TALENT

MANAGEMENT
PROCESS

Department Of Human Resource Management

Faculty Of Commerce and Management Studies
University Of Kelaniya
 Department of Human Resource Management
Faculty of Commence and Management Studies
University Of Kelaniya

Talent Management Process

-LALAN Rubbers-

Student No Herath H.M.V.E BM/2012/088

Inham C.M.M BM/2012/097
Madusanka B.G.P BM/2012/144
Malinda L.R BM/2012/156
Ruchira B.P.N BM/2012/243

Subject BHRM 41114 –

Human Resource Development

Lecturer Ms. H.M.S. Silva

Mr. T.D. Weerasinghe

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Table of Content
Executive Summary

1. Work Force Planning

1.1. Introduction...................................................................................
1.2. Practical Situation in LALAN......................................................
1.3. Estimate HR Supply.....................................................................
2. Recruitment
2.1. Introduction..................................................................................
2.2. Factors affecting recruitment........................................................
2.3. Practise in LALAN......................................................................
2.4. Internal recruitment sources........................................................
2.5. External recruitment sources…………………………………...
3. On Boarding
4. Performance Management
5. Training and Performance Support
5.1. Introduction.................................................................................
5.2. Additional Definitions ................................................................
5.3. Seven Characteristics of Good Performance support..................
6. Succession Planning
6.1. Introduction……………………………………………………
6.2. Talent Retention……………………………………………….
6.3. How LALAN perceives the Succession Planning……………..
6.4. The basic mechanism of Succession Planning…………………
6.5. How they sustain it…………………………………………….
7. Critical Skill Gap Analysis
8. Compensation and Benefits
8.1. Introduction……………………………………………………
8.2. Importance of compensation and benefits……………………..
8.3. Compensation and benefit components………………………..
8.4. Difference between compensation and benefits………………..
8.5. Advantages of compensation and benefits…………………….

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Executive Summary

Through this report, we are involving to study the talent management process existing in
Lalan Rubbers (Pvt) Ltd where nearly 280 employees are currently working and they
manufacture and export gloves as their business. In order to collect the information, we
interviewed the HR executive as a method.

Here we have studied the 8 steps of talent management process held in the organization.
Talent management is a strategy that helps the organization to make the best possible use of
human capital and to meet the organizational goals and objectives.

The process begins with workforce planning which is integrated with the business plan and
establishes hiring plans, compensation budget and hiring targets. Recruiting process brings
talented people into the organization. Through on boarding process, the organization trains
and enables workers to become productive and integrated to the company. Performance
management is the continuous process of setting goals, assessing progress and providing
ongoing coaching and feedback to ensure that employees are meeting their objectives and
career goals.

And training and performance support is a step where learning and development programs
are provided to all levels of the organization. Succession planning enables managers and
individuals to identify the right candidates for a position which is crucial as the organization
evolves and changes. Compensation and benefits is an integral part of people management
and that is aligned with business goals. Then critical skills gap analysis is the final step of the
process that helps to identify the competencies which are leaving and to decide the ways to
fill the gap.

Then we finally identified that talent management is a successful strategy to retain the
talented workers and to develop the potential skills required in the future in order to achieve
the organizational goals and objectives through the people.

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Workforce planning

Introduction

Workforce planning is a systematic identification and analysis of what an organisation is

going to need in terms of the size, type and quality of workforce to achieve its objectives. It
determines what mix Workforce planning of experience, knowledge and skills are required
and it sequences steps to get the right number of right people in the right place at the right
time.

Workforce planning is a set of procedures that an organization can implement to maintain the
most efficient employee/management team possible, maximizing profits and ensuring long-
term success. Workforce planning falls into two broad categories: operational and strategic.
Operational workforce planning functions on a person-to-person level and streamlines
employee-related operations day by day. Examples include:

 Optimizing work schedules and employee hours

 Optimizing the distribution of talent among divisions and departments
 Identifying functional needs and hiring new workers to meet those needs
 Identifying obsolete functions and reassigning workers as necessary
 Ensuring the greatest possible overall worker job satisfaction
 Strategic workforce planning deals with broad-based issues that evolve over months
and years and can encompass all the aspects of an enterprise. Examples include:
 Forecasting knowledge drain as employees leave the organization
 Forecasting future talent needs
 Determining and evaluating likely future sourcing options
 Implementing an effective workforce analytics strategy

Practical situation in Lalan rubbers

In lalan rubbers they have separate departments in their manufacturing process such as
production department, packaging department, marketing department, finance department,
human resource department and lab etc. Therefore they are totally engaged with those
departments when they are planning to forecast their future workforce requirement.

