Creative Thinking – the inevitable ingredient of HR! 7 effective ways to enhance it

Effective ways to enhance Creative Thinking in HR Professionals

If you ask me, why creative thinking is an inevitable ingredient of HR qualities? I can only say if it is not there, HR fails. HR being an important function of any organization creates, introduces and sustains processes which are vital for the growth of any firm. So if the creator is not creative, chances are its creation will be shredded. If being creative is the best way to take HR to the next level, we should know methods to enhance creativity in us. Here are rapid seven ways that will help an HR to act creatively.

1. Socializing & sharing thoughts2. Empathy in action3. Be Imaginative 4. Pragmatism in life5. Correlation among vivid events6. Watch Your Ingenious Thoughts 7. Sometimes it is good to be Stupid

1. Socializing & sharing thoughts

Being HR if we are not mixing around and sharing our thoughts with others then we are curtailing our creativity. Yes, socializing & sharing thoughts boost creativity a lot. Sharing thoughts swings our mood to the directions which were not possible if we are alone. A mix of ample thoughts from different perspectives can lead to the construction of a new set of thoughts for our mind to process on.
Well, it highly depends on an individual’s ability, how to see the things or accept the viewpoints of others. Sometimes, during a conversation with another fellow, we don’t easily go with the flow and argue a lot on a topic. These talks and arguments in the form of thoughts are stored in our sub-conscious mind and reflected back again & again in conscious mind when we think something similar or try to concentrate on some HR issues like employee grievance, recruitment challenges or any personal problem. As thought process deepens, we can find that our problems do have some correlation with those talks and arguments and surprisingly, we see some new ideas popping up in our mind, framed out of those talks and these new ideas are usually solutions to our problems. This is how creative thinking works.
Truly, it depends mostly on the thought process of a person, but creativity does need some raw material to work on. No doubt, socializing and sharing thoughts give the best easily available platform to go ahead.

2. Empathy in Action

Being HR, we tend to meet people with problems. It is our emphatic capacity to place ourselves in another’s shoe and feel & experience the same pain which other person is facing. Now the question is what has it to do with creativity? Well, driven by empathy, if we are ready to understand and solve other’s problem we can act creatively.
Solving problem with emphatic approach requires great caring and understanding, and our subconscious mind keeps calculating the shortest route to reach the solution. Our thought process moves to higher consciousness state, and we are desperate to look for creative ideas that can make a significant move towards healing the person.

3. Be Imaginative

It is always good to go ahead with an analytical mind to take important decisions in life. But it is also good to blend our analytical thinking with some ‘out of cage’ thinking. Sometimes thinking some things are happening as in fantasy or daydreaming can trigger our mind in a surprising way, and we can find easy answers to impossible appearing problems.
As an HR specialist, we tend to come across diverse personalities in our life. Dealing with all, in the same way, can cause chaos and disturbance among us. We deal with different people differently, so it is better to keep changing the approach with some dreamy or artistic efforts with creative thinking to get the impossible change that is not possible with the normal analytical approach.

4. Pragmatism in Life

Pragmatism means doing things based on concepts and experience rather just mere ideas and thoughts. Yes, it is important to think deeper and act faster. If you are to act on one thing, make sure to plan out things very wisely and then act so. This is what pragmatism is all out. Keeping in mind the ins and outs of action is what being practically mean. We often hear from our dear one, “Man, think practically, is it possible in life?”
The now question is, how being pragmatic in life will enhance creative thinking in us. Being realistic triggers new thoughts that lead to actionable priorities and build creative thinking.

5. Correlation among vivid events

Well, talking about these things in public can trigger some controversies and arguments. But to get the real soup out of this idea, one has to practice it independently with full faith and confidence in it. Correlating few incidents, moments and thoughts can revamp your flashbulb memory– A flashbulb memory is a highly detailed, exceptionally vivid ‘snapshot’ of the moment and availability heuristic– is a mental shortcut that relies on immediate examples. The rapid assimilation of thoughts can bring out new ideas and creative thinking that you are looking for.

