POTENTIAL

MANAGEMENT

PRESENTED BY-
AASTHA GARG
SHAURYA KANWAR
YOGINDER KHURANA
 Definition

HUMAN POTENTIAL MANAGEMENT

 Human potential management is an integrative and continuous process of
enhancing human capabilities and capacities by enriching human beings’
existing potential and helping them to discover and tap their latent
potential.
 To create and sustain an environment that facilitates individuals in achieving
their full potential to their own as well as the organization’s advantage.
 HPM focuses on self-management. It has an underlying belief that if human
beings are provided with opportunities to use their potential, they can
manage themselves.
Potential Analysis Tools

 Tests
 Intelligence Test- Measures Mathematical analogies
 Performance test- Determines ability to concentrate and
responsiveness
 Personality Test- Measures emotional ,motivational , Interpersonal
characteristics
 Interviews
 Biographical Interview – Evaluate strengths and weakness
 Multimodal Interview- A semi structured kind of Interview
Tools

 Assessment Center- Highly structured group processes to examine

knowledge and potential
 360° Feedback – Method in which colleagues ,superiors ,customers and
suppliers and other employees participate to evaluate the employee
 Management Audit- Evaluation process in which External consultants
examine employee’s skills and potential with different tests
Potential Management Strategies

WHY ARE POTENTIAL EMPLOYEES DISSATISFIED?

 Difference between thinking of employer and employee
 Employees are not engaged in assignments they actually want
STRATEGIES TO BOOST MORALE AND ENGAGEMENT
 Tell them they are Special
 Align Individual and company needs during a Consultative process
 Delegate Real Responsibility
 Be Flexible
Strategies

 Tap Effective Mentors

 Make learning and advancement seem never-ending
 Focus on developing the attributes leaders are bound to need
 Put assessment to the transparency test
 Part on friendly terms
Objectives

 Focuses on Self Management

 Focuses on Recognizing Human Potential
 Focuses on Enhancing Human Capabilities and Capacities
 Focuses more on Turning Employees Potential to their own advantage
 Focuses on Continuous Updating of Organizational Policies
Retaining High Potential Employees

 Pride in their Work

 Career Advancement
 Visible Differentiation
 Understanding the Big picture and Role of HIPOs
 Compensation
 Flexible Hours and Schedule
 Casual Dress Codes
 Retention Bonuses
Managing High Potential Employees

 Pair them with mentors

 Don’t bog them down with trivial duties
 Strike the Right Communication Balance
 Invest in Training and Development Opportunities
 Test them to evaluate their abilities, levels of engagement and future
aspirations
 Engage them in areas like strategic planning and future strategies for the
business
 Meet with your high-potentials regularly, not just at appraisal time
Developing Employee Potential

 Develop New Managers

 Recognizing and Developing High-Potential Employees
 Get to know your employees and set specific goals
 Boost employee engagement
 Reinforce skill development
High Potentials vs. High Performers

 Distinguish between performance and potential, to identify talent.

 Assessing Performance vs. Potential

High Performance •Regularly exceeds •Sets standard of excellence

expectations in role

•Lacks skills for success at •Model leadership candidate

higher level
Low Performance •Little-to-no aptitude •Above-average aptitude

•Weak, unsatisfactory •Inconsistent performance

performance
Low Potential High Potential
Performance vs. Potential

 Development strategies to consider-

High Performance •Keep them where they are •Keep them where they are,
or promote
•Challenging assignments
•Provide autonomy

Low Performance •Performance plan •Pair with a High Performer

•Termination •New role better aligned with

skills
Low Potential High Potential
Conclusion – Time to move beyond concept of
HRM

 The time has come to look at people in the corporation not as mere
resources but as real partners.
 Factors such as personal growth and operational autonomy are gradually
likely to play a vital role in motivating tomorrow's more skilled and
knowledgeable workforce.
 Employees are less likely to see themselves as resources who could be
used, utilized or manipulated to achieve organizational objectives.
 Employees are more inclined to work in organizations that will, in turn,
empower them to achieve their full potential.
 Hence, it is time to move from HRM to HPM.
THANK YOU