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A new approach to employee reviews
On this week’s HCTV, Campari Australia’s Vijay Kashyap reveals how the company has changed its review process to eliminate employee fears.
Video transcript below:
Vijay Kashyap, HRD, Campari, Australia
Vijay Kashyap: The birth of Campari, Australia happened in 2009. And from 2009 to 2013, these have been tough times for businesses. But while we talk a lot about tough times for businesses, has anybody paused to say what is going on in the minds of individuals. And the facts are very clear, people are scared. People are scared about losing jobs. People have mortgages to pay and they want continuity and certain sorts of security.
Caitlin Nobes: Vijay Kashyap and his team at Campari spent 2013 thinking about how they could make their performance review process less stressful and more beneficial for both the business and its employees.
Vijay Kashyap: A traditional performance review what it does is, it brings out insecurities in people because eventually you come out with some gaps or weaknesses. So what we did is we recognised the fact that the environment globally and in Australia is tough. So how could we engineer a performance management system where fear is taken out of individuals.
Caitlin Nobes: Kashyap says that the key to changing the way the employees thought was making two simple changes.
Vijay Kashyap: Firstly we have an annual bonus system, which pays people for performance. We have ensured that the KPIs for that are set in isolation of the performance review. We work on a calendar year concept. So at the end of December you know where you stand and how much money you will get on the bonus. But we shifted our review to the month of August. Now that separates actual moneys which reward behaviour or performance, to having an open discussion and our performance reviews are titled not performance reviews, but they go under the tagline of what do you want to be famous for.
Caitlin Nobes: These changes have had huge benefits for both employee morale and the company’s people management strategies.
Vijay Kashyap: And therefore we have done two things. We’ve delinked giving salary increases to the actual time when you are having a discussion on weaknesses and development points and we have taken the fear out by talking about what people want to be famous for. So it doesn’t put pressure on people to say that if I don’t get promoted I am a loser. You want to be famous for whatever you want to be and then we support through an organisation effort by telling people that if you want to be famous for what you want to be famous for, these are the competencies you need to focus on. This is what you need to develop on. This also helps calibrate people’s expectations, you know. So the salesman, if he has the aspiration to be a Sales Director, understands that there is a journey which he or she will have to take. The organisation provides the framework. We have also removed the fear from having these discussions openly because you are not going to lose your job at the end of the day.
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What’s in store for recruitment in 2016?(views5113)
A new year means new trends in all aspects of business. The way employers recruit has undergone significant change in recent years, and service providers have responded. HRMTV sat down with Sean Walters and Jonathan Rice, co-founders of virtualRPO, about what’s in store for recruitment in 2016.
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After taking home two awards for their graduate recruitment campaign at the NZ Association of Graduate Employers Awards, Simpson Grierson's Louise Popplewell discusses how the firm draws new recruits.
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As the notion of flexible working grows more popular in the Asia-Pacific region, we caught up with JPS Choudhary, Regional HR Head - Asia, Africa & Middle East at Vodafone, to talk through how they make it work on the ground.
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As an industry characterised by high-stress environments, Australia's legal profession has taken steps to minimise the significant negative impacts felt by employees. What can other industries take from their lead, and what role do HR professionals play?
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A new report from Ernst & Young, 'Fraud & Corruption - driving away talent?', has highlighted that any whiff of corruption is a significant turn-off for talent. Warren Dunn, partner at Ernst & Young advises HR what they can do to uphold high ethical standards to negate this retention issue.
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A constantly changing legislative environment means it's tougher than ever for employers to stay on top of compliance issues. Ross Patterson, partner at Minter Ellison Rudd Watts, suggests the key is staff training - but which training option is the most effective?
Playing catch up: NZ's employment law space(views4590)
The employment law space in New Zealand is growing in both size and focus however, John Hannan, partner at DLA Piper New Zealand explains how far it has left to go.
Helping redundant employees create a new future(views5157)
The NZ Post Group contains some of NZ's most iconic brands such as Kiwibank and CourierPost, but has been experiencing a sharp decline in demand over the last few years, particularly in the NZ Post part of the business.
Group General Manager People & Capability, Jo Avenell explains how those changes are affecting their people going forward.