Reading Time: 3 minutes

Understanding the importance of organisational behaviour is vital! In today’s fast-paced work environment. Organisational behaviour creates how we interact, cooperate, and perform individually or collectively. To produce a company. It affects performance, work relationships, and company culture. All of which relate to performance and long-term success.

In this blog, we will better understand organisational behavior and its importance, as well as understand how it can help people perform better in the workplace.

What is Organisational Behaviour?

It is the study of how individuals & groups behave within the organization. The importance of organizational behaviour is drawn from psychology, sociology, hr management, and other professional fields. 

In very basic terms, this is the understanding of: 

• How employees think and act
• How groups and teams work
• How Leadership Impacts Morale
• How does all of this relate to performance in the business?

Why is Organisational Behaviour Important? 

Before we start discussing the importance of organizational behaviour in depth, let us now systematically look into the importance of organisational behaviour.

1. Increase Productivity

First, knowledge of employee behaviour allows managers to delegate tasks better. Managers will be able to make better assignments. Most importantly, if employees feel they understand their behavior.

2. Better Communication

Communication is key to a successful organisation. Organizational behaviour allows communication barriers to be lifted by improving feedback & open conversation.

3. Better Leadership

In addition, leaders with a firm understanding of organisational behavior. Can adjust their style of leadership and motivate an organization accordingly. For example, some teams can work well with a democratic leadership style and appreciate the input. While others can respond via a directive leadership style in completing a task.

4. Encourages Innovation

If an organization is aware of what motivates others, it will know how to create the ideal workplace for those who wish to be creative.

5. Decreases Conflict in the Workplace

If managers have a good understanding of these behavioral patterns. And when individuals conflict. They can resolve the conflict before it grows larger, and nobody wins. 

Usual Components of Organisational Behaviour

In order to wholeheartedly understand the importance of organizational behaviour, it may be evident. And also to unpick the key components of its relationships. Individual behavior is made up of the following three main aspects. 

• It’s individual behavior of personality, perception, & Motivation
• Group behaviour-  Team dynamics, communication & leadership 
• Organizational aspects- Made up of culture, structure, and policy 

Thus, finding the important relationship between these three levels. From the evidence-based analysis to improve performance and job satisfaction.

Benefits to HR Professionals

The importance of organisational behaviour is more salient for HR professionals. For the following reasons:

• Design a better employee engagement strategy
• Reduce employee turnover due to job dissatisfaction by intervening in it early.
• Design better leadership training initiatives off the back on their behavioural assessments
• Design better team-building plans 

Thus, for this reason, HR has a significant role in applying organizational behaviour as a strategic tool 

Real-World Examples 

To further illustrate the importance of organisational behaviour, let us see how it could be applied in practice: 

• Start-ups need to facilitate the right enablers for flexibility and motivation
• Larger organisations rely on team dynamics and diversity of thought 

Regardless of the size of the organisation, behavioural insights are always relevant.

Difficulties in Applying Organisational Behaviour

Of course, there are always challenges involved with anything like this.

• Resistance to change
• Misinterpreting behavioural data
• Not being properly trained in behavioural management

However, these challenges can all be tackled with commitment and education.

Conclusion

To conclude, organisational behavior is the unseen engine that powers a business. Whether you are an organizational leader trying to shape the culture of the organisation. Or an employee trying to navigate your own team’s dynamics. There are many useful tools and insights in this field. The more we explore and practise the importance of organisational behavior. The more effective, human-centric, and adaptable our workplaces will be.

 

FAQs

Q1: What is organizational behaviour in simple terms?

Organisational behavior is the way that people behave and interact in a work setting.

Q2: Why does organisational behavior matter to managers?

Organisational behavior allows managers to better manage their teams & improve communication and performance.

Q3: How could organisational behavior be useful to HR?

Organisational behavior allows HR to improve employee satisfaction, reduce turnover, and maintain a strong workplace culture.

Q4: Is organisational behavior only useful to large companies?

No. No coughs, all organizations and companies, no matter what size. 

Q5: What are the three main aims of organizational behaviour?

• Predict
• Understand
• Influence employee behavior in the Performance management system.

In order to improve the organization’s overall outcomes.

Reading Time: 2 minutes

When it comes to how to calculate salary hike, it is an important process for employees and HR Managers. Salary increases affect morale, retention, and long-term engagement. So, whether you’re negotiating a performance-based hike or you’re an HR Manager trying to bring fairness. 

Why Salary Hike Matters

Salary hikes are more than just numbers on paper. They convey recognition and demonstrate performance in relation to the broader market. For this reason alone, it is vital that HR departments and employees alike are consistently clear and transparent with salary hike calculations. 

