Taj Hotels is a chain of luxury hotels, Incorporated by the founder of the Tata
Group, Jamsetji Tata, in 1903,
As of 2020, the company operates a total of 100 plus hotels and hotel-resorts,
with 84 across India and 16 in other countries, including UK, USA and Zambia.
Mission of the company To improve the quality of life of the communities
through long term value creation to the stakeholders.
And vision of the company is: they want to give their services to the world Tata
commitment to improving the quality of life of customers and communities.
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Metrics which I have taken are based on the vision mission and HR policies
followed by the TATAs
Quality per hire: For the recruitment function, I have taken Quality per hire
and Cost per hire, TATAs believe that Being a good person is more important
than having a skill, skills can be inculcated over the period of time, But the
qualities like “commitment to the job, Honesty cannot be inculcated.
Candidates who receive high-performance ratings are indicative of hiring
success. Low first-year performance ratings are indicative of bad hires. A single
bad hire can cost a company ten of thousands of dollars in both direct and
indirect costs.
The focus of the company was always on the quality of the employee
Number of
candidates Total number
Quality of
Hired of candidated
Hire
considered hired
statisfactory
Cost per hire: it measures the time it takes for someone to move through the
hiring process once they’ve applied. Time to hire thus provides a solid
indication of how the recruitment team is performing. This metric is also called
‘Time to Accept’.
A shorter time to hire often enables you to hire better candidates, preventing the
best candidates from being snatched up by a company
According to LAMP framework, analysing measure is dominant as compared to
all other parameters in the framework as Taj aims to value its people and
expects results from their workforce to drive up the identity of the company.
Also, HCM:21 Model’s Scanning algorithm has an edge here over other
algorithms as to make a team of cream and qualified workforce, the hunt of
people will be successful only by effective scanning.
Training expenses per employee: It is Obtained by dividing the total training
expense by the total number of employees who received training.
Training is given to fill gaps between the output of the employee and what is
expected.
Time to time Training in the hospitality sector is must. The value of this
expense can be determined from measuring the training efficiency, Poor
efficiency may lead you to re-evaluate the training expense per employee.
Training
Expenses Training Total
per Expenses Expenses
Employee
The LAMP framework and HCM:21 Model both holds relevance in this
function as a logical approach to analyse and measure the human capital by an
organization like TATA whose most important resource is people will definitely
put emphasis on guiding and assisting their talent and bridging gaps via various
training programs
Overall retention Rate: Employee retention is a set of tactics and strategies
aimed at optimizing your workplace to ensure employees are satisfied, qualified
and prepared enough to excel in their current jobs rather than leave for another
position.
Tatas have the function called STARS(Special thanks and Recognition
System) the STARS was aimed at recognizing and rewarding employees who
showcased excellent performance at their work. This turned out to be the best
way to retain its employees.
Overall Retention Rate=Total number of employees-number of employees who
have departed/Total number of employees
An effective and people-friendly structure prevails in TATA as it follows the
path of scanning, planning (HCM:21 Model) and processing (LAMP
framework). Inducing employee-friendly policies which provides an atmosphere
for them to grow and develop which reflects in their performance for which the
processing part works in the form of compensation.
Now, Under performance
Job satisfaction Rate: Job satisfaction is defined as the level of contentment
employees feel with their job. This goes beyond their daily duties to
cover satisfaction with team members/managers, satisfaction with
organizational policies, and the impact of their job on employee personal lives.
Time since last promotion: The metrics clearly shows why top performer of
the company leave.
Average Time(In months or years)until promotion
Tata have ESTS (Employee Satisfaction Tracking System): which involves
conducting surveys to elicit response from the employees and the records
collected are used to rate the overall satisfaction level of the employees. The
group targeted to achieve 100% satisfaction in the course of its operation, which
meant it regularly looks into the employees’ concerns and strives to address
them.
Total number
Job
of employees Total number
Satisfaction
reported of employees
Rate
satisfied
Performance- TATA is known for its services and stands by HCM:21 Model’s
algorithms of planning and producing results which are strategically planned
and effectively synchronized and integrated. With critical recruitment standards,
performance is one parameter where company asses its employees. Lamp
framework’s measure and process parameter holds relevance here as TATA
measure the performance of employees using different metrics and process
those performances in the form of benefits and perks.
Effectiveness of the HR softwares: Effectiveness of, for instance, learning and
development software are measured in the number of active users, average time
on the platform, session length, total time on platform per user per month,
screen flow, and software retention. These metrics enable HR to determine what
works for the employees and what does not
Here in LAMP framework, The measurement of the effectiveness of the HR
software, spending so much on the software and giving training to the
employees, analysing the results, measuring the output and with the right
process, TATA uses the best HR software in the market.
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Britannia interpretation
Before introducing the company Britannia, I would like to provide a basic
understanding about the concept of analytics in FMCG sector. The growing
pace of technology has ignited the torch of competitiveness especially in this
Sector. Hence, the quantitative approaches are being highly recognized and
applied into business operations. Different functions have different quantitative
approaches.
Human resources have gained a lot from these disruptions. Metrics and KPI's
are used to evaluate and assess org and workforce performance which influence
the strategic decisions.
