A STUDY ON TALENT MANAGEMENT AND ITS IMPACT ON … September 2018.pdf · SAMZODHANA – “Journal of Management Research” Vol 10 Issue 2, September 2018 4 Excellence in Leadership:

SAMZODHANA – “Journal of Management Research”

Vol 10 Issue 2, September 2018

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A STUDY ON TALENT MANAGEMENT AND ITS IMPACT ON ACHIEVING

ORGANISATIONAL EXCELLENCE IN BANKS T. Deepa Augustine

Assistant Professor, Annai Violet Arts & Science College, Chennai &

Research Scholar, Bharathiar University

Abstract

This study is conducted to examine the impact of Talent Management on achieving organisational excellence. Recruitment

and selection, training and development, talent retention and career panning are the different aspects of talent management strategies

and are the factors which influence organisational excellence This study has considered the impact of talent management strategies

on organisational performance from the perspective of excellence in leadership, excellence in operations and service delivery

excellence. To achieve the objective of the study a structured questionnaire was used as the tool of primary data collection from bank

employee.. The study reveals that the factors of talent management have a significant and positive influence on achieving

organisational excellence.

Keywords: Talent Management Strategies, Organisational Excellence, Leadership, Operations and Service Delivery

Introduction

Change is inevitable in today’s business environment. The transformations in information technology

and communication sectors and increased knowledge had accelerated the competition in business globally. The

success of any organisation depends on the effective and efficient utilization of the most valuable and

indispensable factor called human resource. Investing in the fundamental factor makes the organisation capable

of survival, innovation and competition. The investment of the organisation in this indispensable factor is

termed as talent management. The most important part of modern management system and one of the

development strategies is talent management. The idea of talent management was common in the early 1990’s

as a result of high competition among organisation, which led to draw in creative and qualified workers to

develop and maintain the efficient human resource of the organisation.

Being aligned with all the latest developments and technological advancement in this age leads to

organisational excellence. Though the organisation depends on all the available resources, depending on the

creative human factor is most important. Attracting the most talented individuals to adapt to changes and suit

current and future employment needs leading to high productivity, this study focus on talent management and

organisational excellence with reference to baking sector, this also aims to enhance the understanding the

relationship between talent management and organisational excellence. An organisation can achieve the

competitive edge over its competitors in the market when there is qualitative and quantitative excellence in the

long run.



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Theoretical Framework

A brief discussion of the various factors considered for the study are being discussed below:

Talent Management

The term “talent management” refers to the activities connected to recruitment & selection and selection,

development and retention of employees. Kaur (2013), Hilal (2012) and Iles (2008) identify talent management

as a system to evaluate and link the gap between demand and supply of talent by determining the strength and

weakness of the employee of the organisation as its highest grant, which helps to connect individual goals to

organisational goals and workforce strategies to business strategies.

According to Al-Masry and Al-Agha (2015) the concept of talent management cropped up during the

era of globalisation in the business world as a result of increase in growth rate of population, developments in

technology and explosion of knowledge, which in turn has led to the increase in scope of quality and quantity

of services provided to the communities, and expanded the consideration of inputs with reference to human

resources in terms of improving their talents and capacities

Talent management has been defined by Waheed, Zaim and Zaim (2012) as a system that identifies the

important and emotional function that contributes to with stand the competitive advantage by providing right

workforce with efficiency and effectiveness to perform.

Recruitment & Selection:

To enable an organisation to achieve excellence and competitiveness, the most important component is

identifying, managing and developing staffs is done by the strategy of recruiting talents Rowland (2011). This

strategy is established by captivating talented employees who are competent to attain the objectives of the

organisation through their consistent expertise and abilities towards their work.

Training & Development:

Areiqat, Abdelhadi & Tarawneh (2010) strongly advocate that in Human Resource Management the

professional growth of an employee is evaluated by the changes in performance, approach and behavior. The

organisation must work hard to establish the talents of employees through up-gradation of qualification, skills

and knowledge to achieve high potential in organisations



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Retention of Talents:

Whelan & Carcar (2011) are of the opinion that the financial crisis, reduction of employees, competitive

salary are the various factors that push an employee to seek other opportunities Cannon and McGee (2011)

suggests measures like benefits and compensations, provision of concession, safe workplace and rewards

offered would reduce the loss of talents in the organisation.

Career Planning:

The career planning requires the managers to forecast and meet future needs to ensure stability and

vision of the organisation and always hunting to arrange training for the workers possessing basic skills expected

in future jobs. This planning provides an opportunity for talented employees to occupy higher positions in the

future. This requires the event of the organisation's workers, preparing them to receive the task once required

and not leaving an opportunity to be shocked once there's no important job within the organisation (Kasmi,

2011).

Organisational Excellence

Management ideas have passed through many factors and conditions that have crystal rectifier several

changes, like shifting to spotlight on intellectual capital from a spotlight on physical capital, and a spotlight on

quality of services, to specialize in service excellence. Al-Salmy (2002) terms organisational excellence as a

state of managerial innovation that bring about exceptionally high level of performance in marketing,

production, finance and other process in organisation. The extent of organisational excellence is recognized

using following dimensions

Recruitment &

Selection

selection

Talent

Management

Training

&Development

Retention of

Talents

Career

planning

Organisational

Excellence

Excellence in

Leadership

Excellence in

Operations

Service delivery

Excellence



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Excellence in Leadership: According to Hesslbeni & Johnston (2002).Excellence in Leadership is the capacity

to adventure and develop the organisational opportunities and accept the challenge in work that helps to cope

with the different processes and crises of the organisation

Excellence in Operations: Excellence in Operations is defined as the competence to administer and guide the

inputs in a peculiar way to achieve outputs with excellent quality and quantity are measured by the level of

excellence achieved by the staff of organisation.

Service Delivery Excellence: It is defined as the ability to give excellent service and to ensure continuity of

their dealings with customers. It is also measured by the degree of excellence of staff in the field of providing

service to its customers.

Methodology:

Based on the theoretical framework the research characterizes the sample of the study, measurements,

statistical tools used to test the validity and reliability of data collected and hypothesis employed to understand

the relationship between talent management and organisational excellence.

A structured questionnaire was used to collect data which consisted of set of questions to probe the

demographic details of respondents. It also contains questions to calibrate the respondents to evaluate on talent

management strategies and its relationship with organisational excellence by using a five point Likert scale

which anchors from strongly agree (=1) and strongly disagree (= 5 was used.

Talent management strategies consist of following factors Recruitment & Selection, Training &

Development, Retention of Talent and Career Planning. Excellence in Leadership, Excellence in Operations

and Service delivery excellence are the dimensions of Organisational Excellence.

The study sample of 75 respondents consists of employees at managerial levels in banks. The following

table shows the demographics of the samples

Table: 1 Demographics of the Sample

Variable Frequency Percent

Gender

Male 48 64%

Female 27 36%

Age Below 40 years 42 56%

Above 40 years 33 44%



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Qualification Under Graduate 34 45.3%

Post Graduate 41 54.7%

Designation Junior Manager 31 41.3%

Senior Manager 44 58.7%

The above table shows the frequencies of demographic samples of the study, 36% of the respondents

are female and 64% of them are male. The largest group of respondents of 56% belongs to the age group of

below 40 years and 44% of the respondents belong to the age group of above 40 years. With regard to

qualification 54.7% of the respo ndents are Post graduates and 45.3% of the respondents are Under

Graduates. 41.3% of the respondents hold the designation of a Junior Manager and 58.7% of the respondents

are designated as Senior Managers.

Table: 2 Mean and SD of factors of Talent management and Organisational Excellence

Factors Mean SD

Recruitment and Selection 4.116 .828

Training and Development 4.133 .703

Retention of Talents 4.073 .765

Career Planning 4.116 .722

Excellence in Leadership 4.044 .835

Excellence in Operations 4.136 .848

Service Delivery Excellence 4.027 .895

The above table reflects the mean and standard deviation of various factors in talent management

and organisational excellence. The table shows the highest mean score of 4.136 in excellence in operations, the

factor service delivery excellence has the lowest mean score of 4.027.

Table: 3 Correlation Coefficient between talent management factors influencing organisational

excellence

Factors Recruitment

and Selection

Training &

Development

Retention of

Talents

Succession

Strategy

Recruitment and Selection 1 .653** .536** .268**

Training & Development 1 .742** .294**

Retention of Talents 1 .455**

Career planning 1 ** Correlation is significant at the 0.01 level (2-tailed).



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The correlation coefficient between recruitment and selection and training and development is .653,

between recruitment and selection and retention of talents .536, between recruitment and selection and career

planning is .268 which indicates that there is positive relationship between the factors and is significant at 1%

level of significance. The correlation coefficient between training and development and retention of talents is

.742, between training and development and career planning is .294 which indicates there is positive

relationship between factors are significant at 1% level of significance. The correlation coefficient between

retention of talents and career planning is .455 which indicates the degree of positive relationship between

factors of talent management is significant at 1% level of significance.

Table: 4 Correlation Coefficient between the factors of organisational excellence

Factors Excellence in

Leadership

Excellence in

Operations

Service Delivery

Excellence

Excellence in Leadership 1 .515** .446**

Excellence in Operations 1 .509**

Service Delivery Excellence 1 ** Correlation is significant at the 0.01 level (2-tailed).

The correlation coefficient between excellence in leadership and excellence in operations .515,

correlation coefficient between excellence in leadership and service delivery excellence is .446, correlation

coefficient between excellence in operations and service delivery excellence is .509 which indicates that the

factors of organisational excellence have a degree of positive relationship at 1% level of significance.

Table: 5 Correlation Coefficient between factors of Talent Management and Overall Organisational

Excellence

Talent Management Overall Organisational Excellence

Recruitment and Selection .264**

Training & Development .476**

Retention of Talents .349**

Career Planning .406** ** Correlation is significant at the 0.01 level (2-tailed).

The values are correlated proving that the variables chosen are a fairly good set of independent

variables. The correlation coefficient between recruitment and selection and overall organisational excellence

.264, correlation coefficient between training and development and overall organisational excellence .476,

correlation coefficient between retention of talents and overall organisational excellence .349, correlation

coefficient between career planning and overall organisational excellence .406 which indicates that degree of

relationship is positive between the variables, and is significant at 1% level of significance.



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HYPOTHESIS I

Null Hypothesis: There is no significant difference between mean ranks of factors of talent

management influencing organisational excellence.

Table: 6 Friedman test for significant difference among mean ranks of factors of talent management

influencing organisational excellence

Talent Management factors Mean

Rank

Chi-Square

Value

P value

Recruitment and Selection 2.12

182.634 .001**

Training and Development 2.21

Retention of Talents 2.58

Career Planning 3.09

Note: ** Denotes significant at 1% level

The table shows that career planning dimension in talent management is ranked high (3.09) and

recruitment and selection is ranked the least (2.12). The Friedman test repeated measures analysis of variance

by ranks. Respondents were asked to rank the factors of talent management with rank 1 as most important and

rank 4 as least important. The chi square value at 182.634 has a P value of .001 which is less than .01. The null

hypothesis is rejected at 1% level of significance, since P value is less than 0.01.

HYPOTHESIS II Null Hypothesis: There is no significant difference between mean ranks of factors influencing

organisational excellence

Table: 7 Friedman test for significant difference among mean ranks among the factors of

organisational excellence

Operational Excellence Mean

Rank

Chi-Square

Value P value

Excellence in Leadership 3.29

88.602 .001** Excellence in Operations 2.59

Service Delivery Excellence 3.27

Note: ** Denotes significant at 1% level

Respondents were asked to rank the organisational excellence factors with rank 1 as most important

and rank 3 as least important. The chi square value at 88.602 has a P value of .001 which is less than .01. There



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is significant difference in ranks for the organisational excellence factors is excellence in leadership (3.29),

excellence in operations (2.59), service delivery excellence(3.27), therefore null hypothesis is rejected at 1%

level of significance.

Discussions

The study reflects the fact that the talent management is based on the recognition of talents and motivate

the employees to work. Recognition of work stimulates the employees to have innovations at work. The

organisations have to identify the training needs and develop their professional capabilities and adopt strategies

to retain talented employees.

The study shows that 64% of the respondents are male, 42% of the population belong to below 40

years of age. The result of the study shows that the respondents possess master’s degree is the largest

category with 41% according to the variable of the academic qualification and 44% of the respondents hold

senior manager position. The impact of various factors of talent management is reflected in overall

organisational excellence and their exists high degree of positive relationship between the variables.

Conclusion

To conclude it can be stated that that organisations should pay attention to innovators at early stage,

recognize and support their talents as they represent the intellectual talents that helps to increase the competence

through improved organisational performance.

References:

1. Al-Masry, Nidal and Agha, Mohammed (2015). Management of human talent in the Palestinian

universities. Amran Magazine for Social and Human Sciences, 4(13), 31-64

2. Areiqat, A., Abdelhadi, T., and Al-Tarawneh, H. (2010). TalentManagement as a strategic practice of

human resource management to Improve human performance. Journal of Contemporary Research in

Business, 2(2), 329-341.

3. Al-Salmi, Ali (2002). Human Resource Management. Egypt, Cairo: Dar Ghraib For Printing, Publishing

& Distribution.

4. Cannon, J. & McGree, R. (2011).Talent Management and Succession Planning. Chartered Institute of

Personnel and Development, London, UK.

5. Hesslbein, F. and Johnston, R. (2002). Mission and Leadership: A Leader to Leader Guide. United States

of America.

6. Hilal, M. (2012). Talent management. Improve performance and development publication and

distribution. Cairo.



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7. Kasmi, Z. (2011). Talent A Critical Driver for Corporate Performance and Competitive Advantage.

International Journal of Multidisciplinary Management Studies,1(2), 151–161.

8. Rowland, M. (2011). How to cement a diversity policy: The key role of talent development. Human

Resource Management International Digest, 19(5), 36-38.

9. Waheed, S., Zaim, A and Zaim, H. (2012). Talent Management in Four Stages. The USV Annals of

Economics and Public Administration, 1(15),130-137

10. Whelan, E. and M. Carcary, (2011). Integrating talent and knowledge management: Where are the

benefits?.Journal of Knowledge Management, 15(4), 675-687.



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AN EMPIRICAL STUDY ON THE CHALLENGES FACED BY

HR PROFESSIONALS IN IMPLEMENTING HR ANALYTICS Dr. A. Shameem

Professor

AMET Business School

Academy for Maritime Education & Training

ECR, Kanathur, Chennai 603112

email : [email protected]

Abstract

With HR Professional expected to deliver more and more inputs at a faster pace to help top management team make

quicker and better decisions there is an urgent need for HR Analytics to be adopted by them. In the present business scenario HR

professional are facing severe competition which compels them to reduce their resources, compete for talent acquisition, and look

at new ways of become more technology oriented by paying attention to advanced analytic platforms; cloud based services; and

visualisation tools. The objective of this research paper is to identify the challenges posed of HR Analytics to HR Professionals

and to analyse the issues arising of each such challenges. the findings indicate that the blame does not lie solely on the HR

Professionals as the tools, data, resources, and support necessary for implementing HR analytics are not made available This

research has thus attempts to build to the body of literature with respect to individual-level HR analytics adoption challenges.

Keywords : HR Analytics, data, process, people and other challenges.

Introduction

With HR Professional expected to deliver more and more inputs at a faster pace to help top management

team make quicker and better decisions there is an urgent need for HR Analytics to be adopted by them. In the

present business scenario HR professional are facing severe competition which compels them to reduce their

resources, compete for talent acquisition, and look at new ways of become more technology oriented by paying

attention to advanced analytic platforms; cloud based services; and visualisation tools. This in turn would place

HR professionals in a better position to evaluate and improve HR practices including talent acquisition,

development, retention, and overall organizational performance.

It is thus obvious by unleashing the power of big data an organisation could gain competitive advantage.

Such adoption would also help in recognising HR Professionals as dominant players in the organization’s

strategic planning process which would lead to them being accepted as an invaluable strategic asset with access

to actionable business insights that improve talent acquisition, retention, development and organisational

performance.

Review of Literature

Boyd and Crawford (2011) suggested, “Big Data is no longer just the domain of actuaries and scientists.”

McGuire et al. (2012) stated, “Big Data is the new, new thing that will see some companies leapfrog others to

become best in class” There is much written on BD concerning retailers and how companies can track consumer

mailto:[email protected]



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purchases, which, if marketed correctly, leads to more profitability (Baker, 2008; Bersin, 2013b). This provides

an opportunity for HR professionals to use BD in the area of better decision-making (Bassi, 2012; Bersin,

2013b; Fitz-enz, 2010). BD is moving into the world of HR and becoming the new HR metrics.

Combining the HR data with the business data can no longer be viewed as an option; it must now be a

requisite if HR wants to be part of the organization’s growth and competitive advantage (Simon, 2013; Success

Factors, 2013). HR professionals must change their paradigm of processes and increase their skill sets in order

to engage and participate in the use of this new trend (Brown, Court, & Willmott, 2013). “People analytics will

be here to stay” (Waber, 2013) HR professionals must find a way to apply HRA for better decision-making and

stop working merely on intuition (Bersin, 2013c) or their “anachronistic” way of operating as they have done

for the past 40 years (Simon, 2013)

A study conducted by the Hackett Group, which consisted of the executives at approximately 150 large

companies, revealed that over 70% were either dissatisfied or very dissatisfied with the performance of their

HR departments (People fluent, 2013a). Hence, the “findings indicate that HR most likely still spends too much

time handling the labor-intensive transactional performance, compensation and benefits management tasks

without the support to evolve strategically” (People fluent, 2013)..

Bersin (2013c) described data analytics as a real field of study that necessitates the competence to

analyze, visualize, understand statistics, and solve problems. HR executives are usually comfortable

discussing budgets and forecasting but tend to freeze up when discussing correlations, predictive analytics, or

any type of analytical testing (Marquez, 2007).

Giuffrida (2013) suggested that some of the barriers are related to the culture of the organization or

the lack of technological capabilities, both from the organizational level as much as from the individual level.

All too often data is accumulated, but there is insufficient knowledge of what to do with the data (Bertolucci,

2013; Giuffrida, 2013.

Objectives of the Study

The objective of this research paper is to identify the challenges posed of HR Analytics to HR

Professionals and to analyse the issues arising of each such challenges

Methodology

The study is empirical in nature. The study has made use of both primary and secondary data. Primary

data has been collected using a non-standardised measuring tool. The tool has been checked for validity and

reliability. The Cronbach’s Alfa was calculated to ensure the reliability of the tool and was found to be as

follows:



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Reliability Statistics

Challenges of HR Analytics Cronbach's Alpha

Data related challenges .795

Process challenges .722

People related challenges .777

Managerial challenges .784

Ethical and privacy related challenges .736

The respondents include HR Professionals working in different IT companies in Chennai. The sampling

technique was snowballing and the sample size was limited to 140 respondents working in responsible positions.

Data Analysis and Results

Variables Percentile 25 Median Percentile 75

Data related challenges 27 29 32

Process related challenges 15 17 18

People related challenges 44 47 50

Management related challenges 4 5 6

Ethical and privacy related challenges 16 20 21

The above table shows the percentile scores of the factors considered for analysis. If the score is below

first quartile (Q1) then it is taken as Low level. If the score is between first quartile (Q1) and third quartile (Q3)

then it is taken as moderate level and if the score is above third quartile (Q3) then it is considered as high level.

Based on Q1, Q2, Q3 all the factors are converted into Low, Moderate and High and are presented in the

following tables.

Level of Data related Challenges

Level Frequency Percent

Low 30 21.4

Moderate 75 53.6

High 35 25.0

Total 140 100.0

53.6% of respondents consider the level of data related challenges to be moderate, 25% of respondents

consider the level of data related challenges is high and 21.4% of respondents consider the level of data

related challenges is low.

Level of Process related Challenges




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Low 31 22.4

Moderate 72 51.0

High 37 26.7

Total 140 100.0

51% of respondents consider the level of process related challenges to be moderate, 26.7% of

respondents consider the level of process related challenges is high and 22.4% of respondents consider the

level of process related challenges is low.

Level of People related Challenges


Low 37 26.4

Moderate 67 47.6

High 36 26.0

Total 140 100.0

47.6% of respondents consider the level people related challenges to be moderate, 26.4% of respondents

consider the level of people related challenges is low and 26% of respondents consider the level of people

related challenges is high.

Level of Management related Challenges


Low 39 27.9

Moderate 59 42.4

High 42 29.8

Total 140 100.0

42.4% of respondents consider the level of management related challenges to be moderate, 29.8% of

respondents consider the level of management related challenges is low and 27.9% of respondents consider the

level of management related challenges is low.

Level of Ethical and Privacy related Challenges


Low 37 26.4

Moderate 65 46.2

High 38 27.4

Total 140 100.0

46.2% of respondents consider the level of ethical and privacy related challenges to be moderate, 27.4%

of respondents consider the level of ethical and privacy related challenges is high and 26.4% of respondents

consider the level of ethical and privacy related challenges is low.



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Issues with respect to Data related Challenges

Issues with respect to Data related issues Mean SD

Too much data 3.867 1.069

Too many indicators 3.710 1.084

Data with silos 2.743 1.181

Based on mean score, it can be seen that too much data has got the highest mean score of 3.867 and thus

can be taken as the most important issue to be dealt with when it comes to data related challenges. Data with

silos has got the least mean score of 2.743 showing that HR professional feel more comfortable in handling this

issue related to data challenges.

When it comes to data related challenges, HR Professionals are concerned with the amount of data

and HR metrics that they have to analyse. In this context it is relevant to quote Cravino & Cravino (2010) who

believer that wen organisations seek measured all data and control all metrics it may become too time

consuming and expensive and as a result nothing gets measured properly. Another issue of data related

challenges is data silos where one finds it difficult to integrate data which comes from various sources like

internal or external so as to get a complete picture of the situation to help organisation decide on a course of

action.

