human-resource-management-3980965
TRANSCRIPT
Human Resource Management
Shubhpreet KaurGulzar Group of
Institutes
Financial Resource
s
Physical Resources
Human Resourc
es
Organizational Goals
WHAT IS HR?????Human resources is the set of
individuals who make up the workforce of an organization, business sector or an economy.
Other terms sometimes used include "manpower", "talent", "labor" or simply "people".
What is HRM? The process of acquiring, training, appraising,
and compensating employees, and of attending to their labor relations, health and safety, and fairness concerns.
A management function that helps managers recruit, select, train and develop members for an organization.
HRM may be defined as a set of policies, practices and programmes designed to maximize both personal and organizational goals.
"I believe the real difference between success and failure in a corporation can be very often traced to the question of how well the organization brings out the great energies and talents of its people."
Thomas J. Watson, Jr.
And I'd say one of the great lessons I've learned over the past couple of decades, from a management perspective, is that really when you come down to it, it really is all about people and all about leadership. Steve Case
Some eminent personalities…
Dr. Udai Pareek
Dr. T V Rao
Frederick Winslow Taylor
King Hammurabi
Evolution of HRM
Procure and develop
Procure, develop and motivate
assets
Nature of HRMIntegral part of process of management.Comprehensive FunctionPervasive FunctionPeople OrientedBased on human relationsContinuous processScience as well as artRecent originInterdisciplinaryBasic to all functional areas.
Scope of
HRM
Introduction to HRM
Employee
Hiring
Employee
Remune-ration
Employee
motivation
Employee
Mainte -nance
Industrial
Relations
Prospects of HRM
Scope of HRM
Industrial
Relation Aspect
Welfare Aspect
Personnel
Aspect
Objectives of HRMPersonnel ObjectivesFunctional ObjectivesOrganizational ObjectivesSocietal Objectives
Functions of HRM w.r.t objectives
Societal Objectives
Legal Compliance
Union-Management Relations
FunctionsOrganizational
HRP
Employee Relations
Selection
T nd D
Appraisal
Placement
Assessment
FunctionsFunctional
Appraisal
Placement
Assessment
Functions (cntd…)Personal
T nd D
appraisal
Placement
Compensation
Assessment
Policies, Principles and ProceduresPolicy : A plan of action.. A statement
of action committing management to a general course of action.
Principle: fundamental truth established by research, investigation and analysis….guide the managers in formulating policies, programs and procedures.
Procedures: a method for carrying out a policy….
Importance of HRM
Importance for organizationImportance for employeesImportance for society.
Compare HRD and HRMHRM HRD
Entire management process
Subset of HRM
Scope is wider Narrow scope
Emphasis on employee as a whole
Training and Development of employees
Takes decisions Depends on decisions of HRM
Limitations of HRMRecent origin
Lack of Top Management Support
Improper Implementation
Inadequate Development Programmes.
Inadequate Information.
Systems approach to HRMAn enterprise cannot work in isolation.Has to adjust its working to suit the
environment.Subsystems: Departments that are created
in an organization to carry out its business effectively.
Each subsystem has a number of further subsystems.
Important Subsystems HR systemProduction SystemFinance SystemMarketing SystemResearch and development System
Human Resource Management System
Transforms inputs to outputs.
HR system interacts closely with all other subsystems.
Quality of people in all subsystems depends upon policies of HRM System
Personnel
Productive Human Resource
Organizational Design
Place
Composition
Place Of HR DepartmentSize Matters!!!!In case of a small unit…………
Small unit
owner
Production manager
Sales Manager
Office Manager
Personnel
assistant
Accountant
Large UnitChairman / MD
Director Productio
n
Director Finance
Director HRM
Director Marketin
g
Director R&D
CompositionDirector HRM
Manager - Personnel
Manager Admin
Manager - HRD
Manager - IR
HRP
Hiring
Grievance handling
Compensation
PR
Canteen
Medical
Welfare
Transport
Legal
Appraisal
Training And Development
HRM EnvironmentProactive not Reactive………Factors affecting HRM Environment
External Environment Internal Environment
External EnvironmentEconomic Factors
Political – Legal FactorsSocial and Cultural FactorsTechnological FactorsUnionsProfessionalism
SUPPLIERS
CUSTOMERS
COMPETITORSGLOBALIZATION
Internal Environment
MISSION
POLICIES
ORGANIZATIONAL CULTURE
ORGANIZATIONAL CONFLICT
Human Resource PlanningWhat??? When??? Where????