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Lalan Company forecasts their future workforce demand by considering below factors.

 Demand for the product

 Production methods
 Retirements
 Resignations
 Leave of absence
 Termination

Also mainly they are getting information about the future human needs from their supervisors
to forecast the future workforce requirement. Also they are monitoring about skilled
employees who leave from the organisation and find reasons why are they leaving? So they
always try to retain the best experienced and more skilled employees within the organisation.

Estimate HR supply

In lalan rubbers company, Supply forecasting measures the number of people likely to be
available from within and outside the organisation, having allowed for absenteeism, internal
movements and promotions, wastage and change in hours and other conditions of work.

They are estimating the HR supply through internal supply and external supply.

Internal supply

Consist of current employees who can be promoted and transferred to meet forecast needs or
fill vacancies which are in the transferring table.

External supply

Consist of people who working for other organisation in industries and job seekers’ who are
unemployed.

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Recruitment

Introduction

Recruitment is a process to discover the sources of man power to meet the requirement of
staffing schedule and to employ effective measures for attracting that man power in adequate
numbers to facilitate effective selection of an efficient working force.

For any organization, recruitment is a crucial part of developing and maintaining an effective
and efficient team. A good recruitment strategy will cut down the wastage of time and
money, which would have incurred for extensive training and development of unqualified
resources.

Have you ever thought of, how a recruiter finds the right candidates? Recruiters use different
methods to source, screen, shortlist, and select the resources as per the requirements of the
organization. Recruitment types explain the means by which an organization reaches
potential job seekers.

Factors affecting to recruitment

 Size of the organisation

 The employment conditions
 The effect of past recruiting efforts
 Working conditions and salary
 Rate of growth of the organisation
 The future expansion plans
 Cultural, economic and legal factors
 Company image and recruitment policy

Practice of recruitment in lalan rubbers company

In lalan rubbers, basically they are recruiting their key employees through a job bank. A job
bank means a site where employers post job vacancies and requirements to enable applicants
to view and apply on the posted jobs. The jobs are stored in a database and candidates can
submit their applications or resumes online.

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Also all Human Resource managers are gathering to a special place and meeting the
candidates who are seeking jobs around the biyagama trade zone. Then the company presents
their requirement to the candidates to fulfil their job vacancies. That requirement are included
as knowledge, ability to work, previous experiences and what types of behaviours are needed
to perform the job.

Then they check the qualification of the candidates who are willing to join with the company
through an interview process. Then they are selecting the best talented suitable candidates for
their organisation. Also after hired that employees they arrange a specific training programme
to improve the skills and ability of the employees.

Also when there is an executive vacancy, they are trying to recruit a new person from outside
of the organisation. Why because they believe they can acquire new knowledge and talented
employee to the organisation.

Internal Sources of Recruitment in Lalan Rubbers Company

Internal sources of recruitment refer to hiring employees within the organization internally. In
other words, applicants seeking for the different positions are those who are currently
employed with the same organization.

At the time recruitment of employees, the initial consideration should be given to those
employees who are currently working within the organization. This is an important source of
recruitment, which provides the opportunities for the development and utilization of the
existing resources within the organization.

Internal sources of recruitment are the best and the easiest way of selecting resources as
performance of their work is already known to the organization. Let us now discuss more on
the various internal sources of recruitment.

Promotions

Promotion refers to upgrading the cadre of the employees by evaluating their performance in
the organization. It is the process of shifting an employee from a lower position to a higher
position with more responsibilities, remuneration, facilities, and status. Many organizations
fill the higher vacant positions with the process of promotions, internally.

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Transfers

Transfer refers to the process of interchanging from one job to another without any change in
the rank and responsibilities. It can also be the shifting of employees from one department to
another department or one location to another location, depending upon the requirement of
the position.

Recruiting Former Employees

Recruiting former employees is a process of internal sources of recruitment; wherein the

employees are called back depending upon the requirement of the position. This process is
cost-effective and saves plenty of time. The other major benefit of recruiting former
employees is that they are very well versed with the roles and responsibilities of the job and
the organization needs to spend less on their training and development.

Internal Advertisements (Job Posting)

Internal Advertisements is a process of posting/advertising jobs within the organization. This

job posting is an open invitation to all the employees inside the organization, where they can
apply for the vacant positions. It provides equal opportunities to all the employees working in
the organization. Hence, the recruitment will be done from within the organization and it
saves a lot of cost.