Issues with respect to Process related challenges

Issues with respect to Process related challenges Mean SD

Replacement of human thinking 3.860 .985

Focus on measuring and tools rather than results 2.998 1.333

Past may not repeat itself 3.345 1.060

HR professionals do not master the data-driven storytelling 3.119 1.066

Ignoring aspects which cannot be converted into quantitative

measurement 2.907 1.047

Based on mean score, it can be seen that fear of HR professionals that human thinking being replaced

with machine thinking has got the highest mean score of 3.860 and thus can be taken as the most important

issue to be dealt with when it comes to process related challenges. Ignoring those aspects which cannot be

converted into quantitative measurement has got the least mean score of 2.907 showing that HR professional

are not much worried about this issue related to process challenges.

Apart from collection of data HR analytics also requires Professionals to know how to use the same

wisely. In case the organisation in question focusses on too many unwanted metrics it may lead to the generation

of many redundant reports which do not serve any useful purpose. It is also imperative for HR Professionals

to have a balanced approach in looking outside and knowing inside so as to agree upon meaning metrics

Issues with respect to People related Challenges



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Issues with respect to People related challenges Mean SD

Analytics functions becomes an excuse to treat employees as

pure resources 3.995 .984

Rigid mindset of people 3.855 1.084

and prejudice of people 2.745 1.043

Based on mean score, it can be seen that fear of HR professionals that Analytics functions may become

an excuse to treat employees as pure resources has got the highest mean score of 3.995 and thus can be taken

as the most important issue to be dealt with when it comes to people related challenges. Bias and prejudice of

people has got the least mean score of 2.745 showing that HR professional are not giving much importance to

this issue related to people challenges.

The issues with people related challenges include considering the people as pure resources thereby not giving

the required attention to the human side of people. Other issues could be the mental block or the rigid mindset

of people to change and the bias and prejudice in the minds of people.

Issues with respect to Management related challenges

Issues with respect to Management related challenges Mean SD

Trust in the highest-paid person’s opinion and intuition 3.848 .977

Organisational culture and/or management do not support

the analytical culture or its development 2.974 1.333

Based on mean score, it can be seen that the trust organisation has on the decision making ability and

intuition of the highest paid person has got the highest mean score of 3.848 and thus can be taken as the most

important issue to be dealt with when it comes to management related challenges. Organisation culture or

management not supporting the brining in of HR analytics has got a mean score of 2.974.

The issues with respect to management related challenges are termed by McAfee & Brynjolfsson

(2012) as “HIPPO” wherein organisations rely heavily on the decisions and intuition of the person who is

paid the highest salary. Hence it is important for organisations to perceive what they know instead of what

they think and this could also have its impact on the culture of the organisation.

Issues with respect to Ethical and Privacy Related Challenges

Issues with respect to Management related challenges Mean SD

Not been able to protect the sensitive employee information 3.300 1.125

Organisations might be exposed to discrimination lawsuits when

collecting and utilizing data of employees 3.143 1.063

Ethical issues in collecting wide range of data pertaining to employees 3.010 1.075



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Based on mean score, it can be seen that not being able to protect sensitive employee related data has

got the highest mean score of 3.300 and thus can be taken as the most important issue to be dealt with when it

comes to ethical and privacy related challenges. Ethical behaviour on the part of organisation in collecting such

wise range of data pertaining to the employees has got the lowest mean score of 3.010 showing that HR

professional are not much worried about this ethical issue.

The issues with respect to ethical and privacy related challenges include organisations collecting wide

range of data from employees and ensuring confidentiality of sensitive employee related information.

Likewise collecting large volume of data from external sources may bring problems to the organisation in

the form of lawsuits, etc.

Findings and Conclusion

The above results make it obvious that the main reason for HR Professionals to consider HR analytics

as challenging is on account of having to deal with too much data for which they do not have a quantitative

aptitude and also non-availability of HR analytic tools and on account of the data due to organisational culture

and/or management not supporting , fear of HR Professionals that it may replace them on account of no longer

human thinking required as it could be done by machines, it becoming an excuse to treat the human resources

as any other resources without a humanist attitude, and they being skeptical about maintaining confidentiality

of large volume of personal data collected from employees at large.

Thus it can be concluded that the reason for HR Professionals for viewing HR analytics as a challenge

to a certain extent beyond their control. In short the findings indicate that the blame does not lie solely on the

HR Professionals as the tools, data, resources, and support necessary for implementing HR analytics are not

made available This research has thus attempts to build to the body of literature with respect to individual-

level HR analytics adoption challenges.

References

1. Baker, S. (2008). The numerati. New York, NY: Houghton Mifflin Harcourt.

2. Bassi, L. (2012). HR analytics handbook. Amsterdam, Netherlands: Reed Business.

3. Bersin, J. (2013a, May). 7 reasons HR technology is so hot today. Forbes Magazine.

4. Boyd, D., & Crawford, K. (2011, September). Six provocations for big data. A Decade in Internet Time:

Symposium on the Dynamics of the Internet and Society. Symposium conducted at the meeting of the

Oxford Internet Institute, Oxford, United Kingdom.

5. Brown, B., Court, D., & Willmott, P. (2013, November). Mobilizing your c-suite for big data analytics.

McKinsey Quarterly.



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6. Fitz-enz, J. (2010). The new HR analytics: Predicting the economic value of your company’s human

capital investments. Broadway, NY: AMACOM.

7. Giuffrida, M. (2013, July). HR can’t ignore big data. Talent Management Magazine, 16–19, 46.

8. McGuire, T., Manyika, J., & Chui, M. (2012, July–August). Why big data is the new competitive

advantage. Ivey Business Journal Online.

9. McGuire, T., Manyika, J., & Chui, M. (2012, July–August). Why big data is the new competitive

advantage. Ivey Business Journal Online.

10. Peoplefluent. (2013). 7 keys to increasing user adoption of HR software [White paper].

11. Simon, P. (2013). Too BIG to IGNORE. Hoboken, NJ: John Wiley & Sons.

12. Waber, B. (2013). People analytics: How social sensing technology will transform business and what it

tells us about the future of work. Upper Saddle River, NJ: FT Press.



18

INFLUENCE OF EMPLOYEE DEMOGRAPHICS ON EMPLOYEE ENGAGEMENT IN

AUTOMOBILE UNITS IN CHENNAI

Mrs.C.Evangeline - Research Scholar, Bharathiar University, Coimbatore Abstract

Employee engagement helps in ensuring that employees become committed to organisation’s goals and values. It also

motivates them to give their best so as to ensure success of the organisation. This invariable would also result in their personal well-

being. Many differences can be seen between employee’s attitude, behaviour and outcomes with respect to his engagement at work.

In an organisation when attitude, behaviour and outcome the three important aspects of engagement trigger and reinforce one another

it can be taken that the employees are engaged. When am organisation has engaged employees it will becomes exemplary with strong

and authentic values together with trust and fairness based on mutual respect. This also leads the way to having a two way

commitment between the employees and organisation, resulting in the installation of an effective recognition and reward system, this

in turn also develops such healthy and cordial relationships with co-workers which add to employee engagement. This research is

an empirical study conducted among employees of manufacturing units in Chennai. The results have shown that employee

engagement is the result of an amicable work environment that exhibits the characteristics owned by a successful organisation.

Keywords: Employee engagement, influence of demographics, work, organisation culture, working conditions.

Introduction

Employee engagement helps in ensuring that employees become committed to organisation’s goals and values.

It also motivates them to give their best so as to ensure success of the organisation. This invariable would also result in

their personal well-being. Many differences can be seen between employee’s attitude, behaviour and outcomes with

respect to his engagement at work. In an organisation when attitude, behaviour and outcome the three important aspects

of engagement trigger and reinforce one another it can be taken that the employees are engaged. When am organisation

has engaged employees it will becomes exemplary with strong and authentic values together with trust and fairness based

on mutual respect. This also leads the way to having a two way commitment between the employees and organisation,

resulting in the installation of an effective recognition and reward system, this in turn also develops such healthy and

cordial relationships with co-workers which add to employee engagement. It is thus no wonder that an organisation which

has high level of employee engagement would perform better than one with less or no employee engagement.

Employee engagement as a concept is considered to be greater than the sum of its parts. Three aspects

which are distinct about it are the fact that it can be measured, it is possible for one to correlated employee

engagement with employee performance and that it can be seen to vary from being poor to good. Since the

actions of employers have a great impact on the employees level of engagement, it is considered as an important

tool that could be used by organisations for their business success.

Focus on employee engagement would yield various benefits which would lead to mutual benefit by

increasing job satisfaction, organisational commitment, job involvement and by providing a sense of

empowerment and accomplish. The survey conducted by Scarlett has proved that employee engagement is a

measure which shows the degree to which an employee has a positive or negative emotional attachment to his



19

or her job, colleagues and to the organization at large which in turn could influence his or her willingness to

learn and perform at work.

Literature Review

Review of literature on the concept of employee engagement shows there is no one accepted definition

of the term. According to Kahn (1990), engagement refers to both the psychological and physical presence of

an employee in an organisational role. Many define employee engagement as an emotional and intellectual

commitment to the organisation (Baumruk 2004, Richman 2006 and Shaw 2005). Some look at it as the amount

of discretionary effort shown by the employed in performing their job (Frank et al 2004). Thus it is viewed as

a multi-faceted aspect which depicts also the ‘passion for work.’ It is considered to be more psychological in

nature.

The many studies that have been conducted with respect to employee engagement have used different

construct. In this context it should be noted that unless a universally accepted definition is available it may not

be possible for companies to measure and mange it.

However engagement has been closely related to job involvement (Brown 1996) and flow

(Csikszentmihalyi, 1990). Kanungo (1982) believes that job involvement is a Cognitive or belief state of

psychological identification. Job involvement depends on need saliency and the potential of a job to satisfy an

individual’s needs.


To know the profile of employees with respect to their social and economic status

To evaluate the influence of employee engagement in the chosen automobile companies

To know the perception of employees towards their work and organization culture and other working

conditions.

Methodology

This study is an empirical research with the sample of 120 employees working in manufacturing units.

Purposive simple random sampling technique was followed for the study. The respondents were administered

with questionnaire and the data was obtained. Likert’s 5 point scale was used to get the opinion of the

respondents. The data obtained were subjected to simple percentage analysis and statistical analysis like chi

square analysis.



20

Sample Composition

Table 1 : Demographics of the Sample

Gender Percent Designation Percent Total Work Exp. Percent

Male 76.7% Junior Mgt. 59.2% Less than 10 Years 50.0%

Female 23.3% Middle Mgt. 40.8% 10-15 Years 23.3%

Age Percent Qualification Percent 15-20 Years 26.7%

Less than 25 4.2% Schooling 39.2% Exp. in Present Orgn. Percent

25- 30 32.5% Graduate 30.8% Less than 2 24.2%

30-35 34.2% Post Graduate 11.7% 2-5 25.0%

35-40 21.7% Technical 18.3% 5-10 23.3%

More than 40 7.5% More than 10 27.5%

ANALYSIS AND FINDINGS

Chi square tests for showing the association between gender, age, education, designation, department,

total experience, experience in present organisation versus each of the statement is tabulated below.

Table 2 : Chi square tests for Association between Demographics versus

Statements of Employee Engagement

Sl.

No Statements

Results of Chi Square Testing – Demographics versus

statements

Gender Age Education Desig-

nation

Depart-

ment

Total

Exp

Exp in

present

orgn.

1. Employees feels nice coming to work every morning Sig Sig Sig Sig Sig Sig Sig

2. Managers inspire employees at work

Not

Sig Sig Not Sig Sig Sig Sig Sig

3. Employees feel proud to tell people where they work Sig Sig Sig Sig Sig Sig Sig

4. Employees know what is expected of them at work Sig Sig Sig

Not

Sig Sig Sig Sig

5. Employees have the materials &equipments needed to do

their work right Sig Sig Sig Sig Sig

Not

Sig

Not

Sig

6. At work employees have the opportunity to do what they

do best everyday Sig Sig Sig Sig

Not

Sig Sig Sig

7. In the last seven days, employees have received

recognition or praise for doing good work

Not

Sig Sig Sig Sig Sig Sig Sig

8. Supervisor or someone at work cares about employees as

a person Sig Sig Not Sig Sig

Not

Sig Sig Sig



21

Findings of the study

Irrespective of gender, age, education, designation, department, experience in present organisation or

total experience, there is no difference in the perception of respondents liking to come to work every morning,

perception of respondents regarding feeling proud to tell people where they work, perception of respondents

having the opportunity to do what they do best every day, perception of respondents in believing that job

promotions are fair and objective, perception of respondents that at work their opinions seems to count,

9. There is someone at work, who encourages employees'

development Sig Sig Sig

Not

Sig Sig

Not

Sig

Not

Sig

10. At work opinions of employees seem to count Sig Sig Sig Sig Sig Sig Sig

11. The mission/purpose of the company makes employees

feel their job is important Sig Sig Not Sig Sig Sig

Not

Sig Sig

12. Employee associates or fellow employees are committed

to doing quality work Sig Sig Sig

Not

Sig

Not

Sig

Not

Sig

Not

Sig

13. Employees have a best friend at work Sig Sig Not Sig Sig

Not

Sig Sig Sig

14. In the last six months, someone at work has talked to

employees about their progress Sig

Not

Sig Sig Sig Sig Sig Sig

15. In the last year, employees have had opportunity at work

to learn and grow Sig Sig Sig Sig Sig Sig

Not

Sig

16. The pay & benefits are comparable to similar companies Sig Sig Sig

Not

Sig Sig Sig Sig

17. Job promotions are fair & objectives Sig Sig Sig Sig Sig Sig Sig

18. The policies are clearly communicated in the organization

Not


19. Employees see themselves continuing to work for

organisation two years from now Sig Sig Sig Sig Sig Sig Sig

20. Employees are willing to give extra effort to help company

succeed Sig Sig Sig Sig

Not

Sig Sig Sig

21. Employees plan to continue their career with company for

at least two more years Sig

Not

Sig Sig Sig Sig

Not

Sig Sig

22. Employees are able to grow in the organisation Sig Sig Sig Sig Sig Sig

Not

Sig

23. Employees would recommend company’s

products/services to a friend Sig Sig Sig

Not

Sig Sig Sig Sig

24. Employees would recommend employment at company to

a friend

Not


25. Days employees want to come to work out numbers the

days they do not want to come to work

Not

Sig

Not

Sig Sig Sig Sig Sig Sig

26. Employees are able to maintain a reasonable balance

between work & their personal life Sig Sig Sig Sig

Not

Sig Sig Sig



22

perception of respondents that they see themselves continuing to work for organisations two years from now,

days respondents want to come to work out number the days they do not want to come to work.

With respect to all other statements it can be seen that depending upon either gender or education or

designation or total experience or experience in present organisation, there is significant difference in the

perception of the respondents. This shows the influence of these demographics on the perception of the

respondents.

Conclusion

This research report provides insight into global employee engagement trends over the last few years.

Employees are a critical component to every organization, and their engagement serves as a barometer of

organizational health. By examining employee engagement, employers can create an engagement strategy to

address employee motivation, behaviour, productivity and subsequent business results. With suggested actions

leaders and managers can take to improve engagement levels and become better positioned for future success.

Reference

1. Baumruk, R. (2004). ‘The missing link: the role of employee engagement in business success’,

Workspan, Vol 47, pp. 48-52.

2. Brown, S. P. (1996). A meta-analysis and review of organizational research on job involvement.

Psychological Bulletin, 120, 235–255.

3. Csikszentmihalyi, M. (1975). Beyond Boredom and Anxiety: experiencing flow in work

and play. San Francisco: Jossey‐ Bass.

4. Csikszentmihalyi, M. (1990). Flow: The psychology of optimal experience. New York:

HarperCollins.

5. Frank, F.D., Finnegan, R.P. and Taylor, C.R. (2004) ‘The race for talent: retaining and engaging workers

in the 21st century’, Human Resource Planning, Vol 27, No 3, pp12-25.

6. Ferguson, A. (2007) ‘Employee engagement: Does it exist, and if so, how does it relate to performance,

other constructs and individual differences?’ [online] Available at:

http://www.lifethatworks.com/Employee-Engagement.prn.pdf [Accessed 20th June 2007]

7. Kahn, W. A. (1990). An exercise of authority. Organizational Behavior Teaching Review, 14(2): 28-42.

8. Kanungo, R. N. (1982). Measurement of job and work involvement. Journal of Applied Psychology, 67,

341 – 349.

9. Lawler, E.E., III. & Hall, D.T. (1970). Relationship of job characteristics to job involvement, satisfaction

and intrinsic motivation. Journal of Applied Psychology. 54, 305-312.

10. Richman, A. (2006). ‘Everyone wants an engaged workforce how can you create it?’ Workspan, Vol.

49, pp.36-39.



23

11. Shaw, K. (2005). ‘An engagement strategy process for communicators’, Strategic Communication

Management, Vol 9, No 3, pp26-29.

12. Truss C, Soane E, Edwards C, Wisdom K, Croll A, Burnett J (2006), Working Life: Employee Attitudes

and Engagement 2006’, Wimbledon: CIPD



24

IMPACT OF TEXT ANAYTICS ON SOCIAL MEDIA MARKETING

Preethy Rebecca.P1, Deepa.R2 1ASP/CSE, St. Peter’s College of Engineering & Technology, Chennai.

2AP/CSE, SRM University, Vadapalani Campus, Chennai

[email protected],[email protected]

Abstract :

Social media has arisen not only as a personal communication media, but also, as a media to communicate opinions about

products and services or even political and general events among its users. Text Analytics for Social media marketing is

gaining importance in the recent days, due to availability of huge amount of data and the need for converting the data into

useful knowledge. Collecting customer reviews can be expensive and time consuming task using conventional methods such

as surveys. The sentiment analysis of the customer opinions makes it easier for businesses to understand their competitive

value in a changing market and to understand their customer views about their products and services, which also provide

an insight into future marketing strategies and decision making policies.

INTRODUCTION

Social media marketing is the use of social media platforms and websites to promote a product

or a service. It has become more popular for both practitioners and researchers. The platforms have built

–in data analytics tools, which enable companies to track the progress, success and engagement of

campaigns. Companies are able to approach stakeholders through social media marketing which

includes current and potential customers, current and potential employees, journalists, bloggers and the

general public. It includes the management of marketing campaign, governance, setting the scope and

the establishment of a firm’s desired social media “culture” and “tone”. Using social media marketing

the firms can permit the internet users to publish user generated content which is called the earned media.

SOCIAL NETWORKING WEBSITES

It allows individuals, businesses and other organizations to interact with one another and build

relationships and communities online. The companies join the social channel and hence consumers can

interact with them directly. Due to this personal interactions are possible more than the traditional



25

methods. The social networking sites act as word of mouth or e-word of mouth. This changes the buying

patterns and product or service acquisition. These sites and blogs allow their followers to “retweet” or

“repost” comments made by others. By repeated messaging the reach is increased to a large extent and

hence more traffic is brought to the company.

Virtual communities allow consumers to express their needs, wants and values online. The social

networking websites are made of these communities. The social media marketing connects these

consumers and audiences to business that share the same needs, wants and values. Companies can keep

in touch with individual followers which in turn instills their feeling of loyalty. Semantic Analysis

technologies are employed by marketers to identify the need of the customer based on the keyword used

by their search.

MOBILE PHONES AS SOURCE OF SOCIAL NETWORK MARKETING

People make use of internet through their mobile phones and hence the number of internet users

had crossed three billion people. Mobile phone usage is beneficial for social media marketing because

mobile phones have social networking capabilities, allowing individuals immediate web browsing and

access to social networking sites. QR codes are attached along with products in order to enable customers

to access the websites. Retailers use QR codes to facilitate consumer interaction with brands by linking

the code to brand websites, promotions, product information, or any other mobile-enabled content.

STRATEGIES FOR ENGAGING THE SOCIAL MEDIA FOR MARKETING

Passive Approach

Social media is a useful source of market information. Blogs, content communities, and forums are

platforms where individuals share their reviews and recommendations of brands, products, and services.

Active Approach

Social is not alone used as public relations and direct marketing tools but also as communication

channels targeting specific audience with social media influencers and social media personalities and as



26

effective customer engagement tools. Social media websites can target niche markets more precisely.

Digital tools such as Google Adsense, advertisers can target their ads to very specific demographics

such as people who are interested in social entrepreneurship, political activism associated with a

particular political party or video gaming. Google Adsense does this by looking for keywords in social

media user's online posts and comments.

Engagement

The term means that customers and stakeholders are active participants rather than passive viewers.

Getting consumers and potential customers to be engaged online is fundamental to successful social

media marketing. Engagement has two strategies

(a) Proactive – Regular posting of new online content and conversations as well as the sharing of content

and information from others via weblinks

(b) Reactive – conversations with social media users responding to those who reach out to your social

media profiles through commenting or messaging.

Social Media Analytics (SMA) can be described as a type of digital analytics which focus is the study

of interactions between, their opinions/thoughts, and their own life, companies as so its products or

services through the social media data. Such study provides important information to "analysts, brands,

agencies or vendors" facilitating the generation of economic value to many organizations. In order to

achieve the main goal of the SMA, companies focus their effort in the development automatic systems

to make possible an easy collection, analysis, summarization and visualization of processed social media

data establishing specific points about what is necessary to improved in their products .

TEXT ANALYTICS

Text analytics is the process of deriving information from text sources. Text analysis can be

applied to any text-based dataset, including social media, surveys, forum posts, support tickets, call



27

transcripts. Text analysis can be applied to social media data to answer a wide variety of questions about

consumers, brands, products or any other topic.

It includes understanding sentiments and emotions, measure share of voice, identify keywords and

phrases, quantify purchase intent, answers questions with machine learning.

Main approaches to text analytics

Linguistics rules - Fast analysis, Easy to spot , Granular analysis, results closely matching

expectations

Machine learning models – Train with examples, customizable and adjustable, increased

flexibility, more discovery, analyze any language.

Fig : Stages in Text analytics

Issues related to text mining could be Stop List, Stemming, Noisy Data, Word Sense Disambiguation,

Part-of-speech Tagging, Collocation, Grammar/Syntax, Tokenization, Text Representation, and

DATA

ACCESS

DATA

CLEANING

DATA

ANALYTICS

SOCIAL

MEDIA

APPLICATION

S

TEXT

PATTERNAND

VISUALIZATION



28

Automated Learning. Text mining starts with text analytics in that aids the process of understanding the

customer needs. Test analytics involves

Opinion Mining & Sentiment Analysis

Machine learning and artificial intelligence helps understanding the tonality of the conversations

(positive, negative, neutral). We can analyze the opinions of our customers and get the picture of what

people discuss and how they perceive your brand.