6. Watch Your Ingenious Thoughts

If you wonder what ingenious has to do with our creativity, then you are not alone. Even I didn’t know it. So I referred Oxford Dictionary and got what exactly ingenious means.
The meaning of ingenious amazes me. This word defines the real you. This word substantiates the capacity and attitude to become more creative by embracing your ideas resulting out of several ideas around you. If you are a type of person, who has the tendency to have different ideas or solutions to any problems at any time in your life. You are an ingenious person.
The good news is this quality is found in everyone. Just you don’t focus it creatively. Yeah, sometimes, there is no other option left but being and acting creatively. If you keep a watch on your tentative actions triggered by random ideas, you are already on track to become a more creative thinker. Now you need to keep it up.

7. Sometimes it is good to be Stupid

Ah~ Every time you don’t need to be a wise man. Forget about being a wise man. Nobody is always right and wise. So it is better to remain silent and be thought a fool than to speak out and remove all doubt.
That said, sometimes you need not focus on everything around you. At certain times, when you don’t get relevant ideas by putting all your efforts and applying all methods, then it is time to keep your eyes open and mouth shut. Let the subconscious mind keep working until it gets a solution. Loosen your thought process, loosen your action, let mind calm and rest and fall in a meditative state. Hope you will get the solution to that problem, but it is up to you to decide if it is worthy to speak thoughts that can remove all doubt or if it is still better to be stupid.
How do you think creatively? Share your methods in the comment box below.

Getting Familiar with Payroll & Salary – Process and Calculations

Payroll Processing Basics

What is Payroll?

In general terms, payroll is a list of employees working in a company eligible for salary. (ref) In this list against each employee name, a record of its salary, wage, bonus and tax information are maintained. The department in a company working on calculations and payment of salary and wage is commonly called payroll department. Payroll term is also widely used to refer to: the total amount of money that a company pays to its employees. You might have often heard the words ‘salary’ and ‘payroll’ alternatively from many people while asking salary to someone. Like, “May I know what is your payroll?’ or “Hey, what is your salary?” Though these words represent same intent and people respond with amount they get monthly but here is

Difference between Salary and Payroll

Salary is fixed amount of money paid to employee whereas, payroll a list of employees who receive the salary (ref).

What is Payroll in Human Resources?

Payroll in HR is a process by which workers get a monthly payment. It involves preparing salary and producing salary slip with mention of all payables, deductions, and reimbursements. Payroll department looks after this process. It takes care of record keeping, pay data verification, tax depositing and reporting along with releasing salary of employees per month. (ref)

What is Payroll Management System?

As per Dolphin Technologies – ‘The Payroll Management System deals with the financial aspects of employee’s salary, allowances, deductions, gross pay, net pay etc. and generation of pay-slips for a specific period. The outstanding benefit of Payroll Management System is its easy implementation.’

What is Process of Payroll?

Payroll Processing is processing the salary of the employees and process involved is:- >Joining Formalities >Updating Employee Database >Processing salary slip with regard to designing the break-up of salary and considering the deduction like leave, salary advance, travel and other statutory. >To take care of deductions through the data of leave availed as per attendance and pending salary and travel advance. >While processing salary slips care should be taken to delete the resigned employees, name, add new employees name and calculate pro-rate or proportionate gross salary depending upon a number of days worked in that particular month.

Payroll Example

  • (For e.g., June salary is being processed and an employee has joined on 11th June. His gross salary Rs. 6000/-pm the number of days worked in June is only 20 days i.e. from 11th June to 30th June [Any month in the year 30 days should be considered for salary processing], and on 10/07 i.e., salary date his gross is only 4000/- i.e., from next month i.e., from July that employee will get Rs. 6000/-

>Again while processing June salary increments or any reimbursement should be considered.

  • (Increments usually depends upon management i.e., yearly once and the amount of increment is decided based on the performance of the employees and most important is treat given from that employee).
  • (Reimbursement means conveyance reimbursement, travel reimbursement, telephone or any other amount spent by the employee for official purpose but against approval from Accounts or HR manager).

