years of industrial harmony to date, with no strikes since 1928. Grievance Handling Mechanism: Grievances and complaints of employees at Tata Steel are handled through well-defined and user friendly mechanisms in order to redress them at the initial stages thereby ensuring employee satisfaction. The informal grievance resolution mechanism is an online process and goes by the name of “Samadhan”. The formal grievance resolution is divided into three stages, with each stage being reached when a solution is not arrived in the previous stage. These are further referred to the Central Works Committee (Gopalakrishnan, 2012) .
Benefits and Facilities
The Steel Works has enforced SA 8000 as a tool to enhance workplace standards, believing that a happy workforce is a productive workforce. Management and HRM of Tata Steel has always focused on employee
Studies have shown that employee participation is undoubtedly related to productivity, satisfaction, and performance (Verma, 1995). Profit sharing can act as a device of change to support the overall HR strategy to warn competitors or motivate employees to recognize with organization performance objectives and values (perry, 2010). Benefit programs represent a significant commitment by the employer to the welfare of its employees and the retention of qualified employees (Wolf, 1989)(Benjamin and Udechukwu, 2014, pp. 63) .
Employee development and growth
Tata steel provide access to all the employees for relevant learning opportunities to upgrade their skills and competences continuously. HR strategies such as skilling of existing employees and recruitment of other qualified individual help to develop employees. So
Financing training and development of employees can make them productive or...
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...s strategy. At Tata steel, it is clearly visible that they have a healthy employment relations, and HR and business strategies are integrated to attain best organizational outcomes such as cost reduction, innovations and quality service. Impending challenges ahead for Tata steel's HRM are, talent shortage, poor communication skills and lack of leadership development. So they need to concentrate more on all these factors, as they are also the prerequisites for a healthy employment relationship. Many studies found proof for a positive relationship between the SHRM with business strategies and financial achievement.
In many organizations, there are still gaps found between the vision and reality. That should be modified. Organizations should acknowledge the significance of including HR strategies in their business strategies to enhance their achievements of objectives.
In closing it is important to note that making HR a strategic partner, having the ability to attain a competitive advantage through HR, creating an effective performance management policy and having the ability to effectively measure HR’s impact will be a key driver to success
Determine how innovations in employee benefits can improve the overall competitive compensation strategy of the organization.
Have an independent team look into the working conditions – The management should engage the services of a third party to look at the organizations working conditions and make any recommendations to improve the same. The company should also consider engaging a government agency to help in reviewing the working conditions in the company. Government teams are great and will inspect how workers feel under new working conditions and advise accordingly on how to improve. In addition, the company can seek to have certifications like ISO certification, which will give employees or prospective employees’ confidence with the company. When the company engages the services of a third party, they are able to have a different outlook and therefore opinion and thereby are in a good position to have an honest review of the working conditions of the company. The company should then use the recommendations of the third party to improve the working conditions of their
The aim of this report is to evaluate current Human Resource Practices within Steel Co and identify weaknesses that the current model possesses. Performance and Reward management tools available will be evaluated in order to make recommendations on how the Management tools could compliment the system that Steel Co currently employs.
Whether an organization consists of five or 25,000 employees, human resources management is vital to the success of the organization. HR is important to all managers because it provides managers with the resources – the employees – necessary to produce the work for the managers and the organization. Beyond this role, HR is capable of becoming a strong strategic partner when it comes to “establishing the overall direction and objectives of key areas of human resource management in order to ensure that they not only are consistent with but also support the achievement of business goals.” (Massey, 1994, p. 27)
This author can remember when his former company offered profit sharing for achieving production and it was motivation to do better job. Smart companies recognize that motivated employees are productive employees, which inspires them to create tactics to keep their workforces gratified and inspired. Therefore, it is wise to offer Incentive plans for performance. With that said there are several incentive plans that can be utilized by companies such as “team and group incentives”, “piecework plans”, “stock options”, “non-tangible and recognition based awards”, “employee stock ownership” ,“merit pay”, and “profit sharing plans” (Dessler, 2011).
In the fields of management and business, Strategic Human Resource Management (SHRM) has been a powerful and influential tool in order to motivate employees to perform productively. (Ejim, Esther, 2013). According to Armstrong (2011), SHRM refers to the way that the company use to approach their strategic goals through people with a combination of human resource policy and practices. The purpose of SHRM is to produce strategic capability that the organisation must ensure such that employees are skilled, committed, and well-motivated in order to achieve a sustainable competitive advantage, (Armstrong, 2011). Particularly, the organisation must be able to carefully plan strategic human resource ideas, aimed to increase the productivity.
