National HRD Network in to the Next Orbit

National HRD Network in the Next Orbit
T. V. Rao, Founder President, National HRD Network

Today is the fourteenth conference of the National HRD Network. It is appropriately titled as next orbit. This is the third conference since its inception that I am not going to be there. I remember not being able to go to the Calcutta conference in mid eighties organised by the Calcutta chapter and coordinated by Keith. I did not go there on purpose as I wanted to signal that the new team deserves to be at centre stage. Guptaji from SAIL did not forgive me for a long time for my not being there. It was at this conference (symposium as it does not figure out in the list prepared by Satya) Rajesh Vidyasagar who was President of the National HRD Network chose Debashish Mitra to succeed him as he was going to join the World Bank. However I had to be deeply involved in the NHRDN subsequent to the conference in spite of my decision to let go of the NHRDN. Debashish had to be guided. Baburaj Nair was in position as Executive Secretary and NHRDN was housed in AHRD. Baburaj also had to be guided.

NHRDN has come a long way since then. In the last ten years it has grown on its own under the active leadership of Arvind, Santrupt, Dwarka and Aquil and now with N S Rajan and many others associated with it.

Today’s conference is symbolic. Last year NHRDN has changed its logo. This year the HRD Newsletter has been given a new shape. The conference is also being addressed by a large number of CEOs and people who represent contemporary business. Kapil Sibal is expected to inaugurate.

I am not involved and I was not even consulted on anything. I am happy that HRD Network has grown to exist totally on its own with no past baggage. Last night I had a call from Fr. E Abraham who is co-founder of the NHRDN that he is being awarded “Life Time Achievement” award. It is well deserved award as Abe has worked without expecting anything in return and silently and in his own way for NHRDN and HR profession. XLRI has already got the award several years ago.

I have requested NHRDN conference organisers to pay appropriate homage to Dr. Udai Pareek in the conference as it is the first major event after his death. While he was alive he contributed a lot to NHRDN and very silently. He spent even more time than me and he was associated with the selection of many Presidents of the NHRDN. G P Rao used to consult me in the beginning and latter inform me but always banked on Udai. Now I come to know only in the news bulletins and circulars like any other member. I can see what truly what we all stood for “Ravi Matthai type of Institution building” happening. Ravi and Udai used to say that even after some leaders leave the leadership roles, their ghost or shadow keeps ruling the institution. I am happy that our ghosts are no where there.

There is only one fear that NHRDN should not given up some of the culture and good critical practices which we meticulously nurtured and stood by. These are like the habit of providing an opportunity for youngsters and truly innovative HR professionals to present papers in the conference and also bring out a book containing the papers. When PVR wanted me to edit a special issue of NHRDN Journal containing select papers of the last conference I requested him to extend it to the last three conferences where there was no publication. We tried to get papers and we did not succeed besides getting a few power point presentations. We spend lakhs and lakhs of rupees to host an event, only a few members attend and others do not even get to know the proceeds of the conference. It is not acceptable. It defeats the very purpose of NHRDN of disseminating knowledge and educating others with best practices. Another good practice we had was to have a large number of committees and provide experience to young professionals to experience and build their organizational capabilities. We did not have event managers but had young members manage events and save money. Today it is difficult not to have event managers but also an opportunity to young professionals to manage such events should not be denied.

Siddiqui said that they are bringing the volume this time and are also organising to create a CD of the proceeds. It is wonderful that NHRDN has already moved in to the next orbit like the country also has moved into the next orbit. I hope the change is for good of the profession and it will serve the profession to move the profession to the next orbit rather than a few individuals who are managing the NHRDN.

What should “Moving to the Next Orbit” mean for National HRD Network?
Change has to be in terms of lifting HRD up. To me the agenda of NHRD in lifting the HRD up is through making HR function an integral part of all people. The focus should now shift from HR Department driven HRD to user driven HRD. As we dreamt long ago, the success of HRD function is when it has attained status of self liquidation. It is not needed any more to promote learning among line managers or other employees. It only provides a milieu and mechanisms and learning happens on its own.

