HUMAN HUMAN
RESOURCE RESOURCE
MANAGEMENT MANAGEMENT
S. VIVEKANANTHA, S. VIVEKANANTHA,
Faculty Member, Faculty Member,
Department of Management Studies Department of Management Studies
RVS COLLEGE OF ARTS AND SCIENCE RVS COLLEGE OF ARTS AND SCIENCE
INAMKULATHUR, TRICHY
INAMKULATHUR, TRICHY
Personnel, Personnel, Manpower, Manpower,
Human Resources Human Resources
and human resource Development and human resource Development
The big difference The big difference between these terms between these terms
Why Human Factor is More Why Human Factor is More Important?
Important?
• Human resources are unique in character
• HR alone can produce an output greater than its input
• HR is the only resource which are animate
• HR is most complex and unpredictable in its behavior
• This is the only resource which appreciates in its value with the passage of time.
Meaning and Definition Meaning and Definition
• NIPM – CALCUTTA" Personnel Management is that part of the
management function which is primarily
concerned with human relationships within in organization. Its objective is the
maintenance of those relationships on a basis which, by consideration of the well- being of the individual, enables all those engaged in the undertaking to make their maximum personal contribution in the
effective working of the undertaking.”
Edwin B Flippo Edwin B Flippo
““The personnel function is concerned with the The personnel function is concerned with the procurement, development, compensation, procurement, development, compensation, integration and maintenance of the personnel integration and maintenance of the personnel of an organization for the purpose of of an organization for the purpose of contributing towards the accomplishment of contributing towards the accomplishment of that organization’s major goals or objectives.
that organization’s major goals or objectives.
Therefore, personnel management is the Therefore, personnel management is the planning, organizing, directing, and planning, organizing, directing, and controlling of the performance of those controlling of the performance of those operatives functions”.
operatives functions”.
Differentiate between Personnel Differentiate between Personnel
Management and Human Management and Human
Resource Management Resource Management
• Take Home Assignment.
Objectives and scope of HRM Objectives and scope of HRM
• To effective utilization of the human resources
• To establish and maintain an organizational structure
• To secure integration to the individuals and
organization by reconciling individual group goals
• To generates maximum development of individuals groups
• To recognize and satisfy individual needs and group goals
• To maintain high morale and better human relations
• To develop and maintain a quality of work life
• To establish and maintain productive self-respecting working relationships
Features of HRM Features of HRM
• Comprehensive Function
• People-Oriented
• Action Oriented
• Individual Oriented
• Development Oriented
• Pervasive Function
• Continuous Function
• Interdisciplinary
• Nervous system.
• Young discipline
• Future-oriented
• Challenging Function
• Science as well an Art
• Staff function
HUMAN RESOURCE PLANNING HUMAN RESOURCE PLANNING
• Definition: It is the process by which management
determines how an organisation should move from its current manpower position to its desired manpower position. Through it management strives to have the right number and the right kind of people at the right
places, at the right time, doing things which result in both the organization, and the individual receiving, maximum long-rang benefit”
Objectives of HRP Objectives of HRP
• To ensure optimum use of existing HR
• To forecast future requirements for HR
• To provide control measures
• To link HRP with Organisational
Planning
• To determine levels of Recruitment and Training
• To estimate cost of Hr and Housing needs of
Employees
• To provide a basis for MDP
• To facilitate productivity Bargaining
• To meet the needs of Expansion and
Diversification programmes
• To assess shortage and
surplus of Hr
Need and Importance of HRP Need and Importance of HRP
• To carry on its work and to achieve its objectives
• HRP identifies gaps
• There is need to replace employees
• HRP facilitates
expansion and growth
• HRP helpful in
effective utilization of HR and Technology
• HRP is useful in
anticipating Cost of HR which facilitates budgeting easier
• HRP facilitates Career and
succession planning
• HRP helps in planning for
physical facilities like canteen staff quarters etc
Why HRP gained so much Why HRP gained so much
focus in recent times…
focus in recent times…
• Employment situation
• Technological Changes
• Organizational Changes
• Demographic Changes
• Lead time
• Hiring costs
• Increased Mobility
• Shortage of Skills
• Legislative Controls
• Pressure Groups
• Systems Concepts
Process of HRP Process of HRP
•1. Analyzing Organizational Plans
•2. Forecasting Demand for HR
•3. Forecasting supply of HR
•4. Estimating Manpower Gaps
•5. Action Planning
•6. Monitoring and Control
Assignments Assignments
• 1.What are the challenges of HR
Executives in the present day business scenario?
