Functioning Of Key In The Human Resources Activities Commerce Essay

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Back days if we are focusing about HRM as name states its stands for "Human resource management system" where the organization mainly concentrate on managing human which are their employees working for them but nowadays its totally different thing taking in theory and practice. From HRM it is now come to known as MHC which stands for "Managing Human Capital", it means for the organization the human is now treated as a capital means one of the asset for the organization and meeting their goals and also retaining them according to their need and all that either its like a benefits or anything like that is the human resource best practice.


The process of whole organization not depends on only one department work it depends on all departments that the organization have and came together they can build their objectives. But in this whole process managing human being which is very key concerns is hard to do. It's because the behavior and perspectives of human beings so it's really very hard for HR manger to meet their needs and also to recognize their problems. So, managers can't predict or practiced the one solution for everybody, they need to be practical and even also be in practicing the best solution for solving their issues. But, it's not an easy task for manger they need to be always be practical and always do the best HRM practices for managing this human which is one of capital for their organization.


The functioning of key in the human resources activities can be categorized in a various way like Manpower Planning, Recruitment and Retention, Training and Development, Compensation and Benefits ,Carrier and succession planning and many others.

Hr Policies and Practices



Employee Training and Development

Human Recourse




And Selection

Performance Management

And Appraisal

Employee Learning and Information


Success of HR goal / Strategy

Success of Organizational goal / Strategy

(Author, 2012)

The effective and proper functioning of HR activities is highly depended the organizational mission and strategy planning.


HCL is "Indian company" which is one of leading service provider for outsourcing and also for information technology system mainly deals with workstations servers, laptops and other peripheral devices. Firstly, originated from India now it is one of the successor with new innovations of IT Enterprise with annual revenue nearly of $5.3 billion and build up their industry in almost 31 major countries and also spreading to different countries is shows their status and work in the global environment. Basically it has sub-divisions in all over India and also in the overseas countries but its headquarters are in India. After their succession they decided to divide their unit into sub sections so that they can concentrate more separately and thus with that ideology they comes with unit named as "HCL Technology and HCL Infosystems."

Where HCL Technologies is focusing global market deals with the enterprise custom application and outsourcing support, HCL Infosystems deals with the IT, Office Automation Products & System Communication, arm focused on the Indian market. Today, HCL has 45,000 employees of diverse nationalities, including more than360 service centers in India. HCL has global partnerships with several leading successful 1000 firms, which includes several IT and Technology majors.

Initially in back days, HCL started making the hardware and delivering the support system for the different system and become successful in IT hardware market in India in two decades of its existence with some reputation to the global market.

In late 90's, HCL took a major step for its existence in global market by joint venturing with one of the leading IT firm and their competitor with HP, and thus HCL became an enterprise comprising HCL Technologies (to address the global IT services market) and HCL Infosystems (to address the Indian and APAC IT hardware market). HCL has since then operated and took a major and intelligent step which work for them till now.


HCL is Hindustan Computers Limited. It was started in 1976 in India by   Shiv Nadar with his close techno maniac friends started a firm known as "Microcomp". Limited. Initially the company focus was to design and manufacturing the scientific calculators. This venture provided its founders money to start a company that can concentrate on building more innovations and compete with existing organizations and thus decide for manufacture computers in a bulk scale. The company name "HCL" used to stand for "Hindustan Computer Limited" but now HCL is the only one name that the company goes by. HCL received support from the Indian Union and then got approval from Uttar Pradesh (especially in Noida) government to set up their manufacturing unit to build their products.




Introduces calculators, First Microcomputer-based computer, Application development, formation a pioneer in the Singapore IT market


Software Export Division, launches the advertisement for computers popular in

SME (small and medium enterprises) segments, Bank trade unions allow computerization in banks.


Designs UNIX based computers & IBM PC's, Introduce new services System integration, IT consulting, packaged support services.


Begin help desk services, becomes nation integration partner for SAP, Rated as No.1 IT groups in India.


Launched Pentium IV PC's, enters into partnership with AMD, launched RP@ system to overcome power problem for PC users.

2005-Till now

Introduces eco-efficient notebook PC's, Kodak and HCL ink agreement, HCL forms a strategic partnership with Apple to provide sales & service support for i-pods in India, get outsourcing contract from MTV network, launches HCL AXON, iControl.


Introduced the first indigenous micro-computer in 1978.

Indigenous concepts developed an RDBMS concept,a Networking OS and a Client Server architecture in 1983.

 In 1986, HCL becomes so called the largest IT company in India.

HCL introduced fine engineering multi-processor called as a Unix-3 years which is better than what have from "Sun" and"HP".

