A Project report on

Talent Management Survey

In

COMPANY Ltd.

A Project Report submitted in partial fulfillment of

the requirements for the degree of
Master of Business Administration

By

Amol Bhagwan Kasar

PRN:

Kalyani Ravindra Sapkal

College of Management Studies,
Sapkal Knowledge Hub, Kalyani Hills,
Anjaneri-Wadholi, Trimbakeshwar Rd,
Nashik-422212. Tel-(02594)220165.

Project Guide: Mrs. Manisha Gaikwad

To
Pune University-Pune-411007
Year-2008-10
 2

ACKNOWLEDGEMENT

Words put on paper are mere ink marks, but when they have a purpose there exist a
thought behind them. I too have a purpose to express my gratitude towards those individuals
without whose guidance the project would not have been possible.

I would like to express my thanks to Mr. G. M. Pitale (Head Personnel Division),

COMPANY Ltd. Who has kindly permitted me to undertake the project in the organization.

I am also thankful to Mrs. Alka Jadhav and other members of the organization for their
support and providing the required information.

It was a pleasure to be associated with COMPANY Ltd. The experience that I have
garnered has had a profound impact on my career choices and has helped me realize what is
requisite for success in the corporate world. I carry high regards for the complete team of
COMPANY Ltd.

I also take this opportunity to express a great sense of gratitude towards our Director,
Dr. B. B. Rayate and internal project guide Mrs. Manisha Gaikwad for providing me vital inputs to
co-relate the present project work and hence provide a sound base to the report structure. A special
word of thanks also goes to all the teaching and non teaching staff of my institute and my Friends.

Date: 07-11-09 Amol B. Kasar

 3

DECLARATION

I hereby declare that this Project Report titled Talent Management submitted by me is based on
actual work carried out by me under the guidance and supervision of Mrs. Manish Gaikwad.
Any reference to work done by any other person or institution or any material obtained from
other sources have been duly cited and referenced. It is further to state that this work is not
submitted any where else for any examination.

K. R. Sapkal college of Signature of Student

Management Studies.
Kalyani Hills, Sapkal Knowledge Hub,
Anjaneri-Wadholi, Trimbakeshwar Rd,
Nashik-422212. Amol. B. Kasar
Tel-(02594) 220165.

Date: 07-11-09
 4

CERTIFICATE FROM THE GUIDE

This is certify that Amol Bhagwan Kasar has completed the Project Report on
Talent Management under my guidance and supervision , and submitted the report as laid down
by Pune University, Pune. The material that has been obtained from other sources is duly
acknowledged in the report. It is further certified that the work or its part has not been
submitted to any other university or examination under my supervision. I consider this work
worthy for the award of the degree of Master in Business Administration.

K. R. Sapkal college of Signature of Guide

Management Studies.
Kalyani Hills, Sapkal Knowledge Hub,
Anjaneri-Wadholi, Trimbakeshwar Rd,
Nashik-422212. Name:
Tel-(02594) 220165.

Date:
 5

Sr. No. Contents Page

No.
1 Chapter 1: Introduction 7-11

1.1 Object of the project

1.2 Introduction of study
1.3 Objectives of the study
1.4 Rationale of the study
1.5 Scope of the Project
1.6 Limitations of the Study

2 Chapter 2: Research Methodology 12-17

2.1 Review of literature

2.2 Research Design and sample size
2.3 Primary and secondary data and its
sources
2.4 Statement of hypothesis

3 Chapter 3: Profile of the 18-25

Organization

3.1 Introduction of the organization

3.2 Network/Products/Branches of
organization
3.3 Flow Chart of the organization
3.4 Mission of the organization

4 Chapter 4: Introduction of Talent 26-30

Management

4.1 Introduction of Talent Management

4.2 Talent Management v/s Traditional HR
Approach
4.3 Understanding Talent
4.4 Human Capital Management

Talent Management Survey

 6

Index
 7

Sr. Name of Chapter Page

No. No.
5 Chapter 5: Talent Management 31-42

5.1 Meaning and Definition of Talent Management,

Importance of Talent
Management.
5.2 Challenges of Talent Management,
5.3 How to Manage Talent?
5.4 Steps involved in Talent Management Process

6 43-49
Chapter 6: Performance appraisal
6.1 What is Performance appraisal?
6.2 Methods of Performance appraisal
6.3 How performance appraisal conduct in Company
Ltd.

7 50-60
Chapter 7: Career Planning
7.1 Meaning, Definition and procedure of Career
planning,
7.2 Benefits of Career Planning,
7.3 How implement career planning in Company
Ltd, Nasik.
7.4 Succession Planning: Meaning, Definition
Importance.
7.5 Implementation in Company of succession
planning.

8 61-69
Chapter 8: Training and Development
8.1 Training and development: Meaning, Definition,
Procedure, method.
8.2 How training is necessary for Development
8.3 Method of training
8.4 How training is conduct in Company ltd. Nasik?
Documentation and procedure for training in
Company ltd. Nasik.

9 Chapter 9: Conclusion and testing of 72-80

hypothesis
 8

10 Chapter 10: Suggestions and 81-85

recommendations

11 Appendices 86-89
I Questionnaire
II Bibliography

Chapter 1: Introduction
 9

Chapter 1
1.1 Introduction of the study
Talent Management

Talent management implies recognizing a person's inherent skills, traits,

personality and offering him a matching job. Every person has a unique talent that
suits a particular job profile and any other position will cause discomfort. It is the job
of the Management, particularly the HR Department, to place candidates with
prudence and caution. A wrong fit will result in further hiring, re-training and other
wasteful activities. Talent Management is beneficial to both the organization and the
employees. The organization benefits from: Increased productivity and capability; a
better linkage between individuals' efforts and business goals; commitment of valued
employees; reduced turnover; increased bench strength and a better fit between
people's jobs and skills. Employees benefit from: Higher motivation and commitment;
career development; increased knowledge about and contribution to company goals;
sustained motivation and job satisfaction.
In these days of highly competitive world, where change is the only constant
factor, it is important for an organization to develop the most important resource of all
- the Human Resource. In this globalize world, it is only the Human Resource that can
provide an organization the competitive edge because under the new trade
agreements, technology can be easily transferred from one country to another and
there is no dearth for sources of cheap finance. But it is the talented workforce that is
very hard to find.
Talent signals an ability to learn and develop in the face of new challenges.
Talent is about future potential rather than past track record. So talent tends to be
measured in terms of having certain attributes, such as a willingness to take risks and
learn from mistakes, a reasonable (but not too high) level of ambition and
competitiveness, the ability to focus on big picture issues, and an awareness of their
own strengths, limitations and impact on others.
Several talent management processes need to be in place on a strategic
level in order ensure its success. Such processes/strategies include talent
identification, recruitment & assessment, competency management, performance
management, career development, learning management, compensation,
succession planning etc.
 10

Talent management has a number of benefits to offer such as employee

engagement, retention, aligning to strategic goals in order to identify the future
leadership of the organization, increased productivity, culture of excellence and
much more.

1.2 Objectives of Study:-

In the current scenario of cutthroat competition, every company has to survive

to satisfy its customers by providing them quality products and services. The summer
training at Company, was undertaken with a view to study certain fundamental as
well as the commercial and operational aspects of the company. The training
involved the study of the following:

To understand the entire procedure of Talent management

To understand the need of Talent Management
To study the accuracy and quality of work of employees by talent management
procedure.
To suggest possible improvement in Talent Management process.
 11

1.7 Rationale of the study

The talent in an organization refers to the current employees and their valuable
Knowledge, skills and competencies. Talent management (or succession management)
is the ongoing process of analyzing, developing and effectively utilizing talent to meet
Business needs. It involves a specific process that compares current talent in a
department to the strategic business needs of that department. Results lead to the
development and implementation of corresponding strategies to address any talent
gaps or surpluses.
Talent management for the HR Community is a priority of the HR Strategy for
the HR Community. Not only does the HR Strategy support the HR Community as its
own professional group, but it also recognizes and will support the role human
resource professionals have to help their clients become skilled, committed and
accountable public servants. The implementation of a talent management process that
is transparent and equitable is expected to create an environment for people to
develop their skills in preparation for a range of future possibilities thereby preparing
the workplace for changing roles. The goal of this process is to map the business
needs of the HR Community with the potential and career development needs of our
people in order to develop a comprehensive Talent Management Plan.
 12

1.8 Limitations of Study:-

1) All the functions are only related with the personnel department.

2) Limitation about the working hour of the worker in the factory.

3) Limitation about the time and absenteeism.

4) Company not allowing to disclose confidential information

5) Time factor was the major limitation of this survey. Because during survey any
activity of organization which is directly or indirectly related to the production
process should not disturb due to survey.

