Aon Hewitt Total Rewards Framework The Aon Hewitt model and approach believes in considering Total Rewards as a business tool and very much linked to overall business objectives! Reward as understood is a very complex mechanism and some efforts of correcting the base pay and titling in a hurry by many MNCs in India have done a bigger crime by trying to correct it by market adjustments without looking at the talent map, complexity and expectations out of role and mapping it against the benchmark. Titles in India are a big misnomer and hardly any survey on compensation ever probes and captures and calibrates the tangible outcome based bench marking! If we dive deep, we will find that the key factors of Education, Experience and Quality of Education, Quality and relevance of experience and education are not calculated granular! A diploma holder technical manager gets the salary benchmarked for the top T-school manager with top quality experience in a challenging and break-through...
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The Hay Group Total Reward Framework A new way of understanding reward Reward strategies must be anchored in business reality to be effective. Which means linking it to your business strategy – and the needs of your employees as well as your organisation. Our Total Reward Framework helps you optimise reward, no matter how challenging the conditions. The issue Remuneration tends to be one of the worst-managed parts of an organisation’s cost structure. But with 10-70 per cent of total costs wrapped up in it, reward cannot be ignored, particularly in a downturn. To be effective, reward programmes must reflect the needs of the business, now and in the future. Only if they are tied closely to company strategy, business performance and the needs of employees can reward programmes deliver the ROI that is needed in tough times[MK1] . The Hay Group Total Reward Framework takes strategy as a starting point – and it focuses on total reward: every financial measure together with no...
Sutton's research focuses on the links (and gaps) between managerial knowledge and organizational action, organizational creativity and innovation, organizational performance, and evidence-based management . Robert Sutton is Professor of Management Science and Engineering in the Stanford Engineering School. His book, The No Asshole Rule, won the Quill Award for the best business book of 2007. Sutton was also named as one of 10 “B-School All-Stars” by BusinessWeek in 2007, which they described as “professors who are influencing contemporary business thinking far beyond academia.” Evidence-based management entails managerial decisions and organizational practices informed by the best available scientific evidence. Like its counterparts in medicine[1] and education, the judgments EBMgt entails also consider the circumstances and ethical concerns managerial decisions involve. In contrast to medicine and education, however, EBMgt today is only hypothetical. Contemporary managers...
The focus should be on e-governance and systemic change. An honest system of governance will displace dishonest persons. As Gladstone so aptly said, “The purpose of a government is to make it easy for people to do good and difficult to do evil”. Napoleon who said, ‘Law should be so succinct that it can be carried in the pocket of the coat and it should be so simple that it can be understood by a peasant’ Building trust and confidence requires an environment where there is a premium on transparency, openness, boldness, fairness and justice. We should encourage this. Interlocking accountability is a process by which evaluation could be done easily and accountability ensured If governance is by men who are derelict, the governed will suffer. We have to keep in mind Plato’s injunction: “The punishment suffered by the wise who refuse to take part in government, is to suffer under the government of bad men” Good governance must be founded on moral virtues ensuring stability and ...
It forces me to think the side that I consciously skipped! It is very difficult to assess, evaluate, savor, eulogize or criticize someone else's life and time in terms of tangible outcomes. It is nearly impossible and closely embarrassing to evaluate one's own life in terms of what we lived like, lived for and lived with. The five themes of life and its objective evaluation, I think can be done, once we ponder over and do value assessment and not value judgement of what have we done and got out of us and our lives. 1. Recognition of "self-image" -What I think of my self today (respect, love, pride and honour): How have I evolved as a person and professional, How do I see myself: Someone or Just anyone, No one or Super-star Human Being! 2. Price is what you pay, value is what you get: Have I shortchanged? Have I got shortchanged?Have I done justice to my education, role, title, salary, company, bosses, colleagues, subordinates, employees, fraternity, ecosystem...
It has been a decade since the MPM batch of SIBM 2003 passed out. I was one of them. Suddenly a thought came to my mind to have an interview with selected bunch of batch mates and check for how happy, realistic and fulfilling the journey has been, both personally and professionally. 1. Can you think for a moment, what are you ....without Job, Title, salary, Home, Family, bank balance-property ? 2. What noticeable difference, you seen in yourself/personality, as an individual in these 10 years? 3. What difference have you made in other's lives in your career? 4. Have the wish list been checked fully? 5. Have you got your dream job yet? 6. What is the brand value of the product called "you"? 7. The euphemistic, "Have you made it large?", 8. What is brand new list of wishes and dreams now? 9. Have you got the "justification" for your so called premier B school degree? 10. What is your USP, you built during 10 years in the industry? 11. Wh...
