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Thursday, June 28, 2012

What is Strategic Human Resource Management?

In Human Resource (HR) and management circles nowadays there is much talk about Strategic Human Resource Management and many expensive books can be seen on the shelves of bookshops. But what exactly is SHRM (Strategic Human Resource Development), what are its key features and how does it differ from traditional human resource management?

SHRM or Strategic human resource management is a branch of Human resource management or HRM. It is a fairly new field, which has emerged out of the parent discipline of human resource management. Much of the early or so called traditional HRM literature treated the notion of strategy superficially, rather as a purely operational matter, the results of which cascade down throughout the organisation. There was a kind of unsaid division of territory between people-centred values of HR and harder business values where corporate strategies really belonged. HR practitioners felt uncomfortable in the war cabinet like atmosphere where corporate strategies were formulated.

Definition of SHRM

Strategic human resource management can be defined as the linking of human resources with strategic goals and objectives in order to improve business performance and develop organizational culture that foster innovation, flexibility and competitive advantage. In an organisation SHRM means accepting and involving the HR function as a strategic partner in the formulation and implementation of the company's strategies through HR activities such as recruiting, selecting, training and rewarding personnel.

How SHRM differs from HRM

In the last two decades there has been an increasing awareness that HR functions were like an island unto itself with softer people-centred values far away from the hard world of real business. In order to justify its own existence HR functions had to be seen as more intimately connected with the strategy and day to day running of the business side of the enterprise. Many writers in the late 1980s, started clamoring for a more strategic approach to the management of people than the standard practices of traditional management of people or industrial relations models. Strategic human resource management focuses on human resource programs with long-term objectives. Instead of focusing on internal human resource issues, the focus is on addressing and solving problems that effect people management programs in the long run and often globally. Therefore the primary goal of strategic human resources is to increase employee productivity by focusing on business obstacles that occur outside of human resources. The primary actions of a strategic human resource manager are to identify key HR areas where strategies can be implemented in the long run to improve the overall employee motivation and productivity. Communication between HR and top management of the company is vital as without active participation no cooperation is possible.

Key Features of Strategic Human Resource Management

The key features of SHRM are

  • There is an explicit linkage between HR policy and practices and overall organizational strategic aims and the organizational environment
  • There is some organizing schema linking individual HR interventions so that they are mutually supportive
  • Much of the responsibility for the management of human resources is devolved down the line

Trends in Strategic Human Resource Management

Human Resource Management professionals are increasingly faced with the issues of employee participation, human resource flow, performance management, reward systems and high commitment work systems in the context of globalization. Older solutions and recipes that worked in a local context do not work in an international context. Cross-cultural issues play a major role here. These are some of the major issues that HR professionals and top management involved in SHRM are grappling with in the first decade of the 21st century:

  • Internationalization of market integration.
  • Increased competition, which may not be local or even national through free market ideology
  • Rapid technological change.
  • New concepts of line and general management.
  • Constantly changing ownership and resultant corporate climates.
  • Cross-cultural issues
  • The economic gravity shifting from 'developed' to 'developing' countries

SHRM also reflects some of the main contemporary challenges faced by Human Resource Management: Aligning HR with core business strategy, demographic trends on employment and the labour market, integrating soft skills in HRD and finally Knowledge Management.

References

  1. Armstrong, M (ed.) 192a) Strategies for Human Resource Management: A Total Business Approach. London:Kogan Page
  2. Beer, M and Spector,B (eds) (1985) Readings in Human Resource Management. New York: Free Press
  3. Boxall, P (1992) 'Strategic Human Resource Management: Beginnings of a New Theoretical Sophistication?' Human Resource Management Journal, Vol.2 No.3 Spring.
  4. Fombrun, C.J., Tichy, N,M, and Devanna, M.A. (1984) Strategic Human Resource Management. New York:Wiley
  5. Mintzberg, H, Quinn, J B, Ghoshal, S (198) The Strategy Process, Prentice Hall.
  6. Truss, C and Gratton, L (1994) 'Strategic Human Resource Management: A Conceptual Approach', International Journal of Human Resource Management, Vol.5 No.3

