Day: January 6, 2022

An agency relationship arises whenever one or more individuals called principals use other people or individual/s called agents to perform some services on their behalf. The principals delegate decision making authority to the agents. In case of public limited company, Read More …

The Definition for Audit and Assurance Standard AAS-1 by the Institute of Chartered Accountants of India(ICAI) — “Auditing is the independent examination of financial information of any entity, whether profit oriented or not, and irrespective of its size or legal Read More …

Certain policies must be formulated before a successful compensation system can be developed and implemented. These policies are strongly influenced by the organizations objectives and its environment. Compensation policies must deal with the following issues: Minimum and maximum levels of Read More …

Compensation refers to that which employees receive in exchange for their work/effort. Compensation is usually composed of base wage or salary plus any accompanying bonuses and benefits. Base wage or salary is the hourly, weekly or monthly payment that employees Read More …

Subjectivity/Assessment errors Potential errors include: – Leniency, Central Tendency, Recency and Halo effect.  Leniency This occurs when a manger’s ratings are grouped at the positive edge instead of being spread throughout the performance scale. All employees get a positive performance Read More …

A distinction can be made between input and output based criteria. Input based criteria relateses to the personal traits, competences and skills that an employee brings to a company or a job. Output based criteria are co-owned with individual performance Read More …

Performance appraisal is the process of determining and communicating to an employee how he or she is performing on the job and establishing a plan for improvement. Functions/Objectives When properly conducted, performance appraisals lets the employees know how well they Read More …

Performance management is the strategic and integrated approach to increasing the effectiveness of organizations by improving the performance of people who work in them. Effective performance management ensures that employees and managers understand each other’s expectations and how corporate strategy Read More …

In order to achieve good results with training and development efforts; the training must consist of an orderly planned sequence of events. The training process is therefore divided into four phases: 1)         Assessment of training needs 2)         Development of training Read More …

Orientation/Induction training is the first kind of kind of training which is offered to employees after they join the organization. This is the introduction of new employees to the organization, to their work units and to their jobs. An effective Read More …