1. I also hope that the next orbit of HRD means movement to social issues, public services, NGOs, and the government. There are scams after scams coming out.
2. What is the role of HRD in this self destruction that seems to happen through the scams?
3. When do all these people who want to make money by all means or my any means and put the country, its name and progress to risk realise that it does not work. India has matured and that all of them will have to face some day or the other and sooner than later the public wrath and they are not likely to carry anything with them when they die. They only carry with them a bad name and the curse of millions of people for destroying the image and preventing perhaps a few more lakhs of the poor to have two meals a day or access to education. They do not carry any money and in fact their children and all those associated with them will be cursing them for what they have done. Be it a politician, a civil servant, or an industrialist or anyone who is so greedy that he indulges in corrupt practices will carry only the human curse with them.
4. How does one create this awareness that corruption and greed only bring misery to those who are corrupt and also to their offspring and those associated with them?
5. How does one improve the declining public services by using innovations in technology?
6. How do we help guide the talented youth and gen Y and Z from rather than being confused and going stray to be focussed and build themselves and the nation?
7. How do we ensure that the slowly dwindling values in the country like loyalty to the nation and the Organization should return back to focus and integrity and character are the building blocks of a nation’s development?
8. How do we educate all sections of the society to choose their political leaders who are value driven and concerned for the country rather than their party and power?
9. How do we educate people in the country that their fate lies in the leaders they choose and not in the amount they get to vote during the elections?
10. How do we spot and mobilise people who are committed to their country and are people with integrity and character to take courage and take up leadership positions?
11. How do we produce more and more Sam Pitrodas, Abdul Kalams, Kiran Bedis, Nandan Nilekhenis, Narayan Murthys, Anu Agas, Vijay Mahajans, Sharath Babus, Kumar Birlas, Rangarajans, Manmohan Singhs, Vikram Sarabhais, Kiran Mazumdar Shaws, Ravi Matthais and Kuriens? How do we provide access to talented people in corners of the country living in villages having no access to education to come to the forefront and get educated in IIMS and IITs and lead the nation into the future?
12. How do we change the greedy industrialists who start hospitals and educational institutions purely with a profit motive and misguide the talented doctors and nurses to serve their greed than to serve the public?
13. How do we get them to know that profit can be made with service if they are not too greedy and profit at any cost is detrimental to the nation and in the long run to themselves as they are also perpetuating scams of a different nature and it is only matter of time that they will have their day as the exploited public wake up.
14. How do we get the corrupt government officers in various departments at block level, district level, state departments and so on to feel that they are living on the tax payer’s money and that they should do their jobs well and speed up their services and be less corrupt?
15. How do we create systems and processes including compensation systems that can totally eliminate corrupt practices which are detrimental to speed and progress of the Nation?
    How do we create continuous learning atmosphere? How do we enable organizations to encourage innovations and take risks and learn and learn?
16. How do we prevent government and various agents and agencies that mindless target obsession has the risk of bringing down the quality and introducing wastage and in some cases even promoted harassment of the citizens?
    These are some of the challenges of the nation, and NHRDN should start dealing with some of these issues at least and promote local bodies to undertake this.
    If NHRDN has to truly move into the next orbit they should change the nature of their thinking, the nature of their spending and the concerns of people who are leading it. They themselves should be people of character, integrity and have single minded purposes of “Nation Building through HRD” much more than their personal image building. Most of those associated already have a good image and awards to their credit and are people of accomplishments. It is time they spend their time addressing the issues of importance to the nation.
    Then only we can say that HRDN has helped the profession and through it the country and the corporations to the next orbit.