Britannia Industries (emphasis on this while speaking) is one of India’s leading
food companies and is among the most trusted food brands in India. Under the
leadership of Mr. Nusli Wadia, Britannia has positioned itself in the minds of
customers. I would now like to throw some light on some important elements of
the company- Vision and Mission statements which justifies that where the
company want to reach and what is the purpose of its existence.
Vision- To dominate the food and beverage market in India with a distinctive
range of “Tasty Yet Healthy” Britannia brands.
Mission statement- To dominate the food and beverage market in India
through a profitable range of “Tasty Yet Healthy” products by making every
Indian a Britannia consumer. “We want to be a part of our consumer- at home,
out of home, a natural part of his life”.
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These are some of the relevant metrics which I have identified for Britannia
with respect of LAMP framework and HCM:21 Model.
This is a hierarchical chart which shows the metrics for Britannia. The first row
which is in orange colour shows the four areas of function which I have
identified for Britannia followed by the second row which outlines the relevant
metric belonging to the particular function.
Recruitment- The first and foremost task or activity which ensures addition to
the workforce. Almost every company has certain metrics to measure their rate
of recruiting. For an old player like Britannia, it is very important to have a
hold on maintaining the efficiency of these metrics.
Time to Hire measures the time it takes for someone to move through
the hiring process once they have applied. This is an excellent metric to
evaluate the efficiency of the selection process. A long time-to-hire raises the
cost of hiring and also cause to lose top candidates.
Time to Total
Time to Hire1+ number of
Hire Time to Job
Hire2 Positions
Cost per Hire is designed to measure the costs associated with the sourcing,
recruiting and staffing activities borne by an employer to fill an open position
in the organization. The reason of choosing these metrics for Britannia is the it
has good brand image and reputation in the market and it is taking constructive
measures to sustain this position. Also, as reflected by its mission and vision to
become a dominant player, it is important to know that what kind of
positioning they have in the minds of customers.
Total Internal
Total number
Cost per Hire Hire+Total
of Hire
External Hire
In reference to LAMP framework and HCM:21 Model, the logic behind using
these metrics for Britannia is because it helps them to match the pace of
competition and they can make better and more informed decisions in order to
hire the right candidate.
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Overall retension Rate: I have used this metrics for both the companies
because Retaining good employees and lure in potential new candidates is
important for any organisation, both the companies put their best foot forward
for their Human resource. Britannia as the company aims at maintaining a
sound organizational culture
Formula:
Employee Retention Rate= (Total no. of employees – Total no. of employees
that left) X100
Total Number of employees
metrics are being used in Britannia as the company aims at maintaining a sound
organizational culture. Thus, it is a principal activity of the organization to track
the number of employees by applying these metrics. LAMP framework holds a
very great relevance here as Britannia critically analyse the work atmosphere.
Also, HCM:21 Model’s, scanning and planning algorithms play a vital role here
as Britannia becomes acquainted with its intellectual capital and according to
their relation, structure and capabilities the organization plans for development.
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Moving on to the next function that is Training management, Britannia
establishes a great foothold in this function. It promotes the idea that it is the
environment that makes daily challenges enjoyable and rewarding. Thus, it has
‘Britannia for Britannians’ programme which has taken the agenda one step
ahead by instilling a healthy balance of values and quality of work through on-
the-job training and learning opportunities. To draw the effectiveness of such
programs initiated by Britannia,
training participation rate: The training participation rate will tell the
company that if it is worth spending for the on-the-job trainings and the self-
service online trainings.
Training Total Total
Spending Training operating
Rate Spend cost
Training spending rate which measures the no. of people or employees
participating in the training, measures the worth of spending in on-the-job
trainings and the total operating cost associated in the training programme
respectively. \
HCM:21 Model supports these metrics as it helps in analyzing the inclusion of
skills and knowledge to the human capital and LAMP framework supports the
analyzing and measuring results in order to draw out conclusions.
Training Total Total
Spending Training operating
Rate Spend cost
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Compensation and Benefits is the third function associated with Britannia.
Market Index and Compa ratio are the most relevant metrics which can be
used by Britannia.
Internal
Market Average
Survey Rate
Index Rate-Survey
Rate
Market index shows how your internal jobs are paid relative to market paid
rates for external benchmark jobs and
Compa ratio displays the employee’s salary relative to salary range midpoint.
Salary
Compa Employee
range
Ratio Salary
Midpoint
Britannia has a pension scheme in place for all its employees, who retire as
Britannia employees. This is a unique benefit which they provide to their
employees. There are short term benefits and long-term benefits for the
employees of Britannia. Also, it is very critical in matters of compensation as
they expect from employee to perform outstandingly so that they can contribute
to the mission and vision of the company. Along with these, Britannia rewards
its employees for innovative things and extra-ordinary achievements etc. They
also promote extra-curricular activities and run excellent medical benefit
schemes.
LAMP framework and HCM:21 model is applied to this function and selection
of metric in terms of processes and procedures involved while simultaneously
scanning the internal resources and planning according to the internal and
external needs.
Hence, all these sums up to become the matrices of HR in Britannia which adds
to their overall business growth and achievement of sustainable competitive
advantage, if used correctly.
