Friday, October 9, 2009
Wednesday, June 10, 2009
Explain the concept and forms of industrial democracy.
Answer. Industrial Democracy is an economic arrangement which involves workers making decisions, sharing responsibility and authority in the workplace. Although industrial democracy generally refers to the organization model in which workplaces are run directly by the people who work in them in place of private or state ownership of the means of production, there are also representative forms of industrial democracy. Representative industrial democracy includes decision making structures such as the formation of committees and consultative bodies to facilitate communication between management, unions, and staff.
Benefits of Industrial Democracy
· Less industrial disputes resulting from better communication between management and staff.
· Improved decision making processes resulting in higher quality decisions.
· Increased creativity, enthusiasm and commitment to Corporate objectives.
· Lowered stress and increased wellbeing.
· Better use of time and resources.
· Improved productivity including service delivery.
· Increased job satisfaction resulting in reduced absenteeism.
· Improved personal fulfillment and self-esteem.
Scope and ways of participation: - There are three groups of managerial decision which have a direct impact on the worker's of any industrial establishment. They are social, personnel and economic decisions. Economic decision include financial aspects- manufacturing, automation, lay off etc.
Personnel decision refers to recruitment, selection, promotion, transfer, grievance handling & so on. Social decision refers to hours of work, welfare measure, work rule and conduct of individual. Participate in social, personal, & economic. On school of thought is of the opinion that the workers at various levels. The first view could lead to the workers actual participation in the decision making safety, health, sanitation and noise level. The workers must have a say in the decision on the issues mentioned above. But there is difference of opinion about the scope and the extent to which workers or the trade unions should on parity basis, sit with the management as equal partner, and make joint managerial decisions on all matters. The other school propound the view that the workers should only be given an opportunity through their representations, to influence managerial decision making process of the management, while the second aspect will work out to be consultation of workers in managerial decisions.
In practice, the factors affecting the workers participation can be shown as:
(I). Participation at the Board Level: - The board of directors is the apex body in the administration of a corporate establishment. A representation of workers on the board would, it is believed, usher in industrial democracy, ensure improved employer-employee relationship and guarantee better productivity. The workers participation at board of directors can safe guard workers interest, serve as a control system, guide to management, guidance on matter of investment. The participation of workers are top-level management is not without problems. The board of any enterprise is primarily concerned with problems like fund raising, utilization of resource etc. personal matters do not receive equal attention at the board level but taken at the lower levels of management.
In these circumstances, the appointment of workers representative at the board does not substantially enhance the role of workers in the management of an industry. Secondly due to workers alienation and board's unacceptability the worker director may not be able to play constructive role. Thirdly the power, status and privileges enjoyed by the workers director are not acceptable to RO.D. Fourth the nomination of one or two women representative put them feel in minority, Where as the decision at RO.D are arrived on the basis of majority vote.
(2) Participation through ownership: Workers may be more involved in industries by making them share holders of the company. This is done by inducing them to buy equity shares. The management may promote the scheme by allowing the workers to make payments in installments, For example 60% share of Otto India, Calcutta are held by it's employees. Under share scheme, the shares are revalued and priced every year. Participation through ownership has the distinct advantage of making the workers committed to the job and to the organisation.
(3) Participation through complete control: Workers acquire the complete control of the management through elected boards. It gives complete control to workers to manage directly all aspects of industries through their representation. The system of' complete control ensures the identification of the workers with their organisation. Industrial dispute disappears when workers develop loyalty to an organisation.
(4) Participation through staff or works councils: Staff or works council's are bodies on which the representation is entirely of the employees. There can be one council or hierarchy of the council at shop floor or board level. The members of the councils are elected by the employees of the respective sections. This is a right step in the direction of industrial democracy.
(5) Participation through joint councils and committees: Joint councils are bodies comprising representative of employers and employees. The function of these bodies may range from decision making on some issues and advising the management as consultative bodies but it's suggestions are not binding on, the management. These councils serve no useful purpose. These councils provide a plate form to vent both employers-employee complaints and grievances.
(6) Participation through collective bargaining: The principle of collective bargaining confers on the management and the workers the right, through collective agreement, to lay down certain rules for the formulation and termination of the control of employment as well as service conditions. These agreements are binding in right spirit without taking undue advantages.
