A report On Human resource practices in reliance communications
BY ASHINI MODY ENROLLMENT NO:(08BS0001751)
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A report On Human resource practices in reliance communications
COMPANY GUIDE: NAME: MS. POOJA DESAI (DEPUTY MANAGER, RELIANCE COMMUNICATIONS)
FACULTY GUIDE: NAME: MR. PRADOSH MISHRA (HUMAN RESOURCE MANAGEMENT FACULTY) ICFAI BUSINESS SCHOOL, AHMEDABAD
ASHINI MODY ICFAI BUSINESS SCHOOL, PUNE ENROLLMENT NO.: 08BS0001751 Email ID:
[email protected] CONTACT NO. 9925722427.
The report is submitted as partial fulfillment of the requirement of MBA Program of IBS
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ACKNOWLEDGMENT At the outset I express my gratitude to ICFAI Business School for permitting me to undergo my summer internship project work at Reliance Communications Pvt. Ltd. I am grateful to my Company Guide, Ms. Pooja Desai, Deputy Manager, Reliance Communications who has motivated, coordinating and helping me in all ways and also in enabling me to present an effective and efficient documentation of my project. throughout my project. I am thankful to my College Guide, Mr. Pradosh Mishra, Faculty, IBS – Ahmedabad, who has been guiding me carrying out the project successfully. I express my sincere thanks to Mr. Sharad Bhatt HR Head, Reliance Communications, who has instilled in me the confidence to carry out the project. I do thank my family, friends and well-wishers who have been rendering their kind support in achieving this endeavor.
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ABSTRACT
The project is being conducted on Human Resource practices in Reliance Communications, Ahmedabad. This will cover the total HR system i.e. from Manpower Planning to Separation and its process system. The project will provide the information like company‟s vision, mission, code of conduct/ethics keeping in mind the existence of people respect approach and each individual‟s responsibility. The objective of the study as above is mainly to ensure the activities are well controlled and activate by company‟s HR Committee for effective return of HR values. In detail the project will address HR Planning, Recruitment followed by well organized Interview and Selection process and subsequently evaluated in a right manner. Now, the project will start with actual human resource management activities which will be logically divided into sections like Induction, Compensation, Performance Management System, Training and Development, Engagement System and finally systematically Employee Separation. The project will address about standard module for Induction program whose objective is to ensure all new recruitees are provided with key information at the beginning about operations system and requirement of laws. It will also describe mapping of competencies which are key process of identifying competencies need of the organization E.g. proper job evaluation, training etc. This will help in arriving at right designation and compensation. It will be carried out with a framing of Cost to Company and Salary Bands. Besides Performance Management System in which after proper training on its performance system i.e. Balance Scorecard which works as a tool that translates an organization's mission and strategy into a comprehensive set of performance measures that provide the framework for a strategic measurement and management system. Under Performance Management System, Balance Scorecard Method and other performance measuring tools to be studied. The employees Key Result Areas are another major factor will be studied keeping in mind its effectiveness on total development of the organization. The company‟s Training and Development system and its analysis process for a proper feedback and improvement steps will be studied in detail. The study will cover motivational steps being taken by the management through reward and recognition for overall encouragement to performance output. Under welfare measures the study will cover the Grievance Handling system and employee facilities will be taken into study. Lastly, the report will be ending by studying the policies and process carries out when employees leaving or getting separate from the organization.
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TABLE OF CONTENTS Abstract ………………………………………………………………………………………………..4 Introduction to Reliance Communications Vision…………………………………………………………………………………………….7 Mission………………………………...........................................................................................7 HR Vision……………………………..........................................................................................7 Corporate Philosophy……………….............................................................................................7 Physical Identity………………………………………………………………………………….7 Structure………………………………………………………………………………………….8 Organization Culture…………………...........................................................................................9 Organization Set Up………………………………………………………………………………9 Organization Chart…………………………………………………………………………...10-11 HR Practices Recruitment/Manpower Planning……………………………………………………………13-14 Sources of Recruitment ……………………………………………………………..15-16 Emergency Recruitment Assignment……………………………………………………17 Process of Selection……………………………………………………………………...17 Interview……………………………………………………………………………..18-19 Joining phase…………………………………………………………………………….20 Induction/ Orientation………………………………………………………………………..21-22 Compensation management Job Evaluation……………………………………………………………………………23 Designation Roll Out…………………………………………………………………….23 Methodology……………………………………………………………………………..23 Cost to Company……………………………………………………………………..24-25 Performance Management System Introduction…………………………………...................................................................27 Balance Scorecard……………………………………………………………………28-29 Performance Excellence System……………………………………………………..30-32 Training and Development…………………………………………………………………...33-34 Engagement System………………………………………………………………………….35-36 Grievance Handling………………………………………………………………….37-38 Seperation…………………………………………………………………………………….39-40 Observations and Recommendations……………………………………………………………...41-42 Annexure………………………………………………………………………………………………..43 References………………………………………………………………………………………………44
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INTRODUCTION TO RELIANCE COMMUNICATIONS Reliance – Anil Dhirubhai Ambani Group; an offshoot of the Reliance Group founded by Shri Dhirubhai H. Ambani (1932-2002) ranks among India‟s top 3 private sector business houses in terms of net worth. The group has business interest that range from telecommunications ( Reliance Communications Limited) to financial services (Reliance Capital Limited) and the generation and distribution of power Reliance Infrastructure (formerly Reliance Energy Limited). Reliance - Anil Dhirubhai Ambani Group flagship company, Reliance Communications is India‟s largest private sector information and Communications Company with over 57 subscribers. It has established a panIndia, high capacity, integrated (Wireless and Wireline), convergent (voice, data and video), digital network, to offer services spanning the entire communications value chain. Other major group companies- Reliance Capital, Reliance Infrastructure (formerly Reliance Energy) are widely acknowledged as the market leaders in their respective areas of operations.
