FUTURE OF HR

by chennai based K.B.Gopalakrishnan

9th october,2006 4;43PM

 

 

Old models of needing to redefine the workers- Karl marks in das capital said workers of the world would unite. Slowly this has lead to blue collars and white collar workers. Ultimately now we are letting go of that definition too in the e- economy. Basically workers can be called us partners that MNC Company like Arthur Anderson does. There is another way to define, which is consultant.

 

The relationship between employer and employee will under go change. In the earlier cycle you had models, which were of hierarchy in nature. Old king and slave style. It will be like-* I tell you what to, do it what I say, do as your are told are over*. This is slowly giving way to a newer model. Earlier employees gave time and energy; in turn employers gave them space, information, resources, role and definition to bring in profit. This has changed. See for example mukesh ambani says that he will give Rs 5 crores to guys and in return they will take 20% return on investment. Effectively this means employers and employees relationship role and attitude is blurring.

one of the main problem of employer was that, he was supposed to keep profit for himself only the salary was given. Slowly this lead to providing employees bonuses. Now increasingly people give ESOPs, profit sharing. This has even lead to intrapreneurship where people can take the ideas from the employees and the funding is given by employers itself. Now you have VC funding, angel investing and all kinds of options available.

 New models in sharing profits which will lead to workers commitment and stability will be there .may be sponsoring child education, the company acting as a part time banks where instead of interest, loyalty is got can be used.

 

Time of work - The model you pay I work will slowly lead to part time workers . The cycle of workers, sorry pro workers working in one organization for numbers of years that is 10 – 20 years is fast evaporating. It will be only one or two years. This will become less and less. The speed of change will be enormous.

 Profit sharing for a department for individual variable pay, employee turning into consultant will be common. Profit and money has to be shared more and more by the employers. Marketing people can demand more in terms of commission and bonus. Resource will be given by company and make it will be employees responsibility.

 

Flat structure- honeycomb structures, nano structures that are small will be order of the day. Employees will be put in task then once it over, it will dismantled. The idea of permancy in structure will go. Structures of molecules will under go fast change and by nature they are instable. In the same way structures will be dismantled. Think hierarchy not as mountains but as liquid and gaseous states.

 

Multiple pay – for example one work one pay will go. Multiple works for multiple pay. For example a guy can draw salary check from many department. A person can refer a client and can make money in commission.

Intra pay – the employee can offer service to other employers and still make money. This will lead to question of compromise in his role as employee. There will come a time when employee can provide canteen services, match making, education for a fee from the person with out compromising on the role which he is doing. These swapping of skills will go beyond the formal roles.

 

Role changes- the age of waiting for promotions to come is also over. For example very few people studied MBA earlier, now a lot of people study MBA, part time e-education sabbatical etc. so clamoring of post and titles will be a problem. One-way is people create a lot of buffer titles with no real power being used. Multi tasking, multiple roles, one man associated with many department like kind of coordinator, normal people doing marketing will be there.

Working without formal qualification- Indians are known to be educated. Many people learn on their own. So if you ask guy he will have not a formal education but can be good in soft ware skills. This mindset of hiring people only with formal qualification has to go. If the guy is good in skills you will hire.

 

Experimental learning- knowledge and information will explode so much that employers who give continuous training can up grade skills and knowledge. They will also allow

e- learning, learning on job will be a easier version.

 

Homework – many people prefer to work from home. Elderly people, pregnant mother, early child rearing mother etc. this will become slowly a norm where many employees will have the option of working from home or office. The connectivity will be so much, imagine a BPO office allow workers to do the work from home phone provided they can take calls.

 

Now the fixed pay is 80% of the salary and variable pay is less than 20% . There is standard and normally done in a routines manner of promotion and pay rise. Slowly will lead to variable pay dominating more and more.

 

Workers from different country – we are now proud to work In America. Some Americans are proud to know Hindu culture. There will be more mixing of multi racial work culture, which will be a norm than exceptions. A Lebanese, Chinese and Indian can work together for a Japanese boss.

 

Managers will learn subject’s etiquette manners and sensitivity of different cultures.

 

Companies without head quarters – organization looks for head quarters because it is the head. Company starts in one place and go on to make their presence many part of the globe.  They will try to have universal policy procedure for greater harmony. Head quarter will allow mini head quarter and the quarter with in quarter will be normal.

 

Greater democracy to pro workers which leads flexi work- for example the companies fixes the perks, holiday time etc this is being slowly broken down where people will given options hotels, how people want their time, money, and perks will negotiated with HR.

 

Customized- the old way of loyalty for working is changing to people leaving organization. Human resources waste enormous amount of time, energy, and effort to sustain. Workers can choose three months, six month or nine months periods of work where pay and perks vary. Loyal people will be paid better. Equal compensation in the world of disloyalty is useless.

 

Variable pay is only for top level of management. This will slowly change where different parameters other than profit like loyalty, skill can be deciding point.

 

Voting rights for workers- now it is given only for food and choice of location. Slowly it will come to a time were people will give to vote on company general direction and policy. Voting through sms or mail or through video net will be common.

 

HR will be more and more bifurcated

 

 

Multi visioning- the company normally hire consultant to give a vision, which is not believed by many workers .a big vision for whole organization and small visions for other departments to the whole. Secondly vision need not be based on money but on specific attributes like that of skills, knowledge can be given.

 

Dual process- cost cutting and increasing profits , hiring and firing these are dual process when one is done other is not done  this is not done in the dually . Paradoxically e-age companies will recruit and fire.

 

Workers will not pay for training in future. Employees will be given option and payment will given by the employees to the company. This will be easy than they going and learning. This will be carried on to optional areas

 

Dress code and protocol breakage will lead casual styles or Saturday dressing in all sectors than in it.

 

Rise of female workers - generally women in retire once they are married. More and more women will workers will come in after their delivery and pregnancy.

 

Sharing knowledge and process in HR will be quicker easier and faster.

 

 

 

 

 


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