(7) Participation through JOB enlargement and Job enrichment: Job enlargement means expanding the job content - adding task elements. Job enrichment means addition of motivations to job so that it is more rewarding. The purpose of job enlargement and job enrichment to relieve the boredom of the worker. These contribute to workers participation by providing freedom and scope to them to uses their judgement.
(8) Participation through suggestion schemes: Employees view on such matters as machine utilization, waste management, energy conservation and safety measures are invited and reward is given for the best suggestion. This procedure enables the management to arouse and maintain the employees interest in the problems of their concern and it's management.
(9) Participation through quality circles: A quality circles (QC) consists of 7-10 people from the same work area who meet regularly to define, analyze and solve quality and related problems in their: area. Membership is strictly voluntary, and meetings are usually held once a week for an hour. During the groups initial meetings, members are trained in problem solving techniques, quality control etc. Quality circles are credited with producing quick concrete and impressive results when correctly implemented.
(10) Empowered Teams: - Empowering refers to passing on authority and responsibility. Empowerment occurs when power goes to employees, who can experience a sense of ownership and control over their jobs. Empowered individuals know that their jobs belong to them, Given a say on how things are done, employees feel more responsible, Empowerment is facilitated by a combination of factors like values, leadership actions, job structure and rewards system.
(11) Financial Participation: - Financial participation differs from, other forms of employee involvement in that it is less likely to involve employees in consultation or decision processes. The general purpose of financial participation is to enhance the organizational performance through workers commitment. There are various financial participation schemes like profit-linked pay, profit sharing and ESOP, workers cooperation, pension fund participation and wage earner profits etc.
I am familiar with The Australian Institute of Marine Science (AIMS). It was established by the Commonwealth government in 1972 to generate and transfer the knowledge needed for the sustainable use and protection of the marine environment through innovative, world-class scientific and technological research.
Our organization has supported the industrial democracy principles and participative management practices outlined in the industrial democracy plan. Consultation with the union occurs at both the national and local level through formal consultative committees and through consultative forums established within program areas.
The Organization’s agency bargaining implementation committee continues to be the peak forum for management and union consultation and has also emerged as the principle forum for consultation and negotiation with the union on national staffing strategies and policy issues.
Participative management practices have been encouraged in our organization through staff development programs for managers, including training on occupational health and safety. Managers are encouraged to hold regular meetings with staff and to foster the free flow of information to staff at all levels.
Explain the relationship between motivation and rewards.
The concept of motivation occupies a central place in the discipline of Organizational Behaviour. It is a concept, which has received the maximum attention from the academicians and researchers alike. Since a motivated employee is highly productive and highly quality oriented, the managers are also interested the concept of motivation.
Most people understand the concept of intrinsic satisfaction or intrinsic motivation, i.e. when an activity is satisfying or pleasurable in and of itself. Naturally, these activities are things we like and want to do. For most of us, intrinsically enjoyable activities are things like eating, resting, laughing, playing games, winning, creating, seeing and hearing beautiful things and people, being held lovingly, having sex, and so on. To do these things we don't need to be paid, applauded, cheered, thanked, respected, or anything--commonly we do them for the good feelings we automatically and naturally get from the activity. Intrinsic rewards also involve pleasurable internal feelings or thoughts, like feeling proud or having a sense of mastery following studying hard and succeeding in a class.
Many, maybe most, activities are not intrinsically satisfying enough to get most of us to do them consistently, so extrinsic motivation needs to be applied in the form of rewards (positive reinforcements), incentives, or as a way to avoid some unpleasant condition ("negative reinforcement" or punishment). Examples: You work doing an ordinary job for pay. You study for good grades or to avoid failing or to prepare for a good future. You do housework to get a clean, organized house and/or a spouse's appreciation or to avoid her/his disapproval. A teenager comes home from a date on time in order to avoid being grounded. These are all activities that are commonly sustained by external pay offs, not because you love working, studying, cleaning, and coming home early.
Are rewards, particularly money rewards, really motivators? The answer to this question is YES and NO.
Money is understood to be powerful motivator for more than one reason. In the first place, money is fundamental for completion of a task. The employee takes pay as the reward for his or her work, and the employer views it as the price for using the services of the employee. Second, as a medium of exchange. Third, money is one of the hygiene factors, and improving maintenance factors is the first step in efforts directed towards motivation. Fourth, money also performs the function of a score card by which employees assess the value that the organization places on their services and by which employees can compare their values to others. Fifth, reinforcement and expectancy theories attest to the value of money as a motivator. Sixth, money acts as a punctuation in one’s life. It is an attention getting and effect producing mechanism. Money, has therefore tremendous importance in influencing employee behaviour. Seventh, money is easily vulnerable to manipulation. Finally, money will be a powerful motivator for a person who is tense and anxious about lack o money. But behavioural scientists think otherwise. They downgrade monetary rewards as a motivator. They prefer, instead, other techniques such as challenging jobs, goals, participation in decision-making and other non-monetary rewards for motivating employees.
