netrashetty
Netra Shetty
American Family Insurance (aka AmFam) is a private mutual company that focuses on property, casualty and auto insurance, but also offers commercial insurance, life, health, and homeowners coverage, as well as investment and retirement-planning products. A Fortune 500 company, its revenues for 2008 were over $6.7 billion
Human Resource Management issues have never been this pronounced. Employees are expressing their desire for new policies and practices that will benefit them and will make working in the company safe, rewarding, enriching and enjoyable. The management is now considering restructuring its policies and practices regarding its people. The management knows that it needs to attract and employ qualified and talented people who will contribute to the success of the company. Employee motivation and retention is also becoming an issue. Employees are bringing career development issued to the attention of the management. The management knows that in order to retain employees, it must design HR practices and policies in a way that will motivate the employee. Reward and compensation must also be considered, as well as performance management. Because of the changes in the labor market such as the increase of dual-earning families, the increase participation of women in the workforce, and the aging of the population, the company needs to address work-life balance issues. Employee relations also is becoming an area of concern.
Human Resources Management (HRM) refers to the philosophy, policies, procedures, and practices related to the management of an organization’s employees. Human resources management is particularly related with all the activities that contribute to successfully attracting, developing, motivating, and maintaining a high-performing workforce that results in organizational success (Sims 2002, p. 2-3). Human resources management covers the every aspect of the relationship between the individual and firm including recruitment, contractual obligations, individual training and motivation, corporate planning, performance monitoring, grievance handling and general welfare, dismissal and redundancy (Vernon 2002, p.101). Human resources management involves the establishment and execution of policies, programs, and procedures that influence the performance, capabilities, and loyalty of the employees of an organization. Through these policies and procedures, individuals are attracted, retained, motivated, and developed to perform the work of the organization. It is through these policies and procedures that the organization seeks to mold and shape the actions of its employees to operate successfully, comply with various public policies, provide satisfactory quality of employment, and improve its position in the market place through strengthened ability to compete and serve (Clardy 1996, p.1). HRM is increasingly viewed as a source of competitive advantage and its processes and procedures as contributors to the organization’s success. Over the years, HRM has become an integral part of every organization that deals with HR affairs, policies and processes. Now the HR department is being viewed as a partner and works closely with the top management and the employees. HRM contributes to the success of the organization through the following:
1. It provides the right kinds of talent to the organization at the right time. HRM is expected to assure that a supply of qualified labor in a timely fashion (Clardy 1996, p.20).
2. It ensures that the organization is properly staffed. When done effectively, the staffing, recruitment, and selection process provides a flow of qualified individuals for filling open positions within the organization on a timely and efficient basis (Clardy 1996, p. 41).
3. Using appraisals, the employees are assesses and evaluated. Employee appraisals have very profound implications for both the employees and for the future success of the organization (Clardy 1996, p.58).
4. Using effective pay systems, the management can focus employees’ efforts toward desired organizational goals (Clardy 1996, p.79).
5. Ensures that the employees are properly skilled to perform their tasks and supports the organization’s growth through career development. The goal of training as part of the human resources management processes is to create cost-effective programs that build the skills to perform effectively
Strategic human resources management, alignment with mission achievement, strategic alignment these terms are some of the phrases, which are being used to explain the latest, evolving function of human resources management (HRM). Different people will give different meaning for these terms. Consequently, it is imperative to ascertain from the starting what we are really talking about. Human resources management alignment implies integrating decisions concerning employees with decisions regarding the outcomes a business is attempting to reach the objective of the company in relations to its business targets. (Hunger & Wheelen, 2003) This report will address strategic human resource management in APS Company. The report will take a critical evaluation of the human resource and offer the best strategy to follow.
