health or economical losses

It can include protection of people or of possessions.


39

SAFETY (CONTD.)
HOW TO IMPROVE SAFETY Safety climate Work design Technology

40

HR RESPONSES
Compensation Employee involvement and job enrichment Diversity training Safety management Health promotion

41

BY : Reema Wanwani Munal Maheshwari Ekta Suri

42