HCL has launched a new range of PCs (Ultima and Elite models)under its Bean Stalk range of PC's at its Pondicherry plant.

HCL entered a global agreement with US-based in focus for distribution and technological support of the data and video projection products in the country.

HCL Infosystem launches the Toshiba Portege 3500 series Tablet PC in the nation.

HCL Info registers 245% growth in their net profit for Q4.

HCL sold one million buyers milestone in desktop PC.

HCL Infosystems launched of its new range for Infiniti Global Line 2700 series with Dual Intel Xeon processors promising to deliver faster speeds for enterprise applications

On June 18, 2007 HCL Technologies Ltd announced a US million of contract with Alenia Aeronautica, to provide engineering services that will support the improvement of the C-27J Spartan production line.


India's Most Preferred Computer Brand by CNBC AWAAZ Consumer Award 2007 .

(source -"")

India's 'No. 1 PC Vendor' consecutively for six years.

HCL among the Top 3 IT companies for the last 3 years, DQ & IDC,Best Employer Survey, 'Best employer 

2005' with Five Star Ratings ("DATAQUEST").

'Top 50 in ET Top 500 Companies' Listings for 2006 ("THE ECONOMICS TIMES").

Top 21 companies in Business Standard 1000 Ranking 2006("BUSINESS STANDARD").

Top 50 Fastest Growing Technology Companies in India & 'Top 500 Fastest Growing Technology Companies in Asia Pacific' by 'Deloitte & Touche'.

'The Most Responsive Company 2005' - IT Hardware Category by The Economic Times - Avaya GlobalConnect

'7th IETE - Corporate Award 2005' for performance excellence in the field of Computer & Telecommunications Systems.

HCL  has been conferred the prestigious Asian Human Capital Summit 2011 Award in Singapore for its outstanding human resource practices, putting employees first and at the heart of its business strategies.

(HCL, 2007)


2.4.1 . HCL Technologies -" Touching the Globe"

Major key functions

Value-centric driven by customer insight.

It's aim to understand the performance,Cost and ROI,Predictability and

Business alignment.

It is the only organization with provide Multi-Service Delivery which is full service range of IT infrastructure, BPO services & its applications.

2.4.2 . HCL Infosystems - "Touching India"

Major key functions

1. State-of-the-art manufacturing for business servers, color

Monitors, personal computers (PC's),workstations.

2. Leading Provider stated as"Pan-India SI solution" in verticals like Power

Industry, Telecommunication industry,E-governace,Indian Railways,

Media Entertainment, Health, Retail, Education etc.

3. Largest distributor of retail Network and for IT-industry.

4. It mainly focuses to bridge skilled manpower gap which nowadays

a big problem in the IT industry. (HCL, 2011)


"EMPLOYEES FIRST, CUSTOMERS SECOND," this is the capitalist ideology followed by Vineet Nayar, CEO of HCL Technologies. The whole concept of keeping employees first and customers second is to make an employee to feel like more relaxed and great ambiance which may be termed as "employee-oriented organization", encouraging a value-driven culture and ensuring transparency.

The follows HCLs HRM strategy, which gives all the authority in the hands of the employees and making managers accountable to them rather vice versa. Adapting such a radical concept is original and a little risky. HCL follows the principal that its not the customers that makes the organization but the employees who decides the future of the firm and in order to make them deliver value and best results so it becomes very important for the organization to make their employees realize that HCL is a great place to work. The other factor that HCL always takes care of is Transparency, as it reduces the gap between the employee and the manager. With the presence of transparency in the system, employees act more responsibly and creatively.

HCL always believe in changes to their policies either its HR r anything else to adapt the new requirement needs.Some of the important functions are as follows-

Wellness program for employee

HCL believes that when there is healthy employees working for them so it is beneficial for them as it increase the company productivity, reduce health care cost provided by them and also helps to achieve the desired goals. For an organization there is a common problem which is work- related stress for their employees. To overcome from this problem "Employee Wellness program" is being practiced which is an added advantage so that it encourages the employees to be in company and work efficiently. HCL focuses

their energy and as well as their resources on preventing chronic diseases through engage

them to their workplace by motivating them and also to change their lifestyles which is they treated as a "prime corporate responsibility.

MITR : an employee assistance program

As HCL comes with philosophy of "Employee First" so they need to implement something to introduce for their employees and then comes with this "MITR" which is the assistance or may be we can call helping desk for their employees. It is generally a program which assist HCL employees and their family members with general information, counseling services and development of their personality which is available as free service for them and also available 365 days and on 24*7 manner in a year. It is telecom service which is independent support and information and advices which is free and confidential.

