PHILIPS ELECTRONICS

Philips believes that there is a definite link between the intention of people to stay at their place of employment and reward/recognition. Indeed, several intercompany research have shown that the correlation between the length of time people intend to stay with their current employers and the recognition given for work that is well done is very high. The relationship between monetary rewards and intention to stay also is positive, but somewhat less so. The best way to provide recognition and appreciation is through the use of rewards. To make our rewards work, it follow certain basic guidelines: 1. Design rewards based on the individual's personal preferences. To really understand what is important to each employee it's essential to get to know each employee well and find out what they think are important rewards. 2. Reward for achievement - Rewards is based on what is actually done. Bigger the contribution, better the reward category. 3. Time your rewards - Rewards and recognition are given as soon as possible after the desired behavior. As Philips believes Reward and recognition that come long after the achievement do little to motivate the employee.

No-cost recognition that works Philips also engages employees by intangible rewards and considers the power and possibilities of nocost job recognition when trying to motivate employees to do their best. Many no-cost methods that probably are most effective are also be part of most jobs in the workplace. Interesting work - Employees are provided at least part of their job be of great interest to them. Information/communication/feedback Employee crave knowledge about how they are doing in their jobs and how the company is doing in its business. Managers are encouraged to provide the feedback from time to time. Involvement/ownership in decisions - Involving employees-especially in decisions that affect them-is

both respectful to them and practical. People who are closest to the problem or customer typically have the best insight on how to improve a situation. They know what works and what doesn't, yet they are rarely asked for their opinion. Independence/autonomy/flexibility - Most employees-especially experienced, top-performing employees-value the freedom to do their job as they see fit. All employees, however, appreciate flexibility in their job. Increased visibility, opportunity - Providing employees with visibility is a public way of giving them credit for their work. These are achieved in many ways, such as copying a letter of praise for others in the organization, having the person stand to be acknowledged at a staff meeting, putting his or her picture on a "wall of fame" in the Cafeteria. Policies to engage best talent Philips also has a sponsorship program for higher studies. Our employees can join a .Tech program or an MS program or even pursue a certification course or MBA/ Ph.D. Our Company will fund them right up to 100% of the cost. Once an employee completes 3 years with Philips, It will consider him/her for an international assignment within Philips. Further any employee who completes 18 months experience can seek transfer from within the company, from one technology to the other, one product division to another. Philips facilitates such a job rotation systematically. In our cafeteria, Philips also provides a diet meal section to interested employees and it is well appreciated. Philips have well furnished Guesthouse for those people who stay back late in office working or is traveling from outside. Another brilliant concept practiced is the Philips Yellow pages. It is an internal network, which connects people across all our offices worldwide. It is very easy for one to locate people who are known for particular domain knowledge or a skill or talent. Any employee, who needs to learn about a subject, can get connected to the subject expert through the yellow Pages. Philips is probably one of the few organizations which has an offsite Leadership program for all its managers in the Management institutes like IIMs and ISB.

Philips remind our managers that they would be measured as much by their deliverables as by their practice of the company values. These values are : Let us delight our customers Let us Value People as greatest resource Let us deliver Quality and Excellence in all our actions Let us achieve Premium return on equity Let us encourage entrepreneurial behavior at all levels

Philips has a community involvement team. The team is entirely manned by young professionals. A budget is given and they decide how to use the money. There is no interference from any senior managers. Philips also believes that charity begins at home. Philips have a green team, which monitors environmental related issues so far as it relates to the organization. Young professionals are involved in this. Thus Philips ensures that environmental concerns are not just spoken about but Philips actually do something about it. Philips follows a global appraisal system, which totally involves the employee in the whole performance management process. Planning, goal-setting, work review, coaching and developmental appraisal are part of this process chain. There is some compulsory training that every appraiser and the appraised go through before the appraisal. Philips has one full day training program for managers who do the appraisal. It is mandatory. If the manager doesn t go through it, the company holds the right to not let him do the appraisal. This training is not a once in a lifetime affair. Every year before the appraisal, the training is given. A half-day training is given to the appraised personnel to make them aware of the nitty gritties of the appraisal program. They are reminded about the importance of doing home work, receiving and sending feedback and reflecting on the feedback in the right way. These sorts of training programs prepare people to see appraisals as development processes rather than as a judgmental process. Philips has a plenty of reward programs. Philips closely watch people who contribute towards product quality, process quality, internal trainers who train colleagues, people who bring best practices from outside and implement if here and so on. They are rewarded and as you know rewards are inspiring and infectious. There is Annual Achievement Award under four categories: Most Initiatives Best Customer Orientation Best Team Worker Most Innovative. Managers send nominations every year and a task force of senior managers picks the winners. There are Performance Plus Awards for overall excellence. These are given annually and are in few categories:
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Engineering Business Development Sales & Customer Support.

There is a Super promoter award for Best People few best managers and leaders each year.

Fun at work Philips has a FUNHOLICS team who is managing several activities which can provide fun even at the work place. These activities are: Friday movie premiere - The whole cafeteria is turned into a theatre where movies are played on Friday s noon once or twice a week. The movie is also selected basis the audience choice. Philips Olympics Several indoor games are played within the employees like Pool, Table tennis, Chess, Nietendo Video games, Carrom. Employees are encouraged to participate and win. Also prizes are given to the winners in each category. Campaigns like Biggest looser will win Philips hires Doctors and Dieticians who meets with the employees and provide them guidelines for good diet and healthy life. Competitions like loosing weight for over weight people is also arranged and people who shreds maximum weight is awarded. These are the few best practices which Philips pursue to motivate the talent and keep them happy at work or off work place.