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5 Tips to Better Employee Retention

5 Tips to Better Employee Retention
New Paradigms in Employee Retention What is Employee Retention: It refers to the various policies and practices which let the employees stick to an organization for a longer period of time . It refers to the ability of an organization to retain its employees. HRM Practices: A company to ground itself successfully in the chosen field of activity should adhere to sound human resource management practices, as it is firmly believed that human resource is an asset and investment in human capital paves way for comprehensive development. Many firms fail, in spite of being resourceful in terms of capital, infrastructure and technology. The reason shall be attributed to ineffective handling of human skills or misappropriation of human potential. Human resource management involves not only in recruiting and selecting the right people but also empowering them by suitable training to enhance their technical skills and expertise to perform tasks. The Purpose of Training: Training ultimately aims at converting theorists to performers and orients itself towards accomplishing the enterprise objectives. Big corporate companies concentrate on talent acquisition from the pool of fresh graduates and experienced hands in the IT industry as well. They create a lively corporate atmosphere with “an intelligence network” contributing to the success of the organization. Recruitment and Selection: If you have a feeling that, recruitment and selection are mere procedures to be followed for the sake of selection of human resource, kindly change that notion. These are the crucial steps which determine the fate of your organization. People from different disciplines form a team to achieve the goals and objectives of your organization. Leading a group with such diversity is a feat in itself. Selecting knowledge workers whom you believe will achieve your corporate mission and devising the human resource practices in accordance with their work-life balance will yield great results. Training Programmes: Training programs are developed for different spheres of activity by experienced trainers under the guidance of the top management. Proper training to the trainees ensures maximum work done in minimum time. Training not only makes individuals more informative and knowledgeable but also action buffs. Learning is a key process in training that brings about the desired change in behavior. Corporate companies are also concerned about the career prospects of employees working for them, as they are very well aware of the fact that providing lateral and vertical growth prospects for their workers is the only possible way to retain them. Another way for employee retention is to offer compensation on par or higher than industry standards and periodic review of their pay or compensation in accordance with the performance standards. This method of evaluation is suitable only for companies where workers are highly self motivated and have the capability to understand what it takes to reach the next level in their career ladder. Flexi-Timings: Flexibility is introduced in work life by some of the big corporates who try to visualize the practical problems faced by their employees, particularly women, who come to work. They offer “flexi-timings” in work and support by running “crèche” to nurture new borns. It has been proved that a small siesta after lunch improves the brain activity. The HR policies formulated by the management must encompass all the elements needed for a holistic vision, mission and business growth. This can be made possible by maximizing the efficiency of human capital that adds value to the organization. Note: Companies will also continue to remain generous with pay packages but the big change will be that they will invest a lot more in training and development. “Acquiring talent is much more expensive than grooming...
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Global Marketing Strategies

Global Marketing Strategies
Key Strategies of Global Marketing Globalization means many things to many people. For some it is a new paradigm – a set of fresh beliefs, working methods and economic, political and socio-cultural realities in which the previous assumptions are no longer valid. For developing countries, it means integration with the world economy. It can be better understood if we look it at this perspective- “the world integrated into one huge market”. It calls for the removal of all trade barriers among countries and a perfect competitive market prevails and the stress can lead to many positive and possible outcomes in terms of QualityQuantityUniquenessForeign exchangeBenefits to the host countryIncreased productivity leading toEconomic growth Well, it does not end there. An MNC (multi national company), by operating in more than one country gains r and d, production, marketing and financial advantages in terms ofcost and labor that other competitors may not enjoy. The global company views the world as one market, minimize the importance of national boundaries, sources, and raise capital and markets wherever it can do the job best. Why do companies go global? One reason could be the rapid shrinking of time and distance across the globe thanks to faster communication, speedier transportation, growing financial flows and rapid technological changes. It is being realized that the domestic markets are no longer adequate and rich. Japanese have flooded the U. S. Market with automobiles and electronic goods because the home market was not big enough to absorb whatever was produced. Companies at the first stage of globalization have only passive dealings with foreign individuals and organizations. By the second stage, companies deal directly with their overseas counterparts, though they might continue to use third parties also. The company might decide to set up an import or export department. Next comes the shedding of domestic capacity and floating an international organization and have a direct hand in exporting, importing, and perhaps producing goods and services abroad. Seldom companies reach this stage, even if they do, they recede later. The company can have a strong foothold in the countries it is organizing its activity only by way of * Superior product quality* Demand* Customer preference for that particular product range that the company offer* A dynamic CEO projecting and boosting company’s image,* Brand image* Availability of skilled labor* Licenses* Access to necessary infrastructure* Feasible financial structure* Viability in the long run* Marketing mix Chennai in India has become a hub for so many corporate as well as global companies since the business climate is very favorable and enterprising. Some of the strategies in globalization would be * Deciding whether to go global* Deciding which markets to enter* Deciding how to enter the market* Learning to handle differences* Adjusting the managing process* Deciding organization structure* Selecting a managerial approach. Developing countries like India have adopted new economic policies that are expected to encourage the international companies setting their foot in India, by which it compels many Indian companies to pursue internationalization vigorously. True globalization marks the beginning of a new economic era of growth and...
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Herzberg and Victor’s Motivation Models

