hrm_ full sayalabus
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Unit – I
Human
Resource Management
1Prof Mamatha, VVISM
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Meaning and Definition
HRM is a management function that
helps managers recruit, select, train and
develop members of an organisation.
2Prof Mamatha, VVISM
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HRM Definition……
A series of integrated decisions that
form the employment relationship; their quality contributes to the ability of the
organisations and the employee to
achieve their objectives.
3Prof Mamatha, VVISM
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HRM Definition…… Is concerned with people dimension in
management. Since every organisation is
made up of people, acquiring their
services, developing their skills,motivating them to higher levels of
performance and ensuring that they
continue to maintain their commitment tothe organisation are essential to achieving
organisational objectives.
4Prof Mamatha, VVISM
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HRM Definition……
Management is the planning, organising,
directing and controlling of the
procurement, development, compensation,integration, maintenance and separation of
human resources to the end that individual,
organisational and social objectives are
accomplished.
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Scope of HRM
• HR Planning• Job analysis and Design
• Recruitment and Selection
• Orientation and Placement,
• Training and Development
• Performance appraisal and Job Evaluation
• Employee and Executive Remuneration
• Motivation and communication• Welfare, Safety and Health
• Industrial Relations (IR)
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Importance of HRM
• Social Significance
• Professional Significance
• Significance for individual enterprise
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Importance of HRM
Social Significance
• Balance the jobs available and job seekers
• Provide suitable and productive employment• Maximise utilisation of the resources effectively
• Eliminate waste or improper use human resources
• Help people make their own decisions
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Importance of HRM
Professional Significance
• Maintain dignity of the employee as human
• Provide maximum opportunities for personaldevelopment
• Provide healthy relationship to different work groups
• Improve skills and capacities
• Minimise wrong postings, allocate work properly
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Importance of HRM
Significance for Individual Enterprise
• Create right attitude among employees through
effective motivation• Utilise the available human resources effectively
• Secure co-operation of the employees: achieve goals, psychological needs- love, affection, belongingness,
esteem and self actualisation
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Difference between HRM & PM
• HRM views people as an important source
or asset to be used for the benefit of
organisation, employees and the society.
• Philosophy of mutuality: mutual goals,
mutual respect, mutual rewards and mutual
responsibilities.
• Shifting to SHRM
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Difference between HRM & PM
• PM has limited scope and an inverted orientation
• Viewed labour as a tool for benefits of theorganisation
• Personnel Dept not respected, no productiveemployees
• PM treated as routine activity meant to hire newemployee and maintain personnel records
• Never part of strategic management of business.
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Difference between HRM & PM
Dimension Personnel Human Resource
EmploymentContract
Written,delineated
Aim to gobeyond contract
Rules Clear Outlook,Impatience
Guide to Mgnt. Action
Procedures Business Needs
Behaviourreferent
Norms/Customs andPractices
Values/Missions
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Difference between HRM & PM
Dimension Personnel Human Resource
Managerial/Labour task
Monitoring Nurturing
Key Relations Labour
Management
Customer
Initiatives Piecemeal(slow)
Integrated
Management Role Transactional TransformationalLeadership
Speed of decision Slow Fast
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Difference between HRM & PM
Dimension Personnel Human Resource
Communication Indirect Direct
PrizedManagement skill
Negotiation Facilitation
Selection Separate,Marginal task
Integrated, keytask
Pay Job Evaluation
(Fixed grades)
Performance
basedConditions Separately
negotiatedHarmonisation
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Difference between HRM & PM
Dimension Personnel Human Resource
LabourManagement
Collective barg-aining contracts
Individualcontracts
Job categoriesand grades
Many Few
Job design Division of labour Team work
Conflict handling Reach temporary
truce
Manage climate
and cultureTraining & Development
Controlled accessto courses
Learningcompanies
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Difference between HRM & PM
Dimension Personnel Human Resource
Interventionfocus
Personnelprocedures
Wide ranging-cultural, structuraland personnelstrategies
Respect foremployees
Labour treatedas tool:
expendable andreplaceable
People are treatedas assets to
benefitorganisation/employees/society
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Difference between HRM & PM
Dimension Personnel Human Resource
Shared interests Organisational
interests areuppermost
Mutuality of
interests
Evolution Precedes HRM Latest in theevolution of thesubject
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Objectives of HRM - 4
1. Societal:
To be ethically and socially responsible to the needsand challenges of society while minimising the
negative impact of such demands upon theorganisation.
2. Organisational:
To recognise the role of HRM in bringing aboutorganisational effectiveness.
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Objectives of HRM
3. Functional:To maintain the department‘s contribution at alevel appropriate to the organisation‘s needs.
4. Personal:
To assist employees in achieving their personalgoals, at least insofar as these goals enhance the
individual‘s contribution to the organisation.
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HRM Objectives and Functions
• HRM Objectives
1. Societal
• Supporting Functions
1.Legal Compliance
2.Benefits
3.Union management
relationship
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HRM Objectives and Functions
• HRM Objectives
2. Organisational
• Supporting Functions
1.Human Resource Planning
2.Employee Relations
3.Selection
4.Training & Development
5.Appraisal
6.Placement7.Assessment
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HRM Objectives and Functions
• HRM Objectives
3. Functional
• Supporting Functions
1.Appraisal
2.Placement
3.Assessment
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HRM Objectives and Functions
• HRM Objectives
4. Personal
• Supporting Functions
1.Training & Development
2.Placement
3.Assessment
4.Compensation
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Image & Qualities of HR Manager
• Fairness & Firmness
• Tact and resourcefulness
• Sympathy and consideration• Knowledge of labour other terms
• Broad Social outlook
• Competence
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HR Policies
• A policy is plan of action. Is a statement of intentioncommitting the management to general course of action. Policy contains HR programmes, expressionof philosophy and principles.
• Policy are required for……
basic needs, consistency in treatment & continuity
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Evolution of HRM
• HRM emerged in 1970s
• Kautilya‘s Arthashastra in 4th BC
• Babylonian Code of Hammurabi 1800 BC
‗minimum wage rate‘ & ‗incentive wage plan‘ • In India since 1920: First world war, emergence of
trade union
• The Royal Commission (1931): Labour Welfare
Officers : Selection of workers and settle grievances.
27Prof Mamatha, VVISM
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Evolution of HRM
• Factories Act (1948) Welfare officers compulsoryin industries employing 500 employees
• IIPM – Kolkata, NILM in Mumbai : (Jute andtextiles)
• Second World War : increased expectations of theworkers: IR and Personnel admn integrated as PM
• 1970: Shift from welfare to efficiency.
• 1980: HRM and HRD Challenges• 1990: Human value and productivity through
people.
• 2000: Shifting to SHRM28Prof Mamatha, VVISM
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Demand & Supply Gap
HRP
Demand CompareSurplus
Shortage
Supply Compare
Surplus
Shortage
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Forecasting Personnel Needs
• Trend Analysis – studying variations in firm‘s
employment levels over the last few years.