Types of Reward Systems
The financial rewards are basically of three types:
· profit sharing;
· job evaluation; and
· merit rating.
Profit Sharing
Profit sharing could be on a macro basis or on a micro basis. The former relates to the entire company as a whole and the latter to a particular section or group dealing with a particular activity and/or product. On a macro level, it would be difficult to identify and reward outstanding performance. This is possible on a micro level by treating the particular activity as a cost and profit center by itself. This is easier said than done, since overheads and other common services have to be charged and this cannot be done completely objectively. The cost allocation in such cases is somewhat arbitrary and the profit will therefore not be a true reflection of the performance of that particular group or activity.
Job Evaluation
In case of job evaluation, the various component factors have to be isolated and evaluated for purposes of inter-job comparison. Each factor is assigned a rating on the basis of a scale agreed beforehand by the union and the management joint committee. The total rating for each job then forms the basis of wage structure. However, there must be a base level, representing, in effect, the 'minimum wage', depending on the nature of work and the geographical area. In some cases and in some countries these are stipulated by law. A typical, though somewhat broad, list of job factors is as follows:
· working environment;
· physical characteristics;
· mental characteristics;
· extent of responsibility;
· training and experience.
In case of managers, the factors are:
· responsibility;
· expertise;
· human relations.
Merit Rating
Merit rating has been used as an indicator of performance. Each employee is rated, typically as excellent, good, average or poor, in respect of the following abilities:
· communication;
· human relations, including leadership and motivation;
· intelligence;
· judgment;
· knowledge.
The rating, unfortunately, tends to be carried out purely mechanically and it carries a heavy bias of the rater who may be too lenient, may not be objective and may also have favorites or otherwise in the group being rated.
I am familiar with Nesco Ltd. Nesco is a leading producer of gas in Italy. At Nesco the following are used to improve organizational performance.
Financial Rewards
These rewards in organizations help employees to be more committed and motivated to their job and working environment:
· System rewards are automatically given to all employees for merely being members of their organisation. System rewards can be defined as being the basic wage rates.
· Individual rewards are given to employees based on the quality and quantity of their performance. Performance related pay (PRP) is seen as an individual reward policy, where pay is rewarded in relation to the volume of output. PRP can cause divisions amongst workers, where employees become more worried about the fact that their colleagues are being paid more than them.
· Growth rewards are received by employees for job innovation, learning and improvement.
The key to managing performance through rewards is linking the desired performance with the appropriate reward.
Non-financial Rewards
In an ever more competitive environment, the aim of organizations must now be to focus on increasing the added value of their employees. This is achieved, by encouraging employees to increase their effort and performance higher than the average standards. This has been carried out using employee appraisals and motivational methods.
Employers have become increasingly aware of the rich potential for good constructive ideas that exist from the employees on the job experiences. One method for using this knowledge is through suggestion schemes, these are becoming highly recognized, as they allow for improvements in all areas of work. These schemes are very flexible and can be readily adapted to meet all kinds of working conditions. Suggestion schemes can be seen as a means of increasing profit and worker participation.
Suggestion schemes aim to improve employee attitudes by directing their attention to the positive and progressive aspects of their jobs. This helps to boost employee morale and increase job satisfaction. It can be identified that if an employee is unhappy in his/her job it reflects on a negative attitude on his/her performance and also with other people.
Experience in many companies has shown low employee morale reflects on low productivity and increasing costly errors. Suggestion schemes play a useful role in increasing and maintaining morale.
Another method which is not related to pay is the performance appraisal system. This method is used as a means of raising individual performance and identifying development needs. Appraisal systems today are becoming part of the management culture, where managers feel it necessary to appraise and be appraised.
Self Rating, this is a form of appraisal where the employee takes a look at themselves, avoiding any negative feedback from traditional appraisals. Self rating is an effective way of trying to get the employee to look at what their roles are in relation to business needs.