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Tuesday, January 24, 2012

Reality of Office Politics in Corporate Cartoons

 Reality of Office Politics in Corporate Cartoons
 Reality of Office Politics in Corporate Cartoons
 Reality of Office Politics in Corporate Cartoons
 Reality of Office Politics in Corporate Cartoons
 Reality of Office Politics in Corporate Cartoons
Reality of Office Politics in Corporate Cartoons

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Thursday, August 18, 2011

The Difference Between HRIS and HRMS - Basics

Four Points of HRIS
As an HRIS Solution, a.k.a. HR software, HRMS solution, HR Payroll Software, web vendor, I am anyone in this industry are constantly searching for new keywords to improve our rank and thus, bring more users to our websites. Currently, we track over one hundred and fifty unique HRIS solutions keywords. The problem is many of these keywords define the exact same thing. So I ask the question: -Are we confusing the HR profession by refusing to offer a language of terms that is more consistent?- With this article, my intention is to provide definitions to many of the terms those in the HR profession are likely to hear regarding HR software.
Perhaps the reason for so many terms for HRIS software is online advertising itself. The vendors who market online are constantly searching for new terms with which to rank well and attract vendors. There have been some vendors who have a brand strong enough to create their own terms and then everyone else jumps on the bandwagon. The terms 'Talent Management' and 'Talent Acquisition' are the two best examples I have seen. This improvement of terms by marketing gurus happens in other industries as well. My father owned a Chevy blazer known today as a sport utility vehicle. Now every auto manufacturer has jumped on the band wagon and uses the same term. The new term is cross over. What will the new term be for HR management software?
It seems like the more simple terms which may have been created by IT people or programmers slowly become replaced by more sophisticated terms created in the marketing world. An example is HR database versus human resource information system (HRIS) or applicant tracking software versus talent acquisition software.
- HR Software - It used to be enough to say you were looking for HR software. Well, not anymore. Now saying you are looking for HR software is sort of like saying you are hungry but not providing any idea of what you are hungry for. Think of the term HR software as all encompassing. It includes all of the terms used below.
- Personnel Software, Employee Software, HR Database, HR system - These were the common terms used to define what we know today as HRIS, HRMS or HRM software. These were terms likely created by programmers or technical people; in other words, non marketing people. These terms of yesterday seem to perceive smaller less sophisticated systems than the terms more commonly used today in HR software marketing.
- Human Resource Information System, a.k.a. HRIS Solutions - This is the type of term you receive from marketing as opposed to terms used above created by an IT staff. Yep, it's all pretty much the same thing. However, an argument could be made that an HRIS application is more comprehensive in its capabilities than an HR database but this may, or may not, be true as there are no standards for the terms in our industry. In marketing, however, perception is reality.
- Human Resource Management System, a.k.a. HRMS Solutions - Again, as far as I can tell, this term means the same as HRIS, or any of the other terms used above or most offered below. Overall, I believe HRMS is perceived as being a more comprehensive HR application than HRIS systems.
- HRIS Solutions and HRMS Solutions: Is there a difference?
Webpedia.com defines HRIS as a system used by human resources departments to track employees and information about them. A HRIS is often a database system or a series of inter-related databases.
Webpedia.com defines an HRMS as a software application that combines many human resources functions, including benefits administration, payroll, recruiting and training, and performance analysis and review into one package.
So according to these definitions, HRMS software is more comprehensive than HRIS software. I would love to accept this but, in reality, I can name a dozen HRIS applications that contain all of the features listed in the HRMS application. So now we are back to my original contention that the two terms, and many of the others, mean the exact same thing.
I worked with one HRIS vendor who changed the name of their system to an HRMS. It's important to note that they only changed the name, not the functionality. They simply believed the perception was that HRMS systems were more comprehensive than HRIS applications.
- Talent Management Software - A relatively new term to the market, this has replaced the term performance management software.
- Talent Acquisition - Like talent management software, this is a relatively new term to the market which is replacing the terms recruiting software or applicant tracking software.
- Licensed Purchase, Hosted License, ASP, SaaS, Online Subscription HRIS or HRMS - After fifteen years of selling HR software programs, these terms were confusing to me when I began working on CompareHRIS.com. I will do my best to define each. For these definitions, I will rely on that which was offered by George Brady with Vista HRMS.
- Subscription Service HRIS solutions (also referred to SaaS or PEPM) - Are sometimes referred to as multi-tenanted, as many companies share the system that has been configured for general use. The software and the data reside on servers in a secure facility, managed by the Vendor, where you access it from a Web browser. These solutions do not require IT support on your part. They usually require a set-up fee and you typically subscribe to this service monthly based on your employee population for a minimum term.
- Licensed/Purchase HRIS Solutions (You buy it and own it) - Licensed/Purchased solutions are sometimes referred to as In-House or On-Premise solutions. You pay a one-time license fee and your IT department installs and maintains the solution on your hardware using your network. License software is configured to your particular needs. There are implementation fees to set up the software. Ongoing annual Support fees are a percentage of the original license cost.
- Licensed/Hosted HRIS Solutions (also referred to as ASP) - Are the same as Licensed/Purchased with the software being configured to your particular needs. However, the Vendor hosts your software in its secure facility and provides the back office IT support. There are still implementation and Support fees. There is usually no minimum term as you own a license.
Closing - You are likely not the only person who has asked -What is the difference between an HRIS and an HRMS application?- I have worked in the industry for 15 years and I have asked the same question. Before today, I did not have a definitive answer. They are the same.