Simple Method to Calculate Salary Hike

Hike Percentage = [(New Salary – Old Salary) ÷ Old Salary] x 100

 

To generate a sample: 

 If your salary now is ₹50,000 and the new salary is ₹57,500,

 = [(57,500 – 50,000)/50,000] x 100

 = 15% Salary Hike

 

We use that formula a lot to provide increases during performance reviews and annual appraisals all the time.

Factors Affecting Salary Hike

• Performance Appraisal Scores
• Company Budget
• Industry Trends
• Employee Experience
• Changes in Role / Responsibilities

 

In addition, external factors such as inflation, market demand, and specific HR policies are considered. Also, help create the overall context for performance evaluation and salary hikes.

Difference Between Salary Increment and Promotion

Salary Hike

• Refers to an actual increase in pay. 
• Typically, it occurs annually or at least at the completion of an appraisal cycle. 

Promotion

• Refers to a new title or new role. 
• Has elevated responsibilities. 
• It will usually always be accompanied by a salary hike, as part of the upgrade. 

From an HR perspective. Understanding the distinction between a salary increase and a promotion is important. As it helps enable employee expectations to be managed appropriately. It also aids in the drafting of transparent HR policy documents. 

Ways HR Can Ensure Positive Salary Hikes 

Salaries are a sensitive matter. Companies must approach salary hikes. But in a formal and structured manner. Here are some of the ways HR can benefit from a structured approach to salary hikes:

 

• Use salary benchmarking tools.
• Implement and sustain. A streamlined performance management process.
• Have a clear and transparent communication plan.
• Use a digital HRMS platform to assist in calculating and documenting hikes through automation.

This regards a positive environment and also helps HR to calculate salary hikes easily.

Conclusion

Salary hikes are tokens of trust, growth, and value. A structured approach to calculating a salary hike helps with everything. Furthermore, when they are deliberate, clear, and defined, the performance review helps employee engagement and satisfaction.

FAQs

Q1: Is it possible for salary increases to differ by department?

Yes. Unlike other departments, each department can change based on the performance and budget of the department.

Q2: How often do salary increases take place?

Typically, salary increases occur at least yearly during an appraisal cycle, although this can vary from company to company.

Q3: Is it mandatory to have a salary increase after a promotion?

While it is not required, in most situations, a promotion includes an increase in salary.

Q4: What is the basic increase in salary in India?

Typically, salary increases average between 8% and 15%, depending on their industry and role.

Q5: If my performance is good, can HR deny salary increases?

Yes, if the company is not financially healthy or if there are budget limitations in HR software.

 

Reading Time: 3 minutes

The task of managing salaries, deductions, and compliance manually is not only dull, but it is highly error-prone. HRM Payroll is truly transforming the way modern organizations operate. Whether you’re a startup or a large enterprise, the knowledge and implementation of HRM Payroll can positively impact your human resource function. 

Let’s take a detailed look at what it is, why it is vital, and how this can affect your business.

What is HRM Payroll? 

Payroll systems have grown into a comprehensive Human Resource Management (HRM) system or framework. Traditional payroll systems used to simply have a payroll calculator. HRM Payroll has expanded access on multiple levels.

HRM Payroll:

• Calculates employee pay
• Processes employee benefits
• Tracks employee attendance
• Tracks employee leave
• Produces compliance reporting
• Produces taxation and benefits reporting
• Monitors employee performance in the workforce

More importantly, it puts payroll procedures into context with each other. Improving efficiency, accuracy, and transparency.

HRM Payroll Key Features

Here are some of the powerful features that make it an essential add-on: 

1. Automated Salary Processing

No more spreadsheets!  Everything from basic salary to incentives. Deductions are automatically calculated. 

2. Tax Management

Handles TDS, professional tax &  statutory deductions with real-time updates on rules and law.  

3. Time & Attendance Integration

Integrates with attendance management systems to accurately assess working hours. 

4. Employee Self-Service

Employees can view payslips, request leave, and edit personal information all in one place. 

5. Compliance Documentation

It helps you create reports for PF, ESI, and other government-mandated documentation without breaking a sweat.

 How HRM Payroll Informs the HR Chain

Apart from payroll processing, HRM functions have capabilities to manage other components of the entire employee process, including:

• Recruiting
• Onboarding and training
• Performance
• Retention

In conclusion, the capacity of payroll with the other HR functions results in HRM Payroll being a strong contributor to the business.

Using HRM Payroll: What to Know

Before moving to or upgrading payroll in the HRM system, consider the following:

1. Cloud or on-premise

The cloud allows you to easily scale and to do so from anywhere.

2. Integration

Let’s not forget that you will want to ensure you can use your HR tools together. And that they can all integrate. This should not just be a visit with a feature, but more of a deal breaker.

3. Due Diligence

You want to access the role, and the data is encrypted.

4. User Experience

Have a nice, user-friendly interface to promote adoption across your teams.