• Ratio Analysis – making forecasts based on
historical ratio between Causal factor (like salesvolume) and the number of employees required
• The Scatter Plot – two variables are related
• Computerized Forecasts – more variables takeninto consideration
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Determining the relationship between
hospital size and number of nurses
Size of hospital
(no. of beds)
Number of
Nurses
200 240
300 260
400 470
500 500
600 620
700 660
800 820
900 860
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0
100
200
300
400
500
600
700
800
900
1000
N u m b e r f n u r s e s
Hospital Size (no. of nurses)
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Forecasting supply of inside candidates
• Manual systems and Replacement charts
• Computerized information systems• The matter of privacy
Forecasting the supply of outside candidates
• From magazines• From web portals
• etcProf Mamatha, VVISM 32
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Any Queries???
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Summing up
• Definition
• Difference between HRM & PM
• Evolution• Objectives
• Scope
• Importance• HR policies
• Demand & Supply forecasting techniques
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Unit II
Employment of Human Resources
Prof Mamatha, VVISM 35
M i H R
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12 –
36
Managing Human Resources
• Human Resource (HR) Planning
– The process by which managers ensure that they have the
right number and kinds of people in the right places, and
at the right times, who are capable of effectively and
efficiently performing their tasks.
– Helps avoid sudden talent shortages and surpluses.
– Steps in HR planning:
• Assessing current human resources
• Assessing future needs for human resources• Developing a program to meet those future needs
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37
Current Assessment
• Human Resource Inventory – A review of the current make-up of the
organization‘s current resource status
– Job Analysis• An assessment that defines a job and the behaviors
necessary to perform the job.
– Knowledge, skills, and abilities (KSAs)
• Requires conducting interviews, engaging in direct
observation, and collecting the self-reports of
employees and their managers.
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Job Analysis & Design
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Objectives
• Establish and document the job relatedness of employment
• Produce a basic job description of the job to
facilitate the selection of appropriate personnel• Determine training needs
• Form work groups and teams
• Determine compensation
• Evaluate performance
• Improve quality and productivity39Prof Mamatha, VVISM
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Various aspects of a job to be
analyzed
• Duties and tasks
• Environment
• Tools and equipment
• Relationship
• Requirements
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Job Description
• JD is a written statement of the duties,responsibilities, required qualification, and
reporting relationships of a particular job.
• It includes the information about workingconditions, equipment used, knowledge, and
skills needed, and relationships with other
positions.
Produce an outline of the broad responsibilities (rather than detailed tasks) involved inthe job.
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Job Specification
• Specifies the minimum acceptable
qualifications required by the individual to
perform the task efficiently.
• It also specifies not only educational
qualifications but also certain personality
characteristics that may be required specifically
for a job.• Someone will need to do the job as defined in the task analysis and
job description.
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Job Evaluation
• The relative value of each job in an
organization.
• It basically serves the purpose of
compensation procedures.
• It is useful to tool for making decisions
about the compensation to be attached with
a particular position.
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Job Design
• Job design has emerged as an important
area of job analysis. It is based on growing
conceptual and empirical base and hascommand research attention and is being
widely applied to actual practice of
management
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Job Rotation
• An alternation to boredom in work place is
job rotation.
• Job rotation implies moving of employees
from one job to another without any
fundamental change in the nature of job.
• The employee may be performing different
jobs that are of similar nature.
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Job Enlargement
• It involves adding more tasks to a job. It is
horizontal expansion and increase jobs scope
and gives a variety of tasks to the jobholder.
• It is essentially adding more tasks to a single
job.
• It definitely reduces boredom and monotony
by providing the employee more variety of tasks in the job.
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Job Enrichment
• Another approach to designing jobs is jobenrichment.
• Job enrichment involves vertical expansion of
job by adding more responsibilities andfreedom to it.
• Job enrichment is the type of expansion of a
job that gives employees more challenge, moreresponsibility, and more opportunity to grow
and contribute his or her ideas to the
organization's success.47Prof Mamatha, VVISM
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Recruitment
48Prof Mamatha, VVISM
Definition & Meaning
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Definition & Meaning
• ―How to Attract a Pool of Candidates Who are
Qualified, Diverse, and Interested in the Job YouHave Open‖
• Recruitment is the process of acquiring
applications for specific positions to be filled inthe organization. In other words it a process of
searching for and pooling of applications for jobs,
so, that the right people may get selected.• A process for searching for prospective employees
and stimulating and encouraging them to apply for
jobs in the organization.49
Sources of Recruitment
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Sources of Recruitment• Internal Sources
– Promotions from within – Employee referral
– Former employees
– Previous applicants
• External Sources
– Walk-in/write-in
– Advertising – Employment exchanges
– Campus Recruitment
– Professional Associations–
50
Th “5 W’ ” f R it t
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• What is the job / Position ?
• Who do you want to fulfill this
requirement ?
• Where will you find the
person/people to do it .?
• What will you do to make them
volunteer for your organization?
• Why will they volunteer for you ?( i.e what will motivate them to come
on board with you . ?)
The “5 W’s” of Recruitment
51Prof Mamatha, VVISM
Recruitment Procedure
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The secret to employeeattraction is employee retention.
If a compnay has what it takes
to keep its existing employees satisfied and productive, it similarly has what it takes tobring in new talent.
Retain your employee to create the difference
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Selection
54Prof Mamatha, VVISM
S l ti
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Selection
• Selection involves a series of steps by which thecandidates are screened for choosing the most suitable persons for vacant posts.
• The process of selection leads to employment of
persons who possess the ability and qualifications to perform the jobs, which have fallen vacant in anorganization.
• The basic purpose of the selection process is to choose
right type of candidates to man various positions in theorganization. In order to achieve this purpose, a well-organized selection procedure involves many steps and
at each step, unsuitable candidates are rejected.
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The Challenge
• Selection is a critical process• Locating The Right Person
• Requires a huge investment of money to get
right types of people.• Structure of Selection Process that helps
companies to test for fit
• Employment Tests to rightly judge thecapabilities of candidates
• Selecting people who possess the ability and
qualifications to perform the jobs. 56Prof Mamatha, VVISM
S l ti P d
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Selection Procedure
• Preliminary Interview
• Application Blank/ Receiving Applications
• Screening of Applications
• Employment Test
– Intelligent tests
– Aptitude tests
– Personality tests
– Projective tests
– Interest tests
– Achievement tests
– Other tests
• Selection Interview (Structured/Unstructured/Stress)
• Physical Examination
• Checking References
• Final Selection
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Placement Procedures
58Prof Mamatha, VVISM
Obj i
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Objectives
• Remove fears – The job, its content, policies, rules and regulations.
– The people with whom he is supposed to interact
– The terms and conditions of employment
• Creates a good impression
– Adjust and adapt to new demands of the job – Get along with people
– Get off a good start
• Organizational issues – History of the Company
– Names and titles of key executives – Probationary period
– Disciplinary procedure
– Employee hand book
– Safety steps
– Etc. 59Prof Mamatha, VVISM
Obj ti (C td)
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Objectives (Contd)
• Employee benefits – Pay scales
– Vacation, holidays
– Rest pauses
– Training avenues
– Counseling
– Insurance, medical and retirement benefits
• Introduction
– To supervisors
– To co-workers
– To trainers
– To employee counselors60Prof Mamatha, VVISM
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Objectives (Contd)
• Job duties
– Job location
– Job tasks – Job safety needs
– Overview of jobs
– Job objectives – Relationships with other jobs
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INDUCTION
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O i t ti / I d ti
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Orientation / Induction
• Transitioning a new employee into theorganization.