Reliance Communications offers a complete range of telecom services, covering mobile and fixed line telephony including broadband, national and international long distance services, data services and a wide range of value added services and applications that will enhance productivity of enterprises and individuals. Reliance India Mobile, the first of Reliance Communications initiatives was launched on December 28, 2002, the 70th birthday of the Reliance group founder, Shri Dhirubhai H Ambani. This marks the beginning of Reliance‟s dream of ushering in a digital revolution in India by becoming a major catalyst in improving quality of life. It aims to achieve this by putting the power of information and communications in the hands of the people of India at affordable costs. Reliance Communications will extend its efforts beyond the traditional value chain to develop and deploy telecom solutions for India‟s farmers, business, hospitals, government and public sector organization.
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VISION Company‟s vision is to leverage their strengths to execute complex global- scale projects to facilitate leading – edge information and communications services affordable to all individual consumers and business in India. They offer unparalleled value to create customer delight and enhance business productivity. The company will also generate value for our capabilities beyond Indian borders and enable millions of India‟s knowledge workers to deliver their services globally. MISSION The company want to create an integrated infrastructure with state of the art digital technology to provide innovative, cost effective and world- class convergent services to our customers. They are India‟s defining service provider and the most preferred one. They are the dominant player in the telecom industry and among the Top Telco‟s in the world.
HR VISION Facilitate, coach and enable best-in class and leading edge HR practices across the extended enterprise of Reliance Communications and thereby nurture a customer centric, positive-energy organization which will maximize stakeholder satisfaction. CORPORATE PHILOSOPHY- “ THINK BIGGER THINK BETTER” It is the driving force and a way of life across Reliance Anil Dhirubhai Ambani Group. Its not just about the scale. It is about stretching the boundaries of thought and action in every field. To them this motto is a call to be dissatisfied with the mediocre and to better the best. From merely following global benchmarks, it shifts focus to create world standards. Reliance Communications had introduced a new image that each one of us must strive to communicate to the entire world. They had introduced „Brand Cube‟- A tool that enables all of their work towards a common goal of communicating the momentum, scale, optimism and human face of their brand. PHYSICAL IDENTITY LOGO- Logo of Reliance in 3D type face. It reflects commitment and passion to shape a better future. LEGEND- Legend „ Anil Dhirubhai Ambani Group‟ echoes promise to uphold the trust people place in them. APEX- Symbol, the Apex is an abiding reflection of their hope and desire to reach higher.
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RELIANCE COMMUNICATIONS
WIRELESS (MOBILE)
ENTERPRISE (BROADBAND)
SHARED SERVICES (COMBINED)
WIRELESS
SALES
RETAIL
BUSINESS COMMERC IAL
PCO
MARKETIN G
CWG
CSD
HR
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ORGANIZATION CULTURE Basically, organizational culture is the personality of the organization. In Reliance Communications, Culture is comprised of the values, norms, organization members and their behaviors.
Corporate culture can be looked at as a system. Inputs include feedback from, e.g., society, professions, laws, Enable Learning, flexible/ Entrepreneurial, Empowerment, Rewards for Results etc. The robust process is based on values and norms, e.g., values on money, time, facilities, space and people. Outputs or effects of our culture are, e.g., organizational behaviors, technologies, strategies, image, products, world class services, customer focused, etc. ORGANIZATIONAL SET UP Organizational set up represents the formal structure of a firm in terms of authority and relations. As in RCOMM as follows: DHIRUBHAI AMBANI KNOWLEDGE CITY HEAD OFFICE HUB CIRCLE CLUSTER
DHIRUBHAI AMBANI KNOWLEDGE CITY HEAD OFFICE GUJARAT, MUMBAI, MAHARASHTRA AND GOA GUJARAT AHMEDABAD, SURAT, VADODARA, MEHSANA, RAJKOT
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ORGANIZATION CHART In Reliance Communications, the formal structure of an organization can be represented in an organization chart below. It graphically shows the hierarchical authority, rules and responsibilities, functions and relations within an organization. It is the most challenging and important role because it influence and interconnects the business and corporate strategy, marketing and decision making, communication, finance, investing and leadership within any organization. The current structure of RCOMM is as follows:
HUB HEAD (GUJARAT, MUMBAI, MAHARASHTRA AND GOA)
SALES HEAD
CEO 1
CEO 2
CEO 3
CIRCLE HEAD
CIRCLE HEAD
MUMBAI
GUJARAT
CIRCLE HEAD MAHARASHTRA AND GOA
RETAIL HEAD
BC HEAD
PCO HEAD
MKTG HEAD
CWG HEAD
CSD HEAD
HR HEAD
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Here are the structures of the organization of Gujarat to get an idea about the overall structure of different regions. GUJARAT SALES HEAD
DISTRIBUTIO N HEAD
O/B HEAD
WIN HEAD
FWP HEAD
RDEL HEAD
CLUSTER HEAD
CLUSTER HEAD
DISTRIBUT ION LEAD
SALES LEAD
RETAIL LEAD
BC LEAD
PCO LEAD
MKTG LEAD
CWG LEAD
CSD LEAD
HR LEAD
LETS TAKE AN EXAMPLE HOW THIS STRUCTURE WORKS: CLUSTER PCO LEAD CLUSTER- HEAD DUAL REPORTING CIRCLE- PCO HEAD CLUSTER MARKETING
CLUSTER- HEAD DUAL REPORTING CIRCLE MARKETING HEAD
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HR PRACTICES RECRUITMENT
MANPOWER PLANNING
EVALUATION
IDENTIFYING THE REQUIREMENTS
RECRUITMENT INDUCTION
SELECTION PROCESS
SETTING THE BUDGET
SOURCES OF RECRUITMENT
It has covered into 3 phases i.e. Pre-Joining, Joining and Post-Joining
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MANPOWER PLANNING
In Reliance Communications, Functional Heads and Chief Executive Officer discuss together and make a whole framework for the coming year. The process of Manpower Planning starts with understanding the organization objectives and translating them into requirements of employee over a period of time by setting budget keeping in mind the present/ future needs and past records and experience of the whole year. Assessing the size, productivity whether need to increase or cut off, analysis is being made with the help of KRA (Key Result Areas). The decision is taken by References, Meetings, Get-to-gather; corporate meetings to ensure that right resources are available for its unhindered growth and development. Like during launching of CDMA, the company gets an idea from his experience which helped them to improve and to increase its productivity during launching of GSM. ISSUES MANAGEMENT PORTAL: Employee HR Issue Portal is available at http://10.176.18.20/GUJHR . Employee Issue tracker is a web based application that enables an employee to share any of his/ her issues related to HR function. It will also enables the HR function to maintain a complete database of all HR related Issues of any employee proposed system. An employee across Gujarat – Personal Business can post their issues related to HR on this system related to Salary, Leave/ Attendance, Infrastructure and others. All the daily activities are carried out through system i.e. portal.
