Indian Talent, Global Content
|
Indian Talent, Global Content |
New and Improved: May 2012
Just Launched - New eStore selling travel guides, editing courses, ebooks and special offers |
HR in Indian Retail
The Indian Retail Industry stood at a value of a whooping US $330 billion in 2007 with the likes of Reliance Retail and Wal-mart joining the conglomerates from inside and outside the country. It is estimated that the retail sector will reach around US $600 billion by the turn of this decade. Significantly retail industry contributes about 10% to the GDP of India, and it is the largest source of employment after agriculture in the country. Scope for employment opportunities: It is small wonder then that retail sector has open the floodgates of employment opportunities to the Indian youth. Statistics reveal that the organized retail sector has increasing employee base burgeoning from 5.4 lakh to an awesome 16 lakh over the last couple of years. About 11.5 lakh jobs in the organized retail sector and 2 million jobs in the unorganized retail sector will be thrown open by 2010 what with the likes of key players in including Pantaloon India, RPG Retail, Lifestyle, Wills lifestyle, Shoppers shop, Trent Ltd, Crosswords Bookstores Ltd., Ebony Retail Ltd. and Reliance Retail Ltd. And the retail sector has abundant opportunities for part time positions as well due to the long working hours. Compensation packages: In general, hefty salary packages with attractive perks and allowances are offered by the employers luring the talent of this country into the retail industry. Surprisingly the average salary of even a fresher could be up to Rs.20,000/- with an assured average salary hike of 16% per annum. In some organizations the growth in salary ranges from Rs.60,000/- to Rs.70,000/- annually. HR practices in some of the most successful retail verticals in India: Apparels: Pantaloon India: Here is a retail giant which hires at least 250 MBAs for operations and merchandising profiles. The candidates go through an induction period and a short training thereon. Individuals are allotted projects for the next five months under the supervision of project guides. They are placed in suitable positions thereafter, with progressive authority and responsibility. Indian software industry: The challenge for HR professionals in software industry is sheer shortage of high intellectual human capital both in numbers and skills. Recruitment of world class workforce and their retention is a serious challenge posed in HR industry. The yawning gap between the demand and supply of professionals has increased the cost of delivering the technology. The incentive compensation is based on performance keeping the long term organizational objectives in mind. Optimized compensation packages are offered as a motivator for retention of manpower. Food and grocery: It is estimated that the food and grocery market in India is an astounding $236 billion, and it is the sixth largest grocery market in the world today. No doubt that human resources are an important asset in this food and grocery retail industry. Many top companies have made HR a strategic partner in their operations. One famous example is Nestle, the global giant in consumer packaged goods. Nestle has a strong internally developed employee backing which gives a major push to the company's lead position in the retail industry. Attrition rates and retention of personnel: There seems to be a high level of attrition in the retail sector which is almost 40% according to a recent study. Front end jobs are facing an attrition rate as high as even 80%. Under the present circumstances, retention and motivation of personnel has become the major concern of HR. A congenial working atmosphere, support learning and training facilities, a highly competitive pay structure are some of the effective retention practices followed by the retail sector. While money is the main attraction for freshers and starters, career satisfaction is the main reason with experienced personals. Assigning the "right project to the right person" is the organizational motto these days with companies setting up Manpower Allocation Cells (MAC) to carry out this agenda. Looking at the current scenario, it could be said that there is an acute shortage of middle level management professionals in the Indian Retail Industry. The current trend is to hire from a smaller organization tempting the incumbent with a better pay package. It is imperative that suitable talent be hired in various areas such as technology, supply chain, logistics, product development and marketing in order to stay abreast of the hectic race for success among MNCs. The call is for HR practitioners to play a more proactive and prominent role in order to retain the high tech skilled employees who are constantly looking for greater gains and prospects in their work. This is the real HR challenge to retain the "knowledge workers" and "knowledgeable workers" by introducing new processes and procedures and still ride high in implementing organizational effectiveness.
Chillibreeze's disclaimer: The views and opinions expressed in this article are those of the author(s) and do not reflect the views of Chillibreeze as a company. Chillibreeze has a strict anti-plagiarism policy. Please contact us to report any copyright issues related to this article.
>> Read more articles written by Chillibreeze writers:1. Articles related to Content and Outsourcing
|
Premium Services
Products Must Reads...
Upgrade Your Writing |
Copyright 2004 - 2011 Chillibreeze Solutions Pvt. Ltd. |
