Assignment Taken

Prepare a Hiring, Training & Retention Plan for 2020 -21.

Case Understanding

ABOUT THE COMPANY: The company VELO MOTORS PVT LTD is a startup , which is founded by some budding entrepreneurs. The company looks to foray into electric vehicle business. The company looks to take advantage of the Government favourable stance towards electric vehicles and become a major player in the Electric vehicle market. PROBLEMS RELATED TO HUMAN RESOURCE FACED BY THE COMPANY: Problem 1) There may be a of lack of product knowledge among the employees since electric vehicles are new, so this factor will create problems for the company. Problem 2)Sometimes employees motivation or willingness to work hard in testing times may come into question because business of electric vehicles is new , employees will face various challenges in an relatively new business environment, sometimes employees may feel or will feel demotivated by this due to pressure Problem 3)The lack of experience among employees about this new business is an major hindrance since there are only few companies to look at and follow the way various business matters are handled. Problem 4)Since this is a startup with little resources for initial hiring employers/owners have to play the role of both employer and employee, this creates a lot of stress in each department of the organization.

BCS Solution Summary

SOLUTIONS TO THE PROBLEMS FACED BY THE COMPANY: Solution to problem 1)The organization should arrange for training to create awareness and knowledge about Electric Vehicles, so that the employees can better explain about the Electric Vehicles to prospective buyers. Solution to problem 2)Hr department should implement some kind of motivational programs for the employees.Also performance appraisal programs should be brought in to keep the employees motivated. A team of motivated employees is a boon to any organization. Both monetary and non monetary incentives related matters need to well taken care off also to keep the employees motivated. Solution to problem 3)The Hr department of the company must arrange for various workshops about the electric vehicles , experts from the Electric vehicles industry should be called upon to give the young and inexperienced employees insight about how things works in this relatively new kind of business/industry. Solution to problem 4)The company should in consultation with its Hr department should look to recruit at least some employees by managing with the limited funds they have or the company should look to outsource some of its allied activities to manage the shortage of employees because no organization can run smoothly without adequate employees.

Solution

SOLUTION(Management principles used to derive  the solutions):

A)Related to solution of problem1) Development of Each and Every Person to His / Her Greatest Efficiency and Prosperity: According to this principle, the efficiency of each and every person should be taken care of right from his selection. A proper arrangement of everybody’s training should be made.

B)Related to Solution of problem 2) Remuneration: : Motivation and productivity are close to one another as far as the smooth running of an organization is concerned. This management principle  argues that the remuneration should be sufficient to keep employees motivated and productive. There are two types of remuneration namely non-monetary (a compliment, more responsibilities, credits) and monetary (compensation, bonus or other financial compensation). Ultimately, it is about rewarding the efforts that have been made.

C)Related to Solution of problem 3) Initiative:This management principle talks about taking  and forward looking approach in solving an problem. The management and employees  must take initiative to arrange for  trainings ,conducting workshops to enhance the skills of the employees. Without limits of authority and discipline, all levels of staff should be encouraged to show initiative. Management should encourage initiative.

D)Related to Solution of problem 4)Division of Work: This management principle calls upon for division of work among employees/employer/owners. No one person can do all types of work effectively and efficiently ,specialised employees are needed  to be recruited for this purpose ,Division of work leads to specialization, and specialization helps to increases efficiency and efficiency which results in improvements in the productivity and profitability of the organization.

Hiring, Training & Retention Plan for 2020 -21:

A)Hiring plan: The company should look  proceed with their hiring in the following ways:

1) Treating  applicants well:  When The company receive a high-quality lead,  the company should call them right away because high calibre candidates are always in high demand. Prioritize those candidates, impress them and give them a great hiring experience.
Hiring  is one of the most critical areas that you need to address because every new employee you add to your startup can move it forward dramatically, slow it down, or push it backwards.

2)Cost benefit analysis:The company need to know  before hiring any potential employee ,how much a new hire will cost the  startup and what benefits it will bring. Cost computation include: Hiring Cost,Salary, Taxes, Benefits, Equipment, space, Training, and onboarding.   Benefits of this hire, include: Sales, Expansion, Relief, Development.

3) Getting potential employees with previous startup experience: Our  Startup need employees who can work in a fast-paced environment with little to no supervision and guidance. They should be able to learn quickly and juggle between changing priorities & responsibilities .Candidates with prior experience working in a startup  will be better equipped to cope and adapt to a fast-paced startup environment  than someone who’s been working in a corporate environment for years.

