HRnomics!

HRnomics or the economic principles of strategic human resources management are those basic rules of our business strategy, which align the people strategy with the business profitability. It is commonly seen that business houses and startups are focusing intensely on generating cash and reducing operational cost, however, what is seen missing in this roller-coaster ride are the people who are the fuel to drive these cash engines.

Though we have a huge supply of workforce in the market but still the demand across the industries is not being fulfilled and there is a supply gap of skilled resources. We should focus on the internal development and grooming of the current workforce to meet these demands.  It is required that the business houses need to frame career plans for the employees and put the employees in charge of their careers. Investments are much needed in the career development plan and learning/certifications rather than investing on a new hire. The new investment here is a sunk cost as the resource would take time to groom, be productive and adjust to the culture.  Vice versa if this cost was spent on existing resource it would have taken efficiency and productivity to a next level, which would have resulted in far better engagement levels and appreciated revenue.

Recognition in any form is that incentive, which is a differentiating factor in the employer brand. Rolling out bonuses is a one time key affair, however, regular social recognition of work, profit sharing and employee stock option would have a larger impact on the intrinsic motivational factors.

With the Gen Y/Z/Millennial workforce, there is a huge tradeoff between money and role. Today’s workforce demands more of quality work and enhanced job value rather than being stuck with same job routine. Data has shown that a substantial chunk of employees leave the organization for better defined entrepreneurial roles. Innovation is another factor, which is impacting the workforce market conditions as people nowadays have more exposure to new technologies and platforms to ideate.  Companies need to invest on R&D and create ideation labs and also protect the intellectual rights.

The overall company value depends on the worth of its employees which is directly related to the investments made by company in terms of money (Learning), material (Resources/Tools) and time (Innovation/R&D).

The 3Ps at Workplace

“And miles to go before I sleep…. And miles to go before I sleep”

We often wonder and struggle to catch up with miles we have defined for ourselves. Have we ever introspected or tried to find out what actually shapes these miles?

I firmly believe that Power, Positivity and Perseverance are the 3Ps which shape our life and career. Let’s figure out what and how these 3Ps affect our professional and to some extend personal life as well.

‘Power’ is a really strong word which impacts our life to a larger extent. Power as exhibited at workplace can be redefined and clubbed into the below types:

1. Social Power should be the typical characteristic feature of an established leader which I believe is all about leading from the front and giving individualistic authority to the team members. Working in a collaborated fashion will definitely achieve better results and in turn giving intrinsic motivation and recognition to the employee.

2.  Cloud Power is wherein the power and the authority rest at a particular level/person. It’s like clouds at different potentials if come together will end in thunder and lightning. In such type of work groups the decision is always in a top down approach and the team is not empowered which leads to lower motivation in the team.

‘Positivity’ in the ambience, culture and processes of an organization shape its goal and help achieve the targets. A positive workforce is more productive, efficient and innovative. Positivity cannot be inserted in an organization via an external force/method but it is largely governed by its internal practices.  Below are some examples which help reinforce positivity at the workplace:

• Recognition which can be external or internal by creating the relative worthiness of the job person is doing
• Effective Communication is another area which I have seen lacking in many leadership styles due to which there are corridor talks and ultimately leads to negativity around
• Leadership is very important because if as a leader you don’t see a problem at a nascent stage you won’t be able to provide a solution to it. Moving away from the problem is also not the correct leadership style to be exhibited which may send negative vibes in the team
• Listening to the personal and professional needs of the employee helps instill confidence in the leader and the organization
• Supporting your team when needed and helping them to achieve the targets/results create a sense of belonging in the team
• Mentoring is essential if you want to work along with the team to achieve the business outcomes and create an empowered positive workplace

‘Perseverance’ is an essential part which shapes your career. One has to be determined and not buckle down under pressure as it would not help in achieving long term career goals. The biggest obstacle in realizing your dreams is the person himself/herself. If you are confident about your decisions you would sail through even though people will debate, disagree and distract you from the path. Create a career path for yourself and even if you deter from the laid path learn from it and move on.  

