Pay and Rewards in Human Resource Strategies

Pay and Rewards in Human Resource StrategiesIntroductionSocometal is joint ventures were 52% owned by French corporation and 48% by Senegalese it deals with metal container and prat. 150-800 be hiting in the comp both for the past 20 years with the profit of $144 million.AnalysisIn this case arna we can incur three important people they are Diop is a Senegalese engineer (Asst Production Manager), Mr Olveir Bernard is a yield Manager from France and NDiaye is a grinder performanceer. African focussing systems are followed in running the comp each. Majority of the omnibuss are from Africa with merely 8-10 Managers are from France. There was a meeting, where NDiaye requested Diop to sign an agreement regarding the extra time of both hour benefits to increase the production by 30%. NDiaye is solely responsible for the entire production process. Accepting the offer he positively replied that We could level off produce more. 12000 units are manufactured per day and requests for 30% increase in the production level. Mr Bernard did not have good quality of manager as he was arrogant, uncommunicative and negative because of his character growth was limited. Socometal agrees with the sheer to meet the short time increase in the volume of production. After doing around computer science this was not agreed by Mr Bernard as he said We forget never get from our workers after saying this he went to his home town receivable to illness. After the agreement proposal by Diop, he went to different surgical incision to discuss the proposal. near French and Italian expatriates expressed that the workers will not do overtime but most agreed it was worth a try. Diop gave his agreement on condition to NDiaye by ensuring 30% increase in production by end of the day. Wages will be fixed only after assessing the increase of production by the worry. One old French logistics manager said Africans arent lazy but they work to live, and once they have enough they refuse t o do more. Action came into play after four years negotiation between Diop and NDiaye. meet was entirelyocated to two of his subordinates to save enough time and energy to mobilise the workers. One of the Senegalese foreman declared that this agreement is an whizz of the best practice were workers can earn an extra m whizy and as well as show French management that they are more capable workers than they think. Worker started one extra hour per day to increase the production to 8% more than expectation. Production levels been increased to 18000-22000 units per day between 38%-43% in two month time they created history and totally the workers were so proud of their results. Mr Bernard returned from his illness he was shocked to see changes in the comp each there was dispute between Diop and Mr Bernard regarding the two hours make to the worker, where work was achieved in one hour. Diops agreement with worker was not accepted by his manager and he stated that you have put the management in trouble and acted against company policies. He was unable to express his views about the process change to his manager as he was not interested. Thinking in employees prospective he plans to meet the Managing Director. To respect the run-in of Diop and NDiaye workers decided to maintain the new production level. The worker expressed if Mr Bernard deals the same as he did onwards the production reduces to normal.Background of HRM in IndiaIn todays world there is intense cut throat competition and everyone wants to reach great heights in enounce to stop in the top level for a longer period of time. India is land of opportunities and it is becoming one of the hot spots in the world. Human imagination management is not same all over the world, its entirely differs from the societies within mortal countries. Culture is defined as a group which moulds a person values, ethics and identity with the following differences like ethnicity, race, gender, class, religion, cou ntry so on and so forth. Cross culture in management terms- It means people working in the different cultural environment with different sets of people with different culture, caste and etc. However it is said that culture is concerned with the behaviour of our job, its all about adopting to the working environment, cultural differences, styles, participate in meetings, what we speak and finally dealing with the differences. Every company has an constitution structure and differs with each company it literally means the companys structure of an organization according to their duty assignment and ranks, 3 types of hierarchy system which is maintained in our country namely hierarchical, matrix and flat. These structures are hustling keeping just one home culture which indirectly hits back as diversity of culture is involved. It deals with the vision of the company and also defines responsibility to each staffs or respective(prenominal)s. It is also called as a management tool wher e division of labour is cultivated and it gives detailed structure of fibre from upper level management to lower level of management. Most companies in India are quality centric organizations which are ISO 90012000 certified which generally means quality is maintained. Managing people in India requires micro management strategy only with this strategy best outcome is resulted as when we compare to our western countries is different. Companies tends to run business on one talented individual who will have the main control to direct the employees in order to get the assigned work done without any further questions.Meaning of compensate in management termsPay means its an amount which is paid to the staff in the organisation for the services rendered. There are 2 types of compensate i.e. fixed and variable pay. Pay scales vary as per the role and designation in the company. Now let me usurp you to the subject matter of pay pleasure in India. We all know that salary is an outcome o f an employees work and it plays a vital role in the tenure of stay in an organization. Two types