What Human Resource Management strategies should Sri Gopi Enterprises in Hyderabad, Telangana adopt in order to improve its productivity?

Sri Gopi Enterprises is an Intex Mobile Phones Service Center in Hyderabad Telangana. The Company is known for its servicing of mobile phones and delivery to the customers on time. But it has been found that recently there is a high staff turnover. The staffs lack motivation which is leading to low revenue and consequently low profits.

Possible sources of Info

Primary source: I will receive my primary data by several Interviews (i.e., Director and the HRM head) also a questionnaire which was taken by the workers and was translated in their local language (Telugu) in order to make sure they understood the question thoroughly also the survey was made easy to answer by giving the worker options in their answer.

Secondary source: The company site was not developed so could not get any information from there. On a special request company Director accepted to send their data elaborately consisting of their current motivational strategies, employee turnover from 2013-2018, how much is invested by the company in motivational strategies financial and non-financial. These following secondary data helped to analyse and evaluate the company’s current hold on its HRM.

Organization and Individuals to be approached

Director of the Company – Mr. Ramakrishna Rao, HRM head-Mr.Harish Kumar, the part-time and full-time workers.

Some problems that might come up, is there can be limited information provided which can lead to miss judgment. Also, the interview might be not absolutely correct as the HRM manager might be afraid to say the truth which can lead to a bias of information. Workers questionnaire might not be able to cover the issue or problem that is being faced internally and is not brought into the company or HRM manager’s attention.

I take this opportunity to show my gratitude towards Mr. Ramakrishna Rao (Director of the Company) and Mr.Harish Kumar (Human resources head) for allowing me to produce this research paper. Thank you for providing me with intensive set of data of the business. I really appreciate the employees of Sri Gopi Enterprises who helped me to carry out my market research- providing an appropriate sample for my questionnaire. Further, I extend my courtesy to my Business Management facilitator and the IBDP Coordinator for their never ending support throughout the process of my research

Sri Gopi Enterprises is an Intex Mobile Phones Service Center in Hyderabad Telangana.   The Company is known for its servicing of mobile phones and delivery to the customers on time. But it has been found that recently there is a high staff turnover. The staffs lack motivation which is leading to low revenue and consequently low profits. The customer complaints have started increasing due to which the company’s profits are affected.

Hence the research question that will be researched upon is “What Human Resource Management strategies should Sri Gopi Enterprises in Hyderabad, Telangana adopt in order to improve its productivity?”

In order to effectively analyze and assess the RQ, tools that were employed are SWOT indicating Sri Gopi Enterprises’ internal and external conditions. Organisation structure was analysed in order to indicate how the company is being affected because of its tall structure. Maslow's need hierarchy theory was used in order to understand the fulfilment of different hierarchies required in order to motivate the workforce. At last, the staff turnover data was analysed to calculate the staff turnover ratio and recommend strategies to improve its profitability.

Sri Gopi Enterprises is an Intex Mobile Phones Service Center in Hyderabad Telangana.   The Company is known for its servicing of mobile phones and delivery to the customers on time. Mr. Ramakrishna Rao  is the Director of the Company) and has been known for his able leadership. Currently, the company is highly driven towards occupying a greater market share as there seems to be increasing competition in this sector where a lot of mobile phones repair shops are set up in the location nearby to Sri Gopi Enterprises. The research will look into the reason for low productivity and motivation amongst the worker preventing the company to produce to the best of its capacity.

“What Human Resource Management strategies should Sri Gopi Enterprises in Hyderabad, Telangana adopt in order to improve its productivity?”

I interviewed the Director of the company to understand the importance of the ideas that he uses in the company. I distributed  questionnaire that were filled out by the employees themselves that  helped in a better understanding of what are the major factors that are pushing back staff productivity and demotivating them to work to the best of their ability. Also as said before, an interview seems to be a very effective and time saving manner to retrieve information hence the Human Resources head and some of the customers were observed.

After the information was gathered, I have used tools such as SWOT analysis, Organisation structure, Maslow’s hierarchy of needs theory, and Staff Turnover analysis provided by the company.

Q1. How long have you been working in the Company?

According to the above figure, it was observed that out of the 15 employees surveyed, 8 of them worked there between 0 to 1 years and only one employee have worked for more than three years. This shows that employees are not sticking on to the company for a longer period of time.

Q2. Rate your level of satisfaction with the working culture of Sri Gopi Enterprises.

Out of the 15 employees surveyed, it was observed that 60% of the employees were dissatisfied with working in the company. Very few were highly satisfied and this shows that company has to try to motivate the employees and bring interest in the work.

