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Next Issue of HR Connect Newsletter :02 is due in July 2016. All Members are requested to forward their submissions on or before 20th of June 2016

Monday 19 September 2016

Sunday 18 September 2016

5 Steps to Building a Winning Company Culture

Organisations often miss of focusing on putting their efforts in building their company culture. What is common in Facebook, Google, and Adobe? no, not that they are a huge IT giants, but the image of a happy working place that pops into our minds when we take their names. They were all at bootstrapping stages once, what made their employees and their clients put in their trusts in them, is their culture.

An organisation's culture decides the rise and the fall of any company. In my overall experience, I have worked with companies having best of the work cultures and not so great ones as well, and I could totally relate to it, when it says culture may make or break your company. For an example, just look at the number of attritions your company is facing and the related costs that are to be incurred in hiring a replacement for it.

During my stint with one of my past employers, while I was still on the job, I got acquainted with Saurabh Moody, now Founder and CEO of RealBox. He has always been an entrepreneur by nature and thus became a serial entrepreneur. A few days back he invited me to his office for small chit chat, as we have met after a long time. As soon as I entered his office, my first reaction was wow! The place was a perfect example of having a fun place to work at. During our discussion, I asked his views on, while we know that many startups in India alone, have started and vanished like they were never there, and some are on the path of it. I gathered his views on why actually these startups are vanishing

His viewed clearly expressed that Startups focus too much on what they want to achieve that they forget to build the most important part of their business and that is their culture. Culture is incredibly important because it sets the tone for everything from how the company will be seen in future. One mistake can throw you back from where you started. By creating a winning culture you can actually become next Google or Facebook as they stand apart from all others with their workplace culture.

Startups when they start, they focus on converting their Big Idea into reality, and that's why they focus little too much on "How to start?" and "Where to start?". and once you are clear of "How" and "Why", it comes the stage when you need people to make it happen. So to create an awesome team who could deliver as well, you need to have a culture that not only attracts but helps in retaining the best talents while they perform as well. To create such a culture we need to focus on below points

Build a great team and let them perform

To get the work done from the team is to first find the right set of people and then let them perform. It is very important that you build a team of people, who you can think of as "Second Inline". Who can actually work and think at the level as you think. Don't hire people to work "for you", but to work "with you". Once you have such a team in place, let them perform their roles, and don't do too much of micro management

Be available for them, Be with them

Having a great team alone won't create that culture, you need to be available to them as a team. So when developing culture, talk with each other. This might sound cliche, but it’s easier said than done. People need to be able to share their ideas and speak openly without fear of repercussion. People want their opinions heard, and they want to feel good.

They want their leader to stand with them, and not on them, when they in times of troubles or get stuck in some odd situations at work

No more Monday Blues

Create a culture where employees feel like coming to office, and not that every day when they wake up and feel "Again office" with a growing face. Rather the culture of the company should be so lively that even Mondays should feel like a great day to begin the week with. It's always good to have little fun at work, it keeps the life alive at work

Culture flows from Top to Bottom

As a leader, you know how you look your organisation in the future, what set of people would you need to ensure that your organisation reaches there. Culture starts from Leadership, so it is most important that you first look into your own personality, and think what kind of a person you are? because culture flows from top to bottom. Ask yourself, Are you an innovative or unwittingly creative person? Do you believe in work hard, party hard approach? Are you relaxed but also expect the best from people? If so, create that balance of work and play. 

Sustain what you've created, but be ready for change

While creating the right culture is difficult, sustaining it is even more difficult. Culture is not a policy or a process, that you design once, implement it and you are done. It is a habit, with which your company and your employees will live within your company. Give time to your culture to evolve, it doesn't get ready in a day. Keep yourself open to changes, don't aha on to what you have created, if that's not working, then accept the change. But that's OK, as long as your organisation's culture sustains.

What you feel is the best culture today, might come out as not working best for your business, so evaluate and see what's best for it, to sustain or to change!

Below is video covering my and Saurabh's discussion at #ChatWithTheLeaders

About the Author

Dr. Manan is the founder of #GlocalizedHR and a 360ยบ HR Setup and Transformation services company Fortune Architect. He is a scholar of Human Resources and works closely with companies design their data-driven talent acquisition strategies that drive effectiveness, growth, and competitive advantage. He also speaks, writes and chairs conferences on HR Development and management.