– Work-unit orientation
• Familiarizes new employee with work-unit goals• Clarifies how his or her job contributes to unit goals
• Introduces he or she to his or her coworkers
– Organization orientation• Informs new employee about the organization‘s
objectives, history, philosophy, procedures, and rules.
• Includes a tour of the entire facility
Prof Mamatha, VVISM
Promotions, Demotions,
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Promotions, Demotions,
and Transfers
• Promotions refer to upward movement of an
employee from the present position to another one
with increased responsibilities, pay, status, and
prestige.• A transfer is a change of job assignment. It may be
linked with promotion or there may not be any
change at all in a status of responsibilities. Transfer
is horizontal move.• Demotion is the downward movement of an
employee in the organizational hierarchy with lower
status and pay.64Prof Mamatha, VVISM
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Separations, Downsizing, Layoff & Retrenchment
• Separations: – Long leave of absence
– Resignations
– Retirement
– Death
• Downsizing, Layoff &
Retrenchment:
– Suspension of an employee
– Dismissal of an employee
– Exit interviews65Prof Mamatha, VVISM
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QUERIES!!!
66Prof Mamatha, VVISM
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Summingup
• HRP
• Job
• Recruitment
• Selection
• Placement
• Induction/Orientation• Promotions, Transfers, Separation, VRS, etc
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Unit III
Development of Human Resources
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Training & Development
V V I S M , P
G D M I
I S E M , H R M
69
P r o f M a m a t h a ,
V V I S
M
D fi iti f T i i d
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Definition of Training and
Development
Training is an individual means to help him tolearn how to carry out his present job
satisfactorily.
Development can be defined as preparing theindividual for a future job
-John P. Jkenny
70 Vvism
Purpose of Training
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Purpose of Training
2400 years ago, Confucius declared:
"What I hear, I forget.
What I see, I remember.What I do, I understand.”
“The purpose of training is to provide
information and skills that participants will usein the real world. Participants must be actively
involved during the session if they're going to
integrate and remember the information” 71Prof Mamatha, VVISM
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Development
Development isn't restricted to training -
it's anything that helps a person to grow, in
ability, skills, confidence, tolerance,
commitment, initiative, inter-personalskills, understanding, self-control,
motivation, and more.
72Prof Mamatha, VVISM
Why Training a bird with wings
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Why Training … a bird with wings
INFOSYS
Next Generation Excellerators
Excellent Communication SkillsAdaptive, Adept
Consistent, FlexibleInformed, Inspired, ImaginativeEfficient, Human, HonestRespect for CompetitionEmpowered to scale new domains
People committed to enhancing quality ventures every daySimple solutions to complex problemsWorld Changer, Value creator Powered by intellect and driven by values
73Prof Mamatha, VVISM
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Training & Development Distinctions
Learning
Dimension
Training Development
Who
What
Non-managers
Technical
Mechnaical Oper.
Managers
Theoretical
Conceptual ideasWhy
When
Specific job
related info.
Short term
General knowledge
Long run74Prof Mamatha, VVISM
Goal of Training &
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Goal of Training &
Development
Microsoft
The goal of Training & Development at Microsoft is
to achieve an optimal match between eachemployee's professional growth and Microsoft's
business objective
75Prof Mamatha, VVISM
TRAINING CYCLE
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TRAINING CYCLE
Step 1Identifying learningrequireme
nts
Step 2Establishi
nglearning
objectives
Step 3Designing
and planning
Step 4Delivering
training
Step 5EvaluatingTraining
76Prof Mamatha, VVISM
Exercise
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e c se
What topics will you decide for Senior Managers,
Middle, Staff and workers -Reasons
•Communication Skills.Effective Decision Making Skills.Building High Performance Teams to complete projects.Proactive steps to overcome Organizational negativity
.Developing Creative Strategies for complex problems
.Building effective Inter & Intra-personal relationships to getresults. Time Management skills.Emotional Intelligence at work
.Leadership without Authority
.Professional Assertive Communication
.Stress Management skills
.Conflict Resolution Techniques
77Prof Mamatha, VVISM
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Assignments
Groups
ArticlesGames
78Prof Mamatha, VVISM
L i Th
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Learning Theory
―A relatively permanent change in behaviour
that occurs as a practice or experience‖
Bernard Bass
79Prof Mamatha, VVISM
Learning Curves
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Learning Curves1.Standard learning curve
( assumption that all learners are alike in their acquisition of knowledge and the task to be learned or information to be
acquired is fairly straight forward)
2. Differing rates of learning
(Those who have difficulty in relating the task to their pastexperience and knowledge, who are not suitably motivated or or
are affected by other psychological constraints have a slower starte.g.:APDISCOM)
3. Learning Plateau(Learners reach a of standstill-wrong assumption of limit of capacity-learner absorbing/un learning
Solution-Analyse, reinforce, incentive, bridge )
80Prof Mamatha, VVISM
On-the-Job Training
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On the Job Training
• Advantages
• No specific facilitiesneeded
• Real life situation/not
simulated• Productivity
• Trainee establishes
relations from start
• No ‗off -the- job‘ cost
• Learning can be
controlled
• Disadvantages
• Risk to machines andincrease in scrap
• Part-time instructor may
lack skill in training
• Lack of time due to
pressure of production
• Psychological pressure
before experiencedworkers
81Prof Mamatha, VVISM
Off -the- Job Training
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Off -the- Job Training• ADVANTAGES
• Relaxed atmosphere,awayfrom home and work, no
distractions
• Specific difficulties are
easier to explore• Test hypotheses and ideas
in low risk environment
• Improves morale and
motivation for self-development
• DISADVANTAGES
• Cost of external facilities• Difficulty of simulating
work problems
• Resistance of trainees
being away fromhome(lengthy training)
82Prof Mamatha, VVISM
The Three Classifications of
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Information
1.Must know(Essential for success/TNA/e.g.:safety rules, hygiene
requirements)
2.Should know(Relates directly to ‗must know‘, and elaborates e.g.:other
practices/not statutory))
3.Could know(Useful background /not directly assist in its effective execution,
e.g.:historical details, future areas of interest, general information)
83Prof Mamatha, VVISM
How Adults Learn?
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How Adults Learn?1.Learning is a voluntary process
(Benefit,T-interesting)2. Responsibility increases learning(increase, learning/retaining)
3. Learning builds on existing knowledge(learning capacity-range of experiences,T-background)
4. Learning moves from simple to complicated(step-by-step,bridging new knowledge to old, verify)
5. Each person learns at his own pace(let the flower blossom on its own)
6. Adults learn best by doing(provide opportunities to do usethe learning, case, game, role play)
84Prof Mamatha, VVISM
“It is vital to a valuable education that independent
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It is vital to a valuable education that independent
critical thinking be developed in the young human
being, a development that is greatly jeopardized by
overburdening him too much and with too varied
subjects. Overburdening necessarily leads to
superficiality. Teaching should be such that what is
offered is perceived as a valuable gift and not as a hardduty” -Albert Einstein
Thank you..
85Prof Mamatha, VVISM
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Setting Objectives
Why set objectives?