Employee Referrals

Employee referrals are an effective way of sourcing the right candidates at a low cost. It is the
process of hiring new resources through the references of employees, who are currently
working with the organization. In this process, the present employees can refer their friends
and relatives for filling up the vacant positions.

External Sources of Recruitment in lalan rubbers company

External sources of recruitment refer to hiring employees outside the organization externally.
In other words, the applicants seeking job opportunities in this case are those who are
external to the organization.

External employees bring innovativeness and fresh thoughts to the organization. Although
hiring through external sources is a bit expensive and tough, it has tremendous potential of
driving the organization forward in achieving its goals.

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Direct Recruitment

Direct recruitment refers to the external source of recruitment where the recruitment of
qualified candidates are done by placing a notice of vacancy on the notice board in the
organization. This method of sourcing is also called as factory gate recruitment, as the blue-
collar and technical workers are hired through this process.

Employment Exchanges

As per the law, for certain job vacancies, it is mandatory that the organization provides
details to the employment exchange. Employment exchange is a government entity, where
the details of the job seekers are stored and given to the employers for filling the vacant
positions. This external recruitment is helpful in hiring for unskilled, semi-skilled, and skilled
workers.

Employment Agencies

Employment agencies are a good external source of recruitment. Employment agencies are
run by various sectors like private, public, or government. It provides unskilled, semi-skilled
and skilled resources as per the requirements of the organization. These agencies hold a
database of qualified candidates and organizations can use their services at a cost.

Advertisements

Advertisements are the most popular and very much preferred source of external source of
recruitment. The job vacancy is announced through various print and electronic media with a
specific job description and specifications of the requirements. Using advertisements is the
best way to source candidates in a short span and it offers an efficient way of screening the
candidates’ specific requirements.

Professional Associations

Professional associations can help an organization in hiring professional, technical, and

managerial personnel; however they specialize in sourcing mid-level and top-level resources.
There are many professional associations that act as a bridge between the organizations and
the job-seekers.

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On Boarding

Introduction
On Boarding is the process or system that organizations use to introduce, train, incorporate
and coach new employees to the culture and methods of the company. The On Boarding
phase is aimed at a much larger goal, creating an employee who is immersed in the
company's culture and vision and makes the employee want to stay and contribute to the
organization.

As we observed in Lalan Rubbers (Pvt) Ltd, when they attract new staffs especially to the
higher positions, they make sure that they are getting new staffs ingrained in their culture as
quickly as possible through effective On Boarding of new employees. Helping new hires
adjust to social and performance aspects of their jobs quickly and smoothly is being a priority
for managers. So, the end result for those staffs is employees who are committed, more
productive in their first year and more likely to stay with the company for many years.

The On Boarding process contains engaging a new hire into the corporate culture, ensuring a
smooth transition to valued, loyal employee above orientation and training. Below are the
simple tasks followed by the organization to make the process happened.

They start On Boarding before the hiring process and it is easy to see the exposure to the
company culture begins in the recruitment process. Their recruiting strategies align with the
company culture. So, it helps the candidates coming into the organization to reduce culture-
shock that a negative opening impression which may linger and lead to retention problem at
some point.

And they do orientation program as a part of On Boarding process that makes the employees
to have a genuine interest in their successful transition. It includes education about company
background, job background, compliance issues and company policies, etc.

They do preliminary training that covers such things as organizational programs that lead to
career path advancement, company best practices, coaching on how to best use technology
and tools provided, practice-based learning, and goal-setting sessions to help a new employee
focus on making the most of the occasions provided by the organization.

And they coach the new employees to the company culture as an essential part of On
Boarding. It includes regular check-ins during the first few months of employment, as some

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disputes a new employee may face do not manifest themselves on day one. This fostering
environment takes some of the stress of transition out of the equation and ultimately leads to
better employee outcomes.

Then they encourage a new employee to form high quality relationships with leaders and
other team members since social integration with other key employees is essential for long-
term success. So the employees feel as they are part of the corporate community and it make
them less likely to decide to leave the organization.

So, through this On Boarding process, the organization enables the employees to become
more productive and integrated to the company more quickly.

Performance Management

Performance management is a communication process by which managers and employees

work together to plan, monitor and review an employee’s work objectives and overall
contribution to the organization. More than just a yearly performance review, performance
management is the continuous process of setting goals, assessing progress and providing on-
going coaching and feedback to ensure that employees are meeting their objectives and career
goals.