Object of the project:

This Talent Management Project I completed from Company, For the

fulfillment of the full time course of MBA of Pune university for the year 2009-2010.
In Company I made research on Talent Management process because company want
to know that, is it talent management is really beneficial for them or not. I proved
them that talent management is really beneficial for company by doing this project.
I completed this project because it was a requirement of our MBA full time
course. I learned various things in this project, like audit, SAP HR module, personal
administration. Etc.
 13

Chapter 2: Research
Methodology
 14

Chapter 2: Research Methodology

Review of literature

TALENT MANAGEMENT V/S TRADITIONAL HR

APPROACH

Traditional HR systems approach people development from the perspective of

developing competencies in the organization. This can actually be a risk-prone
approach, especially for companies operating in fast evolving industries, since
competencies become redundant with time and new competencies need to be
developed. Thus, over time, the entire approach to development of people might be
rendered obsolete calling for rethinking the entire development initiative.

Talent management on the other hand focuses on enhancing the potential of people by
developing capacities. Capacities are the basic DNA of an organization and also of
individual potential.

D Point of Departure

N Navigation

A Point of Arrival

In fact, the following appropriately describes the role of talent management:

 15

Translating organizational vision into goals and mapping the required level of
capacities and competencies to achieve goals aligning individual values and vision
with organizational values and vision.

Clear understanding of the varied roles within the organization and appreciation of the
value-addition from self and others leading to building a culture of trust, sharing and
team orientation.

Assessment of talent to profile the level of capacities and set of competencies

possessed within the organization.

Enhancing capacities to learn, think relate and act through development initiatives.
Individual growth to meet and accept varied incremental and transformational roles in
an overall scenario of acknowledged need for change.

Gap analysis and identification of development path helping individuals realize their
full potential through learning & dev.
Developed individuals enabling breakthrough performance

4.3 Understanding Talent

The idea of developing talent is not a new concept in any business. In fact
every successful company that has 'stood the test of time' has done so, Because of
their ability to attract, retain and get the best out of their talent.
Today we read of a 'war for talent. This has emerged, not because companies have
forgotten about talent, or allowed it drop off of the radar but, because in some
fundamental ways, the talent has changed. We have a new kind of young person
entering the business world, with a very different world view, set of values, priorities
and goals.

Focus 1: Attracting and recruiting Talent:

In order to effectively attract and recruit talented employees you need to

understand what talent is looking for in a career and how they will view your business
in terms of fitting in with their needs. Your approach to each one of your potential
recruits needs to be altered to suit that they are.
By examining this through the perspectives of the different generations, we are able to
look at their attitudes to work what kind of career, organization and benefits they are
looking for and know what kind of techniques will ensure that your recruitment
process is successful in each generational context.

This focus unit looks at the following:

o attitudes to work
o career goals
 16

o views on organizations and how they are currently run

o what benefits each generation is looking for
o Techniques to attract the different generations: what will make your
organization stand out?
o Techniques to recruit the different generations: how should the job offer be
presented?

Focus 2: Retaining and developing Talent

In order to effectively retain and develop Talent you need to understand what the
generations are looking in a future career and in an organization. Your approach to
each one of your employees needs to be altered to fit individual goals and personal
needs.

This focus unit looks at the following:

o work ethics and values
o career planning
o work environments and culture
o benefits and reward systems
o ways of motivating

Focus 3: Managing Talent

An in depth look at how the generations internalize authority will enable you to adjust
your management style to fit in with who they are.
We are able to look at the attitudes of the different generations to leadership and
management; what kind of management approaches will ensure that you gain maximum
loyalty, productivity and job satisfaction from each of your employees.

This focus unit looks at the following:

o attitudes
to authority
o management styles for the different generations including conflict management
o leadership styles used by the different generations
o specific techniques to help you manage different generations including
communication and feedback preferences
o coaching and mentoring preferences including
 17

The role of coach

The coaching process

How to plan for and create conversations

Research Methodology

Research Methodology is a way to systematically solve the research problems. It

may be understand as a science of studying how research is done scientifically. In it
we are studying his research problems along with the logic behind them. It is
necessary the researcher to know not only the research method techniques but also the
methodology.

Types of Research:-

It is descriptive type of research. Descriptive Research survey and fact finding

inquiries of different kind. The major purpose of descriptive research is descriptive
the state of affairs, as it exist at present. The main control over the variable; he can
only report what has to discover the even when there he cannot the variable. The
methods has to researcher utilized in descriptive research are survey methods of all
kind.

Data Source:-

The source of project depends on accurate data. Thats why data collecting the
appropriate data, which differ considerable in context money, cost, time and other
resources at the disposal researcher.

There are two types of data collection methods available:-

1) Primary Data Collection Method.

2) Secondary Data Collection Method.
 18

2.3 Primary And Secondary data

1) Primary Data Collection Method.

Primary data are those that are obtain by the user for fulfillment their purpose. I
have taken Primary Data through personal visit of HR head, and HR executive, of
Company Ltd. At all levels and observation methods to get more reliable information.
I also collected primary data by filled, Yes or No format questionnaire by the
employee of Company, This data helped me to justify the statements that have made
in this project.

2) Secondary Data Collection Method.

The Secondary Data is that which is already collected and stored or we can say
already saved or ready data by others. I got secondary data from their journals,
records, specimen of appraisal form etc. And from newspapers magazines, articles,
internet etc I got basic information of Talent Management. I collect secondary data by
referring some specimen of company and by referring some books and web sites of
company from internet.
 19

2.4 Statement of Hypothesis

Hypotheses are the essential assumptions which the researcher formulates

about the possible causes, findings and ultimate output of the issue in under research.
Under hypotheses mere assumptions or suppositions are made which are to be proved
or disproved. For researcher it is a formal question that he intends to resolve. A
hypotheses consist either of a suggested explanation for a phenomenon or of a
reasoned proposal suggesting a possible correlation between multiple phenomenon.
The assumptions be true or false are to be proved through the completion of project.

The hypotheses for this project are as follows:

Null Hypothesis:
Employee taking benefits from Talent Management System

Employee can retain successfully for the benefit of organization

Employees performance increased by talent management

Employee turnover of organization affected by Talent Management Procedure

Alternate Hypothesis:

Employee are not able to take benefits from Talent Management System
 20

Employee can not retain successfully for the benefit of organization

Employees performance can not increased by talent management.

Talent Management is not affecting on employee turnover of organization

Chapter 3: Profile of the

Organization.
 21

3.1 History of Company

Founder of Company-Werner von Company

Born- 13 Dec. 1816 to 6 December 1892

Company was founded by Werner von Company on 12 October, 1847. Based on

the telegraph, his invention used a needle to point to the sequence of letters, instead of
using Morse code. The company then called Telegraphen-Bauanstalt von Company
& Halske opened its first workshop on October 12.

In 1848, the company built the first long-distance telegraph line in Europe; 500 km
from Berlin to Frankfurt am Main. In 1850 the founder's younger brother, Sir William
Company (born Carl Wilhelm Company), started to represent the company in London.
In the 1850s, the company was involved in building long distance telegraph networks
in Russia. In 1855, a company branch headed by another brother, Carl von Company,
opened in St Petersburg, Russia. In 1867, Company completed the monumental Indo-
European (Calcutta to London) telegraph line.
 22

In 1881, a Company AC Alternator driven by a watermill was used to power the

world's first electric street lighting in the town of Godalming, United Kingdom. The
company continued to grow and diversified into electric trains and light bulbs.

As Werner had envisioned, the company he started grew from strength to strength
in every field of electrical engineering. From constructing the world's first electric
railway to laying the first telegraph line linking Britain and India, Company was
responsible for building much of the modern world's infrastructure.

Company is today a technology giant in more than 190 countries, employing some
440,000 people worldwide. Our work in the fields of energy, industry,
communications, information, transportation, healthcare, components and lighting has
become essential parts of everyday life.

While Werner was a tireless inventor during his days, Company today remains a
relentless innovator. With innovations averaging 18 a day, it seems like the revolution
Werner started is still going strong.

In 1890, the founder retired and left the company to his brother Carl and sons
Arnold and Wilhelm. Company & Halske (S&H) was incorporated in 1897. In 1907
Company had 34,324 employees and was the seventh-largest company in the German
empire by number of employees.

In 1919, S&H and two other companies jointly formed the Osram lightbulb company.
A Japanese subsidiary was established in 1923.

