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HR IR Summit 2010, IMI

Key areas for HR & IR professionals TEAM NONPAREILS 11/26/2010

to focus on to make the most of the

opportunities in
the improving economic conditions.

FORE School of Management, New Delhi

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TEAM NONPAREILS 11/26/2010

Optimism is there but a very cautious one. Uncertainties make

decisions difficult and recovery slower.
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TEAM NONPAREILS 11/26/2010

Business environment
US
Growth Rate 2.6%

Germany
Growth Rate 3.9% (Q3 2009 – Q3 2010)

France
Growth Rate 1.9%

India
Growth Rate 8.5%

China
Growth Rate 10.1%

Source Finfacts.ie , Tradingeconomics.com

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Opportunities
Companies are wiped out.

Market Share of these companies is an opportunity for

survivors to expand.

Recession makes companies weak.

Mergers & Acquisitions

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Opportunities contd…

CHINA & INDIA : High Growth

Flow of Funds : West to East

America Begins to Recover

Companies spend more in IT& ITES Sectors

Double Digit Growth in IT & ITES

Source: Thomas Reuters and Freeman

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TEAM NONPAREILS 11/26/2010

ECHR Barometer 2009-2011

• Major Trends
• Organizational Change in HR Dept.
• Opportunistic Talent Hunt
• HR Metrics
• Workforce reduction anticipated 72%
• Reduction in HR Budget 47%
• Unsatisfactory HR performance 76%
• Cautious optimism
• IT & ITES sector gear up for Expansion
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TEAM NONPAREILS 11/26/2010

The State Of HR Survey 2010

• The top challenges as perceived by HR Directors
▫ Employee Engagement (68%)
▫ Succession Planning (53%)
▫ Human Capital Growth for expansion (45%)
• Other concerns:
▫ Talent Management
▫ Remuneration and Compensation Management
▫ Shortage of Talent
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The five most important areas of concern for organisation’s

survival.
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TEAM NONPAREILS 11/26/2010

The Key Five

Business and
Employee Succession
Human Capital
Engagement Planning
Growth

Top Performer HR Practices’

Flight Control Metrics
The Perfect Five
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TEAM NONPAREILS 11/26/2010

Employee Engagement

• Reduced Engagement
• Employee Insecurities
• Paranoia
• Guilt Factor
• Winning Faith Back
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TEAM NONPAREILS 11/26/2010

Succession Planning
• Why Succession Planning?
▫ Positions with High
Selection Cost
▫ Talent Shortage
▫ Loss of Productivity
• Benefits
▫ Employee Growth
Prospects
▫ High Retention
▫ Job satisfaction
▫ Better Evaluation
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Succession Management with

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Business and Human Capital Growth

• Service Based
Differentiation
• IT/ITES Sector
• Contractual Hiring
• Challenges
▫ Skill Shortage
▫ Training
▫ Technological
Obsolescence
• Solution
▫ Plan early
▫ Execute well
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Top Performer Flight Control

• Compensation and
Remuneration not
enough
• Employee Engagement
• Work Culture
• Reducing Skill Leverage
▫ Talent Mobility
▫ Succession Planning
▫ Knowledge Management
• Organisational Equity
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HR Practices’ Metrics
• “Poor” measurement
• Benefits
▫ Effective Management
▫ Feedback and Control
▫ Proving the Worth
• Linking HR
performance with
Benefits and Cost
saving
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The five additional recommendations by our team to companies

who want to make their HR practices a competitive advantage.
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The Perfect Five

Change From Training Knowledge

Management to Learning Management

Mergers and Learning from

Acquisitions Recession

Conclusion
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Change Management

• Inducing Willingness
and Acceptability
• Communicating
• Internal Marketing:
Selling Change
• Feedback and Control
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From Training to Learning

• Differentiating Training
and Learning
• On job training
• Making Employee
Responsible for his
Employability
• Provide Opportunity and
Mentoring
• Cut Costs
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Knowledge Management
• Capturing Knowledge
▫ The Human Component
▫ The Technological
Component
• Lowering Skill Leverage
• Enhancing Equity
• Cheaper Training
• Lowering Effect of
Organizational Hierarchy
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Mergers and Acquisitions

• Redundancy
• Compensation equity
• Hierarchy Equity
• Change Management
• Diversity Management
• Work Cultures
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Learning From Recession

• Last but not the Least
• “Lay Off” Costs
• Staying Lean
• Employee Engagement
and Retention
• Stick To Basics
• Valuing Employee
Relations
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Conclusion

“American management treats workers as just a

tool to make money. You know, when the
economy is booming, they hire more workers,
and [when] the recession comes, they lay off the
workers. But, you know, recession is not caused
by the workers.”
- Akio Morita, Ex-Chairman and Co- Founder,
Sony
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Shirshendu Pandey Sunny Behl
FMG 19 FMG 19
Fore School of Management Fore School of Management

Questions & Answers

Thank You TEAM NONPAREILS 11/26/2010