First Written Wednesday June 04, 2003 Revised & Updated Sunday, November 11, 2007 Last Updated:Sunday, November 11, 2007 Summary findings of our Hr Ratings & Competency Mapping In the page titled HR Ratings and Competency Mapping , we mentioned about the broad methodology adopted by us. In this page I will summarize the results of our findings. All organizations have above average performers, average performers and non-performers. We have found the following characteristics uniformly in all organizations. Category % of People % of Contribution to business Comments, if any  A - Above average Performers 20 *  80 In some organizations this is 16% B - Average Performers 64 16 In some organizations this is 68% C - Non Performers  16 4 No Comments * In some organizations, A category is 16%, B category is 68% and C category is also 16% resembling a bell shaped curve. The most important aspect which should be kept in mind is that we found some jewels lying in the dustbins in almost all organizations. We also found that some people who were considered as star performers, were not so and they were more skilled in political skullduggery. The A category performers are the ones who contribute to 80 % of your business. Not only they have to be retained, they have to be nurtured for higher responsibilities with proper training and development activities. They are self driven and self motivated. If not treated properly, they tend to leave for better and greener pastures. Bulk of the people in most organizations fall under B category. They need to be trained, motivated and guided continuously. When this is done regularly, about 12% graduate into A category over a period of 3 years at an average of 4% per year. However, if the training is not done regularly or is done in starts and stops or on intermittent basis, this will not happen. Imagine the growth to the bottom line if this 12 % start contributing to growth and the training and development expenses are a pittance compared to the gain achieved. As far as C category is concerned, they will have to be dealt with as humanely as possible but separation is the only option. But take it from me if you announce a Golden handshake or a Voluntary Retirement Scheme (VRS) as called in India, you will have no takers from group C, but you will find a lot of applicants from group A.  Points to be Noted: Only private, commercial and organizations for profit are included in the evaluation. Government departments, Parastatals, non-profit organizations are not included in the findings Only White collar workers, Supervisory, Officer and Managerial personnel were evaluated. Blue collar workers are not included in the above research findings Old, Traditional and Family managed enterprises with strong belief's in their own culture and finding it difficult to change, had more non performers in their ranks. Such organizations found it difficult to separate the non performers. They took the easy way out of offering Golden handshake or Voluntary Retirement Scheme (VRS) as called in India. They did not get the desired results and In fact it led to organizational unrest and loss of morale in some cases. In most cases it was found that the performers under category A took the option of VRS and the organizations lost on both counts Many organizations approached us and after our presentations developed cold feet in pursuing the matter. We presume the main reason could be that a few people in power would have been exposed or they wanted to maintain the status quo This exercise is to be done at various levels and in homogeneous groups. This does not give the desired results in a heterogeneous groups. This calls for proper classification of personnel. You cannot have a Marketing man sitting for an evaluation test prepared for Purchasing people. A great amount of planning, coordination and hard work is required to be done by HR Department This exercise requires courageous leadership and is not for the weak hearted. The top organizational leadership must get involved and committed, if they want to know the real status of their organization. Very few at the top know what is happening on a daily basis in the workplace and by the time they realize the rug or carpet has already been pulled under their feet There is no need for any separate need analysis when this is done. All needs, including Training needs come up clearly Experience has shown that developing an internal rating system similar to above is possible. However, it does not work because internal specialists focus too narrowly on operational problems rather than fundamental or conceptual skills. They cannot eliminate the allegations of bias, favoritism and prejudices. They are subjected to internal pressures. A competent external agency is the best for carrying out such an exercise as such factors are totally eliminated. Written  by Madhavan T Gopalachary The views, opinions and interpretations are personal. Sponsorship does not mean that the sponsors endorse them. Editorial Policy © Copyright, Nov-07 . www.madgopes.com . Without prejudice. All rights reserved www.mmgindia.com is the official website of Madras Management Group, Chennai, India. www.madgopes.com and www.mmg.name are personal websites and all editorials are published under their banner to retain editorial independence. We would highly appreciate feedback from readers and it may be sent to ipr@mmg.name.