During the 1920s and 1930s, S&H started to manufacture radios, television sets, and
electron microscopes.
 23

3.3 COMPANY AG - A Strong Global Presence

Company is a world-class supplier of electrical and electronics products and

system serving one of the longest and most diversified markets worldwide. Company

Ltd. in India is a subsidiary of Company AG, Germany. Company AG have been

closely involved with developments that are at the leading edge of electrical and

electronics engineering ever since the pioneering inventions of the founder of the

company Werner Von Company.

Company strength, acquired over many decades of pioneering research and

practical experience, lies in the development of advance technologies and in their

timely application to a wide range of high Quality, Innovative and cost effective

products. As a global company, Company have manufacturing, sales and services

facilities in more than 170 countries. Employees worldwide in the offices, factories,

laboratories and service organizations total to about 3, 90,600. All committed to

providing the highest standards of technological competence that Company has been a

synonym for, right since inception.

In todays fiercely competitive business environment, corporate strength can

be achieved and maintained only with a strong base of highly qualified and motivated
employees. Qualified professional training however provides merely the basis for a
successful career. Changes in technology and the business environment occur so
rapidly that know-how and skills must be constantly updated, enhanced or completely
supplanted. Each year more than 150000 employee at Company AG participate in
over 20000 seminars and courses designated to none professional and personal skills.
While 10800 trainees are undergoing training in manufacturing, technical and
commercial trades.
 24

3.4 Company in India

Company association with India began in 1867 when WernerVon-Company

personally supervised the laying of the first sub marine telegraph line between

Calcutta and London. This historical event marked with the beginning of a long and

fruitful association. Company and India have grown together. In making the countrys

priorities its own, Company has put its experience and expertise in areas of national

importance. Company have played an active role in the technological progress

experienced in the last four decades. Company grew out of a response to the needs of

the nation. Today Company involvement reflects the current trends in electronic and

electrical technology in switchgear, motors, drivers, automation systems, power

generation and distribution, projects, transport, medical engineering, communications

and components.

Company have about 8000 employees in India and an extensive network

which includes 10 works, 3 training Centers (Units), 7 sales offices, 23 representative,

300 dealers, System houses and Service Centers, all geared to meet the requirement of

customer.

Being closely associated with our principals Company AG, Germany gives

Company in India access to the worlds latest developments in every field. This

Combined with its experience in India makes Company the ideal partner for

catalyzing the countrys progress.

 25

3.2 Company Product

Founded in 1847 at Berlin, Prussia Founder(s) Werner von Company

Headquarters at Berlin and Munich.

Products and Services

Communication Systems Power Generation

Automation Lighting
 26

Medical technology Transportation and Automotive

 27

Trains and Trams Water Technologies

Building Technologies Home Appliances

Fire Alarms IT Services

 28

Financing Construction

Chapter 4: Introduction of
Talent
Management.
 29

Chapter 4: Introduction

4.1 Meaning Definition

With businesses going global and competition becoming intense, there is

mounting pressure on organizations to deliver more and better than before.
Organizations therefore need to be able to develop and deploy people who can
articulate the passion and vision of the organization and make teams with the energy
to perform at much higher levels.

These people build and drive the knowledge assets of a corporation, the value of
which has been established to be many times more than the tangibles. The capacity of
an organization to hire, develop and retain talent is therefore the most crucial business
process and priority on the CEOs agenda.

The 1990s ended with a call-to-arms to fight the war for talent. While the war for
talent clearly has cooled in the early stages of the 21st century, dampened by
economic doldrums & concerns with global security; the rear battle to attract,
motivate, development & retain talent is going to heat up considerably. A looming
demographic time-bomb will make Talent Management a priority for organizations.

A host of issues like: loss of human capital, talent shortages, ageism, and cultural
clash has made acquiring & managing talent difficult.

Talent Management describes the process through which employers of all kinds
Firms, Govt., and Non-profit organizations anticipate their human capital needs &
set about meeting them. Thus Talent Management refers to: getting the RIGHT
PEOPLE with the RIGHT SKILLS into the RIGHT JOBS.
 30

It is a professional term, also known as Human Capital Management that

refers to the process of developing & fostering new workers through on boarding,
developing & keeping current workers & attracting highly skilled workers to work for
your company. Companies that are engaged in Talent Management are strategic &
deliberate in how they recruit, manage asses, develop & maintain an organizations
most important resource its PEOPLE. This term also incorporates how companies
drive performance at the individual level.

Decisions about Talent Management shape the competencies that organizations have
& their ultimate success; & from the perspectives of individuals, these decisions
determine the path & pace of careers. We may thus understand that this term is
usually associated with competency based HRM practices. Talent Management
decisions are often driven by a set of organizational core competencies as well as
position specific competencies. The competency set may include knowledge, skills,
experience & personal traits.

4.2 Human capital management

Companies that engage in talent management (Human Capital Management)

are strategic and deliberate in how they source, attract, select, train, develop, retain,
promote, and move employees through the organization. Research done on the value
of such systems implemented within companies consistently uncovers benefits in
these critical economic areas: revenue, customer satisfaction, quality, productivity,
cost, cycle time, and market capitalization. The mindset of this more personal human
resources approach seeks not only to hire the most qualified and valuable employees
but also to put a strong emphasis on retention. Since the initial hiring process is so
expensive to a company, it is important to place the individual in a position where his
skills are being extensively utilized.

The term talent management means different things to different organizations.

To some it is about the management of high-worth individuals or "the talented" whilst
to others it is about how talent is managed generally - i.e. on the assumption that all
people have talent which should be identified and liberated. From a talent
management standpoint, employee evaluations concern two major areas of
measurement: performance and potential. Current employee performance within a
specific job has always been a standard evaluation measurement tool of the
profitability of an employee. However, talent management also seeks to focus on an
employees potential, meaning an employees future performance, if given the proper
development of skills.

The major aspects of talent management practiced within an organization must

consistently include.
 31

performance management
leadership development
workforce planning/identifying talent gaps
recruiting

This term of talent management is usually associated with competency-based

human resource management practices. Talent management decisions are often
driven by a set of organizational core competencies as well as position-specific
competencies. The competency set may include knowledge, skills, experience, and
personal traits (demonstrated through defined behaviors). Older competency
models might also contain attributes that rarely predict success (e.g. education,
tenure, and diversity factors that are illegal to consider in relation to job
performance in many countries, and unethical within organizations).

Chapter 5: Talent
Management
 32

Chapter 5: Talent Management

5.1 Meaning and definition

Talent management implies recognizing a person's inherent skills, traits,

personality and offering him a matching job. Every person has a unique talent that
suits a particular job profile and any other position will cause discomfort. It is the job
of the Management, particularly the HR Department, to place candidates with
prudence and caution. A wrong fit will result in further hiring, re-training and other
wasteful activities.

Talent Management is beneficial to both the organization and the employees. The
organization benefits from: Increased productivity and capability; a better linkage
between individuals' efforts and business goals; commitment of valued employees;
reduced turnover; increased bench strength and a better fit between people's jobs and
skills. Employees benefit from: Higher motivation and commitment; career
development; increased knowledge about and contribution to company goals;
sustained motivation and job satisfaction.

In these days of highly competitive world, where change is the only constant factor,
it is important for an organization to develop the most important resource of all - the
Human Resource. In this globalize world, it is only the Human Resource that can
provide an organization the competitive edge because under the new trade
agreements, technology can be easily transferred from one country to another and
there is no dearth for sources of cheap finance. But it is the talented workforce that is
very hard to find. The biggest problem is how to retain the present workforce and stop
them from quitting
 33

Importance

First, let us look at some of the reasons for the importance of talent management.

Globalization:

Now for any jobseeker the whole world is the potential place to find
employment. One can know the opportunities available in any part of the world easily
and the number of talent seekers has also increased.

Increased Competition:

Increased competition in the market place has necessitated the need for
consistently good performance on the side of organizations. These have made the
companies to put in all efforts to hire and retain the best talent in the respective field
of operation.

Increasing Knowledge:

The knowledge era has necessitated the retaining of those talents which have the
ability to assimilate new technologies and knowledge, which are growing at a pace
never seen before.
 34

How Talent Management important for an Organization:

1) Cost cutting:

One experienced & skilled employee can replace instead of two or more
employees. Organization can save hundreds of thousands of dollars.

2) Maximum Output

Organization can make maximum out put in minimum resources.

3) Time Saving technique

It is a time saving technique. Because for every job a skilled person

can place. Its helpful to complete job in minimum time

4) Perfection increase

Due to skilled employee Perfection in work is increase. There is low

probability of mistakes.

How Talent Management important for an Employee:

Recruitment

Its ensuring that right people are attracted to the organization, due to
providing exposure for there skills.

Retention

Developing and implementing practices that reward and support employees.

Employee development

Ensuring continuous informal and formal learning and development.

