Sunday, December 21, 2008

Third-party and Comprehensive Insurance

Third Party Insurance indemnifies vehicle owners and drivers who are legally liable for personal injury to any other road user in the event of a motor vehicle accident. Your TPI insurance will cover you for personal injury claims made against you by other road users such as drivers, passengers, pedestrians, cyclists, motorcyclists and pillion passengers. It is a compulsory form of insurance.

Comprehensive Insurance is a first party coverage. That means it also pays for damage to your vehicle that is caused by things such as a collision with an animal, theft, flood, glass damage. The other coverage that pays for damage to your car is called Collision Insurance. This pays for when you strike another object (a car, tree, pot hole). In order for your car to be properly covered, you should have both Collision and Comprehensive Insurances. But in general, both these coverages are treated as one. The state does not require either of these coverages - but if your car is financed, your finance company will require both.

Monday, December 1, 2008

Performance Review Revisited

This was forwarded to me a few days back. It is very interesting and thoughtful. I would reserve my comments for the end.

Employee "A" in a company walked up to his manager and asked what my job is for the day? The manager took "A" to the bank of a river and asked him to cross the river and reach the other side of the bank. "A" completed this task successfully and reported back to the manager about the completion of the task assigned. The manager smiled and said "GOOD JOB"

Next day Employee "B" reported to the same manager and asked him the job for the day. The manager assigned the same task as above to this person also. The Employee "B' before starting the task saw Employee "C" struggling in the river to reach the other side of the bank. He realized "C" has the same task. Now "B" not only crossed the river but also helped "C" to cross the river. "B" reported back to the manager and the manager smiled and said "VERY GOOD JOB"

The following day Employee "Q" reported to the same manager and asked him the job for the day. The manager assigned the same task again. Employee "Q" before starting the work did some home work and realized "A", "B" & "C" all has done this task before. He met them and understood how they performed. He realized that there is a need for a guide and training for doing this task. He sat first and wrote down the procedure for crossing the river, he documented the common mistakes people made, and tricks to do the task efficiently and effortlessly. Using the methodology he had written down he crossed the river and reported back to the manager along with documented procedure and training material. The manger said "Q" you have done an "EXCELLENT JOB".

The following day Employee "O' reported to the manager and asked him the job for the day. The manager assigned the same task again. "O" studied the procedure written down by "Q" and sat and thought about the whole task. He realized company is spending lot of money in getting this task completed. He decided not to cross the river, but sat and designed and implemented a bridge across the river and went back to his manager and said, "You no longer need to assign this task to any one". The manager smiled and said "Outstanding job 'O'. I am very proud of you."

What is the difference between A, B, Q & O????????

Many a times in life we get tasks to be done at home, at office, at play. Most of us end up doing what is expected out of us. Do we feel happy? Most probably yes. We would be often disappointed when the recognition is not meeting our expectation.

Let us compare ourselves with "B". Helping some one else the problem often improves our own skills. There is an old proverb (I do not know the author) "learn to teach and teach to learn". From a company point of view "B" has demonstrated much better skills than "A" since one more task for the company is completed.

"Q" created knowledge base for the team. More often than not, we do the task assigned to us without checking history. Learning from other's mistake is the best way to improve efficiency. This knowledge creation for the team is of immense help. Re-usability reduces cost there by increases productivity of the team. "Q" demonstrated good "team-player" skills,

Now to the outstanding person, "O" made the task irrelevant; he created a Permanent Asset to the team. If you notice B, Q and O all have demonstrated "team performance" over an above individual performance; they have also demonstrated a very invaluable characteristic known as "INITIATIVE".

Initiative pays of everywhere whether at work or at personal life. If you have initiative you will succeed. Initiative is a continual process and it never ends. This is because this year's achievement is next year's task. You cannot use the same success story every year. The story provides an instance of performance, where as measurement needs to be spread across at least 6-12 months. Consequently performance should be consistent and evenly spread. Out-of-Box thinkers are always premium and that is what every one constantly looks out for. Initiative, Out-of-Box thinking and commitment are the stepping stone to success. Initiative should be life long. Think of out of the box.

It is a wonderful essay on the levels of thinking of an employee, or a person in general. But I feel it lacks a bit in subjectivity. A person can become 'O', only if he has been a successful 'A','B' and 'Q'. So, all are worthful and are doing a good job, some better than others, but until and unless 'B' is made to believe that 'O' has a higher prospect of success in life, he is not going to take the first step. That realization for B should not come in monetary terms, but rather in motivational terms. This is where the challenge for both employees and managers lie. Quite often in life, failure begets success, but here success should beget even more success. This is a very hard motivation to attain or give. But as said above too, this is what separates 'O' from 'B'.