What are the challenges faced by advisors in hiring and attracting the right talent, given that you are competing for the same pool of talent as banks and national distributors which are better known brands?
Most of our employees are hired through references. Interestingly, these references are from our loyal clients who understand our mindset very well. As far as brand is concerned, we get people who want to learn the ropes. We hire freshers so that we can mold them the way we want.
Give us an overview of your HR philosophy and approach.
Employees are our capital and our job is to grow this capital. For long, people have erroneously believed that human asset management is the Key Result Area (KRA) of HR department. The term ‘human capital’ signifies that it is not just the HR department’s job to manage this resource but also the job of the senior management.
Finally, you need to remember this, ‘You never know how much someone means to you until they are gone.’ So, keep investing in your employees because they yield the best dividends.
Here are two statements which had an impact on our HR philosophy:
- An intelligent person hires people who are more intelligent than he is - Robert Kiyosaki
- Always treat your employees exactly as you want them to treat your customers – Stephen Covey
In a business which is affected severely by market volatility and regulatory changes, is it possible to have a consistent HR policy? Have you rationalized/downsized staff or cut salaries in response to the many changes that have taken place in the environment?
We have not downsized or cut salaries. We are in fact building our capabilities by hiring more people. We are confident that the next boom is just around the corner and we should be ready for it. You cannot be digging a well when you are thirsty.
How do you incentivize your staff? Do you think monetary incentive is good way to motivate your staff? How do you ensure that such incentives are aligned to client interest?
We don’t incentivize relationship managers based on the revenues generated by them. We incentivize them based on some qualitative factors like number of review meetings, recommendations, timely advice, service and above all our ‘client first’ philosophy.
How do you retain your employees? Have you faced attrition challenge?
Retaining talent in a challenging environment is a universal concern and we are no different. We address this issue by contributing the same amount of money which employees invest through SIP. This ensures that employees understand that we are investing in their future growth.