Human Capital Management refers to the management of an organization’s employees for them to contribute significantly in the overall productivity of organization. Every employee tries his level best to utilize his knowledge and skills to benefit his organization and become an indispensable resource in due course of time. HCM emphasizes an alignment between the individual and the organization and in our view offers the challenge and the key to successful management in the future.
Human Capital Management Drivers act as catalysts for an effective human resource management.
Human capital management drivers fall into five major categories:
1. Leadership Practices
Employees must be treated well for them to develop a feeling of attachment and loyalty towards the organization. Managers must understand that their role is not just to sit in closed cabins and impose ideas on others. They ought to communicate well with their subordinates. Employees must have an easy access to the senior management. Communication from management to employees also known as Top down communication is essential for the employees to be aware of their goals and objectives and for them to know what is expected out of them.
Management ought to sit with employees on a common platform to invite suggestions and feedbacks from them.
Senior executives and management must reduce the various levels of hierarchy between them and employees’. Management must interact and motivate the employees from time to time for them to give their level best.
Senior executives should support, lead and influence the workforce so that they contribute effectively towards the organization.
2. Employee Engagement
Key Responsibility Areas:
Key responsibility areas of an individual should be designed in line with his education, skills, expertise, experience and also area of interest. This way, work never becomes a burden for him.
Outstanding efforts of employees must be acknowledged for them to feel motivated and work harder even next time. Employees performing well ought to be suitably rewarded and appreciated in front of others.
Time management ensures that no employee is overburdened. Responsibilities must be equally shared among employees.
Employee engagement must be evaluated from time to time by the top management.
3. Knowledge Accessibility
Employees must have an easy access to all relevant information required to perform their duties. Organizations must organize various training programs (In house Trainings or Out sourced trainings) to constantly upgrade the existing skills of employees and acquaint them with new learning’s.
Employees must be motivated to work in teams rather than working alone.
Encourage employees to share information with each other.
4. Workforce Optimization
Senior management must define work processes of employees well for maximum productivity.
An organization needs to provide excellent working conditions to the employees to expect the best out of them.
Individuals must be held accountable for their work. Get a commitment from employees and nothing like it, if everything is in writing.
Individuals responsible for talent acquisition must ensure that they hire the right candidate for the right role. Design a strong induction program for all the newly joined employees.
Employee’s performance needs to be strongly monitored and managed.
New ideas should be welcome. Employees must be encouraged to come out with new and innovative ideas which might benefit the organization.
Trainings must be practical/relevant and designed to sharpen the skills of employees. Do not design training programs just for the sake of it. They must benefit the employees.
Employees must be aware of their growth plan in the organization.
New learning’s should be valued by all in the organization.