1. Provide direction(what is to be achieved)2. Emphasize standards(e.g..20 min,5 mistakes)
3. Provide consistency (e.g..overall dev.section)
86Prof Mamatha, VVISM
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Difference between Aims and Objectives
Aims: General purpose which provides a
direction or statement of intent-desired outcome
e.g.: aiming at a target
Objective:spells out how and when this is
attained-fairly explicite.g.:hitting the bulls eye
87Prof Mamatha, VVISM
Who decides the Course
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Objectives?
Senior Management(Without the backing of senior management there can be little
hope of acceptance of any training program-integral part of the
companies philosophy)
Line Management(must feel direct benefit-involve line management in developing
content and course objectives)
Delegates
(win the hearts and minds of delegates-tell the benefits of the
course)
88Prof Mamatha, VVISM
P i t t id i S tti
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Points to consider in Setting
Objectives
1. Realistic
2. Relevant
3. Positive4.Certain
5.Justifiable
89Prof Mamatha, VVISM
Performance Appraisal - Definition
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90
pp
• Performance Appraisal is a process of evaluating an employee’s
performance of a job in terms of requirements
• Performance Appraisal is a process of estimating or judging thevalue, excellence, qualities or status of an object, person or a thing
• Performance Appraisal is a process of evaluating the performanceand qualifications of the employees in terms of the requirements of the job for which he is employed for purposes of administrationincluding placement, selection for promotions, providing financialrewards and other other actions which require different treatmentamong the members of a group as distinguished from actions
affecting all members equally”
Prof Mamatha, VVISM
Importance and Purpose of PA
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Importance and Purpose of PA
• PA provides useful in making decisions regarding various personalaspects such as promotions, merit increases etc.
• PA forms a basis for judging the effectiveness of personnel sub-divisions such as recruiting, selection, training & Compensation
• PA helps easier for managers to see which employees need trainingand counseling.
• PA seeks to provide adequate feedback to each individual for his or her performance
• PA purports to serve as a basis for improving data to managers withwhich they may judge future job assignments and compensation
Prof Mamatha, VVISM
Obj ti f P f A i l
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Objectives of Performance Appraisal
• To enable an organisation to maintain an inventory of thenumber and quality of all managers and to identify and meettheir training needs and aspirations
• To determine increment rewards, and provide a reliable indexfor promotions and transfers to positions of greater responsibility
• To maintain individual and group development by informing theemployee of his performance standard
VVISM
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• To suggest ways of improving the employee’s performance
when he is not found to be upto the mark during the review
period
• To identify training and development needs and to evaluate
effectiveness of training and development programs
• To plan career development, human resources planningbased on their potential.
Objectives of Performance Appraisal
Prof Mamatha, VVISM
Criteria’s for assessing performance
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Criteria’s for assessing performance
• Quality
• Quantity
• Timeliness
• Cost effectiveness
• Need for Supervision
• Interpersonal impact• Training
Prof Mamatha, VVISM
Approaches to Performance Appraisal
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Approaches to Performance Appraisal
• A Casual, unsystematic and often haphazard approach – This method was used in the past, main basis being seniorityor quantitative measures of quality and quantity of output for the personnel
• Traditional and highly systematic measurement – Employeecharacteristics, employee contributions. The ratings obtainedof separate personnel are comparable.
• Behavioral approach, emphasing mutual goal setting – Supervisor judges and at times critizes the personal.
Emphasis has been laid both by the appraiser and theappraisee.
Prof Mamatha, VVISM
Methods, Techniques or Tools
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q
for appraising performance• Methods include Traditional and Modern
Methods
Prof Mamatha, VVISM
Methods of Performance Appraisal
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Methods of Performance Appraisal
Modern MethodTraditional Method
Straight Ranking Method
Man-Man Comparison Method
Graphic Rating Scales
Forced Choice Description Method
Forced Distribution Method
Check Lists
Free Form Essay Method
Critical Incidents
Group Appraisal
Field Review Method
Assessment Centre
Appraisal by Results
or Management by
Objectives
Human Asset Accounting
Method
Behaviourly AnchoredRating Scales
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• Straight Ranking Method – This is the oldest and simplest method of
Performance appraisal, by which man and his
performance are considered as an entity by the rater.
Employees are appraised in order of merit and placedin a simple grouping. This is the simplest method of
separating the most efficient from the least efficient.
Traditional methods of Performance Appraisal
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• Man-Man Comparison Method: – This technique was used by the USA army during the
I World War. By this method, certain traits are
selected for the purpose of analysis such as
Leadership, dependence and initiative. A scale isdesigned by the rater for each factor. Each man to be
rated is compared with the man in the scale and
certain scores are awarded to him. This method is
used in job evaluation, and also known as Factor comparison method.
Methods of Performance Appraisal
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• Grading method: – Under this system, the rater considers certain
features and marks them accordingly to a
scale. Selected features may be analyticalability, co-operativeness, dependability, job
knowledge, judgement etc
Methods of Performance Appraisal
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• Graphic or linear Rating Scale: – Most commonly used method of Performance
appraisal
– Each person to be rated in this type
– Employee characteristics such as initiative,leadership, dependability, attitude, creativity,decisiveness etc will be considered for rating
– Employee contribution includes quantity of work,quality of work, responsibilities, target achievers,attitude towards superiors etc
– These traits are evaluated on a continuous scale andthe rating is generally subjective.
Methods of Performance Appraisal
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• Forced Choice Description Method: – This method was evolved with a great deal of
research conducted for the military services during
World War II.
– This attempts to correct a rater’s tendency to giveconsistently high or low ratings to all the employees.
In this the rating elements are sets of pair phrases
relating to job proficiency or personal qualifications.
Methods of Performance Appraisal
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• Forced distribution Method – This method evolved by Joseph Tiffin after
statistical work. This is used to eliminate or
minimise rater’s bias, so that all personnelmay not be placed at the higher end or lower
end.
Methods of Performance Appraisal
Prof Mamatha, VVISM
h d f f i l
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• Checklist – Under this method, the rater does not evaluate
employee performance. He supplies reports about theemployees to the HR department
– Checklist points include• Is the employee really interested in his job?
• Is he regular on his job?
• Is he respected by his subordinates?
• Does he show uniform behaviour to all?
• Does he give recognition and praise to employees for workdone well?
• Does he ever make mistakes?
Methods of Performance Appraisal
Prof Mamatha, VVISM
M h d f P f A i l
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• Free Essay Method – Under this method, the supervisor makes a
free form, open-ended appraisal of an
employee in his own words and puts down hisimpressions about the employee. No attempt
is made to evaluate an employee in a
quantitative manner.
Methods of Performance Appraisal
Prof Mamatha, VVISM
M th d f P f A i l
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• Critical Incident Method: – This method was developed following research conducted by the armed
forces in the US during World War II. The basis of this method is theprinciple that “ there were certain significant acts in each employee’s
behaviour and performance which make all the difference betweensuccess and failure on the job.
– The supervisor keeps a written record of the events that can be easily berecalled and used in the course of a formal appraisal.
– Feedback is provided about the incidents during performance reviewsession.