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PRE-JOINING PHASE
RECRUITMENT
In Reliance Communications, E-Recruitment is carried out. Mostly all work of Recruitment is carried out on Portal base which somehow saves time and cost. BUDGET POLICY They fixed a budget for Recruitment at the starting of each year including Interview Cost, Salary, Consultation fees, time taken etc. They also keep alternatives while setting budget whether any references to be taken/ In House Talent is done which will reduce cost. If any video conference been taken then it will charge higher cost. GENERIC PROCESS/ RECRUITMENT PERIOD It is an on-going process. It is bifurcated quarterly. The most important position in the company is recruited in the 1st Quarter followed by the least important position Quarter wise. If any important position leave the organization or recruitment is made for critical position then it should be taken immediately before any other positions. RECRUITING YIELD PYRAMID Offer 1:2 10 Offer is made Interview Offer 3:2 20 Candidates Interview Invites To Interview 4:3 30 Candidates Invited 40 Leads 5:1 200 Candidates Contact
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SOURCES OF RECRUITMENT
INTERNAL In House Talent
EXTERNAL Job Portal
(Available position is posted on company Intranet.)
(ID is created on RCOM through which the employees or HR can open the portal.) (Submit the key requirements like Job Descriptions and Job Specifications in the Resumes and search for the suitable candidates.)
Employee Referrals Consultants (Employees are encouraged to refer a candidate with whom they have worked or have informal contact.) (For employing close relatives of Senior Executives at the department head, prior consent to Director is taken.)
(Consultants to be contacted and informed about the requirements and Job Description and Job Specifications to be submitted)
Head Hunting (Mapping of whole Telecom Industry is done.) (Consultants get details and approach the suitable candidates or management directly approach to them.)
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SOURCES OF RECRUITMENT INTERNAL SOURCING Suitable candidates are searched within the organization (In House Talent) which could be relocated/ redeployed. Available position is posted on company Intranet. Considers their abilities, potential and aspirations. This process is co-ordinated by Corporate HR.
EMPLOYEE REFERRALS Employees are encouraged to refer a candidate with whom they have worked or have informal contact. Employees can check on Intranet and select appropriate vacancy within the organization. Submit Resume of prospective candidates. While going for informal contact of any employee‟s friends/ relatives, the care is taken that they should not be in a same floor or in a same department. For employing close relatives of Senior Executives at the department head, prior consent to Director is taken.
EXTERNAL SOURCES
JOB PORTALS ( Naukri.com and Monster.com) ID is created on RCOM through which the employees or HR can open the portal. Submit the key requirements like Job Descriptions and Job Specifications in the Resumes and search for the suitable candidates. CONSULTANTS If it was unable to find through Job Portals, consultants will be contacted and informed about the requirements and Job Descriptions and Job Specifications will be submitted. After consultants submit the candidates information to the company, HR will contact the candidate followed by Preliminary Interview and go through the various process of Interview. HEAD HUNTING Mapping of whole Telecom Industry is done. Know the employer position and get details about it. Sometimes they might give it to the consultants to get details and approach or sometime direct approach is made by the company.
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EMERGENCY RECRUITMENT ASSIGNMENTS In case of Emergency, it range Manpower Planning hire more employers as per its requirements. Work is given to more number of consultants and also search is made more on CVs on net. Advertisement is given on newspapers. But it does not affect the Budget, as Budget remains the same as everything has been set in the starting of the month. PROCESS OF SELECTION Resume/ CVs Review Screening of Applicants Conducting test & Evaluation (Campus Recruitment for Management student i.e. Aptitude test and Engineering Student GET are designed to evaluate different aspects which is followed by Personal Interview)
Preliminary Interview/ Telephonic Interview (It is conducted by HR gather the more obvious facts and information which enable to evaluate the interviewee on the basis of appearance and quality of communication.)
Core and Departmental Interview (It is more functional Interview in which supervisor will take the interview which will be followed by Departmental Head also.)