>Further in this June salary arrears if any of the previous months should be added to the gross [Arrears means increment will be summed to June month which he was eligible from April. So assume increment amount decided was Rs. 1000/pm, then arrears is Rs. 3000/- from April to June. o For e.g., July salary after increment is Rs. 7000/- o July Salary 7000 o Arrears from April to June 3000 o Deduction XXX o Net Salary XXX Again while processing next month salary in this pays lip arrears should be removed and only gross of Rs. 7000/- will be processed. Net salary means Gross minus (-) deductions. Gross salary is the amount an employee receives as a salary, before any deductions. After processing salary slips, a summary of all the pay slips would be prepared.

Things to double check while Payroll Processing

>Taking care of employee database regard to their date of appointment, address, telephone numbers, references, employee department/code number, PF number, ESI number, performance parameters and incremental due date. >Monitoring employees leave eligibility; leave availed, leave availability and deductions wherever necessary. >Taking care of employee’s corporate salary accounts with regard to filling account opening forms, along with PF, ESI, and employment registration forms. >Preparation of pay slips of with regard to designing break-up of gross salary and taking care of statutory deductions such as PF, ESI, PT, TDS, and other viz leave deductions etc. along with the conveyance and travel claims and salary disbursements. >Preparation of summary for all the pay slips. >Monitoring PF, ESI, PT remittances, filling, etc. >Routine tax planning for salaried personnel.

How to Calculate Salary/Payroll

As we know salary is an individual amount that an employee gets through payment. While Payroll is total amount that an organization pays to employees. Before understanding calculation, we have to understand salary structure Breakup. There are some components in salary which are taxable, hence are deducted while calculating payroll.

Salary Structure Breakup

Before landing any company’s salary breakup we should know that Each company may have its own salary structure consisting of various payroll components that may be unique to that company only. Also, many location-specific laws such as Labor Welfare Act, Payment of salary and wages act, and the Minimum Wages Act affect the payroll calculations. Under minimum wages act, the employees need to be given some mandatory salary components such as Basic, DA, and HRA.

Here is a sample of salary breakup or more specifically we call payroll components PARTICULARS ————————————————————–
(A) Monthly Allowances a. Basic : b.HRA c. Conveyance Allowance d. Child Education All. e. Other
(B) Annual Benefits a. LTA b. Medical Reimbursement c. Family
(C) Variable Salary a. Performance Linked Incentive: b. Bonus
(D) Retiral Benefit a. PF: b. Superannuation: c. Gratuity :
(E) Other Prerequisite (Equivalent Amount in Rs) Mediclaim Insurance:
a. Coverage Amount (……………………………….)
b. Premium Amount:—————– Personal Accident Insurance
c. Coverage Amount (……………………………….)
d. Premium Amount:—————– ————————————————————–

How benefits and deductions affect payroll calculation

Tax Deducted at Source (TDS) is a mandatory part of Deduction from Salary under Section 192 of the Income-tax Act, 1961, if the salary is more than maximum amount exempt from tax. Few of the salary components that impact TDS deduction are Click image to enlarge If you liked this post, please share with your friends. Share your thoughts in the comment box below.  

Proven Practices to Attract and Retain Top Talent in Your Company

A competitive and progressive organization fully understands the value of its workers — particularly its best performers. They are the movers and shakers that do more than what’s expected of them and are committed to securing great results for the advantage of the company. They are the bright future of the organization. The impressive performance of these special personalities generates a lot of buzz not only within the organization but also across the operations of competitors.

When a company does exceptionally well, other industry players are automatically alerted and they get the scoop on the key personalities’ success. Their brains start scheming for ways that they too can achieve the same success. Sad to say, in such cases, instead of developing their own formula for success, companies often just choose to pirate an important variable in the more successful player’s formula. They offer a bigger salary and other irresistible incentives to a top talent that belongs to that leading organization so that he’ll be swayed to jump ship and swim toward theirs. Such a tactic is common in all industries, which is why smart companies employ various strategies to prevent their valuable top talents from getting pirated.