Leadership and "high potential employee" development

Specific development programs for existing and future leaders.

Performance management

Specific processes that nurture and support performance, including

feedback/measurement.
 35

Workforce planning

Planning for business and general changes, including the older workforce and
current/future skills shortages.

Culture

Development of a positive, progressive and high performance "way of

operating".

5.2 The Challenge

The challenge of talent management has two faces. First is how to find new
people and second is how to retain the present workforce. Each of the challenges has
to be tackled in the most efficient way possible so that the organization can achieve its
objectives.

The First Challenge - Where to find new talent?

All the organizations are finding loads of business opportunities and

consequently, their revenues are growing at a rapid pace. The increasing business
opportunities has necessitated that these organizations go in for massive recruitment.
But, the question is where to find the best talent which is able to fit the job description
and also adjust to the organizations values and norms. If we scan the environment,
we find there is a shortage of skilled workforce that can be employed.

Some of the possible reasons that have led to the shortage are: -

Demographic Constraints:

This is a common problem faced by many of the developed countries, where

a large chunk of its population is nearing the age of retirement or is over 50 years.
USA, Germany and Japan are facing the same problem. All these countries will see a
decline in their workforce and talent. In the coming years, they will see a great
shortage in their skilled professionals.

Existing Educational System:

The graduates and the postgraduates that are being churned out of the
universities are found to be ill-equipped to handle the challenges of the workplace.
 36

They are mostly equipped with only the theoretical aspects of the issues and lack the
application part. The educational system is faulty and does not take industry needs
into consideration, resulting in a mismatch between industry requirements and
educational preparation.

Cost Factor:

Recruiting new employees is becoming tougher and tougher in the

developing countries, where the HR department has to sort out thousands of
applications for a handful of jobs. Finding right person for the right job becomes a
very difficult process. It also involves very high cost to conduct the recruitment and
selection process for such a large population of applicants.

Attracting the Best Talent:

This is another challenge. As was the case in the past, the best available talent
is not just motivated by the name and fame of the organization. Not any more. They
have a new set of motivators like - challenging work, conducive work environment
and freedom from bureaucratic structure.

The Second Challenge - How to retain the existing employees?

Gone are the days when a person would join an organization in his mid-20s and
would work till his retirement in the late-50s. Today the young professionals hop jobs,
especially during the first 4-5 years of their work life. Though the Indian service
industry is basking in the light of outsourced jobs from the developed countries, they
also cannot ignore the fact that the BPO industry is also facing one of the highest
attrition rates, in fact never heard before in India, of around 35%.

It is a fact that its the people that add value to organizations. It is also a fact that
humans are a restless species who, unlike the immovable Banyan Tree, cannot stay
rooted in one place. People need to move on for one reason or another, and the
organization stands to lose.

Let us look at some of the reasons behind the massive attrition rates: -

1. Gap between organizational values and goals and the personal values and
goals is one of the major reasons of the attrition rates. If they go parallel, there
is no way both would be satisfied and inevitably, the organization would lose
out on a talented employee.

2. Working environment is another major factor. Employees in the knowledge era

demand creative and a democratic work environment. Failure on the part of
 37

the management to provide such an environment will result in a talented

employee leaving the organization.

3. The competitive world has made sure that there is high work pressure on the
employees of any organization. This has led to psychological problems like
stress, and in extreme situations, total burnouts. It also leads to other health
related problems.

4. Movement for higher salary is also common among the younger professionals.
There is no shortage for organizations who are looking for talented employees
and who are ready to shell out a hefty salary for a talented person. Other lures
like better job opportunities, higher posts and overseas assignments are also
major factors in the attrition rates.

5. Not taking proper care during the recruitment and selection process and not
taking proper care to fit the right person to the right job also breeds
dissatisfaction among the employees.

6. Bad or opaque policies from management on issues of succession planning

and promotion, appointments for senior positions also is a major factor which
makes the organization lose out on the talented employees.

7. The professionals have different aspirations at different times of their career.

During the initial years, they have good salary and foreign assignments. Next
on the list is working on cutting edge technology. More seasoned professionals
look for learning opportunities. So employees tend to move to those
organizations which provide them with means to fulfill their aspirations.

Retaining the present employees is of the foremost importance to the organizations

because; the company would have already incurred heavy costs in the form of training
and development. Now if the organization has to look for a replacement for the
employee who has left, it involves a lot of costs like - hiring costs, training costs and
the induction costs.

Also it takes some time for the new employee to adjust to the new work environment.
During this time the productivity of the employee will be low. The HR department
will have to fit the new employee into a proper role in the organization. Apart from
causing the company a monetary loss and breaks in their day-to-day operations,
attrition contributes to knowledge transfer, which is a great loss and adversely affects
business.
 38

5.3 How to Manage the TALENT?

It is now proved beyond doubt that, in the era of technology and knowledge, talent is
in the driving seat. One who possesses it dictates. Not he who pays for it. It is the
demand of the time that business leaders elevate management of talent to a burning
corporate priority. It is not a walk in the park for the talent market. Quality people are
no longer available in plenty, easily replaceable and relatively inexpensive.

These are some of the measures that should be taken into account to hire and retain
talent in the organization, to be efficient and competitive in this highly competitive
world: -

Hire the Right People:

Proper care must be taken while hiring the people itself. It would be beneficial for
an organization to recruit young people and nurture them, than to substitute by hiring
from other organizations. Questions to be asked at this stage are: Whether the person
has the requisite skills needed for the job? Whether the person's values and goals
match with those of organizations? In short, care must be taken to fit the right person
to the right job.

Keep the Promises:

Good talent cannot be motivated by fake platitudes, half-truths and broken

promises. Unfulfilled expectations can breed dissatisfaction among the employees and
make them either leave the organization or work below their productive level.
Promises made during the hiring stage must be kept to build loyalty among the
employees, so that they are satisfied and work to their fullest capability.

Good Working Environment:

It has to be accepted by the organizations that highly talented persons make their
own rules. They have to be provided with a democratic and a stimulating work
environment. The organizational rules must be flexible enough to provide them with
freedom to carry out their part of task to their liking, as long as the task is achieved.
 39

Opportunities should also be provided to the employees to achieve their personal

goals.

Recognition of Merit:

It is highly motivating for any person if his talent is recognized and is suitably
rewarded. One way is providing them with salary commensurate with their
performance. Promotions and incentives based on performance are another way of
doing it. Another way is by providing them with challenging projects. This will
achieve two objectives - it makes employee feel that he is considered important (a
highly motivating factor) and gets the work done in an efficient manner and brings out
the best in the employee.

Providing Learning Opportunities:

Employees must be provided with continuous learning opportunities on and off

work field through management development programs and distance learning
programs. This will also benefit the organization in the form of highly talented
workforce.

Shielding from High Work Pressure:

If an organization has to make the most of the available talent, they should be
provided with adequate time to relax, so that they can did-stress themselves. It is very
important to provide them with holidays and all-expenses-paid trips, so that they can
come back refreshed to work and with increased energy. They must also be
encouraged to pursue their interests which are also a good way of reducing work
environment stress. Recreation clubs, entertain programs, fun activities with in the
work area will also reduce the work life stress of the employees and develop
camaraderie among the workers and result in a good working environment.
Talent
+
Vision/Mission/Strategy
+
Skills & Competencies
+
TALENT Role && PERFORMANCE
structure
+
Opportunity
Organizations provide individuals the opportunity
+ and space for physically
manifesting their talent into performance for
Encouragement & achieving individual and organizational
Recognition
vision. Talent manifests into performance+ as follows:
Training & Development
+
Coaching
+
Action Plan & Goals
+
Resources
Performance
Management
System

Performance
 40

Thus the domain of talent management focuses not only on development of

individuals intrinsic capacities, but also on culture building and change management
to provide the other elements listed above for manifestation of talent into
performance.

The New HR Mission and Talent Management Processes

Many challenging workforce issues confront HR, including:

Heightened competition for skilled workers.

Impending retirement of the baby boomers.
Low levels of employee engagement.
Acknowledgement of the high cost of turnover.
Arduous demands of managing global workforces.
Importance of succession planning.
Off shoring and outsourcing trends.

This requires new thinking and a new mission to achieve business success. These
factorscoupled with the need to align people directly with corporate goalsare
forcing HR to evolve from policy creation, cost reduction, process efficiency, and
risk management to driving a new talent mindset in the organization.
 41

One important distinction is the evolution of the difference between tactical HR and
strategic talent management. Transactional HR activities are administrative
overhead. Talent management is a continuous process that delivers the optimal
workforce for your business.

In this new modelinstead of being the owners of processes, forms, and

complianceHR becomes the strategic enabler of talent management processes
that empower managers and employees while creating business value.