– The collected incidents are then ranked in order of frequency andimportance
– This method provides an objective basis for conducting a discussion of an individual’s performance
Methods of Performance Appraisal
Prof Mamatha, VVISM
M th d f P f A i l
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• Group Appraisal Method: – Under this method, employee are rated by an
appraisal group consisting of their supervisor or three
to four other supervisors who have some knowledge
of their performance. – The supervisor explains to the group the nature of his
duties and the group then discusses the standards of
performance for that job.
– Advantage of this method is simple and no bias butthis is time-consuming.
Methods of Performance Appraisal
Prof Mamatha, VVISM
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• Field Review method: – Under this method, a trainer employee from the
personnel department interviews line supervisors to
evaluate their respective subordinates.
– The supervisor is required to give his opinion aboutstrengths and weaknesses
– The appraiser takes complete details and the
supervisor maintains record of this for each
personnel. – This system is useful for a large organisation,
Methods of Performance Appraisal
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Modern methods of PerformanceAppraisal
Prof Mamatha, VVISM
Management by Objectives (MBO)
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• This method has been evolved by Peter Drucker.
• MBO is potentially a powerful philosophy of managing and aneffective way of operationalising the evaluation process.
• MBO seeks to minimise external controls and maximise internalmotivation through goal setting between the manager and the
subordinate and increasing the subordinate’s own control of hiswork.
• This strongly reinforces the importance of allowing thesubordinate to participate actively in the decisions that affecthim directly
Management by Objectives (MBO)
Prof Mamatha, VVISM
M t b Obj ti (MBO)
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• MBO has defined as – A system approach to managing the organisation,
where those accountable for directing theorganisation first determine where they want to takethe organisation.
– A process requiring and encouraging all keymanagement personnel to contribute their maximumby achieving the overall objectives
– An effort to blend and balance all the goals of all key
personnel and – An evaluation mechanism
Management by Objectives (MBO)
Prof Mamatha, VVISM
Obj ti f MBO
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• The objectives is to change the behaviour andattitude towards getting the job done.
• It is management system and philosophy that stress
goals rather than methods
• It provides responsibility and accountability and
recognised that employees have needs for
achievement and self –fulfilment.
Objectives of MBO
Prof Mamatha, VVISM
Management by Objectives - Process
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• MBO has five steps
– Set organisation goals
– Joint goal setting
– Performance reviews
– Set checkposts
– Feedback
Management by Objectives Process
Prof Mamatha, VVISM
Benefits of MBO
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• MBO helps and increases employee motivationbecause it relates overall goals to the individual’sgoals and helps to increase an employee’sunderstanding of where the organisation is and
where it is heading
• Managers are more likely to compete withthemselves than with other managers. This will
reduce internal conflicts
• MBO reduces role conflict and ambiguity.
• MBO provides more objective appraisal criteria.
Benefits of MBO
Prof Mamatha, VVISM
Benefits of MBO
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Benefits of MBO
MBO forces and aids in planning
MBO identifies performance deficiences and
enables the management and the employees to setindivisualised self improvement goals and thusproves effective in training and development of people.
MBO helps the individual manager to developpersonal leadership, especially skills of listening,planning, counselling, motivating and evaluating
Prof Mamatha, VVISM
Assessment Centre Method
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• The assessment centre concept was initially applied to militarysituations by Simoniet in the German Army in 1930’s and the War selection board of the British Army in the 1960’s.
• The purpose of this is to test the candidates in a social situationusing number of assessors and variety of procedures.
• In this process, many evaluators join together to judge employeeperformance in several situations with the use of variety of criteria.
• Assessments are made to determine employee potential for purposeof promotion.
• Assessment is generally done with the help of couple of employeesand involves a paper and pencil test, interviews and situational
exercises.
Assessment Centre Method
Prof Mamatha, VVISM
Purpose of Assessment Centres
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• To measure potential for first level supervision, salesand upper management positions and also for higher levels of management
• To determine individual training and developmentneeds of employees
• To select recent college students for entry levelpositions
• To make an early determination of potential
• To assist in implementing affirmative action goals
Purpose of Assessment Centres
Prof Mamatha, VVISM
Human Asset Accounting Method
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• This refers to activity devoted to attachingmoney estimates to the value of a firm’s internal
human organisation and its external customer
goodwill.
• This is not very popular because two types of
variable measures must be made over several
years to provide the needed data for the
computation of the human asset accounting.
Human Asset Accounting Method
Prof Mamatha, VVISM
Behaviourly Anchored Rating Scales
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• This is a new appraisal technique which hasrecently developed.
• This provides better , more equitable appraisalsas compared to other techniques
• The procedure of BARS is usually five stepped – General critical incidents
– Develop performance dimensions
– Reallocate incidents
– Scale of incidents
– Develop final instrument
y g(BARS)
Prof Mamatha, VVISM
Advantages of Behaviourly Anchored
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• A very accurate gauge, since BARS isdone by experts in the technique
• Clear standards
• Feedback
• Independent dimensions
• Rater – independence
g yRating Scales (BARS)
Prof Mamatha, VVISM
After studying this chapter, you should be able to:
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1. Compare employers‘ traditional and career planning-
oriented HR focuses.2. Explain the employee‘s, manager‘s, and employer‘s career
development roles.
3. Describe the issues to consider when making promotion
decisions.
4. Describe the methods for enhancing diversity through career
management.
5. Answer the question: How can career development foster employee commitment?
10 –121Prof Mamatha, VVISM
The Basics Of Career
M t
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Management
10 –122
Career
Management
Career Planning
Career
Development
Employees’
Careers
Prof Mamatha, VVISM
The Employer’s Role in
C D l
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Career Development
10 –123
Realistic JobPreviews
ChallengingFirst Jobs
Networking
andInteractions
Mentoring
Career-Oriented
Appraisals
JobRotation
Employer’sRole
Prof Mamatha, VVISM
Managing Promotions andTransfers
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Transfers
10 –124
Decision 1:Is Seniority or
Competencethe Rule?
Decision 4: Vertical,
Horizontal, orOther?
Decision 2:How Should
We MeasureCompetence?
Decision 3:Is the Process
Formal orInformal?
Making PromotionDecisions
Prof Mamatha, VVISM
Career Management and
E l C it t
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Employee Commitment
10 –125
Old Contract: “Do your best and be loyal to us,
and we’ll take care of yourcareer.”
New Contract: “Do your best for us and be loyal
to us for as long as you’re here,and we’ll provide you with the
developmental opportunities you’ll need to move on and have
a successful career.”