If your organization is thriving due to the solid contribution of your in-house talents, it’s imperative to implement proven effective strategies or practices for retaining your best performers and attracting new ones. In doing so, you can maintain the momentum of your company’s success and secure its future. A top recruitment agency in Abu Dhabi rounds these practices up in the list below.

Invest in expanding the talents and skills of your top performers

When you provide top talents opportunities for further growth, it doesn’t only indicate the company’s desire for further success; it also shows the organization’s increasing faith that these people can become more than they are. This can create the feeling of security that everybody seeks.

Provide thoughtful rewards and incentives

Incentives and rewards say, “You did very well, we appreciate your effort and you deserve to be honored.” When top talents know that their hard work and sacrifices are recognized and greatly valued, many of them cease to consider the idea of exploring opportunities outside of the company they already serve. It’s also worth mentioning that it can further motivate your best performers to consistently work hard and raise the quality of their output. Likewise, when your company becomes known for presenting thoughtful rewards and incentives, you get a powerful marketing tactic. You will attract more competitive talents that are looking for an organization to work for that is focused on superior performance.

Improve the work environment

Take a cue from Google, which has made coming to work a treat for its employees. Making changes to the work environment can impact work culture and make it more conducive for higher productivity. Demonstrate your company’s concern towards he well-being of your workforce by beautifying spaces (perhaps even adding a game room or fitness center where people can have fun and recharge their energy during their break time), purchasing ergonomic chairs, and getting rid of work cubicles to encourage collaborative work for higher quality output.

Provide nutritious lunches and a well-stocked pantry

This is another effective tactic in keeping top performers “at home.” You need to support their process by getting rid of potential distractions or time-consumers. If top performers’ meals are provided, it helps maintain their work routine since they don’t have to think about it anymore. They’ll appreciate this because preparing food or even going out to buy their lunch can take time and attention away from the work they need to accomplish.

Include them in important company decisions

It’s always a privilege for employees to be able to share their sentiments and suggestions in important forums that will determine the path of the organization. According to UAE recruitment agencies, when you involve employees in decision-making, it will cement not only their idea that the company cares about them but also the fact that the company has reliable plans to secure their future. All of these practices are focused on making workers feel appreciated. There’s no beating this formula in making people feel content where they are even if there are temptations all around. Treat your top performers well and they will give your company not only their best work but their loyalty as well.


ROBERT MURRAY A passionate recruiter with more than 12 years in the executive search industry, Robbert Murray heads Robbert Murray & Associates as an international headhunter and business partner in the MENA region, specializing in the FMCG, retail, telecom and engineering sectors. He has been featured in the Gulf 2020 CEO Report, ZAWYA BusinessPulse and Eniday, speaking about changing trends in the recruitment industry, upcoming jobs in energy, oil and gas by 2020-2025, and how Robbert Murray & Associates is focusing and growing in the MENA region.

10 thoughts on evolving Workforce Management, HR, and Payroll Software Markets

Every business organization has an access to certain defined resources. The ones that reach the pinnacles of success are those who can make efficient use of these resources. Workforce management and Human Resources is an important part of every organization that aims to bring out the best in every employee. With the help of modern technologies like cloud based systems, analysis of employee performance, staff scheduling and other innumerable tasks can now be done easily.

There are organizations that handle multi location retail vendors these days. Integrating specialist workforce management tools and having the best processes and APIs can make a lot happen. Let us have a look at these 10 thoughts on Workforce management, Human resources and Payroll software, that can be involved in the evolution of these markets.

1.  Cloud Based Systems 

Nowadays, Payroll systems and employee management tools are used by Human Resources to gauge the credibility of the employees and their contributions to the system. Organisations are dependent on their employees to offer solutions to the problems that are faced. As they are the main resources to be nurtured by any firm.

2.  Artificial Intelligence

 Another boon of the twenty-first century, this technique can be used to predict employee expectations and curtail the tasks to be carried out by the Human Resources in shaping the skills and knowledge of the employees.