Brand Monitoring & Competitive Analysis

Monitor all competing brands on social media and review websites and portals that compare

businesses. Identify key influencers, communities, and advocates of your brand.

Lead Generation

Social media is a boon for companies to search for prospects. It helps to identify an important

conversational concept - intent to buy - and leverage the tweets and comments to generate potential

leads.

Trend Analysis

Historical data (Previous reports) can be compared with our social media insights. Help understand

surges and declines in sentiments and conversations after announcements, product launches, and

marketing initiatives

CONCLUSION

This paper provides an overview of how text analytics can be used to gain an insight to the

customer search on social media and hence how companies use it to market their products to intended

customers. Further studies can be carried to learn more about the techniques used in text analytics. This

helps companies to improve their understanding of customer need. Businesses can utilize their



29

consumer opinions generated from social media tracking and analysis by adapting their marketing plans,

products and business intelligence respectively.

REFERENCE

1. Neti, S. (2011). “Social Media and Its Role in Marketing". International Journal of Enterprise

Computing and Business Systems.

2. Eman M.G. Younis (2015). “Sentiment Analysis and Text Mining for Social Media Microblogs

using Open Source Tools: An Empirical Study” , International Journal of Computer Applications

(0975 – 8887) Volume 112 – No. 5, February 2015

3. www.crimsonhexagon.com/blog/how-text-analytics-works-for-social-media/

4. www.experfy.com/social-media-text-analytics

5. www.en.wikipedia.org/wiki/Social_media_marketing



30

EFFECTIVENESS OF CUSTOMER RELATIONSHIP MANAGEMENT PRACTICES IN PRIVATE BANKING

SECTOR

D. Durga 1, Assistant professor, GRT Institute of engineering and technology, Tiruttani.

V. Renuka2, Associate professor, A.D.M College for women, Nagapattinam.

ABSTRACT

The concept of CRM has been in existence for more than a decade. Despite the continued popularity & growth of CRM, banking

sector has seen consistent improvements in profitability & customer satisfaction because of their large investments. Among the service

sector, banking sector has undergone dramatic changes which led to significant development. Where customers are choosy in

selection of the product or service which they are purchasing. Marketers are facing challenge of attracting new customers and

retaining existing customers. Marketing experts are continuously thriving to develop new strategies for recognizing customer

changing needs and satisfy them. Customer relationship management gained importance and is attracting the marketers, researchers

to engage the customers. In banking sector Customer relationship management need continuous attention to arrest customer attrition,

develop new customers and grow volumes of business. Today banking sector is under severe pressure of attracting motivating and

retaining customer. The study is focused on assessing the customer relationship management effectiveness in the banks through

customers and throw light on how CRM influences customer awareness customer perception and customer satisfaction.

INTRODUCTION

Retail banking refers to mass-market where individual customers typically use banks for services such as savings and current accounts,

mortgages, loans (e.g. personal, housing, auto, and educational), debit cards, credit cards, depository services, fixed deposits,

investment advisory services (for high worth individuals) etc. Before Internet era, consumers largely selected their banks based on

how convenient the location of bank’s branches was to their homes or offices. That why banking sector is providing customer

Relationship Management, which is the comprehensive approach for creating, maintaining and expanding customer relationship; it

provides Seamless coordination between customer services at the heart of a perfect Customer Relationship Management strategy is

the creation of mutual value for all the parties involved in the business process. It is about creating a sustainable competitive advantage

by being the best at understanding, communicating, and delivering and developing existing customer relationship in addition to

creating and keeping new customers. From the bank’s point of view it is the management process or approach of acquiring, retaining

and growing.

Today’ retail banking sector is characterized by following:



31

Multiple products (deposits, credit cards, insurance, investments and securities)

Multiple channels of distribution (call center, branch, internet and kiosk)

Multiple customer groups (consumer, small business and corporate)

OBJECTIVES OF THE STUDY

To study the socio-economic uniqueness of bank customers and its influence on CRM practices in Private banking sector.

To study the level of awareness of CRM practices in Private Sector Banks.

To study the level of satisfaction towards the CRM practices in Private Sector Banks.

To offer suggestions based on the findings of the study.

LIMITATIONS OF THE STUDY:

This study is limited to 100 respondents.

Some of the customers are not ready to give answer for this study because of their busy schedule.

REVIEW OF LITERATURE

Munaiah.J, Dr.G.Krishna Mohan it is described that of Today banking sector is under severe pressure of attracting motivating and

retaining customer. The study is focused on assessing the customer relationship management effectiveness in the banks through

customers and throw light on how CRM influences customer attitude, customer retention and customer satisfaction. The study is

intended to fill the gap in the service quality rendered by banks by adopting CRM practices and the service quality as expected and

perceived by the customers.

M. Venkatraman, S. Anupriya, S. Nandhini

It is described that Among the service sector, banking sector has undergone dramatic changes which led to significant development.

Various trends are emerging in the field of CRM technology which promises a brighter future of more profitable customers &

decreasing costs. The need for retaining customers is at most priority for all banks. It becomes important that to know what are the

CRM practices adopted by banks & how do them actually benefit the customers and bank. This becomes the statement of the problem

& to identify the CRM practice is PSB’s.

Dr. K. Ganesamurthy et al., (2011) they describe that Customer Retention Management (CRM) perceives as a

technique of banking companies in order to explore, retain and also increase the loyal customers in the competitive

business era. This research paper attempted to study the customers' perspectives on CRM practices of Commercial



32

Banks in India, the sample size include 421 respondents from both public and private sector banks in Tamil nadu, and the study reveals

that customers' perception of CRM in banks does not vary irrespective of different classifications of customers such as age, sex,

education, occupation, income level, the bank in which customers have an account, type of account, type of account maintained by

the customers and the period of customers' association with banks.

RESEARCH METHODOLOGY

Primary Data

The information was collected by the researcher after finalizing the study area. Through structured questionnaire primary data was

collected. It was collected from 100 respondents using convenient sampling technique.

Tools used for Analysis: Percentage Analysis & Correlation analysis.

ANALYSIS & INTERPRETATIONS

Table 1: GENDER OF THE RESPONDENTS

From the above table that depicts about the gender in that, 53% of the respondents answered from male, and remaining 47% of the

respondents said from female.

TABLE 2 : RESPONDENT’S AWARENESS LEVEL TOWARDS CUSTOMER RELATIONSHIP IN PRIVATE SECTOR

BANK.

S. No Gender Respondents Percentage

1 Male 53 53%

2 Female 47 47%

S.

No

Awareness level Respondents Percentage

1 Highly satisfied 24 24%

2 Satisfied 44 44%

3 Neutral 17 17%

4 Dissatisfied 8 7%



33

Inference: from the above table that shows 44% of the respondents were satisfied, 24% of the respondents were highly satisfied, 17%

of the respondents of the said to neutral, 8% of the respondents were dissatisfied, 7% of the respondents were highly dissatisfied

towards awareness level about customer relationship in private sector bank.

TABLE 3: LEVEL OF SATISFACTION OFFERED CUSTOMER RELATIONSHIP MANAGEMENT IN PRIVATE

SECTOR BANK

S. No Satisfaction

level Respondents Percentage

1 Highly satisfied 31 31%

2 Satisfied 40 40%

3 Neutral 12 12%

4 Dissatisfied 10 10%

5 Highly

Dissatisfied 7 7%

Total 100 100%

0

50

Pe

rce

nta

ge

Respondents

Respondents

Percentage

5 Highly

Dissatisfied

7 6%

Total 100 100%



34

Inference: From the above table that is inferred that 40% of the respondents were satisfied, 31% of the respondents were highly

satisfaction, 12% of the respondents were said to neutral, 10% of the respondents said to dissatisfied, 7% of the respondents were said

for highly dissatisfied to satisfaction level.

CORRELATION ANALYSIS:

Correlation analysis is the tool used to measure the degree to which two variables are linearly related to each other

measure the degree of association between two variables. Correlation can be study in various methods.

The correlation coefficient between X and Y as

𝑟 =𝑛(∑𝑥𝑦) − (∑𝑥)(∑𝑦)

√[𝑛(∑x2) − (∑x)2] [𝑛(∑𝑦2) − (∑𝑦)2]

Where, r = correlation coefficient

n = No of Samples,

x and y = variables

The questions taken for the correlation analysis table no 2 and 3

Think about awareness programme and satisfaction level of the customer services offered by the private banking sector.

Karl parsons co-efficient of correlation between two category x and y.

Calculated Value = 0.947

Result : Since there is a positive correlation between about awareness programme and the satisfaction level

of the customer services offered by the private banking sector.



35

TABLE 4: TYPE OF LOANS OFFERED BY THE BANK

SL. No Particulars Respondents Percentage

1 Personal Loan 32 32

2 Housing Loan 15 15

3 Educational loan 28 28

4 Vehicle loan 20 20

5 Jewel loan 5 5

Total 100 100

Inference: from the above table it is inferred that 32% of the respondents said to personal loan, 28% of the respondents answered for

educational loan, 20% of the respondents answered for vehicle loan, 15% of the respondents says about to housing loan, and 5% of

the respondents says for jewel loan

05

1015202530354045

pe

rce

nta

ge

respondents

satisfaction level

Percentage

Respondents



36

.

TABLE 5: TYPES OF SERVICES OFFERED BY PRIVATE SECTOR BANKS

S. No particulars respondents Percentage

1 Net banking 27 27%

2 Debit card 38 38%

3 Credit card 15 15

4 Demat account 8 8

5 Mutual fund 12 12

Total 100

FINDING OF THE STUDY

53% of the respondents were said answer for this study

44% of the respondents accepted for sufficient awareness created by private banking sector.

From that 40% of the respondents satisfied with providing services by private bank.

Mostly 32% of the respondents using private banking for personal loan.

38% of the respondents answered for debit card and which using by them periodically when requirement is occurred.

010203040

loan offered by bank



37

SUGGESTIONS

Banks must introduce new ways to attract their customers to retain existing and new customers.

Banks can extend their hand for giving awareness to customers.

Bank should allocate sufficient funds for all the loans

CONCLUSION

The study will be useful to the banking to understand the banking perception and expectation of Customer in relation to the service

rendered by them. Hence the concept of CRM may be emphasized so that the customers are treated royally in relation to bank

services. To be successful a bank need to be not just high tech but high touch as well.

Reference

1. Munaiah.J 1, Dr.G.Krishna Mohan 2, International Journal of Innovative Research in Science, Engineering and

Technology, ISO 3297: 2007 Certified Organization Volume 6, Special Issue 2, February 2017

2. M. Venkatraman, S. Anupriya, S. Nandhini, International journal of multidisciplinary research and

development, Volume: 2, Issue: 8, 701-704, Aug 2015



38

QUALITY OF WORK LIFE A CONCEPTUAL VIEW

DHEEPTHI.C.S*, LAVANYA.V*

*- Final Year M.B.A., Easwari Engineering College, Chennai

ABSTRACT:

Quality of work life (QWL) is a satisfaction a person has on his or her work life. There are various factors like

age, gender, education, marital status and even the work environment, organisational climate plays an important

role. When we come to women in work force there are many number of hidden challenges and they need to

highly focus on work life balance.

This study aims to discuss on objectives and concepts in which the quality of work life depends on. And to

suggest various suggestions on enhancement of work life efficiently. The role of HR is also discussed in this

study. A large chunk of most peoples’ lives will be spent at work. Most people recognize the importance of

sleeping well and actively try to enjoy the leisure time that they can snatch. But all too often, people tend to see

work as something they just have to put up with, or even something they don’t even expect to enjoy. Quality of

work life is something between work satisfaction and work life balance.

INTRODUCTION

When a employee is dissatisfied with his or her work life the he may get into various distractions and lack

concentration in his job that affects not only the company but also his mental health. The frustration, boredom

and anger common to employees can be costly to both individuals and organisations.

Managers seek to reduce job dissatisfaction at all organizational levels, including their own. This is a complex

problem, however, because it is difficult to isolate and identify the attributes which affect the quality of working

life.

The work force is the main cause for a company’s profitability. When company ignore to check there employees

work life balance then it leads the company to face various issues like facing increasing turnover, declining



39

productivity and limited ability to attract and retain qualified replacements. Company should help their

employees to get a better quality of work life.

Employee satisfaction and quality of work life directly affect company’s ability to serve its customers. Efforts

towards QWL measurement help in efficient and effective allocation of resources to enhance productivity and

stability of the workforce.

It leads to:

Positive employee attitudes toward their work and the company.

Increased productivity and intrinsic motivation.

Enhanced organizational effectiveness and competitive advantage.

To increase in individual productivity, accountability and commitment.

For better teamwork and communication.

For improving the morale of employees.

To reduce organizational stress.

To improve relationships both on and off the job.

To improve the safety working conditions.

To provide adequate Human Resource Development Programs.

To improve employee satisfaction.

To strengthen workplace learning.

To better manage on-going change and transition.

To participate in management at all levels in shaping the organization.

Research Objectives

a) Broad Objectives:

To give a conceptual view on quality of work life which is an important concept to make a effective

organisation and to learn about the factors that affects the quality of work life.



40

b) Specific Objectives:

To discuss the HR role in QWL and to give valuable suggestion on improving quality of work life of

an employee.

LITERATURE REVIEW

1. Lau (2000) studied on Quality of work life and performance to provide ad hoc analysis of two key

elements of the service profit chain and find out the relation between in growth and QWL. This research

evaluated the performances, in terms of growth and profitability, based on a sample of QWL and S&P

500 companies. 29 QWL companies remained for the purpose of this study. The control group consisted

of 208 service companies selected from the list of S&P 500. The results showed QWL companies have

a higher growth rate, measured by the five-year trends of sales growth and asset growth than that of the

S&P 500 companies. The results also indicated that QWL companies indeed enjoyed higher growth

rates than those of S&P 500 companies, and their differences are statistically significant. On average,

QWL Service companies have an average sales growth rate while the control group companies have

below average.

2. Linda K. Johnsrud (2006) studied on Quality of faculty work life: the University of Hawaii to describe

the changes in QWL from 1998 to now. The objective of the study was to find out the current level of

satisfaction. Variables were used Relations with the department chair, campus service, community

service, faculty relation, salary and demographic factor. The study included all 3,490 members of the

UH faculty and /marks the first time that this survey was conducted entirely online and yielded 1,340

responses for a 38% return rate and to analyse the data T- test was used by the researcher. The result

showed that salary was the main variable for satisfaction from year 1998 to 2006. Faculty relations and

community services is the most positive elements in faculty work life and other finding was campuses

faculty are generally more satisfied than others.

3. Rethinam (2008) QWL is a multi-dimensional construct, made up of a number of interrelated

factors that need careful consideration to conceptualize and measure. It is associated with job

satisfaction, job involvement, motivation, productivity, health, safety and well-being, job security,

competence development and balance between work and non work life and also he concluded as

QWL from the perspective of IT professionals is challenging both to the individuals and

organizations. However, from the literature it can be summarized that QWL may be viewed as a



41

wide-ranging concept, which includes satisfaction towards work, participative management and

improve work environment.

4. Normal and Daud (2010) investigated the relation between QWL and Organizational Commitment

amongst employees in Malaysian firms. The objective was to investigate the relationship between QWL

and Organizational Commitment and to identify the extent of QWL of employees. A random sample of

500 employees was taken at the supervisory and executives’ levels in various firms in Malaysia received

the questionnaire. Of these, 360 useable responses were returned and analysed, which represented a 72%

response rate. Research based on the Quantitative approach and random sampling method used for data

collection. Variables adopted for the research were Dimensions of QWL: growth and development,

participation, physical environment, supervision, pay and benefits social relevance and workplace

integration, dimensions of OC: affective commitment, normative commitment, continuance

commitment (alternatives), and continuance commitment (costs). Questionnaire divided is into three

respects are organizational Commitment, quality of work life and demographic factors. Data was

analysed from factor analysis with varimax rotation, mean, Standard deviation, regression analysis used

as statistical tools. Result of the research paper showed that participation of employees has positive

relationship with affective, continuance (alternative) and continuance (cost) commitment. Supervision,

pay and benefits have also significant positive relationship with affective, nominative and continuance

(alternative) commitment. Strong relationship and cohesiveness’ among employees in the workplace

will improve the sense of commitment.

5. R. indumathy et al (2012)studied on quality of work life among workers with special reference to

textile industry in Tripura district – a textile hub to find out the measurement adopted by the organisation

to improve the QWL. The research design was chosen as descriptive in nature. The sample size taken to

conduct the research was 60 workers out of the 600 workers. For this study, the sampling technique was

convenient sampling. Structured interview schedule was used for primary data collection and chi-square

analysis, weighted average score and simple %age used for the data analysis. The result showed that

there is no significant relationship between Total work experience and Salary, Gender and Overall job

satisfaction. There is significant relationship between Total work experience and Overall job satisfaction

and between Educational qualification and Salary.

6. Mina. P et al (2013)studied on Relationship between self –esteem, organizational attachment and

perceptions of QWL in Jahad-e-Keshavarzi Organization of Isfahan. The objective of the research was

to find out the relationship between self-esteem organizational attachment and perception of QWL.

Sample size has taken 195 employees and simple random sampling for data collection. Pearson

correlation coefficient and multiple regressions were used to analysis the data. Variables studied that

were dimensions of QWL: Employee participation, career development, problem solving, job security,



42

employee communication, job pride, fair pay, industrial safety and protection, and organizational

identity, Dimensions of self-esteem: self-acceptance, living consciously, self-responsibility, living

purposely, personal integrity and self- assertiveness, dimensions of Organizational attachment:

Organizational Commitment, Job Satisfaction, intend to leave the organization, group coherence,

organizational identity and organizational interest Findings showed that positive relationship between

dimensions of Organizational Attachment and QWL. There is a Positive relationship between pillars of

self-esteem and dimensions of QWL. Self-responsibility, integrity, fair pay with living purposefully,

living consciously, self-acceptance, job security with purposefully are not co-related with each other.

Self –esteem is co-related with organizational Attachment.

7. Jerome. S. (2013) studied on quality of work life of employees at Jeppiaar cement private Ltd. to find

out the factors measurements of QWL. 50 % respondents from 200 sample size respondents were

selected from the workman categories so the researcher adopts the simple random sampling technique

using the lottery method. Variables used for this study: compensation, work environment, social relation,

job satisfaction, safety and healthy environment, welfare and Opportunities for use and Development of

Skills and Ability. For the data analysis researcher used Karl Pearson coefficient. Result showed that

there is no significant relationship between educational and QWL and no significant relation between

the income and QWL. There is no significant relationship between the age of the respondents and their

overall quality of work life and no significant relationship between the educational qualification of the

respondents and their overall quality of work life.

8. S.Khodadadi et al (2014)investigated the QWL dimensions effect on the employees’ job satisfaction.

In this study independent variables were permanent security providing, salary and benefits payment

policies, development and promotion opportunity, and job independence, job satisfaction as the

dependent variables. 114 employees selected randomly for this study and two questionnaires of “quality

of work life” and “job satisfaction” were used for data collection and Data analysis was done by using

SPSS and LISREL software. The results of the study showed that the salary and benefits’ policies have

a significant and positive effect on Shuhstar’s Shohola Hospital employees’ job satisfaction.

COMPONENT

A number of attempts have been made to identify various dimensions of this concept. “Some have emphasized

the improvement in working conditions leads to better quality of life, while others feel a fair compensation and

job security should be emphasized interface leads to a better quality of work life.

Quality of work life in terms of eight broad conditions of employment that constitute desirable QWL.



43

Adequate and fair compensation.

Safe and healthy working conditions.

Opportunity to use and develop human capacities.

Opportunity for career growth.

Social integration in the work force.

Constitutionalism in the work organization.

Work and quality of life and

Social relevance of work.

The thirteen dimensions for analyzing the concept of QWL viz.,

Adequate and fair compensation,

Fringe benefits and welfare measures,

Job security,

Safe and healthy physical environment,

Work load,

Opportunity to use and develop human capacity,

Opportunity for continued growth,

Human relations,

Participation in decision making,

Reward and penalty system.

Equity, justice and grievance handling,

Work and total life space, and

Image of organization in the society.

HR ROLE

The role of human resource department in QWL efforts varies widely. In some organizations, top management

appoints an executive to ensure that QWL and productivity efforts occur throughout the organization. In most

cases, these executives have a small staff and must rely on the human resource department for help with

employee training, communications, attitude survey feedback, and similar assistance. In other organizations,

the department is responsible for initiating and directing the firm’s QWL and productivity efforts. Management

support – particularly top management support appears to be an almost universal prerequisite for successful



44

QWL programs. By substantiating employee satisfaction and bottom-line benefits, which range from lower

absenteeism and turnover to higher productivity and fewer accidents, the department can help convince

doubting managers. Sometimes documentation of QWL can result from studies of performance before and after

a QWL effort. Without documentation of these results, top management might not have continued its strong

support.

The department also has both a direct and indirect influence on employee motivation and satisfaction. The

policies and practices of the department also influence motivation and satisfaction indirectly. Rigorous enforced

safety and health programs, for example, can give employees and supervisors a greater sense of safety from

accidents and industrial health hazards. Likewise, compensation policies may motivate and satisfy employees

through incentive plans, or they may harm motivation and satisfaction through insufficient raises or outright

salary freezes. The motivation and satisfaction of employees act as feedback on the organization’s QWL and

on the department’s day-to-day activities.

Motivation

Motivation is a complex subject. It involves the unique feelings, thoughts and past experiences of each of us as

we share a variety of relationships within and outside organizations. To expect a single motivational approach

work in every situation is probably unrealistic. In fact, even theorists and researches take different points of

view about motivation. Nevertheless, motivation can be defined as a person’s drive to take an action because

that person wants to do so. People act because they feel that they have to. However, if they are motivated they

make the positive choice to act for a purpose – because, for example, it may satisfy some of their needs.