• 2. State essential qualities of Successful HR Manager?
• 3. Draw an organizational chart of an MNC
known to you and state whether HR function
line or Staff function.
Job Analysis Job Analysis
• Job analysis is a formal and detailed study of jobs
• It refers to a scientific and systematic analysis of a job in order to obtain all pertinent facts about the job
• It is essentially a process of collecting
and analyzing all pertinent data relating
to a job
Objectives of Job Analysis Objectives of Job Analysis
• Job Redesign
• Work Standards
• Recruitment
• Selection
• Training
• Performance appraisal
• Job evaluation
• Safety
Benefits of Job Analysis Benefits of Job Analysis
• 1. Organizational Design
• 2. Human Resource Planning
• 3. Recruitment and Selection
• 4. Placement and Orientation
• 5. Training and Development
• 6. Performance Appraisal
• 7. Career Path planning
• 8. Job Design
• 9. Job Evaluation
• 10 Labour Relation
• 11. Employee Counselling
• 12. Health and
Safety
The process of Job Analysis The process of Job Analysis
• 1. Organisational Analysis
• 2. Organising Job
Analysis Programme
• 3. Deciding the uses of Job Analysis
Information
• 4. Selecting
Representative Jobs for analysis
• 5. Understand Job Design
• 6. Collection of Data
• 7. Developing a Job Description
• 8. Preparing a Job
Specification
Techniques of Job Analysis Techniques of Job Analysis
• 1. Job Performance
• 2. Personal Observation
• 3. Interview
• 4. Questionnaire
• 5. Critical Incidents
• 6. Log Records
Differentiate between Job Differentiate between Job
Description and Job Specification Description and Job Specification
• Job Description is a
functional description of what the job entails.
And define the purpose and scope of a job. It is a written record it
contains title, location, duties, responsibilities, working conditions,
hazards and relationship with other jobs.
• Job specification is a statement of the
minimum acceptable human qualities
required for the proper performance of a job.
• It includes physical, mental, social,
psychological and behavioral
characteristics of a person
Job Evaluation Job Evaluation
• According to BIM, Job evaluation is “the process of analysis and assessment of
jobs to ascertain reliably their relative worth using the assessment as the basis for a balanced wage structure”
• Job evaluation begins with job analysis
and ends up with the classification of jobs
according to their worth. A job cannot be
evaluated unless and until it is analyzed.
Objectives of Job evaluation Objectives of Job evaluation
• 1. To Determine equitable wage differentials between different jobs in the organization
• 2. To eliminate wage inequities
• 3.To develop a consistent wage policy
• 4. To provide a framework for periodic review and revision of wages
• 5. To provide a basis for wage negotiations
• 6. To enable management to gauge and control the payroll costs
• 7. To minimize wage descriptions on the basis of age, sex, caste, region, religion , creed etc
Methods of Job Evaluation Methods of Job Evaluation
• Job Evaluation can be classified in to two categories
• 1. Non-quantitative methods:
– a. Ranking or Job Comparison – b. Grading or Job Classification
• 2. Quantitative methods:
– a. Point Rating
– B. Factor Comparison
Recruitment Recruitment
• What is Recruitment?
• What is Procurement?
• The Difference Between Recruitment and Selection and Placement.
• Why Recruitment is more important for an organization?
• How not to recruit employees in the organization?
• General Factors affecting
Recruitment:
The sources of Recruitment The sources of Recruitment
• Internal Sources
• 1. Transfers
• 2. Promotions
• External Sources
• 1. Press Advertisements
• 2. Educational Institutions
• 3.Placement Agencies
• 4.Employment Exchanges
• 5.Labour Contractors
• 6.Unsolicited Applicants
• 7.Recommendations
• 8.Recruitment at Factory gate
• 9. Online
Recruitment Process Recruitment Process
• Steps in Recruitment Process:
• 1. Requisitions for recruitment from other department
• 2. Locating and Developing the sources of Required number and type of employees
• 3. Identifying the prospective employees with required characteristics
• 4. Communicating the information about the organization, the job and the terms of
conditions of service.