It is fair to state that employees are not motivated by money alone. Paying different wage rates to employees doing the same jobs can cause more problems than benefits.
There are other incentives to reward employees, other than financial such as appraisals. Appraisals can prove to be an effective means for looking at human resources, as they allow us to:
· Ensure that the abilities and energies of individuals are being used effectively.
· Allow employers to identify better uses of individuals talents and experience.
· Training needs can also be identified.
· Future decision making as data of abilities can be kept on file for future reference.
Other examples of incentives/motivators include:
· Team briefings - Management tell sub-ordinates what needs to be achieved, this opens up the lines of communication, and makes everyone aware of what needs to be done.
· Team buildings - Employees are taken on outings to pursue some systematic group exercises led by a trainer or time spent on social activities. The logic is to enthuse a team working ethic.
· Quality circles - Regular meeting sessions where a group of employees discuss quality related issues.
It can be said that if managers are to be successful, they must focus on strategies that improve the overall performance of the business by using employees as a vital resource which needs to be nurtured and not just developing and implementing control systems to fix short term problems.
Answer. Motivation in simple words may be understood as the set of forces that cause people to behave in certain ways. It is a process that starts with a physiological deficiency or need that activities behaviour or a drive that is aimed at a goal or an incentive.
Friday, May 22, 2009
Explain the meaning, need, importance and methods of training. Discuss the existing training system of your organisation or an organisation you are familiar with.
Explain the meaning, need, importance and methods of training. Discuss the existing training system of your organisation or an organisation you are familiar with. Describe how an organisation identifies the needs of training and comes up with the appropriate training programmes. Describe the organisation you are referring to. In simple terms, training refers to the imparting of specific skills, abilities and knowledge to an employee. Training intends to develop specific and useful knowledge, skills and techniques. It is basically a task oriented activity which prepares people to carry out predetermine tasks. A formal definition of training and development is .. it is any attempt to improve current or future employee performance by increasing an employee's ability to perform through learning, usually by changing the employee's attitude or increasing his or her skills and knowledge. The need for training is determined by the employee's performance deficiency, computed as follows: Training and development need = Standard performance – Actual performance Need of Training· Increased productivity: Training programs help in increasing skill, aptitude and abilities of workers. It results in increased productivity. · Reduced Supervision: The trained employee requires less supervision and he can supervise himself. · Reduced dissatisfaction: Well-trained employees usually experience satisfaction associated with a sense of achievement and knowledge. Consequently they develop their inherent capabilities at work. · Minimum wastage and accidents: An important advantage of training is that accident, spoiled work and damage to machinery and equipments can be kept at minimum. · Organizational flexibility and stability: Trained and motivated personnel are assets for an organization who can adjust to short run variations in the volume of work whether there is loss of key personnel. Hence personnel with multiple skills are in a position to transfer to jobs where the demands is the highest. Importance of Training and developmentTraining and development programmes help remove performance deficiencies in employee. This is particularly true when –(i) the deficiency is cause by lack of ability rather than a lack of motivation to perform, (ii) the individuals involved have the aptitude and motivation need to learn to do the job better, and (iii) supervisors and peers are supportive of the desired behaviours. There is greater stability, flexibility, and capacity for growth in an organization. Training contributes to employee stability in at least two ways. Employees become efficient after undergoing training and efficient employees contribute to the growth of the organization. Future needs of employees will be met through training and development programmes. Organizations take fresh diploma holders or graduates as apprentices or management trainees. They are absorbed after course completion. Training serves as an effective source of recruitment. Training is an investment in HR with a promise of better returns in future. Training MethodsMost training takes place on the job. This can be attributed to the simplicity of such methods and their usually lower cost. However, on the job training can disrupt the workplace and result in an increase in errors as learning proceeds. In such cases off the job training methods are used. On the Job training: Popular training methods include job rotation and understudy assignments. Job rotation involves lateral transfers that enable employees to work at different jobs. Employees get to learn a wide variety of jobs and gain increased insight into the interdependency between jobs and a wider perspective on organizational activities. New employees frequently learn their jobs by understudying a seasoned veteran. On the job methods includes: · Orientation training · Job-instruction training · Apprentice training · Internships and assistantships · Job rotation · Coaching Off the job training: There are a number of off the job training methods that managers may want to make available to employees. · Vestibule · Lecture · Special study · Films · Television · Conference and discussion · Case study · Role playing · Simulation · Programmed instruction · Laboratory