3.  Employing Self-Service Technologies 

Nowadays the world has become fast, virtual and versatile. Services are available all around the clock that includes banking, online shopping and others. The most effective organizations should empower their employees by giving access to manage thing like shifts, availabilities and others. Cloud based systems can help in keeping direct communication to the employee through web portals. These factors help streamline the processes.

4.  Infractions should be treated evenly 

Most organizations have regulations that determine the time when employees should show up or take breaks. The work hours are fixed for each employee. But often, these are not evenly managed by the team leaders or managers. Thus, tools that would keep a count of these infractions can give valuable input regarding employee involvement.

5.  Ease in achieving compliance 

 Since the development of the company depends a lot on the input of the employee; failure to comply with some regulatory mandates often leads to serious consequences. Learning alerts, simple automated rules and the proper audits are a great way to comply with the employee.

6.  Transparent Payroll Policy 

 Misunderstanding the payroll policy can be a serious setback for both the employee and the organization. A transparent payroll policy can sort out lot of issues like underpaid taxes and employee misconceptions.

7.  Employee Input in the Payroll System 

The policy of transparency is not always enough to make the employees understand the details of payment processing. Thus employee inputs taken from staff meetings can give a lot of data related to employee expectations. Data analytics and regression models can be used to chalk out the relation between employee payments, their expectations, and performance.

8.  Flexible workforce solutions are a key today 

Often the workforce management developed for a prior scenario can be oppressive for the new employees, even if it was efficient and acceptable during its inception. Artificial intelligence and Machine learning systems can come in handy to map the change in employee expectations and extrapolate to produce a well-defined solution.

9.  Increased interaction 

Increasing employee interaction helps in achieving better performance. Constantly engaging your employees has been one of the best-known solutions to boost workforce management. Integrating global systems having an interface for integrated talent and learning applications has myriad benefits.

10.  Changing the age old standards of 9 to 5 jobs 

The 9 to 5 eight-hour work-days were probably introduced during the Industrial Revolution. It should not be considered as ‘working time’ any longer. Employees now take calls during commutes, check and respond to emails before bed and at other times when they are not at the office. All of these should be considered before working out a working time. Tools integrated into the systems should account for such time as well.

These are some thoughts on the evolution of Workforce Management, Human Resources and Payroll Software markets which might play an important role in the near future.

Author Name : Utsav Upadhyay

Author Email :

Author Bio : I am  currently advising clients how to create and manage effective advertising campaigns in accordance with the principles of Inbound Marketing. I offer Inbound Marketing auditing services, which are a great way of determining what your company’s strong and weak points are. I also provide Inbound Marketing training and consultation sessions via callhippo Marketing Sessions. In Free time I research about Payroll and HR management services.

The most asked SAP HR Interview Questions (Business Processes in HCM)


SAP HR Interview Questions |Business Processes in HCM| Part B

  Hope You found Part A of SAP HR Interview Questions on Business Processes in HCM helpful while preparing for your SAP HCM Interview questions. Here in this post we are adding 26 most asked SAP HCM interview questions as Part B, which is an addition to existing 25 questions on Business Processes in SAP HR. It is highly recommended that you read Part A before reading this post. Click here to read Part A.   

1. What are the most important processes in the HR department? The HR is the most important division for any organization. The processes of the HR department are employee administration, payroll, legal reporting of efficiency, and agreements with the changing global and local regulations.  
2. List the most important structures in HR. Following are the important structures in HR

  • Enterprise
  • Personnel
  • Organization
  • Pay Scale
  • Wage type

3. What is Employee Self-Service (ESS)? ESS facilitates the employees of an organization to create, view, and change the data anytime and anywhere, with the help of various technologies. It provides employees with an employee-centric portal to enable them to access and modify the information required for their jobs. For example, employees can manage their home address and emergency contacts.  

4. List the functions required to select an Infotype. Following are the functions required to select an Infotype:

  • Create/INS
  • Delete
  • Delimit
  • Lock/Unlock

5. How do you hire a new employee? A new employee is hired with the PA40 transaction code. After that, all the Infotypes are maintained for the employee by using the PA30 transaction code.  