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Wednesday, August 10, 2011

Importance of Four Ds in Sales Management

Recently I stumbled across some notes that I had kept from a project I had been involved in which involved looking at manager behaviours. The aim of this project was to identify "preferred behaviours" in sales managers when they were working closely with their sales representatives. The outputs were interesting and helped my colleagues identify four main types of sales managers and the differences between effective and ineffective behaviours.
Four Types of Manager.
A few years ago when working as a coach for a multinational Pharma company my colleagues and I were given the task of designing a framework that enabled managers to work more effectively with their sales representatives out "in the field". There had been considerable discontent from the sales representatives in that, a large proportion of them "dreaded" the "field visit" from the manager as it was deemed stressful and seen very much as an assessment and the manager "checking up" rather than being motivational and developmental.
We studied the behaviours of twenty-five sales managers and interviewed both the managers and a sample of around one hundred representatives in order to come up with guidelines whereby managers (and representatives) could adapt their behaviours in order to make these field visit days far more productive than they had been previously.
In this article, I will outline the four types of manager that we found were "operating" and the effect that each type had on the development and motivation of the sales representative.
The "Do as I say" or "Dictator" Manager
There were a group of managers which we termed 'Dictators'. This type of manager "rules the roost" and "dictates" what should be done in his or her opinion. Listening skills are limited and they tend to take a very traditional approach to tasks. A typical response is along the lines of "Do it this way because it has worked this way in the past."
An advantage of this approach is that people know exactly where they stand and that the rules and company regulations were fully understood and guidelines were adhered to with the result that overall the team was seen as 'well disciplined'. People also knew that if the rules and guidelines were not adhered to, then discipline would follow.
The major challenge with this 'do as I say' approach was that the representative reported that there was little risk taking and that their opinions and ideas were not listened to, and as a result they often felt frustrated, under valued and in some cases threatened.
The sources of this behaviour appeared varied. Firstly some of the managers were simply mirroring the behaviour of previous managers that they had had themselves and in many ways did not know any form of management. Very little management training had been given to either the senior managers or the managers themselves...

