Dr Jacob Mankidy Executive Director. Pune, India. Mankidy Associates Center for HR Solutions
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1 Dr Jacob Mankidy Executive Director Mankidy Associates, Center for HR Solutions Pune, India
2 Presentation What is Human Capital Management Changing Business Environment Strategic HR The Road Ahead
3 Human Capital Management Human Capital Management refers to management of the workforces skills, knowledge, experience and attitudes so that they can add value to the organization. Essentially it deals with how organizations manage their Human Potentials
4 HRM is a strategic approach to marshalling, managing and maintaining the Human Capital required to enhance organizational performance while nurturing the desired attitudes and motivational level
5 Significance of Human Capital/Resource Management Add Value to Organizational Capital Enhance GDP The Macro level Effect Enhance QWL Ethical Dimension : Reduction in Frustration Family/Social Life
6 HRM the Usual Approach Extension of the Past
7 The Changing Environment and The Challenges
8 Future Shock Alvin Toffler 1970
9 Change Management The illiterates of the 21 st century will not be those who cannot read and write, but those who cannot learn, unlearn and relearn Alvin Toffler
10 Future Shock A new civilization is emerging in our lives; and blind men are trying to suppress it. This new civilization brings with it new family systems, changed ways of living, working and loving; a new economy, new political conflicts; pieces of this exist today. Millions are already attuned to its rhythms of tomorrow. Others, terrified of the future are engaged in a desperate, futile flight into the past and trying to restore the dying world Alvin Toffler, The Third Wave, 1982
11 Rapidly Changing Global Scenario Shortening life-cycle of products and services If you understand the technology too well, probably it is getting obsolete. Rapid changes in the business environment. It is not the big always eats the small; it is the fast that eats the slow Shift from supplier-driven to customer- driven Emergence of Knowledge based economy
12 Major Drivers of Change Competition Changing Work Patterns Technology Changing Customers Changes in the Employees
13 Imperatives of Change: Competitive Pressures More Competitors are emerging in many industries. Customers have more choice. Increased competition has brought over supply and lower margins. Corporations with radically reinvented processes give more customer satisfaction.
14 The New World of Work
15 Impact of Technology TV - Videotape DVD ipod itouch Amezonkindle ipad Internet- Pendrive- Cloud Computing (Skydrive) Redefine the 3 Cs of strategy Company, Customer and Competitor Eg. Competitor of Kodak is no longer Fuji or Agfa it could be cell phone business, Nokia or Motorola. Or it could be HP which is into ink jet printers. Recently Kodak, more than a hundred years old, was closed down Companies are now getting into what is called Corporate self denial process
16 Changing Customer Expectations Informed Customers Increasing Customer Demands Organizational Focus on Customer Satisfaction Customer Retention - Delight - Surprise
17 Emerging Changes in the Employee System The New Value Employee
18 The Most Significant aspect of the new era of Change The Rising Power of the Individual Thomas Friedman, The World is Flat, A Brief History of the Globalized World in the 21 st Century, Penguin 2005 John Naishibit, Megatrends 2000,
19 Industrial Society Forced Technology Trends of Change Information Society High-Tech/High-Touch National Economy Short Term Centralization Institutional Help Rep. Democracy Hierarchies World Economy Long Term Decentralization Self-Help Participative Democracy Networking
20 Built to Last is not enough- you must Built to Change Gary Hamel
21 Five F s of The New Work Environment Fast Flexible Focused Friendly Fun
22 THOSE WHO CANNOT REMEMBER THE PAST ARE CONDEMNED TO REPEAT IT George Santhayana JUDGEMENT COMES FROM EXPERIENCE ; EXPERIENCE COMES FROM BAD JUDGEMENT
23 Dynamics of Satisfactory Underperformance Successful Business Strategy Competitiveness growth and profits Managers begin to believe they are the best Builds layers of staff to cope with growth Gradual decline into satisfactory under-performance and to crisis Initiatives and innovation stifled External Arrogance and internal focus on control
24 Downward Spiral of Rationalization Poor Performance Underlying problems not solved Performance declines again Cut Again Cut resources : sell businesses close factories, sack people Temporary Improvement in results Source : Ghoshal, Piramel and Barlett, 2000.
25 To Respond to the Changes and Enhance Effectiveness Organizations Need to Adopt Strategic Management
26 Strategic Management Strategic Management is strategically positioning the organization within its environment If you don't have a strategy, you're part of someone else's strategy. Toffler
27 Successful Organizations are Those Which Recognize HRM as A Key Corporate Strategic Issue Rather Than Simply An Outcome Of Corporate Strategic Decisions OECD Study
28 Human Resource Management The Premise All Managers are HR Managers Employees are viewed as Assets Integration of organization s Goals with employees Aspirations How the company manages its workforce will determine its sustained competitive success
29 Strategic Human Resource Management Strategic HRM is the linking of HR functions to the strategic goals and objectives of the organization in order to improve business performance
30 Strategic Importance of HRM Can establish an organization s sustainable competitive advantage Requires fundamental change in how managers think about employees
31 Internal External Customer Satisfaction Model Strategic Management Environmental Pressures for Quality and Excellence HR Systems & Processes Strategic HRM Mindset of the Internal Customer Internal Customer Satisfaction External Customer Satisfaction Organizational Excellence
32 HRM has two dimensions : Systems Dimensions and Process Dimensions Systems Dimensions : deal with recruitment, training, appraisal, promotion, career planning etc., Process Dimensions : deal with inter-personal interactions.
33 Creating Vision and HR Philosophy for Employees
34 How Some Corporates Do It
35 IBM HR Philosophy Respect human dignity and have faith in every employee as a resource and potential are the guiding principle while achieving our organizational objectives
36 Approaches to HRM Infosys HR Philosophy of Infosys: Better Employer for Better Performers HR Objectives: Recruit the best talent and create a professionally competent, socially conscious, happy and prosperous team Infosys aims to have : Diverse, Inclusive, Positive Work Environment
37 HRM at TATA HR Philosophy : Attract good people, retain better people and advance the best people HR is accepted as one of the key areas of management at Tatas
38 To Evolve Value Added Human Capital Five Suggested Actions Innovation Imperative Have Courage of Conviction Move from Reactive Proactive Approach Adopt Creative Destruction Build Psychological Contract with Employees
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