6. Name the modules available in SAP R/3 for professional users. The following modules are available in SAP R/3 for professional users:

  • Advanced Planner and Optimizer
  • Strategic Enterprise Management (SEM)

7. What object does a qualification catalog contain? A qualification catalog consists of two objects: qualification groups and qualifications.  

8. What are the goals of SAP initiative? The goals of SAP initiative are given as follows:

  • Providing an easy to learn, use, and customize software.
  • Extending the reach of SAP by bringing more role specific scenarios

9. What does a profile match-up means? A profile match-up means:

  • Matching the qualification of an applicant with the requirements of a position
  • Matching the profile of an applicant with the requirements of a position
  • Generating the training proposals from a qualification deficit.

10. Which architecture does the SAP system use? The SAP system uses the three-tier-architecture.

11. What happens when a user accesses a transaction in the SAP R/3 system? When a user accesses a transaction in the SAP R/3 system, the following tasks are performed:

  • Executes a query in Structured Query Language (SQL) from the application level to the database level
  • Transfers data from the relational database to the front end system
  • Converts the data from one consistent state to another
  • Updates the database when data is entered using the transactions

12. How are business objects maintained in SAP? Business objects are maintained in the Business Object Repository.   Recommended Reading

SAP HR Interview Questions on Business Processes in HCM: Part A- Click Here

13. How is a business object characterized in SAP? A business object has the following characteristics in SAP:

  • Attributes
  • Methods/Application Programs

14. What tasks can be performed at the attendee level in the dynamic attendance menu? In the dynamic attendance menu, you can perform the following tasks:

  • Book an attendance
  • Replace an attendance

15. What is the use of a Business Application Programming Interface (BAPI)? The following are the uses of BAPI

  • Provides an interface that integrates third party applications or components with SAP R/3
  • Provides an interface between a business and a method

16. What are the different processes involved in an appraisal? The different processes involved in an appraisal are as follows:

  • Prepare an appraisal
  • Perform an appraisal
  • Complete an appraisal

17. What are the functions performed by BAPI? The following functions are performed by BAPI

  • Create objects
  • Display attributes of objects
  • Change attributes of objects

18. What is the use of Application Link Enabling (ALE)? ALE performs the following functions:

  • Distribute data, master data, and transaction data across different systems
  • Refers to an enterprise structure, which is the combination of centralized and decentralized tasks
  • Provides support for the implementation and operation of distributed SAP applications
  • Exchanges data using Intermediate Documents (IDocs)

19. What are the main functions of Project IMG? The main functions of Project IMG are given as follows:

  • Create an IMG for each project
  • Maintains project documentation
  • Maintains project management status
  • Maintains cross project documentation

20. What do you mean by Go Live in SAP? Go Live in SAP

  • Tests whether the system is suitably configured before they go live
  • Tests whether the configuration matches with the client requirement or not

21. What are the main components of the Customer Relationship Management (CRM) module? The CRM module has the following functions:

  • Capturing customer data across the enterprise in a central database
  • Analyzing the customer data and distribute the results to the contact points where the customer can be contacted
  • Providing solutions that enable companies to effectively manage customer relationships throughout the entire life-cycle

22. What are the components of Advanced Planner and Optimizer (APO)? Following are the components of APO in SAP:

  • Global available to Promise (ATP)
  • Supply Network Planning
  • Supply Chain Cock Pit

23. What Infotypes are used in Compensation Management? The following Infotypes are used in Compensation Management:

  • Salary Survey Results
  • Planned Compensation
  • Job Evaluation Results

24. What Infotypes are used in Travel Management? The following Infotypes are used in Travel Management:

  • Actions
  • Organizational Assignment
  • Personal Data
  • Travel Privileges
  • Payroll Status

25. What are the basic characteristics of the Organization Management module? The Organization Management module has the following characteristics:

  • Uses flow
  • Uses relationships between objects
  • Creates additional characteristics for objects

26. What are the main components of the compensation management? Compensation management has the following components:

  • Job Pricing
  • Job evaluations
  • Budgeting
  • Compensation administration

While we are compiling more quality HR Interview Questions from all spectrum of HR, we look forward to hear how you find this blog post. Please feel free to share your thoughts in the comment box below. Don’t forget to share the articles with your friends and colleagues. wish you a quality reading!