When we worked with some of these managers we found that their behaviours changed very quickly and many were glad to be out of their "do as I say" role as they had never felt very comfortable with it. . Other managers, although having been trained continued to "dictate" either through fear of their own superior, an inability to influence peers and reports through collaborative discussion, and in one case, a misguided belief that their people did not have potential unless they were told what to do! The managers who continued in this fashion tended to be average performers.
The "Now you see me, now you don't" or the "Disappearing" Manager.
This group we found was the largest group within the twenty-five that we observed. Characterised by seemingly always having other things to do, this group appeared not to like to spend days visiting the sales representatives. They seemed to attend endless meetings, trips to head office and were apparently more comfortable spending time in front of the computer writing reports or pouring through sales figures.
A day "in the field" usually consisted of a quick visit, meeting up late morning, chatting over a cup of coffee, perhaps suffering a visit to one customer before having a "discussion" over lunch and then heading off back to a report or meeting. This type of manager always seemed to want to keep the mobile on during visits - "I'm waiting for an important call" was a favourite catch phrase.
Representatives reported back that this type of manager was the most frustrating. Very little time was spent with the representative and when there was there was time spent there was usually very little coaching and review. The time was spent either idly chatting or issuing directives. It was as if the representative was un-important or perhaps because the manager was uncomfortable listening to the reps ideas and challenges. This might bring about change and impact on the manager's routine!
The man reason for this type of behaviour we found was that these managers were on a succession plan. They were only going to be in the job for a sort period because the company had identified them as having future potential elsewhere in the organisation. The sales manager position was a stepping-stone to higher things and as such these managers were not given enough training and coaching and were also stretched in that some of them still had Head Office projects. Some of the "Disappearers" though simply were not able to handle their immediate manager and as such jumped at every request that was made by the senior manager. They had to attend every meeting, write every report and answer every voicemail and e-mail in order to keep in the senior manager's 'good books'. This group in the main needed to basic managerial training and training in how to influence their senior managers.

The "Let me Do It" or the "Super Salesperson" Manager -(The Demonstrator)
The main characteristic of this type of manager was their inability to let people work for themselves. This type of manager would love to get back into the field and would do as many field visits as possible. They actually missed the customer contact and when out with the sales rep would immediately engage the customer and "take over" the sales call. Very little coaching would be done and the manager would tend to tell the representative the best way to do things based on his or her experience and success.
Again, many representatives found this behaviour frustrating and annoying. Firstly, they actually saw far too much of the manager and secondly, when the manager took

over the sales call they felt that their integrity in the eyes of the customer was being threatened. Sometimes the customer felt very uncomfortable also.
Having said that many representatives reported that actually watching this manager operate did help them as the manager more often than not had been a good sales executive and sales did tend to improve as a result of the representative implementing what they had observed.
This type of manager really has to learn to let go. They have to learn that they are no longer sales representatives themselves and that they must empower their team to deliver the sales. They should be coaching their representatives more, as opposed to always showing them how to do it. This is OK with some of the younger less experienced reps whose capability is low but this type of approach with experienced more able reps can usually be counter-productive.
The Coaching Manager. - (The "Developer")
The Coaching Manager takes time with his or her people. Field visits are planned in advance, Agreements as to what each person wants to achieve out the day are reached and objectives are set and reviewed. Time is taken to plan good quality sales calls and time is also put aside in order to discuss the business plan and also to work through any ideas and challenges that the sales rep may have.
A full day will be spent whenever possible and the manager will coach the representative to assist them in identifying their objectives and also coach them through how best they are going to achieve them. Coaching will also take place when reviewing how the sales call went and good quality feedback will be given in order to raise the sales representative's awareness of their skills and interactions.
The coaching manager will be seen as support but will also be seen as the manager and not just a 'friend'. Sometimes the feedback will be tough but because there is mutual respect the sales representative will realise that the manager is giving constructive feedback in order to assist them in their development and ultimate success. The coaching manager will be skilled in using behavioural analysis, the skill/will matrix, motivational models and coaching models such as GROW and OUTCOMES.
Unfortunately our research showed that only two out of the group of twenty-five came anywhere near our ideal coaching manager. Those two managers were seen as role models and as such their representatives looked forward to them visiting them on a regular basis. Needless to say the sales results of the teams involved were excellent