3. Motivating Workforce

As for sustaining in global environment and facing competition with others is growing

drastically so for a technological edge like of company like "HCL" which is being run by

talented manpower has become a major and a crucial factor for their survival in the

global environment. For this reason the HR manager not only doing their job as related to

their work but also performing as a motivators so that their knowledgeable workers can

adapt new changes and can work in different conditions with technology what enviro-

nment want as per their needs.

4. Competency Development

HCL which is symbol of successful knowledge-based industry is entirely dependent on

Its Manpower and also termed as "Talent-pools" nowadays. The HR department plays a

vital role in this process which determines the success rate for their organizations. For

this, their main activity is to do recruiting, managing, training and also retaining the best

people available for them.

5. Recruiting and Training

It is the most important part or we can say the important aspect for any organization. In

HCL, the method of recruiting is divided into different stages. Generally, it includes three

stages of interview which deals with different aspect of job specification. The three stages

of interview is termed as "Telephonic Round", "Initial Round", and "Operations Round".

After completion of this rounds the candidates who passed are called for document verifications and HR interviews.HR manger plays a vital role for choosing right manpower or their organization so that company can achieve its mission. Another challenge basically for software industry is Skill obsolescence for HR manager. So, HR managers is to put systems in place to make people a perfect fit for their jobs and related to their skills. To overcome from this issue, the organization organize the training and skill development program at regular intervals. This intervals may be in the quarterly basis or in half-yearly basis.Most of the personnel find this programmes as useful for their carrers.

6. Retention

Hiring and retaining best employees in the organization is main concern ft the organization nowadays.HCL always concentrate on their needs and environment want by their employees in workplace. So, for that the company proactively fulfill the needs and will become the successful dominants in their respective global world environment.

7. Compensation and Benefits

Now for every organization the appraisal, compensation and benefits are some added advantage which attracts the personnel more to retain and work efficiently.HCL is also concerned and came out with unique solutions for their employees. Generally, following is a list of some benefits entitled by their employees:

Personal Accident Insurance Scheme

Company Leased Accommodation

Subsidized Food and Transportation


Educational Benefits

Performance based incentives

Flexible Salary Benefits

Regular Get together and other cultural programs

Employee Referral Scheme

Saving for the Future - Retirement and Savings Plan.

(HCL Employee First, 2011)


As for sustaining in global market and competing with others every Knowledge-oriented organization is facing various issues either talking in HR, or in Marketing or in Finance.So,

Following are some key HR issues facing HCL nowdays-

Health concerns

As HCL is focusing in Knowledge-oriented employees and also focusing in outsourcing, so sometimes long shifts of work, high work targets with limited deadline, loss of identity are some are the facts facing the industry in India. It sometimes results into eye problems due to long hours of work, also trained rigorously by their seniors which generates depression in workplace. The odd timings and flexi-work time people to a chair 9 hours or sometimes 12 hours a day, reading pre-scripted conversations on the phone endlessly - often to irate customers from across the globe. Generally ,organization works in a large scale tracked all the logs and also every single seconds of an employee is recorded, and his/her performance is automatically generated onto computer for appraisal or censure either in weekly or in monthly basis. The other activities other then their work walking down to water-cooler for drink or either chat with colleagues can affects in your performance metrics, salaries and on their compensation & benefits. The three acts of watching, listening and talking - all at the same time with no breaks in workplace finally results enormous stress on their employees. This also results in retention of right skills in their organization to stay and work efficiently.

Possible Solution:

By maintaining healthy habits like getting regular sleep, sitting correctly, including exercise into your schedule, eating healthy and having regular preventive checkups, these problems can be avoided in every industry .For this organizations need to build in- house medical facilities, encourage healthy routines in offices and organize health check up camps in regular interval or often . Also, for workplace harassment the organist need to provide safe working condition for their employees with policies which supports zero tolerance. Ombudspersons or Harassment Prevention Committees act to address such

issues and maintain a professional culture and encourage

diversity and meritocracy. (NASSCOM, 2011)

Staffing Troubles

HCL expands its branches and their business in overseas countries, so in these days they are facing obstacles in their path for finding enough highly- skilled employees with good communication skills and with enough knowledge to their respective fields to meet demand. Today, most of the higher governing bodies of an organization acknowledge that an inescapable aspect of the industry is entirely depends on their steady staff-turnover. The reasons for this may be the tedium with the job, lack of carrier opportunities for better monetary benefits, or may be the training provided by them results in a failure to stay in the organization. In today's marketing strategy the work is so repetive that often it is noticed that most employee leave their job in 1 or 2 years span of time. Basically it is being noticed that in youth is only concerned to make a fast buck and for this they jump across different companies, making the main largest issue of "staff- turnover" for the top most executives and also for governing bodies of the industry.