In Lalan Rubbers (Pvt) Ltd, as performance management and development system we could
see things such as they describe performance goals, the purpose of the job, duties and
responsibilities and performance standards for key components of the job to the workers.
Also they hold interim discussions and deliver feedback about employee performance and
keep up a record of performance through critical incident reports especially for managerial
level employees.

As an important tool for the evaluation, they go through performance development process
meeting. There, staff members come up with collection data including work records, reports
and input from others familiar with the staff person’s work. Then it is analyzed how the
employee is performing against all criteria, and also they think about areas for potential
development. They even discuss how the goals support the achievement of the organization's
business plan, the department's objectives and so on.

If the employees’ performance is satisfied, a development plan is established with the staff
person that helps him grow professionally in ways significant to him. If performance is less

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than satisfactory, management develop a written performance improvement plan
and schedule more regular feedback meetings and remind the employee of the consequences
connected with continued poor performance.

Performance management in this organization includes coaching employees to address

concerns and issues related to performance so that there is a positive contribution to the
organization.

Here, the supervisors focus their attention on results achieved, as well as individual behaviors
and team dynamics affecting the work environment and they recognize barriers that may stop
an employee from achieving performance objectives and what can be done to overcome
them. They also identify changes in the work plan that may be essential as a result of a shift
in organization priorities or when an employee is required to take on new responsibilities and
make decisions if any extra support is required from the managers or others to assist the
employee in achieving his or her objectives.

They also use self-assessment method for performance appraisal. Employees can evaluate
their performance in preparation for the appraisal meeting by using the performance plan and
assessment form as a guide. This process can help identify gaps between the employee’s self-
perceptions and the manager’s views and enable an in-depth discussion of performance
problems.

Hence, the organization enables the talent management occurred through above performance
management practices that make the employees to develop their potential skills and to retain
in the organization for a longer period.

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Training and Performance Support

Introduction

Differentiating Training from Performance Support The role of training is to provide very
well-planned instruction with specifically defined objectives, structure, and activities to
enable people to master specific skills and knowledge, in the classroom or online. On the
other hand, the function of performance support is to get work done, to accomplish tasks
directly (no learning objectives, just performance goals). Learning is incidental. Training
requires stopping work to participate, then returning to work to apply what was learned. With
performance support, workers use the solution in the flow of work.

We live and work in a knowledge-intensive world. New knowledge is growing exponentially,

but the half-life of knowledge is decreasing dramatically. We must know more, but what we
know has a shorter shelf life than ever. Also, work is more sophisticated. There’s more to do,
it’s more complex and varied, and, if not done right, the consequences can be
severe.Performance support is a tool or other resource, from print to technology-supported,
which provides just the right amount of task guidance, support, and productivity benefits to
the user—precisely at the moment of need.

Additional Performance Support Definitions

An integrated electronic environment that is available to and easily accessible by each

employee and is structured to provide immediate, individualized online access to the full
range of information, software, guidance, advice and assistance, data, images, tools, and
assessment and monitoring systems to permit job performance with minimal support and
intervention by others. —Gloria Gery, Electronic Performance Support Systems

A helper in life and work, performance support is a repository for information, processes, and
perspectives that inform and guide planning and action. —Allison Rossett and Lisa Schafer,
Job Aids and Performance Support

A software application that enables people, who may not possess all of the requisite skills and
knowledge, to use tools, complete tasks and processes, and diagnose and solve problems
effectively, while remaining immersed in the activity. —Steve Foreman, InfoMedia Designs

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Common to all performance support definitions is the focus on tools and resources, the
emphasis on application, and the timing—“at the moment of need.” In other words, you don’t
use performance support to learn about a task, but rather you use it directly in conjunction
with the performance of the task. Its ultimate goal is to deliver the right support, at the right
level of complexity or detail, to the right people, at precisely the right time they need it.