of organisation are operated in India they are Private and Public organisation. Private organisation pays more to employees compare to public organisation. Job security is less in mystical organisation when compared to public organisation. Some employees are paid more than the fixed salary due to personal attributes there are 2 types of variable are fixed and variable pay.All the companies in India are performance driven organization and they will undertake various improvements on research and development techniques by encouraging SMART objectives in order to drive and reward performances. In order to encourage performance, the company institutes a variable pay plan, for staff members in Work Level 1 and Work Level 2, Variable Pay is based completely on individual performance outcomes and for staff members in Work Level 3 and above the plan is based on documented annual corporate miles tones translated into annual departmental and individual goals and performances. The performance contributions in the individual and corporate goals are rewarded every quarter. Below table is one of the examples of variable pay scheme.Managers in IndiaManagers are one of the core head of a company with a significant impact in terms of their toolation in international companies. A manager should build a good ringing with his employees and however he should be kind and if any problem arises he should handle it carefully as many of the employees future hangs with him. There is a saying like, full(a) managers gives good business. Managers are exceedingly excellent and they have their own strengths in companys point of view. Strengths as follows like communication skills, managing a team, convincing employees, motivating and etc. Employees work harder and their work will not be notified as more of internal politics takes place. Let me give u an example to second my statement.Eg- Mr A works in, MT company for 5 years and he does not have good skills to nutriment his tenure in the company, he was staying only because he had good sonority in the higher level management and Mr B joins Mr A as a colleague in the same department 3 years earlier, after 2 years there was an requirement for aged position where Mr B had all the requirements to support his 2 years stay in the company, management took a bad decision by recruiting Mr A stating that he had better work experiences when compared with Mr B.This is how mangers in the company hire an existing employee to a next level even though employee has good skills and all the qualifications to match the job profile, they would rather go to an employee who has only experience and not anything else.The final stadium of consideration in human resource management is pay and reward in perception relating to featherbed cultureCross culture issues come in the organisation level, the simple reason is that companies operates in different countries organizes their daily activities or business differently. Cross culture takes place when company goes for globalisation.One of the major competitions that the companies in India encounter is that in the domestic market, for instance, that international firms now faces a stiff competition from goods produced in India by imports and MNCs.Cross culture differences causes a great quarrel to HRMFactors affecting industrial relations, loyalty, productivity etc are the perspective of the employers, values, outlooks, beliefs and the social factors. Its a never ending process and there is no stoppage to pick the cross cultural differences as they are many. We can differences in the labour mobility and inter personal factors. Let me give a best example.In UK we can find that head of the company or stereotype will be called as MR or by name but in our country addressing a boss by name would not be receivedAttitude towards employmentAttitude varies from one individual to another individual, in the same way attitude of employers and employees in different country changes. We have heard about, Fire and Hire policy, as it is common in many countries but in some countries they follow lifetime employment. Earlier we (India) were following lifetime employment and employees will have right to change job as they preferred without giving any opportunities to newcomers by creating a surplus manpower and in these situations it is great difficult in dislodging inefficient employees. However the good news is that we are changing to the contrary culture by implementing Fire and Hire Policy.SalarySalary is nothing but a sizeable amount which is paid to employees of the company which may be fixed or variable. Money plays a major part in everyones life and it has become an essential resource just like water and look where we cant live without it.In India salary is not fixed for all the employees even though staffs in the same team work together, there chaw of differences which really hurts in a big time. This is because of internal politics among employees and management, in this case not only management has to be blamed but also employees who uses personal force like emotions, love or attachments.Recommendations or influenceRecommendations play an important role in India.For instance an employee, who does not have any management skills and ability to work in a company, still will be recruited to work due to the influence of higher authorities like politician, senior workers in the organisation and etc. When compared to other parts of the world, the entire management system is purely based on the individual working skill and attitude. implementation AppraisalPerformance appraisal is nothing but the assessment of employees performance and meeting the set targets. In India appraisal is done on yearly nates and employees will be intimidated by the pay increase from the management. We have skilled labours and pay is not compensated with tha t skills. By evaluating employees performance management takes all the necessary aspects into consideration like metrics which should always be green and not even amber is entertained. Before performance appraisal, managers