With this view, talent management may be defined as the implementation of

integrated strategies or systems designed to improve processes for recruiting,
developing and retaining people with the required skills and aptitude to meet current
and future organizational needs.

Anecdotally, talent management is often defined as performance management,

incentive compensation, or talent acquisition. Talent management is also often
confused with leadership development. Although leadership development is a
crucial function of your organization, focusing on it exclusively is a legacy of last
century. Our modern service and knowledge economies in the talent age require a
broad and holistic view. A high performance business depends on a wide range of
talent.

Taleos graphical representation emphasizes the mandate of talent management to

respond to business goals and consequently be the driver of business performance.
Talent management is depicted as a circularnot a linearset of activities.

5.4 Why Talent Management?

Workforce cost is the largest category of spend for most organizations.

Automation and analysis of your recruiting and hiring processes provides the
immediate workforce visibility and insights you need to significantly improve your
bottom line. Performance management provides the ongoing processes and
practices to maintain a stellar workforce.

Today, many organizations are struggling with silos of HR processes and

technologies. The future of talent management is embodied in solutions designed
from the ground up to provide business-centric functionality on a unified talent
management platform.

Since nearly all competitive business factors have become commoditized, talent is
what ultimately drives business success and creates value. Leading organizations
 42

rely on Taleo solutions and services to assess, acquire, develop, and align talent
with business objectives while significantly reducing process costs, improving
quality of hire, reducing risk, and achieving higher levels of performance.

Though it may seem intuitive, it is worthwhile to articulate the fundamental

significance of successful talent management practices:

The key enabler of any organization is talent.

The quality of your people is your last true competitive differentiator.
Talent drives performance.

Talent management requires strong executive support, along with systems and
processes all directed towards having the right talent doing the right work at the
right time. Thats when talent truly drives higher business performance.

Indirect implementation of Talent Management in

Company Ltd., Nasik Works. By following Steps:

Performance appraisal

Career Planning

Succession Planning
 43

Training and Development

Chapter 6: Performance
Appraisal
 44

Chapter: 6 Performance appraisals

6.1 What is Performance Appraisal?

Meaning: - Performance appraisal is a method of evaluating the behavior of

employees in the work spot, normally including both the quantitative and qualitative
aspects of job performance. Performance here refers to the degree of accomplishment
of the tasks that make up an individuals job. It indicates how well an individual is
fulfilling the job demands. Often the term is confused with effort, but performance is
always measured in terms of results and not efforts.

Need of Performance Appraisal:

-Performance appraisal is needed in order to:

(1) Provides information about the performance ranks, basing on which

decision regarding salary fixation, confirmation, promotion, transfer and
demotion are taken.

(2) Provide feedback information about the level of achievement and behavior
of subordinate. This information helps to review the performance of the
subordinate, rectifying performance deficiencies and to set new standards
of work, if necessary.

(3) Provide information, which helps to counsel the subordinate.

(4) Provide information to diagnose deficiency in employee regarding skill,

knowledge, determine training and developmental needs and to prescribe
the means for employee growth provides information for correcting
placement.
 45

(5) To prevent grievances and in disciplinary activities.

Purpose

Performance appraisal aims at attaining the different purpose. They are:

(1) To create and maintain a satisfactory level of performance.

(2) To contribute to the employee growth and development through training

self and management development programs.

(3) To help the superiors to have a proper understanding about their

subordinates.

(4) To guide the job changes with the help to continuous ranking.

(5) To facilitate fair and equitable compensation based on performance.

(6) To facilitate for testing and validating selection tests, interview techniques
through comparing their scores with performance appraisal ranks.

(7) To provide information for making decisions regarding lat off,

retrenchment etc.

(8) To ensure organizational effective through correcting employee for

standard and improved performance, and suggesting the change in
employee behavior.

6.2 Methods of Performance Appraisal:

The methods of performance Appraisal are basically classified as

Traditional Methods, Modern Methods and result Oriented Appraisal: -

a) The Traditional Methods consists of Graphic Rating Scales, Ranking

Method, Paired comparison Method, Forced Distribution Method,
Checklist method, Essay or free from APPRAISAL, Group Appraisal
and confidential Report.
 46

b) Modern Methods of evaluating performance appraisal are Behaviorally

Anchored Rating Scales, Assessment Center, Human Resource
Accounting, Management by objectives, Psychology Appraisal.

Uses of Performance Appraisals:-

Performance Improvement: Performance feedback allows the employee,

manager, and personnel specialists to intervene with appropriate actions to
improve performance.

Compensation Adjustments; Performance evaluations help decision-

makers determine who should receive pay raises. Many firms grant part or
all of their pay increases and bonuses based upon merit, which is
determined mostly through performance appraisals.

Placement Decisions: Promotions, transfers, and demotions are usually

based on past or anticipated performance. Often promotions are a reward
for past performance.

Training and Development; Poor performance may indicate the need for
retraining. Likewise, good performance may indicate untapped potential
that should be developed.

Career Planning and Development: Performance feedback guides career

decisions about specific career paths one should investigate.

Staffing Process Deficiencies: Good and Bad performance implies

strength or weakness in the personnel departments staffing procedures.

Informational Inaccuracies: Poor performance may indicate errors in job

analysis information, human resource plans, or other parts of the personnel
management information system. Reliance on inaccurate information may
have led to inappropriate hiring, training, or counseling decisions.

Job Design Errors: Poor performance may be a symptom of ill-conceived

job designs. Appraisals help diagnose these errors.

Equal Employment Opportunity: Accurate performance appraisals that

actually measure job related performance ensure that internal placement
decisions are not discriminatory.

External Challenges: Sometimes performance is influenced by factor

outside the work environment, such as family, financial, health, or other
personal matters. If uncovered through appraisals, the human resource
department may be to provide assistance.
 47

Feedback to Human Resources: Good/bad Performance throughout the

organization indicates how well the human resource function is
performing.

METHODS OF PERFORMANCE APPRAISAL

Traditional and modern Methods of Performance Appraisal

Traditional methods Modern Methods

1) Graphic rating scales 1) Behaviorally anchored rating scales

2) Ranking Method 2) Assessment centers
3) Paired comparison method 3) Human Asset accounting method
4) Forced distribution method 4) Management by Objectives method
5) Checklist methods 5) 360 Performance appraisal method
a) Simple Checklist
b) Weighted checklist
c) Critical incident method
6) Essay from appraisal
7) Group appraisal
8) Confidential reports.
 48

6.3 How implement performance appraisal.

Introduction
Now a days Performance appraise is very important from company point of
view. It is use to take various managerial decision. E.g. decision regarding
employees increment or decision regarding employees future career planning etc.
In Company they use Grading and Ranking method to appraise performance of
there employee.

Who Appraise
Performance appraise by Head of the department or from the superior.
They did not conduct performance appraisal on officers level it conduct only on
officers basis.
In Company Performance is appraising by head of the department, Supervisor,
manager, etc.

Process:

Head of the department submit one copy of performance appraisal to HR

Department and discuss with the employee whose performance is down. One copy of
performance appraisal report is attached to that employees personnel file as a record.
If that employees performance is going down then head of the department can
talk with that employee regarding increase performance. Even Hr Manager also
should talk with that employee to know his problem and HR Manager should
motivate that employee to increase performance.

Employees increment is depend upon there performance. Head of the department or

HR manager may stop increment of employee regarding low performance.
 49

General use of performance report in Any Company:

Need of training.

Head of the department or HR manager can decide whether employee

needs training for good performance or not.

Career Planning.

Career planning generally use to retain skilled employee. They can find out
skilled employee for skilled employees career planning from performance appraisal
report.

Succession planning:

From performance appraisal Report Company can select candidate to make

succession planning.

Benefits of employee to company

Companys employee are companys asset, it is helpful to calculate that

companys employee how much give returns to company. Or which employee is
beneficial for company and which is not beneficial.
 50

Chapter 7: Career Planning

 51

Chapter: 7 Career Planning

7.1 Introduction and meaning

Introduction

The career is all the jobs that are held during ones working life. According to
E.B. Flippo, career is a sequence of separate but related work activitys that
provides continuity, order and meaning in a persons life.

Definition:

1) Edwin Flippo define a career as a sequence of separate but related work

activities that provides continuity, order and meaning in a persons life.
2) Wreather and Davis defined various terms of career planning as given below:

A career path is the sequential pattern of jobs that form a career (as per
figure). Career Planning is the process by which one selects career goals and
the path to these goals. Career development is these personal improvements
one undertakes to achieve a personal career plan.

3) Career management is the process of designing and implementing goals, plan

and strategies to enable the organization to satisfy employee needs while
allowing individuals to achieve their career goals.