Comparing Yesterday’s and Today’sEmployee-Employer Contract
Prof Mamatha, VVISM
Career Management andEmployee Commitment
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Employee Commitment
(cont’d)
10 –126
CareerDevelopment
Programs
Career-Oriented
Appraisals
Commitment-oriented careerdevelopment
efforts
Prof Mamatha, VVISM
Career Management andEmployee Commitment
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Employee Commitment
(cont’d)
10 –127
Career
DevelopmentPrograms
Career-
Oriented Appraisals
Commitment-Oriented
CareerDevelopmen
t Efforts
Prof Mamatha, VVISM
Attracting and Retaining Older
Workers
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Workers
10 –128
Create a Culture thatHonors Experience
Offer Flexible Work
Offer Part-Time Work
HR Practices
for OlderWorkers
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Taking Steps to Enhance Diversity:
W ’ d Mi iti ’ P t
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Women’s and Minorities’ Prospects
10 –129
Take TheirCareer
InterestsSeriously
EliminateInstitutional
Barriers
Eliminate theGlass Ceiling
ImproveNetworking
and Mentoring
InstituteFlexible
Schedules andCareer Tracks
Prof Mamatha, VVISM
Identify Your Career Anchors
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y
10 –130
Technical/
FunctionalCompetence
Managerial
Competence
Autonomy andIndependence Creativity
Security
Prof Mamatha, VVISM
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Coaching & Mentoring
131Prof Mamatha, VVISM
Personal Coaching
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g
Personal Coaching is a distributed
training and development method
where individuals regularly interact
with and are accountable to
a personal coach
for an extended period of time,
to achieve agreed learning outcomes
132Prof Mamatha, VVISM
Mentoring
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g• Mentoring is a tool that organizations can use to
nurture and grow their people. It can be an informal
practice or a formal program. Protégés observe,
question, and explore. Mentors demonstrate, explain
and model. The following assumptions form the
foundation for a solid mentoring program.
• Deliberate learning is the cornerstone.
• Both failure and success are powerful teachers.
• Leaders need to tell their stories.• Development matures over time.
• Mentoring is a joint venture.
133Prof Mamatha, VVISM
Mentoring is distinct from coaching
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Mentoring
• Broad
• long-term• level-distant
• cross-functional
• providing guidance
Coaching
• Job specific
• Short-term• Level-close
• Same-function
• Giving advice
134Prof Mamatha, VVISM
Mentoring is distinct from coaching
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Mentoring is distinct from coaching
Mentors• Nurture whole person
• Draw forth untapped
talent• Encourage & Inspire
• Guide from the heart
• Accelerate learning &
empowerment
Coaches• Provide job coaching
• Focus on job skills
• Groom for a particular position
• Evaluate performance
• Reward job learning
135Prof Mamatha, VVISM
Evolution
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Evolution
Traditional • Focus on career
advancement
• Mentor as protector
• Single mentor
• Clone look-alike, think
alike, act-alike
• Elitist
• Process centred
• Mentors are older, wiser,
more experienced
New Age• Focus on leadership
• Mentee (protégé) driven
• Multiple mentors• Democratic, potentially
helpful to every member of
workforce
• Knowledge needs
• Mentees‘ are often better
educated & technically
competent136Prof Mamatha, VVISM
Why Mentoring
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y g
• Encourages knowledge sharing
• Both parties Develop
• Encourages teamwork
• Addresses specific issues or skills
• Supplements on-the-job training
• Promotes leadership development 137Prof Mamatha, VVISM
-Global Findings-
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• 75% executives said mentoring played a key role in their
career …………… ASTD
• Survey of CEO‘s states that one of the top three factors in
their career was mentoring ….. Account Temps survey
• 96% executives said that mentoring is an importantdevelopmental tool……… Account Temps survey
• Mentoring programs have been proven to improve
retention by 20-30% ……… ASTD
• 71% of Fortune 500 companies use mentoring to make
learning occur in their organizations ………(1996)
138Prof Mamatha, VVISM
Zone of Impact
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p
Habits
Behavior
Mindset
What? Why?
Knowledge
Want ToHow To?Skills Attitude&
Desire
139Prof Mamatha, VVISM
Mentor- Mentee Relationship
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p
A dynamic association or pairing
between an individual who needs tolearn and another who is willing to
help and guide the learner.
140Prof Mamatha, VVISM
Stages in the Development of Mentoring Relationships
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Mentoring Relationships
Stage 1: The mentor and recipient become acquainted and informallyclarify their common interests, shared values and
professional goals. Stage 2: The mentor and recipient communicate initial expectations
and agree upon some common procedures and expectationsas a starting point.
Stage 3: Gradually, needs are fulfilled. Objectives are met.
Professional growth takes place. New challenges are
presented and achieved. This stage may last for months or
years.
Stage 4: The mentor and recipient redefine their relationship as
colleagues, peers, partners and/or friends.
141Prof Mamatha, VVISM
Mentoring Environment
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Interpersonal chemistry is important
• Sense of mutual comfort and equality
• With self-confident people - differences may in fact provide
learning experience
Need for ground rules & shared expectations
how, when, where to meet and specific terms for review and
evaluation
Friendship can get in way of objectivity
- Can be ended by either party for any reason
- no explanations/justifications required 142Prof Mamatha, VVISM
Types Of Mentoring
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Situational Mentoring
• Short, isolated episodes• Often casual, one-time events
• Responsive to current needs of mentee and/or present situation
• A mentor-initiated intervention
Informal Mentoring
• Voluntary
• Loosely structured, flexible
• Mentee revealed needs
• Mentor may have more than one role in relationship with mentee (supervision, parent, friend)
Formal Mentoring Programs• Driven by organizational needs
• A method for matching mentors with (or assigned to) mentees
• Of fixed duration and based on goal achievement143Prof Mamatha, VVISM
Methods of Mentoring
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The Standard/ Traditional method
The Peer Mentoring Method
The Team Mentoring Method
144Prof Mamatha, VVISM
4 Types of Coaching
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1. Counseling
2. Encouraging & Mentoring
3. Training4. Confrontation
145Prof Mamatha, VVISM
What Mentoring is not
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• a guarantee of advancement• an unlimited resource on tap
• a job locating service
• a means of bypassing supervisors
• a mechanism for providing favouritism or unfair advantage• a way of working outside the system
• A fix for – seniority/age disparity
– gender differences
– personality clashes
– different ‗wavelengths‘
146Prof Mamatha, VVISM
When mentoring
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g
Deliberate learning is the cornerstone
Success and failure are powerful
teachers
Leaders need to tell their stories
Development matures over time
Mentoring is a joint venture
147Prof Mamatha, VVISM
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"The best mentors are the people in your lifewho push you
just a little bit outside your 'comfort zone.' " -- Leigh Curl
148Prof Mamatha, VVISM
Mentor Competencies
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Trustworthy and open
High Integrity
Active listener
Catalyst for learning
Commitment builder
Enthusiasm to share
149Prof Mamatha, VVISM
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“Tell me, and I’ll forget.
Show me, and I may remember.
Involve me, and I’ll understand.”
150Prof Mamatha, VVISM
The four “C’s” of Coaching
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Confidence
Control
Concentration
Commitment
151Prof Mamatha, VVISM
To be a good coach you need to:
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Motivate your staff – empower your employees
Hone your communication skills
Counsel your staff – stop problem situations before they get out of hand
Exercise good judgment
Utilize available talent – they will bemotivators for other staff
152Prof Mamatha, VVISM
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"People will forget what you said. People
will forget what you did. But people will never forget how you make them feel."
Bonnie Jean Wasmund 153Prof Mamatha, VVISM
Dilemmas
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Can Mentoring save us money or improve
profitability?
Shall we allow employees to spend time on
mentoring others when we are thinly resourced?
What if the Mentoring framework becomes a
session to talk personal problems ?