How to Build a Beautiful Company Employing open-book management and leadership by consensus, the Sky Factory's Bill Witherspoon has set out to create the perfect business. Blue-Sky Thinking Bill Witherspoon's company manufactures high-tech illusions. Its virtual windows and skylights use backlit images and high-definition LCDs to replicate clouds drifting across perfect skies. In the early 1970s, Bill Witherspoon lived for months in a school bus parked in the Oregon desert. A hundred miles from the nearest town, he spent day after day painting the sky and the clouds. He later sold his work for tidy sums. Witherspoon would spend the rest of his life alternating between painting and launching companies. His first company experimented with new methods of agricultural management. In 1982, he co-founded Westbridge Research Group, a developer of ecologically friendly agricultural products that boasted Jonas Salk as a board member. In 1990 came a brush with notoriety when Wit...
Open-book management (OBM) is a management phrase coined by John Case of Inc. magazine, who began using the term in 1993. However, the concept's most visible success was by Jack Stack and his team at SRC Holdings . The basis of open-book management is that the information received by employees should not only help them do their jobs effectively, but help them understand how the company is doing as a whole (Kidwell & Scherer, 2001). According to Case, "a company performs best when its people see themselves as partners in the business rather than as hired hands" . The technique is to give employees all relevant financial information about the company so they can make better decisions as workers. This information includes, but is not limited to, revenue, profit, cost of goods, cash flow and expenses. Stack and Case conceptualize open-book principles in similar ways. Stack uses three basic principles in his management practice called, The Great Game of Business H...
This publication is a survey written by a couple of McKinsey consultants that seek to define the characteristics of successful, I mean excellent, organizations using the McKinsey 7-S framework; Structure, Systems, Style, Staff, Skills, Strategy, and Shared Values. Their findings suggest that eight attributes are common for an excellent organization; 1. bias for action, 2. close to the customer, 3. autonomy and entrepreneurship, 4. productivity through people, 5. hands on, 6. value driven, 7. stick to the knitting (=focus on what you do best), . 8. simple form lean staff, and simultaneous loose-tight properties (balance between centralized/decentralized organization). This is it. Although the authors have a pleasant narrative style and are eloquent in making their point, I hesitate to buy into the arguments presented, first and foremost because I question the all encompassing validity of the McKinsey 7-s approach. Secondly, the authors cite companies such as ...
Nuggets of engagement. Here are 11 nuggets to get you started: Stable engagement. Despite the the economic recession, engagement levels around the world remained roughly stable 31% are engaged, and 17% are disengaged. Give or get? Engaged employees plan to stay for what they give while disengaged employees stay for what they get. Trust me. Trust in executives has more than twice the impact on engagement levels than trust in immediate managers does. Survey damage. Engagement surveys without visible follow-up action may decrease engagement levels. Engage Individuals . Work on ownership, clarity, and action. Engage Managers. Work on coaching, relationships, and dialogue. Engage Executives. Work on trust, communication and culture. Full engagement. Occurs at the alignment of maximum job satisfaction and maximum job contribution. Highly engaged. Citing McKinsey research the report states, “only highly engaged employees enable performance. Career conund...
'Celebrate what you want to see more of.' -Tom Peters Lessons from Tom Peters-- Here's the way I like to put it, which I label "Seven Steps to Sustaining Success": You take care of the people. The people take care of the service. The service takes care of the customer. The customer takes care of the profit. The profit takes care of the re-investment. The re-investment takes care of the re-invention. The re-invention takes care of the future. (And at every step the only measure is EXCELLENCE.) The obvious point: Developing people comes first. It is the "That without which there is nothing ..." Practice Perfect: 43 Rules for Getting Better at Getting Better, by Doug Lemov, Erica Woolway, and Katie Yezzi. It changed my life. I'm not actually sure about that, but I'm sure that it made me change my perspective. You damn well ought to read the book! In short, in excruciating detail, the authors make the case f...
The biggest enigma for a new employee of any organisation is knowing what is it's culture. If I honestly try to recollect what I perceived and experienced as organisational culture at the companies, I worked for, it really has been very very different, very unique, very special and very weird. Vital question is , does every organisation has a culture? Where do we find culture? In mission, vision, core values, employee handbooks? I think the first question that helps one get the seminal understanding of an organisation's culture is, Who do you think you are and who do you think you are not and do not want to be. If we know who we are and what we are for, who we are responsible for, who inspires us and what choices we make in cases of dilemma and why we chose one against other options, we would know we have a culture that values something over something else. If we know what we do and would always do, we have a solid belief in what we are and what we do and then we start lo...
What happens if LinkedIn adds few flavours of Facebook, a few of On-line store? We have seen the News Channel industry has now been transformed into Entertainment Channel. It has added more flavours from scoop to celebrity malfunction to laughter and spoof bites. Presenters have become Characters and even change dresses to suit the entertainment needs, like they do in Circus. You would observe, LinkedIn is pumping lots of article links throughout the day. It seems LinkedIn is trying hard to retain its members. Celebrity 'Aastha channel' kind of gospel preachers has appeared. These are young-sexy corporate Saadvis! Give them some hearing please! LinkedIn, it seems is flavour aware and flavour conscious company, as it is making a few changes in the way we operate it. But it seems, its business and profitability model is pulling it as a media that can earn for space. No wonder, we will have re-targeting hits on LinkedIn soon. Also observed that the quality of questions on fo...