Changing Roles. Traditionally, HR has been an administrative position-processing paperwork, benefits, hiring and firing, and compensation. However, recently HRM has moved from a traditional to a strategic role, the emphasis is on catering to the needs of consumers and workers. Before, HR was seen as the enemy and employees believed that HR’s main purpose was to protect management. Now, the position requires HRM to be more people oriented and protect their human capitol, the staff. In addition, human resource management has to be business savvy and think of themselves as strategic partners in the 21st century.
HRM in any company is a weighty issue that needs much attention where business performance is linked to a HR strategy (Caldwell 2008; Ulrich et al. 2008). In the recent past, competition has become stiff, such that organizations need to come up with other means to compete in the extremely dynamic market world. Thus, companies have shifted their emphasis to Strategic Human Resource Management (SHRM) where they enhance and empower their personnel in order to increase the productivity and the services offered into the market (Mello 2006). This goes against the traditional ways of increasing the means of competition where organizations place emphasis on tangible resources. In the past, organizations competed in terms of machinery and acquisitions. This has changed greatly due to the changing customer tastes and the diversity of the market in the present (Delery & Doty 1996; Lengnick-Hall et al. 2009).
The succeeding paragraphs will explain how innovations in employee benefits can improve the overall competitive compensation strategy of the organization. In order to maintain their competitive edge, companies need to fully understand that as the needs of their employee’s change, so do their benefit plans. Companies need to find innovative ways of engaging employees that encourage and support their commitment and improve their performance. The first way is by helping the company attract and retain talent. A company is only as good as its workforce, so having an innovative benefit plan will help to attract high potential candidates and also retain them within the organization.
Employee benefits coordinator play a significant role in Human Resource Management. Employee Benefits coordinators are responsible for assisting with employee benefits, maintaining employee data base, managing all insurance billings and maintain employee files, sick pay, vacation and retirement. This study explores the importance of employee benefits to corporations, government agencies and non profit organizations. This paper also researches the effects on the management team and on individual employees’.
Thus TATA steel organising seminars and workshops from different area and expertise so as to provide knowledge to the employee regarding the product line, positioning strategy of each product line, how to engage with customer and develop strategy meeting their needs.
Understanding the strategic potential of HRM is a relatively recent phenomenon. Strategic HRM attempts to bring HRM to the boardroom. It requires personnel policies and practices to be integrated so that they make a coherent whole, and also that this whole is integrated with the business or organisational strategy.
The organization is able to manage a high coverage of risks at relative low costs owing to the availability of highly skilled personnel in the company’s team of employees. This benefit also brings about another advantage of easing the financial burden of the organization (Johnson, 2016). Besides, effective employee benefit system offered by the organization could improve the general productivity. This benefit is attributed to the fact that employees tent to be more effective when they are given assurance of job security. In addition, workers become more productive when they and their families are given the desired security by the employer. The other benefit to the organization if it employs an effective compensation and benefits system entail benefits from premiums (Wayne, Shore, M., Bommer, & Tetrick, 2002). These premiums are typically tax deductibles as corporate expense. As such, a company that has an effective compensation and benefits system is likely save extra money for other
In the 1980’s, the birth of a new concept called ‘Human Resource Management’ was born. This trend comes after an intense period of Taylorisation, Fordism and now, McDonaldisation. HRM came to counter balance these trends and to consider the concept of the Man as a Man and not as a machine. For the last several decades, the interests of companies in "strategic management" have increased in a noteworthy way. This interest in strategic management has resulted in various organizational functions becoming more concerned with their role in the strategic management process. The Human Resource Management (HRM) field has sought to become integrated into the strategic management process through the development of a new discipline referred to as Strategic Resource Management (SHRM). In current literature, the difference between SHRM and HRM is often unclear because of the interconnections linking SHRM to HRM. However, the concepts are slightly different. Thus, we can ask, what is strategic human resource management? What are the main theories and how do they work? What do they take into account and how are they integrated? What are the links between SHRM and organization strategy? In order to answer to these questions, we will precisely define strategic human resource management, followed by a look at the different approaches built by theorists, and finally, we will see the limits between the models and their applications depending on the company’s environment. Discussion Strategic Human Resource Management: definition Strategic human resource management involves the military word ‘strategy’ which is defined by Child in 1972 as "a set of fundamental or critical choices about the ends and means of a business". To be simpler, a strategy is "a statement of what the organization wants to become, where it wants to go and, broadly, how it means to get there." Strategy involves three major key factors: competitive advantages (Porter, 1985; Barney, 1991), distinctive capabilities (Kay, 1999) and the strategic fit (Hofer & Schendel 1986). Strategies must be developed with a relevant purpose to sustain the organizational goals and aims. SHRM is one of the components of the organizational strategies used to sustain the business long-term. SHRM defined as: “all those activities affecting the behaviour of individuals in their efforts to formulate and implement the strategic needs of the business. (Schuler, 1992)” or as “the pattern of planned human resource deployments and activities intended to enable the firm to achieve its goals.