Q3. Which type of motivation will motivate you the maximum?

When asked about the things that motivate employees, it was observed that employees were interested in getting promotion at work. Awards and appreciations ( employee of the month) were not of much importance to them. This is an evidence that employees should be given promotion opportunities at work to motivate them.

Q4. According to you, what factors has to improve in your company?

As seen in the above figure, it is clear that salary was one of the factors that needed to improve for the workers to work more efficiently. It was inferred that  employees should be given a hike every year to keep them motivated.

Q5. Does the management provide you with suitable health insurances?

Health insurance has been a part of employees pay package from a long time. It is observed that Sri Gopi Enterprises do not provide health insurances to their employees. This is one of the ways that employees stay motivated in an organisation and help in improving their profitability.

Q6.  Do you feel safe at your workplace?

To analyse the Malsows’ theory of needs, it was asked if employees felt safe and secure in the company. Most of the employees (around 60%) felt that they were not safe at work. This shows that the safety and security needs of the Maslows theory have to be taken into consideration.

The above table shows the external and internal factors affecting Sri Gopi Enterprises. It was observed that the company had a good reputation for the last few years. They were very prompt in delivering the goods ordered and given for repair.

However, it was seen that there was a huge level of absenteeism and the Human Resource strategies were not up to mark. The HR manager also admitted that they were not providing the staff with enough incentives due to the decline in their sales.

The opportunities for the company were that they had a large number of customers but they are losing customers because of not delivering the products promptly. They could also merge with one of the competitor shops nearby to increase sales and profits.

The threats are always from the competitors in the mobile phones market. The Chinese are coming out with really cheap due to which people throw away their mobile phones if they are spoilt and buy these cheap Chinese products. The repair services business is affected adversely.

Adams equity theory suggests that workers will be motivated when they perceive that the balance exist between their input to the company and the output received by them from the company. Workers tend to be highly motivated if they feel the positive outputs are greater than the inputs provided by them. This helps in analyzing why the workers at Sri Gopi Enterprises lack motivation and how the profits are falling for the last one year.

Employee turnover refers to the number or percentage of workers who leave an organization and are replaced by new employees.

No. of workers left/total number of staff x100

\(\frac{20}{40}\) X 100= 50%

To calculate the level of Absenteeism

No. of workers absent/total number of workers x 100

\(\frac{12}{40}\times100 = 60\%\)

Maslow's hierarchy of needs is a motivational theory in psychology comprising a five-tier model of human needs, often depicted as hierarchical levels within a pyramid. The five needs are physiological, safety, love and belonging, esteem and self-actualization.

From the SWOT analysis, the Company could use its strengths of high quality repair service and the good reputation more efficiently and try to eliminate the threats in order to gain better market opportunities that are not bounded by the obstacles of threats.

Free lunch were provided by the company in the previous year has received many complaints from the workers declaring that it was one of the reasons their health was going down decreasing their productivity, this should be made better by investing more on the quality of the food which will provide them with healthy fulfilment of basic needs. Workers also wished that they would be provided with accommodation and this would help the company recruit people from other states of India where was more supply of labour with a lower demand for labour. Provision of free food and accommodation can be a good way of motivating people to work.

As the questionnaire suggests that maximum number of staff want promotions and bonuses, but as the profits are falling, the company is unable to provide bonuses etc. The workers demanded education facilities for their children but it won't be practical to provide education for all instead the company could provide help to the core staff satisfying their social needs as they are given an opportunity to teach their children. This would motivate them in working to the best of their capabilities as the company is helping them in the education of their children’s education.

As per the survey, it is found that the workers are not very satisfied in the company. The managers should conduct training for the workers so they would be motivated to work harder and thus improve efficiency and the profits. Some of the workers have answered that they are provided health insurance and while others are not provided with the health insurance. This shows that the company is being partial to some which has led to demotivated staff. Hence, the managers and heads should be given training as to how the workers are motivated into working to the best of their abilities. This can also satisfy company’s need of fulfilling the Maslow's hierarchy of needs (physiological, social, security, self-esteem and self-actualisation needs).

As India is a country where people celebrate a lot of festivals and it is of great importance hence Sri Gopi Enterprises could provide festival bonus or gifts to all the workers and managers in order to make sure that they feel the company stands with them during the local festivals and respects their religions and culture.

The Company should try to reduce the labour turnover as the present 50% is quite high, which means around 50% of the employees are leaving the company. This can be reduced to a great extent by providing the above mentioned human resource strategies to motivate the workers.

To have the financial viability in order to implement the Human Resource strategies as suggested in the research paper.