Job Satisfaction

Job satisfaction is the favorableness or unfavourableness with which employees view their work. As with

motivation, it is affected by the environment. Job satisfaction is impacted by job design. Jobs that are rich in

positive behavioral elements – such as autonomy, variety, task identity, task significance and feedback

contribute to employee’s satisfaction. Likewise, orientation is important because the employee’s acceptance by

the work group contributes to satisfaction. If better performance leads to higher rewards and if these rewards

are seen as fair and equitable, then results in improved satisfaction. On the other hand, inadequate rewards can

lead to dissatisfaction. In either case, satisfaction becomes feedback that affects one’s self-image and motivation

to perform. The total performance-satisfaction relationship is a continuous system, making it difficult to assess

the impact of satisfaction on motivation or on performance, and vice-versa.



45

Problems in Improving the QWL

Though every organisation attempts to improve the employer-employee relations and through it, the quality of

work life of employees, problems may occur in effective implementation of QWL programmes.

These problems may occur because of

1. Poor reward and recognition:

People will not do their best when they feel that employers’ commitment in terms of reward and recognition is

lacking. Commitment is a mutual phenomenon. When employers want to get the best from employees but do

not give them reward and recognition, people will not be committed to work.

2. Dead-end jobs:

Work which does not offer opportunities for growth and promotion is one of the greatest reasons for employees’

de-motivation and non-commitment. Jobs which deprive employees of self-development and growth

opportunities lead to high dissatisfaction and disloyalty.

3. Managing by intimidation:

Mistreating people and managing them by threats and embarrassment leads to employees’ dissatisfaction and

weakens their commitment. In a best seller book” The Loyalty Link” Dennis G. Mc Carthty has identified

managing by intimidation as one of the seven ways which undermine employees’ loyalty.

4. Negative working environment:

Non-acceptance by colleagues, non-cooperation, too much politics, and negative behaviour by colleagues,

supervisors and other people in the company also hamper commitment. At the end of the day people want peace

of mind, which if not available in the work environment will discourage them to show total support to the

company.

5. No job security:

One of the major needs of employees is job security. If the employee feels that he can lose his job anytime, he

would not be committed towards company’s goals.



46

6. Negative attitude:

Some people by nature are not committed to anything and anyone and as such they would not be committed to

their employers also. Commitment is an attitude and those who lack it will not be committed to their jobs.

REFERENCE:

1. Diogo José Horst, Evandro Eduardo Broday , Roberto Bondarick , Luis Filippe Serpe , Luiz

Alberto Pilatti (2014)Quality of Working Life and Productivity: An Overview of the Conceptual

Framework, International Journal of Managerial Studies and Research (IJMSR)

2. Mohammad Baitul Islam (2012), Factors Affecting Quality of Work Life: An Analysis on

Employees of Private Limited Companies in Bangladesh, Global Journal of Management and

Business Research.

3. Radha Yadav , Ashu Khanna (2014) Literature Review on Quality of Work Life and Their

Dimensions, IOSR Journal Of Humanities And Social Science (IOSR-JHSS).

4. Lau, R. S. M., & Bruce, E. M. (1998). A win-win paradigm for quality of work life and business

performance. Human Resource Development Quarterly, 9(3), 211-26.

5. Aloys.N.K (2013), Working Environment Factors that Affect QWL among Attendants in Petrol

Stations in Kitale Town in Kenya, International Journal of AcademicResearch in Business and

Social Sciences, 3(5). [5].

6. AnandPawar,(2013),quality work-life and job satisfaction of employees in VTPS International

journal of management research and review, March , Volume 3/Issue 3/Article No-7/2547-2556

[6].

7. Ayesha Tabassum et al (2012), an evaluation of the quality of work life: a study of the faculty

members of private universities in Bangladesh, Int. Journal of Economics and Management 5(1)

[7].

8. ChandranshuSinha (2012), factors affecting quality of work life: Empirical Evidence From

Indian Organizations, Australian Journal of Business and Management Research, 1(11).

9. globaljournals.org/GJMBR_Volume12/4-Factors-Affecting-Quality-of-Work-Life-An.pdf

10. www.arcjournals.org/pdfs/ijmsr/v2-i5/11.pdf



47

Work Life Balance of Women IT Professionals in Chennai

S. Silambarasi

Assistant Professor, GRT Institute of Engineering & Technology

&

Research Scholar, Bharathiar University

Abstract

This study reveals the work life balance of women IT Professionals IT firms in Chennai.. The specific objectives of the study

is to study the work life balance of women IT Professionals, analyze the demographical variables are related to stress level of the

women faculty, major reasons for unbalancing the work and life , identify the major problems faced to balance these two. The data

were collected from primary sources like distributing questionnaire to the women IT Professionals from various IT firms in Chennai

and chi square and correlation tools has been used for analyzing the demographical variables are related to stress level of the women

IT Professionals for achieving the objectives of the study. Results of the study shows the demographical variables like age, experience

and family type are significantly related to stress level of the women IT Professionals and marital status is not significantly related to

stress level using Chi square and correlation method reveals positive correlation between the type of family and unable to spend time

with family.

Key words: work life, stress, work life balance, women IT Professionals, unbalancing

1. Introduction

Teaching is one of the noble professions in the world and teaching professionals primary responsibility lies on

facilitating knowledge to the students and shaping their attitude, behavior of their students to become a suitable

and responsible human to the corporate and citizen to the society. Generally women are normally suitable for

teaching position since women are naturally able to understand the psychology of the students as they have

more patience.

On one hand women at home have undefined responsibility to manage their family with utmost care & affection

and on the other hand emerging of more number of IT firms in Tamilnadu leads to face more competition among

the IT firms and the IT firms are normally expecting more in terms of performance, commitment, achievements

and good results comparing with government colleges. Ultimately it makes a big role for every teaching

professional at colleges to get good results to sustain their position.

In this situation women IT Professionals have to satisfy the requirements of both at institution as well

as at home. Hence women IT Professionals playing a multiple role at these two places which may cause the

problem of work and life balance. This study is focusing on work life balance of women IT Professionals in IT

firms with reference to Chennai which covers more than 25 IT firms.



48

Work-Life Balance

Work means job or career or ambition for achieving something and life means family or personal belief,

preferences etc. The proper level of giving importance to both for work as well as life is known as work life

balance.


To know the various reason for unbalancing both work and their life among women IT Professionals

To identify various problem faced by women IT Professionals to balance both their work and personal

life

To analyze how various demographical variables are related to stress level at the time of balancing work

and personal life.

2. Review of Literature

Saranya & Gokulakrishnan (2013) in their study reveal that the most the employees perceived the

work-life balance has positive influence on the Institutional development and suggested that improvements in

people management practices, especially work time and work flexibility, and the development of supportive

superior, contribute to increased work-life balance of women. Work-life balance programs have been

demonstrated to have an impact on women. Finally, self-management is important; people need to control their

own behavior and expectations regarding work-life balance.

Anu Radhas (2015) has summed up her research with a quote by Christina Winsey: "Life's demands

may not slow up any time soon, and learning life balance is an ongoing art. If you think one day you will get it

all done, and then you can relax, you are bound to be disappointed.‖ The study can also direct employers of

institution to evolve flexible work strategies and provide better working conditions which will help in

overcoming stress in IT Professionals to some extent.

Gokulakrishnan & Ramesh (2013) have proved that there is a positive association between work-family

conflict and job satisfaction in the contexts of turnover intentions and suggested the top management to facilitate

women by giving them periodic relief from monotonous life routines and the management also creates the

environment in which females don’t feel any barriers in communication with their colleagues.

Senthil Kumar, Mohan et al., (2003) have highlighted that teachers working in Engineering institutions

in Coimbatore district as one the occupational group that functions under conditions of high stress. The

variables such as gender, type of institution, location of college and current working status have high level of



49

significant association with level of agreeability on causes of stress and average number of teaching hours is

significantly associated at five percent level. Further, their result reveals that there is a need to ensure stress

free environment in Engineering educational institutions.

3. Methodology

Research is a systematic way to solve or achieve the problem.

3.1 Data collection

Primary data has been collected and distributed questionnaire to the respondents through survey method.

3.2. Sampling Framework The sampling frame consist of 25 IT firms in Chennai only

3.3. Sample Size

The numbers of samples are 100 and the respondents for the study are women working in IT firms in Chennai

4. Analysis & Results

For the purpose of this study all demographical variables has been taken for analyzing the frequency

of stress among the women IT Professionals versus the extent to which they feel stressed, using Chi-square test

and Correlation also using to know the relationship between family type and time spend with family.

Table 1 : Number of Hours in Trying to Balance Work Life And

Frequency Of Feeling Stressed

Number

of hours

lost

Percentage Frequency

of feeling

stressed

Percentage

Below 1

hour

35 Often 32

2 hours 30 Sometimes 32

3 hours 0 Rarely 21

No loss 26 Never 15

Total 100 Total 100



50

Table 2 : Stress Management Related Details

Stress

overcome

by self-

identified

techniques

Percentage Stress

overcome

with

management

identified

techniques

Percentage

Yes 33 Yes 32

No 67 No 32

Total 100 Total 21

Table 3 : Unbalancing Of Work & Life Due to Work and Life Related Factors

Factors Percentage

Giving More Responsibility In

Unexpected Time

19

Improper Planning Of Work Schedule 18

When Health Is Not Supporting 37

Taking Others Work By Force 9

Come Back To Work After Leave Taking 0

Health Issues To Family Members 17

Chi-Square

Null Hypothesis Ho: There is no significance relationship between age and Frequency in which

respondents feel stressed in balancing work and life

Table 4: Cross Tabulation Between Age Versus Frequency in Which Respondents Feel Stress in

balancing work and life

Age

Extent to which Feeling Stressed

Total

Chi-

Square

Value

P

value Often Sometimes Rarely Never

22 –

28 3 9 3 3 18 14.738a .022



51

28 –

35 17 17 18 9 61

Above

35 12 6 0 3 21

Total 32 32 21 15 100

Since value is lesser than 0.05 it is concluded that there is a significance relationship between age of the

respondents and frequency in which respondents feel stressed in balancing work and life

Null Hypothesis Ho: There is no significance relationship between marital status and frequency

to which respondents feel stressed in balancing work and life

Table 5 : Cross Tabulation Between Marital Status Versus Frequency in Which Respondents Feel

Stress in balancing work and life

Marital

Status

Extent to which Feeling Stressed Total

Chi-

Square

Value

P


Married 23 22 17 15 77

6.370a .095 Un

Married 9 10 4 0 23

Total 32 32 21 15 100

Since P value is greater than 0.05 it is concluded that there is no significance relationship between marital status

of the respondents and frequency in which respondents feel stressed in balancing work and life

Null Hypothesis Ho: There is no significance relationship between experience and frequency


Table 6 : Cross Tabulation Between Experience Versus Frequency in Which Respondents Feel Stress in

balancing work and life

Experience Extent to which Feeling Stressed

Total Chi-Square

Value P value

Often Sometimes Rarely Never

1 - 5 year 10 10 4 0 24 34.106a .000

5 -10 year 10 13 3 15 41



52

Above 10 year 12 9 14 0 35

Total 32 32 21 15 100

Since P value is greater than 0.05 it is concluded that there is a significance relationship between experience of

the respondents and extent to which they feel stress in balancing their work and life.

Null Hypothesis Ho: There is no significance relationship between type of family and frequency


Table 7 : Cross Tabulation Between Family Type Versus Frequency in Which Respondents Feel Stress

in balancing work and life

Family

type

Extent to which Feeling Stressed

Total

Chi-

Square

Value

P


Nuclear 26 16 7 0 49

29.805a .000 Joint

family 6 16 14 15 51

Total 32 32 21 15 100

Since P value is greater than 0.05 it is concluded that there is a significance relationship between family type of

the respondents and frequency in which respondents feel stress in balancing work and life.

Table 8 : Correlation between Family Type and Ability to spend time with Family

Family

type

Ability to spend

time with

family

Family type 1 .317**

Ability to

spend time

.317** 1

**. Correlation is significant at the 0.01 level (2-tailed).

From the above correlation table it is identified that the correlation (r) value is 0.317. Hence it is concluded that

there is a low positive correlation between the type of family and inability to spend time with family.



53

5. Major findings:

Majority of the women IT Professionals agree that they have been supported by both family members at home

as well as co-workers (when they have more work) at college to balance work and life. Most of the women IT

Professionals sacrifice their daily sleeping hours - a minimum of 1 hour to balance both work and life that

could cause the health problem. It is also seen that most of the women IT Professionals suffer unbalancing

problem mostly at the time of getting health issues. Some of the other reasons like improper planning of work

schedule, makes them shoulder additional work and responsibility thereby increasing health related issues

which in poses problems to the family members.

Due to the above reasons it has been found and proved that most often women IT Professionals are under stress

to balance work and life. Through this study it has been unearthed that both individual women IT Professionals

as well as institutions re not bothered about identifying and using removing measures for balancing work and

life.

6. Conclusion

Based on the objectives and analysis of the study it is concluded that demographical variables are significantly

related to frequency of getting stress of the women IT Professionals to balance work and life. This study show

that work life balance is most important for every human and stress level is normally will occur at the time of

balancing both work and life and finally concluded that occurrence of stress level even sometimes could be

considered as common but it has to be removed or managed timely by the women IT Professionals helps to

make them to feel free from all kind of health and other hazards currently as well as in future and suggested

that institution as well as individual women IT Professionals can aware and implement some suitable stress

removing techniques like Yoga, Meditation etc to manage the stress level and to balance their work and life.

References

1. Saranya.S & Gokulakrishnan.A “Work Life Balance among Women Academician with Reference to

Colleges in Chennai” Asian Journal of Managerial Science ISSN: 2249 - 6300 Vol. 2 No. 2, 2013, pp.

21-29

2. Anu Radha “Work life balance of Female Teaching Professioanls in Coimbatore” Abhinav National

Monthly Refereed Journal of Research in Commerce & Management Online ISSN-2277-1166 Volume

4, Issue 4, 2015.

3. Gokulakrishnan A & Rames,M “Work Family Conflict among Women Academician: A Case from

Chennai” JEMR –June 2013-Vol 3 Issue 6 - Online - ISSN 2249–2585 - Print - ISSN 2249-8672.

4. K.G. Senthilkumar K.G & Chandrakumaramangalam.S and Manivannan.L “An Empirical Study on

Teaching Professionals' Work-Life Balance in Higher Learning Institutions with Special Reference to



54

Namakkal District, Tamilnadu” Bonfring International Journal of Industrial Engineering and

Management Science, Vol. 2, No. 3, September 2012

5. Senthil Kumar A, Mohan S, Velmurugan R “Causes of work stress of teachers in engineering education”

Asian Journal Of Management Research, ISSN 2229 – 3795

6. Maran.K & Nirmala Venkataramani “Teaching Professional Stress: An Empirical Study with

Reference to Women in India” International Journal Of Innovative Research & Development ISSN

2278 – 0211 (Online)

7. Madhusudhan Goud.V & Nagaraju.K “Work Life Balance of Teaching Faculty with Reference to

Andhra Pradesh IT firms” Global Journal of Management and Business Studies. ISSN 2248-9878

Volume 3, Number 8 (2013), pp. 891-896

8. Sudha.J & Karthikeyan.P “Work Life Balance Of Women Employee: A Literature Review” IJMRR/

August 2014/ Volume 4/Issue 8/Article No-3/797-804



55

SOCIAL MEDIA AND HR

S. ARUN KUMAR

Assistant professor & research scholar

AMET Business School

Academy for Maritime Education & Training

ECR, Kanathur, Chennai 603112

Abstract

Social media has become ubiquitous in our lives and now it is being leveraged for business in a variety of ways, including

talent recruitment. Part of the reason why social recruiting is really taking off with human capital managers is that it is referral based

- people who are sharing information through their social networks are connecting with others who have similar interests. So, for

example, if one is a sales and marketing professional in Chennai, chances are that his or her social connections are filled with other

sales and marketing professionals in the area. Today individuals can log in with their social credentials and automatically see job

descriptions that match the profile of their social connections on social media sites like LinkedIn or Facebook or Twitter. The

individuals can send notices about job openings directly to their connections or they can post a listing on their wall. All of these

options make the whole referral process much easier than in the days when recruiters had to rely on job boards and employment sites

to find job seekers. Thus it can be seen that social media holds limitless potential to address recruiting challenges. Today, on realizing

that social recruiting efforts are not utilised to the fullest extent, this study strives to investigate on how an organisation could leverage

the power of social networks to recruit top talent by seeking the responses of tech savvy HR Professionals belonging to the IT/ITES

sector in Chennai.

Keywords : Social Media, recruitment of talent, referrals, social media sites

Introduction

Social media has become ubiquitous in our lives and now it is being leveraged for business in a variety

of ways, including talent recruitment. Part of the reason why social recruiting is really taking off with human

capital managers is that it is referral based - people who are sharing information through their social networks

are connecting with others who have similar interests. So, for example, if one is a sales and marketing

professional in Chennai, chances are that his or her social connections are filled with other sales and marketing

professionals in the area. Today individuals can log in with their social credentials and automatically see job

descriptions that match the profile of their social connections on social media sites like LinkedIn or Facebook

or Twitter. The individuals can send notices about job openings directly to their connections or they can post a

listing on their wall. All of these options make the whole referral process much easier than in the days when

recruiters had to rely on job boards and employment sites to find job seekers. Thus it can be seen that social

media holds limitless potential to address recruiting challenges.

Social media is the biggest shift in thinking and communication since the Industrial Revolution. It’s bigger

than the fax machine 1,000 times over. Companies and brands can engage their customers and friends can



56

connect with friends online. It’s a place where everyone and anyone can have a voice and participate in the

conversation happening online and in real time.

7 ways social media is changing HR

Recruiting — where it allows one to connect with people (potential candidates) and build relationships,

make referrals, and build talent communities;

Best practice sharing — because internal and external social networks allow people to share best

practices on a global basis;

Learning — because people can post questions online, or do a Google search, and get “hundreds of

answers from hundreds of people” immediately instead of having to find and consult a textbook or get

on the phone with an expert;

Identify talent for development (succession planning) — social media allows you to identify high

potentials or thought leaders, even from a remote vantage point;

Innovation — because social media encourages more collaboration between people on the same team

who are not necessarily located in the same place’

Identifying workplace problems — social media platforms like Twitter and Facebook can serve as an

early warning device for HR to plug into issues or problems before they start to really take off; and,

Competitive intelligence — Linkedin gives one the ability to track what companies people are leaving,

where they are going, and what the market demands.

Need for the Study

Like most things in life that involve change, there are those that embrace the change and there are those

that do not. In the corporate world, departments like information technology and marketing adapt well to the

change. IT because they’re job is to protect information and the online infrastructure, and so walls are built

around knowledge, websites are blocked, and data is protected.

For marketing, change is easy as the department looks for the newest, fastest, and most cost effective

way to market a product, drive sales, and fatten the bottom line. When it comes to the corporate world, HR is

often one of the last to adapt to change. Mostly because they are the keepers of policy, procedure, order, and

the employee. They were the keeper of the employee until social media changed the game.


Today, on realising that social recruiting efforts are not utilized to the fullest extent, this study strives to

investigate on how an organisation could leverage the power of social networks to recruit top talent by seeking

the responses of tech savvy HR Professionals belonging to the IT/ITES sector in Chennai.



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Methodology

This descriptive study includes the opinion of 125 Job Recruiters belonging to the various IT/ITES firms

operating in Chennai City. The opinion of these job recruiters belonging to the HR Department was obtained

through an online survey and effort was put in to ensure that HR recruiters belonging to both genders and to

various age groups with different levels of education and experience are included in the study.

Results of the Study

Table 1

Demographics of the Sample

Gender Percentage Educational Qualification Percentage

Male 38% Graduate 66%

Female 62% Post Graduate 34%

Level of Position Percentage Experience Percentage

Junior 54% Less than 5 years 62%

Senior 46% More than 5 years 38%

Inference

62% of the respondents covered are females and 54% occupy junior level managerial positions, 66%

are graduates and 62% have put in more than 5 years of experience.

Table 2

Core Concepts Behind Next-Generation HR Solutions

Core Concepts Percentage

Be people-centric, not process-centric or role-centric 80%

Emphasize networking and collaboration between workers 74%

Provide insight for everyone - employees, managers and HR 62%

Note : Total is more than 100% as respondents have chosen more than one option

Inference

80% say that an HR solution should focus on the person, not the process. Employees should be able to

establish a personal brand, manage their goals, and seamlessly link what they do on a daily basis with

their performance appraisal.



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74% say that employees should be able to connect with each other in the context of their goals and

activities and gain frequent feedback from managers and peers.

62% say that employees, managers, and HR should all become more informed by having access to a

combination of crowd-sourced insight and company information regarding goals, activities, and career

opportunities.

This leads us to believe that leveraging these core concepts will provide next-generation talent

management that will help companies empower and engage their employees and increase the efficiency of

their workforce for optimal performance.

Table 3

User Expectations Of Social Networking

User Expectation Percentage

Like people to recognize contributions 93%

Need an environment that fosters professional development 44%


Inference

With respect to the HR related activities it has been found that 90% of the respondents want recognition

for contributions made and hence turn to social network sites. On the other hand 44% need a work environment

that fosters professional development and expect this from this.

Table 4

Recruiters Screening Candidates On Social Networks

When and how recruiters are screening candidates Percentage

Have visit potential candidate’s profile on a social network 90%

Have rejected a candidate based on content found on social networking profile 69%

Have hired a candidate based on presence on social networks 68%


Inference

90% of recruiters and hiring managers have visited a potential candidate’s profile on a social network

as part of the screening process. A deeper look into the results reveals that companies are using these

technologies for the following processes:



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Table 5

Use of Technology for HR Processes

Use of Social Networking for HR Processes Percentage

Recruiting and hiring 64%

Referral 54%

On-boarding and off-boarding 43%

Learning and development 37%

Performance management 34%


Inference

It is obvious from the above that job recruiters use social networking mostly for recruitment followed

by referral. Least use of social networking is for performance management related aspects.

Table 6

Concerns About Social Networking

Concerns About Social Networking Percentage

Employees will misuse/waste time on the social media platform/system 72%

Feel upper management doesn’t see a clear vision. 64%

Say there is lack of a defined budget 32%

Also have concerns about security 48%


Inference

Most quoted concern of social networking is seen to be that employees will misuse/waste time on the

social media platform/system followed by a feeling that upper management doesn’t see a clear vision.