To understand performance support better, it is helpful to differentiate it from training. Table

1 illustrates the major differences:

  Training Performance Support
Purpose Instruct Perform
Workflow Postpone work Do work
Value of
Learning Learning is structured Learning happens incidentally
Goal Gain skill & knowledge Accomplish work tasks
The Five Moments of Need Performance support expert Conrad Gottfredson provides a
framework that can be very helpful. His five moments of need model targets when to
consider performance support

The Five Moments of Need

1. When learning something for the first time.

2. When seeking to learn more about something.

3. When trying to apply or remember something or adapt performance to a unique situation.

4. When attempting to solve a problem or deal with something that has gone wrong.

5. When something changes that requires a change in how work gets done.

Seven Characteristics of Good Performance Support

What makes performance support worth the effort? What is likely to lead to success? These
seven characteristics of good performance support will point you in the right direction:

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1. Good performance support makes work easier. This is a no-brainer. If using the tool or
resource takes more effort, if it is more complex than the process or tool it replaced, you will
never get to the tipping point of critical mass—where you reach the number of users you need
to make the innovation self-sustaining. On the other hand, if users find their jobs easier
because of the tool, adoption should soar.

2. Good performance support makes users—and organizations—more productive. Of course,

easy does not necessarily mean worthwhile. Users, and the organization, need to see tangible
business benefits in terms of efficiency, productivity, cost reduction, time saving, etc. Ease of
use and productivity, together, are essential.

3. Good performance support integrates into the workflow. The closer performance support
aligns with work, and the less time users are away from actual work tasks, the better. The
more you have to stop working and remain in a non-working mode in order to get support,
the less efficient the performance support solution is.

4. Good performance support is cost-effective. This is simple math. Performance support may
make jobs easier and may increase productivity, but the bottom line is whether the gains
exceed the investment. The real measure of success is bottom-line results.

5. Good performance support is easy to master. While the use of performance support is often
intuitively obvious, it may require some initial training or coaching, justified by the return
generated from using the tool down the road. But if the training is too expensive, frustrating,
complicated, or lengthy, users may not deem it worth their time.

6. Good performance support is easy to scale. Performance support’s value proposition

increases as the number of users increases. Making your solution available to all who need it
is essential. Anything getting in the way can hurt chances of adoption by the critical mass of
employees needed to generate the best cost-effective results.

7. Good performance support is easy to update. The knowledge explosion and constant
organizational change demands tools and resources that can be updated, modified, improved,
and re-deployed quickly and efficiently. Performance support is keenly susceptible to
abandonment if users sense that it is falling behind their needs.

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Succession Planning

Introduction
A strategy for passing each key leadership role within a company to someone else in such a
way that the company continues to operate after the incumbent leader is no longer in
control. Succession planning ensures that businesses continue to run smoothly after the
business’s most important people move on to new opportunities, retire or pass away.

Succession plan entails evaluating each leader’s skills, identifying potential replacements
both within and outside of the company, and in the case of internal replacements, training
those employees so they’re prepared to take over. Succession planning is not a one-time
event; succession plans should be reevaluated and potentially updated each year or as
changes in the company dictate. In addition, businesses might want to create both an
emergency succession plan in the event a key leader needs to be replaced unexpectedly and a
long-term succession plan for anticipated changes in leadership.

In small companies, the owner alone may be responsible for succession planning. In large
corporations, the board of directors, not just the CEO, will typically oversee succession
planning. Also, in large corporations, succession planning not only impacts owners and
employees, but also shareholders.

Succession management process is an underlying philosophy that argues that top talent in the
corporation must be managed for the greater good of the enterprise.

There are some benefits of succession planning,

 Having the right people in the right place at the right time.
 Developing a qualified pool of candidates who are ready to fill key positions.
 Helping employees realize their career plans and aspirations.
 Improving employees’ ability to respond to changes in the workplace.
 Creating more opportunities for the timely transfer of knowledge at the corporate
level.

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Talent Retention

At this point, it should be evident that your business will be putting in a substantial amount of
time, money, energy, and other resources into securing and developing the talent that is going
to help your company achieve its goals. Of course, you do not want to have put so much
investment into someone who will then turn around and leave, voiding the work you have put
in as well as wasting precious resources. Although you cannot always control the decisions
made by your staff, and there are many legitimate reasons a member of your talent may have
to leave, there are also things you can do in order to help improve your talent retention. 

Succession planning is generally considered an integral part of the talent management

process. Essentially, succession planning simply means making arrangements in advance to
recruit and develop talent when talent positions are vacated. Generally speaking, most
succession planning occurs within the existing business; that is why you should be
developing talent even among those individuals who are not yet in talent positions but who
have the potential to become talent. On occasion, a position cannot be filled internally and
outside applicants will be considered. In both instances, it is necessary to make the transition
as seamless as possible to mitigate any negative effects on business operations. 

The entire talent management process is essentially the same, whether you hire from within
or outside of the organization except that the amount of onboarding necessary and the fact
that when a position of talent is vacated, there is significantly less planning that has to be
done unless the position itself requires review.