Mayhew, Ruth. “Employee Turnover Definitions & Calculations.” Small Business - Chron.com, Chron.com, 30 June 2018,

http://smallbusiness.chron.com/employee-turnover-definitions-calculations-11611.html. Accessed 12^th July 2019

Mcleod, Saul. “Maslow's Hierarchy of Needs.” Simply Psychology, Simply Psychology, 21 May 2018, http://www.simplypsychology.org/maslow.html. Accessed 15^th July 2019

“5. Equity Theory - PSYCH 484: Work Attitudes and Job Motivation.”Confluence, wikispaces.psu.edu/display/PSYCH484/5.+Equity+Theory. Accessed 18^th July 2019

Good Morning Sir, thank you so much for accepting my request for interviewing you,  As part of my Internal assessment research, your inputs will help me arrive at a better analysis.

OK it's my pleasure, let's proceed with the interview

Question 1 - Sir, how many workers does Sri Gopi Enterprises employ currently including the part-time workers?

Answer 1 - We have a team of 20 workers which includes 16 full-time employees and 4 part-timers.

Question 2 - Where do you see your company in five years’ time?

Answer 2 - I have made strategic plans for the next five years and the most important objective is to expand the company and set up more branches in Hyderabad.

Question 3 - That’s a great idea, but you will need more staff?

Answer 3 - Yes, I will need to recruit more staff and train them too.

Question 4 - What is the strengths that you see in the company internally?

Answer 4 - We have one of the best mobile phone technicians who repair all types of mobile phones, we also enjoy a better market reputation and brand image in comparison to other shops nearby.

Question 5 - What are the weaknesses that you see in the company internally?

Answer 5 - There is a huge level of absenteeism among the employees which is a cause of concern for me.

Question 6 - What do you think of the present employees?

Answer 6 - The present employees are mostly very lazy, there is a huge absenteeism and even when they are present in the company, they don’t complete the work on time due to which many of the customers are lost.

Question 7 - What about your sales revenue and profitability position?

Answer 7 - Sadly speaking, the sales and profits have decreased a lot since the last one year.

Question 8 - Do you feel you are motivating the workers well?

Answer 8 - Yes, of course, I do care for them. I give them leaves and whatever they ask for.

Thank you for your time. It was great talking to you.

Good Morning Sir, thank you so much for accepting my request for interviewing you, As part of my Internal assessment research, your inputs will help me arrive at a better analysis.

Question 1 -  How long have you been working in the company?

Answer 1 - I joined the company in June 2018. I worked in Kurnool before joining Sri Gopi Enterprises.

Question 2 - What do you think of the employees in the company? Are they motivated?

Answer 2 - I find most of the employees are very lazy and blame others for work not been completed. Most of them take a lot of leaves and I have to deduct from their salaries every month and this irritates them but I cannot help it.

Question 3 - What are the motivational strategies used by your company?

Answer 3 - The employees are given incentives to work overtime and part-time workers are not given any incentives or benefits because they work only four hours in a day.

Question 4 - Are there any non-financial motivators used by the company?

Answer 4 - We provide annual picnics and we used to provide free lunches for the workers. The workers have been asking for free lunches daily but the company is unable to provide at the moment of low sales.

Question 5 - What do you think of the other mobile phone repair shops? How do they motivate their employees?

Answer 5 - The nearby shops are doing better than our company which was not the case few years ago (as I heard from the director). They provide their employees with a lot of benefits both financial and non-financial.

Question 6 - Do you give them yearly increment in their salary? If, so. What % do you give as increment?

Answer 6 - We used to give increments in the previous years but we have stopped because of the fall in company’s revenue. The workers were provided with 5 to 7 % of increment based on their performance and output ( number of mobile phones repaired).

Question 7 - If i have to ask you an approximation of how much is invested on motivational strategies from the total revenue?

Answer 7 - Not much as of now because the revenue has been decreasing for the last one year.

The questionnaire was answered by 15 random workers of Sri Gopi Enterprises Note: The survey questions were translated In Telugu via verbal communication by the researcher (me) so workers understand the questions.

Also, they were assured that their personal identity will not be revealed after the response has been given by him to make sure that there is no bias in the answering of the fellow workers who might be afraid of high authorities and being fired.

Question 1 - How long have you been working in the company?

Question 2 - Rate your level of satisfaction with the working culture of Sri Gopi Enterprises.

Question 3 - Which type of motivation will motivate you the maximum?

Question 4 - According to you, what factors has to improve in your company?

Question 5 - Does the management provide you with suitable health insurances?

Question 6 - Do you feel safe at your workplace?