On hiring Mr. Nayar sounds more like the HR Department at Southwest Airlines than the CEO of an international technology company. He said "I like to hire people who have the desire inside them because I can't create it. I can help you find your desire, but I can't create it." I have always found the most effective way to screen for desire is to try to convince a prospective new employee that they should choose something else. If they don't fight back and stand up for what they believe in I know they will eventually choose another path. Using this same style process Mr. Nayar finds that 90% are unsure of what they really want, they've not found their "true north." Another key question he uses is "What do you want to do next?" He wants learners not teachers. His interview style focuses on intent not just content. He likes questions like; What excites you most? What depresses you most? As the final leg in a lengthy interview proc...
Reverse accountability is just not limited to-- Employee opening a ticket and he only closing it for matters as simple as, unhappy with HR, expense claims processing taken time longer than expected or disagrees with Manager, he shall open a ticket. Tickets are online and public to company. Sounds outrageous, right? But this is how the beginning of Change Management looks like. Call it ' Reverse Accountability' , as they call it at HCL Tech. This is equally true for innovation to customer delight to creating shareholder value! “ We must destroy the concept of the CEO. The notion of the ‘visionary,’ the ‘captain of the ship’ is bankrupt. We are telling the employee, ‘You are more important than your manager.’ Value gets created between the employee and the customer, and management’s job is to enable innovation at that interface. To do this, we must kill command-and-control.” HCL Tech CEO Vineet Nayar As a first step in diagnosing the company’s sub-par growth, Vineet...
From Core Competencies to competitive advantage, war for talent to talent coding, capability building framework to creating new benchmarks, setting new standards, new world order and new way of thinking, believing, striving and succeeding have always been left to management experts who inspired the industry captains and reminded them about their eternal and immortal values to establish the new concept of being and being successful! From CK Prahalad and Garry Hamel to new age Daniel Coyals, we have several icons of awakening in the world we live, compete and thrive! What worries me is not the dearth of game changing thoughts or of transformational leaders, but the flood of coolies everywhere, who just know one thing, keep doing the same work, just maintain, just control, just tread the old and outdated path. We have stopped celebrating heroes, who are out of the herd mindset and have courage to challenge the status quo, courage to question the sacrosanct dilapidated concepts and...
Got to see some weird HR bosses during last few months! One HR boss who was interviewing me for CK Birla groups's corporate HR role, distrusted me when I said, my company helps pharma companies in ERP implementations. What she doubted was that, "how come your 5 member team do ERP implementation? It requires 30 people or more. She asked me if I was sure!" Interesting isn't it? No blame to her being so average after having worked in industry for more than 12 years and the likes of Accenture and UB group. She should know that SAP has been implemented even in shops where 10 employees sell tyres and accessories. Someone please teach these half-baked muffins, to keep learning and do not be complacent and headstrong. Being boss is not stopping learning and correcting yourself! Infosys calls me for interview for OD position and the JD clearly mentioned that they are looking for a premier B school candidate, which I am. When I meet their office, I meet a lady, who heads tha...
If you’re looking for management lessons from outside the halls of corporations, you could do worse than to study the United States Army. That master of management teaching Peter Drucker often turned to the military of his adopted nation for inspiration, especially on matters of leadership. Take, for example, this advice from his 1967 book The Effective Executive: It is the duty of the executive to remove ruthlessly anyone—and especially any manager—who consistently fails to perform with high distinction. To let such a man stay on corrupts the others. It is grossly unfair to the whole organization. It is grossly unfair to his subordinates who are deprived by their superior’s inadequacy of opportunities for achievement and recognition. Above all, it is senseless cruelty to the man himself. He knows that he is inadequate whether he admits it to himself or not. When standards are not rigorously upheld and inadequate performance is allowed...
Bernanke starts with a bit of a head-fake to the journalists who cover him, saying that he recently wrote to inquire about the status of his leave from the university, only to get a letter back that said, “Regrettably, Princeton receives far more qualified applicants for faculty positions than we can accommodate.” Nobody likes to fail but failure is an essential part of life and of learning. If your uniform isn’t dirty, you haven’t been in the game. Here’s some real talk for the graduating class at Princeton University: “The concept of success leads me to consider so-called meritocracies and their implications. We have been taught that meritocratic institutions and societies are fair. Putting aside the reality that no system, including our own, is really entirely meritocratic, meritocracies may be fairer and more efficient than some alternatives. But fair in an absolute sense? Think about it. A meritocracy is a system in which the people who are the luckiest in their health and ...