Interview by DAKC for WIN Project Salary Negotiations (Submitting salary slips of the previous company and academic certificates and going through all the documents, the company will give rise upto 25% from the previous salary.)
Reference Check Medical Check Up
Job Offer
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INTERVIEW POLICY Resumes are screened based on identified skill requirements and Job Description for its position. Candidates are assessed on behavioral and personality characteristics, functional and managerial competencies and other factors like education, experience etc. Interview Panel rates the candidate according to its performance and takes the selection decision. PROCESS OF INTERVIEW (1) Preliminary Interview by HR HR Resume Analyze acc. to If found suitable Shortlist company requirements (JD‟s, Company Policies)
Preliminary Interview Telephonic Interview
(2) Interview by Functional Head Suitable candidates being called. Interview taken by Supervisor (It is more functional Interview in which supervisor will take the interview).
If Positive If Negative HR will ask about joining dates, HR will try to close interview properly. Salary expected etc.
(3) HR and Supervisor will have to approach to Department Head and once they are shortlisted which are being interviewed by Functional Head. Basically it takes 4 rounds of Interview when it is arranged for any Lead level followed by Preliminary Interview carried out by HR, Functional Head, and Departmental Head and also by CEO (Chief Executive Officer). But when any recruitment is carried out for WIN project i.e. Rural Project, then the interview is also taken by DAKC after all the above 4 rounds. When the interview is taken for any Executive level then 2 rounds of interview is carried out i.e. Preliminary Interview and interview by Supervisor. All these interviews are always carried out Personal Interviews which sometimes carried out by Stress Interview for more Lead level.
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CAMPUS RECRUITMENT While going for any Campus Interview for management trainees then followed by Aptitude test which are shortlisted by cut offs and Personal Interview. For engineering students, GET test is carried out for Network test. But while carrying out these interviews, 1 HR is always accompanying to Heads to ask questions on their work experience, CTC, its expectations, reasons to leave etc. SALARY NEGOTIATIONS After the applicant get shortlisted, they need to submit their salary slips of the previous company and academic certificates and then going through all the documents the company will give rise upto 25% from the previous salary. But the company has to follow Salary Bands and Designation Roll Out while setting up salary. The company won‟t go for the applicant who expect more than its salary bands unless there is some kind of urgency. REFERENCE CHECK The candidate is being contacted and informed about decision to conduct a reference check with the referees whose names have been provided in the personal History Form. MEDICAL CHECK UP All selected candidates are required to undergo pre-employment Medical Check-Up as a part of Selection process.
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JOINING PHASE
DOCUMENTS TO BE SUBMITTED WITH RESUME AFTER SELECTION All the information regarding employees is entered into the portal and Employee‟s A/c are being created in which his personal information and all the data‟s about his attendance, Salary, Leave, Performance is to be operated. The following are the documents: Identity proof Academic Certificates If any Achievement then its certificates Experience certificates Copy of Resignation letter Copy of Letter Offer Copy of Transfer letter Offer letter acceptance Latest drawn Salary slip Personal History Form Photographs Interview Evaluation Sheet Provident Fund Nomination Birth date Proof Confirmation Letter Medical Certificate Pan Number
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POST-JOINING PHASE
INDUCTION/ORIENTATION 1 Day induction programme is offered to all new employees by respective Circle/ Entity HR. This program provides information of the following: Hiring of an employee into the system Filing of Personal History Form an Employee Joining Kit Introduction about ADAG Group (Anil Dhirubhai Ambani Group) Introduction about organization Business, Function and Sub Function Information about CTC Information about HR policies Introduction about ESS (Employee Self Service) DAKC visit- for DAKC Employee (Dhirubhai Ambani Knowledge City) Handover to the respective Department The program shares the company‟s strategic objectives, organization structure, processes and systems. Presentations are made by representatives from business units and functions. Every employee is assigned a user ID and password to access Employee Self Service (ESS). It is integrated with our ERP-SAP. ESS is a system for the orientation of the employees helpful in their day to day activities. The information includes information related to Attendance, leave, Salary, Reimbursements, Income Tax related query, CTC, Pay Roll, Personal Information, Provident Fund, R-Matrix, Form Download etc.
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EMPLOYEE JOINING KIT Joining Report Brief personal Details Forms Statutory Forms Provident Fund PF Transfer Form (in case if employee wish to transfer the PF accumulations from the previous employer) PF Nominations Form (for Joining in Reliance PF Trust) Gratuity Gratuity Nomination Form (for Joining in Reliance Gratuity Trust) Superannuation Superannuation nomination form Medical Personal Accident Insurance Coverage Form Personal Accident Insurance Nomination Form Hospitalization and Medical Expense Insurance Coverage form for Family Members (only for L3/L4) Declaration form for Dependent Parents for Hospitalization and Medical Expense Insurance Coverage Health Declaration form for Dependent parents for coverage under Hospitalization and medical Expense Insurance Office Timings and Working Hours Know Leave Details
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COMPENSATION MANAGEMENT JOB EVALUATION Job Evaluation is a systematic process of analyzing and evaluating jobs to determine worth of each job in an organization. It forms the basis for designing the compensation management system. It is a technique to rank jobs in an organization on the basis of duties and responsibilities assigned to the job. Job Evaluation Process results in a job being assigned to a pay grade. Pay Grade is associated with a pay range i.e. defined by maximum pay rate.