4) Using an employee referral program: Once the company/startup hires its first/initial employees  the company then should go for this employee referral program. Studies showed that referred employees tend to stick around longer, are cheaper to hire and tend to be better performers than non-referral new hires.
Startups can benefit a lot from referral recruiting because young companies need all the good employees they can get, without the high cost from traditional hiring methods.

5) Smart Interviewing: Conducting interviews is the final step in hiring. A company  might receive hundreds of applications, but it is not advisable to call all these candidates for an interview. Shortlist candidates by conducting phone interviews and invite only those for a face-to-face meeting whom you find relevant.

HR Department  Recommendations regarding Hiring for financial year 2020-21:  The management of the company should go for hiring by strictly following the above points and the Hr department suggests to  management hire 20 employees  across departments.

B) Training  plan: The company should look   create an  concrete training plan for  the upcoming financial year 2020- 21  by  implementing training programs in the following manner:

1) Identify the  training needs: The company need to access employees performance and accordingly find what in what areas the employees are inefficient or unproductive in  and accordingly  arrange for training .

2)Setting the objectives: Training just for the sake of it costs and time.  The Company should define the goals of  training  programs before  it commits anything.The company’s management should ask question like How will employee performance improve after this program? While implementing any training program.

3) Including  Employees:  The company also should take employees views into consideration while designing and implementing training program next year.

4)Deciding the type of training: The company should decide on type of training to be  given.Since the company is in a new kind of business of electric vehicles , the company should and will look to go with Outsourced training program, where professional experts  from industry  will  give insight about electric vehicles.Various workshops needs to be and will be organised by the company.

HR Department  Recommendations regarding  Training for Financial  year  2020-21:  The Hr departments recommends the management to conduct the trainings in the way that is mentioned above under, Training plans heading The departments recommends  implementing training programs by bringing in professional experts from the electric vehicles industry.

C) Retention  plan:The company’s  retention plan includes the plans  one designed to keep the  key employees  where they are and keep  the top performers happy   in the following  manner:

1) Creating Responsibility: One of the most important parts of  the company’s retention plan is holding the  managers responsible for their own turnover rate. Every department head with supervisor responsibilities should have a target turnover rate established, and that rate and the consequences of exceeding it should be clearly spelled out in the plan.

2)Assessing  the Current Turnover Rate:The company should closely monitor the turnover rate of employees to assess the effectiveness of retention plan. It's easy to calculate the retention and turnover rates. The retention rate is simply the number of employees who stay with the firm, divided by the total number of workers. The turnover rate is just the opposite, the number of employees who left the firm.

3) Use Employee Surveys: Knowing what causes employees to leave is important, but understanding why they choose to stay can be just as valuable. Conducting periodic employee surveys is one way to gather this information, and the  retention plan will include sample surveys that managers can use to query their direct reports.

4)Conducting Exit Interviews:The company should also conduct exit interviews. An effective retention plan means digging deep into the data, setting goals for your departmental managers and understanding the reasons why employees are leaving the firm in the first place.

HR Department  Recommendations regarding  Retention for Financial  year  2020-21:  :  The management of the company should implement Retention plans by strictly following the above points.The Hr department suggests use of strategic bonus payouts and use of non monetary rewards like flexible work hours, telecommuting opportunities, training opportunities to give key employees substantial reasons to stay.

Projected  Costs to  implement Hiring , training and Retention plans across departments    for the upcoming financial year 2020-2021:

                                   Q1                 Q2                         Q3                  Q4                    Total

FINANCE	2	4	3	3	12
MARKETING	3	4	3	4	14
HR	2	2	4	3	11
IT	4	2	3	4	13
OTHERS	2	1	1	2	6

   The projected Figures are in Rs(Thousands)

Conclusion

So the Management in consultation with the HR department should look to solve the problems mentioned and try to implement the solutions given. Also the management of this startup VELO MOTORS PVT LTD, should implement the Hiring, Training and Retention plans and programs as per the recommendations of it’s Hr department. References: http://www.yourarticlelibrary.com/management/4-important-principles-of-scientific-management/885 https://www.iedunote.com/14-management-principles-henri-fayol https://resources.workable.com/tutorial/employee-training-program https://blog.truelytics.com/how-to-write-a-retention-plan https://www.firstbird.com/en/magazine/6-great-recruitment-strategies-for-startups/

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