People Organization - "Employee Success is the Key to Company Success"

Published by MBA Skool Team, Published on January 02, 2013

As Technology is now with every company, differentiator remaining is the people they employ and the strategies this people design.

Organization should understand efficient and effective use of human resources so that the set goals are achieved.  It’s very important to understand how the individual behave in an organization and how one can improve organization effectiveness. Every organization has to concern not only for production but also for human assets.  Organization should be 9, 9 on checker board, which has people on y- axis and production on x-axis with a scale of 9. It can’t survive with 9, 1 or 9, 6.


It’s important for organizations to look for least-advantaged workers. Raising wages, rewarding productivity with strong earnings and profit-sharing opportunities, providing paid leave and flexibility, providing health care, and many other benefits, are frequently allotted to employees from the middle to the top of the corporate ladder, yet they are rare for the lowest –level workers.

An increasing amount of research evidence shows that companies can reap economic benefits from investing in the health of their workers. From building comprehensive health clinics at the work site to providing health insurance to increase access to community-based health care, and from addressing physical risks in the workplace to improving  the ways in which the social environment influenced workers’ health. Better working conditions lead to lower recruitment costs, higher retention rates, higher productivity and greater firm reputation.

Profit sharing firms are more productive than their non profit sharing counterparts; profit sharing increased productivity by 6 percent over the three year period. Allowing workers to participate in their companies financially acted as an incentive for them to work harder and more efficiently, thus increasing productivity. It’s company’s best interest to help employees build assets, since employees were more likely to stay out the year if they knew it would guarantee them a bonus.

Jobs should provide their employees with advancement opportunities. Most jobs for employees with limited formal education lack clear paths and the potential for upward mobility. Like virtual learning environment can help them learn business and information technology courses.

It’s critical to effectively structure incentives to foster collaboration across individuals and division in the company as to align the metrics of individual with the company goals. It is not financially beneficial for companies to cut wages and benefits and limit flexibility. System of rewards and incentives need to be equitable across employees. Employees work faster which increases both customer loyalty and productivity.

Researchers found that operating income for companies with high level of engagements improved by 19.2% while income declined by 32.7% among low engagement companies over the same one year period. Greater employee involvement leads to higher productivity, quality and lower error rates in production. Employees must be informed of all the aspects of the firm’s performance.

Organization should maintain environment of fun at work:

It will attract new employees and increase enthusiasm, communication, creativity and friendship amongst the employees. It will reduce stress, boredom and anxiety. Certain initiatives are started by organizations, like Kodak humour room offers joke book, cartoon, video. They Celebrate birthdays and in Google employees bring their child’s on weekends. There can be a brake for football, Ping-Pong, pool table and corridor cricket. Also in some organization, all group members go on every weekend at the group member’s homes.

Using psychology, sociology and anthropology for understanding human’s behaviour in social culture and society:

To fit the right man to right job for productivity, organization should be able to understand all the seven levels in which one employee can exist.

1. Affectless Behaviour: This type of employees shows tired and weary conditions. Employee is not at the productive level, so he should be treated as an infant.

2. Animistic existence: Employees in this type of behaviour are present physiologically, but they live by prescription of totems and taboos. They are to be managed within the limit, but the limits are strict. Negative motivation (threatening) can be used for this type of behaviour.

3. Normal behaviour: Employees knows what he is doing, and according to which he operates.

4.  Aggression and power: Believes in power of self.

5. Sociable Attitude: After an employee achieves what he want in his life, he strives for social rather than survival, safety, order or material gain. He looks for congenial atmosphere. He is at 5, 5 grid in the 9, 9 checkerboard, in which work is at y-axis and socialising is on x-axis. For him other means are more important than hard work.

6. Pugnacious and stubborn individual: At this stage employee has no fear of social outcast, competitors, God or boss. He is end oriented not means oriented.

7. Pacifist individual: It is the soft version of sixth level. He just does his task, not try to have relation with others. Management must fit organization to him, not him to the organization.

Personality job fit theory:

It can be used by the organization to place right job to right person. It differentiates employees into 6 personality types. This theory can be used to match employees to occupational environment. Six personality types are 1.Realistic, 2.Artistic, 3.Social, 4.Conventional, 5.Enterprising and 6.Investigative.

Every employee must allow to contribute in strategic planning for an organization. He should help in defining goals and strategies. A strategy is more effective if employees have straight forward guidelines for making critical decisions. Corporate can set objectives, what are they trying to achieve, profitability, growth, innovation, and social good. Can identify the bottleneck that keeps them away from achieving those objectives and create simple rules for managing the strategic bottle neck.

These were some feasible, affordable strategies for enabling employee to contribute to, and share in, a company’s success.

This article has been authored by Jayesh Hariyani from NMIMS Mumbai.

Views expressed in the article are personal. The articles are for educational & academic purpose only, and have been uploaded by the MBA Skool Team.

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