Herzberg and Victor’s Motivation Models
Herzberg and Victor’s Motivation Models Herzberg’s Hygiene Factor Theory Psychologist Fredrick Herzberg asked a basic question to 200 accountants and engineers in firms in and around Pittsburg-“What do people want from their jobs’? He used the critical incident method of obtaining data for analysis. “Think of a time when you felt exceptionally good or exceptionally bad about your job, either your present job or any other job you have had”. The responses obtained were fairly consistent in that, good feelings were associated with job content and bad feelings with job context. The ones on the right side of the table are intrinsic factors leading to job satisfaction and acted as motivators and ones on the left side lead to job dis-satisfaction and were termed as hygiene factors. Hygiene Factors: One has to understand that hygiene factors need not always cause dis-satisfaction; when the managers handle the situation in an amicable manner in terms of company policy, supervision, working conditions, salary and administration, things will be in the right direction but, even if they are adequate, people are never satisfied. These are called Hygiene factors and managers must try to eliminate factors that create discontent among the workers. If we want to motivate people, the real motivators are achievement, recognition, responsibility and growth. We must change the job design in such a way that the work arising out of the job should be challenging, exciting and should offer them a sense of achievement, recognition and growth. HYGIENE FACTORS MOTIVATORS Company policy  Achievement Relationship with superiors   Recognition Working conditions   Work itself Salary   Responsibility Relationship with peers   Advancement Personal life   Growth Relationship with subordinates Status Security CRITICISM: The factors which one particular group of individuals finds to be dis-satisfying may not be applicable for everybody. Factors which are beyond the scope of employees such as policy formulations cannot be considered as hygiene factors. VICTOR H. VROOM’S EXPECTANCY MODEL Valency*Expectancy=Motivation By increasing the positive value of the outcomes through such means as better communication about the outcomes, values and actually increasing them, i.e., the rewards and also by increasing the expectancy of the person by making him believe that the work will really lead him to the desired outcome, organizations can make a strong connection between the work and the...
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Product Innovation