• 5. Encourage the identified candidates to apply for jobs
In the organization.
• 6. Evaluating the effectiveness of recruitment process.
What is Selection?
What is Selection?
• Selection is the process of choosing the most suitable persons out of all the applicants.
• Selection is a process of matching the qualifications of applicants with the job requirements.
• It is the process of weeding out unsuitable
candidates and finally identify the most suitable candidate.
• The purpose of Selection is to pick up the right person for every job.
• Selection is negative process as it rejects a large number of unsuitable applicants from the pool.
Methods of Selection Methods of Selection
• (a) Tests:
• 1. Aptitude Tests:
– Mental or
Intelligence test – Mechanical test – Psycho-motor test
• 2. Achievement Tests:
- Job Knowledge test - Work sample test
• 3. Personality Tests:
– Objective test – Projective test – Situation test
• 4. Interest Tests:
• Continued…
Methods of Selection
Methods of Selection (continued) (continued)
(b) Interviews
1. Informal Interview 2. Formal Interview
3. Patterned or Structured Interview
4. Non-Directed or Unstructured Interview 5. Depth Interview
6. Group Interview 7. Stress Interview
8. Panel or Board Interview
Selection Process…
Selection Process…
• 1. Preliminary Interview
• 2. Application Blank
• 3. Selection Test
• 4. Employment Interview
• 5.Medical Examination
• 6.Reference Checks
• 7. Final Approval
Induction/Orientation Induction/Orientation
• Definition: “Orientation or induction is the process of receiving and welcoming an employee when he first joins a company and giving in the basic information he needs to settle down quickly and happily and start work”.
• Objectives and Advantages of an
Induction programme.
Advantages and Objectives of an Advantages and Objectives of an
Orientation programme Orientation programme
• Objectives:
• 1. To help the new come to overcome his shyness
• To build new employee’s confidence
• To develop the new entrants a sense of belonging and loyalty
• To foster a close and cordial relationship…
• To prevent false impression and negative attitude of the new employees
• To give the new comers necessary information like canteen, locker room. Rest periods and leave rules etc…
• Advantages:
• It helps to build two way communication
• It facilitates informal relations and team work
• Induction is helpful in supplying information about the
organisation, job, and welfare of employees
• Proper Induction will reduce employees grievances,
absenteeism and labour turnover
• Induction helps to develop good public relations and improve the overall morale of employees
• An Induction programme proves that the company is taking a
sincere interest in getting him off to a good start
Contents of an Induction programme:
Contents of an Induction programme:
• Brief history and operations of the company.
• Products and services of the company.
• The company’s organization structure.
• Location of departments and employee facilities.
• Policies and procedures of the company.
• Rules, regulations and daily work routines.
• Grievance procedures.
• Safety measures
• Standing orders and disciplinary procedures
• Terms and conditions of service including wages, working hours, over time, holidays etc.
• Suggestion schemes
• Benefits and services for employees.
• Opportunities for training and promotions transfers etc.
Employer Investment on People Employer Investment on People
• A country can develop only when its human resources are developed through health,
nutrition, education, training and research. At the Organisational level, employee training and executive development are main areas of human resource development.
• The subtle differences between Training,
Development and Education
Why Training is needed?
Why Training is needed?
• To familiarize the employee with the company’s culture
• To increase the employee’s quantity and quality of output
• To enable the employee to do new jobs and prevent of his old skills become obsolete
• To prepare the employee for promotion to higher jobs
• To reduce supervision, wastage and accidents
• To build second line workers
Importance of Training Importance of Training
• 1. Higher productivity
• 2. Better quality of work
• 3. Less learning period
• 4. Cost Reduction
• 5. Reduced supervision
• 6. Low accident rate
• 7. High morale
• 8. Personal Growth
• 9. Organizational Climate
Steps in Training Programme Steps in Training Programme
• 1. Identifying Training Needs- Present Performance – Desired Performance
(Accepted Level of Performance)
• 2. Setting Training Objectives and Policy
• 3.Designing Training Programme
• 4. Conducting the Training
• 5. Follow up and Evaluation
Assignments Assignments
• 1. State essential qualities of Successful
Recruitment Advertisement. And also state how will you spell out Job specification and job
description briefly in the AD itself.