DESIGNATION ROLL OUT The current system operates on a four tiered system. L1 – Leadership L2 – Team Lead L3 – Team Member L4 – Team Support
Introduction of New Designation System Bringing in clarity Positioning people according to roles and responsibilities. Bringing about a sense of achievement and pride. Attaching a definite Salary bands. When the company benchmark its roles, responsibilities and compensation with its competitor, the emerging results will be more realistic. Providing Career Growth Opportunities. Helps to bring in alignment with the industry practice of having multiple designation. Designation would help in positioning of each employee as per role, responsibilities, experience etc. Some of the major Consultants who facilitate the exercise are Hays, Mercer, Hewitt and Anderson. The manager and senior employees who have thorough knowledge assign scores and weightages to certain parameters. Parameters are knowledge, experience, education, breadth of responsibility, span of control, interactions. Strategic Intent factors like Business Acumen, Risk taking Customer intimacy and operational excellence required for effective execution of the Role.
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Methodology Designation validated by: Market designation benchmark study. Examining Compensation bands of emerging role clusters. Reporting structure as per new organization designation. Business Head Concurrence taken on all designations. Designation of top 100 employees to be validated by the top management.
COST TO COMPANY (CTC) Reliance Communications have one of the most beneficial plan for CTC as it helps employees to save its tax on the basis of Choice Pay which offers 60% of its Fixed Salary which is tax free. But Basic Pay is 40% of its fixed Salary which includes Basic Salary, provident Fund, Gratuity and also Superannuation(for the employees who had covered 5 years in an organization). The following is the framework: Cost to Company
40% Base Pay
60% of Choice Pay
CTC Components 1) BASE PAY= BASIC + GRATUITY + PROVIDENT FUND 2) CHOICE PAY 3) PERFORMANCE LINKED INCENTIVE BASE PAY 40% of Fixed Salary Basic Salary Employer Contribution to PF @ 12% of Basic Salary. Employer Contribution to Company Gratuity Fund @ 4.81% of Basic Salary.
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PROVIDENT FUND A part of company‟s PF Contribution is deposited to Employee Pension Fund to provide with pension on retirement or after completing a specific period of service. Allowed to take loan for specific purpose (Marriage of Self & Housing) If claim is done then waiting period is 60 days for it. GRATUITY Employees who have completed 1 year continuous service with company are eligible to get gratuity on separation. HOW IT IS CALCULATED? Last drawn Basic Salary/26 days*15 days* Number of completed years of service.
CHOICE PAY- 60% Company Owned Housing/ Company Leased Accommodation. Company Leased Car Children Education Allowance Leave Travel Assistance. Superannuation- 15% of Basic Salary. Medical Allowance 15000 pa Conveyance Allowance 9600 pa Sodexho Food Passes 15600 pa. Gift Coupons 5000 pa. House Rent Allowance. Special Personal Allowance. Performance linked Incentive (PLI)- Based on PMS on Hewitts Formulas the company have score converted to rate which infact will provide for a earning potential of anywhere from 5%-15% and 20% (for some exceptional cases) of CTC. INCENTIVE PLANS The company do have incentive plans like the company give increment of 15% from CTC and 18%-20% Incentive as per its ratings. The company follow various Incentive Plans such as Sales Incentive, Customer Care on Target and various other plans. The company also have ESOP system for the long term incentive plan depend on the year experience. The company also provide Group Incentive Plan for the people working in group and achieve any special targets on any project. The employees are also given Non-Monetary Benefits like Picnic or Getto-gather or any celebration. 25
BENEFITS MEDICAL INSURANCE Group Personal Accident Scheme Hospitalization for Self and family Hospitalization for Dependent parents.
GROUP PERSONAL ACCIDENT Death 100% of Sum Insured Permanent Total Disablement 100% of Sum Insured. Loss of Two Limbs/ Two eyes 100% of Sum Insured. Loss of one limb/ one eye 50% of sum insured Permanent partial Disablementvaries from 1% to 75% of sum insured as per policy. Temperorary Total Disablement 1% of Capital Sum insured per week to maximum of 5000 per week for maximum period of 100 weeks.
HOSPITALIZATION Of Dependent Parents
Sum Insured
Minor Ailment 40000
Major
Maximum
Dental
Eye
40000
80000
1500
500
Emergency Medical Loan for self, spouse, dependant parents and Dependent children.
MEDICLAIM POLICY ANNUAL HEALTH MEDICAL CHECK UP Over 50 years completed more than 3 years. ZERO BALANCE BANK A/C
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PERFORMANCE MANAGEMENT SYSTEM
Performance Management System is an integrated tool by improving organizational performance by setting SMART goals for employees, evaluating employee performance and promoting right employees to critical position and improves the poor performer. It helps to measure the standards of the employees and evaluate on the basis of results fulfillment of core responsibilities and individual contribution. It is further used to increase the objectivity and accuracy of measurement of performance by increasing alignment between individual and organizational goals. It increases the performance reward linkage as well as linkage with other HR systems. Planning employees performance involves establishing the standards or measures like KRAs (Key Result Areas), Individual Contribution Areas and Core Responsibilities. This system consists of 4 key drivers: Appraiser / Manager Appraisee / Incumbent Reviewer HR KEY DRIVERS Appraiser/ Manager
ACTIVITIES An individual who helps to plan employee‟s performance, appraise its performance by assessing it and also provides continuous coaching and feedback.
Appraisee / Incumbent Reviewer
An individual who is assessed at his own performance. An individual who is responsible to finalize the performance plan and also evaluate the final score submitted by the Manager. He is a facilitator who would provide guidelines, support, dispute resolution and align individual goals with organizational goals.