A critical evaluation of the role of strategic human resource management in contributing towards the success of APS
With human resource rising as the primary asset of an organisation, human resources (HR) management are being faced with new challenges to come up with strategic approaches that can add value to the organisations when sourcing for new employees. To address this issue the human resource have to formulated strategies that will add value to an organisation in pursuit of identifying, recruiting, developing and retaining highly talented employees who can take the company to new heights and provide a competitive advantage to the company (Armstrong, 2006)
Recruitment and retention
Beardwell & Holden (1997) states that; employee recruitment is very important in an organization. It consists of administration, performance and staffing. All these are interrelated activities that are carried out in an organization. Management and staffing activities help in ensuring that employees with right or desired skills are recruited. The employees have also to be in the right numbers desired by the organization. Employee recruitment aims at ensuring that employees are at the right place at the right time. Human resource manager in this case is concerned with ensuring that employees perform their best. Best recruitment processes insure that the organizations get the best staff that can improve and add value to the company. The human resource has to provide better employment terms to retain employees who are experienced in the organization. This will highly help the restructuring processes. (Beardwell & Holden, 1997)
Training and development
Each employee requires more learning in order to improve his /her skills, no matter how best a candidate is, he/she can not be 100% percent qualified. Thus, the human resource management should implement learning management system (Beardwell & Holden, 1997)
In general the human resource management is supposed to come up with training and education programs for its employees. Training can be termed as systematic enhancement of knowledge, skills and attitudes of the needed by an employee in order to perform a given task. Development is the growth of an employee in terms of capability, understanding and awareness. In an organization training and development is important in order to;
1. Develop a workforce that can perform higher-grade assignments
2. Increase efficiency, effectiveness and standards of performance by the employee
3. Keep the employees informed
4. Provide the usual training of new recruited workforce
Training Details
The strength of any organization is its manpower. Each organization would like to have executives who are well trained so that they can be more productive. The vehicle manufacturers conduct several trainings so that they can achieve their goals. In the Training master form, you can enter the information about the training, which have been conducted during a particular time period. We are also maintaining the information regarding the attendance of the executives in a specific training. That is, how many executives out of the given list have attended the training? With the help of these training details we are generating various MIS reports. The details provided here can help the management to find out an efficient person for a special task. Searching facility is also available, so you can find out the total information of a particular training with just one click over there.
SALES AND TRAINING DEPARTMENT
To ensure multiple knowledge and skill development of DSEs required selling cars and handling competition
Consultative Selling Approach.
Continuous Feedback and Performance monitoring.
To employ training as a tool to achieve customer delight and customer loyalty
Make DSEs as Advisors and be a single window interface with the customer
The various training Programs are as follows:
TRAINING PROCESS For Sales Executives:
1.Induction - Aims to provide an understanding of the automobile industry, its policies and products. (2 Days)
2.Product programs- Imparts complete knowledge on product vis-à-vis competition. Various programs are Segment A1, Segment A2, Segment (2 Days)
3.Selling Skills/ Consultative Selling Process- Enables executives to understand customer needs, sales processes etc and enables them to apply learning in actual selling. (2 Days)
4. Customer care - A positive attitude and the ability to motivate oneself is a pre-requisite for excellent performance in any work area. The program aims at helping one to build a positive attitude and better interpersonal skills and to enable better customer handling. (3 Days)
5.Advisor for life program: In this changed competitive environment the role of Dealer Sales Executive is seen more than a person who is selling cars to the customers. He is expected to be the Customer's ' Car Advisor for life' and make that one-time customer into his 'Customer for life'. He has to be Single Window Interface with his customers on all matters related to cars i.e. finance, insurance, Extended warranty, MGP, MGA, service etc. (2 Days)This training trains the Sales Executives on the concept of 'Advisor for Life' and helps them become a Single Point Contact with the customer.
6.Program for Dealer sales Executives handling Corporate and Institutional Sales. (2 Days)
7.Delivery Process : The training program on 'Delivery Process' has been developed as delivery now has the maximum weight age in the new factor structure for SSI. It not only focuses on the processes to be followed for delivery but also makes the DSE realize the importance of a good delivery (delivery is not the end of a sale but a beginning of a relationship)
Training process for Sales Managers /General mangers/ Branch Heads
1.Dealership Management Program: for second-generation dealers, and GM’s and RO executives on how to manage entire Dealership Operations. Financial Management, staff management, motivation, time management, planning are covered. (2 Days)
2.Sales Managers/Team Leaders Program: The Training covers issues like Sales Management (target setting and achievement, enquiry management, resource and time management etc), Supervisory skills (Performance management, leadership etc), Practical Coaching skills, knowledge of Finance, Insurance Extended warranty, , True Value etc and Advisor for life concept. (2 Days)
3.Branch Managers Program: Many of our dealers have multiple outlets. While the owners sit at any one outlet and control the others from there, different branch heads that manages the day-to-day operations of the outlets manages the other outlets. In order to ensure that they run their respective outlets effectively we train them on the various aspects of dealership.