Conclusion

Social media is changing the HR function by forcing it to consider technology and the online

conversation in everything it does. Online social network sites are platforms where the conversations HR and

senior executives can no longer afford to ignore. Social media is changing business. Social media is changing

HR. Social media is engagement. Social media is changing everything and is sure to bring rich returns to any

organisation which uses it in an intelligent way.



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References 1. Ideas for Improving Your Corporate Web Recruiting Site. (2006, May). HR Focus, Retrieved February

12, 2008, from Business Source Premier database.

2. Kaplan-Leiserson, E. (2005, December). Plug Into the Network. T&D, 59(12), 10-11. Retrieved February

12, 2008, from Business Source Premier database.

3. Needleman, Sarah E.. Web Advances Change the Landscape." Wall Street Journal 12 Feb 2008: B6.

4. Stimpson, J. (2004, July). Recruiting via the Web. (Cover story). Practical Accountant, 37(7), 26-30.

Retrieved February 12, 2008, from Business Source Premier database



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AN STUDY ON FACTORS INFLUENCING EMPLOYER BRANDING PROCESS

IN SELECT SECTORS OF THE ECONOMY

S. Abraham

Assistant Professor, Guru Nanak College, Chennai

&

Research Scholar, Bharathiar University, Coimbatore

Abstract

It is said that brands come to life through an interplay of the efforts of those managing the brand typically, a firm and stakeholders

interacting with the brand which includes customers, shareholders, distribution channels and employees. It follows that the same

can be said of employer brands which take shape through both the package of functional, economic and psychological benefits

provided and promoted by an employing firm, and through potential and current employees identifying benefits with the employing

firm. Research to date has suggested mechanisms that create, perpetuate and shape employer brands from the perspective of both

the firm and employee. Empirical investigations of the operation of specific mechanisms, such as organisational attractiveness and

brand positioning, has followed, typically from the perspective of either the firm or the individual which could be a potential or current

employee. This has brought to light only a few narrow aspects of the employer branding process, leading to an incomplete picture.

To address this gap the researchers have undertaken a qualitative investigation similar to one undertaken by Lara Moroko, and Mark

D. Uncles. The study has been conducted across a range of six Indian sectors - IT, Pharmaceutical, Manufacturing, Logistics,

Banking and Insurance to understand their employer branding processes. The resulting analysis is both interesting and through

provoking. To gather complete data on firm level as well as individual level mechanisms, the researchers have included two groups

of respondents from each firm, one which directly deals with day-to-day management of the employer branding process and other

which deals with the employee relations. The study has identified a number of inter-related mechanisms that create and perpetuate

the employer brand at the firm and individual level.

Keywords: Employer branding; Employer brand; employer branding process, firm level, individual level

Introduction

It is said that brands come to life through an interplay of the efforts of those managing the brand

(typically, a firm) and stakeholders interacting with the brand (customers, shareholders, distribution channels

and employees) (Hatch and Shultz, 2009; Kärreman and Rylander, 2009; Holt, 2002). It follows that the same

can be said of employer brands, i.e. they take shape through both the package of functional, economic and

psychological benefits provided and promoted by an employing firm, and through potential and current

employees identifying benefits with the employing firm (Ambler and Barrow, 1996).

The practice of employer branding is predicated on the assumption that human capital brings value to

the firm, and through skillful investment in human capital, firm performance can be enhanced. Arguably, the

possession of resources that are rare, valuable, non-substitutable and difficult to imitate allow a firm to move

ahead of its competitors with distinct competitive advantages. While plant, equipment and capital are

commonly regarded as resources that create competitive advantage, human capital has also been shown to



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operate as an important resource creating competitive advantage. For example, a state-of-the-art facility and

technology can create competitive advantage only when there is a highly competent workforce to utilize them.

Review of Literature

Minchington (2005) believes that employer brand is the image of an organization which makes people

believe that it is a great place to be working with. It creates this impression in the minds of all stakeholders.

Thus employer branding may be taken as the activities which deal with attracting, engaging and retaining talent

for which the company will have to develop appropriate strategies and plans

Moroko and Uncles (2009a, 2009b) advocate that marketers should focus more and more attention on

creating an employer brand which acts as a magnet in attracting talent.

Research Objective

To identify the factors that influence employer branding process

To know the presence or absence of the such employer branding factors across different sectors

Methodology

The researchers have undertaken a qualitative investigation of six firms across a range of industries to

understand their employer branding processes. The resulting analysis is both broad and deep, giving insight into

the process from the perspectives of the employer brand as managed by the firm through human resources,

marketing, internal communications and executive management and from the perspective of the individuals

targeted by and co-creating the employer brand (i.e., employees of the respective firms). It is posit that there

are a number of inter-related mechanisms that create and perpetuate the employer brand at the firm and

individual level.

Care was taken to select firms from a diverse set of industries, but to keep other extraneous factors such

as firm size and location constant. The study has been conducted across a range of six Indian sectors - IT,

Pharmaceutical, Manufacturing, Logistics, Banking and Insurance to understand their employer branding

processes The fieldwork took place over a month, with data being collected at all six firms across this extended

period.

The empirical material on which the analysis is based consists primarily of information collected by

conducting interviews with a schedule containing about 40 questions. The interviews were semi-structured in

nature, but to give some structure an interview guide for each of the groups was formulated. These guides

contained topics and questions designed to gain an understanding of the presence and operation of the process

mechanisms identified in the employer branding literature.

To capture data on firm level as well as individual level mechanisms, two groups of respondents were

interviewed at each firm. Staff identified as being involved in the day-to-day management of the employer

branding process (e.g., human resources, marketing, brand, internal and external communications) and



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employee relations staff (internal and external consultants) were interviewed to gain an understanding of the

firm’s perspective of the employer brand. Employees from each organisation, who were not involved in the

management of the employer branding process, were also interviewed to gather data on the individual level

mechanisms. These respondents were selected such that those with a variety of functional positions, levels of

seniority and length of tenure were included.

Each firm was treated as a distinct case and coded separately. Field notes from the interviews, together

with other data like past and present internal marketing communications, employer branding planning and

strategy documents, staff surveys, external recruitment, product and corporate advertising, external reputation

and consumer survey data, newspaper articles on the firms, etc were coded to create themes during data

collection. This helped in having a deep understanding of the way in which the mechanisms operated at each

firm and from the perspectives of both the firm and individual levels.

Findings

From the within-case analysis it is possible to establish whether the full scope of mechanisms proposed,

normatively, in the employer branding literature are operating in the employer branding processes of the six

firms. Table 1 shows the presence (tick) or absence (cross) of each mechanism for all six firms. Supporting the

scope of mechanisms proposed in the literature, the presence of each mechanism is evident for at least one of

the firms in the sample. However, there is clearly variation in the presence of mechanisms at both the firm and

individual levels.

By systematically comparing the presence and operation of mechanisms across the six firms, it was

possible to establish a meaningful, subtle and surprising ways in which the more successful employer branding

processes (the IT, Pharmaceutical, Manufacturing) differed from the less successful processes (the Logistics,

Banking and Insurance).

Firstly, the study was able to establish common themes across the mechanisms: the role of leadership

and line management; the firm’s values; messages relating to the employment experience (in terms of

consistency, source and accuracy/credibility); and employee trust of the organisation. These themes can be seen

as the critical touch-points of the employer brand from the firm and employees perspectives.

Secondly, the research determined that mechanisms did not positively contribute to the process by virtue

of their mere presence. Internal marketing, for example, was present at all six firms, but was only viewed

positively by respondents at the IT and Pharmaceuticals firms, had mixed evaluations at the Manufacturing and

Logistics and was viewed negatively at the Banking and Insurance firms.

Thirdly, it was found that the full range of mechanisms was only evident at the IT and Pharma, which

embodied the characteristics of a successful employer brand more closely than all other firms in the sample.

Table 1. Presence or absence of the such employer branding factors across different sectors Process

level Mechanisms IT Pharma

Manufact

-uring Logistics Banking Insurance



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Firm Cross functional

knowledge sharing

√ √ x x x X

Firm Cultural management √ √ √ √ √ √

Firm Image management √ √ √ √ √ x

Firm Employee attraction √ √ √ √ √ x

Firm Employee retention √ √ √ √ x √

Firm Internal marketing √ √ √ √

Firm Brand management

& differentiation

√ √ √ √ x x

Individual Psychological

contracts

√ √ √ √ √ √

Individual Employer Brand

attraction

√ √ √ √ x

Individual Brand meaning √ √ √ √ √ √

Individual Brand loyalty √ √ x x √ √

Individual Employee

organisation fit

√ √ √ √ x √

Individual Organisational

citizenship

√ √ √ √ √ x

Interaction between the Mechanisms

The findings indicate that the process exists as a result of the interaction between mechanisms at each

level and across the individual/firm levels. For example, cultural management through the promotion of

differentiated values (internally and externally) impacted on employee attraction at the Manufacturing and

Logistics firms. For employees of the Banking and Insurance, the psychological contract of the employees was

fulfilled, despite disruptions to leadership and company structure, due to the consistency of the culture (and

employment experience) brought about by the continuity of senior management. At the Logistics firm,

promotion of the external image of the brand led to pride and employer brand/brand loyalty. However, the

positive effects of this were tempered by the lack of internal communications, leaving the expected employment

experience (and psychological contracts) unfulfilled. By comparison, cultural and image/identity management

at the IT and Pharmaceuticals firms worked to attract employees, particularly those who had a good

employee/organisation fit with the consultative, inclusive and thorough culture of the firm. This, in turn, assisted

the retention of employees, who responded positively to the culture.

Conclusion

Various mechanisms have been suggested previously, mainly based on normative principles. The

contribution of this paper is make an empirical study in which these mechanisms are validated. Furthermore,

from the case data presented and the ensuing analysis it is evident that the employer branding process is



65

inherently multidisciplinary in nature. By its nature the process encompasses functional and theoretical roots in

marketing, human resources, organisational management and strategy. It is, in fact, a much broader, deeper and

more strategic process than often claimed. There are also substantive practical implications. For instance, if a

firm cannot support the mechanisms underpinning the employer brand then it is likely that pursuing an employer

branding program, however well intentioned, will not prove successful. At best, the firm may increase

awareness among prospective employees as an employer and may even increase the ease with which they recruit

employees. However, in the absence of a compelling and deliverable employee value proposition, potential long

term strategic benefits are unlikely to accrue. Similarly, activities that pass for an “employer branding strategy”,

such as simply refreshing a firm’s recruitment advertising or updating a career website are unlikely to deliver

meaningful employer branding.

The importance of sector and industry mechanisms has been briefly explored in this research.

Unaddressed issues in the employer branding process could provide valuable insight into the scope of sources

influencing the employees’ psychological contracts and thus the firm’s ability to construct and promote a

compelling job “product”. This super-macro-level mechanism view, building on the individual (micro) and firm

(macro) level mechanisms would also raise the potential for researching employer branding at a more advanced

level

References 1. Ambler, T., Barrow, S., 1996. The employer brand. Journal of Brand Management 4 (3), 185-206.

2. Backhaus, K., Tikoo, S., 2004. Conceptualizing and Researching Employer Branding. Career Development

International 9(4/5), 501-517.

3. Backhaus, K., 2004. An Exploration of Corporate Recruitment Descriptions on Monster.com. The Journal of

Business Communication 41 (2), 115-120.

4. Berthon, P., Ewing, M., Hah, L. L., 2005. Captivating company: dimensions of attractiveness in employer

branding. International Journal of Advertising 24 (2), 151-172

5. Davies, G., 2008. Employer Branding and its Influence on Managers. European Journal of Marketing 42 ( 5/6),

667-681

6. Ewing, M.J., Pitt, L.F., de Bussy, N.M., Berthon, P., 2002. Employment Branding in the Knowledge Economy.

International Journal of Advertising 21 (1), 3-22.

7. Hatch, M., Schultz, M., 2009. Of Bricks and Brands: From Corporate to Enterprise Branding. Organizational

Dynamics 38(2), 117-130

8. Holt, D., 2002 Why Do Brands Cause Trouble? A Dialectical Theory of Consumer Culture and Branding. Journal

of Consumer Research 29 (1), 70-90.

9. Kärreman, D., Rylander, A., 2008. Managing Meaning through Branding — the Case of a Consulting Firm.

Organization Studies 29 (1), 103-125.

10. Knox, S., Freeman, C., 2006. Measuring and Managing Employer Brand Image in the Service Industry. Journal

of Marketing Management 22 (7), 695-716.

11. Lievens, F., Highhouse, S., 2003. The Relation Of Instrumental And Symbolic Attributes To A Company's

Attractiveness As An Employer. Personnel Psychology 56 (1), 75-103.

12. Minchington, B (2005) Your Employer Brand – attract, engage, retain, Collective Learning Australia.



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13. Moroko, L., Uncles, M. D., 2009a. Employer Branding and Market Segmentation. Journal of Brand Management

17(2), forthcoming.

14. Moroko, L., Uncles, M. D., 2009b. Employer Branding. Wall Street Journal 23 March, 253(67), R7-R8.



67

EMERGING TECHNOLOGIES DRIVING SUPPLY CHAIN MANAGEMENT

INITIATIVES

Samuel Arul Asir

Abstract

With the recent celebration of “International Women Day” and festive of color. Today we will focus on Emerging technology in the

Supply Chain. Facility location decisions play a critical role in the strategic design of supply chain networks. In this paper, new

technology and models in the context of supply chain management is given. We identify basic features that such models and technology

must capture to support decision-making involved in strategic supply chain planning. In particular, the integration of location

decisions with other decisions relevant to the design of a supply chain network is discussed. Furthermore, aspects related to the

structure of the optimization of cost in supply chain are also addressed. Significant contributions to the current state-of-the-art are

surveyed taking into account numerous factors. Supply chain performance measures and optimization techniques are also reviewed.

Applications of facility location models to supply chain network design ranging across various industries are presented. New Techs

presently use by the industry in the market for saving there time and cost. At last a brief statement given by ASSOCHAM supporting

the Logistics sector in India.

Keywords : Supply Chain Management (SCM), Internet of Things (IoTs),

INTRODUCTION

As we are aware about one of the well renowned company in India i.e.Flipkart. They are one of the most

emerging leaders in the market who play there role in Logistics Sector in India. Generally they provides a

platform in which they are having a variety of product line as per the customer needs and requirement. This is

not only reason that make company as a leader in the market they have more than that as per the customer

orientation. As a customer we generally look for a product that satisfy our needs. We Indians are quite ahead in

logistics sector.

According to the World Bank we are in the 35th position all over the world in 2016. There are some

countries who is having more competency in logistics sector. Germany holds the top position followed by

Luxemburg and Sweden. If we compare our country in past records of the World Bank than our rank was

decreased a lot which is one of the greatest achievement for the country. Previously in 2014 we are in the 54th

position according to the World Bank Data.

Now the point arises where we are lacking in the world and why our country is not reaching in the top

of the world. We reached to the 35th position but still we are not in the top. The answer for this could be many

reason like cost optimization, product response, lack of technology, lack of infrastructures, customs,

international shipments, tracking and tracing, timeliness etc.

Today the world is moving faster and we all are running besides any motive of our life. Today the world

ask for the shortcuts, more simplicity and more leisure. One of the greatest achievement of the world is

technology which enhanced the walking underground to the other planet. We may assume a future stage when

the logistics sector also provides there service in other planets.



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Many companies wants to enhance their brand all over the world but it is not possible because only one

king can rule the jungle. Lots of companies have a motive of providing their services are best but is it like that?

No, some companies just give the fake advertisements and it goes wrong when we look behind it. Nowadays

many frauds are occurring nearby but we are not aware about it because we don’t focus on other matters.

The present world market scenario and the emerging trends in supply chain management have posed a new

challenge to the major players, forcing them to reshape their sale and purchase strategies for achieving

competitive advantage in today’s easily accessible, ‘single market’ world. Defence procurements policies of the

nations have not been spared, especially those of fast growing economies like India.

OBJECTIVES OF STUDY

To Highlight the latest technology in the market with respect to SCM

To understand digital SCM

To learn how to optimise SCM profitably.

To know the significance of LIMS (Laboratory Information Management System).

LATEST TECHNOLOGY IN THE MARKET

1. IoTs

When we think connectivity we think about easy stuff like phones, tablets, MacBook, laptops etc. it

totally changing the world where we learn, play and work. The Internet of Everything and the data generated

from the supply chain leads to accelerated decision making. Experts predict that by 2022, one trillion sensors

will be connected to the internet. The amount of data these sensors will be able to share is astronomical and

everything from Lorries and warehouses, to toaster and kettles will be talking to one another.

The Internet of Things has a huge implication for supply chain management as it could improve

efficiency, reduce waste, resolve issues in their earliest stages and help to reach targets. It guides us how the

product is likely to be made, get the details of shipment, product quality. It also allows to ensure temperature

inside the truck carrying the cargo for security purpose.

2. Big Data and Analytics

With so many sensors connected to different parts of the supply chain, the huge amount of data gather

from each stage can enable faster and better decision making from people. The backbone of the supply chain

has been shaken by the digital revolution, which is characterised by innovations such as the Internet of Things,

3D printing, robotics, machine-to-machine communication, and demand sensing, among other things.

As supply chains merge with IoT and big data, the one-size-fits-all, linear supply chain that buys, makes,

moves, stores and delivers products to all customers and channels in the same way is becoming archaic and no

longer adequate for future success. Seventy-two percent of the surveyed companies say that big data is capable

of delivering strong improvement effects in SCM over the next three years, as we saw earlier in figure 6.

Companies making more than 80 percent of their products to stock see significantly greater effects (20



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percentage points) than companies making more than 80 percent of their products to order, underlining the high

importance of big-data analytics for make-to-stock businesses.

3. Satellite Communication

Some companies are taking connectivity to a whole new level by utilising advances in satellite

technology. Satellite services have got cheaper and more reliable, and chips have got smaller. It’s emerging as

an important technology in transforming supply chains. Satellite solution are allowing businesses to track cargo

in trucks, trains and ships as they go beyond the mobile phone network.

“Whatever the cargo – from hazardous chemicals to craft beer – IoT sensors and satellite

communications can share details about the location and environmental condition, such as temperature and

pressure, to everyone in the supply chain. In the worst case, if a ship collides, a sensor can instantly notify the

relevant parties with always-on satellite communication”

4. Machine learning

Till now any sales forecasting was done by humans by looking at previous data but it was an imperfect

science as humans are not only swayed by previous experience, external biases and other factors, but they can’t

handle large volume of data at a single time.

By applying predictive and recommendation models to historical sales data, retailers are able to forecast at a

granular level-by product, individual store and even day of the week.

This helps to optimise SCM lowering risks of overestimation or underestimation for product inventory and

increase efficiencies across the whole business.

5. Robotics & Autonomy

Presently we are developing more and more and there’s a partnership between the robots and humans

that allow them to work collaboratively, but its likely more robotics will be introduced to further streamline

supply chains. Japan is far ahead in this matter. There factories have been running “light out” for weeks at a

time with little or no human presence.

The latest robots have the ability to learn how to complete multiple jobs much more efficiently and conveniently

that human ever could. Robots have a capability of interacting with staff are being trailed in one of Matrix’s

factories in China to take low level tasks off the hands of its workers, In time this will increase production

efficiency.

With the addition of robots, employees can be more focused and productive in their roles stepping away from

menial tasks to completing work that is more fulfilling.

6. Wearable

The use of wearable and the cloud enables businesses to track supply chain inactivity in real time in

order to meet customer stringent demands. Supermarket are pushing supplier harder than ever to meet stringent



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traceability, food safety and quality benchmarks – a situation that looks certain to continue throughout the

coming years. Dealing with this pressure is the biggest challenge the industry faces.

Wearable technology also provides substantial benefits for job satisfaction and productivity. Employee who are

armed with wearable devices in the workplace, on average, increase their productivity by 8.5 percent.

7. 3D Printing

The implication of on-demand production for the supply chain are huge, with positive environmental

consequences in terms of reduction in transport, pollution and production waste. 3D printing can also reduce

dependence on large factory employment, particularly in developing countries where resources may be scarce.

Supply chains are being disrupted from every by these new technologies and it’s the companies that

embrace this revolution early on that will be the overall winners. Retailers, Suppliers and Service Providers

need to understand their offering might change but there’s no set path to digitisation, and every company will

have to embrace these technologies in a different way.

Digital SCM

Companies in various sectors throughout Europe are investing heavily to digitalize their business models

in general and their supply chain management (SCM) in particular. Take major logistics service providers such

as DHL, which has announced that it will rely increasingly on big data to minimize risk, while trials it has

conducted with employees using data glasses for picking processes have increased productivity by 25 percent.

Logistics provider DB Schemer is investing in a digital mobility lab, and airlines with a strong cargo

business, such as Lufthansa and Emirates, are expanding their paperless e-freight offering, which includes data

cleaning for customers. Ocean carriers and forwarders, such as Kuehne + Nagel, use INTTRA’s ocean freight

platform for e-payments, and global retailers Amazon and Alibaba have invested in robotics for goods handling,

drones for deliveries, and new apps for optimizing own asset-light delivery services in cities.



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Fig.1 Digital SCM Linkage

E-platforms, smart tagging, and 3D printing:

Few companies confirm high SCM optimization potential during the next three years Just 40 percent of

the companies currently use transport management systems and software to optimize their transport networks

and routing. The picture is similar with respect to using software for electronic management of freight

documents.

In transport sourcing and routing, as well as in optimization of mode selection, considerable

differences are evident between very large enterprises (such as those with revenues of more than €10 billion)

and others. Among the former, the share of those expecting advantages from big data is almost twice as high.

Only a third of respondents see potential to deliver significant efficiency gains in the three years ahead

by attaching GSM or radio transmitters to products, packaging, or containers to improve tracking. Insufficient

IT integration with other partners in the supply chain, directly or over a shared platform, and the lack of a clear

business case for the investment are explanations.

Torben Weilmünster, Director of supply chain management for the pharmaceuticals and consumer

division at Merz, acknowledges the advantages of radio-based tracking but adds: “Radio/GSM tagging isn’t

business-critical. The technology cannot generate higher sales as such. The ability to locate goods precisely at

Data Foundation Data Aggregator Digital Capabilities



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any given time does not yet offer anyone within the supply chain a sufficiently valuable information advantage

to warrant the higher expense.”