Practical Scenario at LALAN

How LALAN perceives succession planning

They perceive that the succession planning is very much important for the future success of
the organization and for the sustainable growth. It is an ongoing process within the
organization and every department should contribute to make it success. Each department
knows their human resource requirement and the required skills and competencies of the
employees.

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Since there is somewhat complex manufacturing process they require employees with
technical knowledge and skills. To create a sustainable manufacturing process they need to
have the required employees throughout the year, so they need a clear succession plan.

The basic mechanism of succession planning

The organizations’ manufacturing process is highly based on the technical knowhow. Also
there is a slight turnover, then the organization should have the skillful competent employees
at every time in the production flow.

As well as the executive staff is also important because of the tacit knowledge they have. The
organization is always trying to encourage knowledge sharing sessions. Then the other
employees can access to their knowledge by sharing ideas, knowledge, opinions, etc.

Also there is a very structured performance evaluation mechanism. Through that the
organization would be able to identify the people with potential to develop and the lacking
areas of skills and competencies.

Also all the employees are encouraged to develop their career to achieve those higher
positions of the organization. Training programs, learning sessions, OBT, etc are organized to
enhance and sharpen the skills and competencies of the people of the organization.

How they sustain it

From the recruitment step the organization is trying to motivate their employees to achieve
organizational goals and objectives.

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Compensation & Benefits

Introduction

Compensation and benefits refers to the compensation/salary and other monetary and non-
monetary benefits passed on by a firm to its employees. Compensation and benefits is an
important aspect of HRM as it helps to keep the workforce motivated. It helps give benefits
to employees based on their performance and actions and brings the best out the employees at
workplace.

Importance of compensation and benefits

Companies hire people individual to achieve their organizational goals and people join
companies to earn money & build their career. One of the biggest factors why people join
companies in the compensation and benefits, salaries, perks, incentives etc which is given to
them. Apart from the company's reputation and job profile, the money offered as a salary is
pivotal in attracting people to work for the organization. The more the compensation and
benefits offered to employees, the more is their loyalty, motivation to work and do well.
However, companies which offer lesser salaries see a high attrition rate and less productivity
from employees. All these factors help in making compensation and benefits an important
factor in managing workforce.

Compensation and benefits components

There can be several ways where benefits can be given to employees. Some of the various
components of compensation and benefits are mentioned below:

1. Fixed pay: This is the basic salary paid to the employee irrespective of any other factor.
This is stated clearly in the employment contract. This is the compensation or salary or wage
which an employee or a worker will definitely get as long as he or she is an employee of the
company

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2. Variable Pay: This is the additional compensation paid to employee based on employee’s
performance, company performance etc. Since variable pay is based on the performance of an
individual, it motivates the employees to perform even better.

3. Equity Pay: Employees are awarded shares of the company, often at a discounted price.
Employees are expected to make money out of them by the appreciation of the stock price
and the growth of the company. This is mostly given to the senior management who have
served the company for a long time

4. Other benefits: Benefits such as medical facilities, insurance policies, company owned car
of flat etc all play an important role in motivating employees.  These benefits are given by the
company as a part of recognizing the services of an employee.

Difference between compensation and benefits

Both the factors are important in motivating employees for doing their work and paying them
for the services they are doing for the company. However, there is a slight difference
between compensation and benefits. Compensation is completely related to the money which
is being paid to an employee i.e. salary. Bonuses etc. On the other hand, benefits are the non-
monetary incentives given to employees like health benefits for which the employee doesn't
have to pay.

Advantages of compensation and benefits

 Job satisfaction. Your employees would be happy with their jobs and would love to
work for you if they get fair reward in exchange of their services.
 Motivation. We all have different kinds of needs. Some of us want money so they
work for the company which gives them higher pay. Some value chievement more
than money. They world associate themselves with firms which offer greater chances
of promotion, learning and development. A compensation plan that hits workers’
needs is more likely to motivate them to act in the desired way.
 Low Absenteeism. Why would anyone want to skip the day and watch not so
favourite TV program at home if they enjoy the office environment and are happy
with their salaries and get what they need and want?

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  Low Turnover. Would your employees want to work for any other boutique if you
offer them fair rewards? Rewards which they though they deserved?

Advantages to your Employees

 Peace of mind. Your offering of several types of insurances to your workers relievs
them form certain fears. Your workers as a result now work with relaxed mind.
 Increases self-confidence.

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