How are Indian HR practices different from those in developed markets?

India has become one of the well-known and fast growing economies of the world. Employment as a parameter plays quite significant role in an economy and contributes to its growth in large manner. In booming countries like India job generation is quite decent with it being one of the leading service sector nations. Now manufacturing sector is also picking up through the pace as it is being funded and encouraged by the govt. to support the GDP and job generation.

a) Adaptive nature towards technology developments like talent management software Despite a strong job generation potential, the existing practices towards people as human resource is lagging behind. Western industries and MNCs are quite adaptive towards new and changing technology. Even SMEs in western economies have tendency to minimize the cost and effort of intellectual resources and maximize their output. And thus, they are very receptive towards the technology for managing people and their aspects. This is missing in Indian Markets. Though in developed markets, People are always appraised and utilized with respect to their efforts, Indian companies have more tendency towards utilizing their personnel resources to the highest with respect to time. This leads to resistance towards the new technologies in HR processes.

New applicant tracking system and online talent management practices are some of the best practices followed in fast growing companies. Though even in India, HR industry is getting more innovative with their recruitment and organization development processes, still there is high need for the HR industry to be receptive towards cloud based recruitment system, database management systems, talent pool management softwares, predictive personnel attrition analytics etc.

b) Manual processes lead to diversion of focus from HR goals of the company

Indian HRs are still trying to manage processes manually. But then how do HR Managers do not realize the gap created due to this? The answer to this question lies in the difference of culture we observe in various companies according to their country of origin. Though this difference is getting more and more diluted due to globalization, still there is quite an evident shift of focus in HR practices. In Indian companies, most of the time and effort of Human Resource teams is spent on recruitment processes and compensation & rewards management. Due to this organization development, Corporate HR Goals and long term vision for the talent pool of the company are ignored. This leads to higher attrition rate and lower overall intellectual growth in an organization.

Some of the latest trends that are picking up in Indian markets are adoption of HR technologies as mentioned earlier. Eg: for recruitments and internal team management New Applicant Tracking System is preferred, for creation of own database, talent management softwares are utilized. It enables you to

minimise your daily manual work and repetitive activities

utilise your time towards the HR goals of your organisation

efficiently manage chaotic profiles of candidates and frequently changing schedules of your team

helps recruitment right from sourcing to hiring

With high entrepreneurship tendencies and scope of job generation in India, it’s important for

Indian HR communities to focus on adoption of such cloud based technologies that would lead to positive shift of focus towards other important arenas of organization development.