Conclusion

In conclusion, HRM Payroll is a wise and strategic investment for any business that values precision, compliance, and efficiency.  It not only automates the tedious and routine, but it also allows your HR team to turn their attention to strategic initiatives.  With the right system in place, your organization will see improved payroll accuracy, a more satisfied workforce, and a clearer HR model. 

If you want to modernize your payroll function while keeping your workforce happy and compliant, it is the answer.

FAQs

Q1: What are the HRM Payroll functions? 

It is designed to help facilitate the payroll process in an automated fashion.

Optimize a company’s tax and compliance functions. And to provide functionality that integrates payroll into HR processes, such as attendance and leave. 

 

Q2: Is it designed for small businesses? 

Yes. Small companies benefit from automation and accuracy. And reduce the amount of administrative effort a payroll provides. 

 

Q3: Does this software handle bonuses and incentives? 

Yes! Most payroll systems can administer variable components such as bonuses, incentives, overtime, etc. 

 

Q4: How does it support compliance? 

It aligns your company with the statutory requirements. To divide it as related to contributions regarding PF, ESI, and income tax. Also generates the right reports on an automatic basis. 

 

Q5: Do you need training to use it? 

Most modern platforms are simple to manage, and no training is required. However, a basic training session means users can maximize the efficiency and effectiveness of the HR software more quickly.

Reading Time: 3 minutes

A Letter for a Salary Hike is more than an official communication. It’s a formal occasion to showcase your achievements & express your expectations. And open a respectful discussion about your remuneration. However, sending in a Letter for a Salary Hike the right way involves more than just asking for a salary hike. 

The Importance of Writing a Letter for a Salary Hike

To begin with, verbal requests can easily become forgotten or delayed. When you submit a well-reasoned Letter, it:

• Demonstrates your desire to be professional
• Provides formal documentation of your request
• Allows your employer to consider your request properly
• Shows your communication skills

A Letter for Salary Hike

While you might feel ready to write a letter, take a moment to take a few preliminary steps:

1. Assess your performance

Create a list of your major contributions, projects completed, and goals reached.

2. Research Industry Standards

Know the market value. Your role and experience.

3. Understand Company Policy

Review when your employer has an appraisal cycle, or any rules regarding pay revision.

More than anything, all of the work you can do will add to the credibility.

Formatting a Letter Requesting a Salary Increase.

1. Subject

Salary Increase Request.

2. Salutation

Dear [Manager’s Name],

3. Introduction

Append an introductory sentence with appreciation. Tell them how thankful you are for the role(s) and/or responsibilities you have been given.

4. Body Paragraph

Describe your role, how long you’ve been in the position, and what you have actually done.

Example:

Contributed to improving team output by 20%. And improved [Process Name], improving overall efficiency and reducing time and costs.

5. Support

Support your increase request with performance metrics, and, if applicable, provide supporting arguments against industry standards. 

6. Conclusion

Indicate that you are happy to discuss this matter further and show eagerness to continue contributing.

7. Sign-off

Yours sincerely,

 [Your Name]

 [Your Title]

Advice for Crafting a Letter for a Salary Hike 

• To ensure your Salary Hike Letter is effective:
• Remember to stay professional and respectful
• Keep emotional language out of your letter
• Be specific about numbers and examples
• Do not compare yourself to co-workers directly

When Should You Send a Salary Hike Letter?

Timing is everything. Ideally, you should send when:

• During your annual performance management review
• After you complete a project
• After you have taken on work or activities with greater responsibilities

Common Mistakes to Avoid

While everyone unintentionally makes mistakes, many people go astray by:

 

• Being vague about your meaningful contributions & successes
• Using an aggressive tone in your letter
• Forgetting you’re asking, not demanding.
• Not aligning your request with the company’s timing.
• Forgetting to review your letter.

Do your best to avoid these, and your Salary Hike letter will have a positive impact.

Conclusion

In conclusion, the primary goal of writing a Letter for a Salary Hike is not merely to ask for more money. It is a strategic communication that demonstrates the value you bring to your workplace. If you prepare, consider the structure and tone relative to your relationship with your employer. You can make a compelling and convincing case for your argument. Be confident, and in turn, be humble. Be specific, and in turn, be succinct. Most importantly, ensure your ask makes sense, nothing more, nothing less. 

So, start writing your salary today. And make one more step toward the compensation you deserve.

FAQs

Q1. Can I write a salary hike letter in the absence of a performance review?

Yes, you can! Especially if you have assumed additional responsibilities or completed projects of significance.

 

Q2. How long should my salary hike letter be?

The letter should not be more than 300-400 words, be specific, but also direct.

 

Q3. Should I write or mention my current salary in the letter?

It is not necessary. You should spend more time discussing performance and contributions.

 

Q4. Can I send this by email?

Yes. Email would work as long as it is professional and well-organized