Why training so often fails and how to help employees get the best from a training program

Agenda of a Training Program

Before starting any training program the agenda should be clear why it is being conducted for. In general, management conduct a SKILL training program to impart following in employees 1. To increase effective communication 2. To make them emotionally strong and intelligent communicator 3. To grow them as a savvier negotiator 4. To handle and deliver bad news more compassionately and effectively 5. To build sophisticated cross-cultural communicators 6. To build better coaches The success and failure of a training program depend on how trainees have learned and performed during real conditions and challenges. A successful training should give an obvious solution to a real problem which should be fruitful and within a frame of time. But if it is not so, then a training seems to fail. And we find it so often fails. It is important that we should identify reasons that make a training program fail. Getting rid of short comes we can easily make a training program successful. How should star employees be recognized and rewarded?

This is why training so often fails

1. Low-quality training structure

In preparing the training structure and content the facilitator should consider the following: What they intend to do: -> goals and objectives How are they going to do it: -> content, methods and materials How will they know if they have succeeded: -> monitoring and evaluation

2. Poor implementation and run

Go for quality first and price second, not the other way around It is often seen that long-term benefits of quality are sacrificed for the short-term benefits of the price. It is vital to balance the long-term value of what you get versus the price you pay. Check if the return on training investment (ROI) is coming and continuously hunt for flaws and fix them The management team should always check if they are getting back ROI on training. They should also learn from previous mistakes and fix the flaws for a better and smooth run of a training program. Besides, other factors should be taken care of trainer’s qualification, its caliber and productivity, budget allocation and role and responsibilities of facilitator, custodian, and trainer.

3. Psychological Safe Training Settings

Psychological safe training settings are conditions and circumstances where trainees can freely experiment with behavior, often without pressure and negative consequences of a mistake. They often receive immediate supportive feedback and are praised in their efforts to learn. In real practices, the atmosphere isn’t as easy and forgiving. Seniors don’t necessarily show same forgiveness nor have the same depth of patience in a real world as they do in a training environment. The stakes and consequences are typically higher.

In training it is all about learning and developing skills, whereas in real job it is all about performance and delivering results.

This is a reason that in situations such as these, employees find themselves uncomfortable and anxious. They make effort to release out their stress and tend to forget what they learned in training and fall back on their previously established habits in their comfort zone. They fail to adapt and react to new situation and challenges while applying the new skills they learned in training. It increases stress and tension between management and employees relationships.

Help Employees get the best from training

A low-quality training structure and its poor run are responsible for training failure. HR along with management should carefully watch out the entire training program, its every inventory including trainer background, schedule, training synopsis, and outline, test, and evaluation method, and criteria, etc. In many of training programs, there is often a significant gap between the rhetoric for what we hope to achieve and the reality of what we can possibly achieve given what we provide employees during the training. Having a high-quality training structure and better implementation and run of training can shorten this gap and improve employee-employer relationships and hence productivity. Now if we talk about psychological training settings and its management, it is more inclined to emotional rather practical or theoretical factors.

A gap between set expectation and real performance can be minimized if employees are given right feedback and suggestions during training. As it is about emotional management and the way how it is controlled during real exposure at work, especially by manager and supervisors determine the consequences and significance of the overall training program. In nutshell, having a clear, high-quality training structure and its perfect run is the key success point of any training while psychological and emotional factors are secondary but important factors of a training program.

According to you, what is the most important factor for the success of a training program? Share your opinion in the comment box.