Although supply chain managers do not expect e-platforms to drive a marked shift in the purchase

of logistics services toward direct carrier selection and transactions in the next few years (only 10 percent of

respondents support this notion), 45 percent see e-platforms as becoming of high significance in the

optimization of their supply chains.

Only a small group of respondents expect to see appreciable improvements result from automation

technology, in particular through greater use of robots or self-driving vehicles.

LIMS Quality is such an important part of the supply chain that manufacturing companies implement

information systems specifically for the laboratories that perform the quality inspections on finished goods and

in-process materials.

The Laboratory Information Management System (LIMS) is an information system that can schedule

testing, track tests, and pass test results to other systems in the supply chain, such as an Enterprise Resource

Planning (ERP) system.

The LIMS system is used primarily as a reporting tool where users can enter information about a test

sample, such as the inspection number, the batch of material it was extracted from, the date, time, location etc.

The LIMS system holds the details of the sample and the information pertaining to where the sample is.

As the sample moves through the testing process, the LIMS system can be updated so that users where each

sample is at any time. The tracking of a sample can be performed by entering the sample number into the system

and manually entering the location or by using barcodes. When a sample is initially entered into the system, the

LIMS can print a barcode label with the unique sample number.

Fig.2 Benefits of LIMS

https://www.thebalance.com/quality-inspections-in-the-supply-chain-2221223



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LIMS Functionality

Different LIMS systems offer a variety of functionality. The systems have developed from simple data

entry and record storage to complex relational database-driven tools. They now offer enhanced functionality

often provided over the wireless networks and company intranet, allowing greater flexibility for inspections in

remote and difficult environments

Equipment Calibration and Maintenance

When inspections are carried out the equipment used to extract the sample and to test the sample must

be maintained correctly and calibrated so that there are no errors introduced into the test results. The LIMS

system should contain maintenance records of the equipment used in testing so that notifications can be

generated to perform regular preventive maintenance.

With some instruments and equipment, the requirement may include calibration after a certain number

of uses, for example, the use of a depth micrometre may require that it is calibrated after 50 uses or every month,

whichever comes first.

LIMS systems can also contain the calibration instructions so that a notification and a calibration

instruction sheet can be sent to the maintenance department or a specialty outside vendor.

Testing Methods

A LIMS system should contain and manage the process, procedures, and methodologies that can be used

to perform the test required at the plant. The system should provide a single repository for these methodologies

and be able to select the correct method for the tests that are to be performed.

Optimisation of SCM Profitably

The supply chain of the extended enterprise has become an increasingly complex ecosystem of people,

processes and technologies. Once exclusively comprised of internal systems, most supply chains have greatly

expanded due to the proliferation of computer networks and Internet tools and technologies during the past two

decades. These innovations opened the door for true collaboration between partners, distributors and suppliers

that extended well beyond the four physical (and virtual) walls of the enterprise.

The most recent technology advancements -- the widespread usage of Web 2.0 tools and social networks,

on-demand software, cloud computing adoption and the ubiquity of mobile technologies have served to present

further challenges (and opportunities) for optimal supply chain management.

Manufacturers have been forced to evolve or perish when it comes to optimizing the processes as well

as navigating the new tools and best practices for supply chain management. Most have become acutely aware

of the challenges and trade-offs that affect their increasingly complex, competitive and transparent supply

chains.



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At any point in time, an optimized supply chain stays lean, manages costs and perhaps most critically,

responds instantaneously to even minor fluctuations in demand. While there is no single playbook to ensure

success in an incredibly dynamic global market, here are five tips that should be considered for the

manufacturing enterprise:

1. Think Globally but Act Locally This is not only a geographic reference; but it is also an important point to consider when thinking

strategically about supply chain or value chain planning. Companies increasingly must think in terms of

global opportunities for procurement of goods AND services, and when considering the global needs of

the corporation. Manufacturers should consider multiple channels and determine the optimal levels of

inventory within the echelons of the supply chain process. This is also critical to consider carbon

footprint levels and ensure the greening of the supply chain. However, during the execution of the supply

chain it is important to optimize locally to maximize your investments in critical resources:

infrastructure, assets and technology.

2. Focus on Core Strengths and outsource all other Activities

Many organizations try to do too many things or don't realize that they can outsource repetitive

or tasks or one-off projects (for e.g. determining the optimal distribution network; the payment and audit

of freight bills or supporting enhancement of its information systems). Quite often it seems as though

an organizations' internal resources are able to do better job in the short run. Most often, by relying upon

a specialized third-party provider, a better value will be realized in the long term. Focusing on your

organizations core competencies will help you grow your business.

3. Improve Collaboration between Manufacturer/Supplier and Retailer for Demand Data Driven

Forecasting and Inventory Management

This will help organizations reduce inventory, improve fulfilment rates and product availability

at point of purchase and ensure a lean supply chain improving margins and profitability. Today,

technology provides myriad opportunities to collaborate, there is a proliferation of data available to be

mined and advances in computing power and connectivity allows us to test for optimality in ever

increasing areas.

4. Utilize Mobile-Based Technology

This technology can help improve field sales, merchandizing and marketing, and enable direct

services to the consumer (through customized location-based coupons or services that improve

employee productivity in the field). Providing information such as provenance, origin, item contents and

specialized information on demand about sustainability, local content or manufacturing methodology

enhances the brand and allows companies to connect directly with the consumer.

5. Build a Responsive Supply Chain

Utilize source data such as POS sales, as well social media information to identify trends and

demand changes much earlier and enable your supply chain to respond faster to increase sales, improve

service levels and reposition inventory to maximize true benefits. Multi-channel programs will change

expectations from supply chain forecasting/planning paradigms to building responsive supply chains.



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ONCLUSION

According to the report - Cargo and Logistics Industry in India - the Make in India campaign will connect

the sub-continent with global networks and will not only improve the country’s logistics industry but will also

make the country a more attractive location to do business in.

In a statement, the Associated Chambers of Commerce and Industry of India (Assocham) said: "India

can save up to $50 billion if logistics costs are brought down from 14 percent to nine percent of countries gross

domestic product (GDP) thereby making domestic goods more competitive in global markets. The study said:

"With expected inflow of new investments owing to government's thrust on promoting domestic manufacturing

sector, India's cargo and logistics industry is likely to clock a compounded annual growth rate of about 16

percent during the course of next few years."

The same study has also indicated that the ‘ Make in India’ campaign will see investments connect the

country to global production networks that would generate new business for logistics thereby making it an

attractive location to do business as compared to other regions in the world.

The government should create a uniform tax structure and do away with multiple checkpoints and

documentation requirements which would lead to speedier delivery of cargo, it added. In this connection, the

study has also emphasised that with the passing of the constitutional amendment bill on the Goods and Services

Tax (GST) in Parliament will further improve the logistics sector performance by bringing down the distribution

costs by 15 percent.

This landmark bill to reform India's indirect tax regime has been passed by the Lok Sabha, but is stalled

in the Rajya Sabha where the ruling National Democratic Alliance currently lacks a majority.

REFERENCE

http://www.industryweek.com/planning-amp-forecasting/five-ways-optimize-supply-chain-

management

http://lpi.worldbank.org/international/global

https://olc.worldbank.org/

http://www.firstpost.com/business/logistics-india-exports-assocham-new-investments-2758804.html

http://onlinelibrary.wiley.com/doi/10.1002/j.2158-1592.2005.tb00196.x/pdf

http://www.scmr.com/

C

http://www.industryweek.com/planning-amp-forecasting/five-ways-optimize-supply-chain-management

http://www.industryweek.com/planning-amp-forecasting/five-ways-optimize-supply-chain-management

http://lpi.worldbank.org/international/global

https://olc.worldbank.org/

http://www.firstpost.com/business/logistics-india-exports-assocham-new-investments-2758804.html

http://onlinelibrary.wiley.com/doi/10.1002/j.2158-1592.2005.tb00196.x/pdf

http://www.scmr.com/



76

FUTURE TRENDS IN SUPPLY CHAIN MANAGEMENT

Thileepan A.

Research Scholar, AMET Business School

Academy for Maritime Education & Training (AMET University)

Abstract

Supply chain management, in recent times, has emerged as the basis in many industries (small or large) for creating the integrated

relationship between suppliers and customers. Due to continuous growth in last year in supply chain management the environment

has become competitive. So in order to respond to competitive pressures companies need to know and understand the new trends in

SCM. This paper focuses the emerging trends of SCM in current scenario, and it provides broader awareness of SCM concepts. It

addresses this need, by critically reviewing the current status of SCM in Indian context. Managing the Supply chain by making use of

I.T. services has paved a new way of confiscating the uncertainty and enhancing the customer service and thus creating a competitive

edge.

Keywords: Supply Chain Management, future trends, emerging trends

INTRODUCTION

In today’s global markets, the introduction of products with shorter life cycles, and the heightened

expectations of customers have forced business enterprises to invest in, and focus attention on, their supply

chains. This, together with continuing advances in communications and transportation technologies (e.g.,

mobile communication, Internet, and overnight delivery), has motivated the continuous evolution of the supply

chain and of the techniques to manage it effectively.

In a typical supply chain, raw materials are procured and items are produced at one or more factories,

shipped to warehouses for intermediate storage, and then shipped to retailers or customers. Consequently, to

reduce cost and improve service levels, effective supply chain strategies must take into account the interactions

at the various levels in the supply chain. The supply chain, which is also referred to as the logistics network,

consists of suppliers, manufacturing centres, warehouses, distribution centres, and retail outlets, as well as raw

materials, work-in-process inventory, and finished products that flow between the facilities.

Much of Amazon’s success comes down to supply chain management. In 2015, it topped Gartner Inc.’s

Top 25 Supply Chains, beating out McDonalds and Unilever to head the field. It did so thanks to its constant

innovation, and a consumer-centric approach with an effective and efficient supply chain management.



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According to the World Bank global ranking India is in the 35th position all over the world with 3.42

LPI in 2016. Whereas, some countries who are having more competency in logistics sector as, Germany holds

the top position with 4.23 LPI followed by Luxemburg and Sweden (4.22&4.20 respectively). Comparing India

with the past record India has achieved a lot but it’s still halfway through. There is lot to achieve.

In the last three to four decades, government and business have been part of a far-reaching economic

transformation, made possible by remarkable advances in information, communication and transport

technologies. The proliferation of internationally joined-up production arrangements – that is, global supply

chains – has changed our economic and political landscape in fundamental ways.

Today’s “flattened” world has resulted in significantly more complex supply chains, where technology

rules and changes in the global economy happen at warp speed. Among the emerging trends that are worth

watching: Further reshoring of manufacturing of high value, customized products and the growth of rapid

prototyping; and Big Data analytics driving decision-making and improving supply chain operations by

effective integration of procurement, production and distribution functions.

SCM is listed globally as one of the top ten forces of business world in the 21st century. But still a

question arise : “How is the future of supply chain”?

OBJECTIVES OF STUDY

To highlight the future trend in supply chain management

To learn about emerging dimensions of supply chain management

FUTURE TRENDS IN SUPPLY CHAIN MANAGEMENT:

The primary objective of SCM is to fulfill customer demands through the most efficient use of resources,

including distribution capacity, inventory, and labor. Nowadays the demand of customer are so unlikely to

change they want the goods faster, cheaper & better.

Trade protection data for Argentina, Brazil, China, India, Mexico, South Africa, and Turkey are

analyzed in the paper. In addition to the fact that all of these countries are trade dependent. And all this countries

has the ability which customer need. Depending upon the past and the present there are some future trends

which are likely to be arise and they are:



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1. Impact of E-commerce

E-commerce industry has become prominent in the last three years. This will create an impact on supply

chains of many retailers. Statistics of 2013 show those customers preferred online shopping even during

holidays. In fact online sales are high during holidays. So retailers are providing special offers during holidays

to attract customers. E-commerce players are trying innovative techniques to increase customer reach. One such

technique is "click & collect" service, where people order products online for pick-up at store or any other

preferred location. This service is popular with busy internet-savvy buyers of groceries and electronic gadgets.

These people cannot wait at home during daytime for deliveries and hence prefer to pick up at a convenient

location and time. This service has altered the supply chain and inventory management systems of many firms

and they need to be ready to face challenges.

2. Emergence of 3D printing

3D printing is the processes of making a three-dimensional object of almost any shape from a 3D model

or any other electronic data source. A 3D printer is a type of industrial robot. 3D printing is one of the

technologies that has potential to revolutionize manufacturing and supply chain systems in future. 3D printing

is already being used in health care services (in dentistry for artificial implantation). Manufacturers see the

potential for 3D printing to change the way they source various spare parts. At present, this technology is ideal

for creating customized parts and reduces inventory and storage costs. If the speed at which 3D printing

produces items increases, it will change the structure of supply chains. Right now 3D printing is not that useful

in mass production as it takes a long time to print a single item - 2 hours for a smart phone and longer periods

for complex items. But if, for example, it takes 16 hours to print a spare part, and normally that part is shipped

from a factory in Europe to India, then printing the part is less costly than sourcing it.

3. Big Role of Big Data

It is very easy to get data related to customer behavior and purchasing trends using big data and a proper

analysis and thorough number crunching can give significant inputs to understand customer requirements

regarding online and in-store shopping. Accordingly changes in Supply chains have to be incorporated. The

challenge is in using the information from big data and getting a particular buying pattern of consumers, as

enormous amount of data is generated using big data.

4. Increasing Use of cloud computing

Logistics and warehouse operators are increasing usage of cloud computing to host their IT supply chain

on a centralized cloud, rather than on different physical computers located at many locations. Cloud computing

is used to set up warehouse and logistics operations quickly in areas where there is paucity of established



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infrastructure. A warehouse is created in the cloud. As long as a physical site is present, data present in the

cloud can be accessed. Cloud computing helps in improving a supply chain's long-term efficiency.

5. Urban deliveries are becoming more complex

There is increasing complexity of logistics in urban areas. One important factor contributing to this trend:

higher environmental standards set in cities. Cities such as Mumbai are getting bigger and more congested and

are struggling to cope with the volume of people and traffic. So there is a pressure on users to be more

ecologically responsible. Therefore Retailers and logistics companies need to work on making their deliveries

more environment-friendly by using innovative solutions.

6. Integrated Supply Chain Management

The ISCM not only means integrated logistics but also demands that the SCM must look into the

ramifications of these arrangements at the cost of transportation of products within a trade zone and outside it.

It also includes developing logistics strategies. The field of ISCM has developed in the last few years for

bridging the gap between demand and supply using efficiency and cost trade-offs. The SCM now not only

involves the "management of logistics", as was done in the past, but includes the management and co-ordination

of activities, upstream and downstream links in the supply chain. The integrated supply chain management

includes but is not limited to: Planning and Managing supply and demand; Warehouse Management; Inventory

control; Efficient Transportation and Distribution; Timely Delivery and customer's delight & customer's

satisfaction.

7. Tough competition among major E-commerce players

Last year we have seen major investments in various E-commerce companies by venture capitalists. There

is an investment of 1 billion dollars in Flipkart by some foreign VCs. Amazon has announced an astronomical

2 billion dollars investment in India; Jabong and some companies formed as global fashion group. As all these

companies have attracted a lot of investment, there would be huge competition among them. In such highly

competitive scenario, the simple pursuit of market share is no longer sufficient to ensure profitability.

Companies must focus on redefining their competitive space and have unique strategies. For E-commerce

companies, supply chain is a main differentiator. A company that has an efficient and better supply chain can

have edge over others in getting good revenues.

EMERGING DIMENSIONS OF SUPPLY CHAIN MANAGEMENT:

3D printing:

It was only a few years ago that “3D printing” started for the very first time. The idea that an object

could literally be printed into existence seemed far-fetched to say the least—much like something out of a

science fiction movie. Today 3D printing has become a common topic of conversation, with the business

implications of this controversial manufacturing tool suggestive of a significant and global impact.



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Innovation:

This is the operational level of sustainability dimension to all actors of SC. This level is not only integral

component to the dimension of sustainability to address environmental and social concerns of the SC actors but

also improves economic performance along with all levels of management dimension. In general SC actors

embrace innovations which increase profitability (measure on Y-Axis), whereas they need to be innovative to

reduce environmental degradation and to become environmentally sustainable.

To achieve sustainability, the innovations may take place at organizational level, process level, product

level, market level and environmental level. Innovations at organizational level may consider organizational

structure and management systems, while process level may include introduction of a new process for making

or delivering goods and services. Product level innovations may consist of introduction of new product or a

significant qualitative change in an existing product. Environment level innovation may spread across the

supply chain, including steps taken by suppliers (reduced packaging), manufacturer (reduction in hazardous

substances, energy efficient processes), distributors (reduced packaging, efficient transportation) and customers

(reuse and e-waste disposal), whereas innovations at market level may comprise of dealing with competitors

and customers.

Environmental:

This can be considered as tactical level of the sustainability dimension to address the ecological concerns

of SC actors. The organizations moving towards achieving sustainability must include green practices to save

environment, which also has impact on social wellbeing in a long run. This entails innovation in existing way

of managing SC such as cleaner sources of energy and efficient utilization of using existing processes provide

cost benefits along with reducing emission of greenhouse gases. Environmental performance of the SC may be

assessed on green manufacturing, green product and packaging along with waste management, recycling, use

of alternate sources of energy and compliance of environmental rules and regulations. SC actors should not only

fulfill the compliance norms of the government but should also innovate to improve the benchmark and

standards.

Social:

This is the strategic and highest level of sustainability dimension and addresses the issues of

stakeholders. The actors in supply chain must be accountable for their actions, which have a negative impact

on internal and external customers as well as the society at large. Organizations can increase the trust of the

stakeholders by reporting transparently with accountability and promote ethical business practices.

Transparency in work culture, providing equal opportunity of employment, compliance with regulations and

fair implementation of policies and procedures may contribute to the sustainability of the organization. The

contribution to the social justice, upholding of the human rights, discouraging child labor, handling layoffs and



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worker disputes, and providing relief during catastrophic disasters etc. can be considered as performance

measures of social level of the sustainability dimension.

Sustainability in supply chain can be achieved not only by its economic accomplishment but also by

successfully addressing the environmental and social issues through innovations. So the various supply chain

actors while deciding their SC performance should not only consider efficiency and effectiveness but also their

performance on innovation, environment and social through all levels of management.

Future Supply Chains provides integrated end-to-end supply chain management, warehousing and

distribution, multi-modal transportation and container freight stations.

CONCLUSION

Gone are the days where customer service was merely a buzz word. With the focus on customer service,

companies have moved away for a supply driven business towards a demand driven business. Companies are

also constantly searching for ways to reduce inventory and holding cost. The increase in speed has forced

companies to search for ways to reduce product cycle time and move product quickly and cost effectively. With

this the concept of Supply chain has emerged to be one of the important sectors across worldwide. It is so

considered because of the time utility factor concerned with it. Supply Chain Management with I.T. services

has completely changed the outlook of how companies manage their supply Chain and how they maintain their

collaborative relationships with their suppliers and satisfy the needs of their customers. This paper depicts the

emerging trends in Supply Chain as well as points out the difference of India’s Supply Chain with that of India.

India is one of the world’s fastest growing economies with diverse markets.

Managing Supply Chain in such a vast country is most challenging for any organization because of business

practices, govt. regulation, technology, capability, transportation and infrastructure. Thus in every case, Indian

Organization need to act fast to capitalize on these opportunists to be competitive with the world market.

Global supply chains, however, are themselves rapidly evolving. The change is in part due to their own

impact (income and wage convergence) and in part due to rapid technological innovations in communication

technology, computer integrated manufacturing and 3D printing.

REFERENCES

Wikipedia/Supply Chain Management website.[online].Available:

http://en.wikipedia.org/wiki/Supply_chain_management



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World Bank/Logistics Performance Index website [online]. Available:

http://info.worldbank.org/etools/tradesurvey/mode

LinkedIn

https://www.apics.org/apics-for-individuals/apics-magazine

http://www.macrothink.org/journal/index.php/jmr/article/viewFile/3986/3560



83

A STUDY ON ROLE OF INSURANCE COMPANIES AT FINANCIAL MARKET”

Mr. V.N. Thiagarajan., Ph.D. Research Scholar & Assistant Professor,

Department of Commerce, Sindhi College of Arts & Science, Chennai -77.

INTRODUCTION:

Insurance represents joining of all who are exposed to danger with aim to mutually bear the burden if

someone suffers some kind of damage. Hence the early idea that people who are threatened by some danger

should organize into a community; the community made of contribution of each of them, which would provide

sufficient funds to those who were hit by some kind of accident. The importance of insurance for the insured

one is that it helps him secure himself from various risks. Apart from that, he or she can provide existence to

the family in case of loss (death, permanent inability to work & etc.) or some travel expenses or similar costs.

Modern insurance influences the increase of “freedom and independence of a man”. Freedom is primarily

reflected in the possibility that a man is secure from the consequences of their activities if causing damage to

another one. Based on theoretical concepts through the analysis of the insurance companies this paper work will

come up with an answer to the question in which way they affect the financial market and how they contribute

to its development. Research in the scientific sense is based on the already well-known theoretical views and

concepts on the subject of research and, in its largest part, on focus on empirical research. The scientific

objective of this research is to achieve scientific knowledge about the importance of insurance companies and

their impact on financial markets. Social justification arises from the fact that the insurance sector is faced with

many problems but also challenges, which is why it is necessary to intensify research efforts that may contribute

to a better perception of the current state and prospects of development of the insurance sector and,

consequently, Financial Markets as well. The paper outlines the general hypotheses that: insurance companies

have a very significant impact on the financial market of each country.

As a special hypothesis we can highlight:

capital market growth driven by the development of insurance.

insurance companies are one of greatest employers in the world, and thus affect the employment rate,

especially in developed countries.

Huge capital is formed via insurance which affect positively financial flows and financial market.



84

RESEARCH METHODOLOGY:

The methodology used for the study is purely secondary in nature Such as books, journals, magazines,

Newspapers, Instructions/Rules & regulations of Insurance companies notifications and so on. Reports issued

by the Government of India, Insurance companies, Various committee reports on Financial Markets, Research

articles and papers in International and National journals are being referred for the current study.