HR
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BALANCE SCORECARD Under Performance Management System in Reliance Communications, Balance Scorecard is used as a Performance Measuring Tools. This tool is used to align business activities to the vision and strategy of the organization and translate them into action. How is it useful? It provides a framework of performance measurements and helps to identify what is to be done and measured. It provides feedback on both internal business processes and external outcomes to continuously improve Strategic performance and Results.
INNOVATION OF BALANCE SCORECARD The Balance Scorecard is designed keeping KRAs (Key Result Areas), Individual Contribution Areas and Core responsibilities in consideration. KRAs (Key Result Areas) It describes performance goals- business, functional and behavioral with defined time frames and are decided by the management (Circle Head/ Functional Head). KRAs are divided into 6 broad measurement dimensions which are Financial, Customer, Internal Process Projects and Societal. Every employee need not have KRAs in each of these measurement dimensions. ICAs (Individual Contribution Areas) These are the quantitative or qualitative measures which will be defined through conversations between the employee and manager. They have been divided into 3 categories Learning & Growth, Special Projects and other Job Responsibilities (Unplanned Activities/Unforeseen Activities). CRs (Core Responsibilities) It is ongoing tasks or outcomes based on day to day work of an individual. Not pre-determined targets at the beginning of a performance period. But the following four perspectives are important perspective that are taken into consideration. They are: Financial Perspective Customer Perspective Internal Business Process Learning & Growth Perspective
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FRAMEWORK OF BALANCE SCORECARD The format is carried out under all 4 perspectives in which it will cover Key Result Areas, ICAs and CRs. Objective
Measure
Weightage
Target
Actual
Rating
It will provide with final score S = (W1.R1 + W2. R2 +…………Wn.Rn) These ratings will be put together and form Final Consolidated Performance Score which will be followed by Manager, Employee and Reviewer Comments. This process of Normalization will ensure that performance of each individual is aligned with the performance of the business, sector and corporate. These modifications will be done though an automated system to the percentage of high performers in a business that has achieved its KRAs is greater than the percentage of other high performers in a business that has not achieved its KRAs.
PERFORMANCE EXCELLENCE SYSTEM 29
This system is formed into 3 phases: Phase 1 Performance Planning Phase 2 Interim Review, Feedback & Coaching Phase 3 Year End Performance Evaluation Phase1- Performance Planning & Target Setting In March- Performance Measures & Targets are set jointly by employee and manager. The performance parameters – KRA, ICAs and CRs will have weightages assigned by DAKC in order to come up with a composite performance score. These weightages will be allocated on the basis of the role. Besides this, each KRA, ICA and CR will have a weightage assigned to it depending on its importance. Indicative overall weightages are given below: DAKC Structure
Business
Network
Shared Services
KRA: ICA: CR
KRA: ICA: CR
KRA: ICA: CR
Business Head
70: 30: 0
70: 30: 0
60: 30: 10
Function Head
60: 30: 10
60: 30: 10
50: 30: 20
Department Head
60: 30: 10
60: 20: 20
50: 20: 30
Team Head
60: 20: 20
60: 10: 30
40: 20: 40
Team Member
50: 20: 30
50: 10: 40
40: 10: 50
These weightages are fixed at the beginning of the year during the performance planning discussion between employee and manager.
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Phase2- Interim Review of Performance July & January- Quarterly Reviews, Interactive Feedback Session. October- Midyear Review (Provision for revision of the performance plan). Phase3- Year End Performance Evaluation April- Assessment of achievement levels against targets by manager. Final rating communicated to the employee. Performance Rating System Rating 1 Unsatisfactory Rating 2 Needs Improvement Rating 3 Rating 4
Competent Commendable
Rating 5
Exceptional
The incumbent is not expected to continue. Incumbent should have an adequate development plan to ensure high level. Satisfactory but more focus on improving. Above average employee who meet most of all objectives. Extraordinary performance. Exceeded most or all set objectives by reasonable margin.
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Lets take an example of Calculation of Overall Performance Score
Performance figures and calculation for Area Sales Manager (Circle Webworld Operations). Following is the weightage table.
Position
Area Sales Manager (Circle Webworld operations)
Perspective
KRA- Measures
Financial
Weightage
Target
Actual
Score
Revenue targets for the Webstore in the clusters Profitability/ Sq.ft and over all store profitability
20% 10%
Rs 4lakhs Rs. 10
Rs.4.5lakh 5/1 s 3/0.3 Rs 9.75
Customer
Customer Satisfaction index
25%
4.5
4.2
3/0.75
Process/ Innovation
Timely Franchisee and replenishment Inventory turnover
10%
24 hrs
24 hrs
4/0.4
4
3
1/0.15
5%
15
13
2/0.1
10%
7stores by 7stores by 31st March 31st March
fulfillment
15% Employee
Project
Society
Mandays of training of store teams Launch of broadband services in targeted stores Promotional efforts/ events for the disadvantaged sections of society/ Tie-ups with NGOs
Overall Performance Score KRAs
5%
10% discount to students 2initiatives
4/0.4
10% discount to students 5/0.25 2initiative 3.35
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TRAINING AND DEVELOPMENT The Training and Development practices are carried out by NIS Sparta which carries out different Training and Development activities for the employees of Reliance. NIS Sparta is a Reliance ADA Group company, and Asia's leading training, education and learning solutions provider. The company customizes solutions for Top management, Middle management and Supervisory level in the areas of Leadership and Management, Personal Effectiveness, Sales Maximization & Customer Retention
POLICY The Employees and Appraiser together identifies specific areas for development to be implemented in time bound manner. The training needs/ developmental plans so identified shall be shared with the respective Learning and Development Manager who facilitates in implementing the developmental plans. The action and outcome of these is reviewed during the Annual Appraisal Process. The budget for the training is set up at the beginning of the year.