Principles in Designing HR Function: Udai Pareek

PRINCIPLES UNDERLYING DESIGNING OF HUMAN RESOURCES SYSTEM
Conceptualised by Udai Pareek while establishing the first HRD department and HR Function in L&T, 1974-75 (reproduced from the Book Pioneering Human Resource Development: The L&T System” by Udai Pareek and T. V. Rao; Academy of HRD, Ahmedabad, pages 74-79. For copies write to: director@academyofhrd.org ). This is a part of the report of L&T. The conceptualization is done largely by Udai Pareek and accepted in full by L&T after a presentation to its top Management including Mr. N. M. Desai Mr. Holk Larsen) .
Very little systematic attention has been given to the designing of human resources system (HRS). In the absence of systematic attention to various aspects, HRS may not be able to serve effectively the various purposes for which it is set up. So far, the urgent but not necessarily the most important problems have been attended to in HRS viz. statutory requirements of industrial relations and appointments, promotions and salary administration etc. of the various personnel in the company. The designing of HRS would require attention to various aspects. We purpose 15 principles which should be followed while designing HRS in any company.
FOCUS ON ENABLING CAPABILITY: The main focus of HRS should be to help the company increase what may be called its “enabling” capabilities. These capabilities would include development of Human Resources in the company, development of total organizational health, improvement of the problem solving capability, developing diagnostic ability so that the problems in the organization can be quickly, timely, and effectively located and solutions attempted without dependence, and developing a healthy open system so that maximum commitment of the employees can be obtained. HRS, in this sense, becomes an important system underpinning various other functions and strengthening them through its programme.
INTEGRATING THE DEVELOPMENT OF PEOPLE WITH ORGANISATION DEVELOPMENT: Any HRS should aim at the development and multiplication of Human Resources. Every human being has certain capacities and potential to do certain things. Human beings are not very often aware of their own strengths. It requires another human being to point out ones own strengths. HRS should provide enough opportunity for each individual to become aware of his potential and thus make maximum possible contribution in his various organizational roles. It is certainly not possible for any organization to provide scope for complete exploration of individuals’ talents and potential. However, HRS should offer maximum opportunity through appraisals, feedback, counselling and experimentation in various roles. An organization like L&T offers enormous such opportunities.
MAXIMISING INDIVIDUAL AUTONOMY AND GROWTH THROUGH INCREASED RESPONSIBILITY: Learning experiences get maximized when individuals have opportunities to experiment and also hold the responsibility for outcomes. Such learning experiences on the job have a great value for the individual and the organization. Employees start enjoying their jobs more and develop themselves better if their jobs offer them some flexibility and autonomy to innovate. HRS should attempt to help employees assume more responsibility through autonomy in decision making and experimentation.

