The Importance of Organisational Effectiveness and Way Forward
1 like449 views
The document discusses the necessity for organizations to optimize manpower amidst COVID-19 constraints, emphasizing strategic employee retention and cost management. It advises HR to consider the temporary nature of many financial challenges and to approach cost-cutting measures cautiously, prioritizing internal assessments and minimizing layoffs. Engaging a consultant to identify core issues is recommended before implementing drastic changes.
The Importance of Organisational Effectiveness and Way Forward
- 1. The Importance of Organisational Effectiveness and Way Forward Smt Mathangi Jayaraman Director – HR Advisory, Grand Thornton India LLP Know more from our industry expert
- 3. HR now needs to advise both the employer and employees. Keep in mind the reason for the intent when reducing costs, salary deductions and layoffs etc. Keep in mind which problem you are trying to solve when taking such decisions because most of these problems are temporary. HRNOWATACRITICAL JUNCTURE
- 4. ASSESSYOURAFFORDABILITY SITUATION Evaluate your cash flow vs revenue Look at capacity and pay problems. It will take 6 months at least for the situation to stabilize as experts say. Look at short term changes for affordability problems. Choose clearly between cash flow and revenue.
- 5. Optimize the organization in terms of skills and bifurcations internally. Manpower reduction should be the last resort. CHECKYOURCAPACITY
- 6. CAREFULLYGAUGETHEPAY PROBLEM Re-evaluate your compensation against your internal force Check if someone is overpaid or underpaid for long term problems that existed even before the pandemic. Letting go of employees is not the solution if you are looking for cost-cutting. Identifying your real problems through a consultant is essential before taking any step.