TRAINING & DEVELOPMENT NEED IDENTIFICATION Development Needs Employees assess his development needs by rating himself on certain Behavioral aspects. To support the self-assessment he/ she can also site Critical Incidents. Once the employee has filled in the development assessment, the appraiser assess the same for the employee. Depending upon the assessment the appraiser can determine the Development Area for the employee and specify the the training require to enhance the behavioral skills of the employee. Training and Development needs are being analyzed from calendar in which all parameters about the employee performance are given at PMS portal (Performance Management System). It is also be identified by Training and Development survey which is filled up by employees itself on portal. It is being followed by the consultation with Functional Head, HR Head and Circle Head.
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Functional Training Employees identify Functional Training needs depending upon the business, Function and Role. Appraiser approves the needs identified by the employee or alters the same depending upon the requirement of training. Depending upon the needs the learning and Development Team organize the Training programs for the employees.
Here, mostly every month training is required according to the requirements as per Training Calendar. All the new joinees are given training Project base, Process base and Product base. The needs are also be reassessed from the portal for the existing employees. Critical is measured for specific quarter n after the discussion with Functional Head, HR Head and Circle Head the training programs are organized. Depending upon the levels and needs internal trainer and external trainer is decided. For example, for any small training program Department Head carries out for employees but for big project or for middle level management or function and operational training is carried out by NIS Sparta. But if any training is to be held for Senior level Management then External Trainer is hired from the market. Mostly training is widely carried for Sales and Customer Care Department. They focus more on Soft skills while giving training and to develop hard skills the trainees are given practical project on an individual or group base which helps to develop their selling and marketing skills. The training program also focused for Creation and Innovation. Like, Creation of Customer Care ID assess to software. Atlast, the feedback is given to all the trainees by Trainers and Departmental Heads interacting with them personally.
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ENGAGEMENT SYSTEM
Employee is the most important asset of an organization. Employee engagement is a tool which develops productive members in an organization who are committed to their roles and use their talents. Employee‟s Contribution is crucial for Growth and Prosperity of any organization.
Measure the level of engagement amongst our employees.
Create a common ground of engagement to enhance the sense of belongingness amongst employees in upcountry areas.
Emphasis on employees work life balance.
Impact: it leads to healthy and happy work environment with increase in productivity and commitment. Specific Goal Statement: To build synergy between all the departments which will increase the level of productivity of all functions.
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Reliance Communications take care of their employees and take measures to motivate them and give them satisfaction which includes Satisfaction Survey, Personal Conversation, Grievance Handling, Rewards and Recognition and Celebration of Days and Festivals. Moreover they also work for the betterment of society by working with different NGOs and arranging Blood Donation Camps. But for all these they set budget at the beginning of the year. Last year they carried out Yellow Belt project with all the employees, then coming up with result they seriously worked to improve the areas where they got negative response. Its done by arranging Satisfaction Survey among the employees of the company but every year it is not done. They carry out personal interaction with Department Head and HR Head. Moreover, they carried out Rewards and recognition such as Employee of the month, Best Clusters or any Team Task award for any project for which parameters are already set by Functional Heads. The employees after getting familiar with the organization‟s working environment, extended wide opportunities to participate in various social festivals such as Navratri, Diwali, Holi, Valentine Day, Children‟s Day and many other events being celebrated in the organization. Besides, Employees Family Get-to-gather and picnic are also conducted. All these functions are decided at an early date while setting the annual budget. Such program details are published through handbooks and distributed among the employees.
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GRIEVANCE HANDLING The organization encourages employees to discuss any job related problems with supervisor or Department Head on a continual basis to resolve and settle disputes without precipitation. However, such grievance redress is processed through company‟s grievance handling procedure as below. Grievance Procedure
Employee Grievance
Immediate Supervisor
Response within 3 days
Manager
Departmental Head
Not Satisfied
Circle/Business Entity Head
Within 3 days
Departmental Representative
Within 3 days If more time required then it shall be notified for delay
Circle/Entity HR Manager/ HR Head
Not Satisfied Central Leadership Team
Within 5 work days
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STEP I- Presentation to Immediate Supervisor/ Manager Employees discuss the issue with the immediate Supervisor/ Manager who investigate the complaints and attempt to resolve it within three (3) working days and communicate to the employees accordingly failing which the issue/problem is referred to the Department Head. STEP II- Presentation to Departmental Head The Departmental Head investigates the problem by gathering relevant information and facts and communicate the decision within 3 working days. In case of additional time requirement by the HOD, he would notify the cause of delay and indicate the possible time for conveying decision. STEP III- Presentation to Circle/ Entity HR Manager or Head- Corporate HR If still not satisfied with Departmental Head then it is further proceed to Circle/ Entity HR Manager or Head- Corporate HR which will help to present the problem to the Circle / Business Entity Head. The Circle/ Entity HR manager or Head- Corporate HR shall interpret Company policy and practice and discuss any legal aspects of their own concern with the Heads. Together they determine an appropriate respond to problem within 3 days. STEP IV- Presentation to Central Leadership Team If employees are still not satisfied with the response of the Circle/ Entity HR manager to Head Corporate HR, they may approach to Central Leadership team. They will respond to their problem within 5 workdays and that will be final decision.