Product Innovation
The Realm of Product Innovation A manufacturer or a service provider, who aspires to be successful in a business market, must indulge himself in research, pertaining to consumer preference as well as the various stages of a product life cycle. This will give him a better chance to make his future decisions concerning the product and also the wisdom to evolve strategies accordingly. Developing a product and introducing it into the market demands certain amount of forethought and prudence. The first step is to study the market, to understand consumer preference as well as to gauge whether your product will be appealing to the customers existing in that market. The prerequisite for this would be market segmentation, that is to statistically estimate the demographic quotient (people belonging to different age groups and ethnic societies) of the sample population and decide on the customers whom you want to target. A product’s success depends mainly on two things: 1) Innovation-lateral thinking, by which you let loose of all your unorthodox methods and stick onto some novel ideas of marketing. 2) Customer-oriented marketing rather than product oriented. This customer oriented concept is advocated by modern marketing consultants and it has proven to be a fantastic proposition. More than the actual product, people like to know more about the values that they obtain out of that product. The secret behind success will be to hit the right note, by propagating more about the value added services that go with the product. Expectations Created by the Product When a product is introduced in a market, say, automobiles for example, since every tom, dick and harry is fond of cars and bikes and they talk a lot about it. It is looked upon by prospective customers with great expectations, which might be due to the great hype created by the manufacturer through advertisements in electronic media, papers and magazines. The product as it hits the market will instantaneously make it big, if it has the right mix of intangible and augmented benefits that make customers happy and they feel that they have bought something worth the money paid for. A luxury car is well received by the market, irrespective of the price tag that is stuck to it, just because of the value added benefits such as, delicacy, great speed, high-performance, safety, insurance and warranty. Product Pre-Launch Analysis Before launching a product, industry analysis is a must, as various similar products might exist and it comes to the question of how different and appealing your product is, for market acceptance. Even minor things can make a big difference, say, for instance, if you are able to float the cheapest car, in terms of price but with great fuel efficiency, the results are obvious. The strategy would be to introduce innovations not only in your product but also in your thinking. Best products emerge as a result of tuning in your wavelength with that of the consumers’. Product Life Cycle A product gets introduced, grows, matures, stabilises and slowly withers off, just like a human being. No man is eternal and so is a product. You may argue that some products are in the limelight for more than their share of lifetime. If you keenly observe, that would have been the result of makeover changes to the product in lieu of the change in people’s liking and analysis of market trend. Some products have a second chance to prove their mettle. They go into hibernation for a while and then re-enter when market conditions seems to be favorable. The perspective from which you look at the life cycle of a product may cast a different idea...
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Venture Capital- The Inside Story

Venture Capital- The Inside Story
Venture Capital and Traditional Financing- Comparison of Advantage Venture capital is a new form of financing that has come as a boon for young entrepreneurs and it plays a strategic role in financing small scale enterprises and high technology and risky ventures. In all the developed and developing nations it has made its mark by providing equity capital, so, they are more like equity partners rather than financiers and they are benefited through capital gains. Don Valentine is known as "the grandfather of Silicon Valley Venture Capital". He was one of the original investors in Apple, Atari, LSI Logic, Cisco Systems, Oracle, and Electronic Arts back in the 1970s. So he has a top notch track record. Here are some of his quotes:— Lion (@Investing_Lion) July 27, 2021 Venture capitalists evaluate the risk using the following factors: Management TeamCompetitive AdvantageMarket PotentialBarriers to entryExit Strategy Banks’ Stand Towards First Generation Entrepreneurs Young and growing businesses need capital at the right time, not only to float their company in the market but also to survive in the long run. When financial institutions like banks and other private financial organizations hesitate to take the risk of early stage financing, since the credibility of the budding firm is not established, venture capital firms comes into the foray to fund the project in the form of equity which can be termed as “high risk capital”. Venture Capitalist is like an Equity Partner Although there is a misconception that the interest of venture capital firms is mainly driven by cutting edge technology in the industry, it is not always the case with all venture capital firms. A venture capitalist associates high risk with huge profits; of course after thoroughly analyzing the prospects and consequences and the viability of the project. The venture capitalist becomes a partner with the entrepreneur in his business. True venture capital financing need not confine itself to high end technology products. Any risky idea with great potential can be financed and venture capital is an all powerful mechanism to promote and institutionalize entrepreneurship. Focus on Growth Mainly venture capital focuses on growth. A venture capitalist is very much interested to see a small business growing into a larger one. He assists in setting up the business, funding it and travels all along to see the firm grow. If it is potential equity participation, the venture capitalist can come out of the partnership once the company becomes profitable and take back his money by selling the shares or convertible securities. If the firm opts for a long term investment from the venture capital finance, the financier has to develop an investment attitude for a long term, say five or ten years to allow the company to make large profits. Active Participant in the Operations of the Firm Another form of financing is that the venture capitalist has his hands on management by which he becomes an active participant in the operations of the firm and his thinking is streamlined as to how to multiply and make quick money which is a win-win situation for both sides. Not only finance, the venture capitalist also contributes to marketing, technology upgradation and management skills to the benefit of the new firm. Venture Capitalist- Banker, stock market investor and an entrepreneur in one. The venture capitalist’s management approach is significantly different from that of a banker whose prime concern is collaterals and securities in the form of assets. He keeps his hands off the management and plays safe. The venture capitalist can also not behave like a stock market investor who invests money without having thorough knowledge about the company’s business and management. He combines the qualities...
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