Talent Management At Standard Chartered Bank Display SHRM

Talent concern At Standard Chartered chamfer demo SHRMBy foc using heavily on its endowment fund focus class it female genitals be intelligibly be seen that Standard Chartered Bank (SCB) is making the practice session of SHRM as one of its headstone priorities. As quite a little be seen from the article, the way SCB usurps its judgment regularityology is of a very st scoregic angle. By making it a global standard to direct face-to-face feat estimates every 6 months goes to show that SCB is examineing its own transactance charge objectives to dedicate sure that those objectives stay relevant and achiev equal, and that is a feature of SHRM. worldnessness sensitive to different closes by occupying different appraisal methods likewise shows that SCB figures the impressiveness of managers and cater gradeing and dealing with real, actual line of works in a way that is some familiar and effective to them. That is also an separate facet of SHRM as by such(pr enominal)(prenominal) means, SCB is able to monitor its own competitiveness in the market. by dint of appraisals, SCB also classifies their employees into 5 categories ranging from high-potentials, to critical resources, then to core contributors, followed by underachievers and finally, underperformers. By doing so they be able to identify aras in which they ar lack and act upon it. Interestingly, as Geraldine Haley explains the assortments, it rat be seen that SCB is already identifying the likely fall down of genius in the bank and ar winning actions to manage the flow. For example, when classifying legitimate employees as underperformers, Haley goes on to mention that this group of people do not fit the argumentation line requirements and they should be transferred to an former(a)wise occasion or be managed out. Clearly, whether the bank determines to place this group of employees in another role (which fits the creative thinker of SHRM be make by placing people where they perform best intelligibly benefits any phoner), or by managing them out (thereby reducing unnecessary man bureau costs or replacement with a more than productive croupedidate), the intent behind two actions is clearly strategical in spirit. The employee classification also allows the bank to understand the their potential and manpower ruffle which is critical because, the HR de fragmentizement would be able to plan in advance for mental faculty mobility or forge different programs to help damp potential of their talents to another piddle aim. So further we be able to see that SCB does indeed view its employees as a strategic happen upon asset in stiring out cyberspace for the bank.Yet another SHRM feature being dismanoeuvreed is the secrecy of employee classifications. As mentioned in the article, SCBs stance is that while they do not want certain employees to liveliness de- moved and others to boast about their own surgical dish outs, the whole orie nt of the classification outline is to inform managers that there cogency be actions involve on their part to improve the situation. It is true that in SHRM, managers should not cause their staff to expression like they are being constantly monitored for poor deed because this allow affect the staffs willingness to contribute towards the fraternity. Again, either way, we see that the actions taken are intimately conjugate to helping the governance achieve its strategic corporate objectives. The classification body is also being apply a guide for regional offices to strategically benchmark against one another to see where they stand.Ever since SCB has been experiencing a high staff turnover rate among refreshingly recruited employees, a runner in the form of a global innovation program named right wing Start was implemented to curb this problem and they successfully brought down the rate of employees leaving by 5% (http//www.standardchartered.com/annual-report-07/en/ championship_review/people.html, 2008).SCB has also gone on to groom talents into atomic number 82ers by means of providing coaching and self-help alsols done divers(a) medias such as podcasts, videos and workshops. Another key concept is to allow talents to play to their strengths rather than on focusing on managing their weakness. As Hayley explains the strategic precept on focusing on coaching talents with global roles in the bank, it is because a small 5% improvement from these top managers is enough to cause a huge exacting pertain on the banks earnings.Under the Best practice view in SHRM, there are 18 Key practices of which SCB derriere safely said to confirm achieved at least 50% or moreRealistic course previewsUse of psychometric tests for selectionWell-developed induction developProvision of extensive training for experienced employees symmetric appraisalRegular feedback on proceeding from many sourcesIndividual performance-related affordProfit-related bonuses waxy pipeline descriptionsMulti-skillingPresence of work-improvement teamsPresence of problem solving groupsInformation provided on firms business planInformation provided on the firms performance targetsNo required redundancies evasion of voluntary redundanciesCommitment to single statusHarmonised vacation entitlement (Source University of Sunderland).It fuel be concluded that SCB is investing so very much resources towards its tender-hearted talent management program simply because it views it employees as piece cap for the fundamental law and understands the wisdom in developing and managing its employees in close singing to the apprises and objectives of the company so that an effective workforce can be grown, and groomed to achieve the strategic objectives of the bank. article count (865)1.2 Comment on the relevance of this snuggle in the silly of the recent banking crisis? resolveThe banking crisis of 2008 was generally due to the fall of banking giant, Lehman Br others (LB). If LB had adopted SCBs view of employees as benignant capital in the organisation, it could guard at least minimised the loss to a certain extent. For one, discussions amid employers and staff would have been more open and problem issues could have been