HR Plan for Principle Financial Group Essay

Human resources argon the most important vista of any system of rules in like a shots institution. The begining idea of the necessity of HR department and the need of qualification the efficient and seasonable use of the organizations resource for the bet full terment of the organization has taken recent importance. Companies that atomic number 18 the giants of production line atomic number 18na have made it sure that their sole target is non to keep their customers satisfied just also to determine that their employees are satisfied with their subject area and they are giving their best output.The paper result look into the organization named Principle monetary classify that how the HR of organization body of works and how they are making it work better. Principle Financial Group The organization Principal Financial Group (The Principal) is a oecumenic financial services contri stillor which go forths an extensive variety of financial commodities, and is a U. S. l eader in 401(k) plans. The headquarters of The Principal are based in Des Moines, Iowa, USA. The corporation is serving more than 18 zillion customers globally. By September 30, 2009, the organization had assets amounting more than $280 billion.In May 2009, Fortune Magazine had listed The Principal as 273rd in the list of 500 largest companies in USA. It is also considered as the most Ethical Company of the world and has received many awards due to this quality (Principal. com, 2010). The organization was founded by Mr. Edward Temple in the year 1879 by the name Bankers Life Association and it used to provide life story insurance to the men aged amidst 22 to 55 years. Since then, Mr. Edward served as the President of the organization for thirty years and the organization saw its prosperity under his leadership.In the year 1985, after nearly a century, Bankers Life Company became Principal Financial Group (PFG). The company started to expand and watchd to provide its services in other countries too that include Brazil, China, Argentina, Chile, Hong Kong, Mexico and India. In October 2001, the company offered its initial public offering and became listed in New York stock Exchange (Principal. com, 2010). The competitors of PFG are AXAHY. PK, John Hancock Financial Services Inc. , a privately held organization and Lincoln National Corporation.PFG ranks to be the highest amongst the three mentioned (Daily Finance. com, 2010). The Culture of Principal Financial Group Culture is the way people work in an organization. It the way employees are thought to behave and perform their tasks. Culture is an important aspect of any organization as with out finishing and organization would not function properly. It may not seem to be an integral of any organizations success, but when giant corporations are looked over, it would come to our realization that culture makes each and eery organization distinguish itself from others.Cultures ass originate from many factors a nd they can also develop the permanent way of work writ of executions. Stories, jargons, ceremonies are part of an organizations culture. Culture can be formalized i. e. , followed strictly by the words of book, or it can also be simple. In which ever way culture is followed, it makes an important component of an organization and it also athletic supporters employees get familiarized with the place they work in. Culture of PFG Culture of PFG is very vibrant and armed services employees enjoy the work they do.The culture of PFG is embedded with their commitment to frankness and togetherness. They believe in team work and they want to excel at what they do. There are trusted components of their culture. They are Commitment to diversity, Commitment to development, Commitment to community and Commitment to ethical practices (Principal. com, 2010). They have faith in diversity if employees in organization. They respect the employees which hail from different back grounds and consid er that their experiences and their knowledge would help the organization perform better.They appreciate erudition from them and value the differences present amongst each other. Development is important for the organization. train to the employees is important and they accept the fact as true. They have their training programs and they enhance the capabilities of the employees not for the organization only, but they trust that employees should be disposed(p) importance as they give importance to their work. Additional development openings are provided to the employees through Employee Resource Centers. These centres foster a way of learning amongst the employees.These groups give a proper work setting for the employees who have common interests, and they provide career development opportunities and reach out the community for the employment of recruitment and selection. Some of the employees resource groups are Asian Employee Resource Group, Disability Employee Resource Group, Muslim Employee Resource Group, Women in Technology Group etc (Principal. com, 2010). Core Values of PFG Their core set are the factors that are critical to their success. They are factors which help the organization make its decision and they do not change. These factors give the organization its personality.They are customer focused and they believe that customers will help their organization bristle and they are very concerned about what their customers want and desire. Be it any business or an separate that needfully financial assistance, they make it sure