Turnover rates ranging from 30 to 40 % have formed a major concerns for all the organization as they have to compete with other existing firms. Some industries have found a unique solution for this to meet their growth numbers to the"been-there-done-that 40 plus" generation.

Possible Solution:

This is the important and the main what organization facing today. Various practices by CEO's and high governing bodies and also HR manager is saying to find people problem and deal with them quickly. If you don't, you may have them forever. So, HR manager's and the whole organization need to be focus what employee wants and need to be adapt that things according to todays need either if it is compensation and benefits, or ambience in the workplace , or may be the succession plan for their employee or their pay- scale (A.K.A HUNTERLOTT, 2011). By focusing and rectifying their practice what they are doing for their employee they can retain their skilled employee and also meet their future goal very easily.

Legal Obligations

As HCL is mainly focusing in outsourcing so its raises several legal aspects in that. Firstly, if the outsourcing situation requires it can take over whole of the client's employees as well as its assets. But, its rules may differ from different country to country, so it is important to look after the local rules. In that case the best practice by outsourcing provider is to take over the employees and service staff with their terms and conditions ,such as salaries, pay, seniority, union agreements and benefits such as life-insurance, pensions, etc.

Second aspect of obligation is behavior on client sites. This includes the relationship and behavior of both service provider's employees and the client's end also. The service provider may also be held liable for the behaviour of the client if the service provider was aware of the situation or should have known about it and taken action (A/S), 2010). This may be very difficult for especially the service provider to focus the behavior of existing employees, and training, which may be difficult to perform and costly for the industry.

Possible Solutions:

One possible solution for that engage their resources as "hot list" conflict for their firm and the employee can indicate their general terms and conditions so listed clients can not raise possible conflicts to the firm. Another that firm should avoid any aiding and abetting the unauthorized practice of law. Also, Competent representation, disclosure of work for their employee , protecting client confidences and secrets, avoiding conflicts of interest, billing for outsourced legal support, export control regulations. (Ross, 2010)


Talent Race

The talent crisis is no longer a problem for the future its here now and every organization whether it is long or small scale is threatening business strategy and business growth. Many of the CEO's believes that many industries are failing to know about what talent management is really about and for that they are unable to build long-term plan for this issue. The reality if we are focusing is that many companies are not bothered who are their key talents and also not interested that what are they doing, whether they are happy with their rewards and benefits or not and this hampers the company structure by losing right talent.

According to the survey of top most CEO's of leading firm, they are worries when they are focusing in the global network and place where there is high unemployment time and the recent talents who are called fresher's and recently graduates are very hard to tackle and also their lack of knowledge and expectations from firm which is very high is one of the concerned for the organizations. Its very hard to find right talent for specific area and retaining the is also very tough job so CEO's are much worried that they won't have yhe riht personnel for their firm to compete and also have some recvories for their industry. According to survey 66 per cent high governing body and mangers afraid from talent scarcity that affects company's growth. (pwc, 2011)


"With Generation Y coming into the business, hierarchies have

to disappear. Generation Y expects to work in communities of

mutual interest and passion - not structured hierarchies.

Consequently, people management strategies will have to

change so that they look more like Facebook and less like the

pyramid structures we are used to."

Vineet Nayar

Vice Chairman and CEO, HCL Technologies, India

Source - (HCL Technologies, 2012)

Possible Solutions:

The best solution according today's world for maintaining talent management or say talent race is aligning the talent strategy which directly contributes to the entire business plan and then it can create value for them. Also, to look at where your business is heading not where you've

been. Keep questioning whether your talent management pipeline will give

you what you need when you need it. (pwc, 2011) Also, paying attention to pivotal roles and focus on the financial by looking what can employee do with ROI for their firm.

(pwc, 2011)


The human is now being treated as resources and one most important assets for the organization. Taking to closer perspectives what we have done in this project it is very important to predict somehow the need of employee who is the most important part of the organization and who is the only who can bring organization to its fruition.

Thus, one can easily predict that how the manpower planning is important and then from that the recruitment and selection part come in. It is very important for the organization to select the right talent for their specific department and also trained them so that they can acquire more knowledge in that and also can feel safe for their future. Nowadays, where most of the people are focusing on money or pay-scales and other benefits such as insurance, compensation ,etc. there are also some people what thinks about their security in job also the user- friendly environment in their workplace. So, it is very hard for HR managers to deal with these issues so that they can achieve their goals very easily.

Therefore, all CEO's and HR managers is focusing n what their knowledgeable and skilled employee want and now adapting that thing by practicing the best solution they have in the organization.