training I am familiar with Reliance Infocomm Ltd. Reliance Infocomm is the outcome of the late visionary Dhirubhai Ambani's dream to herald a digital revolution in India by bringing affordable means of information and communication to the doorsteps of India's vast population. Working at breakneck speed, from late 1999 to 2002 Reliance Infocomm built the backbone for a digital Existing training system of our organizationIn today's electronic world, the world wide web (www) is all pervasive. The internet and intranet are changing the face of training and learning. Using a PC, modem and a web browser, it has become possible to learn online. In our company, we are reaping the benefits of virtual learning. Employees of our company have access of self-paced computer based training (CBT) material through the firm's Intranet. Our company offers nearly 100 courses online, mostly in information technology. Learning through the web can be very convenient for employees. There are no fixed schedules or limitations of time. One can attend a course at home, in the evening, or while travelling. It is not just technical programs: soft skills can also be learnt electronically. We use a CD-ROM based manual to impart soft skills like performance management, coaching, and interviewing skills.. The CD-ROM based training is supplemented with shared learning via teleconferencing, where mangers discuss key learnings and ask for clarifications. Face to face, role-playing exercises are added for the human touch. Training need identification Needs assessment diagnoses present problems and future challenges to be met through training and development. There are several methods for the purpose:
In our organization, we developed a 3-tier need survey to identify training needs of employees at different levels. 3-tier of the proposed survey cab be described as follows: Tier 1: Identifying problems of various departments and the training needs for the various categories of employees by line managers through questionnaire. Tier 2: Prioritizing the various training areas for different categories of employees by the Senior Managers and Head of Departments. Tier 3: Based on the findings from the above two tiers, conducting interviews with the Deputy General Managers and General Managers to get their feedback. Objectives: The survey was taken up with following four basic objectives. · To identify problems of line managers which may by overcome with the help of training. · To enhance the effectiveness of present training programmes vis-a-vis identified problems. · To identify training needs of the employees in the division. · To involve line managers by initiating the process of participative management in the training function. Methodology: Tier1: A questionnaire consisting of six questions was designed and circulated to a random sample of 50 line managers from various departments in order to find out-answers to the following questions: · What are the burning problems in. the department? · What are the training needs of different categories of employees in the department? · What are the perceptions of line managers about the effectiveness of programmes presently organized by the Training Development Department? · What are the expectations of line managers from the Training and Development Department. Tier 2: A list of various training areas/programmes was compiled and circulated to 66 Senior Managers/Head of Departments. The programmes were classified under the following heads. · General Management Programmes · Behavioral Science Oriented Programmes · Technique Oriented Programmes · Functional Management Programmes · Skill Development Programmes The respondents were asked to indicate the priorities 1 to 5 under each subject for each category of employee. Tier 3: Detailed personal discussions were held individually with the seven Deputy General Managers by Training and Development managers and his deputies so as to. · Obtain their view/perception/suggestions about the training needs · To get validation of the date/views expressed in the earlier two tiers · To intimate the process of involvement of the line as well as top management Findings: The response to questionnaires was not very encouraging. This is a normal phenomenon. Based on responses, line managers identified some of the common problems for different categories of employees as given below.
Based on the above problems line managers identify the training needs of their employees. The category wise priorities of the training needs were also determined. Tier 2: Here the response to the questionnaire was much better. The information received was compiled to find out priorities for different programmes. Tier 3: Personal discussions were held with Deputy General Managers, Senior Managers of Production, Finance and Marketing departments. Findings from the earlier two tiers were also presented to them. Their views were mostly in line with views of Senior Managers in Tier 2. They frankly expressed their views and priorities. Their emphasis was on methodology so that such forums could be used to generate solutions to problems within the organization. The summary findings were discussed in detail in the Personnel Department. Some programmes were designed around real organizational problems. In some other programmes, application of concepts from innovative managers was obtained by designing some of them as Programme Directors and by involving them in identifying participants for different programmes. This method resulted in increasing the credibility, acceptance and involvement of line managers in this company's training programmes. |
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What is Job analysis? Explain the competency approach to Job analysis and the methods involved in it.
Job analysis involves developing a detailed description of the tasks involved in a job, determining the relationship of a given job to the other jobs, and ascertaining the knowledge, skills, and abilities necessary for an employee to successfully perform his job. It is essentially a process of collecting and analyzing data relating to job.