  

I am sure the 3Ps will help us both as an organization and as a person to be introspective and create a balanced positive workplace.  

Feedback 2.0

Welcome aboard. We have on this flight to the new cultural shift Gen Y and Gen Z and we would be reaching our destination ‘Feedback 2.0’ in the short span of time than we may ever realise. In today’s context, organisations are frequently innovating in their performance management system so as to include the aspirations of the new and upcoming Millennial generation.

Gen Y (Loosely defined as generation born in early 1980’s) along with the Gen Z (Born in early or mid 1990’s) believe in a faster career progression and regular feedback. They don’t wanna waste their time sticking to one organisation just to wait for the next career ladder. They believe in fast recognition of their work and emphasise more on results rather on sticking to time like the Baby Boomers/Gen X. Organisations like Adobe have revamped their performance management and have made feedback an ongoing process throwing away the old annual system. Companies like Google have encapsulated the 360 degree feedback system while Microsoft believes more in employee behaviour as compared to the targets defined.

To keep our PMS updated with the ongoing cultural shifts due to the generation gap we have to evolve and introduce a new performance evaluation system, Feedback 2.0:

1.      Bake the cake and eat it too: If we have an ongoing regular feedback mechanism, we would be able to meet the aspirations of the Gen Y and Gen Z which will make them more comfortable in view of sense of recognition. If make feedback system to be robust that can accommodate changes after a quarter we would be able to recognise the talent and do away with the recency effect that but naturally comes in the annual appraisal system. Through this process, we would be able to incentivise Gen Y and Z to work more productively as after every three months we would be able to compensate or give a due promotion to the right talent which otherwise would have to wait for the annual cycle. Gen Y and Z being impatient in this context would never stay back for the entire year if something more valuable comes up in their kitty.

2.      Don’t talk, better connect: Through the revamped Feedback 2.0 we would be able to meet and talk to the Gen Y and Z on a regular basis which will make them more comfortable and engaged at the workplace. We should remember that an engaged employee is a more productive employee. In short, don’t discuss after a year, better give the right direction at the right time. Moreover, an engaged Gen Y/Z‘er would also resolve the retention problem.

3.      ‘FB’ the recognition: The word ‘FB’ has become synonymous to this generation who want to put up everything on the social media and are not hesitant to write to the executive level. Gen Y and Z don’t believe in waiting for the trophy or certificates. They want the rewards instantaneously which they can show it off to their friends over the social network within the organisation. We should build a power packed R&R system where client or manager appreciation could be shared over the network which gives them their moment of pride over the social media.

If we are able to connect with this Millennial generation, we would be able to build the employer brand and hence the right talent will automatically flow with the current and come to the right bucket. This new generation might be too demanding but I am sure if we ride with them will have a safe touch down!

Motivating Gen Y

Are we following the right steps in motivating our Gen Y work force? This Gen Y workforce who is very high of himself/herself might be circling around you while listening to their ipods. They are always online, texting, tweeting and don’t ever block their path even while in office. This is the kind of workforce we are talking about. Though much has been written and said about these employees but still we have to catch up a lot in terms of our practices. 

Gen Y has no issues in voicing out their concerns so don’t ever think about trying to suppress their ideas.  Hearing out their concerns and working on their issues give them a lot of ego boost which is the base of their career development. They are constantly thinking of new and innovative ideas and have entrepreneurial mindset.

In order to keep this flock of employees motivated, we must check on following few things:

1. Always make sure that they are working in teams as these are the people who have grown up hanging around with friends
2. Give them regular feedbacks. Don’t ever wait only for annual appraisal/review
3. Don’t intimidate them by poking your nose in their work style
4. Give them enough flexibility in their work culture. Don’t try to bind them with forced time lines
5. Have proper communication channel. Don’t leave them working in silos
6. Reward them intelligently. Don’t just rely on appreciation mails
7. Recognize their work based on their performance and not on their tenure

These are the people who as per Dave Ulrich believe in Life/Work Balance and not Work/Life Balance as for them their work revolves around their lives. If we start working towards their recognition, development and growth, these Gen Y people will have no issues working for the same organisation.