Life and career Stages

 52

Human resource managers must understand the issues that individuals face
throughout their careers. A study of career development theories, life development
theories and interrelationship among career stages and life stages will provide and
understanding of the issues that the individual face. Career and life stages are
closely related as both are linked to age and cultural norms.

Need for career planning

Career planning is necessary due to following reasons

1) Attract competent person

To retain the competent person or to attract them company need

career planning, because this kind of person are companys asset.
Competitors can try to hire this person so, company always try to
retain these person.

2) Provide suitable promotional opportunities

To give exposure for employees knowledge and talent, Career

planning is important.

3) Training for future challenges

Enable employee to develop and make them ready to meet the future
challenges.

4) reduce job dissatisfaction

It helps to increase job satisfaction for employee.

When employee get exposure to show skill and when he learn more
from job profile at that time job satisfaction automatically increase.

5) Improve motivation and morale

Career Planning is useful to improve motivation and morale of

employees.
 53

7.2 Process of Career Planning.

a) Analysis of individual skills, knowledge, abilities, aptitudes etc.

b) Analysis of career opportunities both within and outside of organization.

c) Analysis of career demand on the incumbent of skills, knowledge, abilities,

aptitude, etc., and in terms of qualifications, experience and training received
etc.

d) Relating specific ob to different career opportunities.

e) Establishment of realistic goals both short term and long term.

f) Formulating career strategy covering areas of change and adjustment.

g) Preparing and implementing action plan including acquiring resources for

achieving goals.

Varies stages of career planning and development are shown in

figure.

Successful Matching
 54

Mismatching

Advantage of Career planning and development

For individuals

1) It helps to the individuals to have the knowledge of various career

opportunities, his prioritys etc.
2) It helps to select career which is suitable for his life styles, preferences, family
environment, scope for self-development etc.
3) It helps the organization identify internal employees who can be promoted.
4) Internal promotions, up-gradations and transfers motivate the employees;
boost up their morale and also satisfaction.
5) Increase job satisfactions enhance employee commitment and create a sense of
belongingness and loyalty to the organization.
6) Employee will await his turn of promotion rather than changing to another
organization.
7) It helps to improve employee performance on the job by taping their potential
abilities and further employee growth.
8) It satisfied employee esteem needs.

For organization

1) The efficient policies and practices improve the organizations ability to

attract and retain highly skilled and talent employees.
2) A proper Career Planning ensures that the woman and people who belongs
to the backward communities get opportunities for growth and development

3) It continuously tries to satisfy the employee expectations and such as

minimizes employee frustrations.
 55

4) By attracting and retaining the people from different cultures, enhances

cultural diversity.

5) Protecting employees interest result s in promoting organizational good

will.

7.3 Implementation of Career Planning

Career Planning is generally done by every organization. But method of career

planning can differ.
career planning for companys employee, as follows:

Activity for Career Planning:

Training and development:

Most of the time company can try to retain the skilled employee,
therefore company provide various type of knowledge or training, for company
benefits as well as employee.

Transfer department to department or unit to unit

If any employee would like to work in specific department or unit for

his skilled work and if it will beneficial for company then its also part of career
planning.

Promotion
 56

In career planning, promotion is also a one part. To retain the skilled

employee. Company makes promotion of this kind of employee.

Career planning at Officers levels:

For career planning company refer report of Performance appraisal, from that
report they sort out an employee whose performance is above expectations. For
this kind of employee they conduct career planning to retain that particular
employee.

Analyze skill of worker:

They analyze skill of worker by performance appraisals report, and then they
decide career planning of employee.

Transfer of worker:

They search about interest of employees in his work profile.

And then they decide whether transfer of worker is suitable or not. Or change in
work profile is suitable or not.

Promotion:

They decide about employees promotion if required and his training

They analyses whether training is required for employee or not.
As per the need of organization HR head make his career planning for promotion.

Use of performance appraisal report:

By Performance appraisal report, company can decide whether that employee

should promote or not,
They can study about employees job satisfaction, his job skills, his talent etc.

Job enrichment

Most of the time company checks job enrichment of employee, to check

capacity of work within a given time as well as their skills also. Job enrichment is
helpful to increase skills in employee.

7.4 Succession Planning

 57

Introduction

Success, growth and survival are the most important responsibilities of the
top management of the organization. Succession planning is the activity connected
with the succession of incumbents to fill the key positions in the organizations
hierarchy as and when a vacancy arises. Succession planning focus on identification
of vacancies and locating the probable successor. It provides the succession chart in
respect of a particular position.
The succession planning ensures the availability of the right kind of the
management staff at the right time and in the right position in order to provide for
continued organizational vitality and strength.

What is Succession Planning?

Succession planning is the systematic identification and professional

development of internal talent. Its goal is to cultivate internal human capital in
preparation for assuming leadership roles and other key positions that may become
vacant due to retirement, expected or unexpected separations.

For Succession planning for management staffing plans are required to be

developed properly on an individual basis for all anticipated needs in the
immediate year a head and also for key positions. The business plans must be
reviewed to determine there effects on managerial needs. Succession planning is
one of the important functions of the top management. In fact the direct
responsibilities of the chief executive and the top management group.

For Example:

Suppose, Mr. A will retire within some days, from the post of Production
Manager Then HR manager should place right person who will able to carry
liability of that post. For selection of right person as well as to give idea about job
to candidate, mostly HR Manager prepare planning, like: HR Manager will place
candidate under supervision of Mr. A to learn difficult things of job, or he will
give training to that candidate or he will search a candidate who already have idea
about job profile of Production Manager, i.e. Succession planning.

In short when any employee or candidates leave job, HR manager should

prepare plan to place correct candidate on that post.

What is need for succession planning: -

To make succession planning following points are important.

1) Job Information
2) Job analysis
3) Job profile
4) Qualification and Experience define. Etc.
5) Availability of candidate
 58

6) Analysis of Selection process

Benefits of Succession planning:

1) Facilitates communication & knowledge management
2) Uninterrupted work productivity
3) Leadership continuity

1) Custom designed training programs

2) Candidate can understand job easily.

3)

Challenges of Effective Succession Planning

Successful succession planning, as we've seen, is an ongoing and complex

endeavor that is necessarily broad in scope. It therefore presents significant barriers to
both implementation and long-term maintenance. Here are some of the more
challenging obstacles:

MULTIPLE OWNERS:

Traditionally, HR has been considered owner of the succession planning

process, but meaningful success really requires a genuine sense of ownership and
commitment at many levels of the organization. While HR may be best positioned
to oversee the process, it can never fully know or evaluate every process
participant the way managers and supervisors can.

NUMBER OF POSITIONS:

All but the smallest of organizations have a substantial number of positions

critical to long-term performance, whether these involve leadership skills or
technical expertise that would be difficult to quickly replace. Comprehensive
succession planning must incorporate all such positions; yet, as the number of
positions grows so too does the administrative burden.

STRATEGIC ALIGNMENT:

Succession plans need to reflect long-term organizational goals and strategies.

Companies must give thoughtful consideration not only to the plan's design and
implementation, but also to sustaining the process over time. As strategies and
goals shift, so too must the plan if the organization is to recruit and develop the
workforce its future success will require.

ORGANIZATIONAL COMPLEXITY:

Conglomerate, geographically dispersed, multi-industry, and other complex

organizational forms significantly increase the challenge of succession planning.
 59

Often, higher-level positions require well-designed cross training to inculcate the

unique knowledge and skills success in the organization requires.

ORGANIZATIONAL CHANGE:

As companies evolve in response to marketplace threats and opportunities, the

skills, talents, and expertise they will need to thrive evolve, as well.

EFFECTIVENESS & EFFICIENCY:

The larger and more complex an organization, the more challenging it is to

maintain an effective and efficient succession planning process. Yet, by definition,
the best process is the one that enables the firm to identify the best candidate in
least amount of time and at the lowest cost.

Having this process in place is vital to the success of the organization because
the individuals identified in the plan will eventually be responsible for ensuring
the company is able to tackle future challenges. These 'high potential' candidates
must be carefully selected and then provided training and development that gives
them skills and competencies needed for tomorrow's business environment.

Another reason its important is because these high potentials will one day become
the leaders of the Company. This is why their development needs to incorporate a
broad range of learning opportunities in your organization. The individuals should
also be exposed to as much of the working environment as possible so that they
gain a good understanding of what the company requires to remain successful.

7.5 Implementation of Succession Planning:

Succession panning is the planning to place a person on another

employees place who will retire after one or two year.
Succession planning is conduct in every organization. It is a part of Career
planning.

Officers level:

At officers level Succession planning conduct by following methods.