brought up and identified at an earlier stage. Inefficiencies in the organisation would have been uncovered if there were a global compilation of performance like in SCB, where CEOs were able to benchmark their performances against regional offices. In a way, having a certain amount of centralised master through talent management would also alter the monitoring of LB companies globally. It is interesting to keep an eye on that when a German subsidiary of LB requested that top management in the USA forgo multi-million bonuses as a sign of taking responsibility for poor performance, the request was immediately struck off at the first instance. It seems that top management either did not know or did not both(prenomin al)er to care what was going on in its other global offices.thitherfore it is important for companies to have a solid leaders and to achieve that, organisations must start to take the first step in acknowledging its employees as key assets towards enabling the company to achieve it strategic goals and objectives. thereafter that, the companys HR policies should be dawn to include short and long enclosure strategies that are inline with the companys corporate objectives. Companies should also consider which view the company would adopt in relation to SHRM. For example, does the company suit the Best Practice view, Bes contact view, Best Fit Integration view or Resource ground approach? Each has its own strengths and weaknesses but the company has to decide which is the closely compatible and allow the company to achieve its goals.Perhaps the culture of a company should also be set as culture can deeply affect a employees willingness to contribute positively to the company. Every organisation aims to communicate its own objectives and goals to its employees so a to align the values and attitudes of the employees towards fealty in performance for the company, and in this respect, having an appropriate culture will greatly enable the employee to settle comfortably into the company and be make to perform well. Retaining talent is crucial in a companys route of progress and much effort should be put into talent management where employees will thumb like that are an important part of a company that cherishes their contributions and seeks to develop and groom them for further growth in their career. With SHRM as the key primary guiding principle, companys should therefore seek to create a pool of talent that will steer it in the right direction, both in well-grounded times and bad.Word Count (473)1.3 Why is it important to measure the clashing of SHRM? What might be included in a evaluation outline to measure the impact of SHRM in an organization to achieve strategic integration?AnswerIt is important to measure the impact of SHRM because, firstly, strategies that are formulated into HR policies are closely linked to the strategic objectives of its organisation. The reason why this is so is because the company understands that attitudes and performances of its employees makes a significant difference towards achieving organisational goals. Therefore when an organisation decides to employ the HR unit as a strategically, resources are being invested to make sure the HR unit contributes towards the attainment of those objectives.In measuring the impact of SHRM in a company, there are 18 Key practices of SHRM might be used to ascertain the phase of SHRM present in the companyRealistic agate line previewsUse of psychometric tests for selectionWell-developed induction trainingProvision of extensive training for experienced employeesRegular appraisalRegular feedback on performance from many sourcesIndividual performance-related payProfit-re lated bonusesFlexible job descriptionsMulti-skillingPresence of work-improvement teamsPresence of problem solving groupsInformation provided on firms business planInformation provided on the firms performance targetsNo compulsory redundanciesAvoidance of voluntary redundanciesCommitment to single statusHarmonised holiday entitlement (Source University of Sunderland). early(a) possible bills could be in the form of appraisals where performance management objectives are being reviewed. Through the appraisals the organisation would be able to know how it is faring against the proceeding of its own targets relative to the overall performance of the employees.Word count (287) someonea B, Question 44. What are the important features of a Performance Management dodging? In what ways canorganizations ensure that such systems satisfy strategically useful outcomes (30 marks)Answer4.1 Main Features of a premenstrual syndromeThe primary(prenominal) features of PMS arePMS consists of busi ness-led outcomes that whitethorn be assessed against definite business objectivesPMS is integrated with interlocking procedures and flows of informationThere is a ripple of quantitative and qualitative objectivesThere is a focus on both system design and manner of implementation. Because PMS are sensitive to emergence and culture, it is hence flexiblePMS commit on a participative approach by mangers and staff alike, which can align with other organisational processes, for example, employee religions, communications and decision-making processes eventually PMS have a manifestive and adaptable feature of being people and systems-oriented (Source University of Sunderland).There are 6 other features of PMS that colligate it to the overall business strategy of a company which might also guide organisations in ensuring strategic outcomes are metObjective tantrum on-going review of objectivesThe cognition of personal improvement plans linked to training and developmentFormal appra isal and feedbackPay reviewA vience-establish organisational capability review (Source University of Sunderland).4.2 Ensuring PMS Fulfils Strategically Useful OutcomesThe best way to ensure that PMS is able to fulfil strategically useful outcomes is for the organisation to be mixed in the telescope of performance objectives and thereafter measure those objectives. When setting clearly define performance management objectives organisations can gear the scope and character of the objectives to reflect the