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SEPERATION Reliance Communications believes in treating all the employees separating from the company with utmost dignity. Resignation, Superannuation, Expiry of Training/ Contract, Job abandonment and termination are manifestation of employee separations. Here in RCOM, E-Separation Portal is an online system of automating Employee Separation process, which will help an employee to complete the clearance formalities and expedite his Full and Final Separation from the organization online. Full and Final Settlement On receiving the separation checklist from HR/ Commercial, the employee have to obtain the signatures from all the concerned and return it to the HR/ Commercial Department. The employee is required to settle all financial obligations like: o O/S Advances/ Loans o Any undertakings that they have given to the company in terms of: -- Cost towards upgraded mobile -- Opting for Company Leased Car. -- Or any other undertakings like their ID cards, keys and other properties which have been issued. o The full/ final amount is paid to the employee after recovering all advances/ O/s dues. o This will be subject to the employer concerned to get clearance from all concerned departments in Clearance form. Rest all the claims are being cleared in a month.
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Exit Interview Prior to leaving, an Exit Interview is conducted to gather feedback and recommendations of the outgoing employee. Exit Interview is a one-to-one discussion where voluntary views and suggestions are taken from the outgoing employee to know about their expectations had been at the time of joining the company and reasons for leaving the company. The Circle/ Entity HR facilitate and arranges for the Exit Interview. Senior employees while leaving the organization or retiring, are given farewell.
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OBSERVATIONS AND RECOMMENDATIONS A number of studies suggest that strategic HRM can contribute to firm performance. Many organizations are undergoing changes as a consequence of globalization, new technology application and fundamental changes of work and employment relations. There is increasing demand to transform HRM practices from focusing on a functional role to a strategic role. Strategies exist to support the links with business outcomes Strategies to support the links with business objectives are built into the Human Resource Management Plan. The HR process and practices is a key program through which HR makes a contribution. The contribution of HR programs to business outcomes can be demonstrated. HR is well represented through formal and informal decision-making structures. Strategic people management recognised and used as a tool to achieve business outcomes Further development of the participation of HR in decision-making across the company is required. Line managers make little use of strategic human resource management The skills and expertise of HR managers could be used more extensively across the company. A better understanding of the contribution of a strategic approach to human resource management needs to be developed. Overall, people management issues were addressed effectively, although there were some gaps in the implementation process.
Fairness, respect and trust are features of working relationships Most staff views the company a “good place to work”. Staffs though understand the good practices and ethical norms needed to be followed as per the company‟s guidelines yet they behave that are not in line with the above norms. Confidentiality relating to work matters, many a time is not maintained there by causes problem. The HR staffs feel that their work and ideas are well valued but the employees of other departments feel otherwise.
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Openness in communication is predominant in the organisation The philosophy of openness in communication is strongly supported, but strategies are not in line with the above philosophy. Reliance Communications encourages open communication. There is no detailed HR manual website for general information of all in the organization.
Training and career development opportunities support the development of organisation business An effective performance management system has developed. This system is focusing clearly on the company‟s values and objectives. The Company demonstrates a commitment to supporting career development opportunities for staff.
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Annexure
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QUESTIONNAIRES
RECRUITMENT Do you have a Recruitment policy? What are they? What is your HR vision and mission? What Manpower planning system you follow to handle present and future needs? What internally and external recruitment source you follow? What interview patters do you follow? (GD/Personal one to one/Panel system) How do you deal with recruitment when emergency needs? Do you recruit as and when need is there or plan them to conduct in any specific period during the year? Which area/s do you find mostly required to fill? How does E- recruitment take place? Do you handle all legal aspects while recruiting people? Do you have specific budget allocation for handling Recruitment? What allocation System? What are the methods that you follow to evaluate recruitment process? What evaluation process do you follow on selection?
INDUCTION/ORIENTATION How does Induction Programme carried out? Is their any standard module? What specific support does your company provide to the new recruitees?
PERFOPMANCE MANAGEMENT SYSTEM How does goal setting done? While setting goals do, you keep organization objectives in mind? What method is followed to measure Performance? Does your company have any self-assessment system? Do you have any policy on this? How do you monitor employee performance? Do you have 360-degree appraisal system? If yes, then who all are appraisers? When does your company conduct appraisal? (Annually/ Monthly) How do you communicate performance outcome? What type of Reward system do you follow? How do you consider Non-Achiever whether measured under failure or any constraint? How do you bifurcate KRA (Key Result Areas) and Responsibility? What approach do you make? Does you appraisal system support in areas like Leadership, Potential, career, Succession Planning, Training needs Identification?
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TRAINING & DEVELOPMENT What are your training norms? How do you allocate budget? Which area of training/ what level of people are more trained? Do you have any feedback system? How do you measure the positive outcome of training?
COMPENSATION MANAGEMENT How do you map competency? How job evaluation is done? What factors are considered in this process? How designation Roll out is done? How do you set Compensation? How do you set salary bands? While setting salary do you feel shortage of labour, skill? Do you have any policies for Incentive scheme? What type of Incentive plans do you follow? Do you have any short term/long term incentive plan? Do you have Group Incentive Plan? What perks do you provide? Do you have any Non monetary benefits?
ENGAGEMENT SYSTEM How do you motivate your employees? Do you have Open Door policy, if yes, how does it carried out? What employee welfare facilities do you provide?
EMPLOYEE SEPERATION What type of procedures been carried out during employee separation? What type of forms been filled up? Do you organize any Farewell or Meeting or Exit interview? Do you have any pension scheme? Any other information that you like to give?
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REFERENCES
http://www.google.com http://www.wikipedia.com http://www.citehr.com http://www.chrm.com http://www.gulfnews.com http://www.articlebase.com http://www.businessgyan.com ZPG PM Newsletter Ashwathappa ICFAI Human Resource Management
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