HOW???
HRP……The process by which a management
determines how an organization should move from its current manpower position to its desired manpower position.
Right Number and Right Kind of people Right Places Right Time to do things
which result in both the organization and individual receiving maximum benefit.
Objectives of HRPAssessing manpower
Assessing skill requirement.
Determining T&D needs
Anticipating shortage and surplus of staff.
Controlling wage and salary costs
Optimum use of HR
Process of HRPAnalysis of objectives and
strategic plans of the company
Preparing manpower inventory
Manpower forecasting
Manpower plans
T& D Programmes
Appraisal of manpower planning
Analysis of objectives and strategic plansMust be integrated with other business policies.
Analysis of each plan into sub-plans and detailed programmes.
Check out:Future organization structure.Changes in organization structure.
Preparing manpower inventoryManpower inventory: refers to assessment of
present and potential qualifications of present employees.
Avoid situation of over/under staffing.Analysis of current manpower supply. By
Department By Function By Occupation By Qualification…
Helps to find out gaps…
Manpower ForecastingEmployment Trends
•Analysis of staff during past 5 years
Replacement Needs
•Death, resignation•retirement
productivity
•Utilization of existing manpower
Manpower ForecastingAbsenteei
sm•A situation when person fails to come for work when he is scheduled for work.
Expansion and Growth
•Timely steps needed.
Work Study
•Workload analysis to be done.
Manpower PlansDecide
required number of
people.
Develop programmes
and strategies.
Development plans are
designed
Training and Development PlansNot only for new employees but also for the
old ones.Tapping of talent required.The organization has no choice whether to
provide training or not…..but the only choice is to decide the method/ technique of training.
Appraisal of Manpower PlanningMonitor and control….Involves allocation and utilization of HR over
time…Reveal deficiencies and helps to take
corrective action on time…Serves as a base for future manpower
planning.
Types of HRPShort Term HRP - to match the individuals
with the job.Long Term HRP – to fulfill future vacancies.
Short Term HRPA weak Incumbent
Changing of the man
Change in contents of the job
Changing the job and the man
Removal of incumbent.
Long Term HRP
Projecting Manpower
Requirements
Taking stock of Existing
Manpower
Recruitment and
Selection
Manpower Developmen
t
Benefits of HRP Reduced Labor Costs.
Optimum Utilization of manpower
Identification of Gaps in existing manpower.
Improvement in overall business planning.
Career Succession Planning
Creates awareness in an organization.
Growth of Organization
Beneficial to the country.
Job Analysis
Definitions…Job analysis involves identification and precisely
identifying the required tasks, the knowledge and skills necessary for performing them and the conditions under which they can be performed.
Richard Henderson
A systematic exploration of activities within a job. It is a basic technical procedure. One that is used to define the duties, responsibilities and accountabilities of a job.
S P Robbins
Data relating to job can be grouped under:Job Identification
Nature of job
Operations involved
Materials and equipment required
Personnel qualities required
Relation of job with other jobs.
Process Organizing
and planning
Obtaining current job design
information
Conducting “needs
research”
Establishing priorities
Collecting job data
Redesigning the job
Preparing job descriptions and
classifications
Developing job
specifications
TechniquesQualitativ
e•Questionnaire•Observation•Interview•Record•Critical Incidents•Job Performance
Quantitative Methods•PAQ•MPDQ•FJA
PAQ – Position Analysis Questionnaire
MPDQ – Management Position Description Questionnaire
FJA – Functional Job AnalysisWorker oriented approach.Examines fundamental components of ‘data,
people and things’.Identifies performance standards and training
requirements. 4 dimensions
Extent to which – Specific instructions are necessary to perform the job Reasoning and judgement are required. Mathematical ability is required. Verbal and language facilities are required.
Job Analysis
Job Descriptio
n
Job Specificatio
n
Job DescriptionThe first and immediate product of job
analysis is job description. This document is basically descriptive in nature and constitutes a record of existing and pertinent job facts.