What if the Mentor-Mentee engagement is “not
bearing fruit”
154Prof Mamatha, VVISM
Mentoring Myths
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• Mentoring is something a mentor does to a protégé
• A good mentor can literally save a life
• Mentors should be of the same ethnic background as
their protégés
• Mentoring is a special, enhance type of management
coaching
• Anyone can benefit from being mentored
155Prof Mamatha, VVISM
Evaluation Of A Mentor Program
Someone in the organization needs to be
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Someone in the organization needs to be
responsible for:Moving the mentor program forward in a positive direction
Providing opportunities for mentors to share their
experiences and their views about the effectiveness of the
mentor programProviding opportunities for recipients of mentoring to share
their views about the effectiveness of the mentoring program
Addressing any problems or unmet needs that emerge
during the course of the year .
156Prof Mamatha, VVISM
Continued…
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Some orgainsations might hold:
Hold informal but regular social get-
togethers over lunch
Hold more formal quarterly or monthly
meetings
Hold brief reports which are written or
given orally
Using a timeline for the current year
157Prof Mamatha, VVISM
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Mentor's role in experiential learning is like that of
birds guiding their young in leaving the nest; they
support without rescuing, provide scaffolding, and
have the courage to let learners fail!! 158Prof Mamatha, VVISM
Summing Up
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• Training• Performance Appraisal
• Mentoring
• Career Planning
• Mgt Development, Organization Development,
Executive Development
Prof Mamatha, VVISM 159
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Unit IV
Management of Human Resources &
Industrial Relations
Prof Mamatha, VVISM 160
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COMPENSATION PACKAGE
161Prof Mamatha, VVISM
What is Compensation ?
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Compensation is the process of directly and
indirectly rewarding employees on a current or
deferred basis, for their performance of assignedtasks.
162Prof Mamatha, VVISM
Objectives of Compensation
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• Legal Compliance with all appropriate laws andregulations
• Cost effectiveness for the organization
• Internal, External and Individual equity for employees
• Performance enhancement for the organization
163Prof Mamatha, VVISM
Compensation Types
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DIRECT INDIRECT
Base Pay
Wages
Salaries
Variable Pay
Bonuses
Incentives
Stock Options
Benefits
Medical Insurance
Paid time off Retirement Pensions
Worker’s Compensation
164Prof Mamatha, VVISM
Division of Compensation -
Responsibility
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HR Manager Line Manager
Develops and
Administers
Compensation system
Conducts job evaluation
and wage surveys
Develops wage / salarystructures and policies
Attempt to march
performance and rewards
Recommend pay rates
and increment based on
guidelines from HR unit
Evaluate employeeperformance based
compensation purposes
165Prof Mamatha, VVISM
COMPENSATION STRATEGIES
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• Compensation Philosophies
– Strategic Compensation Design
– Compensation and Organizational Culture
– Cost Effectiveness and Labour Market
Positioning
• Competency Based Pay
• Broadbanding and Career Development
166Prof Mamatha, VVISM
Compensation Philosophy
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ENTITLEMENT PERFORMANCE
Seniority Based No raises for length of service
Across the board raises No raises for longer service poor
performers
“Guaranteed” movement of scales Market adjusted pay structure
Industry comparisons only Broader Industry comparisons
“Santa Claus” Bonuses Bonuses tied to performance results
167Prof Mamatha, VVISM
Changing CompensationStrategies
Y t d T d T
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Yesterday Today Tomorrow
Fixed salary Variable a as add-on
to salary
Low fixed salar , more
variable pay
Bonuses/ erks for
executives only
Variable a emer in
throughout organization
Variable a common
throughout the organization
Fixed benefits,reward long tenure
Flexible benefits Portable benefits
Company-based
career “moving up”
Industr -based career,
“moving around”
Skill-based, interim
employment
Hierarchical
organizations
Flatter team-based
organizations
Network “virtual”
organizations
“Cookie cutter” a
plans
Total com ensation
(Look at benefits, too)
Customized, inte rated a
s stems; a , benefits,
intangibles
168Prof Mamatha, VVISM
Quartile Strategy
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Third Quartile Above-Market Strategy Maximum(25% of firms pay above and 75% pay below)
Second QuartileMiddle-Market Strategy Medium (50% of firms pay above and 50% pay below)
First QuartileBelow-Market Strategy Minimum (75% of firms pay above and 25% pay below)
169Prof Mamatha, VVISM
Outcomes from Competency
Based Systems
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y
Organization-Related
Outcomes
Employee-Related
Outcomes
Greater workforce flexibility Enhanced employee
understanding of Organisational“big picture”
Increased effectiveness of
work Team
Greater employee self-
management capabilities
Few bottlenecks in work flow Improved employee satisfaction
Increased worker output Greater employee commitment
170Prof Mamatha, VVISM
DESIGNING EFFECTIVE
COMPENSATION PROGRAM
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Job Analysis(Job Descriptions, Job Specifications)
Job Evaluation
Pay Policies Pay Structures
Performance Appraisal
Individual Pay
Implementation,Communication, Monitoring
Pay Surveys
171Prof Mamatha, VVISM
Salary Structure
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Job Evaluation Results Pay Survey Data
Develop Market Line
Identify Different
Pay Structures
Establish Pay Grades
Compute PayRanges
Revise Pay Grades andRanges as Needed
Compare Current Payto Pay Ranges
172Prof Mamatha, VVISM
COMPENSATION POLICIES AND
PROCEDURES
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• Know what the competition is doing andbenchmark your structure to reflect competitivepractices for retention and recruitment purposes.
• Salaries should reflect level of responsibilityemployees may have in the organization.
• Form a compensation committee (preferablyrepresented by management and employees).
Contd...173Prof Mamatha, VVISM
COMPENSATION POLICIES AND
PROCEDURES
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PROCEDURES
• Create a structure where salaries and any
increases reflect company performance as
espoused by the compensation committee.
• Develop and document a general companypolicy and strategy for pay increases.
• Liaison with the compensation committee for
review, adjustments and approval.
174Prof Mamatha, VVISM
Team Based Compensation
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Types of Team Incentives
Same size reward for each team member
Different size rewards for each team member
Criteria for Best Team WorkSignificant interdependence exists among the work of
several individuals, and team work and co-operation isabsolutely essential.
Contd.. 175Prof Mamatha, VVISM
Team Based Compensation
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Difficulties exist in identifying exactly who isresponsible for different levels of performance.
Management wants to create or reinforce team
work and co-operation among employees
Rewards are seen as being allocated in a fair and
equitable manner.
176Prof Mamatha, VVISM
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Collective Bargaining
177Prof Mamatha, VVISM
The Collective BargainingProcess
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15 –178
• What Is Collective Bargaining? – Both management and labor are required by law to
negotiate wages, hours, and terms and conditions of employment ―in good faith.‖
• What Is Good Faith Bargaining? – Both parties communicate and negotiate.
– They match proposals with counterproposals in areasonable effort to arrive at an agreement.
– Neither party can compel the other to agree to a proposal or to make any specific concessions.
Prof Mamatha, VVISM
Classes of Bargaining Items
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15 –179
MandatoryItems
IllegalItems
Categories of Bargaining Items
VoluntaryItems
Prof Mamatha, VVISM
Impasses, Mediation, andStrikes
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15 –180
• An Impasse – Usually occurs because one party is demanding more
than the other will offer.
– Sometimes an impasse can be resolved through a
third party — a disinterested person such as a mediator or arbitrator.
– If the impasse is not resolved:
• The union may call a work stoppage, or strike, to put
pressure on management.
