Saturday, May 29, 2010
Adding Value through HR
It becomes the urgent question in today business strategies.How to add value to the business through the human resources?.It is based on the premise that there has been a change in the components of market valuation. The traditional viewpoint is that when a firm rapidly earns more money, its value goes up. The more it earns, the more investors value it. In recent years, however, that logic has begun to twist. Firms in the same industry and with similar earnings may have vastly different market values. This is based on the intangible value-components of a company. Mostly,it is the new value in HR.
Wednesday, May 19, 2010
Choosing the right Partner
(1)
They are newly married. Both of them are working with a different employer. They usually manage to go together to their places of work using their own car. He usually dropped her at the morning and lifted her at the end of the office work.
That day she told him not to come to lift her because she has a rendezvous with her office peers as they wanted to visit a father of one of their peers who was sick at a private hospital and she may come shortly before sunset. He also told her he will take this chance to see the car shop for some scheduled service and he may be at home at an amble time before sunset.
(2)
While at work he used, at his idle times, to enter that chat rooms in the net. He has many intimated friends. One of them was nice and attracting girl. They both chat with a very sensitive protocol not to use mobile phone or net cam services. One day before, they had agreed to meet this day at one of the fast food restaurant for some fun time. They both fixed the time and the place. For the immediate eye hunting she agreed to wear a wide and dark sun glasses borrowed from one of her peers at the office with yellow head and shoulder cover (Tarha) with full matching with her leather shoes.
(3)
She arrived at the restaurant in the fixed time in the full descriptive uniform. She sat in a remote table in a dark corner, covering her facial feature with a wide and dark sun glasses. She asked the waiter to bring two cups of mango juice supported with their sucking facility. He arrived 5 minutes late. He immediately penetrated inside the restaurant. To his astonishment he saw his wife sitting in a remote table in front of her 2 cups of mango juice covering her face with the double fold table menu in another attempt to hide her features. Fortunately, it was good chance for him to flee directly to his car and home without going through the car shop for the scheduled service!
(4)
At an amble time before sunset she arrived home carried in both hands a plastic cover inside it there were two safari dishes of chicken fried and fish fried with 2 jumbo cups of mango juice. They jointly shared the fresh meal and sucked the sweet juice. It was a nice night and a nice sleep too.
Useful tip: use the right means of selecting your right people at work… Choosing the Right Partner
They are newly married. Both of them are working with a different employer. They usually manage to go together to their places of work using their own car. He usually dropped her at the morning and lifted her at the end of the office work.
That day she told him not to come to lift her because she has a rendezvous with her office peers as they wanted to visit a father of one of their peers who was sick at a private hospital and she may come shortly before sunset. He also told her he will take this chance to see the car shop for some scheduled service and he may be at home at an amble time before sunset.
(2)
While at work he used, at his idle times, to enter that chat rooms in the net. He has many intimated friends. One of them was nice and attracting girl. They both chat with a very sensitive protocol not to use mobile phone or net cam services. One day before, they had agreed to meet this day at one of the fast food restaurant for some fun time. They both fixed the time and the place. For the immediate eye hunting she agreed to wear a wide and dark sun glasses borrowed from one of her peers at the office with yellow head and shoulder cover (Tarha) with full matching with her leather shoes.
(3)
She arrived at the restaurant in the fixed time in the full descriptive uniform. She sat in a remote table in a dark corner, covering her facial feature with a wide and dark sun glasses. She asked the waiter to bring two cups of mango juice supported with their sucking facility. He arrived 5 minutes late. He immediately penetrated inside the restaurant. To his astonishment he saw his wife sitting in a remote table in front of her 2 cups of mango juice covering her face with the double fold table menu in another attempt to hide her features. Fortunately, it was good chance for him to flee directly to his car and home without going through the car shop for the scheduled service!
(4)
At an amble time before sunset she arrived home carried in both hands a plastic cover inside it there were two safari dishes of chicken fried and fish fried with 2 jumbo cups of mango juice. They jointly shared the fresh meal and sucked the sweet juice. It was a nice night and a nice sleep too.
Useful tip: use the right means of selecting your right people at work… Choosing the Right Partner
Tuesday, May 18, 2010
Our people are our most valuable asset.
Most of the managers I have closely worked with readily gave signs of acceptance to the frequently heard statement that people are a company’s most valuable asset. Yet, the people within an organization do not always experience decisions and policies reflecting this in everyday life. They are much more likely to see the company being driven by efficiency and by minimizing costs and severe headcounts. Asking audiences how they perceive reality, I have found fewer who feel that the decisions made by top management match the strong belief in the real value of people (more or less not more than lip services). To accountant and many GMs who always think on profit and bottomline described people as “costs walking about on legs” is often closer to reality nightmare.