1) Personal meeting
 60

Head of the department take the personnel meeting with the

employee who is going to retire because he wants to know that employees
opinion about to place new right candidate on his place.

2) Employee dialogue:
Employee dialogue is a dialogue between employee (who will go to
retire) and head of the department, regarding place new candidate at his post,
which have ability to fulfill requirements of job.

3) Opinion of subordinate:
The head of the department should consider the opinion of
other staff or subordinate also.

Employee assessment centre

Introduction

This method was first applied in Germany Army in 1930. Later business
and industrial houses started using this method. This is not a technique of a
performance appraisal by itself. In fact it is a system or organization, where
assessment of several individuals is done by various experts by using various
techniques.
In these approach, individual from various department are bought
together to spend two or three days, working on an individual or group assignment
similar to the ones they would be handling when promoted. Observers rank the
performance of each and every participant in order of merit. Since assessment
centre are basically meant for evaluating the potential of candidates to be consider
for promotion, training and development, they offer an excellent means for a
conducting evaluation process in an objective way. All assess get an equal
opportunity to show their talent and capabilities and secure promotion based on
merit. Since the evaluators know the position requirements intimately and are
trained to perform the evaluation process in an objective manner, the performance
rating may find favor with majority of the employees. A considerable amount of
research evidence is available to support the contention that people chosen by this
method prove better than those chosen by other methods. The centre enable
working in a low status department to compete with people from well-known
departments and enlarge there promotional chances. Such opportunities, when
created on regular basis, will go a long way in improving the morale of promising
candidates working in less important positions.

Employee assessment centre:

Employee assessment is a committee of a Psychiatrist, advocate, consultant

etc. there are 3 to 5 people on the committee. They give a one task to the
 61

employee and he should complete that task within a given time e.g. Give a
presentation on specific topic within half an hour.

Work of the Committee:

Mainly committee observes how employee can survive in specific situation.

How he can handle situation.

They try to find out the tendency of employee.

They try to find out method of thinking of employee.

In employee assessment they consider only an officers career planning.

 62

Chapter 8: Training and

Development

Chapter 8: Training and Development

8.1 Meaning and Definition

Introduction

After an employee selected, placed and introduced her or she must be

provided with training facilities. Training is the act of increasing the knowledge and
skills of an employee for doing a particular job. Training is a short-term educational
process and utilizing a systematic and organized procedure by which employees learn
technical knowledge and skills for a definite purpose. Dale S. Beach Define training,
 63

The organized procedure by which people learn knowledge and/or skill for a definite
purpose.

In other words training improves, changes, moulds the employees knowledge,

skill, behavior, aptitude, and attitude towards the requirements of the job and
organization. Training refers to the teaching and learning activity carried on for the
primary purpose of helping members on an organization, to acquire and apply the
knowledge, skills, abilities and attitudes needed by a particular job and organization.
Thus, training bridges the difference between job requirement and employees
present specifications.

No organisat5ion matches the candidate who exactly matches with the job and the
organizational requirements. Hence, Training is important to develop the
employee and make him suitable to the job.
Job and organizational requirement are not static, they are changed from time to
time in view of technological advancement and change in the awareness of the
total quality and productivity Management(TQPM). The objective of the TQPM
can be achieved only through training as training develops human skills and
efficiency. Trained employees would be a valuable asset to an organization.

Benefits of training

For organization

Lead to prove profitability and/or more positive attitudes towards profit

orientation
Improves the job knowledge and skills at all level of the organization
Improves the morale of workforce
Helps people identify with organizational goal
Helps create a better corporate image
Aids in organizational development
Learns from the trainee
Helps to prepare guideline for work
Organization gets more effective decision making and problem solving
It helps to improve labor-management relations.

Benefits to the individual which in turn ultimately should benefit the

organization

Helps the individual in making better decisions and effective problem

solving
Through training and development, motivational variables of achievement,
growth, responsibilities and advancement are internalized and
operationised
It helps to an individual to handle stress tension or conflicts.
It provides information to improve leadership knowledge.
Develops a sance of growth in learning
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Improves morale
Improves impersonal skills

8.2 Need for training

Need for training arises due to following reasons:

4) To match the employee specification with the job recruitment and
organizational needs:
An employees specification may not exactly suit to the requirement of the
job and the organization irrespective of his past experience, qualifications, skills
knowledge, etc. Thus every management finds deviation between employees
present specifications and the job requirements and organizational needs.
Training is needed to fill this gap by developing and molding the employees
skill, knowledge attitude behavior etc. to the tune of the job requirements and
organizational needs.

5) Technological advances:
Every organization in order to survive and to be effective should adopt
the latest technology, i.e. mechanization, computerization, automation.
Adoption of the latest technology means and methods will not be complete until
they are manned by employees possessing skill to operate them. So,
organization should train the employee to enrich them in the areas of changing
technical skills and knowledge from time to time.

6) Human relations:
Trends in approach towards personel management have change from
the commodity approach to partnership approach, crossing the human relations
approach. So, today, management of most of the organization has to maintain
human relations besides maintaining sound industrial relations although hitherto
the managers are not accustomed to deal with workers accordingly. So, training
in human relations is necessary to deal with human problems and to maintain
human relations.

7) Change in the job assignment:

Training is also necessary when the existing employee is promoted to
the higher level in the organization and when there is some new job or
occupation due to transfer. Training is also necessary to equip the old employees
with the advanced disciplines techniques or technology.

The need for training also arises to:

Increase productivity
Improve quality of the product / Services
Help a company to fulfill its future personnel needs.
Improve organizational climate.
Improve health and safety.
Prevent obsolescence
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Effect the personnel growth

Minimize the resistance to change.

Stages in training as follows

Stage 1 Assessment of training needs

Stage 2 Design the training program

Stage 3 Implementation.

Stage 4 Evaluation of training program.

8.3 Methods of Training

Methods of training
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On-job methods Off-job methods

Job relations Lectures/Conferences

Coaching Films
Job instruction Simulation Exercise
Training through Cases
Step by step Programmed instructions
Committee assignments Audio visual methods
Internship training Computer based training
E-Learning.

The most widely used methods of training used by organizations are classified
into two categories: On-the-Job Training & Off-the-Job Training.

ON-THE-JOB TRAINING
Its given at the work place by superior in relatively short period of time.
This type of training is cheaper & less time-consuming. This training can be
imparted by basically four methods: -

Coaching
It is learning by doing. In this, the superior guides his sub-ordinates & gives
him/her job instructions. The superior points out the mistakes & gives suggestions
for improvement.

Job Rotation: -
In this method, the trainees move from one job to another, so that he/she
should be able to perform all types of jobs. E.g. In banking industry, employees
are trained for both back-end & front-end jobs. In case of emergency,
(absenteeism or resignation), any employee would be able to perform any type of
job.

OFF THE JOB TRAINING: -

It is given outside the actual work place.

Lectures/Conferences:-

This approach is well adapted to convey specific information, rules,

procedures or methods. This method is useful, where the information is to be
shared among a large number of trainees. The cost per trainee is low in this
method.
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Films: -

It can provide information & explicitly demonstrate skills that are not easily
presented by other techniques. Motion pictures are often used in conjunction with
Conference, discussions to clarify & amplify those points that the film
emphasized.

Simulation Exercise: -

Any training activity that explicitly places the trainee in an artificial

environment that closely mirrors actual working conditions can be considered a
Simulation. Simulation activities include case experiences, experiential exercises,
vestibule training, management games & role-play.

Cases: -

Present an in depth description of a particular problem an employee might

encounter on the job. The employee attempts to find and analyze the problem,
evaluate alternative courses of action & decide what course of action would be
most satisfactory.

Experiential Exercises: -

Are usually short, structured learning experiences where individuals learn by

doing. For instance, rather than talking about inter-personal conflicts & how to
deal with them, an experiential exercise could be used to create a conflict situation
where employees have to experience a conflict personally & work out its
solutions.

Vestibule Training: -
Employees learn their jobs on the equipment they will be using, but the
training is conducted away from the actual work floor. While expensive, Vestibule
training allows employees to get a full feel for doing task without real world
pressures. Additionally, it minimizes the problem of transferring learning to the
job.

Role Play: -
Its just like acting out a given role as in a stage play. In this method of
training, the trainees are required to enact defined roles on the basis of oral or
written description of a particular situation.

Management Games: -
The game is devised on a model of a business situation. The trainees are
divided into groups who represent the management of competing companies.
They make decisions just like these are made in real-life situations. Decisions
made by the groups are evaluated & the likely implications of the decisions are
fed back to the groups. The game goes on in several rounds to take the time
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dimension into account.