that their customers are provided with complete choice and control in their financial provisions. Training and Development at PFG Training and development of employees is another important aspect of the organization. The organizations that ignore the aspect of training and development come across many troubles at the later stage of their organizational life cycle.They fail to stay in touch with the recent development in th e environment and their response to those changes is rigid back which results in failure. In order to stay in touch with the regular changes in native as well external environment, companies must train and develop their employees. Importance of training and development can not be ignored. Timely training and development not only helps the employees, but it also provides organizations with matched advantage over their competitors (Noe, 2009). Employee development is another critical to success factor of the organization.Excellent culture with ingathering opportunities is what PFG gives to its employees and it believes that continuous training and development will help them retain employees and would give satisfactory results to the organization. Change and introduction is another key to success for PFG and it works on it to help employees change with ease and flexibility (Principal. com, 2010). profitability and sound financial performance is also the success factor of the orga nization. Along with operational brilliance they provide their customers with timely solutions and satisfactory results with their products and services.With fierce competition they are faced with, PFG has been able to remain an outstanding financial solution to many institutes and individuals (Principal. com, 2010). Recruitment and Selection When recruiting and selecting the employees, PFG follows the guidelines of EEOC. i. e. , Equal Employment Opportunity Commission. They are fully commit to the concept of the equal employment opportunities and it is evident through the diversity of the employees in the organization. The policy is to hire, train and develop employees regardless of gender, color, race, religion, pregnancy, national origin, sexual orientation, etc.Harassment of employees on these differences is strictly forbidden in the company. However, the things to decide their eligibility to the employment are their competence, qualification and their merit (Roberts, 2008). In the work place the employees are treated with keen respect. Diversity in the organization makes employees accept each others differences as the land of their learning and experience. The principles they follow at their work place are work schedules are fictile to cater to the needs of their employees.They believe that employees should be given the required flexibility so they do not find hindrances in their personal as well as professional lives. Multi pagan celebrations are norms at PFG. Employees learn the cultural celebrations of their colleagues and they respect each others traditions. This creates the bond between employees and they value the contentment of their partners. For the expectant mothers, PFG is very considerate to help them during their pregnancy. PFG provides prenatal care to the mothers and ensures that working mothers who are expecting their babies are to be taken care of.They do not discriminate them on their health issues. For Muslims, they also provide a s eparate prayer rooms to ensure that that religious obligations do not go unattended and it helps the employees respect the religious needs of their counterparts (Principal. com, 2010). Compensation steering in PFG Compensation management is other important aspects of an organizations contend employees. Efficient earnings management gives the employees with advantage of performance management too. These two aspects are closely linked.Employees must know that their recompense would tend to increase if they outperform their colleagues and give performance that is beneficial towards meeting the goals of the organization (Berger & Berger, 2008). Compensation focus in PFG is based on the competitive net profit system and salaries are evaluated yearly on the basis of the performance of the employees. They also get to participate in the annual incentive program which is subjective to the performance of the organization as well as the individual performance.They call it PrinPay (Principa l. om, 2010). The organizations compensation package is not just salary but it comprises of different benefits provided to the employees. These benefits are the medical benefits which can be customized by the employees according to their choice. Dental benefits include different dental services. Other benefits are vision coverage, wellness programs, and flexible spending accounts. Financial benefits provided to the employees include the retirement programs with 401 (k) plans, stock purchase program and treatment to short term and long term disability of the employees.The financial and health benefits are not the only incentives that are given to the employees of the organization. The employees enjoy the time off facility called Personal Time off (PTO). The PTO is saved in a PTO Bank and employees earn extra hours at the year end. Nine paid holidays are given to the employees through out the year, and they are also given some time off for automatic activities they want to perform. PFG does not believe in standardized compensation package and year end salary raises are all subjected to the performance of the employees (Principal. com, 2010).