The training covers topics like -Making a business plan (for the dealership as a whole- Not only for sales but also for other revenue streams), Fundamentals of DBP, HR Management, Team Building and Supervision skills, Ability to motivate the team and get a buy in on the business plan, Time management/Prioritizing etc
Employee performance management
The most important aspect of human resource management practice is employee evaluation. The performance of any organisation is determined directly by the performance of the employees. It is possible to monitor the evaluation if the employees of any company via the use of human resource evaluation systems. These systems are done continuously with a view to retaining useful employees. Some organizations, because of their soft approaches, have incurred huge losses due to the fact that most employees are joy-riders in the organisation. These employees are considered a liability to the organisation because they contribute very little for the productivity levels. This means that their cost benefit ratio is high (Hunger & Wheelen, 2003)
Regulatory compliance
In the recent days, human resource management practices have extended its functions to include regulating employees in the organization. The human resource management will have to ensure that employees comply with the company rules and regulations. In addition the manager will also have to ensure that good working relations do exist between the employees. In case an employee breaks the company rules or regulations, then the human resource management has to take steps in disciplining the employee so that he/she can comply. If the employee persist being disobedient to the company rules, then the human resource management can sack him/her if that the only step that remains to be undertaken. Complying with company rules is directly related with improving production. (Hunger & Wheelen, 2003)
Compensation and benefits
Workers need to be compensated for their performance in order to encourage them to keep up or improve on that performance. The moment the human resource establishes the performance of the worker, managers should reward to commensurate with the worker's achievement. These will ensure maximum production and effectiveness of the worker; current compensation programs should include a mix of basic pay, equities and variable pay.
Human Resource Management issues have never been this pronounced. Employees are expressing their desire for new policies and practices that will benefit them and will make working in the company safe, rewarding, enriching and enjoyable. The management is now considering restructuring its policies and practices regarding its people. The management knows that it needs to attract and employ qualified and talented people who will contribute to the success of the company. Employee motivation and retention is also becoming an issue. Employees are bringing career development issued to the attention of the management. The management knows that in order to retain employees, it must design HR practices and policies in a way that will motivate the employee. Reward and compensation must also be considered, as well as performance management. Because of the changes in the labor market such as the increase of dual-earning families, the increase participation of women in the workforce, and the aging of the population, the company needs to address work-life balance issues. Employee relations also is becoming an area of concern.
Human Resources Management (HRM) refers to the philosophy, policies, procedures, and practices related to the management of an organization’s employees. Human resources management is particularly related with all the activities that contribute to successfully attracting, developing, motivating, and maintaining a high-performing workforce that results in organizational success (Sims 2002, p. 2-3). Human resources management covers the every aspect of the relationship between the individual and firm including recruitment, contractual obligations, individual training and motivation, corporate planning, performance monitoring, grievance handling and general welfare, dismissal and redundancy (Vernon 2002, p.101). Human resources management involves the establishment and execution of policies, programs, and procedures that influence the performance, capabilities, and loyalty of the employees of an organization. Through these policies and procedures, individuals are attracted, retained, motivated, and developed to perform the work of the organization. It is through these policies and procedures that the organization seeks to mold and shape the actions of its employees to operate successfully, comply with various public policies, provide satisfactory quality of employment, and improve its position in the market place through strengthened ability to compete and serve (Clardy 1996, p.1). HRM is increasingly viewed as a source of competitive advantage and its processes and procedures as contributors to the organization’s success. Over the years, HRM has become an integral part of every organization that deals with HR affairs, policies and processes. Now the HR department is being viewed as a partner and works closely with the top management and the employees. HRM contributes to the success of the organization through the following:
1. It provides the right kinds of talent to the organization at the right time. HRM is expected to assure that a supply of qualified labor in a timely fashion (Clardy 1996, p.20).