The scope and process of Job Analysis includes the following:
| 1. Collection and recording job information |
| 2. Checking the job information for accuracy |
| 3. Writing job descriptions based on the information |
| 4. Using the information to determine the skills, abilities and knowledge that are required on the job |
| 5. Updating the information from time to time. |
The process of Job analysis is depicted in the following figure:
Of late, what is coming to the forefront for many employer organizations is the increased use of competencies as an outgrowth of job analysis. Job and work analysis, once considered the backbone of recruiting and selecting employees, describe the job and then locate people for that job. Where traditional job analysis will focus on the evaluation of job tasks, duties, and particular responsibilities of a particular job, this focus is upon the workers and their relationship to their productivity or outputs. As such, two or more workers may share the same or similar abilities based on their skills and related knowledge. They may differ on what they are able to produce as a result of their abilities.
Competencies refer to individuals, how they differ, and how some may be more productive or successful with a particular employer than others with the same or similar job. Workplace competencies give the employer an added bonus in that they tend to tie the worker with the goals of the organization more efficiently than a restatement of skills and abilities. Competencies are a human capital initiative and are defined within a behavioral context. An individual's ability, or competency, may indeed come from a variety of directions, not the least of which is prior work experiences or educational accomplishments. Competencies relate to how the worker can perform the job successfully regardless of where the ability was gained or acquired.
Methods of performing Job Analysis
To determine what competencies are applicable to specific jobs, it is necessary to carry out some form of job analysis. The methods currently in use include:
· diaries: self-reporting of tasks over a specific time period (simple and non-disruptive, but selective reporting may not accurately reflect what is happening).
· interviews: employees are asked how they spend their time (recollection may be inaccurate and not reflect the true situation or interviewees may genuinely not be aware of the significance of what they have done).
· observation: an observer shadows someone over a specified period and notes their activities (time-consuming and the person being watched may act differently, but the observer actually sees what is happening, not just what they have been told would happen).
· critical incident technique: self-reporting of specific incidents where particular decisions were taken (this is supposed to isolate the essence of a particular behaviour but because it is self-selecting it may not truly reflect the competencies required in a particular role).
· repertory grid: employees report on their perception of colleagues by awarding them marks over a range of behaviours and skills (this has the advantage of being self-generating but it produces a large amount of data which requires skilful analysis).
· checklists and inventories: several types of questionnaire have been developed, many available as software programs (which aids analysis), asking about specific aspects of different jobs - these include PAQ (Position Analysis Questionnaire), JCI (Job Components Inventory) and WPS (Work Profiling System).
How work was described - before and after competencies
| | Before Competencies | After Competencies |
| Analysis of Work | "Job Analysis" | "Competency Modeling" |
| Worker | "Knowledge, Skills, Abilities and Other Characteristics" | "Competencies" |
| Methods: | Questionnaires/Interviews | Questionnaires/Interviews |
| Carried out by: | Industrial/Organizational Psychologists | Everyone |
| Assessment Tools | Tests, Interviews | "Competency-Based |
Differences Between Job Analysis & Competency Modeling
| | Job Analysis | Competency Modeling |
| Rigor - use of multiple | Medium/High | Low |
| Rigor- Reliability | Medium/High | Low |
| Rigor- Methods | Medium/High | Low/Medium |
| Rigor-Links to | Low/Medium | High |
| Focus on technical | High | Low/Medium |
| Focus on core comps. | Low/Medium | Medium/High |
Developing a competency framework
Competency frameworks can be developed in a number of ways. It is possible to draw on the competency lists produced in support of occupational standards and the framework of National and Scottish Vocational Qualifications. Many organizations develop their competency frameworks through an internal research programme, sometimes aided by advisers from an external consultancy. Methods of developing a framework range from importing an existing off-the-shelf package through to developing the entire thing from scratch. The best solution usually lies between these two extremes, namely internally generating a framework that builds in business relevance, but do this by adapting existing models that have already been widely used and have proved successful.
The design programme is usually led by personnel or training specialists who together with a small project team of line managers, conduct research among employers and managers. Research among employees, managers and directors focuses on gaining their input and knowledge to produce definitions of performance and the names of competency headings. The specific techniques and methods used to gain this feedback vary, but include interviews, repertory grid, critical incident technique, behaviour event interviews, group roundtable meetings and focus groups. The main aim of all these techniques is to participant's views on important competencies for the organization and the ways that these should be defined.