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Monday, August 8, 2011

Important Role of HRMS in Organizations

HRMS is very Important
Delineating human resource department functions are very crucial for an organization that runs HRMS. In olden days managing large scale human resources was a very toughest task. Even it becomes difficult for sharing the information about employee records, banking and payroll records for International business agencies that do not have central HR administration. Even some U.S. business concerns having multiple offices at various places were running individual HR departments to meet their requirements. The additional expenditure incurred for establishing and running HR departments are being met by balanced company expenditures. Now HRMS has overcome all these problems.
Over many years, of course nearly 20 years HRMS are satisfying the needs of corporate landscape. In early days to implement and operate HRMS an advanced degree in computer science was a mandatory requirement. Also there was a need to hire administrators for getting HRMS data for their company. There were lots of constraints in adopting HRMS. Many companies felt that empowering HR departments would be more beneficial than implementation of HRMS. But over a period of years the revolution in technology has given life to the HRMS and improved to such an extent that without HRMS no corporate office is existing now. The growing needs of HR necessitated for the development of highly specialized tools. A parallel evaluation of HRMS incorporating these tools made ease of HR tasks. The various HR aspects like time, attendance to payroll and labor distribution are valuable commodity in the business world.
The modular packaging is the one of the most beneficial developments in HRMS. Few years back software was the only usable entity in HRMS and there was no scope for a series of applications. There was no dedicated HRMS for small businesses. They used to adopt the same HRMS that large business used. Now trend has changed and HRMS are modulated to suit for all types of businesses. Any business whether it is small or big can purchase HRMS applications meeting to their requirements and can be implemented in their organizations. Scalable modules facilitated in reduction of cost of HRMS. Also scalable modules created the scope to implement for localized applications without disturbing the resources that deal with larger applications.
Now the business community realized HRMS as standard application by virtue of software's integral value. Also in the present business world either small or large business organizations felt HRMS as indispensable tool in their organizations. Though HRMS has become part of most functional and practical of all business software solutions, still there is vide scope for its continual development.

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Friday, August 5, 2011

Basic Concepts of Strategic Human Resource Management


Strategic Human Resource Management

In Human Resource (HR) and management circles nowadays there is much talk about Strategic Human Resource Management and many expensive books can be seen on the shelves of bookshops. But what exactly is SHRM (Strategic Human Resource Development), what are its key features and how does it differ from traditional human resource management?
Str. HRM or Strategic human resource management is a branch of Human resource management or HRM. It is a fairly new field, which has emerged out of the parent discipline of human resource management. Much of the early or so called traditional HRM literature treated the notion of strategy superficially, rather as a purely operational matter, the results of which cascade down throughout the organization. There was a kind of unsaid division of territory between people-centered values of HR and harder business values where corporate strategies really belonged. HR practitioners felt uncomfortable in the war cabinet like atmosphere where corporate strategies were formulated.
Definition of Strategic HRM
Strategic human resource management can be defined as the linking of human resources with strategic goals and objectives in order to improve business performance and develop organizational culture that foster innovation, flexibility and competitive advantage. In an organization Str. HRM means accepting and involving the HR function as a strategic partner in the formulation and implementation of the company's strategies through HR activities such as recruiting, selecting, training and rewarding personnel.
How Str. HRM differs from HRM
In the last two decades there has been an increasing awareness that HR functions were like an island unto itself with softer people-centered values far away from the hard world of real business. In order to justify its own existence HR functions had to be seen as more intimately connected with the strategy and day to day running of the business side of the enterprise. Many writers in the late 1980s, started clamoring for a more strategic approach to the management of people than the standard practices of traditional management of people or industrial relations models. Strategic human resource management focuses on human resource programs with long-term objectives. Instead of focusing on internal human resource issues, the focus is on addressing and solving problems that effect people management programs in the long run and often globally. Therefore the primary goal of strategic human resources is to increase employee productivity by focusing on business obstacles that occur outside of human resources. The primary actions of a strategic human resource manager are to identify key HR areas where strategies can be implemented in the long run to improve the overall employee motivation and productivity. Communication between HR and top management of the company is vital as without active participation no cooperation is possible.
Salient Features of Strategic Human Resource Management
The Salient features of Str. HRM are
  • There is an explicit linkage between HR policy and practices and overall organizational strategic aims and the organizational environment.
  • There is some organizing schema linking individual HR interventions so that they are mutually supportive.
  • Much of the responsibility for the management of human resources is devolved down the line.