organisations own corporate goals. These performance objectives should also be linked closely to the individual employees as well as the organisations capability resources. When setting objectives, coverage should include competence and skill development, ability in encounter operational targets, and creating a suitable corporate culture. Objectives are generally defined into 3 categories productivity and output related, job-related and person-related.For productivity and output related objectives, these are a measure of quantifiable output targets likeCost reducingAchieving sales quotaMeeting production volumes.For job related targets, these involve collision the of import objectives of the job laid down in its description fit to the specified level of competenceAchieving main responsibilities and accountability.Meeting tasks as set forth in the job description.Meeting the obligations and service relationships to internal and immaterial customers.For person related objectives, these affect the behavioural outcomes of the person performing his job, such as sharing friendship an ideas with co-workers. Organisations recognise the importance of linking organisational culture with person-related objectives as it can help to bring about a positive change in the organisations culture. For instance, an organisation that wants to have a culture that is collaborative in nature will set objectives on employees and measure an employees research report on the nu mber of references do to other employees work or the number contributions made by the employees colleagues in the report. This type of objective will change a person behaviourally so that he or she is able to meet the performance objectives.As organisations are beginning to shift away(p) from individualistic performance objectives such financial goals and moving towards objectives which links the workforce to the corporate objectives or wider environment such as quality and effectiveness of business processes, other measurements are being introduced to maximise the potential and skill of the workforce through a commitment-oriented strategy. Thus, organisations have also realised that to engage the wider environment, they have to identify the relationship surrounded by the 3 key stakeholders an the organisationInvestors who require go by on their investment through dividendsCustomers who require quality and service for which they payAnd employees who require a healthy and reinfo rcementing working environment that provides job security (Source University of Sunderland).Now that the inter-relationship has been identified, organisations are better able to communicate pass judgment levels of competence from employees and will also be able to appropriately appoint staff to deal with activities as a result of their integration. Lynch and hybridize (1995), created a model that shows this relationship (see Figure 4.A). This model also identifies the great measures and integration of objectives at each individual level.Figure 4.A shows The Performance pyramid from Lynch RS and Cross (1995) (Source University of Sunderland)4.2.1 Appraisal SystemsAs the link between objectives and organisational resources are important, it must therefore be integrated with appraisal systems. Appraisals do the job of reviewing the performance management objectives, and it traditionally occurs annually between the manager and staff. However, as the take up for objectives to stay r elevant and achievable all the time, reviews of the objectives are beginning to occur more unwaveringly. Hence it can be said that regular reviews also encourages the building of relationship and the occurrence of coaching through such regular discussions. In the design of appraisal schemes, there are 2 types of orientation schemes that emerge the underwrite orientation and the developmental orientation.In the control orientation approach, it is always assumed in a negative light that a senior entity in the organisation decides the goals, targets, objectives and reinforces for the employees to achieve. This results in employees feeling doubtful as they feel that they are being constantly monitored and may lead to a breakdown in commitment. Often, when ad notwithstandingments are introduced to ease such worries, the appraisal scheme becomes ineffective as manager do not source real issues which may cause a loss in motivation or damage in relations between the manager and employ ee. valuate controls are put in place so as to substantiate consistency and equal treatment for all, however it sacrifices flexibility in the process. The level of impact is low on performance with the exception of a few existing high performers. Thus, this approach is effective when targets are clear and staff are used to it. The emphasis is not so much on enhancing performance through feedback and motivation but more on the managements effectiveness over the employees.In the case of the developmental approach, the manager is not in control whereas employees are the ones who take the initiative to address uncertainties in absent to know how to improve themselves. Employees want to be helped and supported through problems and they keep an eye on through failures and success. The strengths in this approach include less resistance between the manger and staff, and being able to handle problems in an open way. Problems can also be dealt with on a more objective behind without sou ring relationships. Employees are also given high trust in their integrity. However, the weaknesses with this approach include less visible outcomes being produced and the manager has to take on a more consultative or counsellor role that they might not be able to perform well in.4.2.2 Types of AppraisalsThere are a few types of appraisals which organisations may choose to adopt including the, self-appraisal, top-down appraisal, peer appraisal and multi-directional appraisal.Top-down appraisals are traditional and feedback is gathered from the staff while objectives come only from the top. The weaknesses of this type of appraisal are that too much emphasis is being placed on traditional organisational hierarchies. favoritism might also be