Human Resource Management in India

After Indian government liberalized the economy in 1991 and allowed foreign competition, domestic organizations were forced to raise the bar on their products and services. More private organizations emerged bringing along the global HR practices.
The critical HR issues today are performance management, employee motivation and retention, career and succession planning.

HRM in India :
The economic liberalization created a massive change in HRM perspective in India forcing organizations to think and implement innovative measures to attract and retain employees.
Indian workforce is globally acknowledged for its talent. However, there is an equally strong cultural impact on hiring practices, compensation standards, benefits and statutory benefits etc. Listed below are a few differentiators that impact HRM in Indian organizations :

• Indian culture is deeply rooted in its societal and collectivistic values whereby there is a natural urge to collaborate at workplace, work in teams with ease.
• The natural ability to work hard and long hours, perseverance and the need to earn money impacts the way the work is organized in Indian Organizations. There is an overwhelming sense of Service that manifests itself in the workplace.
• Indians are quick at accepting diverse views and ideas as a result of their diverse culture.
• Tolerance for ambiguity and uncertainty is however low in Indian workforce. Hence there is a need to establish boundaries, roles and responsibilities, authority.
• Availability of large workforce of different knowledge and skills enable them to undertake different kinds of work starting from BPO and moving up the value curve to KPO.
• Availability of large employable individuals, compensation and benefit costs continue to provide a competitive advantage for India.
• There is a lot more scope for socializing that exists in the Indian organizations.

HRM in India is not well-researched. There is a lot of dependency on developed countries to emulate best practices in the way people are hired and managed. Today Indian organizations have their own HR strategies. Work more and earn more is a common philosophy at Indian workplace. Work is revered and respected. There is an increased focus on cash in hand rather perks and benefits.

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