Hi,

This week, my HR Head visited our branch. As the HRE of my branch, I presented various details to him. I took the time to ask about my professional growth. He asked me what value addition I have brought to this branch in the last 2 years. I was silent on this question.

My company is an MNC from Pune. We have project work related to solar pump installations in villages in central India. The field staff consists of 25-30 young boys who work in the field to install pumps. The office staff consists of 10-12 members including back-office staff, accountants, logistics personnel, HRE, and a Technical Manager. We have a small office in central India, near Nagpur.

Please advise me on the following points:
- What constitutes value addition to a company?
- How can I add value to my branch and how?
- How can I motivate our staff for better productivity?

From India, Bhopal
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Dear Shweta,

Employees add value by increasing or decreasing something. Value addition is done by:

a) Reduction in consumption of raw material or spares used

b) Reduction in turnaround time for various activities

c) Reduction in manpower utilized

d) Decrease in direct and indirect costs associated with the business

e) Increase in customer satisfaction

f) Decrease in manpower attrition

g) Decrease in job errors by the employees

h) Decrease in the number of days of account receivables

The above points are not mutually exclusive. They are interdependent. The list is only representative. It could grow bigger.

It appears that your HR Head has not designed KRAs on the points mentioned above. If that were the case, the value addition would have spoken for itself by looking at your KRA sheet. But then how many HR are able to do that is a moot point!

Thanks,

Dinesh Divekar

From India, Bangalore
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Dear Shweta Jevanlata,

As the HR representative of your branch, you have the following three questions:

1. What is the value addition to the company?

2. What and how can I do value addition in my branch?

3. How can I motivate our staff for better productivity?

To find the answers to your first two questions, you need to conduct a departmental purpose analysis. Your department has specific objectives that must be met to satisfy not only your company but also your internal customers. You should be able to measure your contribution to the success of your department in terms of satisfaction levels for both your company and internal customers. Establish a system to monitor your progress, outputs, and improvements while striving to achieve your department's goals. Without this, you won't be able to determine your value addition. Value addition, in my opinion, refers to an extraordinary contribution you make to the success of your department.

Regarding your third question on how to motivate staff for better productivity, there are various methods to achieve this. Involve all staff members in creating a conducive work environment to enhance productivity. Recognize and appraise each person's contribution, and have a system in place to appropriately reward and award everyone. A management trainer or consultant like Mr. Dinesh Divekar can assist you professionally in this regard.

I hope I have satisfactorily answered all your questions.

From India, Mumbai
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Hi Shweta,

Value addition is simply what you did for the organization in the long run. For example, were you able to increase the productivity of the organization and its employees? Did you create an environment where the habit of employees coming late to the office was reduced or almost eliminated? THIS IS A VALUE ADDITION.

From India, Lucknow
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