2. It ensures that the organization is properly staffed. When done effectively, the staffing, recruitment, and selection process provides a flow of qualified individuals for filling open positions within the organization on a timely and efficient basis (Clardy 1996, p. 41).
3. Using appraisals, the employees are assesses and evaluated. Employee appraisals have very profound implications for both the employees and for the future success of the organization (Clardy 1996, p.58).
4. Using effective pay systems, the management can focus employees’ efforts toward desired organizational goals (Clardy 1996, p.79).
5. Ensures that the employees are properly skilled to perform their tasks and supports the organization’s growth through career development. The goal of training as part of the human resources management processes is to create cost-effective programs that build the skills to perform effectively
Strategic human resources management, alignment with mission achievement, strategic alignment these terms are some of the phrases, which are being used to explain the latest, evolving function of human resources management (HRM). Different people will give different meaning for these terms. Consequently, it is imperative to ascertain from the starting what we are really talking about. Human resources management alignment implies integrating decisions concerning employees with decisions regarding the outcomes a business is attempting to reach the objective of the company in relations to its business targets. (Hunger & Wheelen, 2003) This report will address strategic human resource management in APS Company. The report will take a critical evaluation of the human resource and offer the best strategy to follow.
A critical evaluation of the role of strategic human resource management in contributing towards the success of APS
With human resource rising as the primary asset of an organisation, human resources (HR) management are being faced with new challenges to come up with strategic approaches that can add value to the organisations when sourcing for new employees. To address this issue the human resource have to formulated strategies that will add value to an organisation in pursuit of identifying, recruiting, developing and retaining highly talented employees who can take the company to new heights and provide a competitive advantage to the company (Armstrong, 2006)
Recruitment and retention
Beardwell & Holden (1997) states that; employee recruitment is very important in an organization. It consists of administration, performance and staffing. All these are interrelated activities that are carried out in an organization. Management and staffing activities help in ensuring that employees with right or desired skills are recruited. The employees have also to be in the right numbers desired by the organization. Employee recruitment aims at ensuring that employees are at the right place at the right time. Human resource manager in this case is concerned with ensuring that employees perform their best. Best recruitment processes insure that the organizations get the best staff that can improve and add value to the company. The human resource has to provide better employment terms to retain employees who are experienced in the organization. This will highly help the restructuring processes. (Beardwell & Holden, 1997)
Training and development
Each employee requires more learning in order to improve his /her skills, no matter how best a candidate is, he/she can not be 100% percent qualified. Thus, the human resource management should implement learning management system (Beardwell & Holden, 1997)
In general the human resource management is supposed to come up with training and education programs for its employees. Training can be termed as systematic enhancement of knowledge, skills and attitudes of the needed by an employee in order to perform a given task. Development is the growth of an employee in terms of capability, understanding and awareness. In an organization training and development is important in order to;
1. Develop a workforce that can perform higher-grade assignments
2. Increase efficiency, effectiveness and standards of performance by the employee
3. Keep the employees informed
4. Provide the usual training of new recruited workforce
Training Details
The strength of any organization is its manpower. Each organization would like to have executives who are well trained so that they can be more productive. The vehicle manufacturers conduct several trainings so that they can achieve their goals. In the Training master form, you can enter the information about the training, which have been conducted during a particular time period. We are also maintaining the information regarding the attendance of the executives in a specific training. That is, how many executives out of the given list have attended the training? With the help of these training details we are generating various MIS reports. The details provided here can help the management to find out an efficient person for a special task. Searching facility is also available, so you can find out the total information of a particular training with just one click over there.
SALES AND TRAINING DEPARTMENT
To ensure multiple knowledge and skill development of DSEs required selling cars and handling competition
Consultative Selling Approach.
Continuous Feedback and Performance monitoring.