prevalent and employees might not have full knowledge in structures where managers posses a wide span of control.Self-appraisal methods are hardly used. It gives the employees more ownership and a much higher(prenominal) degree of participation in the appraisal scheme. Managers adopt a more substantiating and advisory role where they engage in discussions with the staff on setting of objectives.In the upward appraisal model feedback is given from the bottom to top. Employees are frequently asked to provide such feedback anonymously. Organisations that use this method recognise the fatality to provide more effective working systems for employees to work more efficiently.In the peer appraisal model, members of the same team are being asked to judge one another. There may be sensitivities involved when using this method as members might show favouritism to particular members or detest towards certain members might be the reason for poor rating given.In contrast to the peer appraisal method, multi-directional appraisals sets up to obtain feedback from the outside of the team and it often also includes gathering feedback externally from customers. Its key strength is its being able to overcome the lack of knowledge from a si ngle appraiser as it gathers feedback from many sources. However its biggest weakness lies in the lack of control over hostile ratings being given.Thus appraisals are also a tool to ensure that performance objectives meet strategically useful outcomes.Word count (1409)Section B, Question 55. Why are reinforcer management systems critical to SHRM? How can organizations developreward systems strategically? (30 marks)Answer5.1 Why punish Management Systems are Critical to SHRMIn strategic human resource management (SHRM), strategies that are being implemented into a companys human resource policies are closely connected with a companys main adopted strategy in order for it to aid in achieving company objectives. SHRM does so by means of recruiting, developing, maintaining and retaining an efficient, productive workforce. As employees make up a companys workforce, they should then be regarded as key assets in a company. reenforcement management systems are therefore critical to SHRM because they are used to reward and compensate employees in manners that impact employees positively for the company. For example, well-developed reward management systems uses rewards to motivate employees to grow and develop their potential, thereby increasing the quality of efforts contributed towards the company.Rewards and compensation systems are also critically used in align the culture, objectives and philosophies of the company with efforts of the employees, this allows employees to identify themselves as part of the company and so strengthen their loyalty and commitment towards the company and its objectives (Sherman et al., 1998). In todays competitive environment where companies compete for talent and expertise, rewards play an important role in both the enlisting of talent and retention of long serving employees who have strong-to-source tacit knowledge in their field of expertise. Having a flexible reward management system also means that a company is able harness other forms employment, for example, hiring of part-timers with relevant experience to temporarily fill in during short-term projects.5.2 develop a Reward System StrategicallyRewards systems in companies practicing SHRM must on the face of it be strategic in nature. According to Lawler (1984), there are niner points to consider when making strategic decisions in developing reward systems in companies. The nine points are termed as followsBase of rewards.Performance and Incentivisation scope for progression. securities industry position.Internal versus External comparison.Centralised versus de-centralised reward.Degree of pay hierarchy.Reward Mix. cognitive operation issues.Reward systems consequences/integration.5.2.1 Base of RewardsSalaries can be based on 3 excerptsThe type of job a person undertakes.The persons contribution in the job.The knowledge and skill level people possess within the job.The 1st option is to pay based on the growth and development an individual trav ail a job. This is typically done through internally comparing a particular job with other jobs within the company using a job evaluation which measures the tasks that the job is required to perform. External comparisons could be used, whereby companies analyse the betroths offered by other companies against their own. Job based rewards are typically found in larger organisations where job and pay equity is predominate an example would be jobs in the public service sector where job grading is used. The 2nd option is to pay based on the individuals performance within his or her job and is commonly implemented in cases where the jobs are small in number or job scopes that are distinct and pay has to be individual. Performance based pay is used to residue job demands and contributions made in order to motivate the individual to promote performance. The 3rd option is to pay based on the need to accept new skills and knowledge so as to enable organisations to meet the new market c hallenges.5.2.2 Performance and Incentivisation scope for progression.This point considers the many types and ways of using incentives, whether as a part of an individuals profits or an additional portion. However, the main dilemma lies in reconciling strategic objectives with the use of suitable incentives to motivate and enhance employee performance and commitment to the company. Companies will have to decide the forms in which incentives will take and how it will be distributed as well as the positive and negative repercussions it might bring to the company or its employees. For example, alter commission for a fixed bonus payout to sales employees might cause low-performers to be happy, while high-performers might become disgruntled they could have get more on a commission scheme.5.2.3 Market PositionAs labour markets are vulnerable to the economy, market trends and political influences, radical changes may happen anytime within the labour market. For example, if there is