Shared by Benny John, VKL Seasoning Pvt Ltd, Sr. Manager - HR

Thursday 1 September 2016

My Experiences in Industrial Relations - Hari Shekhawat

THE MOST DIFFICULT IR SITUATION OF MY CAREER, WHICH MANY OF MY FRIENDS MIGHT HAVE ALSO FACED IN THEIR CAREER:

It was a sugar manufacturing Company with an annual capacity of 3.00 million tones.

Most Union demands in sugar factories are taken care of by the Sugar Wage Board Award except the yearly demand of Bonus as Available/Allocable surplus vary from company to company.

In this particular sugar factory there were four Unions of Workmen duly constituted & recognized under Trade Unions Act, 1926.

They had signed a settlement with the management under section 18(3) (Tripartite) of the Industrial Disputes Act, 1947 agreeing for 8.33 %( One month’s wages) + Rs.300 for that financial year.

However, a section of the workmen were not happy with the settlement & they felt that they were entitled to 20 %( Two & a half month’s wages) bonus.

They formed a new Union (Fifth) affiliated to CITU led by a leader of a nearby factory. This union organized four one day strikes in support of their demand and the management dismissed four office bearers of this Union for the illegal strikes.

In response, the Union organized mass scale violence in the factory township beating senior officials and threatening their families and indulging in serious acts of indiscipline.

At this stage, I was brought on board to resolve the matter and bring about normalcy in the factory.

I invited the CITU union for a dialogue and in the very first meeting the CITU union gave me last ten years of Profit & Loss Accounts of the Company prepared under Companies Act, 1956, which were showing profits and the CITU Union demanded 20% bonus.

I studied the matter under both Payment of Bonus Act, 1965 and the Companies Act, 1956.

I found that bonus is not payable on profits as calculated under Companies Act, 1956 but as per Available/Allocable Surplus calculated under Payment of Bonus Act, 1965.

The major difference between these two acts is the method of calculation of depreciation. Under Company Act, 1956, depreciation is calculated as per Straight Line Method whereas depreciation under Payment of Bonus Act, 1965, is calculated as per Written Down Value (WDV) method.

As per Straight Line Method, the amount of depreciation is small but under Written Down Value method the amount of depreciation is substantial.

In this particular Company, the moment depreciation under Written Down Value method was subtracted from Gross Profit, no Available Surplus was left and hence no Allocable Surplus and hence no bonus was payable except 8.33% for the financial year.

Armed with this perspective, I confronted the union and told them the position as per law and they did not agree and we decided to take the matter for conciliation under Industrial Disputes Act, 1947.

During conciliation proceedings, I informed the Union that depreciation under Companies Act, 1956 is calculated as per Straight Line Method and Under Payment of Bonus Act, 1965, the same is calculated as per Written Down Value method.

The Union could not understand the subject and it took me several meetings to explain to them the difference between depreciation as per Straight Line Method and Written Down Value method.

However, the Union did not agree to my view point despite understanding the subject as they had made tall promises to the workmen.

Ultimately the conciliation talks went to the Labor Commissioner who asked both the Management and the Union to get written opinions of three eminent lawyers of the High Court of the State.

It took me two weeks to collect the same and the Union could not get any opinion from any Lawyer as they were on the wrong side of the law.

Ultimately, the Union’s stand was rejected by the Labor Commissioner and the Management’s stand was upheld.

The matter was referred for adjudication to Industrial Tribunal and the judgment came in favour of the management and the issue was resolved peacefully and amicably.

After that I decided to always resolve Industrial Relations Disputes by taking recourse to laws of the land rather than playing politics of manipulation and so far I have been successful.

I also wanted to know your clear stand had any of our HR Fraternity faced such or similar type situation in their career.

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Shared by: Haridas P A, AB Mauri India Pvt Ltd, Manager HR & Admn

UAN E-Filing Circular




Shared by : Suresh Varughese, St.Mary's Rubbers Pvt. Ltd, AGM-HR