2. How will you carry out training need analysis for a medium sized organization?
3. If you are HR Executive of an MNC, How will
you retain employees in your organization?
PROMOTION PROMOTION
• Promotion refers to advancement of an
employee to a higher post carrying greater responsibilities, higher status and better
salary. It is the upward movement of an employee in the organization's hierarchy, to another job commanding greater
authority, higher status and better
working standards.
Transfer Transfer
A transfer refers to a horizontal or lateral movement of an employee from one job to
another in the same organization without any
significant changes status and pay. It has been
defined as “ lateral shift causing movement of
individuals from one position to another usually
without involving any marked change in duties,
responsibilities, skills needed or compensation”
Need and purpose of Transfers Need and purpose of Transfers
• 1. To meet organizational needs
• 2. To satisfy employee Needs
• 3. To better utilization of Employees
• 4. To make the Employee More versatile
• 5. To adjust the work force
• 6. To provide Relief
• 7. To Punish Employees
Types of Transfers Types of Transfers
• 1. Production Transfer
• 2. Replacement Transfer
• 3. Versatility Transfer
• 4. Remedial Transfer
• 5. Shift Transfer
Demotion Demotion
• Demotion implies the assignment of an
employee to a job of lower rank with lower pay. It refers to downward movement pf an employee in the organizational hierarchy with lower status and lower salary.
• It is downgrading process and a serious type of
Punishment, hence it should be used tactfully
and only when it is absolutely necessary.
Need for Demotion:
Need for Demotion:
Why and When Why and When
• 1. Adverse Business Conditions
• 2. Incompetence
• 3. Technological Change
• 4. Disciplinary Measure.
Seperations Seperations
• Separation of an employee takes place when his service agreement with the organisation come to an end and the employee the organisation. It may occur due to resignation, death, dismissal and layoff.
Following are various forms of separations.
• Resignation
Retirement Layoff
Retrenchment
Dismissal
Wage and Salary Administration Wage and Salary Administration
(WASA) (WASA)
• Objectives of WASA:
• 1. To establish a fair and equitable remuneration
• 2. To attract competent personnel
• 3. To retain the present employees
• 4. To improve productivity
• 5. To control Costs
• 6. To improve union management relations
• 7. To improve the public image of the company
Essentials of sound wage Essentials of sound wage
and Salary structure and Salary structure
• 1. Internal Equity
• 2.External Competitiveness
• 3. Built in incentive
• 4. Link with productivity
• 5. Maintain Real Wages
• 6. Increments
General and Individual General and Individual Factors affecting Wages Factors affecting Wages
• General Factors
• 1. Demand for and Supply of labour
• 2. Ability to pay of the Organization
• 3. Labour Unions
• 4. Cost of Living
• 5. Prevailing wage rates
• 6. Job Requirements
• 7. Productivity
• 8. State Regulation
• Individual Factors
• 1. Employee’s Age and work Experience
• 2. Educational Qualification
• 3. Promotion possibilities
• 4.Hazards involved in the job
• 5. Stability of Employment
• 6.Demand for the product
• 7.Industry’s role in the economy
• 8.Potentials of an employee
Methods of Wage Payment Methods of Wage Payment
•1. Time Wage system
•2. Piece Wage system
Assignments Assignments
• 1.What are the Precautions a manager should have while go for Demotion of an employee?
• 2. Determining Wage structure is a
cumbersome process and it requires lot more knowledge and thinking- discuss
• 3. If you are an owner of the production unit
of a retail product which method would you
adopt for payment of wages?
Meaning and Definition Meaning and Definition
of Grievances of Grievances
• Broadly speaking Grievance means any real or imaginary feeling of dissatisfaction and
injustice which an employee has about his employment relationship.