To employ training as a tool to achieve customer delight and customer loyalty
Make DSEs as Advisors and be a single window interface with the customer
The various training Programs are as follows:
TRAINING PROCESS For Sales Executives:
1.Induction - Aims to provide an understanding of the automobile industry, its policies and products. (2 Days)
2.Product programs- Imparts complete knowledge on product vis-à-vis competition. Various programs are Segment A1, Segment A2, Segment (2 Days)
3.Selling Skills/ Consultative Selling Process- Enables executives to understand customer needs, sales processes etc and enables them to apply learning in actual selling. (2 Days)
4. Customer care - A positive attitude and the ability to motivate oneself is a pre-requisite for excellent performance in any work area. The program aims at helping one to build a positive attitude and better interpersonal skills and to enable better customer handling. (3 Days)
5.Advisor for life program: In this changed competitive environment the role of Dealer Sales Executive is seen more than a person who is selling cars to the customers. He is expected to be the Customer's ' Car Advisor for life' and make that one-time customer into his 'Customer for life'. He has to be Single Window Interface with his customers on all matters related to cars i.e. finance, insurance, Extended warranty, MGP, MGA, service etc. (2 Days)This training trains the Sales Executives on the concept of 'Advisor for Life' and helps them become a Single Point Contact with the customer.
6.Program for Dealer sales Executives handling Corporate and Institutional Sales. (2 Days)
7.Delivery Process : The training program on 'Delivery Process' has been developed as delivery now has the maximum weight age in the new factor structure for SSI. It not only focuses on the processes to be followed for delivery but also makes the DSE realize the importance of a good delivery (delivery is not the end of a sale but a beginning of a relationship)
Training process for Sales Managers /General mangers/ Branch Heads
1.Dealership Management Program: for second-generation dealers, and GM’s and RO executives on how to manage entire Dealership Operations. Financial Management, staff management, motivation, time management, planning are covered. (2 Days)
2.Sales Managers/Team Leaders Program: The Training covers issues like Sales Management (target setting and achievement, enquiry management, resource and time management etc), Supervisory skills (Performance management, leadership etc), Practical Coaching skills, knowledge of Finance, Insurance Extended warranty, , True Value etc and Advisor for life concept. (2 Days)
3.Branch Managers Program: Many of our dealers have multiple outlets. While the owners sit at any one outlet and control the others from there, different branch heads that manages the day-to-day operations of the outlets manages the other outlets. In order to ensure that they run their respective outlets effectively we train them on the various aspects of dealership.
The training covers topics like -Making a business plan (for the dealership as a whole- Not only for sales but also for other revenue streams), Fundamentals of DBP, HR Management, Team Building and Supervision skills, Ability to motivate the team and get a buy in on the business plan, Time management/Prioritizing etc
Employee performance management
The most important aspect of human resource management practice is employee evaluation. The performance of any organisation is determined directly by the performance of the employees. It is possible to monitor the evaluation if the employees of any company via the use of human resource evaluation systems. These systems are done continuously with a view to retaining useful employees. Some organizations, because of their soft approaches, have incurred huge losses due to the fact that most employees are joy-riders in the organisation. These employees are considered a liability to the organisation because they contribute very little for the productivity levels. This means that their cost benefit ratio is high (Hunger & Wheelen, 2003)
Regulatory compliance
In the recent days, human resource management practices have extended its functions to include regulating employees in the organization. The human resource management will have to ensure that employees comply with the company rules and regulations. In addition the manager will also have to ensure that good working relations do exist between the employees. In case an employee breaks the company rules or regulations, then the human resource management has to take steps in disciplining the employee so that he/she can comply. If the employee persist being disobedient to the company rules, then the human resource management can sack him/her if that the only step that remains to be undertaken. Complying with company rules is directly related with improving production. (Hunger & Wheelen, 2003)
Compensation and benefits
Workers need to be compensated for their performance in order to encourage them to keep up or improve on that performance. The moment the human resource establishes the performance of the worker, managers should reward to commensurate with the worker's achievement. These will ensure maximum production and effectiveness of the worker; current compensation programs should include a mix of basic pay, equities and variable pay.
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