To accountant and many GMs the problem is that people do not fit the strict financial definition of an “asset.” They cannot be transacted at will; their contribution is individual and variable (and subject to behavioral pattern and environment), and they cannot be valued according to traditional financial principles.
Organizations today are as much concerned about the “war for talent” and talent retaliation issues. why is this so? It is very simple. The valuation of companies has changed progressively since about 1990, putting a much higher value on “intangible assets” such as knowledge, competence, brands, systems effective socialization, team work, customer care and talents who represent the intellectual capital of the organization. And it is people, and people alone—the human capital”—who build the value.
However, it becomes quite clear that people should come first. What is recognized is that at the end of the day, everything depended on people: their capability, motivation, creativity, organizational skills, and leadership to plan, organize, resource, audit and control the business. People manage the tangible assets, and they also maintain and grow the intangible ones.
They are people who make boom and recession.
To accountant and many GMs the problem is that people do not fit the strict financial definition of an “asset.” They cannot be transacted at will; their contribution is individual and variable (and subject to behavioral pattern and environment), and they cannot be valued according to traditional financial principles.
Organizations today are as much concerned about the “war for talent” and talent retaliation issues. why is this so? It is very simple. The valuation of companies has changed progressively since about 1990, putting a much higher value on “intangible assets” such as knowledge, competence, brands, systems effective socialization, team work, customer care and talents who represent the intellectual capital of the organization. And it is people, and people alone—the human capital”—who build the value.
However, it becomes quite clear that people should come first. What is recognized is that at the end of the day, everything depended on people: their capability, motivation, creativity, organizational skills, and leadership to plan, organize, resource, audit and control the business. People manage the tangible assets, and they also maintain and grow the intangible ones.
They are people who make boom and recession.
HR Transformation
I have gone through quite a lot of literature in books, academic papers, web pages and through the live debates and discussions. All are taking great concern about the Issue of the HR transformation. In today fast moving business all are doing their best to reach the competitive edge. All business men are becoming aware to the fact that values can be added to their business through the HR and the intangibles rather than the tangible assets.
Accordingly, there is a great concern to transform the HR from the traditional and administrative function to the strategic player. This, however, can be achieved by aligning the HR strategy with the business strategy. Actually every business strategy has a build-in part of the HR strategy what so ever this strategy is diversification, introduction of new line of production, new technology, new market segment, new product or even in case of liquidationm, business shutdown and headcount in case of recession and business collapse.
The HR strategy should be directly aligned to the business strategy. HR strategy should avail and attract the right and the competent resources to the business; develop them through a systematic strategy of HR development.HR should develop strategy that related the performance of the employees to the success of the business and should maintain a strong correlation between the employee performance and the business success and bottom-line. HR should build and maintain very strong strategy for reward and recognition that help in the attraction and the retention of the best resources in the business. Studies are, however, showing that there is a close relation between the increase of length of service, the decrease in rate of turnover and the customer care, high sale volume, low cost , high profit and the competitive advantage. It is quite clear that when we attract and recruit the competent people, we better invest in them by training and development, we continuously assess their performance to bridge their performance gap and link their performance to the overall business endeavors by using the business score card , in the meantime we use the best system of reward and recognition to our high potential employees these integrated HR strategies will lead to develop the TALENT POOL. The business will, however, acquire the best human capital, intellectual capital and social capital. It is the pool of intangible which will not be available to the other business rivals. It is the sustainable competitive advantage.
Accordingly, there is a great concern to transform the HR from the traditional and administrative function to the strategic player. This, however, can be achieved by aligning the HR strategy with the business strategy. Actually every business strategy has a build-in part of the HR strategy what so ever this strategy is diversification, introduction of new line of production, new technology, new market segment, new product or even in case of liquidationm, business shutdown and headcount in case of recession and business collapse.
The HR strategy should be directly aligned to the business strategy. HR strategy should avail and attract the right and the competent resources to the business; develop them through a systematic strategy of HR development.HR should develop strategy that related the performance of the employees to the success of the business and should maintain a strong correlation between the employee performance and the business success and bottom-line. HR should build and maintain very strong strategy for reward and recognition that help in the attraction and the retention of the best resources in the business. Studies are, however, showing that there is a close relation between the increase of length of service, the decrease in rate of turnover and the customer care, high sale volume, low cost , high profit and the competitive advantage. It is quite clear that when we attract and recruit the competent people, we better invest in them by training and development, we continuously assess their performance to bridge their performance gap and link their performance to the overall business endeavors by using the business score card , in the meantime we use the best system of reward and recognition to our high potential employees these integrated HR strategies will lead to develop the TALENT POOL. The business will, however, acquire the best human capital, intellectual capital and social capital. It is the pool of intangible which will not be available to the other business rivals. It is the sustainable competitive advantage.
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