• According to Michael J Jucious, “ a grievance is any discontent or dissatisfaction, whether
expressed or not, whether valid or not, arising out of anything connected with the company that an employee thinks, believes or even
feels, is unfair,unjust or inequitable”
Causes of Grievances Causes of Grievances
• 1. Grievances arising out of Working Conditions
• 2. Grievances arising from Management policy
• 3. Grievances arising from Alleged violation of certain statutes…
• 4. Grievances arising out of Personal
Maladjustment
Understanding Employee Understanding Employee
Grievances Grievances
• 1. Exit Interview
• 2. Opinion Surveys
• 3. Gripe Boxes
• 4. Open Door Policy
• Effects of Grievances
• 1. Indiscipline
• Low morale and decreased productivity
• High Absenteeism and turnover
• Loss of faith in management
• Increase in accidents
• Formation of cliques
• Lowering of public image of the organization
Standard Grievance Procedure Standard Grievance Procedure
(ILC) (ILC)
• Follow only standard procedure ( a voluntary Grievance procedure) in pursuance to the Code of Discipline
adopted in the 16
thsession Indian Labour Conference in 1957. It contains Five
successive time bound steps each leading to the next in case the aggrieved
employee prefers an appeal.
Essentials of Sound Grievance Procedure Essentials of Sound Grievance Procedure
• 1. Legal Sanctity
• 2. Acceptability
• 3. Promptness
• 4. Simplicity
• 5. Training
• 6.Follow-up
Assignments Assignments
• How Political parties influence industrial relations Sean in India? How will you
alleviate political influence in the Industry?
• 2. Rust is the worst foe of Iron similarly
Frustration is the worst opponent of human being. Do you agree. Highlight the evil effects of Grievances on ordinary Industrial worker.
• 3. Draw a suitable grievance redress procedure for a medium sized manufacturing
organisation.
Meaning and Definition of Meaning and Definition of
Performance Appraisal Performance Appraisal
• Performance appraisal or performance evaluation is the process of assessing the performance and progress of an employee or of a group of employees on a given job and his potential for future development.
• According to Flippo, “ Performance appraisal is the systematic, periodic and an impartial rating of an employee’s excellence in matters pertaining to his present job and his potential for a better job”
• Difference between Merit-rating and Performance Appraisal
• Present appraisal systems in practice- 360 degree…
The process of Performance Appraisal The process of Performance Appraisal
• 1. Establishing Performance Standards
• 2. Communicating the Standards
• 3. Measuring Performance
• 4. Comparing the actual standards with the Standards
• 5. Discussing the Appraisal
• 6. Taking Corrective Actions
Methods of Performance Appraisal Methods of Performance Appraisal
• Traditional Methods:
• 1. Confidential Report
• 2. Free Form or Essay
• 3. Straight Ranking
• 4. Paired Comparisons
• 5. Forced Distribution
• 6. Graphic Rating Scales
• 7. Checklist Method
• 8. Critical Incidents
• 9. Group Appraisal
• 10. Field Review
• Modern Methods:
• 1. Assessment Centre
• 2. Human Resource Accounting
• 3. Behaviorally Anchored Rating Scales
• 4. Appraisal through
MBO.
Essentials of an Effective Appraisal System Essentials of an Effective Appraisal System
1. Mutual Trust 2.Clear Objectives 3.Standardisation 4.Training
5.Job Relatedness
6.Documentation 7. Feedback and
Participation
8. Individual differences 9. Post appraisal
Interview
10. Review and Appeal
Further Readings Further Readings
• 1. Human Resource Management – Saiyadin - TMH Pub.
• 2. Human Resource Management – Dr.
C.B. Gupta Sultan Chand and sons Pub.
• Personnel Management & Industrial
Relations – P.C. Tripathi Himalaya Pub.
Further Readings Further Readings
• 1. Human Resource Management –
Dr. C.B. Gupta – Sultan Chand & Sons Pub
• 2. Human Resource Management – S.S.
Khanka – S. Chand Pub
• 3.Personnel Management & Industrial Relations – P.C. Tripathi Himalaya Pub
• 4. Personnel Management – C.B Mamoria
Vikas Pub.