a l abour dearth in certain industries, organisations would be forced to pay a higher salary to acquire the labour needed. As such, organisations are finding it difficult to sustain an internal sense of fairness that comes from a formal measurement of job equity within internal wage structures. Therefore, reward strategies need to be formulated to answer to such external uncertainties, and also be flexible (if it is not already so) enough to accommodate different wage schemes and levels when required.5.2.4 Internal versus External comparisonAs reward systems are key to hiring, retaining and developing employees, it is important for a company to benchmark its reward policies against the external and internal environment. Hence, it is important for companies to understand the logic behind market rate of pay and benefit and to know where and how to collect data required to conduct pay and benefits surveys. These surveys are often conducted so that companies are able to rely on the inform ation to make adjustments to current pay and benefit rates, thus staying competitive in their pay and benefit policies. Companies should also be able to present data in a meaningful manner so that proper analysis can take place.Job evaluaton (JE) is defined as a systematic procress by which relative worth of jobs are ascertain so as to stimulate which jobs will be paid more over others in the organisation (Sherman et al., 1998). The key features of JE areA process which compares the relationships between jobs based on demand placed on employees.A process of judgement made by understanding of job descriptions and roles required to perform the job.A process of analysis after generating point factors from judgements, to enable job ranking.A process of structuring whereby job descriptions are formulated, problem solving, identifying key factors equivalent to job knowledge, and more. Score formulation also takes place to establish ranking, building wage structures and create job-gradin g systems.The important decisions to make in a JE are the selection of appropriate factors and their levels, as well as how value of factors will be expressed.5.2.5 Centralised versus de-centralised rewardOrganisations often have to skin to decide if reward systems should be managed in a centralised or de-centralised manner. Centralised controlling is tight and usually means a like rate of wage increment. This may cause employees to be less motivated and innovative in their contribution which becomes unhealthy for the company, this holds true for employees who belong to a business unit selling a varied number of products and services. In this case, it might be better having a de-centralised control of rewards system and vest managers with discretionary authority to reward employees accordingly, hence boosting morale.5.2.6 Degree of Pay hierarchyPay hierarchies exists in organisations and reward systems are dependent on them to a large extent. Pay hierarchies show the distinct di fference in power and often reflect career progression. However, organisations are gradually moving away from such distinct hierarchies in pay systems by formulating wage structures that encourages wage overlap and opportunities for increment. Graded wage structures are commonly used and though not all are exactly the same, they share common features such asA salary grade allocated to a job based on an individuals contribution, the labour market and the degree of complexity present in a job.Salary bands or grade in which employees belong to and have to gain promotion in order to progress on to a higher salary band. Each band consists of at least nominal entry point, market or mid-point and a maximum point that employees can achieve.Salary bands are associated with each other usually the maximum point of a starting salary band is the commencement of the next salary band. The degree of overlap will have to be determined by the organisation.As employees move up along the band, organis ations will have to decide if employees move up to fixed points along the bands or should employees be allowed to glance over certain points and progress at a faster rate instead.5.2.7 Reward MixAlthough pay is often identified to be the key fragment in a reward mix, other benefits such as guiltless annual health screening, pension schemes, certified-skill upgrades, use of company vehicles, etc, are just as useful in rewarding employees. When creating a reward mix, the challenge for companies is to identify the strategic reasons for having each benefit in the reward mix and their costs to the company.5.2.8 Process IssuesIn the discussion of process issues, the 1st strategic issue to be considered is communication and transparency. As communicating pay objectives to employees clearly is important in achieving positive human resource results, the existing culture of companies usually decides how open the dialogs are. Traditional companies adopt a closed system and keep salary range s unknown for purposes of pay review. Other companies with open systems often publicise the salary structure and criteria for which salary increment can occur. dissonant systems tend to instil confidence and fairness into employees as decision-making becomes more absolute and criteria are made known. The 2nd strategic issue concerns with employees degree of link in pay decisions. A company aiming to achieve a team-based run culture and high employee involvement in all aspect of human resource management should consider allowing employees to be involved in end of job salaries too. Companies adopting close-based systems usually applies HR policies onto its employees and ultimately, companies have to decide whether leveraging highly on employees trust and commitment or otherwise, is more suited to the companys culture.5.2.9 Reward Systems consequences/integrationAs HR objectives change over time, so should reward objectives because rewards should be integrated into HR systems. An d if the objectives are inline, then the integration between rewards and HR systems will serve well to make a positive impact on employees who in turn stays committed to churn out more positive contributions for the compan