DECENTRALISATION THROUGH DELEGATION AND SHARED RESPONSIBILITY: People who work together or close to each other know each other better than those who do not have such opportunities to be together. HRS should be based in such a context. Identification and development of human resources becomes an integral part of every manager’s job. The system can only maximize opportunities for managers to take this responsibility. In fact, the central office can only perform monitoring and service functions, and identification and development functions should be shared by every employee/ officer in the organization. The units/ regions should increasingly take the initiative in these matters, with the central office providing necessary monitoring, policy making, and system development facilities.
PARTICIPATIVE DECISION-MAKING: Dealing with human beings is a sensitive area for any organization to handle. No matter what innovations are made and what opportunities are provided there are likely to be frustration. People tend to feel frustrated when they are not consulted in matters in which they have enough knowledge and information. Design matters in which they have enough knowledge and information. Design of HRS or any of its sub-systems must give adequate weightage to the ideas and existing resources of people. It should attempt maximum participation or representation of people who are likely to be involved in its implementation or are affected by it.
BALANCING ADAPTATION TO AND CHANGING ORGANIZATIONAL CULTURE: HRS does not have any standard form and has to be evolved for each organization according to its nature, recruitment and its culture. While designing HRS, it is necessary to take into consideration the nature and culture of organization for which it is being designed and at the same time it should be designed to suit the prevalent culture of the organization and the intended direction of change. The role of HRS is not only to perpetuate such culture but to modify it for increased effectiveness. There has always been a controversy between those who believe that HRD or any parts of HRS like appraisal system should be designed to suit the culture and those who believe that such systems should be able to change the culture. Both extreme positions seem to be less functional. HRS should not make the company stay where it is; it should take it forward. However, this can done only if its design does not severely conflict with the prevalent culture, but at the same time has elements of change and evolution towards the future.
BALANCING DIFFERENTIATION AND INTEGRATION: With increase in expertise in RHS, the three distinct functions need clearer identity. These functions are: personnel administration, organization development and training, and industrial relations. Putting these three functions under one person may not do justice to them since there is a distinct identity of these three functions. Time has come that this differentiation is not only recognized but is built into the design of HRS. However, integration of these three functions is also necessary because they have inter-linkages and may require mutual support. This can be done, as we state in another principle, at a fairly high level. Such integration along with necessary differentiation would be necessary to make the function effective.
BALANCING SPECIALIZATION AND DIFFUSION OF THE FUNCTION: While HRS is a specialized function and should be treated as such in the organization, its special identity should not result in lack of involvement of line people in various aspects of HRS. Since action is the sole responsibility of line people, HRS should strengthen their role. This can be done by diffusing part of HRS amongst the line people. For example, simple personnel administration like sanctioning of leave, disciplinary action, dealing with conflict problems, etc. should be handled by the line people themselves. If necessary, they may have help from a personnel man. Without such diffusion, the personnel function may only be used for escaping the responsibility of administering personnel effectively. Certainly, specification of systematic practices would be necessary but this has to be supplemented by the participation of line people in some of the HRS activities.
ENSURING RESPONSIBILITY FOR THE FUNCTION: Unfortunately, in most companies, HRS does not have much credibility for several reasons. One main reason is that this function is at a very low level in the organization. Unless the HRS is introduced at a high level in the organization, its respectability will continue to be a very low. Moreover, unless a very senior person is in-charge of HRS, the insightful and creative leadership, which is required to make the function effective, may not be provided. For this reason, it is necessary that HRS be instituted at a very high level in the organization to increase both its visibility as well as its usefulness.
BALANCING LINKAGES WITHIN AND WITH OTHER FUNCTIONS: HRS should be designed to strengthen various functions which are important in the company. For example, it should have linkages with the budgetary and other information control systems. It should have linkages with long-range corporate planning, with marketing finance and production and other functions of the company. Such linkages are extremely important. On the other hand, linkages amongst the various sub-systems of HRD are also necessary.
BUILDING FEEDBACK AND REINFORCING MECHANISMS: The various sub-systems in HRS should provide feedback to strengthen one another. Systematic feedback loops should be designed for this purpose. For example, performance and potential appraisal should provide necessary leads for training in OD and OD programmes may provide necessary leads for work redesigning etc. A systematic plan of flow of one subsystem to the other should be properly prepared. Appendix 3.1 provides such a plan indicating how the process of feedback and linkage become a circular loop type.
BALANCING QUANTIFICATION AND QUALITATIVE DECISIONS: While quantification of various aspects in HRS is necessary, everything cannot be completely quantified. This applies as much to selection and recruitment as to performance and potential appraisal. Attempts should be made to continuously improve and quantify several variables and even to design computer storage of various kinds of data. But the qualitative and insightful decisions will always be necessary and desirable. For example, while promoting people, various quantitative data available and computerization of data may be useful. These may be used as necessary inputs, but some other factors which cannot be quantified will have to be taken into account while taking the decisions. Such a balancing is necessary.
BALANCING INTERNAL AND EXTERNAL HELP: HRS would require development of internal expertise and resources. However, the company should see the optimum pay-off in terms of employing their internal or external resources. Some highly rare expertise which may be available from external resources has to be used only occasionally in the organization. Thus may not be developed internally in the system. Such a balance is necessary. Similarly, the use of external resources in terms of training should be used minimally, but cannot be completely ruled out. A judicious planning for the use of both is necessary. A company which is completely closed to external resources and is doing everything internally may not be able to benefit from some of the latest developments in the field. On the other hand, a company which is merely relying on external help either in training or other aspects of HRS cannot develop itself effectively without necessary internal resources.
PLANNING EVOLUTION OF THE FUNCTION: HRS cannot be established overnight in a company. Some aspects can be introduced depending on the state and sophistication of the company. Some other aspects would require longer preparation before these are effectively introduced. Rushing the introduction of all the aspects of HRS may only result in ritualism rather than effective introduction of the system. Introduction of HRS, therefore, should be properly phased, and there should be enough thinking about how these phases will be completed and build one over the other.
CONTINUOUS REVIEW AND SELF RENEWAL: The environment and the organizational culture keep changing with time. However innovative a system may be, there is always a danger of it becoming ritualistic and dysfunctional after sometime. Therefore it is necessary to plan any system in such a way that it has mechanisms of self renewal. HRS should provide in it mechanisms for continuous review and change.