Gratuity Act & Calculation everyone should know

Gratuity Act, Meaning, Rules, Eligibility, Calculation & Tax in India

Here in this post, we will discuss Gratuity Act, meaning, its eligibility and how to calculate gratuity and gratuity calculator that every employee should know and enjoy. But before going ahead, let me know you if you have completed 4.5 years in this same organization and are in notice period?
If yes, then I think this post means a lot to you. Please read it mindfully and then rethink your decision.
Very often you get calls from recruitment cell and direct emails to your inbox. Sometimes you ignore, sometimes you entertain them. And at few times, if you are interested, you have your interviews and get selected and finally, join a new company. This process continues, and you keep practicing job hoping and keep changing your employer year after year.
There would be hundreds of valid reasons when you change your job. One such dominating reason is money. But it is worth to give a check to your number of terms with the present organization before making a final move. Sometimes, you might not know and lose a good sum of money, if you could have stayed a few months more in your previous organization.
So the bitter truth, which I guess will shock you, is that switching jobs year after year is neither good for your reputation in industry nor for your pocket.
Yes, we are talking about gratuity. A time-bound, universal benefit given by every employer to its every employee in every organization governed by gratuity act, provided that employee fulfills the required terms and condition. And at the same time, it is very important for you that you should know about gratuity and how gratuity calculator works. It is your right to know what treasure gratuity has inside it.
Well, before we head to gratuity calculator and how to calculate gratuity, let’s first know in brief about gratuity and benefits it holds for you.

Gratuity Meaning

Gratuity (meaning in Hindi is उपहार) is the part of the salary that is received by an employee from his/her employer in gratitude for the services offered by the employee in the company. Gratuity is a defined benefit plan and is one of the many retirement benefits offered by the employer to the employee upon leaving his job for various reasons, such as – retirement/superannuation, for a better job elsewhere, on being retrenched or by way of voluntary retirement.

Gratuity Act & its applicability

Earlier, it was not compulsory for an employer to reward his employee at the time of his retirement or resignation. But in 1972 the government passed The Payment of Gratuity Act that made it mandatory for employers with more than 10 employees to pay gratuity.
A shop or establishment to which the Act has become application shall continue to be governed by the Act even if the number of person employed falls below 10 at any subsequent stage.
Trainees and interns are not eligible for this compensation.

Gratuity Eligibility

Gratuity shall be payable to employees:- On his resignation and retirement On his death On his superannuation After he has rendered continuous service for not less than five years Note: However, the condition of five years of continuous service is not necessary if service is terminated due to death or disablement. If an employee with more than five years of experience in a company is terminated due to misconduct followed by legal action on him then he is no more eligible for gratuity.

Calculation of Gratuity: Gratuity Calculator

Gratuity is one of the least understood components of salary Formula to calculate gratuity

Gratuity=Last Basic+ DA*15/26*No. of years

Gratuity in India

After 5 years of completion, six months or less to be ignored and more than six months to be counted as a full year.
For 5 year 1 month to 5 months, takes 5 years
For 5 year 6 month to 11 months, takes 6 years
Below we have illustrated it further with an example:
Date of joining of X is 01. 12.2002 Date of Resignation of X is 31.12.2008 Total wages of X is Rs. 5000.00 (Basic Rs.2500.00, DA is Rs.1250.00, HR is Rs. 750.00, CA is Rs.500.00) The number of years Eligible for Gratuity: Date of Relieving: 31.02. 2008 Date of Joining: 01.12.2002 So a total number of working years is 5 year Hence, Eligible Gratuity Amount (Basic+DA/26) *15 days wages per year *No.of the year completed 2500+1250*15*5/26

Now Let’s use the gratuity calculator below, and calculate the exact amount that employee will get. You can also use Microsoft Excel for handy calculation.

Hope, you got the calculation 🙂
More Information on Gratuity
Nomination from F needs to be filled by the employee at the time of joining.

Tax on Gratuity & Exemption as per IT Act

Any gratuity received by an employee of the Central Government, State Government or local authority, on death or retirement is fully exempt from tax.

The payable nontaxable amount of Gratuity is as per the calculation or Rs.20,00,000 whichever is less.

Looking for more information and facts? Refer to below links.
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