It is important that the competency framework is a good fit with the rest of the organization's HR practices and reflects its mission statement and values. Experience has shown that employee involvement is the single most important factor in the introduction of competency frameworks.
Types of framework
There are several models of competency framework, and deciding which one will be most suitable for your organization will depend on the profile of staff jobs, size of the organization and who the framework is aimed at.
Some organizations opt for one framework for all employees across the organization, which is often known as a 'core framework'. This has the advantage of being simple and easy to communicate, but has several drawbacks in terms of how relevant it ends up being to different types of employees. As a core framework tends to be very general, some organizations have problems getting employees to accept it as something that is relevant to them. Because of this, core frameworks must be carefully prepared and designed so as to be accessible and relevant to all levels of worker.
Some organizations prefer instead to produce a core framework, but then supplement it with role specific competencies to acknowledge the special responsibilities and needs of managers and other important groups. Examples of role specific competencies are people management, financial decision making and project management. This approach offers a relatively simple way of improving the acceptability of a core framework to a diverse workforce.
Another option to consider is a 'menu' style approach. This involves producing a framework, from which employees with their manager selected a few competencies, which are seen as relevant to the role an individual performs. This approach enables an organization to provide a much broader range of behavioural competencies which apply to many different types of employee, thus improving the likelihood that the competencies are seen as realistic and relevant.
The final option is to create different framework for different groups within the organization in order to take account of diverse needs. Identifying suitable groups should be done to reflect each organization's situation and priorities, but they are often based on either major functions (e.g., HR, IT, sales) or on responsibilities (e.g., managers, senior managers). These types of frameworks can be more relevant and can be more easily customized or revised to take account of changing priorities and needs. However, there are disadvantages. It can be difficult to control the development and maintenance of numerous separate sets of competencies, in terms of ensuring consistency and fairness. But also, in terms of ensuring they are linked to the organization's objectives and values.
I am familiar with Zenith computers. Zenith Computers has its headquarts in Mumbai, India. It is 25 years old with a turnover of Rs. 3 Billion. Zenith Computers has 1000 employees spread all over India in its 15 offices and manufacturing plant in Goa.Zenith's 40,000 sq ft, ISO 9001 + 14001 state-of-the-art manufacturing plant in Goa is one of the most comprehensive in the PC industry. Zenith has 800 Authorized Dealers and 350 Exclusive Retail Showrooms called "Zenith PC World" across India. Zenith is the 2nd largest Indian PC Manufacturer after HCL Infosystems. Zenith Computers has shown a higher market share than Wipro, Dell, and Acer. The market share of Zenith is shown to be at par with IBM/Lenovo, just after HP.
Zenith computers believe that traditional job analysis approaches need to be supplemented by additional methodologies that help us to look forward rather than concentrate on the present.
In our company any job analysis incorporates the perspective of the senior management team so that the company's long-term strategy can be incorporated into the competency framework. If this is done effectively, individuals can be recruited and developed to reflect the kind of managers and leaders that the company will need in the future. Without this, a company could simply be recruiting people with similar competencies, year after year, with no acknowledgement that the company has moved on.
Competencies are designed to identify what is good job performance today, and what will be good job performance in the future. Start-State Competencies tell us what behaviours are necessary for an individual to possess right at the beginning of their tenure. However, as an individual grows within the job these Start-State competencies become less important. End-State competencies are the competencies that an individual should have developed over a period of time. If a manager has successfully developed his/her skills, you should not keep comparing him/her to the same old benchmark.
A Competency Tree
These competencies are designed to reflect differences in level. A management group may have a number of levels of seniority whereby each level needs the same competencies, but the way that these competencies are demonstrated may be different.
A Competency Tree outlines the competencies common to all levels of seniority, yet the behaviours associated with these competencies are different for each level and are also described in full. This approach to competency design is particularly useful for giving employees an illustration of the sorts of characteristics expected of them as they progress within the organization.
A thorough and considered job analysis is at the heart of all good competency frameworks. Zenith's approach mixes traditional job analysis techniques, such as Repertory Grid and Critical Incidence analysis, with other structured interview techniques and tools, such as the Position Analysis Questionnaire. The time devoted to job analysis, and the number of job incumbents, superiors and peers interviewed varies with the job under consideration. Zenith computers aims to conduct these interviews in alignment with best practice, mixing diplomacy, discretion and professionalism with a high degree of scientific rigour.