• Management may lock out employees.
Prof Mamatha, VVISM
Strikes
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15 –181
Economic Strike
Unfair Labor PracticeStrike
Wildcat Strike
Sympathy Strike
Types of Strikes
Prof Mamatha, VVISM
Grievances
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15 –182
• Grievance – Any factor involving wages,
hours, or conditions of
employment that is used as a
complaint against the
employer.
• Sources of Grievances – Discipline
– Seniority
– Job evaluations
– Work assignments – Overtime
– Vacations
– Incentive plans
– Holiday pay
– Problem employees
Prof Mamatha, VVISM
Summing Up
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• Compensation & Benefits• Employee Grievances
• Collective Bargaining
Prof Mamatha, VVISM 183
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Unit V
Competitive Advantage
Prof Mamatha, VVISM 184
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People Capability Maturity
Model - PCMM
185Prof Mamatha, VVISM
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186Prof Mamatha, VVISM
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187Prof Mamatha, VVISM
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188Prof Mamatha, VVISM
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189Prof Mamatha, VVISM
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EMPLOYEE EMPOWEREMENT
190Prof Mamatha, VVISM
Employee Empowerment
Participative management has become key word
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p g y
in empowermentThe most important concept of empowerment is
to delegate responsibility to the lowest level in
organization.
The management must trust & communicate
with employees
191Prof Mamatha, VVISM
BASIC ASPECTS
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Authority
Control
Responsibility
Accountability
Ownership
192Prof Mamatha, VVISM
Human ResourceSystems
(Rewards, Training)
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Organizational Values/Leadership Action
Organizational Structural
Job Design
Empowerment
CompetitiveStrategy,
Productivity,Customer service
Continuousimprovement
Actions
FACILITATORS OF EMPOWERED TEAMS
193Prof Mamatha, VVISM
Distinct Features
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Share various management and leadershipfunctions
They plan control and improve their own work
processesSet their own goals, inspect their own work
Coordinate with other teams
Take responsibility for quality
194Prof Mamatha, VVISM
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VVISM
Prof Mamatha, VVISM 195
Knowledge Management
Management Vs Knowledge
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Prof Mamatha, VVISM 196
• Management is an art of getting things donethrough others.
• An area as justified beliefs about relationshipsamong concepts relevant to that particular
area.
Knowledge Management???
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Prof Mamatha, VVISM 197
• Doing what is needed to get the most out of knowledge resources.
• KM is related to ‗Intellectual Capital‘.(IC = Human Capital + Structural Capital)
• HC - Body of knowledge company possesses
• SC - Everything remains when employees go home.
Forces Driving KM
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• Increasing domain complexity
• Accelerating market volatility
• Intensified speed of responsiveness
• Diminishing individual experience
Alternative views of knowledge
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Perspectives
onKnowledge
Subjective
View
Objective
View
Knowledge as
a
state of mind
Knowledge as
practice
Knowledge as
an object
Knowledge as
access to
information
Knowledge as
capability
199Prof Mamatha, VVISM
Subjective View
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Prof Mamatha, VVISM 200
• It is socially constructed through interactionswith individuals.
• Knowledge is viewed as an ongoing
accomplishment, which continuously affectsand is influenced by social practice.
Objective View of Knowledge
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Prof Mamatha, VVISM 201
• It is independent of human perceptions and can be structured in terms of a priori categories andconcepts.
• Consequently, knowledge can be located in the
form of an object or a capability that can bediscovered or improved by human agents.
Types of Knowledge
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Prof Mamatha, VVISM 202
1. Procedural or Declarative Knowledge2. Tacit or Explicit Knowledge
3. General or Specific Knowledge
Procedural or Declarative Knowledge
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Prof Mamatha, VVISM 203
• Procedural knowledge focuses on beliefsrelating sequences of steps or actions to
desired/undesired outcomes.
• Declarative knowledge is ‗know what‘, whereas procedural knowledge may be viewed as
‗know how‘.
Tacit or Explicit Knowledge
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• Explicit knowledge typically refers to knowledge thathas been expressed into words and numbers.
• Such knowledge can be shared formally andsystematically in the form of data, specifications,
manuals, drawings, audio and video tapes, computer programmes, patents, and the like.
Cont…
Tacit or Explicit Knowledge
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• Tacit knowledge includes insights, intuitionsand hunches. This knowledge is difficult to
express and formalize, and therefore difficult
to share.
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Talent Management
206Prof Mamatha, VVISM
TALENT MANAGEMENT
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• Talent Management is a powerful tool thathelps a Company stand out against the
Competition. It is a key business process that
focuses on how the Company manages and
invests in their people to meet the business
needs. With it, the Company can make the best
use of their talent and support the associates‘
development consistently worldwide.
207Prof Mamatha, VVISM
BUILDING ON PEOPLE
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• The future of the Company depends on clear and aligned business goals and the right peopleto successfully implement its strategy.
• Our Talent Management process ensures that
we identify and match talent with Businessrequirements, so that we have the leaders readyand in place to achieve our goals.
208Prof Mamatha, VVISM
ROLE OF MANAGERS IN TM
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• A significant part of ensuring a successfulfuture relies on the role that our current
managers play in identifying and developing
their future successors.
• The TM Process supports Managers in
addressing skill and ability gaps and provides
action plans to close these gaps.
209Prof Mamatha, VVISM
IDENTIFICATION OF TALENT
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• Managers identify key positions and high potential people and review individual
potential against position requirements.
• Talent Management is the process for identifying our leadership needs and assessing
candidates worldwide.
210Prof Mamatha, VVISM
TALENT MANAGEMENTPROCESS
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• A concrete idea of the requirements of our key positions
• Objective assessments of individual
capabilities• Alignment of each candidate‘s potential and
possible professional development.
211Prof Mamatha, VVISM
TALENT MANAGEMENTPROCESS
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• Individual Development plans to strengthenthe talent pool.
• A strong pool of candidates for key positions
• Plans to resolve succession gaps or blockages
212Prof Mamatha, VVISM
TALENT MANAGEMENTINTERFACES
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• Talent Management,PerformanceManagement, LeadershipDevelopment and
CompensationManagement work together to ensure thatskilled leaders are in
place to meet our business challenges.
213Prof Mamatha, VVISM
TALENT MANAGEMENT
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• Identifies talent requirements based on business challenges
• Assesses individual and organizational
potential• Reviews talent and identifies key associates
for key positions- short and mid term
214Prof Mamatha, VVISM
TALENT MANAGEMENT
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• Defines coaching and development plans anddevelopmental moves
• Initiates filling of gaps through outside
recruiting• Identifies Future Leaders (long term
candidates for key positions )
215Prof Mamatha, VVISM
LEADERSHIP DEVELOPMENT
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• Grows our talent internally• Reinforces a culture of continuous learning
• Provides leadership education and on-the-job
development
216Prof Mamatha, VVISM
TALENT MANAGEMENT
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• Talent Management provides a cross-functional, bottom-up leadership identification
and development process owned by line
management.
• TM continually identifies leadership
requirements, potential leaders and
developmental and hiring needs
217Prof Mamatha, VVISM
Summing up
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• PCMM• Levels
• HR Practices
• Knowledge Management• Talent Management
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End of Syllabus
All the Best