Contents of JDProper Job Title
Job Summary
Job Location
Duties and responsibilities
Machines, Tools and Materials
Working Conditions
Relation to other jobs
Job Specification A statement of minimum acceptable human qualities necessary to perform a job properly.
Also known as “”Standard of personnel for the selection”.
What it includes???Physical Characteristics.
Psychological and Social Characteristics
Mental Characteristics
Personal Characteristics.
Job EvaluationA systematic way of determining the
value/worth of a job in relation to other jobs in an organization.
Job Evaluation v/s Performance AppraisalPOINT JOB EVALUATION PERFORMANCE
APPRAISAL
DEFINE RELATIVE WORTH OF JOB RELATIVE WORTH OF JOB HOLDER
AIM DETERMINE WAGES RATES FOR DIFFERENT JOBS
DETERMINE INCENTIVES AND REWARDS
SHOWS HOW MUCH A JOB IS WORTH
HOW WELL AN INDIVIDUAL IS DOING AN ASSIGNED WORK
Process of Job EvaluationGaining Acceptance
Creating Job Evaluation team
Finding jobs to be evaluated.
Analyzing and preparing Job Description
Selecting method of evaluation
Classifying Jobs
Installing the programme
Reviewing Periodically
Methods of Job Evaluation
Qualitative
•Ranking Method•Job Grading Method
Quantitative
•Point System•Factor-Comparison Methods
Ranking MethodAll jobs are ranked in order of their
importance from simplest to the hardest order, each job being harder than the previous one in the sequence.
Method: Preparation of Job Description. Selection of Raters Selection of key jobs Ranking of all jobs.
Rank Monthly salary
Accounts Officer -------
Accountant ------
Senior Accounts Officer -----
Accounts clerk -----
Computer operator -----
Purchase Assistant -----
Office Boy -----
Peon -----
Merits•Easy to understand and explain •Requires less time•Economical
Demerits•Not based on any standard criterion.•Chances of inaccurate ranking•Leaves out some factors
Job Grading MethodA number of pre-determined grades or
classifications are decided by the committee and each job is assigned to one of the grades.
Grades like – skilled, unskilled, clerical, administrative..etc..
For each grade there is a different rate of wages.
Steps :Preparation of grade descriptionsSelection of key jobsGrading key jobsAll job are put in relevant grades.
Grade Description
1 Very simple tasks requiring minimum mental ability. Basically consisting of manual work.
2 Jobs requiring clerical work. Basically consisting of desk work and minimum manual work. Minimum training required.
3 Straight forward tasks, but requiring to apply established procedures and to guide others.
4 Routine work but involving some elements of responsibility for answering non-routine queries and exercise some measure of control.
5 Involve decision making and administrative work. Professional qualifications are required.
Merits•Systematic criterion is followed.•Simple to understand and operate•Easy to determine pay scales.•Used in government services
Demerits•Not suitable for large organizations•With increase in number of jobs, difficulty increases.•Likelihood of human bias.
Factor Comparison MethodEach job is rated according to series of
factors like mental effort, physical effort, skill needed, responsibility, working conditions etc.
Different factors are assigned different weights by importance.
Pay will be assigned by comparing weights of factors
Steps involvedSelect key jobsFind factors for evaluationRank selected jobs under each factorAssign value to each factorDetermine wage rates for each jobAll other jobs are compared with the list of
key jobs.
Merits•Analytical•Relative and valid•Money values are assigned in fair way•Flexible
Demerits•Difficult to understand, explain and operate.•Time consuming.•Use of same criteria to assess all jobs.
Point MethodMost frequently used.Process:
Select key jobs and identify factors common to all the identical jobs.
Divide each major factor into number of sub factors. Assign point values to degrees after fixing relative value for each key factor.
Degree Define
1 Able to carry out simple calculations, High school educated
2 Does all clerical Operations, computer literate, graduate
3 Handles mail, develops contacts, takes initiative, post graduate.
Find maximum number of points assigned to each job. This would help in finding out relative worth of job.
once the worth of job is expressed in terms of points, the points are converted into money values keeping in mind the daily/hourly wage rates.
Merits•Superior and widely used•Elimination of bias at every stage•Remains unaffected even if jobs change
Demerits
•Complex•Time consuming
