Human Capital; we hear, term and reciprocate this enormous number of times. But why is it so important in today’s customer driven market?
Let’s put it this way, happy and skilled employees, working for customer’s satisfaction, delivering outputs which results in organisations’ growth scenarios. Of Course, today investing in People is as much important as investing in other input material for a desired output. And that’s not all they are the face of any organisation, so before we turn in to the set of any other resources for Clients; Clients look for stable employee sets for their results. This is one of the main reasons employee retention ratios and satisfaction level focus has grown in the recent years.
This has further added employee commitment to become much more essential and Leaders continue to encourage openness and reciprocity to build that trust. This brings in consideration of employers looking after the family of the employees directly or indirectly with the perks and in return expects a share of company’s interest from them.
Also, Needless to say that today, Indian companies have moved towards a social mission to understand a bigger prospect of the work that is executed on a small scale by employees. This brings in a sense of satisfaction to employees of how the small tasks executed by them leads to a bigger organisational goals and how they are contributing their bit in the same adding to their motivation in work. This has brought in a new aspect of leadership training with the flow to the whole organisation resulting in self-encouraged and positive individuals bringing about the new meaning in organisation culture and growth.
Here are some of the examples of organisations moving towards this cause as per an old archive article published in Harvard Business Review:
- HCL’s “Employee first, customer second” policy, supported by initiatives designed to make employees feel more personally responsible for the company’s offerings and give them a voice with upper management, does exactly this. Vineet Nayar’s public 360-degree reviews for managers is another example.
- MindTree’s cofounder Subroto Bagchi, whose title is vice chairman and gardener, spends much of his time coaching the company’s top 100 leaders. Dr. Reddy’s managers all receive training in coaching and are required to coach as well as evaluate employees. As S. Ramadorai, the former head of Tata Consultancy Services, said of his company’s success, “It’s all about human capital at the end of the day.”
- In Wipro’s sophisticated program, each of roughly 1,000 managers and executives is scored on 12 leadership measures, and individual scores are compared with company averages. The top 300 leaders are reviewed by Wipro’s chairman, Azim Premji, in a process that extends over five days. Following those reviews, the company draws up a development plan for each candidate that includes coaching, training, and rotational assignments. The process creates a pool of candidates to fill anticipated vacancies. This may sound similar to some U.S. “academy companies,” but Wipro adds other features, such as tracking possible hires outside the firm with an eye to when vacancies at Wipro will create an opportunity to recruit them.
Source: Harvard Business Review, March 2010