INSURANCE COMPANIES:

These institutions on the contractual basis collect funds at regular intervals. These financial

intermediaries that are characterized by a high level of security can anticipate to pay its obligations in the coming

years, so unlike depository institutions may not be affected by the current loss. They are not the main concern

of achieving liquidity assets, and therefore tend to have long-term investments in corporate bonds, shares and

mortgages. The insurance industry has a very important role in the financial systems of countries around the

world. The world market for insurance year after year records an increasing growth, largely thanks to the

opening of the insurance market in developing countries. Insurance markets in developing countries until

recently were closed to foreign companies, and therefore, due to the lack of competition and adequate

knowledge management, insurance companies were inadequately developed. The insurance industry today,

despite the great importance it has in the developed parts of the world, gets the increasing influence on the

markets of developing countries. In developed countries, there is almost no one who does not have one or more

insurance policies: life insurance, health insurance, disability insurance, auto liability, auto insurance, fire

insurance, etc. The insurance industry applies for one of the largest employers in the world, taking into account

that in developed countries the employment rate in this sector began to decline slightly, while in developing

countries, due to large growth potential of their insurance markets, there is an upward trend. The reason for

declining growth rates in developed countries is attributed to the development of technologies which enabled

insurance companies to handle incoming claims for compensation for damages in simple way, which reduced

demand for administrative workers. The process of deregulation that swept through financial markets worldwide

has caused a huge competition between the deposit and non-deposit financial institutions, so that commercial

banks and brokerage houses have begun to encroach on the parts of the market, which until recently were

traditionally reserved for insurance companies. Insurance companies are considered as financial intermediaries

for several reasons. The first reason is that they receive funds from their clients for further investment. Many

people use insurance companies as institutions in which they invest most of their savings. Another reason why

these institutions can be found as financial intermediaries is that these institutions place invested assets of its

clients in a series of investments that will make them some money. So, they take resources from one sector and



85

invest them in another sector. Insurance companies deal with the risk-taking on behalf of their clients in

exchange for compensation in the form of premiums. Insurance companies generate profits by charging

insurance premiums that are designed to be sufficient to pay expected claims for damages and to obtain certain

profits.

ASSETS OF INSURANCE COMPANIES:

Insurance organizations as legal entities have their property. Assets of insurance organizations constitute

the right of ownership on immovable and movable assets, cash, securities and other property rights. Insurance

companies acquire funds from multiple sources. Initial funds consist of assets which founders provide while

founding (initial capital), then the money come from collected premiums received for the risks in insurance as

well as assets remained as profit at the end of the fiscal year. The joint stock company sorts the means it deals

with into certain funds. According to the Law on Insurance, the funds of insurance companies are:

1. Means of technical reserves.

2. Means of guarantee reserves.

3. Other insurance means

Initial funds are the resources that the founders provide while establishing an insurance company. Unlike

companies engaged in other jobs with the insurance companies, this means these funds must be constant. These

are the so called "horizontal tools". They serve as a condition for a particular security of insured person who

conclude a contract on the initial period of operations of the new company for insurance. These funds can be

used only in exceptional cases and only if there are no other means. It is believed that an organization which

uses these funds doesn't fulfill the conditions for business so the liquidation process of such company may

begin. Technical reserves are the assets that consist of: Reserves for unearned premiums, reserves for unexpired

risks, reserves for bonuses and discounts, damages reserves, mathematical reserves for insurances where insured

ones accept participation in investment risk and reserves for risk equalizations. Funds of mathematical reserves

are special funds that are formed in insurance companies dealing with insurance of persons. These funds have

purpose and so, as a rule, they are on separate account or accounts. They cannot be used for any purpose other

than to pay the amount of insurance based on life insurance. Compulsory execution is not applicable to them,

and they have special treatment in case of bankruptcy of the company engaged in life insurance. The guarantee

reserve are special funds and used for permanent fulfillment of obligations of insurance organizations. The

insurance company shall, for permanent fulfillment of obligations and filing of business risks, formed a



86

guarantee reserve, in the manner prescribed by law. The guaranty reserve shall consist of a primary capital and

supplementary capital, reduced of deductions.

FINANCIAL PERFORMANCE OF INSURANCE ORGANIZATIONS:

Insurance organizations in legal matters act with full responsibility. This means that they are responsible

for its obligations to third parties with all its assets. It should be noted that shareholders who have established a

joint stock company are not liable for obligations of the company. They can only bear the risk in the amount of

funds invested in founding. Financial transactions are understood under the term organizational business

(revenue and sale of assets, loss coverage and distribution and taxes).

Income and Expenses - Insurance organizations (JSC) receive income from its business operations.

Income sources are different. Revenues of insurance companies are made of insurance premiums, and active

reinsurance businesses, and perhaps others functional incomes, income from investment activities, financial

income, income on the basis of the valuation of assets and other income. Expenditures include costs of an

insurance organization in the course of the business year. Expenses include costs for paid damages and the sum

insured whether they are direct or for those received in reinsurance or co-insurance, then come the risk

premiums submitted in reinsurance expenses for prevention, as well as expenditures for business of insurance

organizations (material costs, salaries of employees and all those expenses that have any legal entity), as well

as extraordinary expenses and capital losses. Expenses are considered expenses of determining claims incurred,

expenses for recourse claims (court fees and costs), costs of expertise in contentious cases and other costs

incurred in connection with the evaluation and settlement of claims. Allocations for reserved damages are, at

the same time, revenues in the coming year.

Loss coverage - Organization for insurance during the annual business can show a loss. Insurance Act

lays down rules to cover the loss and sequence of resources that can be used for this purpose. If an insurance

organization experience business loss during the year, the coverage is made out of the following sequence: from

retained earnings, or surplus, out of the free reserves, the assets of the fund prevention, from the initial fund

safety. If it is a mutual insurance company, the loss is covered before using funds from the initial security fund

by paying additional contributions of the insured or the proportional reduction of damages to all members,

insured ones or a combination of these two methods. The Act further stipulates that the insurance organization

is responsible to cover the loss in the business year, and to compensate ("return") means to the initial security

fund in the amount that was used to cover the loss. In addition, insurance company obliged to inform the

competent authority of finance about the occurred loss. The reason for this notice is that the competent Ministry



87

of Finance determines the officialand who will, at the expense of the organization controlling the

implementation of measures, repair or cover the loss.

Distribution of profit - Joint-stock insurance company is established in order to profit. Gains of the

insurance company are part of the income that remains when covering total expenditure in the accounting period

(during the business year). Tax is the first thing to be paid from the profit. The rest of the profit is a part of the

deployment, and according to the Law, it is allocated in the following schedule.

to cover the loss from the previous year (if any)

Dividends and other remuneration to shareholders in proportion to the funds they have invested

mutual insurance company,

for the refund of excess contributions of members (policyholders), in proportion to the amount of their

contributions,

the safety reserves, allocations to other funds (fund prevention, means of collective consumption) and in

the mutual insurance company for the return of the founding roles with appropriate interest,

to gain employment in accordance with the collective agreement.

Business principles - Insurance organizations and other legal entities are obliged to act in their own

business or operate in accordance with certain principles. These are the principles of economy, and the

implementation of the profession in the insurance business in accordance with the law and good business

practices and business ethics, as well as the principle of fair competition. For insurance organizations, the

principle of reciprocity and solidarity is particularly stressed as well as operations in order to ensure continued

fulfillment of its obligations. The obligation of insurance organizations to provide lasting performance of its

obligations is legally regulated in the sense that the obligation of the guarantee reserve exists. In addition,

insurance is required to take into account whether you can cover all the risks assumed in insurance. If that's not

possible, it is obliged to provide them via reinsurance or coinsurance. If the organization is not able to cover all

risks with its own funds, a part can be transferred to reinsurers abroad, but only if it is not possible to achieve it

within the country

SUPERVISION OF OPERATIONS OF INSURANCE COMPANIES:

Specifics of insurance operations require special supervision over the work of insurance organizations.

In most countries, this monitoring is very emphasized through the control carried out by national authorities.

National Bank of Serbia monitors every insurance business by the Law on Insurance in Serbia. National Bank



88

of Serbia monitors performances of insurance branch, i.e. monitors business of insurance companies and

reinsurance companies (subjects of monitoring). Reasons for increased control of the insurance organization

are explained by the following arguments:

It is necessary to preserve the interests of the insured ones

It is useful for the insurers as well (competition elimination and rent ability providing)

Governmental interest.

Supervision over the operations of insurance organizations determines in the first place if the general

acts, business policy and business insurance organizations are in accordance with the law and the regulations

made thereunder. The control is in the first place legality obedience, ensuring the solvency and liquidity of

insurance organizations, preservation of equality of parties, the ban on gambling and betting elements, ensuring

fair competition between insurance organizations and so on. In order to achieve the objectives of the control -

monitoring is present in all stages of the existence of insurance organizations and even before that (a requirement

for obtainingthe license is the fulfillment of certain conditions stipulated by law). Therefore, the supervision

over the operations of insurance organizations can be viewed through three stages:

1. Phase of establishment - the fulfillment of the conditions for the establishment and initial operation of

insurance organizations.

2. In the course of operations - control of tariffs of insurance, signed agreements, the obligation to

maintain certain funds, the obligation to report on the operations and so on.

3. During the termination of insurance organizations-rehabilitation, withdrawal of license, etc.

Measures for supervision of insurance organizations constitute the whole which consists of:

special control over the operations of insurance organizations that are engaged in the business of

automobile insurance

mathematical counting (obligations of organizations engaged in the business of life insurance to ensure the

actuary, the actuary participation in the evaluation of the annual calculation results and so on.)

Revision (obligations of insurance organizations to conclude an agreement on the revision of accounting

statements.).

CONCLUSION:

The importance of insurance for the insured one is in preventing him/her from various risks. Huge capital

is formed by insurance and it represents a part of national savings for unpredictable cases and the importance

of insurance for every country's economy is enormous. Assets of insurance organizations constitute the right of



89

ownership on immovable and movable assets, cash, securities and other property rights. The funds that the

founders provided during the establishment of the insurance company make initial stock. Safety reserves consist

of assets formed from premiums in the year when the premium is greater than the damage occurred. The funds

that are formed in insurance companies dealing with insurance of business men are the life assurance reserves.

Guarantee reserve - these are special funds that are used for continuous performance of the obligations of

insurance organizations. Insurance organizations (JSC) gain revenue from its business operations. Income

sources are different. Revenues firstly come from collected premiums received for insurance, reinsurance and

coinsurance, then revenues from recourse for the paid damage from the responsible persons, and also

extraordinary income and capital gains. If an insurance organization, during the year, registers an operating loss,

coverage is made out of the following sequence: from retained earnings, or surplus, out of the free reserves, the

assets of the fund prevention, from the initial safety fund. Gains of the insurance company are part of the income

that remains when covering total expenditure in the accounting period. Organization for insurance is required

to take into account whether it can cover all the risks assumed in the insurance; if not possible, is obliged to

provide them via reinsurance or coinsurance.

Supervision over the operations of insurance organizations is determined in the first place if the general

acts, business policy and business insurance organizations in accordance with the law and the regulations made

thereunder. Insurance companies are required to provide the National Bank of Serbia with data about legality

or illegality of the business. Thus, the insurance organizations are obliged to provide the National Bank of

Serbia with: 1. Annual and business report,2. the copy of revision report with the authority’s comment on it,

&3. Comment of the supervisory board, amendments to the business policy.

REFERENCES:

Brzaković, T., (2007), Tržištekapitala – Teorijaipraksa,Čugura print, Beograd.

Jednak, J. (2007),Finansijskatržišta,Beogradskaposlovnaškola, Beograd

Marović, B.Kuzmanović, B.Njegomir V.(2009), Osnoviosiguranjaireosiguranja, Princip press,

Beograd

Marović, B., Avdalović, V.(2005), Osiguranjeiupravljanjerizikom,"DDOR, Novi Sad"

Tuševljak, S.Rodić, J.(2003), Finansijepreduzeća, CONSSECO institut, Beograd

Vuković, S., (2004), Zakon o osiguranju,Službeniglasnik, Beograd

Zakon o osiguranju (2014),SlužbeniglasnikRpublikeSrbije, br 139/14 Beograd



90

A Strategic Approach to Talent Management-an Empirical study in IT – BPM Companies, Chennai

P.K.Dhanalakshmi

Doctoral Research Scholar (Cateogory B)

Department of Management Studies, Bharathiar University, Coimbatore

[email protected]

Abstract

Talent Management has gained its deserving status only after the greater realization of its inevitable role

in the implementation phase of overall strategy. Talent boundaries have widened up which compulsively made

talent management practices to be wider. There arises the need of development of a new horizon of talent

management which is strategic talent management. This paper attempts to evaluate the awareness of self

efficacy of HR professionals and their understanding of the impact of alignment of talent management practices

with the strategy execution. Today’s HR professionals of IT-BPM industry are entailed to be a part in strategic

planning and decision making. This study evaluates the awareness of HR professionals as a strategic partner

and strategy based talent management practices as a key contributor. Findings reveal that this is achievable only

when top management realizes that HR professionals are not limited only to their core competency level but

also must play a major role in creating a strategic workforce for attaining competitive advantage.

Keywords: HR knowledge, HR competencies, General Self Efficacy, Talent Management, Strategic Talent

Management, Competitive Advantage.

Introduction

In today’s scenario, companies are forced to create a workforce through which they defend and endure

in the survival war. During Every step they make, companies have to add new core capabilities. These days

human capital has become an important corporate resource. Talented, skilled and sophisticated human capital

is the need of the hour. Talent Management of yester years has no match for talent management in recent times.



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Today’s talent Management has changed the human resource practices into a holistic HR Practices perfectly

synced with Company’s Business Strategic Management.

Basically, talent management directs the HR persons to lineup the talents required for the easy

accomplishment of organisation goals. All the HR actions which start from acquiring, hiring, training,

appraising, promoting, rewarding, etc are aimed at one single common goal. Talent Management by default

forms a part in Strategic workforce planning.

As Talent Management is applied from low level to senior level, every employee’s contribution is

significant and inevitable for the company’s success. So the low level workforce should also take into

consideration while executing the plans from the senior level executives.

HR Managers are in a position to attract, hire and retain talents in order to make the company survive

in the business domain. Top Management always relies on best talents in the world to create a competitive

advantage. Successful companies depend on their highly efficient talents for its continual success and also for

the existence.

Employers face challenges in finding out potential employees and top performers in today’s labour

market. But HR persons in addition with finding new talents periodically, one of the other major challenges

would be creating a talent pool inside the organisation, improving internal mobility of employees rather than

acquiring new talents for every new project. Talent Management is not a seasonal activity for any company; it

is a continuous ongoing perpetual activity that becomes an indestructible pillar of the business.

Objective of the study

Survival purpose drove the talent management activity in yester years, but in today’s scenario thriving

is main purpose of talent management coupled with strategic planning of workforce. The first objective of the

study is to find the perception of HR people about their HR competency in terms of Personal, Social and

Cognitive competency and its relationship with professional satisfaction. The other objective is to analyse the



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perspective of company’s HR Representatives on alignment of the company’s talent Management practices

with strategic management.

Literature review:

The theoretical background of talent management starts with basic understanding in the H perspective

as placing the right person in the right job at the right time from the available talent pool. Fundamentally Talent

Management is defined as developing and strengthening the human capital as per the organisation’s needs.

Talent Management was perceived as a part of Hr practices such as recruitment, selection, training and

development. It was believed that talent management includes career planning, succession planning and

management of talented people. (Mckinsey, 2001, The War Of Talent, Thorne & Pellant 2007, Lewis and

Heckman, 2006).

A recent study of 40 global companies found that virtually all of them identified a lack of a sufficient

talent pipeline to fill strategic positions within the organization, which considerably constrained their ability to

grow their business (Ready and Conger, 2007). A significant body of strategic HRM literature has pointed to

the potential of human resources as a source of sustainable competitive advantage.

Strategic HRM literatures have also identifies and supports the fact that human resource has become an

important source for a sustainable competitive advantage. (Schuler & Jackson, 1987; Becker & Huselid, 2006).

In recent changing demographics and global level competition, talent management activities have redefined into

a set of activity that is purposefully aligned with strategic planning designed in view to gain competitive

advantage in the playing arena. The process has been widened with the inclusion of motivation practice and

performance gauging associated with talent development.

Talent Management practices have transformed into a new horizon. The process of talent management

which is aligned with strategic planning included the following activities. Some of the strategic talent

management practices include systematic identification of key positions, pooling of talents, developing the

talent as competent incumbent for an envisioned position at the top level, reframing the HR system to support

the filling of high performance demanding positions and ensuring their continuous performance.



93

The global digital market is expected to rise from US$1.2 trillion in 2017 to US$ 2 trillion in 2020. India

has become the digital capabilities hub of the world with around 75 per cent of global digital talent present in

the country. India is also gaining prominence in terms of intellectual capital with several global IT firms setting

up their innovation centres in India.

For India IT-BPM sector has become an inevitable and significant contributor to its economy and also

plays an important role in growth of GDP of the country. Indian IT sector is one of the fastest growing sectors

with an average growth of 30% annually.

According to NASSCOM India’s IT-BPM industry is set to grow 8% in 2018 from US$ 154 billion to

US$ 167 billion, an addition of 12 billion. The industry strength today stands at 3.97 million. IT- BPM

contribution to GDP is 7.7% during the fiscal year 2018. The industry continues to be a net hirer, adding 105,000

people in the fiscal year 2018.

This study is purposefully conducted to evaluate the significance of talent management practices as a

facilitator to convert strategy into action. Because talent management, by default, aids in designing strategic

workforce, thereby becoming one of the basis for strategic decision making process. Strong HR force is

required to design and execute talent management practices which are exclusive to ensure that the directed

contribution of the workforce results in strategic success of the organisation.

Research Design:

The study was conducted among HR professionals who work in different IT- BPM companies spread

across Chennai city. The simple random sampling technique was used and the sample size is 250 respondents.

Both primary and secondary data were used in the study. Primary data was collected using a questionnaire

which is a two part questionnaire. First part of the questionnaire collects the opinion on the HR competency of

the respondents which is aimed to reflect their professional self satisfaction and the second part collects their

opinion on alignment of talent management practices of their company with strategic management. Questions

are designed using five points Likert scale starting from 1 for strongly disagree to 5 for strongly agree.



94

Statistical tests such as Chi-sqaure, t-test, Correlation, Multiple Regression were applied and the empirical

findings as follows.

Empirical findings:

The study was conducted among the practicing HR professionals in various levels in various IT

companies. It is found that 79% of the respondents were from Middle Level Management. 57% of the

respondents were in the age group between 26 to 35. So this depicts the industry is strengthened by the young

minds with huge lot of talents.

It has been found that the age factor had very less impact on their professional execution of HR tasks

especially talent management practices in their organisation. But their level in management (either middle level

or senior level) and the difference in age groups depicts a clear differentiation in their opinion about the

contributory aspect of talent management practices to strategic success of their organisation. Age group below

30 years have identified the need for the talent management activities but the age group above 30 have realised

the impact of talent management especially for the key positions both at low level and top level on the

organisation’s strategic planning and execution which in turn improves competitive advantage.

Overall 72% of the HR professionals expressed that their personal skill in learning the nuances of HR

management practice have been improved over the years and it had impact on their professional satisfaction.

This was verified and found that with 95% level of confidence, Personal competency of the HR professionals

has a significant impact on their level of Professional Satisfaction.

85% of HR professionals have said that their social competency have developed into a different level.

They found that this skill was more helpful in motivating the talents both in top level and low level, retaining

them and making them more productive. The level of understanding and communicating with the two levels

require calculative steps in maintaining a conducive relationship with them. With 99% level of confidence, the



95

researcher has found that the Social skills of the HR professional have contributed to improve the Professional

Satisfaction.

65% of HR professionals have agreed that their cognitive skills have helped them in identifying

productive and amiable workforce in their organisation which in turn helped them in designing productive and

accountable teams for successful completion of projects. Their improved cognitive skills have supported them

in not only designing various talent management programmes but also in successful execution of them as per

the schedule. With 95% level of confidence they agreed that their cognitive skills have impacted their

professional satisfaction.

Around 73% of respondents indicated that the talent management is a high or a very high priority.

Overall 53% of HR professionals indicated their organizations had specific talent management initiatives in

place. But Over 65%, either did not know or were not sure as to how they measure people performance, and

productivity in term of business value creation, strategy execution at the top level. 43% of HR professionals

have agreed that the retention of key talents has major impact on the strategic level of planning and successful

execution. 57% of respondents have agreed that healthy involvement of top management and their inclusion in

talent management activities have significant effect on the organisation’s strategy implementing phase. They

also agree that the imperfect alignment of talent management strategy with the overall strategy of the

organization caused a greater level of impact in gaining competitive advantage.

Conclusion:

To execute an organisation’s growth oriented strategy successfully, it requires a strong and flexible

talent management practice. This comes from a strong HR team. HR members should aware about their efficacy

and lend a supportive hand to the top level management.

Future HR challenge would lie in understanding a clear picture of Talent Management as a one of the

contributive aspect in overall strategy execution and make understood as a positive process, so that the

employees are aware of the effect of the process and motivated to pursue being contributive talents. Creating a

culture that can strive organizational success is an added challenge to today HR teams. In closing, to sustain



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and maintain in a competitive global economy, organizations has to redefine and redesign their practices of

talent management. Effective talent management calls for not only strong participation of HR Professionals,

line and staff members of the organisation, but also calls for strong participatory leadership from top

management. Companies that master talent management will be well-positioned for long-term growth in

workforce performance for years to come which in turn gains competitive advantage for the organization in the

global level.

Bibliography:

1. Bentley, S. (2013). An Introduction of Talent Management. UKCES

2. Thorne, K. & Pellant, A. 2007. The Essential Guide to Managing Talent: How Top Companies Recruit,

Train and Retain the Best Employees. London: Kogan Page.