would speak in such(prenominal) a way that better appraisals are given to the workers and get the job done even on weekends where salary is not counted for that day. They would also tell that they will look after the future growth in the company but fail to do so even though they employees have brilliant continue records. Once appraisals are done managers does not even listen to employees feedback on appraisals.The following chart demonstrates increase in HRA, Current adaptation and Medical Allowance and there is no difference in Basic Salary even though performance appraisal in increased by 4% earnings and rewardsCompensation entails salary and other benefits, salary refers to the remuneration or salary the employees earn, the reason for compensation is that employees work harder which will influence the attitudes and behaviours. In other words its just like a motivation or energising employees to perform at the highest well. Compensations are just said but its not given.Managements DecisionManagement takes decision only in companys point of view and not in employees perspective. Before taking decision even suggestions from the employees are not welcomed. Even employees do understand its not necessary to consult in the entire cases but to some extent it has to be discussed where employees are involved in the work. An individual idea does not count even though we (employees) are called as company assets.Employee RelationsGood employee relations will be recognised with the good rapport and team building environment but in India employee relations are not as very good as it was earlier. Employees are not precious as they are underrated even though they perform well.RecommendationsEach and every employee should be interact equally with no variancesAll the employees must be treated equally with respect and there should not be any variances. It means that management sets up company policies stating that there should be no discrimination, harassment of any employee either directly or indirectly with respect to race, culture, nationality, marital status and age etc. However employees do not follow and creates hassle in the organisation by not following the ethics and principles.Manager should build good rapport with the employeesThere are several factors which contribute to build rapport with the employees. Managers earn their respect by respecting the employees. If an employee does not perform well or fail to meet the target, discus the problems that they face in an informal way and support them when they are down and out. Have an informal talks when needed than formal talks, they should not neglect their work as priority should be given to employees work than anything else.A manager should entertain to have open discu ssionsManager is not the only person who works in the organisation but there are many of the employees, staffs and workers work above or under him. Good decision yields good business to the company so when managers take decision he should take decisions in management point of view and with the employees perspective in a better way.Minimum wage act as per Government of IndiaRevised wage is Rs 100 per day and it is not properly designed to lower categories of people working in the organisation such as security, housekeeping department, etc. Some people do not know what our minimum wages is and company utilizes the resources very well, as majority of the employees are illiterate.Government of India should ban consultancies or agencies who operates illegitimatelyConsultancy is a recruitment centre where people are trained and recruited on behalf of the company. There are number of consultancies in India and its rapidly growing, People who lack skills can even join the company by paying huge amount of money and consultancies are misusing it in the name of recruitment. Where as in other countries the role is to forward the resume to the company and their work stops.Employees should be compensated with better payAwards and reward is not given to the individuals who works in the company and their work is not recognized by the top level management. Skilled labours are not paid properly for their work. Most of the MNC companies have their employees to sign a contract or just like a bonded labour which is illegal in India but management follows the same and interestingly employees signs the contract because of stiff competition in the market and risk of not getting the desired job. Compensations are not paid fully and correctly in time during emergencies. During training period and internship programmes trainee should be given atleast minimum wages to satisfy the basic needsSalary structure should be well organised by the managementManagement should implement good perfo rmance appraisals as in India we can find that whenever appraisals are done only with respect to HRA, medical and travelling allowances, no changes are make in the basic salary. Management plays a hidden role in fixing the basic salary to the employees, as it should fix different levels of basic pay as per the role and designation in the company. So whenever an employee moves forward to the next level, he should be accompanied with respect to the salary structures as per the requirements of the specified designation demands.ReferencesArmstrong, M. (1997) People and Organisation. capital of the United KingdomHenderson, I. (2008) Human Resource Management. London CIPDJohnson, R. (2004) The Practice of Cultural Studies. London SAGEPerkins,Stephen J. Shortland, Susan M. (2006) strategical International Human Resource Management. London CIPDSharma, a. Khandekar, A. (2006) Strategic Human Resource Management. London SAGEThomas J Bergmann Vida G Searpello (2000) 4th edn. Compensation D ecision Making. LondonWilly McCourt Derek Eldridge (2003) Global Human Resource Management. London(n. d.) online available from 04.04.10(n. d.) online available from 08.04.10(n. d.) online available from 15.0410(n. d.) online available from 16.04.10(n. d.) online available from 17.04.10(n. d.) online available from 14/04/2010