Trends in Strategic Human Resource Management
Human Resource Management professionals are increasingly faced with the issues of employee participation, human resource flow, performance management, reward systems and high commitment work systems in the context of globalization. Older solutions and recipes that worked in a local context do not work in an international context. Cross-cultural issues play a major role here. These are some of the major issues that HR professionals and top management involved in Str. HRM are grappling with in the first decade of the 21st century:
  • Internationalization of market integration.
  • Increased competition, which may not be local or even national through free market ideology.
  • Rapid technological change.
  • New concepts of line and general management.
  • Constantly changing ownership and resultant corporate climates.
  • Cross-cultural issues.
  • The economic gravity shifting from 'developed' to 'developing' countries
Str. HRM also reflects some of the main contemporary challenges faced by Human Resource Management; Aligning HR with core business strategy, demographic trends on employment and the labor market, integrating soft skills in HRD and finally Knowledge Management.

Reference Articles and Books
  1. Armstrong, M (ed.) 192a) Strategies for Human Resource Management: A Total Business Approach. London:Kogan Page
  2. Beer, M and Spector,B (eds) (1985) Readings in Human Resource Management. New York: Free Press
  3. Boxall, P (1992) 'Strategic Human Resource Management: Beginnings of a New Theoretical Sophistication?' Human Resource Management Journal, Vol.2 No.3 Spring.
  4. Fombrun, C.J., Tichy, N,M, and Devanna, M.A. (1984) Strategic Human Resource Management. New York:Wiley
  5. Mintzberg, H, Quinn, J B, Ghoshal, S (198) The Strategy Process, Prentice Hall.
  6. Truss, C and Gratton, L (1994) 'Strategic Human Resource Management: A Conceptual Approach', International Journal of Human Resource Management, Vol.5 No.3.

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Saturday, May 7, 2011

Human Resource Management's Importance

Human Resource Management

Human Resource Management actually HRM is the base of management that concerns itself with the direction of a disposal's most alive resources - the people who separately & together encourage to the activity maturation and developing. Originally referred to as ‘section direction’ Human Resource Management essentially deals with staffing, processing the capabilities, retaining, relationship and compensating them in obligation with their mortal performances and organizational needs.
The Human Resource Management correction is a pedagogue theory that believes that employees are individuals with varying needs and goals and cannot be thought of as honorable creation resources. The correction takes an optimistic canvas of employees and seeks to correct their personalized goals with those of the organization thus superior to the utilization of the two in synergy. For this end, Human Resource Management also seeks to render employees with decent preparation and mentoring so that they obtain an apprehension of procedures & systems exemplary of the organization.
Human Resource Management in fashionable organizations includes the activities concerning manpower planning, achievement of talent, stimulus or on boarding, grooming and processing and rectification and action assessment. Human Resource Management may also render to plow travel management, experience relations, and employee benefits direction.
Ger Successes by HRM in Your Professional Career
At the higher destruct, Human Resource Management strategy deals with the good structure to complete Human Resource Management policies. Spell an activity's Human Resource Management policies may treat various aspects specified as accomplishment, breeding, appraisals, and rectification, an coverall strategy is required to array all areas of Human Resource Management.
Various universities request programs for the ponder of Human Resource Management. The honors make for the college level speculate of Human Resource Management, the Civilize of Manual and Proletariat Relations was set up by Altruist University. Since then, a classify of colleges in the US know initiated courses for the contemplate of Human Resource Management. Whatever of these let the Lincoln of Minnesota, New market Denote University and River Nation Lincoln?
Human Resource Management may include jobs that covering mass Human Resource Management functions or specialized Human Resource Management functions. There may be careers exclusive concerning achievement and placement or there may be positions only for upbringing utilization managers. Sometimes, rectification and benefits tasks are handled by compensation analysts or salary administrators.
Apart from the orderly high colleges message programs in Human Resource Management, there are a majuscule umpteen remaining courses procurable for managers who may necessary to advance themselves or strike course courses in ordering to intensify advance options or fitting alter their knowledge of the master. Post Graduate credentials programs are lendable in various great colleges. These sight with the new innovations in the facility of Human Resource Management and inform people with the current developments in the installation.
HR Management - The Backbone of Management
For the diligent managers, there are few leave instant courses in Human Resource Management addressable as advantageously. These can be attended in the evenings or on weekends. A semiprecious alternative for those fill that are unable to assert time off from their daily jobs, the curriculum of the start abstraction courses should be premeditated with assist before decisions to recruit are arrogated up. Play careful that the curriculum suits your preparation needs before you gesticulate up. Also, analyze out of the row achieved your goals.

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