In-Basket Exercise: -
Also known as In-tray method of training. The trainee is presented with a
pack of papers & files in a tray containing administrative problems & is asked to
take decisions on these problems & is asked to take decisions on these within a
stipulated time. The decisions taken by the trainees are compared with one
another. The trainees are provided feedback on their performance.

8.4 Implementation of training and Development:

Method of training:
Method of training is totally depending upon the profile of training. E.g. for
technical training if possible then they give on-job training otherwise company
use method of off job training.

Procedure of training:

Assessment of need of training:

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It is the first step of training procedure. Head of the department and HR

department assess the need whether employee need training or not. They find
employee who require training.

Prepare budget for training:

HR manager decide budget for training by considering its cost from the
market. And benefits for the company.

Search for Internal or External trainer:

Internal Trainer:
After assessment of need of training, they search for a trainer in
theirs company who can train there employee. They search trainer among their
employees.

External trainer:

If they didnt find internal trainer then they go for External trainer. They try to
find external professional trainer from their personnel contact, by giving
advertisement in news paper etc.

Design program for training:

HR manager or head of the department present there need to trainer.

They assess type of training and design training program by the help of trainer
within the budget.

Report to head of the plant:

HR manager give the details about training to head of the plant and
sanction the approval of training.

Implementation:
After designing the program for training, they implement in practical in
their employee.
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Chapter 9: Collection, analysis &

interpretation of data
 71

Chapter: 9

Introduction of Data Analysis.

The word Analysis means the process of breaking down a Complex set
of facts into simple element while Interpretation stands for the explanations which
analyzed the statements and also make out or bring out the meaning of creative work.

Analysis and Interpretation are done according to department wise and

according to questionnaire. This analysis and Interpretation will definitely help to the
company for the future strategies. Following are the analysis and Interpretation of the
results.
These all analysis is imagine for general company. It is very necessary to
understand the psychological tendency of employee. Because it is a quietly subjective
so it will slightly deviate the opinion of the employee.
The Department of the company where I conduct survey. There are 100
employees in each department. Total employees are 500.
1. Purchase
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2. Finance
3. Production
4. Packing and dispatch
5. Research and Development

Table No 9.1
Survey in Purchase Department:

Option Responses Percentage

Yes 70 70
No 30 30
(Source: Primary data: Questionnaire)
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Figure No. 9.1/7(Source: primary data survey questionnaire)

INTERPRETATION: -
The above pie-diagram shows that 70% of employees of purchase department are
highly satisfied with the Talent Management process. Hence, we can say in Purchase
department talent management is effective process for employee as well as
organization.

Survey in Finance Department:

Option Responses Percentage
Yes 72 72
No 28 28
(Source: Primary Data: Questionnaire)
 74

Figure No. 9.2/7(Source: primary data survey questionnaire)

INTERPRETATION: -
The above pie-diagram shows that 80% of employee of finance department are
highly satisfied with the Talent Management process, 10%are satisfied, 6% are
natural, 4%are dissatisfied. Hence, we can say in Finance department, talent
management is effective process for employee as well as organization.
Survey in Production Department:
Option Responses Percentage
65 65
No 35 35
 75

Figure No. 9.3/7 (Source: primary data survey questionnaire)

INTERPRETATION: -
In Production department we can observe that 65% employee are
answering Yes, they getting exposure to show there talent in company. And 35%
employees are answering No. means here, more than 60% employee answering
Yes means process of talent management is effective in this department.

Survey in packing and dispatch Department:

Option Responses Percentage
Yes 86 86
No 14 14
 76

Figure No. 9.4/7 (Source: primary data survey questionnaire)

INTERPRETATION: -
In Production department we can observe that 86% employee are
answering Yes, they getting exposure to show there talent in company. And 14%
employees are answering No. means here, more than 60% employee answering
Yes means process of talent management is effective in this department.

Survey in Research and development Department:

Option Responses Percentage
 77

Yes 72 73
No 28 15

Figure No. 9.5/7 (Source: primary data survey questionnaire)

INTERPRETATION: -
In Production department we can observe that 72% employee are
answering Yes, they getting exposure to show there talent in company. And 28%
employees are answering No. means here, more than 60% employee answering
Yes means process of talent management is effective in this department.

Employees performance before implementing Talent Management concept:

Department Good Bad
Purchase 61 39
Finance 52 48
Production 62 38
R&D 45 55
Dispatch 68 32
 78

Figure No. 9.6/7(Source: secondary data average performance

appraisal report of employee.)

Employees performance after implementing Talent Management concept:

Department Good Bad
Purchase 75 25
Finance 90 10
Production 85 15
R&D 80 20
Dispatch 70 30
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Figure No. 9.7/7(Source: secondary data from average performance

appraisal report of employee.)

INTERPRETATION: -
In above both diagram we can compare performance of all department, before
implementing concept of talent management and after implementing concept of talent
management. We can observe that, performance of all departments is increase after
implementing talent management concept.

Chapter 9: Conclusion and

testing of
hypothesis
 80

9.1 Testing of Hypothesis

Talent Management has been developed as a platform for corporate world to manage
talents of employee, for company benefits.
From above surveys and changes in performance report getting follows
information:
For company talent management is effective process.
Talent management is effective for Company if: Remark from Data of
Analysis
 81

= Yes
OR
X = No
Quality of the Product increase.
Ratio of employees to left job is decrease, and new
candidate are increase in organization.
Employee getting satisfaction from the job
Complaints of employee reduced.

Above table show that all the criteria set for Company, to show effective talent

management process, which is helpful to employee as well as organization.

Therefore project is proved the its Null hypothesis & disprove the alternative
hypothesis.
Null Hypothesis:
Employee taking benefits from Talent Management System

Employee can retain successfully for the benefit of organization

Employees performance increased by talent management

Employee turnover of organization affected by Talent Management Procedure

Conclusion

Talent Management for the HR Community is an opportunity for HR professionals

to develop in their areas of expertise and in their careers. A strong HR Community
helps create a strong public service. The goal of talent management is to better
understand our people in the HR Community so we can support professional and
career development and align individual needs and goals with the business focus of
HR. We also want to ensure that we as a Community have the agility to develop
people so that we are meeting the future needs of the community and government and
our clients. This first broad sweep of the Community provides a foundation on which
to ensure leadership continuity, knowledge transfer and service continuity. The initial
 82

implementation resulted in a number of important human resource priorities and

strategies, such as performance management, leadership and management
development, attraction and retention, employee learning and development and
culture, all of which are supported by the HR Strategy for the HR Community.
The critical next step in the process is the implementation of the Talent Management
Plan for the HR Community. Individually, members of the community and their
managers should work together to move forward individual career development plans.
The HR Community must work together to promote a talent management mindset,
commit to supporting development as a professional group, and integrate talent
management into the daily fabric of doing business.

1) Recruitment

We understand it help to ensuring the right people are attracted to the

organization.

2) Retention

We understand it help to developing and implementing practices that reward and

support employees.

3) Employee development

Talent Management ensuring continuous informal and formal learning and

development.

4) Performance management

Talent Management is specific processes that nurture and support

performance, including feedback/measurement.

5) Workforce planning

It use to make planning for business and general changes, including the older
workforce and current/future skills shortages.

Chapter 10: Suggestion and

recommendation
 83

Chapter 10: Suggestion and Recommendation

1) Organization should make research to avoid talent drain.

2) HR Department should interact and expose inbound employee

 84

3) Perform various task to motivate employee for work, because various

employee can not work with motivation they just do it, because
organization pay for them.

Chapter 11: Appendices

 85

(In this project following form are prepare for survey. )

Company Workshop

Name of Employee:

Roll No.

Department:
 86

Designation:

Joining Date:

Qualification:

Questionnaire:

1) Do you feel satisfaction while you complete your work?

Yes No

2) Can you complete your work within a time?

Yes No

3) Can you perform work with interest?

Yes No
 87

4) At any time do you feel that you wasting your time?

Yes No

5) Anywhere do you feel that, you doing a bullock work?

Yes No

6) Do you feel that you select wrong field to work?

Yes No

Any other feedback or suggestions by employee:

Chapter 11: Bibliography

I am overwhelmed in presenting my summer project report in
Company LTD, Nasik works for this I wish to express my deep sense of gratitude for
following web sources and authors to take there references for these project.

Books:

1) Human Capital Management ----- Garry Desslar (P 542)

2) Human Resource Management ---- Himalaya Publications (P 386)
3) Human Resource Management --- Oxford Higher education ( p74)
4) Human Resource Management System ----- Prof. Mr. Subbarao (P, 243)
 88

Web Sources:

1) Oneclickhr.com
2) Weckipedia.com
3) Google.com
4) Reddiff.com