3. SHRM 2006 Talent Management Survey Report www.shrm.org/surveys

4. Becker, B. E. & Huselid, M. A. (2006). Strategic Human Resources Management: Where Do We Go

from Here? Journal of Management, 32(6),

5. Becker, B. E. & Huselid, M. A. (2010). SHRM and Job Design: Narrowing the Divide. Journal of

Organizational Behaviour, 31(2/3),.

6. Cappelli, P. & Keller, J. R. (2014). Talent Management: Conceptual Approaches and Practical

Challenges. Annual Review of Organizational Psychology and Organizational Behavior, 1,

7. Lewis, R. E. & Heckman, R. J. (2006). Talent Management: A Critical Review. Human Resource

Management Review, 16(2),

8. www.ibef.org/download/IT-ITeS-Report-Jan-2018.pdf



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Effects of Macroeconomics on BSE

N.Dhivya*

II Year Student

S.Baranidharan Ph.D.,*

Assistant Professor

K.Dhanavathi*

Assistant Professor

*Department of Management Studies,

IFET College of Engineering, Villupuram, India.

E-mail: [email protected].



ABSTRACT

The Economic policies of number of countries have been brought changes in the world wide. The world market

has integrated through the concept of globalization and liberalization. The purpose of this study is to analyze

the effect of Macroeconomic variables on Bombay Stock Exchange through the data collected from the period

of April 2008 to March 2018. Using Spss software, the Descriptive statistics and Correlation developed which

shows the relationship between share price & various factors affecting the same. The understanding of behavior

of Macroeconomic variable which affects the stock market indexes is very helpful for policy makers,

Institutional investors, traders and all other stakeholders to take investment decision.

KEY WORDS: Macroeconomic, Inflation, Price, Institutional Investor, Investment Decision, Policy.






98

1. INTRODUCTION:

Indian stock market is a physically institutionalized set up where instruments of stock market such as shares,

bonds, debentures, securities, etc are traded. The stock market makes available information about the prices of

trading to investors. The major stock exchanges in India are BSE (Bombay Stock Exchange), NSE (National

stock exchange), and OTCEI (Over the Counter Exchange of India). Bombay stock exchange is the biggest

stock exchange in India accounts for almost 75% of total stocks in India and there are four indices connected

with the BSE such as Sensex, BSE-200, BSE-500, and National Index. There are numerous factors those made

the investors to take decision to invest or withdraw of funds in the Bombay stock exchange. The macroeconomic

variable is one the important factors in it. The recent trend of the economy has been prevailed by the

macroeconomic variable. Government can’t make their rules, policies, and regulation without contemplating

the macroeconomic variable. The present study selected four variables such as WPI, REER, M3, and IIP to

ascertain the influence of macroeconomic variable on Bombay Stock Exchange.

2. LITERATURE REVIEW

BSE Sensex is used as the assignee for the Indian stock market and Macroeconomic variable, which

played an important role in Indian economy includes Exchange Rate, Balance of Trade, Average Call Money

Market Rate, Inflation Rate, Industrial Production, 3 Months Treasury Bill Yield To Maturity, Money Supply,

Gold Rate, MSCI, 3months Treasury Bill Rate of US Market, Volume of BSE, Volatility of BSE, Foreign

Institutional Investment and Mutual Fund.

This works “influence of macroeconomic in BSE” reveals about the two broad categories. The first one

reveals that impact of macroeconomic factor on stock prices and the second one discuss about the relationship

between the stock market volatility and volatility in the macroeconomic indicators.

Mookerjee and yu (1997) , that the connection between the Singapore stock returns and four macro economic

variables such as narrow money supply, broad money supply, exchange rate and foreign exchange reserves



99

revealed that there was a long run relationship with the stock prices where exchange rate did not from April

1984 to April 1993.

Pal and Mittal (2011) with the co integration of Johansen’s framework revealed that there was a long run

relationship exists between the stock market index and set of macroeconomic variables and also showed that

inflation and stock exchange rate have a significant impact on BSE SENSEX but the interest rate and gross

domestic saving were insignificant by investigating the relationship between the Indian stock market an macro

economic variables by using the data from January 1995 to December 2008.

3. METHODOLOGY.

3.1 Statement of the problem: Investor sentiments, Terrorism and International Political activity, Natural

Calamity, Market and Company Information affect the Indian market. Since there is a fluctuation in the market,

investors are hesitating to invest in long term funds. The study would be a tool for the investors to make a better

investment strategy for long term investment.

3.2 Objectives:

1. To test in normality and analyze the impact of macroeconomic variable and BSE indexes.

2. To examine the relationship between macroeconomic variable and BSE Sensex indexes.

3.3 Sources and Collection of the Data: The study will be using mainly secondary data. Information is

obtained from www.rbi.org, www.bseindia.com and other sources.

3.4 Sample selection: The sample selection of the study will include the four macroeconomic variables such

as WPI (Wholesale Price Index), REER (Real Effective Exchange Rate), M3 (Money Supply) and IIP (Index

of industrial production).

3.5 Study period: The study of the influence of macroeconomic variable on BSE attempted during the period

of April 2008 – March 2018.



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3.6 Tools used for analysis: To test the influences of macroeconomic variable;

Descriptive statistics, Correlation, Regression, Coefficient and ANOVA

3.7 Analysis and Interpretation: 3.8.1 Descriptive Statistics:

Descriptive Statistics

Variables N Minimum Maximum Mean

Std.

Deviation Skewness Kurtosis

Statistic Statistic Statistic Statistic Statistic Statistic Std. Error Statistic

Std.

Error

BSE

SENSEX

120 -0.2389 0.2826 0.0082 0.0630 0.1115 0.2209 4.2895 0.4383

WPI 120 -0.3616 0.0258 0.0004 0.0342 -10.1284 0.2209 107.9350 0.4383

REER 120 -0.0556 0.0377 -0.0023 0.0168 -0.6800 0.2209 0.8573 0.4383

M3 120 -0.0189 0.0432 0.0105 0.0098 0.4117 0.2209 0.9768 0.4383

IIP 120 -0.5875 0.1740 -0.0012 0.0887 -3.3141 0.2209 19.2604 0.4383

Source: The data of the analysis computed in spss 20

Interpretation: Skewness is the measure of asymmetry of the distribution of a real valued random

variable. Skewness of a systematic distribution, such as the normal distribution is Zero (0). Kurtosis is a

measure of the probability distribution of a real valued random variable. The kurtosis of a normal distribution

is 3. the table which was given below no variable has equal to 0 and kurtosis equal to 3 which signifies that the

data is not normal

3.8.2 Correlation



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Correlations

BSE SENSEX WPI REER M3 IIP

BSE SENSEX Pearson Correlation 1

Sig. (2-tailed)

N 120

WPI Pearson Correlation -.011 1

Sig. (2-tailed) .907

N 120 120

REER Pearson Correlation .285** -.042 1

Sig. (2-tailed) .002 .650

N 120 120 120

M3 Pearson Correlation .011 -.026 -.053 1

Sig. (2-tailed) .909 .780 .566

N 120 120 120 120

IIP Pearson Correlation -.158 -.027 -.043 -.228* 1

Sig. (2-tailed) .084 .773 .644 .012

N 120 120 120 120 120

**. Correlation is significant at the 0.01 level (2-tailed).

*. Correlation is significant at the 0.05 level (2-tailed).


Interpretation: This table indicates that there is a positive correlation is existing between the REER and BSE

Sensex at the 0.01 level. There is a negative correlation is existing between the IIP and M3 at the 0.05 level. If

negative relationship means inverse or if positive relationship means direct proportion relationship. So REER

and BSE Sensex are direct relationship and IIP and Money supply are inverse relationship.

3.8.3 REGRESSION

Model Summaryb

Model R R Square Adjusted R Square

Std. Error of the

Estimate Durbin-Watson

1 .320a .103 .071 .0607399357329 1.826

a. Predictors: (Constant), IIP, WPI, REER, M3

b. Dependent Variable: BSE SENSEX




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Interpretation: This table provides the R and R2 values. The R value represents the simple correlation and

is 0.320 (the "R" Column), which indicates a high degree of correlation. The R2 value (the "R Square" column)

indicates how much of the total

Coefficient:


ANOVA

ANOVAb

Model Sum of Squares Df Mean Square F Sig.

1 Regression .049 4 .012 3.291 .014a

Residual .424 115 .004

Total .473 119

a. Predictors: (Constant), IIP, WPI, REER, M3

b. Dependent Variable: BSE SENSEX


Interpretation: df –there are 5 coefficients, so the model has 5-1=4 degrees of freedom. The Error degree of

freedom is the DF total minus the DF model, 119 – 4 =115. F and Sig. – This is the F-statistic the p-value

Model

Unstandardized Coefficients

Standardized

Coefficients

T Sig.

Collinearity Statistics

B Std. Error Beta Tolerance VIF

1 (Constant) .011 .008 1.340 .183

WPI -.006 .163 -.003 -.038 .970 .996 1.004

REER 1.041 .332 .278 3.136 .002 .992 1.008

M3 -.056 .584 -.009 -.096 .924 .943 1.061

IIP -.106 .065 -.149 -1.633 .105 .944 1.060

a. Dependent Variable: BSE SENSEX



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associated with it. The F-statistic is the Mean Square (Regression) divided by the Mean Square (Residual):

.012/.004=3.291.

Interpretation:

1. WPI – The coefficient for WPI is -.006. So for every unit decrease in WPI, a -0.06 unit decrease in BSE Sensex is

predicted, holding all other variables constant.

2. REER – For every unit increase in REER is 1.041 unit increases in the BSE Sensex, holding all other variables constant.

3. M3 – The coefficient for M3 is -.056. So for every unit decrease in M3, we expect an approximately -.05 point

decrease in the BSE Sensex, holding all other variables constant.

4. IIP– The coefficient for IIP is -.106. So for every unit decrease in IIP, we expect a -.106 point decrease in BSE

exchange.

4. CONCLUSION:

The paper “Influences on Macroeconomic in BSE” explored that influences of macroeconomic variables like

WPI, REER, M3 and IIP on the performance of BSE SENSEX. It causes a severe impact on the every sector of

Indian economy. The main theme of the study is to ascertain whether the Indian stock market is influenced by

the macroeconomic variables to check this effect descriptive statistics, correlation and regression has been used.

The data obtained through the study was not normal while variables are analyzed through descriptive statistics.

The study found that there is a direct relationship exists between the REER and the BSE Sensex at 0.01 levels

and the inverse relationship exist between the IIP and M3 at 0.05 levels. Thus the REER affects positive

relationship with BSE SENSEX and also the M3 and IIP inversely affects the BSE stock exchange. The study

found that there is no normality between macroeconomic variable and BSE SENSEX indexes. It is observed



104

from the findings that stock prices in BSE have been direct influenced by the changes in real effective exchange

rate and also found that money supply which influence the inverse relationship with the IIP indirectly affects

the stock price. The study reveals that the impact of macroeconomic variable has greatly affected the stock

market volatility. The findings of the study were helpful for both investors to invest the money in BSE Sensex

based on the stock market volatility which in influenced by the macroeconomic variable and also the policy

makers as well as regulators to frame policies.

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1. Abraham, R., & Harrington, C. (2016). Determinants of oil futures prices. Theoretical Economics Letters, 6(4),

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8. Brooks. C. (2002). Introductory Econometrics for Finance, 2nd Edition, Cambridge University Press.

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“STRATEGIC MARKETING COMMUNICATION IN RELIGIOUS TOURISM”

Mr. K. SELVAM., Ph.D.

Research Scholar & Assistant Professor,

Department of Hotel Management, Leela Institute of Hotel Management, Madurai –16.

Email Id: [email protected]

ABSTRACT

Religious Tourism as one of the paper considers the concept of religious tourism. Religious tourism is the departure

of a person from a country of residence for a period of no more than six months in order to visit holy places and centers of

religion. On the other hand, this concept can be viewed as an activity aimed at providing services to the tourists travelling for

religious purposes. One distinguishes the 0pilgrimage tourism and the religious tourism of excursion - cognitive focus. The

difference between these two types is that the religious tourism of excursion - cognitive focus means visiting temples and holy

places without the tourists’ participation in the religious life of the shrine. The Pilgrimage & religious tourism provides an

opportunity to participate in worshipping and praying. The Pilgrimage can also be classified according to the number of

participants, i.e. individual, family, group. If one considers the duration of the tour, one can identify long and short

pilgrimages. Depending on the location of the shrine, there are domestic and foreign tours. It should be noted that both the

religious tourism and the pilgrimage has a number of reasons. Visitors from all over the world participating in significant

pilgrimages bounded to these destinations. However, deficiencies in marketing communication, infrastructure and other areas

hinder the development of pilgrimage and religious tourism. Strategic communication in religious and pilgrimage tourism

involves connection and optimally also an interaction between visitors and destinations. It can raise awareness and persuades

visitors to purchase and re- purchase the product. Today visitors want creative, interactive communication; they want to

develop relationships with the destination. The success of the destination lies in its ability to listening to visitors, finding their

motives for a visit. The perfect tool for such communication is the internet.

Keywords: Religious & Pilgrimage Tourism, Strategic Communication, Marketing, & etc.



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INTRODUCTION:

Religious, cultural heritage and pilgrimage destinations and sites since time immemorial attracted the

number of visitors. Interest in this type of tourism in many countries constitutes an important component of

tourism, and the state budget provides by considerable funding Religious tourism focuses on the visitation of

religious sites or destinations, in order to consolidate a particular faith, and development of identity that refers

to spiritual or religious enlightenment. These places attract the attention of visitors, not only for religious

reasons, but also in terms of history, architecture or artistic value (Kavoura, 2013). Most religious monuments

can attract visitors who may not have a religious affiliation. Some visitors are motivated to visit religious

destinations because of their religious belief, religious monuments of architectural attraction, interest in their

historical value, or all at once (Kot & Ślusarczyk, 2014). Religious and pilgrimage tourism is closely bounded

to destination. In this context, to remain sustainable, the monuments and natural sites must be protected and

restored in order to prevent congestion and not exceed load capacities. The management of these destinations

should assure a development of sustainable local economies and respect for the traditions and customs of the

host populations (Kiráľová & Straka, 2013). Tourism motivated by religious or spiritual reasons or associated

with religious, cultural heritage and pilgrimage destinations and sites was previously a largely domestic

phenomenon (Štefko, Jenčová & Litavcová, 2013; Kavoura & Katsoni, 2014). This form of tourism holds an

immense potential for promotion of interfaith and intercultural communications, and promoting and

preserving cultural diversity. Globalization, economic liberalization, a new ethnicity and religious policy,

commodification, commoditization of culture and values affect and shape many religious sites in the today

world (Owens, 2002). Religious tourism has turned into a major international commercial service. Visitors

can buy multifaith-journey packages to places of worship, sacred destinations and pilgrimage sites associated

with the mainstream faiths. The use of religious heritage becomes often controversial by the context of

commercialization of spirituality. Religious tourism is today a dynamic multi-billion dollar global industry

with more than 330 million visitors and more than 50,000 churches and religious organizations that host travel

programs. People of faith have changed their spending habits, and today purchase first-class products and

services. The annual turnover of these activities amounts to more than $ 18 billion. Pilgrimages also witnessed

a dramatic increase around the world. Vatican itself reported 5.5 million visitors in 2013. Tourism of believers

has not changed even in times of crisis (Kiráľová, 2010). Due to the historical context all the necessary

prerequisites for the use of religious and pilgrimage tourism´s potentials are developed to them.

TOURISM, RELIGION, PILGRIMAGE & RELIGIOUS TOURISM:

According to UNWTO (united Nations of World Tourism Organisation) considers religious tourism

as visiting sacred places of a particular religion, associated with performing certain religious rites (worship,

religious meetings, and the celebration of certain events). The same semantic content as religious tourism has

a pilgrimage tourism, i.e. travelling to visit the sacred place at a time when specific religious event takes place



108

there. Pilgrimage tourism is considered part of religious tourism. UNWTO ranks the religious tourism to fifth

place among motivations to travel.

The overlap between the spiritual and religious travel is illustrated through the work of Jackowiski,

(1987), McGettigan (2003), and Tilson, (2005) who viewed spiritual tourism as a niche form of religious

tourism. Spiritual tourism aims to explore the elements of life that are beyond one's perception and help to

balance the body-mind and spirit. It may or may not be related to religion. Visitors are trying to develop their

own spirituality, or discover the spirituality of others.

Tourism and pilgrimage are closely related (MacCannell, 1999; Cohen, 1979; Turner & Turner, 1978;

Campo, 1998; Timothy & Boyd 2003), and, according to Cohen, in modern mass-pilgrimage the behaviour of

pilgrims is often indistinguishable from that of tourists. Tourists are not necessarily affiliated with any religion,

and they do not necessarily visit the pilgrimage site for the same reasons as pilgrims, but some scholars argue

that modern tourism is the contemporary expression of the traditional religious pilgrimage (Graburn, 1989;

MacCannell, 1973; Sharpley & Sundaram, 2005). As stated by Vukonić (1996) though the pilgrimage is

motivated by religion, it still has characteristics which are not motivated by religion. The secular aspects of

pilgrimage (finding accommodation, organizing the trip, food, eating and healthcare) are the same as of the

modern tourism. Turner & Turner (1978) also argue that both pilgrimage and tourism encompass a journey

using modern means of transportation.

The modern pilgrimage is not necessarily motivated by religion. On the contrary to traditional search

for identity, spiritual quest or divine experiences (Osterreith, 1997), today pilgrimage is also about historical

and cultural behaviors, meanings and pious intentions (Eade & Sallnow, 1991), cultural, spiritual, athletic, and

personal reasons (Frey, 2004) and is based on the search of embodied ideals (Morinis, 1992; Gladstone, 2005;

Zhang, 2007).

Regular pilgrimages that attract hundreds to thousands of believers to certain destinations and sites

have undoubtedly economic importance. On the one hand, it is a general obligation of the municipal authorities

for example to provide parking areas, organizers, regulate traffic, to establish rules for stall sales, maintain

access roads (as a place of pilgrimage is in the rural site), to coordinate medical and security service.

Thousands of pilgrims, in addition to the main goal of pilgrimages, consume goods and services including

accommodation. This income remains in the destination and is also a considerable multiplier effect these initial

expenses. Religious tourism is less susceptible to economic fluctuations in the market. Because believers are

engaged visitors, they prepare their journey in advance, and travel regardless of the current economic situation

(Lickorish & Jenkins, 2013). Believers, who travel because of their faith, often takes a travel as part of their

religious obligations, or as the fulfilment of a spiritual mission. There is a presumption that by the right

approach the size of this market could double in 2020. Such an increase is possible because one of the

specificities of religious travellers is that people in faith travel in groups of 40-45 rather than individually

(Tourismandmore.com, 2009).



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STRATEGIC COMMUNICATION IN RELIGIOUS TOURISM:

Communication with visitors is related to the requirement to inform them of the destination and

product offered. Creating an attractive product, pricing it by reasonable price and access to the tourism market

is not enough. Visitors must be informed and motivated so that they began to be interested in the destination.

The basic objective of the communication is, therefore, creating a demand for the destination (Kiráľová, 1995).

The use of marketing tools is a continuous process in which it is necessary to monitor new trends and be able

to respond flexibly to changes (Kotler, Armstrong, Saunders & Wong, 2002). Correct and timely response can

gain a competitive advantage. Strategically necessary is optimal selection of communication channels (Štefko,

2003). Optimal mix of marketing communication tools is strategically important for developing long-time

relationship with target groups. Strategic communication in religious and pilgrimage tourism involves

connection and optimally also an interaction between visitors and destinations (Sujova, A. & Rajnoha, R.,

2012). It can raise awareness and persuades visitors to purchase and re- purchase the product (Scott 2008;

Iyer, Soberman & Villas-Boas 2005; Buhalis 2000). Today visitors want creative, interactive communication;

they want to develop relationships with the destination. The success of the destination lies in its ability to

listening to visitors, finding their motives for a visit. The perfect tool for such communication is the internet.

Application of interactive marketing communications in the destination is particularly evident in relation to

the changes in behaviour of visitors (Kiráľová & Straka, 2013). Religious visitors require a personalized

approach, intelligent communication and empathy. Interactive communication is a prerequisite of establishing

good relationships with visitors and the satisfaction of both sides. Relationship marketing is effective

especially when applied to specific target group (Wang 2008; Fyall, Callod & Edwards, 2003; Buhalis 2000;

Oppermann 2000). Communication in religious and pilgrimage tourism is target communication as it focuses

on a specific group of visitors that are interested in product (Zouni & Kouremenos 2008; Iyer, Soberman &

Villas-Boas, 2005). The attention of people of faith has been already attracted. Destinations should focus on

the message that should be different from that communicated to visitors. The best possibility to deliver the

message should be the internet, social media and mobile applications that enable cost-effective communication

and can encourage word-of-mouth advertising (Fedorko & Bačík, 2012). Word-of-mouth advertising is a

verbal communication between providers, independent experts, family and friends and the visitor (Ennew,

Banerjee & Li, 2000). Blog sites with stories about visit of religion, cultural heritage and pilgrimage

destinations and sites, or special events can be supported. In order to motivate a travel, the blog content must

be in details so that the reader visualise the journey and start to prepare his/her own one. Web site can also

offer a virtual tour to the worshiped destination and site. International web for religious people, religious

television channels, and radio stations can disseminate messages to visitors. Periodicals published by church,

brochures and travel guides, as well as public relations, should be used for communication purposes and to

foster a desire (Ateljević & Doorne, 2002).



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CONCLUSION:

Globalization increases the level of competition also in religious and pilgrimage tourism that became

an important tourism business. Especially less-known destinations and sites in Slovakia should use all the

suitable marketing tools to communicate with visitors including internet communications. Limited financial

resources on both destinations and visitors side in Slovakia and the availability and relatively low cost of

Internet predetermine this medium to become dominant in strategic interactive communication with visitors.

Strategic communication is a complicated task. Religious, cultural heritage and pilgrimage destinations and

sites should allocate enough resources to promote themselves on-line and off-line, using social media.

Creativity and innovation hand in hand with understanding of social media are factors determining the success

of strategic communication. Offering relevant and appropriate information on the destination, monitoring and

managing conversations within the social network and building relationship with visitors are steps religious,

cultural heritage, and pilgrimage destinations and sites in Prešov region should do towards the visitors´ loyalty.

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